Just My Humble Offerings.
I rarely post on finance other than it's intimate relationship with politics and power. Both aspects compete with all others to the benefit of the powerful and against the fairer distribution a smaller, compact group would tolerate. Partly why globalism is so favoured in our modern world. However the sheer size of the human population is beginning to ruin once held dear tenets that have supported the powerful for many, many years.
By that last sentence above my meaning is that the old systems are no longer pertinent for any share in growth and wealth, that once allowed interest on hard won savings, security in owning assets, shares or property, for many, to continue. At least continue in relative freedom or interference from the mighty and the very rich. If this sounds a bit conspiracy theory bear in mind I blame the natural animal instinct for survival and therefore competitiveness. Not deliberate joining of forces to suppress others out of greed, necessarily.
So let us look at the present day and our economic fragility. One, as yet in the realms of media coverage, "nobody saw the disaster coming" mantra. As they always claim. Albeit 9/11 was pretty reasonable to forecast. As was the subsequent dreadful "war on terror" failures and the dreadful mess the Middle East was dragged into. All pretty much on view amongst the trees and the wood thereof.
As for the outcome of the years to date, post 9/11, what do we have? Other than this pandemic, it seems little else now occurs. I would suggest this covid-19 is reminiscent of the old naval steam ship tactics of using billowing smoke funnels. Thus the billions now being squandered, regardless of the overheating printing presses, leave little for we lesser folk, beyond austerity never, since the 1930s, known by most of those to be worst affected.
We now see few under 50 years of age owning their own property anymore. Decades of partying, selfishness, promiscuity without thought or care and zero thought of living far more years older than young. All are now beginning to manifest themselves in a nightmare of negative interest rates, a bulging dam of inflation about to burst and so much debt it will consume most of our GDP. A scary destination of drudgery and hell on earth is very close.
Those of us still enjoying the fruits of our lifetime's labours should manage for the few years we have remaining but rest assured any small wealth we might possess will be expected to go to Government need before any relatives or charities might benefit. That robbery is well underway. Bloated Councils and their Civil Servant colleagues are already well shielded. For now. Even they will feel the rub when this dreadful scenario plays out, though.
There is one saving grace, pun intended, that, not without anxiety, I have embraced along with millions of others. I don't pretend to understand much of it but grasp its overarching reason to exist. It can help everyone. We little folk especially. Crypto currency. Bitcoin in particular. Now this is not some kind of pitch or advice. Just my take on said arena.
The creator(s) of bitcoin is referred to and entered in Wikipedia as Nakamoto Satoshi. Much of this creation of a crypto currency has significant relativity to all. Not just a manipulative, all powerful fiat currency world. This is the economic norm we have been fed and dragooned into accepting as the only means of exchange available for centuries. After bartering was overtaken by coinage. Not anymore. The "I promise to pay the bearer of" trust fiat was meant to embrace, is no longer valid. You get very little for a pound do you?
How is that so? Just look at the increase in living costs since March. Supermarkets' soaring profits, Amazon now home to the richest and most obscenely wealthiest human alive. Pubs now selling pints for a tenner in places. Restaurants trying to recoup covid losses and needing to fleece fewer customers. Except in the hallowed halls of Westminster's subsidised eateries, of course.
Politicians across the West rich beyond measure within a few years of power. Like African despots. Bliar, Obama, the Kinnocks, the list is endless. Many Civil servants and EUSSR Commissioners likewise. All beneficiaries of our taxes and hard earned, often painfully wrestled few bob. Their contribution to the lives and welfare of their fellow creatures, zero. Bar lip service.
So Satoshi set out to level things up a little. Unbeknownst to most, the war of attrition against this creation has been savage. Many shadowy banking and politically run institutions have quietly purchased, confiscated and extracted nefariously, bitcoin for one purpose only. Manipulation of its value. The motive to protect their power and wealth from leeching away to others.
The power employed to destroy crypto currencies has been and remains colossal. However it is also possible to discern some weakness arising. Even with all the might of the combined banking, corporate and political cabals, the reliance for wealth, based on consumerism and cheap labour, wherever it could be found is now waning.
Bailey, the BoE's new head honcho running scared it would seem is a sign of losing ground. That and the proliferation of spoof web sites such as "Yahoo finance" and other pretend coin based "experts". Whenever bitcoin has surged those places preach disaster.
Where is any evidence, you will be thinking. Turkey for one is seeing flight into crypto as safer havens for currency than their own. Africa has a surge of similar movement, as does South America. Indeed many Nations seeing their currency devalue and inflation soar, are flocking to place any assets into less vulnerable and exposed places. Gold of course similarly but more clumsy to liquidate.
How this will all evolve I've no idea. Except that post covid-19 and in particularly in the West, the economic and self inflicted burdens of huge welfare, immigrant and overpopulation policies will bite. How we as individuals cope will be, unlike for decades, down to ourselves. The PTB will be so busy infighting over their "pots" as to care even less for the rest of us, than they do now.
I also hang on to one other factor peculiar, for now, to the UK. We are out of a dead but still twitching grandiose project of a Federal Europe. Something which, for circa 40 years, has been at the forefront of social and economic engineering of such egotistical hubris it is beyond contemplation.
If our present PM can survive the forces ranged against him, lose the now dated and unpleasant powers so long holding sway, we may well have a new and golden "empire" on these shores, at least. With a UK economy underpinned by crypto currencies immune to the vagaries of others. Who knows? Just do your utmost to protect your nearest and dearest is my best submission!