for from the 2024 election and while American voters decide their fade between Kamala or Trump there is a much bigger problem rising up in the US that won't be solved no matter who wins the election the future of the US dollar is changing a renowned American Economist art leer who previously served as a White House economic adviser warned his fellow Americans that the US dollar is becoming an unhinged paper currency his argument is one that's hard to refute the US government's use of the dollar as a political weapon through sanctions and other measures has eroded
International trust in the currency this loss of confidence is driving countries to seek alternatives to the dollar potentially leading to its eventual replacement as the primary Global Currency what's more worrying about the US Dollar's future is that neither Trump nor kamla has a solution to fix it because this is not a policy problem but a debt problem the United States is the most indebted country in the world and their only solution is to Simply print more money which only further devalues the currency and moves the rest of the world closer to dollarization but while the
media focuses only on the US election the next few weeks there is another event taking place on the other side of the world that will outline the exact future of the US dollar the bricks Alliance will host its annual president Summit next month in Russia and the timing of this event couldn't be more symbolic as it will be held 2 weeks prior to the US election last year when the brics presidents met they officially announced the expansion of the alliance to include several new power weight countries including Saudi Arabia Egypt and the UAE expansion is
once again another Focus Point as 24 new countries have officially applied to join the brics alliance before this year's annual Summit we'll see exactly how many countries are accepted into the organization in 2025 but one thing is for sure is that interest and man in bricks and their plans for dollarization is skyrocketing it was reported this week that this meeting will introduce a multicurrency payment platform along with a road map for a goldback bricks trading currency this road map is what's important because the brics alliance has been hinting at launching its own goldb currency for
a while now and while this still may be a few years out the brics alliance has announced their intentions to create an inclusive International Financial system one that is free from sanctions and restrictions and will laid open and inclusive to every country involved China is the country that has made the most progress in using its currency the UN for international trade this chart from The Brookings Institute shows the trend of non-traditional currencies being used as a Global Currency Reserve which began aggressively increasing in 2010 fast forward to today and the Chinese un share of international
payments reached a record high this summer as the Chinese currency has become the fifth largest currency in the world for Reserves payments and trading and the third largest currency for commercial financing this chart reveals just how much China's economy has shifted away from the US dollar in 2010 an incredible 83% of China's crossb payments and receipts were made in US dollars at the time China and the US enjoyed a fruitful relationship tensions between the countries were relatively low and China had no problems using US dollars in trade but in 2016 Donald Trump launched the trade
War he began imposing tariffs on Chinese Goods and for the past 4 years the Biden Administration has done everything in their power to cut off China from us technology and limit China's growth of course this would result in China strategically shifting away from us Reliance and when China needs to Pivot they can do so faster than any country on Earth take a look at that chart once again and see how quickly China has shifted away from the US dollar today the majority of Chinese border payments and receipts some 53% are in China's local currency with
this percentage increasing as each month passes one of my favorite Financial insiders is Richard Turan an American author who wrote a book about China's digital transformation called cashless China's digital currency Revolution Richard makes the argument that there is a perfect storm brewing for the US Dollars demise and it consists of three factors sanctions debt and technology for decades the world has never had the technology to develop a payment system that escapes traditional US dollar banking but with digital currencies stable coins commodity back tokens and the rise of crypto the technology is already here if you
pay attention to what's happening in global markets there have been large warning signs even in traditional Western media Publications like this article from The Wall Street Journal which warns the dominant dollar faces a backlash in the oil Market at the end of last year JP Morgan announced that 20% of global oil sales were bought and sold in currencies outside the US dollar this absolutely should be a red flag for all Americans as oil has been traded EX exclusively in US dollars for many decades the United States close relationship with Saudi Arabia is one of the
biggest reasons the US dollar has been so strong for so many decades but even the Saudis have proven that not all good things last forever earlier this month it was reported that the Saudis are now open to the Petro un and want closer ties with China moving forward while the US has built a close relationship with the Saudi government by guaranteeing them US military protection for the past 50 years China brings an entire new El to the negotiating table the Saudis are interested in some of China's most advanced products and industries China leads the world
on electric vehicles and has become the dominant player in renewable energy and even launched China's first c919 passenger jet all of which the Saudi government hopes to import into their country to help diversify their economy China and Saudi Arabia have already signed a three-year currency swap agreement last year worth 50 billion un that's equivalent to just over7 billion us to increase non-dollar trade between the two Nations but the Saudis aren't the only ones making big moves on the international stage I made a full video on turkey's decision to formally apply for brics membership earlier this
summer and leading into next month's annual brics meeting I feel this is one of the most important storylines to follow as indicated in this article turkey's bricks Gambit is just what Russia ordered as turkey's president erdogan will be in attendance at the bricks Summit next month in Russia don't forget turkey is a full NATO member and the Gateway between Asia and Europe turkey originally was interested in formerly joining the EU and started the process of EU membership in 2005 but here we are nearly 20 years later and still no EU membership for turkey forcing them
to seek alternative options like aligning with Russia and China and joining the bricks organization as Donald Trump tries to win back the White House this November he has vowed to his fellow Americans that he will keep the US dollar as the world's Reserve currency the politicians are used to making empty promises and I want to bring this full circle and share with you more insights from Economist art lefer who reveals how the US dollars collap as directly affecting Americans living inside the United States today there's nothing that can bring an economy to its knees quicker
and faster than unhinged paper currencies and those unhinged paper currencies lead to high interest rates they lead to high inflation they lead to a huge expansion of the fed's balance sheet we are moving away from monetary stability we are moving towards an unh hinged paper currency record high interest rates inflation huge expansion of the fed's balance sheet this is literally exactly what has been happening to America's economy for the past four years making life for the average American harder and more difficult once again we see a direct correlation to the loss of trust in the
dollar and the rise of Alternatives gold something I've been reporting about for many months now continues to set all-time highs while other Alternatives like Bitcoin continue to gain momentum everyone as you can see the world is shifting moving forward dollarization is something that you will hear as a key strategy for many developing nations as they seek to diversify away from the US dollar and more importantly the US [Music] government for Val
