Half the world to dump U.S. dollars in future, causing ‘tsunami of inflation’

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As the world moves away from the U.S. dollar as a world reserve asset, dollars will be dumped globally, causing a “tsunami of inflation” in the United States as the currency returns to American shores. Interest rates will rise accordingly, followed by a “collapse” in asset prices, which would be used to usher in Central Bank Digital Currencies (CBDCs) and The Great Reset.

This dire scenario is the forecast of Andy Schectman, President and Owner of Miles Franklin and an expert on monetary and economic history. Schectman, who has three decades of experience in the precious metals sector, said that the BRICS (Brazil, Russia, India, China, and South Africa) coalition could lead the charge to develop their own reserve currency which would compete against the U.S. dollar.

“The BRICS are, I think, coalescing against the dollar, the perceived hypocrisy and hegemony of the dollar,” he said. “We’ve already been told that the BRICS currency would be pegged to gold or to commodities, the assumption being that gold is one of the commodities.”

The BRICS are meeting in Durban, South Africa in August, and one of their agenda items is the development of an alternative to the U.S. dollar.

Schectman told Michelle Makori, Lead Anchor and Editor-in-Chief at Kitco News, that the dollar’s “weaponization” during the Russian war with Ukraine has hastened the move to “dump” dollars. He suggested that Western sanctions on Russia, as well as expelling Russia from the SWIFT payment system, has had a chilling effect, deterring other nations from using the dollar.

“Since the weaponization of the dollar in 2022, it [de-dollarization] seems to be spinning much, much faster,” Schectman observed.

He pointed to Saudi Arabia, who has recently stated that it is open to accepting other currencies in exchange for its oil, as a potential catalyst for massive de-dollarization.

“All it would take [for de-dollarization] would be for Saudi Arabia to stand up on the stage… [and say,] we’re now going to consider taking up other currencies for oil,” he claimed. “And all of a sudden, bang, all of the countries that had to hold dollars for the last fifty years, no longer have an interest in holding them. And if they all start to dump dollars, and I think it would happen quickly, you would have a tsunami of inflation hitting the shores of the West.”

To find out why oil is so important to Schectman’s thesis, watch the video above

CBDCs and The Great Reset

As dollars return to the United States, this “would immediately create a spike in interest rates to compensate for the loss of purchasing power,” said Schectman. This, he claimed, would in turn cause a “crash” in assets like housing, stocks, and bonds, which have gained in value due to loose Federal Reserve monetary policy.

“We’re coming from a period of time where asset prices were blown sky-high, over the last several years, with more money being created in the last three years than in the history of the country preceding it,” said Schectman.

As asset prices crash, the government would introduce Central Bank Digital Currencies (CBDCs), digital tokens issued and controlled by the Federal Reserve, and which act as fiat money. These would be offered, initially, as a way to help those who had lost their wealth.

“That’s when they would come in and roll out their new CBDC,” he forecast. “This gives them cover to roll it in.”

He pointed to the example of Lael Brainard, Vice Chair of the Federal Reserve and soon-to-be Director of the National Economic Council, who advocates modern monetary theory (MMT), the idea that loose monetary policy can stimulate the real economy, especially through direct cash transfers to households and individuals.

“She [Brainard] wants to do modern monetary policy directly to your iPhone,” Schectman claimed. “It would fit perfectly that this could happen sometime in the next few years, where she could come in and administer a Central Bank Digital Currency from the ashes of what would be new system.”

To find out who Schectman believes is behind The Great Reset, watch the video above