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We are currently going through a huge wealth transition in which the West is losing its grip on the rest of the world. Central banking has controlled the world for centuries, from the French to the British to the American empires, allowing the West to live above its means and the rest of the world below its full potential, as Central banking controlled the stream of commodities into the new world.
Every time an empire passed the torch, it went in the direction of another Western country: that is no longer the case. Many believe that China will usher in the 500-year cycle in which the Asian world will lead the way.
I doubt it somewhat, as China is now no longer attracting Western capital, is close to falling off a demographic cliff due to its one-child policy and is struggling to save its overheated real estate market, which is collapsing. As many unemployed and also affluent Chinese see their wealth melting away, the Chinese dream appears to be the same as the American dream: a dream.
As the world continues to divide into a Western camp and a Bricks camp, all supply chains reorient themselves and the financial system will also have to adapt to this new reality, while we citizens will experience everything through the inflation ghost. The often invisible underlying instigators of that inflation are both the interest rate policies of the central bankers and their debt-driven monopoly, as well as the after-effects of the splitting of the world economy during the current great decoupling of China.
This all happens in shocks and central bankers are always running behind those facts because there is no instruction manual for this phenomenon. All this uncertainty causes people to lose confidence in governments and institutions that actually rest on the foundations of this monetary system. If countries stop supporting the West and stop buying government bonds, governments will struggle to finance themselves, as we can now clearly see happening in the United States.
Organizations like the WEF understand this all too well and have prepared the necessary initiatives for themselves to maintain their wealth and control in the coming new world order, in which we can no longer rely on one hegemonic power, but face several multi-polar players, all with their own agendas and alliances.
One such initiative is the rollout of central bank digital currencies, currencies managed by central banks, with whom you hold an account but never really own your money. On the other hand, there is the world of crypto-currencies, in which you have property rights and financial freedom. It goes without saying that the current rulers will do everything they can to avoid this, because they no longer play a vital role in this trustless, borderless, peer-to-peer monetary system. The CBDC, on the other hand, would usher in an era of financial restrictions. And the inevitable end of your financial privacy.
Through their programmable CBDC, they can control how people spend their hard-earned money. Another horrible idea is a digital social credit system, where people are controlled by AI and there are cameras everywhere. China has already implemented such a system, and we must remain vigilant to prevent our governments from overengineering systems using the current available technology. Many people already feel the effects of spying government agencies and can no longer express their ideas or feelings.
