“The US Dollar isn’t going away any time soon.”
There are a lot of people who will argue the USD is never going away.
They say, “Look at the percentage of world reserve currencies in use. The Euro is going down, more nations are trading into the USD.”
And in fact, in order to trade with the some of the world’s biggest consumers, the United States, nations must trade in dollars.
However, it’s a bit of straw man argument to only look at the system the way it is, or to say the global financial system will always be run the way it is right now.
The system…
Lead by the United States dollar, the global fiat currency experiment will come to an end.
John Rubino shows why in seven charts, below.
Originally posted by John Rubino on his substack:
Anyone with a grasp of human nature in 1971 would have understood that giving governments monetary printing presses untethered to anything real would produce a world awash in debt. And that’s exactly what we got:
For a sense of the scale we’re now working with, consider the concept of “trillion”:
A million seconds ago was May 23rd
A billion seconds ago was 1993
A trillion seconds ago was 30,000 B.C.
The US national debt is now rising by $1 trillion every six months.
As for gold, humanity’s base money for the three millennia preceding 1971, note how its dollar price has tracked US government debt over the past half-century. And this chart only runs through 2023. Adding the most recent 18 months would make it even more dramatic.
The gold/debt relationship isn’t just a US phenomenon. Incrementum calculates that gold is rising even faster against other currencies:
Same thing for silver:
Stampede Into Physical
Now It’s the Miners’ Turn
That’s changing, as FOMO (fear of missing out) erupts in precious metals. 2025 has been nice so far, with GDX up by 52%. But it’s just a taste of what’s coming.
3 thoughts on "John Rubino: The End of the Fiat Currency Experiment, in Seven Charts"
Before becoming a writer and journalist, I worked as a private banker and fintech professional. I received special credit underwriting training in Miami, FL. It was like an intense Master’s program on credit analysis from the University of Florida. In college, we would shut down computers with our financial projections analysis on Lotus 1-2-3 programs. The computers lacked the necessary processing capacity.
Anyway, we were beginning to use derivatives with our larger, more sophisticated clients. The word I learned a lot about was “leverage.” Borrowing money can significantly increase a company’s revenue on a large scale.
I say all that to say this: our nation’s GDP is almost $30 trillion, and our debt is $37 trillion, which translates to a 1.23 debt-to-GDP ratio. I would say that is not bad. For the private sector, that would be a low figure. The rule of thumb has always been that a debt ratio of 2.0 is considered the max. However, one important note: corporations can’t print money like the federal government.
Based on that quick and dirty, I’d say the US is in a good leveraged position.
I started worrying and and speaking about the US debt since we first crossed the $1 trillion dollar mark. No one would listen. Most still aren’t but some awakening is taking place. Too late to fix without severe pain.
This is both exciting and sad. Potential wealth in exchange for the fall of your nation is not a great trade off, but sometimes self preservation of yourself and family looks like that. I hope Jesus returns before it gets this bad because I love my country.