U.S. Dollar Dominance: A History of Strategic Devaluation and Global Financial Resets
1. The 1934 Debt Wipeout: The Gold Reserve Act
The Crisis: The U.S. faced historically high debt levels (relative to the pre-war era).
The Strategy: President Franklin D. Roosevelt devalued the gold price from ~ $20.67 to ~ $35 per ounce.
The Impact: This move instantly devalued the U.S. dollar by 43% against gold. The U.S. government’s domestic debt burden was effectively and unilaterally slashed, while countries and individuals holding dollars saw a sudden loss of purchasing power.
2. The 1971 Gold Standard Collapse: The Nixon Shock
The Crisis: Under the Bretton Woods system, foreign central banks held vastly more U.S. dollars (claims) than the U.S. had in gold reserves (a $60B claim vs. $10B in gold). This *Gold-Dollar Imbalance* threatened a “run on the gold.”
The Strategy: On August 15, 1971, President Nixon ended the dollar’s convertibility to gold. The U.S. later secured the Petrodollar agreement, mandating that OPEC oil be traded only in dollars.
The Impact: The move cemented the dollar’s position as the global reserve currency—required by all nations to buy oil—even after its link to gold was permanently broken. This shifted the financial risk of devaluation entirely onto the rest of the world.
3. The Predicted 2026 Reset: The Crypto Cloud Theory
The Current Risk: The U.S. is again facing two major threats simultaneously: a $37+ trillion national debt (a record high Debt-to-GDP ratio) and a loss of global trust in the USD.
The Alleged Future Strategy: Drawing on claims from a senior Russian economic advisor, it predicts the U.S. will attempt to transfer its debt into the emerging digital finance space, specifically using stablecoins.
The Predicted Maneuver: By using new regulation (e.g., the “GENIUS Act”) to decouple the stablecoin’s value from the dollar (e.g., a sudden 1:10 devaluation), the U.S. could once again wipe out the majority of its national debt*l digitally.
The Conclusion:
The argument is that the U.S. is poised to execute a third, similar financial reset, effectively transferring its debt burden onto those who hold dollar-pegged digital or traditional assets.
Historically, U.S. debt crises have led to global financial restructuring. The key question is: Is the U.S. positioning its domestic debt problem to become the world’s digital debt problem?
Team- Intellex Strategic Consulting Private Limited
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