In this post, I want to discuss the great financial reset that I believe will come in the near future in the United States. In this episode, we’re going to discuss why it will happen, what we can expect to see and how you can protect yourself and your family.
Why do I believe a Financial Reset will come?
In my opinion, a financial reset will have to occur at some point in the future due to the massive debt and also a loss of confidence in the US dollar. And that’s really key here: the loss of confidence in the US dollar.
So, this raises the question, what will cause the loss of confidence in the US dollar?
I believe this has already started. Although many have started to realize what’s going to happen, the fact is that most people are still completely unaware. In a way it’s sad, but one thing I have noticed about individuals who seem aware of the US Debt problem, is that people are spread across all different income levels, locations and even age groups.
Still, even though I think it has begun, the question surrounds what will be the catalyst?
To me, this will be an unexpected economic event. Something that comes completely out of left field that the economy is not prepared for.
This could be the US getting dragged into a war, the commercial real estate market imploding, or buy now pay later loans collapsing.
In general, there are some characteristics that I think these situations will lead to. One is the government will be forced to print more money and devalue the currency even further. When this occurs, there will much more money printed than the bailouts in 2008. Also, it’s very likely that like before, certain groups or businesses will be helped while others will be left out in the cold.
Money printing and attempts to stimulate the economy won’t work this time though for several reasons. One reason is that we’re already too far in the hole, and it’s very likely we’ll get either a deflationary depression or hyperinflation. In addition, workers are less productive than they have been ever, and the country is more divided than ever, so it’s likely we’ll see more social unrest. This will be followed by more property damage, higher crime and division. This is of course will lead to those costs being passed onto regular people through higher insurance rates and taxes.
Now, in my opinion, this breakdown won’t happen overnight but will happen over time. We will continue to see a deterioration of the US Economy along with more civil unrest.
Then, the system will begin to crumble at a much faster rate.
This here will lead to the financial reset.
When things become bad enough, we will see politicians and govt officials propose the new financial system. There are many schools of thought on how this could work, so let me give you my thoughts how this will play out.
Almost certainly, the government will propose a new Central Bank Digital Currency. It will be proposed to the public as something that could stimulate the economy. More than likely, incentives will provide to those who sign up, such as free money. The government will target early on the younger generation and also small businesses too. Large corporations won’t be hard to convince.
This all leads to the question what will happen to all those US dollars floating around though?
More than likely people will be able to trade those in, and expectedly many will so that they can retain their wealth.
What will happen to all the debt though?
This is where it gets interesting. Ultimately though, some debts will be totally forgiven, others partially and some will be expected to be paid back.
There are many ways this could work, but I believe that there will be a certain order of debt forgiveness. More specifically large banks and other countries will have their debt repaid, in either US dollars or the new CBDC. However, I think many smaller businesses and companies whom business is deemed non- essential will not be repaid. This is not tough to imagine either, as we’ve seen the government step in the markets and do this before, most notably during COVID. They will use the rationale, society cannot function if Banks, hospitals, airlines, transportation and other critical industries are allowed to go under. At the same time though, I definitely could see them allowing entertainment businesses to fail.
It’s important to point out though there is no such thing as a free lunch so even if debts are wiped, we will all pay for it one way or another.
In sum, I believe the financial reset coming is already starting, will escalate more and more and eventually lead to a CBDC, which will allow much of the debt to be wiped.
How can you protect yourself in this reset?
In my opinion, this should be a multi-faceted approach. Financially, owning hard assets like gold and silver and diversifying is always a good first step. Lifestyle wise, it’s important to be self-sufficient. This means knowing how to grow your own food and having a steady supply of water. Also, having items that will help if things get really bad. This could be an energy source like a generator, medical supplies and even items like soap and basic tools.
The transition to a new economy might not be super painful, but at some point, in my opinion, we will see it happen.
