Gold Backed Currency
News is becoming more apparent that Russia and the Shanghai Cooperation Organization (SCO) are considering using gold for pan-Asian trade settlements, fully replacing dollars and euros. Sergey Glazyev, an economic adviser to Vladimir Putin and head of the Eurasian Economic Union committee, has reportedly dropped earlier plans to design a new commodity-linked trade currency in favor of using gold. The increasing numbers of nations joining or applying to join the SCO, including Saudi Arabia and other important Gulf Cooperation Organization members, are seen as a sign of the economic benefits of discounted energy, China’s investment capital, and sound money potentially leading to a new, Asia-wide industrial revolution that while rival Western leadership and economies and disrupt supply changes and product valuations. The move by the 2 super powers working as a collective would mark the end of the road for the western alliance and its fiat currencies. As a result, Putin may use NATO’s involvement in defense of Ukraine as cover for securing Russia’s future as an Asian superstate, ultimately leading to the west’s undoing.
China-Russia Plan on USD
China and Russia have been actively seeking to reduce their dependence on the US dollar in recent years, as they look to diversify their foreign exchange reserves and create a more stable and balanced international monetary system. Both countries have been increasing their use of gold in trade settlements and promoting the use of their own currencies in international transactions. Additionally, China and Russia have been working to establish new financial institutions and trade arrangements that bypass the US dollar, such as the China-led Asian Infrastructure Investment Bank and the Shanghai Cooperation Organization’s plans to use gold for pan-Asian trade settlements. They have also been promoting the use of the Chinese yuan and Russian ruble as reserve currencies. These actions are driven by a desire to reduce their vulnerability to US economic and financial policies, as well as to create a more multipolar and equitable global financial system.
