The Entire Financial System Is Breaking in Real Time

Ladies and gentlemen, the current

monetary system is breaking down as we

speak. And when monetary systems begin

to crack and stress builds up underneath

in the financial system, acts of

desperation from governments, central

bankers, policy makers usually follow

after. So, in this video, I want to walk

you through a broader perspective, a big

picture look about what's really going

on and where we are in the monetary

cycle. One that really goes beyond the

short-term narratives and market moves

movements and price action. And I really

want to focus on something more

structural, okay, and something more

important. And that's basically the life

cycle of monetary systems and where we

are within that cycle today.

This is extremely important because I

don't think people really realize where

we are in this cycle. Now if we study

history and look at the past, one thing

becomes very clear. Every single

monetary system eventually reaches a

point where it breaks down. It happens

over years. it breaks down and then

finally it's reset and a new system is

introduced. Now this is not a rare

occurrence. It's happened many times

before throughout history and it's a

reoccurring pattern that has actually

played out across civilizations around

the world for thousands of years. Okay.

And at the center of that pattern is

always the same problem. It's the

gradual erosion of the currency itself

which leads to the erosion of trust in

the system and in the governments and

then eventually the system collapses and

a new system is introduced. So no

monetary system in history has lasted

forever and more importantly none of

them have failed overnight. It was a

buildup of stress within the system

before they failed immediately. Okay.

And we are currently on the same path.

Slow erosion, rising debt, currency

debasement, and eventually a reset. And

that has historically the sequence of

events that led to every monetary system

reset. Now, before I continue, if you're

looking for a more datadriven breakdown

of financial markets, digital assets,

the broader macro shifts behind this

transition that we're seeing, and really

my long-term positioning and my

long-term thesis behind everything we're

seeing. I go much deeper into that in my

private group and my weekly report. If

you're interested, you'll find the link

in the description below. So when we

really step back and look at the big

picture here and really evaluate and

assess where we are today compared to

previous eras, well, it's increasingly

clear that we are certainly not at the

beginning and we're certainly not in the

middle of the monetary cycle. As a

matter of fact, we're much closer to the

end of it than people think. Now, just

to be clear, that does not mean the

system collapses tomorrow. Although it

could, but it does not mean that. And

the reason is because these things build

up over time. They don't happen

overnight. And more signs will become

visible over time as well. But what it

does mean is today we're actually

operating in the later stages of that

monetary error. And that has been

building for decades, for a long time

since 1971 when we went off the gold

standard. Now, it's important to know

that every monetary system has started

off with disciplined monetary policy and

it worked in the beginning often tied to

some form of hard backing or constraint

to keep governments in check. Whether

it's gold,

limited credit expansion, or even

stricter monetary policy that was in

place when the system was first created.

But over time that discipline fades and

governments become reckless and

governments expand spending,

increase debt levels. Debt levels rise

and central banks begin to really

accommodate that expansion and print

more money and inject more liquidity

into the system and debase the currency

even further. Now, what starts off as a

controlled system eventually transitions

into one that increasingly is dependent

on credit creation, debt expansion, and

liquidity injections into the financial

system just to keep the system

artificially alive on life support. And

that all involves more money printing

and debasing the currency. So, at first,

that whole thing works. growth

continues, markets expand, people are

surviving and getting by, and everything

appears stable on the surface, and asset

prices rise. And this is where most

people fundamentally misunderstand

what's actually happening. And this is

so important because prices during this

period aren't just rising because things

are becoming more valuable

or because of true value creation,

whether it's in stocks, crypto, asset

prices, but prices are going up because

the currency used to measure them in is

being destroyed and diluted because

they're increasing the money supply over

time. And as debt levels continue to

grow and increase, the system becomes

more dependent on intervention from

policy makers. So as the debt levels

accelerate, which they are today, more

debt requires lower rates to refinance

the debt and that requires more

liquidity and eventually

more aggressive policy responses from

central banks and more money printing

just to prevent systemic collapse when

the system breaks down. And it will

break down because the more debt, the

more leverage in the system and

eventually the bigger the contraction.

And then the bigger the contraction, the

bigger the intervention and policy

response. And I believe that's what's

coming in 2026. I talk more about that

in my newsletter and in my private

financial market intelligence group. But

all of this eventually weakens the

currency even more. And that's where we

are today.

So if we bring all of this that into

context today, the current global

monetary system and everything happening

particularly around the dollarbased

system that we have with the US dollar,

we are basically following the same path

that every system was following that

eventually led to a systemic collapse

and then a reset. And the foundation of

all this actually began in the 20th

century 1913 when the Fed was set up.

And the major turning point for that

came in 1971 when Nixon removed us off

the gold standard. That decision

effectively removed the layer of

discipline that basically kept

governments in check because for every

dollar they created they needed to have

gold backing it. They don't have that

anymore. So this allowed them for

unlimited money creation and debt uh

expansion. So from there the debt really

began to accelerate.

Then in 2008

we saw the introduction of quantitative

easing and near zero interest rates

which is the first time in interest rate

history of 4,000 years where we got to

near zero interest rates. And we saw a

scale that hadn't been seen before with

money creation. That marked another

turning point. Coincidentally, they

launched Bitcoin too at that time and

were calling for a new world reserve

currency with Barack Obama and G20

leaders at the United Nations. That QE

thing became a permanent feature of the

system rather than a temporary tool,

quantitative easing, and they will do it

again. And then in 2020,

everything accelerated even further,

even faster and harder. And the wealth

gap continued to increase. We had the

scale of money creation and fiscal

expansion from reckless policy which

reached levels that were extraordinary

and the rich got richer and the poor got

poorer. And all of that stabilized the

system in the short term and gave people

short-term relief and comfort. But it