The post WWII order is crumbling and the petrodollar is dying. The three countries that produce meaningful amount of oil and sell it to China for RMB or barter for goods and services — Russia, Iran, and Venezuela — are all either overtly or covertly being attacked by the US. Simply put, giving the world pieces of paper for real stuff was a great trade for decades … but it may be in the process of ending
Venezuela also has significant precious metal deposits. As our trust in fiat currencies erodes, those become increasingly important. In fact, I find it a hard one to wrap my head around why people have been trusting fiat currencies for decades. I would have expected a much faster decline.
The post WWII order is crumbling and the petrodollar is dying. The three countries that produce meaningful amount of oil and sell it to China for RMB or barter for goods and services — Russia, Iran, and Venezuela — are all either overtly or covertly being attacked by the US. Simply put, giving the world pieces of paper for real stuff was a great trade for decades … but it may be in the process of ending
Venezuela also has significant precious metal deposits. As our trust in fiat currencies erodes, those become increasingly important. In fact, I find it a hard one to wrap my head around why people have been trusting fiat currencies for decades. I would have expected a much faster decline.