by Mac Slavo
Last year Russia began unloading massive amounts of their U.S. dollar reserves.
In the month of December 2014 alone Putin sold some 20% of the country's U.S. Treasury's, a move that further increased tensions surrounding what can only be described as economic warfare between East and West.
Then, as if part of a coordinated effort, this summer it was revealed that China had implemented a similar strategy, dumping half a trillion in dollar denominated assets.
But that's just the beginning of the end for the U.S. dollar. Amid a major meltdown in Chinese stock markets the People's Republic sold off billions in dollar assets last week in what was reported to be an effort to stabilize their collapsing financial markets.
And now, as Russia's economy collapses under the weight of American and European sanctions, including what many believe to be widespread downward manipulation of oil prices, Vladimir Putin is sending a clear signal to the central bank of the world's reserve currency.
A new bill drafted by the President of the Russian Federation aims to completely eliminate the U.S. dollar from the trade of goods:
The implications for such a move, though not necessarily immediate, are serious over the long-term.
That China and Russia are now overtly divesting themselves of U.S. dollar assets signals a significant paradigm shift in global trade.
The dollar may be strong today as panicked global investors rush to the perceived 'safety' of the U.S. Treasury assets. But as the Federal Reserve is left with no choice but to print trillions more to keep financial markets from ruin, the creditors who usually buy those assets are drying up.
There will come a breaking point in the near future, and when that day comes we will see the largest monetary collapse in the history of the world.
And though such things could never happen in the "developed" world, we urge our readers to consider the reality of a scenario that involves a break down of the U.S. dollar.
We direct your attention to Venezuela, where we can see what a total system collapse looks like in real-time:
In such a scenario we can fully expect that our regular systems of commerce will break down to the point that essential goods like food, gas and other critical supplies become unattainable to the masses at almost any price.
Tess Pennington, author of The Prepper's Blueprint, explains what happens within three to five days of the reality of the monetary disaster setting in:
It's difficult to imagine a sustained breakdown across America.
But make no mistake, should the U.S. dollar every come under attack, and it appears that the opening salvos have already been fired by Russia and China, then life as we have come to know it in America will come to a drastic and near immediate halt.