When I began this blog over a year ago, I feared the end times. I had already begun investing in gold many years prior to that, but I feared the worst was ahead of us. I did not expect such an abrupt and cataclysmic financial collapse of the kind we have experienced over the past few months.
However, I did expect we would somehow eventually be where we are now. The question is whether the next step will be further economic collapse, a brief recovery, or some truly dire scenario.
In the last case, of a truly dire scenario, I expect that many people of the sound money, Ron Paul ilk will expect that the US and other world powers will look for a way to tie the dollar and other major currencies to either gold or some gold derivative. That could help the situation.
What truly frightens me though is the concept of moving further away from sound money and deeper into the more precarious technological aspect of fiat currency.
What I could envision is a world tied together by a single electronic currency, designed to stabilize a flawed financial system gone terribly awry.
It seems possible that the easiest fix would be to create a single world currency, in a digital-only form, much in the same way the Euro was created, but without bothering to print actual paper notes.
In this fashion, the governments of the world could pump financial injections into the balance sheets of banks and various financial institutions where needed, without so much as flipping the on switch at the printing press. It's a concept I've honestly never onceheard discussed.
Let me know what you think. Drop me an email or add a comment below and we'll sort through this possibility.