The death of fiat and its consequences

There is growing evidence that the fiat currency era is ending. It will be financially violent. No one in their right minds will want to hold currency and credit through the turbulence.

As fiat dies, prices will rise many times as their purchasing power collapses. Interest rates and bond yields will soar driven by credit risk and inflation, destroying businesses and the very fabric of society. We have seen it many times before. But this currency collapse will be a global phenomenon. It will also end the entire dollar-based financial system, wiping out shadow banks and almost the entire derivatives industry throughout the G7. Banks will have to be both skilled and lucky to survive the chaos.

This article explains why and how fiat currencies die. The consequences will be radically different from those expected by market participants today.