New Fight for Coinage Rights

The goal of the trade war has actually become fight for coinage rights between dollar and CNY.

The price of gold rose by 1.28%. At present, the price of gold in China is 288.70 CNY/gram, and bitcoin is up 5.54%,which is currently 56,736 yuan (the price at the time of writing). This is an ordinary afternoon on Tuesday.

The stock market opened at 9:30 Beijing time last night, the Dow Jones fell 2.38%, the Nasdaq fell 3.41%, and the S&P 500 fell 2.41%.

The trade relationship between two largest economies in the world is once again tense; the battle between the United States and Iraq is heating up; Terror attacks continue in South Asia.These all make an escalation of risk aversion. Both gold and bitcoin are considered safe-haven investments and will perform well during the turbulent period.

The United States has used trade unilateral sanctions and has beaten two opponents, Japan and the Soviet Union. The 《Plaza Accord》 of 1985 made Japan’s finance fully open, affected by the appreciation of the yen, and the Japanese economy was sluggish. In August 1985, the United States intimidated Saudi Arabia to increase production, intimidated Europe and Japan to use technology to block the Soviet Union, and implemented a “reverse shock” strategy. The Soviet Union was caught in a cycle of increasing production to maintain oil revenue.

The Sino-US divergence is on the surface of trade issues, and the essence is the extension and upgrading of financial warfare. The United States uses the dominant credit monopoly system to use the US dollar as a weapon to attack China, and to prevent China from infecting the global dollar credit system. The goal of the trade war has actually become fight for coinage rights between dollar and CNY.

In 1944, the Bretton Woods system was established, and the United States obtained the right to mint the international currency. In 1971, the United States abandoned the promise of official price for gold, and the dollar bill entered the era of indiscriminate use. Bitcoin was born in 2009. Unlike all currencies, Bitcoin does not rely on a specific currency institution.

The formation of bitcoin may be a way for people to liberate money. Bitcoin has built a weak personal haven. Because of the inability to predict this history, small individuals can warm up and the scattered people need an inflation-constrained consensus store the value. According to the book 《Psychologie des Foules》 describes, groups are not good at reasoning, but they are eager to take action. Their current organizational strength is strong, and the rules they form will soon have the power of old-style dogma, that is, the unquestionable tyrannical rights. Bitcoin rise again is indeed a bubble, but it seems to indicate a development direction of the currency or a certain commercial species. Most of the speculative bubbles in history are almost perfect predictions of future developments.

The collision between China and the United States, any concessions at this stage are not feasible. Hard days may come, and the practical consumerism that goes to the premium will spread all over, such as pinduoduo, IKEA, and Uniqlo.

Marx said that if the struggle is carried out under extremely smooth conditions, it will be too easy to create a world history.

We need to work hard, we need to do our own thing, and we need to support China unconditionally.

This article is originally created by UU.Block. If reproduced, please indicate the source.

If reproduced, please indicate the source: http://www.uucj.net/new-fight-for-coinage-rights/

Contact Us

Mail:uucjnews@gmail.com