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Category Archives: dinar daddy

There NEVER was a Kuwaiti Revalue

That’s the truth! There NEVER was a Kuwaiti revalue. In my last post I went into detail as to why. This was a response to an article I read on Mr. IQD’s site. I finally got a response from Mr. IQD 2 days later after I commented on his site. I just want to make some corrections in his assumptions about my motives. I am posting from his response here in this article because he has banned me from his site.

http://mriqd.com/2014/06/30/eureka-ny-times-article-confirms-kuwaits-1991-iqd-rv/

Mr. IQD “Marcus – thanks for your post – but I have decided to not approve it. I do believe that the Iraqi Dinar will eventually increase significantly in value.”

Just for the record I don’t fault you for believing the pipe dream about the Iraqi dinar revalue. You have every right to believe whatever you want.

Mr. IQD Also, I’m deleting your post because I don’t appreciate the scathing remarks you made about me and my website on another blog.

Scathing remarks? What scathing remarks?! You obviously don’t know me very well because you really have no idea how scathing my remarks can actually be. This is what I actually said.

“Now this comment is gone. For some reason it vanished. So allow me to elaborate a little more. I bought Iraqi dinar based on a lot of lies that I believed.”

Notice that I am addressing the fact that there was never a Kuwaiti Revalue not that the comment did not post. You call that scathing?

MR IQD “YOUR STATEMENT THAT YOUR POST SUDDENLY ‘VANISHED’ AFTER YOU WROTE THEM IS INCORRECT AND A FLAT-OUT LIE!!!

All comments on MrIQD.com are ALWAYS “Held for Moderation” by everyone who posts on my site.”

When I posted the comment it was listed in the comment section after I sent it. I read through the whole comment after I sent it off and it was posted as an approved comment. I then refreshed the page that your article was on and my comment was still there. I did not know if you held comments for moderation but there was no “this comment is held for moderation” notice that typically appears when comments are indeed held for moderation.

Please understand I am not calling you a liar. If anything I thought it was a system glitch. The reason for my post was not to address the missing comment. It was to address the things you wrote about. There were gross misinterpretations in your post about the New York Times article. This was not an attempt to straighten out your thinking or your belief system.

When you provided wrong information that said there was a Kuwaiti Revalue I knew that would come up in the search engine. A person who knows nothing about the dinar may do a search and find your post. A person with no currency background may very well believe your post. That same person may purchase dinar based on a total BULL-CRAP belief in a Kuwaiti Revalue. I know this was the number one selling point with me. After I found out the truth I was upset with this lie. So this is a pet peeve to say the least. I was writing that post to would be dinar investors to serve as a warning and nothing more. It was not directed towards you and it was definitely not scathing.

Mr. IQD Therefore, your comments never posted in the first place, to then “vanish” later as you said.

Fair enough. Like I said maybe it was a system glitch of some sort. I don’t know why your article page showed my comment as posted. Maybe it was some bug in the system software. Not really sure.

Mr IQD I have approved your comments many times in the past, and they are still up for anyone to read – but now you will no longer be approved for ANY COMMENT you make on my site.

This is true you have approved my comments in the past. And you even disagreed with some of the things I wrote. Since I cannot reply directly on your site I decided to speak to you through this post. I know your reading this. I just want to thank you for your loyal support!

Mr. IQD What you did by blogging your immature hate comments about me and my site shows the Dinar Community that you are more like a spoiled child who always insists on getting his way!

Well, little child – you won’t get your way here anymore by throwing temper-tantrums!

Immature hate comments? Do you mean like most of your posts about Gurus? This coming from a guy who posts rants on a regular basis. You should notice that I did not resort to calling you names as you have now just done. I find that people tend to start name calling and leaving civil debate behind when they cannot address the facts. There were no hate comments in my post and for the record I don’t hate you.

I read your site because of the way you called out Tony TNT and other Gurus. I knew you still believed in this scam of an investment. But I always believed you were at least fair and sincere.

OH NO! what ever shall I do with all my free time? Mr. IQD won’t let me comment on his site anymore. Life is just not worth living anymore….No one likes being the one that tells little kids that there is no such thing as Santa Clause! This time it really cost me. What ever shall I do? Excuse my sarcasm.

OK let us get real. Your belief in the revalue of the Iraqi dinar is based on crappy speculation which comes from reading between the lines and putting meaning in news articles that is not even there. Banning me instead of discussing the facts put you on the same level of all the other Gurus you tend to criticize. This looks like hypocrisy to me. The only real ratings you got on your site was due to the fact that you went after the extreme gurus that were lying through their teeth. There is no doubt in my mind that you are sincere, but if you think you will ever make any money from this worthless paper then you are sincerely wrong and sadly mistaken.

I know that in your case it is ok if you lost everything you invested. You won’t feel the same pain that a lot of people feel because they over leveraged and sold everything they have to buy dinar. The reason people do this is because they hear Bull-Crap stories like the Kuwaiti Revalue hype and they begin to look at this investment as a sure thing. I don’t hate you. I never did. I feel sorry for you.

I will tell you what I am going to do. I will leave this open and I will not ban you as you have done me. If you feel like you want to post a comment and express the reason for your beliefs feel free to do so here. Your comments will not go into moderation. They will be posted right away. MR. IQD I believe we can have a civil discussion. The ball is now in your court!

 

 

 

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The Kuwaiti Dinar NEVER Revalued!

Earlier today I received an email from Baghdad Invest. He left a link to an article written by Mr. IQD. After reading Mr. IQDs article I Just had to leave a comment. I came back later in the day only to find that the comment had vanished. It is missing! I don’t know what happened but I now feel a need to respond to this in an effort to set the record straight.

Mr. IQD posted an old article he found through a person who goes by the name “MyDigitalDr” Mr. IQD makes the claim that this article validates and confirms that Kuwait did indeed revalue their currency. The link to the article is found here.

http://www.nytimes.com/1991/03/25/world/after-the-war-no-electricity-but-kuwait-reopens-its-banks.html

Here are is a small part that was quoted by Mr. IQD

All other old dinars can be exchanged for new ones on a one-to-one rate until May 7, when the old dinars become invalid. The new official exchange rate is 3.47 American dollars for one new Kuwaiti dinar.

Mr. IQD goes on to say the following.

Now you can know with CERTAINTY that Kuwait did in fact “RV” their Currency for 3.47 KWD to $1.00 USD – and friends I’ve been searching for this fact based article for years, and poof, out of the blue, “MyDigitalDr” on LJ’s Board found it and posted it.  So, thanks to you, whoever you are.  Also, thanks to the NY Times for including it in their Archives – that is really awesome!

To those out there who claim that it is just not “possible” for Iraq’s Central Bank to “RV” the IQD because it has “never been done before” – THEN TELL THEM TO READ THIS NEW YORK TIMES ARTICLE, AND SEE HOW THEY RESPOND!!!…

http://mriqd.com/2014/06/30/eureka-ny-times-article-confirms-kuwaits-1991-iqd-rv/

Well I left a response in the form of a comment and it was rather long. I made every effort to be polite. I came back later and found that my comment was no longer there. So I will now include my original comment

The Kuwait RV was one of the reasons I invested in the dinar in the first place. It was articles like this that caused me to have confidence in my investment. On the surface this does look like an RV. But the fact remains that Kuwait never revalued their currency. Kuwait redenominated their currency. What is an RV? It is a policy decision from the central bank to change the value of its currency. It can only happen to pegged currencies. This is because the market determines the value for all those currencies that float. This is the standard definition of an RV.

The Kuwaiti Central Bank NEVER adjusted the rate of the dinar. The rate plummeted when Saddam invaded the country and took over the central bank. Everyone was instructed to trade the Kuwait dinar for Iraqi dinar in October of that same year. Speculation drove the price down. Once Iraq was kicked out of Kuwait it took 7 months to get the country up and running again. They had to put out fires because the oil wells were set ablaze. The value of the Kuwaiti dinar was reestablished after Iraq left. The Kuwaiti central bank redenominated the currency because Saddam left with a lot of Kuwaiti dinar. But in the exchange there was no change in value.!

Even Wikipedia acknowledges that this was a redenomination and not a revalue. This scenario is a lot different then what gurus say is going to happen to the dinar. The claim is the dinar will revalue which is due to a policy decision. That is not what happened in Kuwait. The Kuwaiti dinars change in value was due to speculation in the currency itself. It is nothing the central bank controlled. When the country was invaded the value fell because no one new Kuwait’s future. When Kuwait recovered the value came back. The central bank had nothing to do with the change in value! It was perception of a fiat currency and the fact that people lost faith in the Kuwaiti dinar that changed its value.

So there was never a Kuwaiti revalue! And given the very definition of revalue it has never happened before on the scale of what people expect from the dinar. There has never been a revalue over 50 percent.

We need to also consider that Iraq has over 34 trillion dinar in circulation. The dinar is backed by U.S. dollars. They don’t have enough dollars in their reserves to back any kind of significant revalue. Given the fact that there is only around 12 trillion U.S. dollars in America’s M2 money supply it is highly unlikely that Iraq will ever get enough reserves to revalue to any significant level

At least 28 trillion of the Iraqi dinar in circulation today is outside of Iraq’s border. When dinar is exported it is exchanged for US dollars. That money goes straight into their reserves. I agree that Iraq will take the path of Kuwait. They will redenominate their currency. When they do this they will not honor the currency outside of their border and they will cite their currency laws as the reason. Then they get to keep all of that reserve that was collected over the years due to the export of their currency.

Now this comment is gone. For some reason It vanished. So allow me to elaborate a little more. I bought Iraqi dinar based on a lot of lies that I believed. I fell for it hook line and sinker and at the time I knew nothing about how currencies actually worked. I spent 4 years researching economics after I purchased dinar.

Two years after my purchase I am researching economics and I discovered that there was never a Kuwaiti Revalue. In fact I began to research the other lies I was told only to find out that nothing that I was told was even true! That is when I decided to sell my dinar and I started posting the truth about this fraudulent so-called investment on my blog. I spent about two years posting the facts instead of make believe wishful thinking. So now let’s go a little deeper.

The paragraph in question is this one

All other old dinars can be exchanged for new ones on a one-to-one rate until May 7, when the old dinars become invalid. The new official exchange rate is 3.47 American dollars for one new Kuwaiti dinar.

Notice that they are changing out an old currency for a new currency. This is a redenomination it is not a revalue. Revalues are slight adjustments in the value of currency and they only happen to pegged currencies to combat inflation. Now notice these two paragraphs from the New York Times article.

The Central Bank is canceling the value of Kuwaiti dinars that were seized from the Central Bank and put into circulation by the Iraqis. The invalid serial numbers were posted today in front of all banks in the city.

All other old dinars can be exchanged for new ones on a one-to-one rate until May 7, when the old dinars become invalid. The new official exchange rate is 3.47 American dollars for one new Kuwaiti dinar.

So all the dinar was exchanged with no change in value! One old Kuwaiti dinar was equal to one new Kuwaiti dinar! Wikipedia says,

The third series was issued on 20 February 1980, after the accession to the throne of Emir Jaber al-Ahmad al-Jaber al-Sabah, at that time in denominations of 1⁄4, 1⁄2, 1, 5 and 10 dinar. A 20 dinar banknote was introduced on 9 February 1986. As a result of the state of emergency after Iraq’s invasion of Kuwait, this series was ruled invalid with effect from 30 September 1991. Significant quantities of these notes were stolen by Iraqi forces and some have appeared on the international numismatic market.

http://en.wikipedia.org/wiki/Kuwaiti_dinar

So the fourth series was introduced with no change in value! The same denominations were issued in a new series. This is because Saddam had stolen a lot of Kuwaiti dinar. That was the reason for the redenomination. So let’s recap the actual events

  • 1. Saddam’s forces invade Kuwait and they over run the country.
  • 2. While some people were captured a lot of people flee taking with them as much money as possible (Kuwaiti dinar)
  • 3. Because Saddam’s forces occupy Kuwait the value of their currency begins to fall. Those outside Kuwait exchange dinar for a lower rate.
  • 4, In October of that same year Saddam makes the Kuwaiti dinar illegal and he orders that all Kuwaiti dinar must be exchanged for Iraqi dinar. He pegs the Kuwaiti dinar to the Iraqi dinar. As a result the Kuwaiti dinar which is still in circulation falls to its lowest level.
  • 5. American forces liberate Kuwait. When Saddam’s forces leave they take a lot of Kuwaiti dinar with them. This dinar was stolen from the Kuwaiti Central bank.
  • 6. The Kuwaiti government is put back in power and the Kuwaiti dinar is restored to its original price before the central bank was shut down because of Iraqi troops.
  • 7. There was a redenomination for the sole purpose of invalidating the entire dinar supply that was stolen from Kuwait. The important point is when the redenomination occurred there was no change in value. The old dinar was worth just as much as the new dinar. Here are two more articles to go with the New York Times Article.

http://articles.latimes.com/1990-09-25/news/mn-1116_1_kuwaiti-dinar

http://articles.latimes.com/1991-03-24/news/mn-1395_1_kuwaiti-banks

This is a lot different then what people are claiming the Iraqi dinar is going to do! Gurus claim that a policy decision made by the central bank will raise the value of the over 70 trillion dinar anywhere from 100,000 to 400,000 percent. And this has never happened before! This is not what happened in Kuwait! It will not happen for obvious reasons. First the amount of hyperinflation that will come from a move like this will destroy the currency. Second nations want to have the lowest currency because it helps them with exports which strengthens their economy and provides jobs.

So if this post came up during a Google search and you friends are trying to tell you to buy dinar or you are new to the dinar world, I am providing this warning for your benefit. Run away from this so-called investment! There is nothing but hype and rumor that is repeated over and over again just to sell this worthless paper.

If you still believe the dinar will revalue after reading the articles I posted or watching events like ISIS unfold in Iraq then for one last time I appeal to your common sense. It is time to set aside all the lies and seek out the truth. Wishful thinking is not going to make you rich. Denying facts won’t help you get the things in life you want. Pipe dreams filled with hype have no chance of coming true. It is high time to face reality and set aside the foolish notion that over 70 trillion dinar is magically going to be worth anywhere from 70 trillion to 280 trillion U.S. dollars. I know what I am saying is not popular and it is not what dinar investors want to hear. But God as my witness, I am speaking the truth! ultimately it is the truth that will set you free!

 

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Dinar Recap

I know it has been a while since I wrote an article for this site. I have been busy going through my other site on global economics. The site I am referring to is BVAWE. I have been fixing links that no longer work. I have been replacing pictures that had an expired URL and in its place was a void blank empty box. I have been fixing videos that no longer play and adding new videos that are very good and add to the collection I have up there already. Given the size of the site it has been a tremendous undertaking.

Some of those articles use to be on Iraq Currency Watch. (IRC) When I closed down ICR I moved them over there. When I opened up Iraq Currency Watch once again I left them alone. I did not move them back. BVAWE was in need of major maintenance and now that work is completed. I did not change the content of the articles. I just updated everything.

Now I want to recap and review some of the things I wrote about in this last quarter concerning the dinar. I just want to talk briefly about some points and maybe make a few new ones. I just want to briefly share some observations.

In the last two articles I took on the global currency reset theory. We exposed some of the problems with this theory. It has some of it’s origins in NESARA. The reset ideas are identical to NESARA. In addition this GCR theory seems to take advantage of global ideas and changes that are being considered and it is blending these ideas with the reset propaganda. This seems to give this theory some legitimacy on the surface. In the end it won’t increase the value of the dinar. People who know little about economics seem to fall for the GCR when they see articles about SDR’s and articles about replacing the dollar. So I want to briefly cover what happened globally and how we got to this point.

For a few decades the United States went into a banking deregulation phase. It all started in the 80’s with the savings and loans institutions. Some of these regulations were put in place after the Great Depression. These regulations were meant as a safe guard to protect us from another Great Depression. The last bit of regulation vanished with The Commodity Futures Modernization Act. This was signed into law by bill Clinton. It was one of the things that paved the way for the housing crisis and the 2008 melt down.

In 2008 everything came to a head. By the time the dust cleared 50 million people fell below the poverty line and 30 million people were unemployed. Millions of dollars in wealth just vanished in thin air partly because in our monetary system debt is monetized. This had a global impact. This means that when this crash hit in it’s full force the amount of currency that was in circulation fell because debt was being removed from the books due to bankruptcies and debt cancellations.

Some wealth was also lost due to perceived values in the housing market. This also had major global impact. To make matters worse the United States now had a struggling economy and some sort of recovery was now needed. So over time the interest rates were lowered and we went into something called Quantitative Easing. (Q.E.)

The Federal Reserve started buying $600 billion in mortgage-backed securities, but by March 2009 it held $1.75 trillion of bank debt and mortgage-backed securities. It acquired this debt by printing more money and purchasing the securities. The Federal Reserve started to print money and this began to make up for the amount that was lost due to debt monetization. This also had the added impact at the start of Q.E. of lowering the dollar’s value. So the amount of currency lost due to a contraction in Fractional Reserve Banking was being made up by expanding the base money supply.

http://en.wikipedia.org/wiki/Quantitative_easing

This in turn made nations like China, Russia, India, and Brazil mad at the U.S. because as our dollar decreases in value it levels the playing field and lowers the price for the U.S. to exports goods. At the same time it raises the export costs for nations like China. America’s imports cost more because of this. The cost to export goods was beginning to rise in other countries and as a result the currency wars began. These nations would lose some of their export advantage. This was the strength of their economy. Their economies already took a beating in 2008 due to the global impact of the melt down and now the U.S. was increasing their currency supply.

So as a result China begins to call for a new reserve currency to replace the dollar. The only problem with this plan seems to be at this point there was nothing out there that could replace the dollar. As the New York Times points out,

“The world is trapped into buying dollars because the United States market is big, liquid and reliable as a safe haven. And America is trapped in an addiction to cheap credit, with foreign demand for the dollar allowing the nation to spend well beyond its means.”

http://economix.blogs.nytimes.com/2014/03/26/qa-why-the-dollar-remains-the-reserve-currency/?_php=true&_type=blogs&_r=0

This article also points out

“Moreover, the U.S. racked up a lot of government debt and the Fed began flooding the global financial system with dollars. The more dollars there are out there, the less value they should have. But the exact opposite happened. The dollar, if anything, gained slightly in value.

Contrary to all expectations, the U.S. dollar’s position as the world’s dominant reserve currency has been strengthened by the crisis. The world became even more dependent on the dollar than it had been before the crisis.”

This happened during a time when the euro had it’s own problems. The truth is there are no good alternatives to the dollar! China still insists that the worlds reserve still needs to change and that it should no longer be the dollar.

http://economix.blogs.nytimes.com/2014/03/26/qa-why-the-dollar-remains-the-reserve-currency/?_php=true&_type=blogs&_r=0

Now a call has emerged to use the International monetary fund’s Special drawing rights or SDR’s as the new international currency. You can think of SDRs as an artificial currency used by the IMF and defined as a “basket of national currencies”. SDRs are allocated by the IMF to its member countries and are backed by the full faith and credit of the member countries’ governments. The IMF uses SDRs for internal accounting purposes.

An SDR is an international type of monetary reserve currency that was created by the International Monetary Fund in 1969. It’s purpose is to operate as a supplement to the existing reserves of member countries. It was created in response to concerns about the limitations of gold and dollars as the sole means of settling international accounts under Bretton Woods. SDRs are designed to augment international liquidity by supplementing the standard reserve currencies. Now there is debate as to whether or not SDR’s should replace the U.S. dollar.

http://www.federalist-debate.org/index.php/component/k2/item/115-the-debate-about-the-sdr-as-a-global-reserve-currency-and-sdr-denominated-securities

Now all of these events have become mixed with speculation and wild conspiracy theories that say the dollar is going to crash overnight and that the IMF is calling for a NESARA like Global Currency Reset. Lyndsey Williams has claimed that this GCR event would be announced sometime during the first quarter of 2014. Well I am writing this on April 2nd and there has been no announcement of said event. Here is Lyndsey’s prediction

Gold and silver sellers/gurus have jumped on this by hyping a crash in the dollar and they have been urging people to buy Gold and Silver as a hedge of protection. The date for this overnight crash has been moved to the end of June 2014. When that time arrives or gets close the date will move again. Dinar gurus have taken this a step further by saying that the so-called GCR will bring a revalue of currencies like the dinar and dong when the dollar finally crashes overnight.

So can you see why it is hard to separate fact from fiction? After all China is really calling for a replacement to the U.S. dollar. I hope you can see why people get confused about what parts of this whole conspiracy are real. So let’s cover some things. I know I said some of this in the past but it bares repeating.

The first observation people make is that the U.S. got in this mess by over printing their currency. If that is indeed the case then another over printed currency is not going to replace the dollar. Here are the amount of currencies some of these nations have. China – 110 trillion Yuan, Russia – 29 trillion Ruble, India – 20 trillion Rupee, Vietnam – 3,519 trillion Dong, Euro zone – 9.2 trillion Euro. Now compare that with the U.S. dollar which is 11 Trillion. (M2)

Can someone please tell me why these other countries with over inflated currencies will replace the dollar? After all they seem to have the same problem finding the off switch to their printer! The truth is the dollar has gained strength since the 2008 meltdown and everyone has expected the exact opposite! Check the link below.

http://www.forbes.com/sites/billconerly/2013/10/25/future-of-the-dollar-as-world-reserve-currency/

It won’t be easy replacing the dollar around the world. Right now there are several countries where the U.S. dollar is the official currency of that nation. Some of these countries are The Bahamas, Belize, Bermuda, Cambodia, Cayman Islands, East Timor, (tiny island country between Indonesia and Darwin Australia) Ecuador, Federated States of Micronesia (South Pacific) Marshall Islands, (near Micronesia) Organization of Eastern Caribbean States, Palau (east of the Philippines) Panama, and Zimbabwe. There are other countries that use the dollar along with their currency as well.

http://www.johntreed.com/foreign-countries-where-the-U.S.-dollar-is-the-official-currency.html

http://www.nytimes.com/2012/04/25/world/africa/using-us-dollars-zimbabwe-finds-a-problem-no-change.html?_r=0

So this is not just a matter of the dollar being used as a reserve by central banks. This is also a matter of nations and their citizens using the dollar around the globe for commerce and exchange. Also consider that oil is purchased and sold around the world in most places only using the U.S. dollar. All of these things add up to make the dollar stronger than most people realize. It is not just a reserve currency! It’s a petro-dollar. It’s the official currency for nations around the world.

If America’s economy recovers they will raise interest rates and put an end to Q.E. The dollar would become even stronger as a result. but if they take those actions now it would be at the cost of any economic recovery in America.

There are other portions to this GCR conspiracy theory. Some believe that the GCR is part of bible prophecy so they accept it on that merit alone without researching anything else about the GCR theory. Some believe that an overnight dollar crash and a GCR event will be a prelude to the mark of the beast. Let me just say here and now that this conspiracy theory has absolutely nothing to do with bible prophecy. My personal research into the mark of the beast prophecies seems to indicate something totally different.

Don’t get me wrong. I am not saying that the dollar will never be replaced as a reserve currency. I am not saying that the dollar will not weaken. The dollar has not been the only currency used as a reserve in the past. It could very well be replaced. Right now the dollar is stronger than people think but that does not mean it will remain so.

http://www.zerohedge.com/article/history-worlds-reserve-currency-ancient-greece-today

What I am saying is that there will not be an overnight crash that makes the dollar totally worthless around the world. It won’t be shoved out of central banks overnight and replaced with some new global super currency put together by the IMF. If and when the dollar is replaced it will be a gradual process. It will take time. It could even be years. It will not be an overnight event like GCR promoters claim!

What I am saying is that there will not be an overnight crash of the U.S. dollar that will have an end result of making every dinar holder wealthy beyond their wildest dreams! 11 TRILLION U.S.DOLLARS ARE NOT GOING TO CRASH OVERNIGHT AND MAKE THE 34 TRILLION DINAR OUTSIDE OF THE BANK OF IRAQ WORTH 100,000 TIMES MORE!!!

Can you see the absurd notion in this belief?

By the way think about this. Right now Iraq has 34 trillion dinar outside of the bank in Iraq. The exchange rate in 2009 has been 1170. It moved four pips to 1166. So it has been a pretty steady exchange rate since 2009.

In 2009 Iraq had 21 trillion 776 billion dinar outside of their banks. Today Iraq has over 34 trillion 500 billion outside of the banks. So in 5 years Iraq added about 14 trillion dinar to their circulation outside of the banking structure alone! So the questions are

1. How come hyper-inflation has not consumed the dinar?

2. How has their exchange rate remained so stable? After all it is raised to fight inflation right? How come there has been no movement?

The answer to me is obvious. They have been exporting their currency. I have been able to calculate a very conservative number of slightly over 25 trillion dinar outside of Iraq’s border. I have read in some places and T.D. claims Iraq exported 30 trillion. If that is the case then this means that there is really only about 4 to 5 trillion in circulation within Iraq’s borders. Not bad for a currency that is only supposed to be used in Iraq! This is why hyper-inflation has not collapsed the currency. This is why the exchange rate has been so stable. This is why their reserves have been growing at a faster pace than normal. They have been exporting their currency!

This dinar investment/scam is bigger than most people realize. When I look at my analytics of people who view just my little dinar site I get hits from all over the world. Judging by the amount of people who visit this site the dinar investment is really big in Canada, Malaysia, United Kingdom, Australia, Puerto Rico, Singapore, Germany, India, Pakistan, Philippines, France, Indonesia, Croatia, Sweden, and Mexico.

These countries visit this site on a regular basis. These are not governments. These hits are from private citizens! I suspect that 25 to 30 trillion dinar are spread out over America and these groups of people too. This is massive and it is global! They all gave their dollars to Iraq in order to get dinar! In countries where the wages are lower and the cost of living is lower the investment in the dinar is probably smaller too. I suspect that millions of people have this currency. If and when Iraq does finally redenominate it will become really big news. It will impact millions.

Predictions from Zahlid

About three months ago a man appeared in the dinar community by the name of Zahlid. He claimed to work for the central Bank of Iraq. He claimed that Iraq was going to redenominate by March 15th 2014. He then said it would be by the end of March. Now it is April and there has been no redenomination. There has been no announcement of a soon to be redenomination. I have had my suspicions about him. He had an I.P. address located in Ireland.

Typically people who live in Ireland don’t work for the Central Bank of Iraq. In addition he made some jokes about camels and Iraqi people. Someone from Iraq is not going to do that.

I used the same test I give gurus. I wait until the prediction expires. If the event does not happen as promised then I consider the guru false. His prediction did not come to pass. I believe he does not work for the CBI as an employee or consultant.

I did say that I think he was legit. I did not say this because I believed it with a certainty. I said it because I wanted to see if that statement would anger some of the hardcore dinar community. The hate mail I got was unbelievable. For me this was a simple experiment. It amazes me that people don’t hold dinar gurus to the same standard that they held Zahlid too. While I had a nagging suspicion that this guy was a nut. It seems that no one that is invested in the dinar gets as angry about the constant guru lies. They just wait for the next prediction and start a cycle of hope all over again. I am not talking about the TNT tony’s that are out there. But the other less known predictions

Anyway to me it is now official. Zahlid is a made up name and this person lives in Ireland.

True Freedom

One of the amazing things that I noticed about selling my dinar was how liberating it was. I did not even realize the bondage I was in while I held dinar. It was only after I sold it that this became apparent to me. This is because I use to believe in the any minute revalue theory. I thought I would be wealthy soon. As a result I passed up contract work in my field. I passed up overtime. I did not go on vacations and trips with my family. My life became a constant consuming watchful eye on what this currency was going to do. It became my only concern. I could have made other investments that would have prospered. I could have accepted jobs and contract music work. I could have got overtime.

I passed all that up because I thought I was going to be rich and I did not need those things. I started this blog and devoted several hours to it. I did not place ads on it. I did not make money from it because I thought that I was going to have more money than I could spend and everything was going to be ok. In my mind I would start living my life again once this thing revalues.

You see in the end this so-called investment costs you more than the money you spend on it. It costs you your time. It costs you other opportunities that may come your way to make more money. For some people it cost them their family. For some it cost them their marriage. This whole thing is a bad deal all around. It places you in bondage and it steals everything from you! My true freedom came when I sold this crap and got on with my life.

I began to pursue other things. One of the things I have learned is true wealth is not measured in money. Wealth can also be measured in blessings. There are other things in life that make you wealthier then you realize!

Conclusion

This will be my last post for a while. I have other things that I am going to focus on for a while. If something major happens in the dinar community then I will come back and write about it. If Iraq begins a redenomination process I will come back and write about it. For now it is on to other things.

If you want to know more about my analysis of the Global Currency Reset or the 2008 meltdown then I would suggest you check out my other site. The Rabbit Hole series covers this in greater detail. There are third-party videos and links that are very good. This will allow you to do your own research

The Rabbit Hole part 1 Talks about the events as they unfolded in 2008. It also introduces CMKX and talks about it’s role with the Iraqi Dinar.

http://bvawe.wordpress.com/2011/08/01/the-rabbit-hole-part-1/

The Rabbit Hole Part 2 Covers the deregulation that happened and all the things that aligned to create the melt down. It also covers Basel I, Basel II, and Basel III. It goes into the reasons for these international accords

http://bvawe.wordpress.com/2011/08/01/the-rabbit-hole-part-2/

The Rabbit Hole part 3 gives a background on the Federal Reserve and the Exchange Stabilization Fund and the role it plays with the United States Treasury. It also covers information about oil and more information about CMKX.

http://bvawe.wordpress.com/2011/08/03/the-rabbit-hole-part-3/

The Rabbit Hole part 4 explains CMKX and NESARA. It covers the people behind the scenes of the government and reveals movers and shakers. It also talks about how NESARA, CMKX and the Iraqi Dinar are linked. It goes into why I consider them conspiracy theories.

http://bvawe.wordpress.com/2011/08/04/the-rabbit-hole-part-4/

The Rabbit Hole part 5 is the conclusion of this series. It ties everything together and talks about the global economic community. By the end of the series you get a crash course in economics and international trade. You learn about the petro-dollar and other events that shaped the global community.

http://bvawe.wordpress.com/2011/08/04/the-rabbit-hole-part-5/

This Rabbit Hole series contains dinar information. These articles use to be over here on Iraq Currency Watch. I wrote them when I still believed in the revalue of the dinar. Unless something bizarre happens. It should be a very long time before I write for this site again.

 

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Global Currency Reset part 2

The wisdom of the prudent is to give thought to their ways, but the folly of fools is deception.

Proverbs 14:8 NIV

In the last post we talked about the origins of the Global Currency Reset. We talked about and exposed NESARA for the conspiracy theory that is. We dealt with some of the many definitions to the terms Global Currency Reset or GCR. The article was getting kind of long so I decided to stop at a certain point and continue later with more information in a future article. I am jumping in the middle of a thought process here and a lot of information is already covered in the previous post. So for that reason I strongly suggest that you read The Global Currency Reset Part 1 before you read this article. Reading part 2 only is like going to a movie with a detailed plot and coming in a little after the middle.

China

The IMF plays a major role in one of the definitions of the GCR. According to Lyndsey Williams the IMF is going to force all nations to revalue their currency by the end of March and the values will be based on other things. The dollar will be worth a lot less as a result. See Dinar Update 3

Not only is this absurd it is not even practical. As I said before people only attribute the effects of over printing currency to America. They ignore the effects it has on all other nations that do the same thing as if America is the only one that is going to suffer for this practice and all other nations are immune.

While it is true that America has 11 trillion dollars. China printed over 110 trillion Whan!

http://www.tradingeconomics.com/china/money-supply-m2

That is 10 times the amount of America’s dollar

“Yuan’s Real Exchange Rate Undervalued 5%-10%, IMF Report Says”

http://www.bloomberg.com/news/2013-08-01/china-s-real-exchange-rate-undervalued-5-10-imf-report-says.html

The reason why China does this is due to the fact that their economy depends on exports. If china raises their currencies value in a GCR event then that would translate to higher costs to manufacture goods. This would decrease exports! By the way this applies to all the BRICS nations as well as it would apply to every other country. You are not going to get everyone to comply. There will be some defectors and that will cause everyone to ignore arbitrary IMF imposed GCR rates.

In the past China has always undervalued their currency. This acted as a 30 to 40 cent tariff on all goods coming into their country. This allowed the exports to increase and at the same time allowed them to control imports. Countries with over printed and inflated currencies have a greater chance to export goods because their currency values are low and that keeps manufacturing costs down. This may be one of the reasons why they inflate their currency in the first place.

These nations are not going to surrender the sovereignty of their currency value to the IMF. The IMF won’t be able to force China to raise it’s currency’s value especially based on some fictitious GCR event. And in any case all those countries would need to do to lower their value once again is to print even more currency. Is the IMF going to tell each nation how much currency it can print too? This notion is ridiculous to say the least.

As far as revalues go china serves as a great example. Let me paraphrase and bring up some things Jack pointed out

“Over the past decade, China has “Revalued” the Yuan by around 35% vs the dollar and in total. This was spread out across multiple steps. This is what real life revalues look like. A couple of percentage points here, and another couple of percentage points there a few years later. The most recent being 5% from 2011-2013. And even today, even with China’s deliberate under-pegging aberration, you’re still only talking about a 5-10 percent undervalued repricing . About 15 percent is the absolute highest estimate which is nothing even remotely close to a 100,000% REVALUE! The Guru’s false pumping of the dinar by trying to pretend the Dinar “MUST DESERVE” a 1980′s exchange rate and ignoring the fact its money supply is now 4,000 times higher than what it had in the 1980′s is ludicrous. This is the prime reason its rate fell in the first place!

However as long as China is a net exporter, they simply won’t want a massively stronger currency as it will hurt Chinese businesses by making it relatively more expensive for non-Chinese to import goods from China in all future trade. Having a stronger currency is no good if it kills off export growth!”

It is also true that china is experiencing some problems because of lack of environmental controls. China has cancer villages and many other environmental issues to overcome. I have also written an extensive report on China and their current geo political problems which can be found on my other blog.

http://bvawe.wordpress.com/2013/11/24/the-real-battle-part-7/

https://maps.google.com/maps/ms?msa=0&msid=207156850501906471306.0004da7c080a323c331b3&dg=feature

This is why so many nations are mad at the Federal Government for Quantitative Easing. Because this lowers the value of the U.S.dollar and it serves to level the playing field for exports. It affects the exports for every nation that has a low currency value. Imagine what would happen to America’s economy if the U.S. dollar suddenly dropped significantly and hyperinflation came. The amount of Imports would suddenly decrease as their prices would soar. Now how would that effect china if all currency was reset and China no longer has it’s edge and the U.S. had a significantly lower value attached to their currency?

U.S. interest rates have been almost zero since the economic crisis began back in 2008. Gold and silver will react negatively to the news of a possible imminent increase in interest rates. This is because any increase in interest rates will strengthen the dollar. Q.E. is also an effort to boost the economy. When the unemployment rates drop and the U.S. economy finally begins to really recover then I expect the Federal Reserve to ease up on Q.E., and I expect interest rates to rise and the dollar to become stronger as a result. When this happens it should affect the price of gold and silver, but the people who sell precious metals and push this GCR won’t tell you that.

Iraq

Here is Iraq’s current money supply

Iraq money outside of the banks = 34 Trillion

Iraq M0 = 70.9tn Dinar

Iraq M1 = 71.3tn Dinar

Iraq M2 = 85 Trillion

http://www.tradingeconomics.com/iraq/money-supply-m0

The reason guru’s won’t repost this or even talk about it is pretty obvious. Iraq still has over 71tn physical banknotes alone and there is little difference between M0 and M1 due to the primitive nature of Iraq’s banking system.

Their currency is so inflated that there is no possible way for them to revalue to even a penny! No GCR event can overlook this. If there was a GCR event and the IMF raised the value of the dinar as people claimed then it won’t be long until hyper-inflation would collapse the currency entirely due to the amount in circulation!

In addition to this Iraq announce that their plan is one of redenomination. Here are some of the designs they have considered for their new currency.

New Currency Design

New Currency Design

oh wait……My Mistake, Those are really Sam I Am bucks…They are offered out free of charge so that Dinar Gurus can buy a clue! Here is the new dinar.

dinar

Oh wait that is not it either..as the youth would say My Bad! Here is the New Dinar

Dinar 2

Now this is not the new dinar from the CBI that is the ISIS dinar. Check the links below.

http://www.iraqinews.com/baghdad-politics/abu-risha-isis-issue-new-currency-in-anbar/#axzz2uAggyNdV

http://pamelageller.com/2014/02/al-qaeda-iraq-printing-currency-featuring-photo-osama.html/

OK here is the New Dinar

4472

This is being shown as the new dinar. Actually this is the dinar that was in circulation back when Ahmed Hassan al-Bakr was president. He is the guy that was in charge before Saddam took over.

http://en.wikipedia.org/wiki/Ahmed_Hassan_al-Bakr

look at the one dollar bill. The note on the bottom left. Now look at this eBay auction which is a dinar note from 1973. It is the exact same note.

http://www.ebay.com/itm/1-DINAR-Banknote-IRAQ-1973-Al-Mustansiriya-Madrasa-Refinery-Pick-63-UNC-/380404193527

This has been shown and displayed as new dinar on a few sites. This is just a small example of the deception that is out there. Iraq does have a plan of redenomination. I don’t think anyone has seen the new notes yet. I do believe that they are already printed, but that is only my opinion.

Religious Point of View

There are those who present the GCR as biblical prophecy. It is believed that this event that will move everyone closer to the mark of the beast and a one world economy that the Anti-Christ will rule. Christians who know little about biblical prophecy have fallen for this. This is one of the main reasons this group invested in the dinar. Who can argue with biblical prophecy?

First the mythical GCR has nothing to do with biblical prophecy and that notion is really false doctrine in that regards. I have studied the bible for many years and I love to research and look at biblical prophecy. This GCR is total Bunk when it comes to actual bible prophecy! It has nothing to do with it. The mark of the beast is totally different and it is issued during the time of the Anti-Christ by the false prophet. Even though a lot of dinar gurus are false prophets those are not the ones the bible is speaking of.

Buzz Words

Most people can’t really explain the mechanics of a GCR beyond using buzz words like Global Reset, Fiat Currency, Fractional Reserve Banking, and Linear-Thinking. These are just some of the buzz words I have seen on other sites. Let me provide some definitions to what these buzz words actually mean

Fiat Currency: Fiat is the Latin word for “it shall be”. Most currencies were based on physical commodities such as gold or silver at one time, but fiat money is based solely on faith. Fiat currency is money that a government has declared to be legal tender, but the fiat currency is not backed by a physical commodity and it has no intrinsic value. The value of fiat money is derived from the relationship between supply and demand rather than the value of the material that the money is made of or the commodity it represents.

The U.S. dollar is considered a fiat currency because it is backed by nothing. The Iraqi dinar is not considered to be fiat because it has reserves. BUT the sick joke is 98 percent of what backs the dinar is the FIAT U.S. DOLLAR! And this gives the dinar value how?…….So how will the GCR regulate a currency that gets it’s value from the U.S. dollar? If the dollar falls then the dinar falls too! So does the Whan and many other currencies around the world. The dollar won’t fall while every inflated currency backed by the dollar rises! This is absurd!

“The Congress has specified that Federal Reserve Banks must hold collateral equal in value to the Federal Reserve notes that the Federal Reserve Bank puts in to circulation. This collateral is chiefly held in the form of U.S. Treasury, federal agency, and government-sponsored enterprise securities.”

This is how gold breaks down. There is 166,500 tons of gold in the world. 18 percent of that or 32,000 tons is held by Central Banks for reserve. Out of that the U.S. has 8,133.5 tons of gold which makes 72 percent of the reserves held by the U.S.

The Federal Reserve Bank of New York holds 540,000 Gold bars alone. Not bad for a fiat currency.

http://demonocracy.info/infographics/world/gold/gold.html

http://en.wikipedia.org/wiki/Gold_reserves#Officially_reported_gold_holdings

http://www.federalreserve.gov/faqs/currency_12770.htm

Now compare that to the dinar that has a grand total of just 2 percent gold in their reserves. The rest of their reserves are U.S. dollars

This is not even taking into account the petro dollar system which the U.S. put into play in 1973. This petro dollar system is one reason why the dollar has out lived the fiat currency life span. For more information on the petro-dollar system look at this article I wrote 2 years ago explaining it in detail. Watch the videos too

http://bvawe.wordpress.com/2011/07/23/the-role-that-oil-plays/

Linear-Thinking: If you are accused of “Linear Thinking” then you don’t understand the Global Currency Reset. What this really means is you pay too much attention to printed currency supplies and that has you caught up from seeing the truth.

If you are not a Linear Thinker then you know that currency supplies don’t matter and nations can have as much of it as they want. It won’t make any difference. Only the U.S.A. will be penalized for having too much currency because they are evil and bad………. If you can’t see that then you are a “Linear Thinker.”

What a bunch of B.S.!!! Currency supplies do matter and too much currency destroys the value end of story! I guess I am just a linear thinker after all.

Fractional Reserve Banking: FRB or Fractional Reserve Banking is a process that expands the money supply. It is said on some GCR sites that central banks will use this process to pay out the new currency values. The only problem with this is the fact that Fractional Reserve Banking is a process that is only used by the public banking system. Private central banks don’t use Fractional Reserve Banking.

FRB is a process that expands the money by monetizing the debt. In other words, when people participate in the loan process that debt is monetized. New money is created thus expanding the currency supply. Central banks don’t do this, public banks do. The CBI is not going to go into debt using a method of debt monetization so it can payout a new value that is adjusted to their currency because it is imposed by the IMF in a fictional GCR event! That shows you how clueless some of these guys are about economics.

The IMF

Christine Lagarde is Managing Director of the International Monetary Fund. Some parts of the GCR conspiracy name her as the one responsible for the upcoming GCR event. They quote her twitter page and watch her for clues.

LaGarde’s Exact Tweet : “We need a reset in the way the economy grows around the world” This has somehow morphed into All currencies are going to reset.

All she is really talking about was resetting economies. The Goal here is to boost economic growth to pre-2007 levels! BEFORE THE 2008 MELTDOWN! These factors include reducing unemployment and inflation. There is some banking reform through Basel III which is really all about increasing balance sheets for banks. It has absolutely nothing to do with currency values! It is not a GCR guru-style “let’s pretend the world’s most inflated currencies are not really inflated and new values will be assigned!

People are just twisting the whole thing wildly out of context to mean overnight revalues of currencies and destruction of the dollar! All most people are really doing is confusing economy with currency. They are not interchangeable. It’s possible to have a strong currency and weak economy. Greece, Portugal, Fiji, serve as examples. It is also possible to have a weak currency and strong economy South Korea, China, and Japan, serve as examples too.

A few weeks back the BBC released an article about the dinar. They actually quoted me in that article. They also quoted the IMF. According to the IMF the Dinar investment was fraudulent. By the way this is a Direct Quote from the IMF. read the Article.

http://www.bbc.co.uk/news/blogs-trending-26187471

Conclusion

What do people mean when they say global currency reset? This in itself is a buzz phrase thrown around as though it has some sort of validity. The truth is it can be a complicated subject. Part of the reason for this is because there are so many different meanings attached to it.

The United States dollar is the most widely held currency in the Allocated Reserves today. A report released by the United Nations Conference on Trade and Development in 2010, called for abandoning the U.S. dollar as the single major reserve currency. Some have proposed the use of the International Monetary Fund’s (IMF) special drawing rights (SDRs) as a reserve.There is some truth to the move to a multi-polar financial reserve world.

This does not mean that the USA’s reserve status is going to collapse to zero as if the USD got replaced by say the IMF Special Drawing Rights. The US dollar will still make up a large chunk of reserves simply out of economic necessity for trade.Some people are wildly over-reacting to a trend for more multi-national reserves somehow meaning total collapse of the USA’s economy and a revalue of the worlds most inflated currencies.

The Global Currency Reset does not mean that the entire U.S. economy will collapse and the dollar will become worthless while the overprinted dinar, dong, and others become the new standard! That to me is the most absurd definition of the GCR out there!

 

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The Global Currency Reset Part 1

When you look at the mechanics of money and you consider how the exchange process works you begin to see certain rules that govern all money. The Federal Reserve released a book way back in the early part of the 20th century called Modern Money Mechanics. Let me give you an example of some of the physics that govern currency. The more currency a nation has in circulation the less it is worth. The less currency a nation has in circulation the more it is worth. This is one of the rules that apply to anything that is being used as a medium of exchange. Be it fiat currency or even gold.

https://archive.org/details/ModernMoneyMechanics

When you look at the dinar and compare it to the mechanics of money there is no way that the currency can gain value. A lot of people are expecting this currency to revalue and create a financial windfall that will set them up for the rest of their lives. There have been revalues and they are not uncommon. In all of history there has never been a revalue above 50 percent. A revalue can only be done by a central bank. A revalue is a policy decision that is enacted to fight inflation. The typical revalue is between 3 to 7 percent. The largest one I have seen is about 30 percent. Revalues only happen to currencies that are pegged. Floating currencies don’t revalue because the market determines their value not the central bank. So the belief that drives dinar sales and the speculation in this currency is that it will revalue and people will be made wealthy from this revalue.

The problem is that when you consider how money actually works and money mechanics in general then you begin to realize that this belief is impossible. There are a few major problems behind the dinar and the money mechanics involved to make this happen.

First the dinar is currently valued at 1166 dinar to one U.S. dollar. If the dinar was to move to a value of just 1 U.S. penny then that would be a 1,000 percent revalue. Second Iraq’s M1 money supply is over 71 trillion dinar. This is the main reason the dinar is valued so low. If there was less currency in circulation then the dinar would be worth more. Third the dinar requires a reserve to back it and give it value. The reserves used that backs the dinar is the U.S. dollar. There are not enough U.S. dollars in Iraq’s reserves to back the dinar to even a penny. There are not enough reserves to move the dinar beyond 15 percent.

In spite of the impossibility of this ever happening and the improbability due to the actual way money really works, people get around it by saying the buzz words Global Currency Reset or GCR. Even though something like the expected revalue of the Iraqi dinar has never happened in the entire history of money, and given the fact that the laws that govern money mechanics makes this impossible. People still believe in the revalue due to their belief in this coming GCR event. Portions of the Global Currency Reset could be considered a conspiracy theory depending on which definition you believe.

When you Google the words Global Currency Reset a whole host of websites and blog sites come up promoting it or debunking it. There are also many definitions to the term Global Currency Reset. Some of these aspects blend together and people pick and choose which part of this theory they choose to believe. It is important to note that not everyone that believes in a Global Currency Reset believes everything that is written about this so-called coming dinar revalue. So for the sake of clarity let me go over just some of the definitions of GCR that are out there. Dinar speculators are mixed about these different definitions. Some of them only believe part of this theory and people tend to choose the parts that make the most sense to them. Let’s look at just some of the definitions of GCR

NESARA

“NESARA is an acronym for the proposed National Economic Security and Reformation Act, a set of economic reforms suggested during the 1990s by Dr. Harvey Barnard. Barnard claimed that the proposals, which included replacing the income tax with a national sales tax, abolishing compound interest on secured loans, and returning to a bimetallic currency, would result in 0% inflation and a more stable economy. The proposals were never introduced before congress, and the only congressman known to have commented on the bill is Ron Paul, dismissively, and through a spokesman.” (From Wikipedia)

I checked the congressional record for the 1990’s. Then I did a search through the entire data base. This is what the search result said. “NESARA does not occur in the data base.” Then I did a search for National Economic Security And Reform Act. It was not in the congressional record at all. This means that this bill never came before congress. Don’t take my word for it. Look it up yourself

http://www.gpoaccess.gov/crecord/index.html

http://memory.loc.gov/ammem/amlaw/lwcr.html

This means that if NESARA never came before congress then it never became law!

But, NESARA took on a life of it’s own. It has become a cult-like conspiracy theory promoted by Shaini Goodwin. She claims the act was actually passed with additional provisions. She also claims George W Bush and the Supreme Court have kept it hidden. In 2000 Barnard decided to release his proposal for NESARA on the internet. Soon after this a person known as the Dove of Oneness began posting about NESARA on internet forums. The Dove of Oneness has been identified as Shaini Goodwin. She was a former student of The Ramatha School of Enlightenment. Founded by Judy Zebra Knight aka Judith Darlene Hampton. Basically these are new age beliefs! Knight has appeared on U.S. TV shows such as Larry King, The Merv Griffen Show, and MSNBC. Her teachings have attracted people like Shirley MacLaine and Linda Evans. Among the bazaar teachings is the belief that a convert to this teaching is god!

http://en.wikipedia.org/wiki/Ramtha#Ramtha

http://en.wikipedia.org/wiki/NESARA

Goodwin has embellished and added to NESARA. She makes references to white knights. Most of whom are high-ranking military officials who have been struggling to have the NESARA law implemented despite opposition from George Bush.

Barnard became aware of Goodwin’s description of NESARA before his death in 2005. He denied that NESARA had been enacted into law or even had been assigned a tracking number, and he condemned Goodwin’s allegations as a disinformation campaign. Since Goodwin began commenting on NESARA, other Internet-based Conspiracy theorist have attached itself to NESARA giving this whole thing a life of it’s own.

NESARA will attach itself to a legitimate thing to gain credibility. NESARA can be found in the fair tax movement, It has shown up at tea party events, and on occasion hides at those functions probably looking for converts. It has also attached itself to Something called CMKX, and it talks about the payout of CMKX. Using terms like global settlements and referencing the white knights. NESARA has attached itself to the revalue of the Iraqi dinar as well. These white nights are the men who will implement this supposedly secret law.

This opens up a whole new world as to why the dinar has not revalued yet! The term Global Currency Reset and Global Settlements first began with NESARA. According to current NESARA doctrine, when the dinar revalues then the government will make the CMKX pay out. This will cause the white nights to enforce the law, and the entire world resets, Then space aliens will show up on planet earth and introduce themselves. I am not making this up! This is what they believe! They believe that we are being watched right now. As soon as all this stuff happens Aliens will fly here in their spaceships.

http://www.nesarasucks.com/

Investigators who have researched Goodwin’s claims found that she began commenting on NESARA in connection with Omega Trust, a fraudulent investment scheme whose creator, Clyde Hood, was on trial at the time. According to Goodwin, Omega Trust investors would receive their returns after NESARA was announced. Goodwin repeatedly predicted that the NESARA announcement would occur in the very near future, although in later years she was more reserved in these predictions. The Omega Trust still lives on in the Internet as a supposed global poverty relief program and in part as a Global Currency Reset.

http://en.wikipedia.org/wiki/Omega_Trust

The Coming Dollar Crash

Not everyone who believes in the GCR believes in the garbage that NESARA teaches. It is important to note that this does not represent every dinar speculator. There is only an outré fringe of people who believe this. People choose and pick from different aspects of this GCR conspiracy and there are different definitions. I felt it was proper to cover the origins of the catch phrase Global Currency Reset and Global Settlements.

The dollar crash definition basically says that there is a coming crash to the U.S. dollar. This is due to in part to the United States debt and in part to the overprinting of the U.S. dollar. People have been predicting this demise of the dollar for years

The basic belief here is that the dollar will lose reserve status around the world and it will become unstable. When this happens countries around the world will replace their reserves and the dinar will revalue as a result. Sometimes the idea here is that the dinar will use it’s resources to revalue it’s currency rather than the U.S. dollar

Gold and silver sellers have been predicting the end of the dollar for some time now and the GCR is used to hype gold and silver sales. Dinar Gurus have taken this a step further and said that the collapse of the dollar and the GCR event will be the thing that brings about a revalue in the Iraqi dinar. So it does not matter about the history of revalues because something is getting ready to happen that has never happened before in history. Then the claim is made that people can’t understand this new system and they can’t escape fiat currency terms.

A rabbit trail of this belief says that countries will give values to their currency based on the resources that particular nation has. And the commodities that are in that nation such as oil will determine the currency value. The IMF will force all nations to place a different value on their currency based on national resources

Another belief is that the International Monetary Fund (IMF) will force all nations to simply revalue their currency. The dollar will go down because it is over printed and the dinar will go up. Gold and silver will go up as well. This belief is slightly different as it has nothing to do with a nation’s resources. This is popular among gold and silver sellers like Lyndsey Williams. He is one of many precious metal gurus that is currently spreading this hype

See dinar update 3. According to Williams, the IMF is going to make this announcement for a GCR around March of 2014

Another belief is that reserves around the world will be replaced with a group of currencies or a basket of currencies thus replacing the dollar. While this is the only plausible aspect of the GCR theory and it has some merit, it will not happen overnight and it will not result in a total removal of the dollar or a revalue that will make every dinar holder wealthy.

Then there is another aspect of the GCR belief which claims it is a part of biblical prophecy. People subscribe to it because they believe it is a fulfillment of bible prophecy. To these people money mechanics don’t matter because they take their faith in scripture and misapply it to the GCR event.

http://www.prophecyclubresources.com/GLOBAL-CURRENCY-RESET-LINDSEY-WILLIAMS/productinfo/LW-GCR01/

These are just some of the different definitions of GCR. As crazy as all this sounds “GCR” proponents can’t explain what they’re trying to convey beyond throwing around a few buzzwords like “fiat currency” and “fractional reserve banking” Then these same pumpers only attributing these things to America. Most of these guys don’t have a clue as to how the money mechanics associated with these terms really work. So let’s explore it

The problems with GCR

I think the best way to explain some of this is to use some terms and facts that Jack has shared over at Baghdad Invest. He has spent a great deal of time debunking common misunderstandings with the economics of this alleged GCR event. So let me paraphrase and share his data as it provides some great insight.

As for revaluing a currency based on a nations gold supplies this is what Jack thinks.

“Do you even comprehend how BRICS possess more gold than all other countries combined” being another perfect example of an outrageously false claim. BRICS have certainly been importing more gold but over half of what they import gets consumed in industrial use and demand for jewelry.

“In 2013, the country of China produced 342 tons of gold and consumed 840 tons thus importing 498 tons.” That isn’t even remotely the same as the lie “China has been secretly adding 498 tons to their currency reserves every year” that you seem to be pumping… The same is true of India. They use nearly all of what they import on jewelry. That’s why the Indian government slapped on a 10% duty on gold bullion but a 15% import duty for gold jewelry. Most gold in Asia is going to private citizens not banks. Combined Euro zone gold reserves alone are more than the combined BRICS reserves, so that’s another lie you have told.

As for “revaluing national currencies based on Gold in a Global Reset”, here is the Gold’s share of national reserves by country:

84% Portugal

76% Greece

70% USA

66% Germany

65% France

65% Italy

52% Netherlands

48% Austria

33% Belgium

23% Spain

12% UK

10% South Africa

7% India

2% Iraq

2% Saudi Arabia

1% China

1% Brazil

http://en.wikipedia.org/wiki/Gold_reserves#Officially_reported_gold_holdings

http://www.imf.org/external/np/sta/ir/IRProcessWeb/colist.aspx

Ninety nine percent Of China and Brazil’s wealth is holding other countries paper money. Trillions of paper USD’s. Ninety eight percent of Iraq’s wealth is USD paper. Ninety three percent of India’s wealth is again paper money. It really is time to drop the total mental delusion that

A. We’re going back on a 100% full reserve gold standard. There simply isn’t enough gold in the world which is why we came off it in the first place! The entire combined GLOBAL reserves are around 32,000 tons or around $1.2 Trillion worth. Compare that to the $80 trillion global economy, and

B. That doing so will cause Iraq to soar and the USA to plummet because Iraq holds a tiny 30 tons of gold which is less than Nepal’s or Slovakia’s.

As far as backing all currency on a nation’s resources this is what Jack had to convey

Iraq only has $1.2 billion worth of gold. If you tried to back 85 trillion dinar solely with that you would end up with an equivalent dollar rate of 70833:1 or 60x LESS! Even if it doubled overnight Jim-Willie-style it would still only be worth $3 billion.

Basing a currency’s value on vague unspecified resources simply lying in the ground as Jan claims is total nonsense. As for backing the dinar with oil goes, Iraq may have 140 billion barrels of oil. Giving a $100 per barrel oil price is only equivalent to $14 trillion in assets. BUT that $14 trillion worth of oil is going to be spread over the next 127 years in the form of 3.0 million barrels per day actual production. If Iraq increases exports to 4 million barrels, then that $14 trillion worth of oil will still be spread over the next 96 years. Some highly deluded people genuinely think all that 140 billion barrels will all be magically teleported out of the ground in 2014 and donated to the CBI. It will be stuck in some giant warehouse for backing the dinar tomorrow without a single drop being sold or used ever again!

No country is going to squeeze in every single year of economy from 2014-2141AD all into a 2014 currency’s valuation. This is the absurd GCR in a nutshell. You could make the same argument with the USA and claim the US Dollar is going to skyrocket if you count 127 years’ worth of future US exports which equals $194 trillion or 13.8 times Iraq’s worth in oil reserves. Iraq has 85 trillion dinar (M2) and 140 billion barrels of oil or basically, enough to back 607 Dinar with 1 barrel worth $100. Except they won’t because Iraq will consume around 1/5 to 1/4 of it themselves and export virtually all of the rest to non-Iraqi’s and in both cases all that oil is no longer available to back the Dinar!

Same thing applies with minerals. If you have 1 million tons of aluminum resources and you dig it up and use 300 thousand tons to build stuff and then you sell 700 thousand tons to other countries, how much do you have left for the purpose of currency backing that is just sitting there in a pile and doing nothing? None!!!! People dig up oil and metals to use or export, and once it gets used or exported it’s not available for backing anything. This is why simply quoting a nation’s oil reserves and assigning an arbitrary GCR exchange rate to the currency based on that is absurd.

It’s also comically inconsistent. Apparently Canada is going to fall and Iraq is going to rise due to Iraq’s oil. This is hilarious given that Canada has 175 billion barrels of oil or 25% more oil than Iraq’s 140 billion barrels. Canada has a lot of other natural resources. China will also LOSE out due to being a net IMPORTER of virtually every raw resource going from oil & LNG to iron, copper & aluminum, titanium, uranium, coal, timber, rubber, etc. Why do people think they’re running around Africa & South America buttering up the locals? Because they don’t have enough resources to sustain even what they consume let alone surplus leftover to back 110 trillion Yuan at some wonder high rate! Yet more proof that the people shoveling this GCR conspiracy haven’t even bothered to research any of the countries they’re pumping.

Using non-recyclable resources like oil as currency backing and as an inflation hedge is also totally backwards and contradictory. As each year goes by, oil gets burnt up or sold to someone else to burn up. It becomes no longer available. Iraq can’t keep it in a vault for all eternity. They have to constantly sell it to fund central government in place of taxes or burn it internally for things like transportation, oil power stations, and construction, just out of necessity. Every time Iraq burns or exports a barrel of oil that oil will no longer be inside Iraq backing the dinar. This action will be making whatever GCR resource peg more and more OVER-valued as each year goes by.

If Iraq has 140 billion barrels of oil and sells oil at 1.1 billion barrels per year and consumes more internally on top of that. Then as each year goes by, its resources backing its currency increasingly dwindle and they’ll need to LOWER the value of their currency peg vs oil. They will do this with an endless stream of annual DOWNWARD RV’s because if they lose currency-backing-resources each year, then their resource-backed-currency will lose value each year too! And all the while their population is growing they still have to print more money for liquidity purposes amplifying this effect. What “Genius” came up with that? Avoiding inflation by using a constantly dwindling resource that is naturally permanently inflationary? If you want a hedge against inflation, you don’t peg your currency to an asset which shrinks each year like oil as that is exactly the same long-term effect as printing too much fiat money and not having the resources to back it!

There is just as many GCR gurus spewing out junk economics as there are RV gurus. Many people cling to this because they’re deathly afraid of admitting Iraq is going to redenominate and they are left trying to find some alternative “magic millionaire elixir” to allow Iraq to keep 85 trillion Dinar and somehow magically make it more valuable to avoid admitting the blatantly obvious “elephant in the room”! The Iraqi Dinar is 3,000 times weaker than the Kuwaiti Dinar simply because Iraq has printed 3,000 times more paper money than Kuwait. A vastly disproportionate people hanging round GCR conspiracy stuff are either Doomsday gold bugs predicting imminent $5,000 gold prices every month since 1999 or they are Dinar holders who have realized the absurdity of a 100,000% RV for Iraq, yet strangely they see nothing wrong in extending the same contorted logic to the whole planet to try to keep the dream going!

People keep talking about the oil that Iraq has as a means to base a new value on their currency. Countries don’t base currency values on oil reserves and then once again on oil exports years later when the oil actually gets dug up and sold. This is because you would be double counting everything and essentially trying to price in that same barrel of oil twice!

On the USA losing it’s reserve status these are some of Jack’s thoughts.

The USA’s “reserve status” is not going to collapse to zero as if the USD got replaced by say the SDR (IMF Special Drawing Rights) which gets expanded to include the BRICS countries as some are claiming or similar new supra-national reserve basket of currencies. The USD is still going to make up a large chunk of that simply out of economic necessity for trade. The USA still exports over $1.5 trillion in goods per year. This is 3/4 of China’s $2 trillion and still the 2nd place exporter out of some +190 countries. Some people are wildly over-reacting to a trend for more multi-national reserves somehow meaning total collapse of the USA’s economy. This is not true. Even in these dark times, exporting 3/4 of what China does with only 1/5th of the population, (300 million people vs 1.5 billion people) is hardly something to be embarrassed about.

What will happen if countries stop selling oil in dollars is that their future inflationary risk will be spread over a larger number of currencies. Basically they won’t continue to devalue at the same rate with a peg to multiple currencies rather than pure dollars. BUT – that won’t undo existing massive devaluation of inflated currencies like the Dinar, Dong, Rupiah, Rial, and others. they will remain weak until they redenominate simply because they’ve printed even more money in their own currencies than even the USA has. It’ll simply hedge against further future devaluation. It won’t undo the past. Just like a cut in a budget deficit will slow the rate of increase of more future debt – it won’t shrink the existing debt.

The USA has printed $11 trillion dollars for 300 million Americans which work out to $36 thousand per American. Even if real figures were double that still works out to $72 thousand per American. That is a worst case of 100% of all USD used only by Americans. Iraq however has printed 85 trillion Dinar for 30 million Iraqi people. That works out to over 2.8 million dinar per Iraqi citizen – the classical definition of past hyper-inflation. When everyone in your country is a multi-millionaire in local currency units and yet the average annual salary is barely $5 thousand in real international terms then that is exactly what hyper-inflation is. People who also believe reducing dollar holdings equal the dollar will tank and the Yuan will soar also need to get a grip of how much money China has printed.

Which of the big nations have printed the most currency units?

1. China – 110 trillion Yuan

2. Russia – 29 trillion Rubles

3. India – 20 trillion Rupee

4. USA – 10.9 trillion Dollars

5. Eurozone – 9.2 trillion Euro’s

Even if the USA’s money supply was double of the official figures, it would still only be 1/5th that of China’s.

A lot of people bash the Federal Reserve for printing too much money to bail out the banks (and rightly so), but strangely they seem to ignore the fact China has printed 10 times more Yuan than even the Federal Reserve has printed dollars! Inflation for many BRICS countries is just as high as the USA’s rate. Russia’s is 6.5%, India’s is 6.0-7.5%, Brazil’s is 6%, and South Africa’s rate is 5.5-6.5%. This is also assuming everyone else is honest and the USA is the only country which under-reports it! Food price inflation in China/India has been in double digits in many areas these past few years. Again it’s amazing how some people act like only the USA experiences inflation.

In short: Moving away from a pure dollar peg will slow down the rate of future devaluation based on Federal Reserve over-printing the money supply, but what it WON’T do is cause the dinar’s value to shoot up! This is because Iraq will continue to have 85 trillion dinar in circulation until they redenominate. It does not matter what the Fed does as Iraq’s problem is too many over-printed DINAR not too many over-printed dollars!

It’s a common guru fallacy that the dinar must be weak purely because of the dollar which will be corrected by a mythical GCR event. This is nonsense. The dinar is also weak vs the Euro (1590:1), GBP (1919:1), Gold (1.475m Dinar / oz), Silver (23,157 Dinar / oz), commodities (eg, Wheat ($272/mt) is 317,457 Dinar / mt (metric tonne), etc.

The Dinar is weak because Iraq has printed too many dinars. No matter what the dollar does the dinar will continue to be weak until they redenominate and reduce their 85 trillion money supply back down to the 85 billion it used to be pre-1990′s inflation. The USD could vanish off the face of the Earth overnight, and the dinar would still have a rate of 1590:1 vs the Euro!

Same is true of the Dong – it’s utterly mind-boggling how some people can sit there with a straight face and say a GCR will adjust the undervalued Dong, when the Dong’s 21600:1 rate vs the dollar is a direct result of the Vietnamese Central Bank printing an eye-watering 3.5 QUADRILLION Dong! For clarity’s sake that’s 3,519 trillion Dong vs the Fed’s $11 trillion-dollar.

There is some truth to the move to a multi-polar financial reserve world, but there’s also a whole lot of hysterical guru B.S. surrounding RVing the Dinar/Dong by +100,000% in either national “RV’s” or some mythical Global Currency Reset event which really isn’t about making any currency shoot up or down 1,000 times.

The move away from pure dollar to a mix of dollar, Euro’s, Yuan, etc, is more about ending a downward spiral of future unilateral Federal Reserve devaluations. Add to that the usual USA vs China power-bloc politics. Not some +100,000% return get-rich-quick scheme that involves convincing amateur speculators that all the 10 times most inflated currencies on Earth are unfairly undervalued and are not really inflated! This is about 99 percent of almost all Dinar/Dong RV pumping in a nutshell.

Conclusion

I would like to thank Jack for sharing this information. I have edited his comments in an effort to make his information easier to digest. I have not changed his information, his numbers, or his points..I just changed things like $ to dollar and tn to trillion. I changed some phrasing as well. All of Jack’s data is in tact and his points are made. Those were not changed

One thing I will say is Iraq has a little over 71 trillion dinar in their M1 alone. That entire dinar supply is only meant for a population of 30 million people. The dinar is only meant for circulation inside of Iraq. America has 11 Trillion U.S. dollars in their M2 for a population of over 300 million people. Two thirds of the U.S. dollar is exported and used around the world in currency reserves and by other nations as a means for exchange.

In part 2 we will examine more problems with the Global Currency Reset Doctrine and wrap things up.

 

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We are the Sheeple

BBC seeks the truth

The BBC just did a story on the Iraqi dinar. BBC started reporting on a trend that took twitter by storm. This was kind of like an Occupy Wall Street campaign in cyberspace. About 4 million tweets appeared that said various things but all had one phrase that said “#wearethepeople.”

This was a campaign that was started by dinar guru TNT Tony. Some tweets simply said “Release the RV #wearethepeople” I think the Sheeple who follow Tony may feel that this is a great course of action and it could result in launching this fictitious RV. This campaign has led to a BBC investigation which led to a proper analysis of the situation.

The BBC story was written by Cordelia Hebblethwaite. She did her due diligence and she treated the story with the proper analysis it deserves. I did speak with her on this topic. She spoke to a number of other people in the dinar community as well. She spent a great deal of time digging to find the truth. I found her reporting to be very fair and objective. I sure hope they do some follow-up articles.

In addition to the article the story will also be on BBC radio. Here are the links to the article and the radio show.

http://www.bbc.co.uk/news/blogs-trending-26187471

http://www.bbc.co.uk/programmes/p01ryk68

Blog Talk Radio

It seems that TNT Tony is no longer doing his Blog Talk show. For some reason his show is off the air. If you go and visit his blog Talk Page you get an error 404 message. The reason for this is not known and what he will do next to fill the gap of his Blog Talk show is anyone’s guess.

According to Ripoff report and the sites below TNT Tony is actually someone named Anthony Renfrow

http://www.ripoffreport.com/r/Tony-Renfrow/Sacramento-California/Tony-Renfrow-TNT-Tony-at-it-again-Dinar-Scam-RV-Iraq-RV-Iraq-Dinar-Sacramento-Califo-1104697

http://www.ripoffreport.com/reports/specific_search/Tony+Renfrow

http://www.truthcall.com/tony.html

Conclusion

It is my belief that this #wearethepeople is nothing more than an attempt to lead more followers to a false conclusion that there will be an RV soon if they participate in this ridiculous twitter tweeting escapade. Do these guys actually think they can force a Revalue by tweeting release the RV? I don’t think it is an effort to get new followers. I think it is an attempt to boost the hopes of those already looking for that financial windfall that they are expecting from this Iraqi Dinar.

 

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Guru TD has a revelation

In the dinar community it is really hard to get to the bottom of all the rumors out there. I was really surprised to read this on Dinar Daddy’s site

“Intel Guru TD Well friends yesterday I cashed out 95% of my dinar holdings. Over a week ago I received some troubling rumors from the sandbox that there were serious discussions coming to a unanimous consensus of Iraq’s intentions to only do a C/E IN HOUSE (i.e. inside Iraq only) . Of course I’m sure you’ll cry fowl but among points of discussion was the simple fact of 30-40 Trillion dinars outside of Iraq and the impossibility of simple arithmetic. In addition, I was told that the dinar we hold was never LEGALLY SANCTIONED (BY IRAQ) to be sold outside of Iraq. We all know it is not traded internationally. I’d also urge you to read …statements from the IMF, etc.

Banned From Dinar Recaps”

http://theiraqidinar.com/rumors/td-shares-something-interesting-239597

Never legally sanctioned is a reference to Iraq’s currency laws and some international treaties. These are the same laws that they will cite when they redenominate. I will cover that in a bit, but for those who don’t know who Guru TD is, his stuff can be found on Dinar Vets, Dinar Recaps, Dinar Daily, and Dinar Guru among other places. He is all over the dinar community. Is this a recent revelation for TD? Here is what he said just a short while back.

“Dinar Guru TD Well like most of you I’ve been holding my breath last couple days about the CBI site and I just received confirmation that it is only website maintenance going on so we can all exhale!! No changes in rates YET!! However I’m told that the next 75 days looks very promising for….”

http://dinarnuggets.com/dinar-guru-td-only-cbi-site-maintenance-no-rate-changes-yet/

Here are other view points from TD from 2013

“10-2-2013 Intel Guru TD Don’t Fret, the process is underway. I have changed my stance (due to reliable info) from cautiously optimistic to expectant of fruition. It might be just days to a few more weeks. WATCH SOON for a false announcement ( I’m told) ALA KUWAIT for a postponement of the currency reform program ( as like till sometime 2014) and you’ll know we are then there. Purchasing power increase for their citizens (and our ROI ) will be gradual and the longer the window of allowing the old notes to remain the better we can increase our ROI. AS I reported before they are following neighbor’s Turkey’s currency reform program in many respects. Turkey allowed a full year to exchange their old notes. Iraq may not be as long BUT the IQD is much more devalued than what the Lira was and the return could be much, much better BUT again don’t expect unrealistic returns. Most importantly there are no pesky obstacles or bickering going on !!”

http://iraqidinarfacts.net/iraqi-dinar-guru-8-25-13-chats/

http://theiraqidinardaily.blogspot.com/2014/01/1-6-2014-intel-guru-td.html

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=92609719

It seems that TD has totally changed his view. I came to the same conclusions as an investor in 2012. I use to be totally head over heels involved in this investment before I learned the truth. Now it looks like we have a guru who is starting to see the light. So I will now share what recaps has decided to ban.

Banned From Dinar Recaps

Saturday night I wrote some observations and emailed them to Recaps BUT have been barred (Again) from posting.

I hope Dinar Daily and Baghdad Invest are open minded enough to post this.

I did not bash Recaps in any way just wrote up some observations regarding the Paul Bremer interview and some analysis of the dinar, it’s community and current happenings.

I guess Recaps only wishes to continue posting just hopium and if you don’t want to post about sudden wealth creation, millionaire status, tips & lifestyles of the rich articles and declare that in a moments notice “it is done”, “done” and “done” well then…..you don’t get posted.

Here’s in a nutshell what I tried to post ………..

Mr. Bremer’s interview didn’t yield much in terms of the actual dinar status but it was very revealing in many other ways, namely :

IRAQ IS/NOT IN CONTROL :

His comments should put to rest once and for all that No one other than Iraq is in control of it’s programs and policies. Mr. Bremer revealed that it was always the intention to get Iraq Reconstructed, hand over the reins and let Iraq walk on it’s own. That’s the definition of a country’s sovereignty.

Our role as Americans is always to assist and act in a noble way. We have done that all over the world : Germany, Japan, S. Korea, Iraq.

Gooorooos have for way too long indicated otherwise : it’s in the hands of 3 letter agencies, it’s in CL’s hands, it’s in Obama’s hands, etc. Ridiculous and now a senior political figure has set the record straight. Move on knowing Iraq is in charge of it’s own affairs.

SECURITY :

This has been a pet peeve subject of mine for the longest time. There is indeed the strongest of correlations between a nation’s security and it’s “True Value” rate of currency. In Iraq’s case timely introduction of economic reform programs and joining the world international arena rests heavily on it.

Mr. Bremer remarked about the current war on terrorism ” It’s a close call at this point”.

Reality is the GOI is having a challenge indeed fighting the war and trying to recapture control of cities. I’ve received reports saying exactly that. You may have noticed that not much is being reported of the on ground fight. Journalists are not being allowed to cover it and it’s not going well.

Until they are able to gain control currency movements are not a priority.

Some in Dinarland have irresponsibly remarked that perhaps this is smoke & mirrors of the imminent RV. This is ridiculous ! Innocent people are caught up in this turmoil and it is real and a setback. War & terror is hell on earth. Yet, all what many dinarians care about is stuffing their pocketbooks. Who cares about Iraqis dying, let them eat cake.

A real sense of a nations security is vital to currency movements. Recently I did a piece here on Dinar Daily about what a typical episode can do to a nation’s currency. The case in point was the scandal in Turkey which I’ll do a synopsis here.

Recaps BTW was also allowed to publish the analysis yet it’s not their cup of tea to report actual, real time happenings. They’d much rather publish articles about lifestyles of the rich.

The Turkey saga has unfolded since December in real time before us and has serious consequences to a nation’s currency. Corruption scandal there has led to ministers resigning, massive arrests and has led to “INSTABILITY” forcing it’s Central Bank to inject millions of dollars, prop up the currency .

Inflation is rippling through the economy and the Turkish Lira is down 20%. Turkey, BTW is the largest economy in the Middle East and dwarfs Iraq in terms of economy, modernization of banking & infrastructure, etc. This is real and not Memorex.

Let’s assume for a minute that Iraq had introduced the IQD internationally last fall. What do you think the current crisis would have done to it’s rate ? Well much of the answer depends on it’s “real time” rate. Let’s say it “artificially ” introduced it $3+ , it would plummet dramatically and it would devastate their economy.

There are severe consequences for Iraq to do it right and at the right time.

ECONOMY :

Mr. Bremer stated some very real progress of Iraq, it’s per capita income is 6X higher, 27M Iraqis have cell phones. Their GDP is growing.

I and others have reported the massive expenditure into modernization of it’s banking system, training of personnel. However outside of Baghdad there is mistrust of citizens still and uniform transactions via credit cards, online banking & Atm’s remain challenging.

As Mr. Bremer remarked “There’s no mechanical way to predict what the currency will do. ” Market will reflect an assestment of the economic situation as well as the currency”. AND HE ALSO REMARKED ” THERE IS RISK WITH THE DINAR WHERE THERE ISN’T ONE WITH OTHER COUNTRY”.

Yes, the risk is plentiful. Iraq has made progress and still has much to do. It’s economy is still 95% oil dependant. The membership into the WTO requires diversification, the banking industry needs public & international exposure. Now, that’s not to say it can’t go international soon. The key is at what “sustainable rate”. Let’s not forget that Iraq has achieved GDP growth at 1166. Let’s not forget that Iraq has already RV’d from 1170, even from 3000. So could it move from 1166 ? Yes indeed ! Will it move overnight 500 % , 1000 % , 10,000 % . Most unlikely ! It can’t afford to artificial rates that are not supportable and let’s not forget that during Saddam’s time the $3+ rate was indeed ARTIFICIAL and not accepted by the IMF & world community.

Just look up the write ups here on Dinar Daily and Baghdad Invest, whom both are open forums & have the courage to show the history of nations who have had lots of zeros to their currencies. In each and every case a LOP was done. Look at the history of the China RV, it was a couple percentages each time.

I have reported (the only intel provider I might add) that the Iraq currency reform project is receiving cooperation from the Turks and helping Iraq unveil their program in parallel fashion to what Turkey did a few years ago.

Thank you Dinar Daily & Baghdad Invest to report real history .

Recaps : We love the articles about “What to do with sudden wealth” . Happy dreams.

You know folks you are welcome to believe what to believe and who to believe. What I recommend is to do your own diligence, fact finding and your own homework.

At least a couple of the sites do provide all kinds of information which will enable you to make wiser conclusions.

Will Mr. Bremer’s interview quiet some of the noise ? I doubt it cause soon afterwards Recaps posted from a Guru that we were still on a moment’s notice. Is the new definition of “moment” now months, years, ?? Anyone know ? Will they continue to insist Iraq got admitted into the WTO on December 29th, or any moment now ? Paradoxically on Recaps there are daily stories from real people, their economic collapse, no cars, jobs, food, . And yet, Recaps keeps posting false hopium to these people day in and day out. And contrary comments toward the untouchable gurus is strictly frowned upon.

You know folks when people are batting .000 day after day, month after month, years, some even 10 years then you really have to ask “why I should I still buy into you” Shouldn’t you ??

REGARDS,
TD

http://www.dinars.me/damn-fast-dinar-updates/dinar-guru-td-banned-from-dinar-recaps/

This really brings into focus what Zahlid has said. I find myself anxiously waiting to see what March has in store for us. TD was quoting some of jack’s arguments as well. When TD said “Inflation is rippling through the economy and the Turkish Lira is down 20%. Turkey, BTW is the largest economy in the Middle East and dwarfs Iraq in terms of economy, modernization of banking & infrastructure,” This information can be found in the comment section of an older article on Baghdad Invests way before TD brought it up. This is something Jack said.

It is good to see a guru set the record straight. It is good to see that Baghdad Invest is having an impact on people, and most of all it is finally good to see people reason and think this thing through to it’s logical conclusion.

The only thing that I disagree with is the amount of dinar outside of the country. Just my personal opinion, but I doubt there is 30 to 40 Trillion outside of the country when there is only 34 trillion outside of banks. I will explain my theory about how much dinar is held by spectators outside the country. Keep in mind that this is only a theory and my opinion. This is just a guess and I could be totally wrong on this. This does not have conclusive evidence. I will now show you my theory in steps. You will need Microsoft Excel to participate in this exercise.

1. To begin we must go The Central Bank of Iraq’s website. Go to the statistic page. Here is a link.

http://www.cbi.iq/index.php?pid=Statistics

2. Download a document called key financial indicators and open it with Microsoft Excel.

3. Scroll down to line 79. It says a-Currency outside of banks. This is the currency that is in circulation. The number is rounded to the nearest billion. You see for December of 2013 the number is 34 Trillion 492 billion. That is how much dinar is in circulation.

4. At the bottom of the spread sheet to the far right there is a scroll bar. Use it to scroll back to the year 2005. You will see that currency outside of banks in December of 2005 is 9 trillion 113 billion for December of that year.

Here is my theory. In October of 2003 the dinar was exchanged. The old notes with Saddam’s picture were traded for the new notes that spectators have today. The trade in period expired at the end of the year and they had three months to trade out the old notes for the new notes. The central bank opened it’s doors in march of 2004. By the end of 2004 they had a little over 7 trillion outside of banks. By the end of 2005 they had all the currency they needed to conduct business.

Here is another wikileaks document from the Embassy in Baghdad. This is from July of 2008

http://dazzlepod.com/cable/08BAGHDAD2311/?q=cbi%2C%20dinar

2. (C) Fouad Mustafa, chairman of the Iraqi Private Banking Association and president Credit Bank of Iraq, told econoff on July 6 that private banks are growing and “doing well” in Iraq. In the past three years, the average capital of private banks in Iraq has grown from approximately USD 6 million to over USD 40 million. And while the overall environment for private banking had improved in the past five years, many challenges remained, Mustafa said.

Now why is that? Why has capital grown so much? I suspect that dinar was being exported and exchanged for U.S. dollars which caused the banks to grow and also assisted in the growth of reserves at the central bank as well. So from 2008 go back 3 years and I am willing to bet that is the point when the dinar was beginning to be exported all over the world. Older articles on this site goes into a bit more detail.

Look at the Key Financial indicator spreadsheet and you will see by the end of 2008 18 trillion 493 billion was now in circulation. The amount of currency in circulation has doubled in just in 3 years’ time. Banks were cleaning up by exporting the currency. The amount of dinar in circulation was growing due to the currency leaving the country. The more the reserves grew the more currency was released. They had to replace the currency that was leaving the country. (Currency Law article 32)

So now let’s take today’s totals of currency outside of banks which is 34 trillion 492 billion, and lets subtract the amount that was outside of banks at the end 2005 which is 9 trillion 113 billion. That leaves a total of 25 trillion 379 billion dinar

Right or wrong I believe there is about 25,379,000,000,000 dinar outside Iraq which is held by private spectators around the globe. This is not an exact number but I think approximately this much dinar is outside of Iraq. If this is indeed the case and they redenominate only within the borders of Iraq then that leaves a lot of spectators out in the cold. You have got to wonder how much dinar is held by private spectators in America!

People believe guru lies that say Iraq can’t redenominate in country and that they will be held accountable. Iraq is not going to redenominate.

So let’s start by looking at Iraq’s progress with new bank notes

http://www.banknotenews.com/files/tag-iraq.php

http://translate.google.com/translate?hl=en&sl=ar&tl=en&u=http://www.nahrainnews.net/print.php%3Fartclid%3D2277&sandbox=0&usg=ALkJrhgpj5YeBDIUvoHQM4646yNUCAiOAw

As you can see there will be a redenomination. Now let’s look at Iraq’s currency Laws

http://www.cbi.iq/documents/CBILAW-EN_f.pdf

Scroll down to article 32

Article 32

1. The CBI shall have the exclusive right to issue banknotes and coins intended for circulation in Iraq. Banknotes issued under this Article shall be a first charge on the assets of the CBI. The CBI shall make appropriate arrangements for the issue of banknotes and coins required for circulation in Iraq. Banknotes and coins issued by the CBI and intended for circulation in Iraq are not promissory notes, bills of exchange, or any other type of commercial document under the applicable commercial law, and the cbi is obligated to honor them only as provided by this law

2. Only bank notes and coins issued by the CBI that have not been demonetized shall be legal tender in Iraq.

3. The CBI may, by regulation, limit the amounts of banknotes and coins that must be accepted as legal tender in payment for an obligation and restrict the denominations of such banknotes and coins in which payment may be made to specified amounts or a range of amounts.

this means that the CBI CAN DENY REDEMPTION if it… in its discretionary opinion thinks that cashing in all of the dinar out there that they have issued… will cause a run on the security of the back or on Iraq as a whole!

The CBI is only obligated to honor the currency according to this currency law. The dinar is only meant for circulation in Iraq. It was not meant to be exported. They will cite this law when they redenominate!

Look at this wiki leaks document.

http://dazzlepod.com/cable/09BAGHDAD265/?q=rasheed%20bank%20iraq

America does not have a bilateral treaty obligation with Iraq, furthermore Iraq’s National Investment Law does not cover the banking sectors or it’s currency. This document is from the embassy in Baghdad. This means that Iraq is not obligated to honor it’s currency outside of it’s borders due to international treaties or laws!

So I guess there are questions you need to ask yourself. Do you think Iraq is going to keep the 25 billion U.S. dollars it collected as it’s currency was exported? Even if Iraq does not close it’s border when they redenominate how will you get there to trade in your dinar?

I still can’t help but ask these questions. How much of that dinar is here in America? How many private citizens is there in America that hold dinar? There is only one thing for sure, when this thing goes down a lot of people holding dinar will be shocked into waking up! This so-called investment has been the greatest currency scam I have ever seen!

 

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More Facts From Jack

A While back I wrote a piece called That’s A Fact Jack. It contained 40 facts about the Iraqi dinar. It seemed that this article made its way around the dinar community. It has been copied into forums and blogs alike. It made its way to websites too. I am totally fine with that because with me it’s about the information getting out there. The dinar community will address the areas that they do not agree with. I welcome that as my quest is more about finding the truth.

This article seemed to spark some pretty deep debate. Baghdad Invest was the first place to post a copy. A debate broke out in the comment area. There is a man who comments on Baghdad Invest who goes by the name of Jack. His comments are truthful, respectful, and accurate. He is really knowledgeable about the dinar and economics in general. He has gained my respect and I enjoy reading what he has to say. I have found myself hunting for his comments just to see what he has to say. He could very easily have his own blog site. Here is a sample of the exchange that happened in the comment area at Baghdad Invest

Posted by Knight January 28, 2014

Why don’t they post the M 0 money supply which is actually hard currency on hand. This figure is not reported. M 1 money supply is physical cash plus any asset that can be converted to cash. We do not know how much physical currency they have in circulation because they do not list this figure. Someone says they have done their homework when. The M 0 number is the most important. I don’t have a clue if this will ever happen but I have done my due diligence to the point where if you started crunching numbers you can’t because they don’t supply all the info and it seems to done by design.

Jack’s response was great

Posted by Jack January 28, 2014

Knight – “Why don’t they post the M 0 money supply which is actually hard currency on hand. This figure is not reported.”

Iraq M0 = 70.9tn Dinar

Iraq M1 = 71.3tn Dinar

http://www.tradingeconomics.com/iraq/money-supply-m0

They certainly do report it. The reason guru’s won’t repost it is obvious – Iraq still has over 71tn physical banknotes alone and there is little difference between M0 and M1 due to the primitive nature of Iraq’s banking system.

Your M1 definition is also off. M1 = checking account bank deposits which actually is cash still since it can be instantly withdrawn or electronically spent / exchanged at any time. Time deposit bonds, savings accounts, etc, are M2 not M1 but even then they are still “liquid” enough to be converted to cash within a very short time-frame. The longer-term less liquid stuff (money market funds, 10 year bonds, etc) is actually M3 and Iraq has very few of those either.

Jack responds with 15 more facts to add to the list of 40 Facts

Posted by Jack January 25, 2014

15 more facts:-

41. Forex is a zero sum game. If one person pays 1000 Dinar for $1 then “RV’s”, then the other person suddenly will end up paying 1,000x more for the same Dinar’s (except they won’t because knowing they’ll be 1,000x poorer they simply wouldn’t make the trade)! People who say “everyone’s a winner” are really just admitting they have absolutely no clue whatsoever about how currencies work and completely ignore the “flip-side” of the transaction because they’re obsessed solely with “me and my banknotes”. If I lend you €731 ($1,000 worth) of Euro’s in exchange for $1,000, and a year later you come back and give my the €731 back but demand I now pay $1m instead of $1,000, are we both “winners”? Of course not. Because you’re now demanding I bankrupt myself in order to make you a millionaire!

The “RV” scam is the same – it essentially demands the CBI be forced to acquire 1,000-3,500x more $ than it actually has to “buy back” everyone’s Dinar for 1,000-3,500x more. It wouldn’t make Iraq “winners” – it would totally bankrupt every bank in Iraq up to and including the CBI within 48hrs!

42. There is no “special rate” for Iraqi oil. The USA pays exactly the same for Iraqi oil as it does every other Gulf country. And it’s still actually cheaper for the USA to import South American oil than OPEC’s due to obviously lower shipping costs:-

http://www.eia.gov/petroleum/marketing/monthly/pdf/pmmtab21.pdf

43. Out of the daily 7.37m barrels of oil imported into the USA, and out of the 2.7m barrels of oil exported out of Iraq, only 226k barrels flow from Iraq to the USA:-

http://www.eia.gov/petroleum/supply/monthly/pdf/table53.pdf

At $100 oil prices, that’s just $22.6m per day (or $8.25bn per year), which would take 10,317 years to “support” a $1 rate “RV”, 36,112 years to “support” a $3.5 rate “RV” or 361,123 years to “support” a $35 rate “RV”. These above facts alone completely destroy the completely delusional “oil credits” Guru made-up fantasy.

44. Iraq’s 2.7m daily oil exports make up just 3% of Earth’s total 90m barrels per day. It’s totally irrational to pretend Iraq’s going to “save” the $80,000bn annual global economy with $100bn annual oil revenue…

45. Iraq’s $210bn GDP is about 10% smaller than Greece or Finland, and roughly the same size as Portugal, Algeria & Ireland. This is a 0.26% share of the $80tn global economy.

46. With 85,122bn Dinar in circulation, if Iraq “RV’d” to $1, they’d end up with 1.06x planet Earth’s worth of money (but still have only a 0.26% share of the planet’s economy). If they “RV’d” to $3.5, they’d end up with 3.72x planet Earth’s worth of money (but still have only a 0.26% share of the planet’s economy). If they “RV’d” to $35, they’d end up with 37.2x planet Earth’s worth of money (but still have only a 0.26% share of the planet’s economy)! Can anyone seriously sit there with a straight face and say it’s “unfair” that a country with a 0.26% share of the global economy doesn’t have 360%-3,600% more money than everyone on Earth combined? Or that Iraq “should” have 1,418-14,180x more money than the size of its economy and that all that money “should” be immune to inflation for no reason whatsoever?

47. Iraq’s 140bn oil reserves is half that of Venezuela’s 298bn, who redenominated / lopped 3-zeros from 2,150:1 to 2.15:1 in 2008.

48. Similarly occupied by the West Afghanistan also redenominated / lopped from 4300:1 to 4.3:1 in 2002-2003.

49. The current NID notes you hold have *never* had a market rate anywhere near $3.22 The “$3.22″ rate bandied about applies only to the non-inflated demonetized “Swiss Dinar” which has already been corrected back in 2003 when they were redenominated at a rate of 150:1 vs the NID (New Iraq Dinar), ie, Iraqi’s who held the non-inflated Dinar’s have already been given 150 for every 1 held to match the value of the inflated NID (and the price of everything in Kurdish regions were adjusted upwards by 150x too) was – LONG before the Dinar hype started up. The “correction” people are waiting for not only doesn’t apply to the current banknotes, it has already taken place in 2003 for the banknotes it did apply to!

50. Oil reserves have ZERO effect on the currency as to include them would be trying to sell the same product twice – once when you find it, and a second time when you dig it up and actually sell it! The same is true of the “GCR” fantasy whose bogus economics are based on countries “factoring in” natural resources twice over (counting reserves then counting them again as exports). The real world doesn’t work like that. The only thing that possibly has any impact on currency values is exports (and only then by using the revenue for increased currency reserves). Oil reserves have ZERO impact. See Russia, Nigeria, Kazakhstan, Angola, Algeria, pre-lop Venezuela, etc (all top-20 oil exporting countries with weak currencies).

51. All most people do is keep confusing “economy” with “currency”. They are not interchangeable. It’s possible to have a strong currency and weak economy (Greece, Portugal, Fiji, etc) – and it’s possible to have a weak currency and strong economy (China, South Korea, Japan, etc). Currency is not a “stock” in the GDP

52. Currency and debt are also not the same thing. Greece is drowning in debt yet is still 1:1.37 vs the $. Conversely, Vietnam’s debt is only a fraction of its GDP yet its ultra-weak currency 21,060:1 is because they have printed several QUADRILLION Dong.

53. “Iraq wants a strong currency because they plan to export more” is totally backwards! All the major exporters WANT weaker currencies because it makes them more relatively competitive vs peer countries. Exporters benefit more from weaker currencies (their products are more competitively priced – see China’s UNDER-pegging of the Yuan vs the USD), and importers benefit more from stronger ones (it allows them to buy import more per $).

54. The effect of Iraq appreciating the Dinar 100,000-3,500,000% vs every other country is exactly the same as the Dinar remaining static against EVERY other country depreciating their currencies by 1,000-3,500,000! Think of the negative effect that would have on trade! If everything moved 1,000x fold without any redenomination, then quite obviously every Iraqi product will suddenly become 1,000x more expensive for non-Iraqi’s to import as the obvious flip side to the 1166:1 to 1.166:1 “RV exchange” would be that today 1 Dinar = $0.00085 and tomorrow that same 1 Dinar would become $0.85 (or it would cost non-Iraqi’s 1,000x more to import Iraqi goods as it would take 1,000x more USD’s to buy the same number of Dinars!) It’s shocking that people never see the obvious common sense “flip-side” that if the Dinar magically appreciated 1,000x vs the $ overnight, the effect would be exactly the same as if Obama devalued the USD 1,000x against a static Dinar! NO-ONE would trade with Iraq and Iraq’s export economy would collapse overnight!

55. The CBI has $80bn of currency reserves ($1.2bn gold bullion + mostly USD’s) to back 85,122bn over-printed Dinar (less than $1 worth of assets for every 1064 Dinar). In reality, this gives them 10% lee-way though they actually want a slight buffer as a tool against internal inflation (as explained in last year’s IMF report):-

- If it “RV’d” to $1, the CBI would run out of Dollars & Gold before exchanging even 0.1% of everyone’s banknotes.

- If it “RV’d” to $3.5, the CBI would run out of Dollars & Gold before exchanging even 0.027% of everyone’s banknotes.

- If it “RV’d” to $35, the CBI would run out of Dollars & Gold before exchanging even 0.0027% of everyone’s banknotes.

No matter what “rate” you pick, the +100,000% Dinar “RV” is a mathematically & economically impossible scam, always has been & always will be.

From this point the real debate began. I am not going into what everyone said. I just want to highlight a few things that I found interesting.

Posted by Hitherunto January 25, 2014

Man, I wish I had an hour to address all of these ‘facts!’ Couple of quick observations:

1. Your M1 figures are based on 2012 CBI data, they have spent more than 18 months repatriating IQD from circulation.

2. I’ve lost count how many prominent, respected commentaries I’ve read that point to a shift away from petrodollar reserve platform, towards an SDR platform based on a formulaic approach to sovereign-state commodity value. I’m not just referring to Glenn Beck or Jim Willie, who many think are looney – Jim Sinclair, Jim Grant, Peter Schiff, WEF founder, Jim Rogers, Marc Faber, Doug Casey (and many more) all see a shift from West to East with respect to a global reserve currency framework. You can believe what you want, but I kinda take the word of those guys with conviction. All the talk about the impossibility of a currency increasing in value by 10000% is kinda silly, since we’re talking about inversely-correlated pairings. Take a forex 101 class, it’ll start to make some sense. If you don’t believe there will be an economic reset of correlated currencies, there isn’t much to discuss. ;-)

I’ll try to come back later and address the numerous facts you’ve listed – it’s some great research, but many are not facts at all, or are based on some pretty old data points. For the record, I have no idea if the dinar will revalue at a high rate. The info you posted on dollar pegging, on M1, on future IQD value needing to be based on USD affixing value…man, the info is one bubble off plumb…

This is Jack’s Reply,

Posted by Jack January 25, 2014

“Your M1 figures are based on 2012 CBI data, they have spent more than 18 months repatriating IQD from circulation.”

1. Rubbish. People have been pumping this “Iraq have secretly been taking all the banknotes out of circulation” guru nonsense every year since around “Okie Oil Man’s” original 2007 comedy act, and every year it’s proven wrong, again & again. You can almost set your calendar by it, LOL. In Dec 2012, Iraq’s M1 was 63,736bn Dinar. Figures from Q4 2013 show that Iraq’s M1 is still 71,777bn Dinar. Iraq is NOT reducing their money supply at all. Quite the opposite, between 2012-2013 they increased it by around 12.5%.

2a. As for “SDR’s”, first of all, Iraq has only 1.188bn SDR’s (worth all of $1.829bn).

b. SDR’s are almost half $ anyway : 41.9% USD / 37.4% EUR / 11.3% GBP / 9.4% JPY. An SDR is a basket of 4 currencies and spreading the 100% USD risk across more Euro currencies. In no way shape or form will that result in any significant “RV” because the Dinar is still not undervalued vs the Euro at 1590:1 or the GBP at 1917:1 or the Yen at 11.37:1. It’s laughable people predict the “collapse of the West” then pump SDR’s which are comprised of 90.6% Western currencies (or 100% if you call Japan “Western”) … :-)

It doesn’t matter how many countries reduce 100% pure USD reserves for a mix of 42% USD / 37% Euro’s, etc (SDR’s), as the IQD is still not undervalued vs any of them both individually or the SDR as a whole, given the tens of trillions worth of Dinar they’ve created. This will continue to be the true until they redenominate.

Hitherunto said,

Posted by Hitherunto January 25, 2014

Jack, at some point you will allow the scales to be removed from your eyes. I’m not talking about Iraq’s SDRs…and if you think USD will comprise half of the SDR framework, there’s no point in continuing the conversation. Every single time anyone mentions a transition away from US petrodollar framework, you shut down emotionally. The line forms to the left with economists way smarter than me or you than understand the global shift. Do you even comprehend how BRICS possess more gold than all other countries combined, or how both the IMF and BIS have stated – on record – that voting rights for SDR platform will see a shrinkage in Western influence? The instant you lifted your leg on commentary by Jim Willie, I figured you had another agenda. Either your a Keynsesian or blindly loyal to US economic dominance – in either case, you’re in for a rude awakening, brotha…

This is Jack’s Reply,

Posted by Jack January 25, 2014

Hitherunto, you’re the one who believes every contradictory “rumor” you read without even checking basic easily verifiable facts, and now you’re just upset & embarrassed that that’s been pointed out. “The CBI took half of Iraqi’s money away from them in 2013, it’s true I read it on the net!”. Enough said as to the “quality” of your “intel”…

“Do you even comprehend how BRICS possess more gold than all other countries combined” being another perfect example of an outrageously false claim. BRICS have certainly been importing more gold but over half of what they import gets consumed in industrial use & demand for jewellery:-

“In 2013, the country [China] produced 342t of gold and consumed 840t, importing 498t”. That isn’t even remotely the same as the lie “China has been secretly adding 498t to their currency reserves every year” that you seem to be pumping… Same is true of India – they use nearly all of what they import in jewelry. That’s why the Indian govt slapped on a 10% duty on gold bullion but a 15% import duty for gold jewelry. Most gold in Asia is going to private citizens not banks. Combined Eurozone gold reserves alone are more than the combined BRICS reserves, so that’s another lie you’ve told.

As for “revaluing national currencies based on Gold in a global reset”, here’s Gold’s share of national reserves by country:-

84% Portugal

76% Greece

70% USA

66% Germany

65% France

65% Italy

52% Netherlands

48% Austria

33% Belgium

23% Spain

12% UK

10% South Africa

7% India

2% Iraq

2% Saudi Arabia

1% China

1% Brazil

http://en.wikipedia.org/wiki/Gold_reserves#Officially_reported_gold_holdings

http://www.imf.org/external/np/sta/ir/IRProcessWeb/colist.aspx

99% Of China & Brazil’s wealth is holding other countries paper money (trillions of paper USD’s). 98% of Iraq’s is USD paper. 93% of India is again paper money. It really is time to drop the total mental delusion that a. We’re going back on a 100% full reserve gold standard. There simply isn’t enough gold in the world which is why we came off it in the first place! The entire combined GLOBAL reserves is around 32,000 tons or around $1.2tn worth (compare that to the $80tn global economy), and b. That doing so will cause Iraq to soar and the USA to plummet because Iraq holds a tiny 30t ($1.5bn…) which is less than Nepal’s or Slovakia’s…

Yes I know about their proposal to include BRICs currencies in SDR’s, but even if that happens, the Dinar is STILL not undervalued vs any of them because it is STILL not undervalued vs any of the BRICS currencies either. Just like the inflated…

- Iranian Rial at 38,078:1 vs SDR

- Indonesian Rupiah at 18,623:1 vs SDR

- Colombian Peso at 3,075:1 vs SDR

- Lebanese Pound at 2,311:1 vs SDR.

- South Korean Won at 1,631:1 vs SDR

- Chilean Peso at 843:1 vs SDR

etc, etc, for about two dozen other countries… aren’t “undervalued” vs the SDR or $ either, both now and post any BRICs inclusion.

You seem to be one of those ‘special people’ who thinks that Indian’s buying private wedding rings, etc, will magically cause Iraq’s currencies to shoot up 1000x fold for no reason… Or that “Western 35-90% paper / 10-65% gold” reserves backing 10tn money supplies are “worthless” but China’s & Iraq’s 98-99% paper / 1-2% gold backing +80tn-110tn trillion money supplies are “under-valued”. LOL. :-D

Iraq has $80bn of Forex reserves (98.5% paper USD’s + 1.5% gold) to try and back a 85,122bn Dinar money supply. Whether they back it with $80bn Dollars or dump Dollars in favor of : €58.4bn Euro’s ($80bn worth) or £48.5bn Pounds ($80bn worth) or 52.0 SDR’s ($80bn worth) or 63,029,099 oz Gold ($80bn worth) (in reality Iraq only has $1.2bn), what determines the Dinar’s value is the amount they have, not how many currencies they spread it across… All the latter does is increase stability against FUTURE devaluations of the USD, it does not “magically” correct 20 years worth of the devaluating effect of Iraq expanding its money supply by printing 85tn Dinar which is precisely why it fell +1,000x in value in the first place… The only thing that DOES correct that is a redenomination, which is precisely what Iraq are planning to do…

If you have $4,000 and you swapped $1,496 for €1,093 EUR, swapped another $452 for £274 GBP, swapped another $376 for 38436 JPY, and kept the remaining $1,676 as USD’s, you’d still have $4,000 worth of currency in total, not $4m-140m. LOL. Well that’s exactly what an SDR is in a nutshell. Nothing more than that.

And if BRICS-included SDR’s were modified to 9x equal 11.1% shares of USD / EUR / GBP / JPY / CNY / INR / ZAR / RUB / BRL, you’d STILL have $4,000 worth. It won’t make ANY country’s hyper-inflated currency shoot up, it’s just a hedge against further FUTURE unilateral devaluation of the USD for currencies that are pegged to the USA (and only then on the false assumption that the USA’s inflation rate will only ever be higher (Russia’s is 6.5%, India’s is 6.0-7.5%, Brazil’s is 6%, South Africa’s is 5.5-6.5%, etc).

Hope this helps to clear up your obvious deep confusion…

Jack posted a reply to numbers. He also quoted numbers in his reply,

Posted by Jack January 25, 2014

‘NUMBERS – “ALL OF THESE PEOPLE WHO BELIEVE THE US GOVERMENT HAS OUR BEST INTEREST IN MIND WILL ALL HAVE A RUDE AWAKING WHEN THE US DOLLAR CRASHES AND THE DINAR IS WORTH MORE”

But not half the rude awakening by those “The End Is Nigh” nuts who think the best hedge against a collapsing USD is to buy someone else’s 1,164x more worthless fiat paper that’s both pegged to the USD and 98.5% backed by paper USD reserves :-D

Hitherunto responded to Jack

Posted by Hitherunto January 26, 2014

Wrong through and through, Jack.

I will trust Jim Grant, Doug Casey, Marc Faber, Peter Schiff, Klaus Schwab, Jim Rogers, Jim Willie, Mark Skousen, Gerald Celente, Mike Maloney, John Williams (Shadow Stats founder, world-renown economist who kinda know a little about gold purchases, and claims BRICS have purchased more gold in last 18 months than all other countries combined), billionaire Eric Sprott…geez, my fingers hurt just typing the names of people who disagree with you. Nobody said currencies would revalue based on gold, you kinda tripped yourself up there. That exposes your bias. Your 80B reserve IQD number is askew as well (actually, significantly so).

Just admit to everyone here that you love statistics that support your bias and world view, and refuse to embrace a global shift because you refuse to see the end of American hegemony. It’s ok, it took me almost a decade to come around to it too. We don’t need to go back and forth citing our pet stats, I know where you stand. Remember – lies, damn lies, and statistics. My suggestion? Broaden your world view beyond your nose. Your a pit bull, locked onto your subjective views of the world, and the world spins contrary to this myopia.

Oh…and follow the advice of Jim Rogers, and learn Mandarin. It’ll come in handy some day.

Here is Jack’s reply,

Posted by Jack January 26, 2014

“and claims BRICS have purchased more gold in last 18 months than all other countries combined”

Earlier you said “possess more gold” now it’s just “imported more gold in 2012-2013″. Glad to see you’ve corrected your mistake.

“Your 80B reserve IQD number is askew as well (actually, significantly so).”

No really it isn’t. Iraq’s reserves were $61.04bn (Dec 2011) increased to $70.33bn (Dec 2012) increased to $76bn (June 2013):-

“BAGHDAD/ Aswat al-Iraq: Central Bank of Iraq (CBI) announced that its foreign currency reserves reached to $76.5 billion.”

increased to around $80bn (end of last year):-

“The bank announced recently that the reserves of Iraq’s foreign exchange and gold amounted to about $ 80 billion, compared with approximately $ 74 billion in June.”

This is just you trying to “pretend away” any “inconvenient” facts you don’t want to hear again…

Conclusion

I got Jack’s permission to add his facts to my list. Now there are 55 fact’s in this list. A special Thank you goes out to Jack for sharing this information. A special thank you also goes to Baghdad Invest for their unbiased views and their desire to find out the truth about this investment. There is a wealth of information in the comment section over at Baghdad Invest where this article is posted. I would highly recommend that everyone read through it.

http://www.baghdadinvest.com/40-facts-why-iraqi-dinar-revaluation/

The big monkey wrench in this whole dinar investment is the amount of currency that Iraq has in circulation. The numbers don’t lie and they show this revalue to be pure fiction! Before people can believe in a revalue the amount of dinar in circulation has to decrease. This is where the gurus come in. They make up bogus scenarios like Global Currency Reset. They talk about different numbers which do not have any truth to the real amount of dinar out there. The truth is this. Any revalue of the Iraqi dinar to even 1,000 percent would bankrupt the nation. If Iraq paid you for your dinar exchange then that money has got to come from somewhere. This would result in Iraq losing and you would be gaining Iraq’s wealth. This is not going to happen.

 

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Clarification for 40 facts

In my last article I gave 40 facts about the Iraqi dinar. These facts were meant to debunk a video that had a lot of wrong information. The video is now pulled down and no one has access to it anymore. This is a good thing. The video made wild claims. It said that Turkey revalued their currency. The video also said that Japan and Kuwait revalued their currencies. My post was just an effort to set the record straight. The article is called That’s a Fact Jack.

Baghdad Invest copied the article to their site. A lot of people commented and the discussion was great. As a result more people became familiar with the fact list. The fact list was arranged in a way so that when people saw the video they would recognize the things it said were untrue. That is why the video was at the bottom of the facts list. You got the facts first then you watched the video. People could see the truth and then when they saw the video they would identify all the wrong information.

A man named Stryker copied my whole article to his site. He also responded to each of the 40 facts I listed. He invited me to come on his show and debate these facts with him. I watch both of his videos and seen his response.

I am of the opinion that any discussion will not be civil. While I respect Stryker’s point of view I don’t feel like he would respect mine. In his video he was very condescending. He acted like I wrote the article and put his name on it. He acted like the whole thing was addressed to him. He was offended, He was rude, and he was arrogant as well as insulting. He was quite bitter and vindictive especially at the end where he talks about speaking to his “buddy” about my use of the phrase that’s a fact jack.

For these reasons I don’t feel like we could have a civil discussion. I don’t think anything will be accomplished. I am not upset with this guy and I actually like him, but I think he would be too emotional. If we can’t just talk about the facts in a friendly way then there would be no point! I remember him from my time at Dinar Vets. He has been around a while. We got along fine and I had respect for him back in the day. In fact we were friendly towards each other back then. I also understand his frustration.

To be fair Stryker was offended because I used terms like Gurus claim that. He was upset with me because he thought I lumped everyone into the same category. This is not the case. I did not say All Gurus or All Dealers are dishonest. I was not all inclusive because that is simply not the case. I did not single anyone out with the exception of Tony TnT, which I will clarify later. Nothing in that article was directed at Stryker or at anyone he may represent. He was offended at comments that were not directed towards him or his research team. Stryker did have some misconceptions about my facts that I want to clear up now

1. In the first video he seems to think that Baghdad Invest wrote the article. I think he figured it out by the end of the next video. But in the first video he seemed to address Baghdad Invest as the author

2. He said that I was hiding under a user name. Once again I think he was thinking of Baghdad Invest when he said that. I am not hiding. Google Iraq Currency Watch and my name come up. Google my name and Iraq Currency watch comes up. Everyone knows where I am and who I am. It is not hard to find me.

3. He seems to imply in his first video that I said the currency is a scam. That is not the case. The dinar is not a scam in and of itself. There are people using the dinar to operate scams. But I will qualify this later when we get into the facts

4. Stryker questioned the agenda of the author which is me. I believe at this time he assumed Baghdad Invest (B.I.) wrote this when all they did was copy my article and link to it. As for my personal agenda I don’t have any ads on my site that generate any compensation. The reason for the ad toward the bottom of the page is simple. It is placed there by the blog host to generate revenue for the server not me. There are no donate buttons. I have never ever made 1 dime from this whole thing. My opinion is not purchased and it can’t be paid for. I don’t sell other products on this site. So money is not the agenda and no one pays me. My only agenda is the truth, that’s it.

5. He seems to question why certain facts where in the list. And in some of his comments I could see that he did not understand why I was stating certain facts. He seemed unclear of the points I was making and the reason for certain links. In spite of his venting toward me I still like this guy. We probably even have similar political views. I am willing to bet that there are others who had problems understanding my points as well. So for the sake of clarity I will go through each fact in more detail in an effort to provide some clarity. I will address each video Stryker made. It is my hope that this will clear up any confusion.

The facts from the previous article will be BLUE. Stryker’s response will be PURPLE. My clarification will be BLACK and very important points will be RED.

Video 1

Fact 1: Currently there is over 34 trillion Iraqi dinar in circulation outside of the banks. That’s Trillion with a T!

Stryker says that some articles in Iraq say 34 trillion and some say 35 trillion.

My numbers don’t come from articles. They come straight from the CBI. I said over 34 trillion and did not use an exact number.

Fact 2: The CBI has over 71 trillion Iraqi dinar in there M1 money supply. Check the CBI website

Stryker says that I believe the government is transparent.

The truth is I believe the numbers from the CBI. Not the news articles.

Fact 3: The CBI has over 85 trillion Iraqi dinar in their M2 money supply. Check the CBI website.

Stryker thinks the CBI is not truthful and they are not giving accurate numbers.

All these numbers I got from the CBI website. They are in a document called key financial indicators. You can go to the CBI website and download the document. It is an excel document. That is what I base these first 3 facts on.

Fact 4: America’s total M2 money supply is only 11 trillion. There is not enough to cover a revalue to even a dollar.

Stryker said that if you take 1 dollar out of circulation you are removing 1166 dinar out of circulation. It is an artificial economy.

I would challenge anyone. Go to google and type in United States money supply M2. I am not really sure what Stryker’s point has got to do with only 11 trillion U.S. dollars in circulation? The term I believe he is thinking of is dollarized or currency substitution. Here is a link.

http://en.wikipedia.org/wiki/Currency_substitution

Fact 5: In all of history there has never been a revalue above 50 percent. NEVER!

Stryker agrees with me on this one.

Fact 6: If the dinar were to revalue to 1 penny that would be a 1,000 percent revalue given the current exchange rate.

To answer this Stryker goes into a rant about currency before the war the difference in oil prices before the war and now. He covers a few other points.

None of his points invalidate this fact. None of his points have anything to do with this fact.

Fact 7: If the Dinar were to revalue to 1 dollar that would be 100,000 percent revalue given the current exchange rate.

Stryker says that the dinar will be a reserve currency and there will be about 25 billion in circulation in Iraq.

This does not even rebut Fact 7 and it is speculation at best.

Fact 8: If the dinar were to go to its prewar rate it would be a 300,000 percent revalue given the current exchange rate.

Instead of addressing this one Stryker thanks me. He says thanks for the lesson fact boy.

It’s nice to know that all my hard work is finally being appreciated. Thank You Stryker.

Fact 9: Iraq was involved with a currency scam in the 1990’s which is similar to the current dinar scam going on today. In 1993 25 billion was lost to private investors outside of Iraq because of the same hype we see today. Check the Link below,

http://iraqcurrencywatch.wordpress.com/2014/01/15/dinar-updates-5/

Stryker gets on a soap box about my use of the word scam. Later on he criticizes me for using an article in my blog as proof for this fact.

If Stryker had taken the time to click on the link he would have found out that link is an article I wrote that contains third-party links which in turn verified that fact. The article explains everything about that fact in much more detail. So let me provide some third-party links now. I will not use my site at all.

http://www.nytimes.com/1993/05/16/world/fortunes-in-iraqi-bills-gone-overnight.html?src=pm

http://people.ischool.berkeley.edu/~hal/people/hal/NYTimes/2004-01-15.html

http://jpkoning.blogspot.com/2013/05/disowned-currency-odd-case-of-iraqi.html

There are three links and you will find more if you use Google. The link below is an ongoing lawsuit that says this current dinar scam has been going on since the first gulf war. This assessment is from the prosecuting attorney for another law suit under way in Ohio.

http://www.pigottlaw.com/Iraqi-Dinar-Scam

Fact 10: Iraq’s reserves have been growing as a direct result of their currency being exported. The United States does not have a bilateral investment treaty (BIT) with Iraq. There are no bilateral treaty obligations which protect the dinar outside of country. Check the link below. In addition Iraq’s National Investment Law does not cover the banking sector and excludes it’s currency. A copy of this law can be obtained here. http://www.export.gov/iraq

http://dazzlepod.com/cable/09BAGHDAD265/?q=rasheed%20bank%20iraq

The link I provided above is a Wiki leaks document. This is an official government report from the embassy in Baghdad. Let me just quote the important stuff so you don’t have to read the whole thing.

“NIL’s provisions should provide an open investment regime for foreign investors. However, the NIL does not permit foreign investors to own land, though they may lease (for 50 years, renewable). It also does not cover investments in the oil, banking and insurance sectors. (A copy of the National Investment Law can be obtained from the U.S. Department of Commerce Iraq Task Force website – http://www.export.gov/iraq/.)”

“Banks may engage in spot transactions in any currency, but are not allowed to engage in forward transactions in Iraqi Dinar for speculative purposes”.

“whether foreign investors will enjoy protection from expropriation that meets international standards will likely depend on domestic implementing legislation and/or future bilateral treaty obligations with investor states. The United States does not have a Bilateral Investment Treaty (BIT) with Iraq.”

“Article 27 of the NIL, which details the rights of Iraqis and foreigners with respect to Iraqi law, refers to dispute resolution. However, the absence of implementing regulation makes application of the law uncertain in practice”.

The point is there are no treaties or laws in place between Iraq and America that demand Iraq honors it’s currency outside of it’s borders. I will go into much more detail in my next article.

Fact 11: A redenomination would strengthen the dinar and drastically reduce the amount of currency in circulation.

Stryker says that this is surface research only. (not sure what he means by this)

My research is pretty detailed and the fact is not debunked by making fun of my research abilities.

Fact 12: A revalue like the gurus claim would be the same as adding currency to the money supply and it would contribute to hyper-inflation. It would not only make the currency weak it would totally collapse the currency. (check the feds document called Modern Money Mechanics)

https://archive.org/details/ModernMoneyMechanics

Stryker says that is the reason for so many studies.

Hopefully I can give Iraq a tip and this will save them some money and they won’t need to conduct any more studies. Here is the tip.

IF YOU WANT A STRONG CURRENCY THEN DON’T TAKE 85,000,000,000,000. DINAR THAT IS CURRENTLY WORTH 1166 TO A $1.00 AND MAKE EACH DINAR WORTH $1.00

There you go, no need for any more studies. Hope that helps. This number is taken from their M2 supply. However the same holds true for their M0 supply.

Fact 13: There was never a Kuwaiti revalue after the gulf war. Check the Kuwaiti Central Bank Website. Look at Wikipedia. and Check the link below.

http://iraqcurrencywatch.wordpress.com/2012/04/15/the-truth-about-the-iraqi-dinar-part-2/

Stryker said I got this one right, but I was speaking in half facts. He asked what my point was

Ok my point is simple. The video that this fact was addressing says that there was a Kuwaiti Revalue, second the Kuwaiti dinar fell and rose again due to market speculation. It had nothing to do with a revalue of the currency.

Some gurus in the past used Kuwait as a comparison to what Iraq’s currency is going to do and why Iraq’s currency will revalue. This is not the same thing. Kuwait was a market driven event. Any revalue is a policy driven event done by the central bank. Kuwait’s dinar history provides no evidence what so ever of a coming Iraqi revalue of even 1000 percent. That’s my point!

Video 2

Stryker started with fact 13 even though he covered it in the last video. He said I was speaking in half facts again.

Fact 14: In 2005 Turkey went through a redenomination with their currency. (TURKISH LIRA) They did not revalue their currency. Check the link below.

http://www.isdadocs.org/speeches/pdf/turkishredom121004.pdf

Once again Stryker asks what’s my point?

The point is this. The video I was debunking said that the Turkish Lira revalued. The fact was addressing the video and that was the reason for the link. If he had taken the time to watch the video he would have known that.

Fact 15: Only pegged currencies revalue. It is a policy decision made by the central bank for that country. Floating currencies don’t revalue. The market determines the price.

http://wiki.answers.com/Q/What_is_the_difference_between_a_floating_and_a_pegged_exchange_rate

Once again Stryker asks what is my point? and once again this point is meant to address the video.

Fact 16: Japan’s currency floats. It did not revalue in the 1980’s.The yen isn’t pegged so it wasn’t a revaluation. Second, the yen gained ground simply because the dollar was devalued as a cold war strategy in 1985. Although there were people who did make money from the yen, it was never because of a revaluation. This is known as the Plaza Accord

http://en.wikipedia.org/wiki/Plaza_Accord

Stryker says that Japan has nothing to do with the dinar and that no Guru even mentions Japan.

Once again this fact addresses the video. This is because the video says that Japans floating currency revalued. The video showed this as proof that Iraq’s currency was certain to revalue because Japans currency did the same thing.

Fact 17: There is a feasibility study that circulates the dinar forums as proof of a coming revalue. Gurus claim that it is proof for a $1.13 to $1.17 revalue. Here is the study.

http://www.mop.gov.iq/mop/index.jsp?sid=1&id=308&pid=295&lng=en

The truth is this study is from 1984. It is during the Saddam era and it predates both gulf wars. It also predates the hyper-inflation Iraq went through during the 1990’s. In addition to this, the Gulf Wars in Iraq did not devalue the currency. The currency went through hyper-inflation during the 1990′s as a result of overprinting and Saddam invalidating the Swiss dinar outside of country. (See dinar updates 5) This Study no longer applies!

Stryker says that Iraq did not have hyperinflation in the 90’s. He says it was a combination of 3 things.

Please note the following link.

http://en.wikipedia.org/wiki/Hyperinflation

Scroll down to see Iraq’s hyper- inflation. You will see hyper-inflation happened between the years 1987 to 1995. That equates to approximately 315% inflation per year averaged over that eight-year period. I guess because I did not include the years 87, 88, and 89 I was only using a half fact. The truth is this study still predates hyper-inflation and it does not invalidate that fact!

Fact 18: Oil in Iraq is sold in dollars. It is not sold in dinar.

http://bvawe.wordpress.com/2011/07/23/the-role-that-oil-plays/

Stryker asks what does that fact have to do with the revalue of the dinar?

I found that question odd because later on he makes a case for assets possibly backing the currency and throughout the video talks about Iraq’s oil supply as if it is going to have something to do with the new rate. Maybe I just don’t understand his point.

Fact 19: Iraq is not reducing the money supply. Check the CBI website

Here Stryker says that I do no real research. He says he looks at articles that say Iraq keeps money in vaults outside of banks waiting to be destroyed. He claims you can’t trust everything the banks tell you.

This is one of the fundamental differences between my belief and Stryker’s. My fact is based on the central banks numbers. Line 79 of the Key financial indicators says that Iraq has 34 trillion 466 billion outside of banks as of this writing. This is not money waiting in vaults to be destroyed.

This is money that went to the public banking system and has been released into circulation. Stryker raises a good point when he talks about the dollar. His point about Iraq being dollarized and not that many dinar in circulation could be true.

There is a lot of dinar outside of Iraq. I don’t have exact circulation numbers but trillions left the country. That would make up for any lack of dinar inside of Iraq if there is one.

Fact 20: The U.S. Treasury does not have trillions of dinar. (check the BH indictment)

Here Stryker says I have no real research and that I do not know for sure.

The problem is I do have some real research and I will show it to you in a minute. This same evidence covers fact 21, and 22.

Fact 21: Executive order 13303 does not protect the dinar investor. (Once again check the BH Indictment) The U.S. government got a conviction for fraud based on the statements in Fact 20 and Fact 21. According to the Federal Government, It is illegal to import Iraqi dinar. Check the link below.

He agreed with me on this but he says no one said 13303 protected the investor.

Stryker should know that this is one of the forum facts that circulated D.V. back when I was there. Everyone believed that 13303 protected people who purchased dinar. It was also on dealers websites. Keep in mind that I am not implying that every dealer had this on their site. I am not going to name any dealer or any guru. I am not going after anyone. I only want the truth.

Stryker thinks because I say dealers I mean all dealers. He thinks if I say Gurus I mean all Gurus. That is simply not the case. I am not lumping everyone together. This is a misunderstanding on his part.

Stryker did not agree with the statement about importing Iraqi dinar is illegal. He asked the question, what proof do I have? Check out this link.

http://www.realscam.com/attachments/f12/1576d1348185792-bayshore-capital-investments-bh-group-bhgroup_indictment.pdf

Stryker seen this link at the end of fact 26 and he criticized it for saying real scam. If he had taken the time to click on the link like us surface researchers do then he would have discovered that a download would have opened. He could have downloaded the entire B.H. Indictment unedited as it was submitted to the court. Those who have been involved in the dinar community for any length of time need no introduction. For those who do need an introduction I will allow this indictment to do that. So I am going to quote directly from this document. You can download it and compare it to the statements below to see if I am being truthful.

The “BH Group” was formed by BRADFORD HUEBNER to market and sell the Iraqi official currency, the “dinar,” to individuals as an investment.

BRADFORD HUEBNER filed paperwork registering the BH Group as a money service business specializing in the sale of Iraqi dinar.

CHARLES N. EMMENECKER is a self-styled entrepreneur who resides in Sylvania, Ohio. In recent years, CHARLES EMMENECKER has primarily marketed and sold a health­ related beverage described as “Xango.” In August 2010, CHARLES EMMENECKER merged his direct-marketing business with BRADFORD HUEBNER’s dinar business, which BRADFORD HUEBNER and MICHAEL TEADT were operating. By this time, BRADFORD HUEBNER had allied himself with a Jacksonville, Florida based resident by the name of RUDOLPH COENEN, in connection with marketing two non-existent “hedge funds” to both the BH Group’s dinar customers, as well as CHARLES EMMENECKER’s Xango distribution list.

MICHAEL TEADT entered into a conspiracy with BRADFORD HUEBNER regarding the sale oflraqi dinar currency in July 2010.

5. RUDOLPH M. COENEN is a resident of Jacksonville, Florida and holds himself out as a currency expert and former Vice President at JP Morgan Chase. RUDOLPH COENEN has variously claimed to be a former Marine who was wounded in combat during the first Gulf War, as well as a Purple Heart recipient. In fact, RUDOLPH COENEN worked for JP Morgan Chase for a total of one day as an Account Executive/Loan Officer and not as a Vice President, never served in the first Gulf War, was never wounded in combat, and never received a Purple Heart. RUDOLPH COENEN was instrumental in developing materially false and misleading statements regarding the Iraqi dinar currency and in falsifying information regarding the two non-existent hedge funds.

14. BRADFORD HUEBNER, RUDOLPH COENEN, CHARLES EMMENECKER, and MICHAEL TEADT often discussed during weekly telephone conference calls with potential investors, Executive Order 13303 which they alleged to protect the right of U.S. citizens who invest in Iraqi dinar currency. In fact, Executive Order 13303 protects assets of the Development Fund of lraq (DFI) and other Iraqi assets from legal attachments or liens. The Coalition Provisional Authority created the DFI in 2003 in order to promote the transparent use of Iraqi funds for purposes benefiting the people of lraq. Any assertion that Executive Order 13303 promotes, protects, or regulates the sale of, or investment in, Iraqi dinar is false.

15. BRADFORD HUEBNER, RUDOLPH COENEN, CHARLES EMMENECKER, and MICHAEL TEADT often discussed during weekly telephone conference calls with potential investors, the U.S. Department of the Treasury holding the Iraqi dinar, further alleging the Department of the Treasury held trillions of lraqi dinar for investment purposes. In fact, the U.S. Department of the Treasury does not hold any Iraqi dinar for investment purposes and holds only a nominal amount for use in daily operations. It was further the purpose and object of the conspiracy that BRADFORD HUEBNER,

Now look at this link. It is from U.S. Customs and the Department of Homeland Security

http://www.ice.gov/news/releases/1305/130521rapidcity.htm

I am going to quote directly from homeland security and customs using their link.

According to court documents, Olmsted arranged for shipments of Iraqi dinars, the country’s currency, to be sent from the country of Jordan to the United States in split shipments in February 2011. He had previously been federally licensed to conduct foreign currency transactions in 2004 and 2006, but his license lapsed in 2008. Also, importing Iraqi currency is against federal law.”

Now this part is important. I did not say that importing Iraqi dinar is illegal. I said According to the Government importing Iraqi dinar is illegal. Also according to the government they don’t have trillions of dinars for investment. I am not saying this at all. The government is.

It is also important to note that I don’t know if they have also including Iraq Currency law in their indictment. The indictment could be referencing Iraq currency law too. (which I have and studied)

Here is a man they convicted for fraud just for making these statements. Check this link out

http://jacksonville.com/news/crime/2013-04-19/story/jacksonville-man-pleads-guilty-ohio-conspiracy-iraqi-dinar-case#ixzz2RuUFRNdX

So as you can see these facts are accurate. That is why they are included. They are not made up and there is evidence to support them.

Fact 22: George Bush never said the war will pay for itself.

Stryker said that Dick Cheney said it or Donald Rumsfeld said it. He said it was a half fact because someone said it.

The truth is this was another forum fact that circulated the forum back when I was at Dinar Vets. People said that George Bush said the war would pay for itself. It was implied that Bush was hinting about a revalue of the Iraqi dinar and it was part of some great plan. The only problem is no one ever said it. The Bush Administration said oil revenues in Iraq will help pay to rebuild the country. Check out these links.

http://usiraq.procon.org/view.answers.php?questionID=000946

http://www.nytimes.com/2003/10/05/world/the-struggle-for-iraq-reconstruction-report-offered-bleak-outlook-about-iraq-oil.html?pagewanted=all&src=pm

This somehow evolved into Bush said the war will pay for itself. It circulated the forums as fact with no links or sound bites. No proof what so ever.

Fact 23: There was never an agreement for Iraq to compensate America for the war.

Stryker agreed with this assessment, but wondered why I brought it up.

This was another forum fact that was around in 2010-2011.  This was just one of the many rumors told to sell dinar. It usually went along with Bush said the war would pay for itself. This whole thing gave credence to something called the plan. These were all rumors and lies. Stryker should know this.

Here are 3 threads where people claim the war costs must be repaid.

http://dinarvets.com/forums/index.php?/topic/46614-if-there-is-no-1-dinar-bill-there-is-no-rv/

http://dinarvets.com/forums/index.php?/topic/75694-sonny1-afternoon-drive-by-71911/page-3

http://dinarvets.com/forums/index.php?/topic/24742-adam-montana-chat-07-17-10/

Fact 24: Dinar Gurus are being prosecuted for lying about this investment in order to make money off of unsuspecting people. The B.H. Group and David Olmsted serve as examples.

Stryker claims that the B.H. group was busted due to hedge funds and it had nothing to do with the dinar. I would say read the indictment and decide for yourself.

Fact 25: There are many more people who lied concerning the dinar. Tony TnT is just one of many people. In Fact a lot of gurus are multi-level marketers and they come from a questionable past. Check this link.

Stryker says I cannot say he is a liar unless I have proof.

Well I would say click on the Facebook link. Read it and then click on the links within the Facebook link.

https://www.facebook.com/PeoplesTalkRadio/posts/493443510673955

Google 14 daily plus and Anthony Renfrow just to see what comes up. You can also click the links below.

http://www.ripoffreport.com/r/Tony-Renfrow/Sacramento-California/Tony-Renfrow-TNT-Tony-at-it-again-Dinar-Scam-RV-Iraq-RV-Iraq-Dinar-Sacramento-Califo-1104697

http://www.ripoffreport.com/reports/specific_search/Tony+Renfrow

https://www.docketalarm.com/cases/Kansas_District_Court/2–12-cr-20041/USA_v._Renfrow_et_al/1/

His brother Ray was indicted too

http://www.justice.gov/tax/Renfrow_Compl.pdf

Both men pedal dinar together and make major bucks from conference calls according to this link.

http://mriqd.com/2014/01/03/rant-how-the-hack-gurus-make-money-on-free-conference-calls/

There is much more on the internet concerning this man. This is just the tip of the iceberg.

Fact 26: The B.H. indictment says that Iraq plans on redenominating their currency. They got convictions of fraud based on statements saying Iraq was going to revalue its currency. Check the indictment below

http://www.realscam.com/attachments/f12/1576d1348185792-bayshore-capital-investments-bh-group-bhgroup_indictment.pdf

Stryker criticized the link because it said real scam.

Once again, just click on it and instead of a webpage opening up a download happens. You can download the whole B.H. indictment. Let me quote directly from the indictment.

7. The term “revaluation” (casually shortened to “RV” in dinar-sales parlance), refers to the contention that at some point in the near future, the dinar will rise against the U.S. dollar, a circumstance which will enrich earlier purchasers of the dinar. BRADFORD HUEBNER, CHARLES EMMENECKER, RUDOLPH COENEN and MICHAEL TEADT repeatedly advanced claims to potential investors over the telephone, through web pages, and through a weekly internet conference call that even relatively small investors in the dinar would, following the “revaluation” or “RV,” become wealthy overnight.

8. A “redenomination” of the dinar refers to an actual proposal by the Central Bank of Iraq, announced as recently as June 21, 2011, to re-print the currency to remove three zeroes from the physical dinar banknotes as a matter of convenience. A redenomination of the Iraqi currency would not lead to a revaluation by the same amount, and may have no effect on the currency’s value. Under a redenomination, a new currency replaces an old currency, but the value remains the same. Under the proposed redenomination, the Iraqi government would issue a new dinar note that will be equivalent to 1000 current dinars. The exchange rate would be 1.17 new dinars to the dollar, equivalent to 1,170 current dinars to the dollar.

Fact 27: A revalue does not work in tiers. It does not occur in one country before it goes into another country. Revalues are global and they happen everywhere at once. Check Iraq’s history. Every time they changed the rate it was reflected the following day at the currency auctions. New rates go into effect immediately everywhere at once.

I am not really sure of Stryker’s point is here but this is modern money mechanics. I never said that pegged currencies don’t revalue, or that revalues never happen. I said that historically speaking there has never been a revalue above 50 percent.

Fact 28: The dinar is the most lied about currency I have ever seen. There are a lot of scams associated with the dinar investment. Please note that this does not mean the dinar currency itself is a scam. It is valid and used in Iraq. The scam comes from people (dinar gurus) lying to sell the currency to foreign investors to make a huge profit from it.

On this point Stryker says that I am declaring everyone is a pumper. Everyone is a scammer.

This is not the case. I don’t create a list of names or say where these rumors come from. I just go after the rumor itself. Not everyone involved in the dinar is dishonest and that is not what I am trying to communicate here.

My observation is there is an element in the dinar community that is based on rumors and lies. I am not accusing anyone except those who have already been indicted, and even then I am only repeating things directly from the indictments.

Fact 29: The lower denominations were not printed in July of 2011 as the gurus claimed.

Here Stryker claims I got my dates wrong. He goes into different explanations about the new currency.

When I first joined the dinar community in 2010 It was always said that the lower denominations were already printed for the revalue. This rumor circulated often and everyone including myself believed it until these articles came out

http://www.iraq-businessnews.com/2011/06/27/iraq-prepares-to-redenominate-its-currency/

http://www.rferl.org/content/iraq_said_planning_currency_overhaul_redenomination/24245867.html

http://www.alsumaria.tv/news/43253/iraqs-central-bank-to-delete-zeros-from-iraqi-curr

These articles came out in July of 2011. They say that Iraq is going to redenominate their currency. Then they say that when they print the new lower denominations they are going to add Kurdish symbols to it.

This shattered the rumor that the lower denominations were already printed which everyone in the dinar community believed at the time. This is when I first began to seriously doubt this investment. Shortly after this I closed down Iraq Currency Watch.

Here are 3 threads that contain claims that the lower denominations were already printed before July 2011.

http://dinarvets.com/forums/index.php?/topic/46614-if-there-is-no-1-dinar-bill-there-is-no-rv/

http://dinarvets.com/forums/index.php?/topic/75694-sonny1-afternoon-drive-by-71911/page-3

http://dinarvets.com/forums/index.php?/topic/24742-adam-montana-chat-07-17-10/

This also adds credibility to the term Forum Fact.

Fact 30: The dinar requires a reserve in order to give it value. The reserves for the dinar are the U.S. dollar. Currently there are not enough U.S. dollars (reserves) in Iraq to support a revalue to even a penny. Check the CBI website.

Stryker goes into an explanation about the DFI funds may become part of the reserves and how 13303 protects the DFI funds

Just for the record currency reserves and oil reserves are two different things. One has nothing to do with the other. It does not matter how much oil Iraq has. The currency is not backed by Iraq’s resources. It is backed by the reserves the central bank has. The DFI funds are intended to be used for rebuilding Iraq. Any assertion that part of these funds will go into the central bank’s reserves is pure speculation at best and not based on fact. The current reserve amount can be found at the central bank. I go by those numbers.

Fact 31: There is no coming Global Reset that will result in a revalue of the dinar. (article coming)

His response to this was to claim that George H Bush said this or maybe it was Reagan.

President Bush said there is going to be a New World Order. He was speaking about holding nations accountable. He was not talking about currency rearranging itself.

Fact 32: They don’t need to revalue the dinar in order to join the World Trade Organization (article coming with evidence)

On this Stryker comments on researching IMF documents.

I don’t know how he concludes that I am not looking at those documents along with GATT and World Trade Organization documents. This research is still going on. I never say anything without supporting links unless I am speaking from an opinion. Even then I give supporting facts. There were only two facts where I said article coming. Then I will present my evidence. You can decide then if I am right or wrong.

Fact 33: The dinar cannot revalue according to the countries resources. There are not enough resources to back the dinar to even a dollar given the amount of Iraqi dinar in circulation.

Once again Stryker says I have faith in the CBI

Fact 34: There have been well over 70 redenominations in the past. In just about every case hyper-inflation happened as a result of over printing the currency. Redenominations happened both during hyper-inflation and years after hyper-inflation. Check out this study.

http://www.unc.edu/~lmosley/APSA%202005.pdf

Stryker says that this is an education on currencies that have nothing to do with the Iraqi dinar. He then cites all the resources Iraq has including oil resources.

This is the reason for Fact 18. The resources in Iraq have nothing to do with the currency! The two things that directly affect the currency is the amount they have in circulation and the reserves that are in possession of the CBI that are used to back that currency. The oil reserves don’t back the currency.

Fact 35: Removing the zeros is redenomination language not revalue language. Look at Turkey’s redenomination articles, and the study on redenomination above for examples.

http://www.setimes.com/cocoon/setimes/xhtml/en_GB/features/setimes/features/2003/12/031229-FATIH-001

Here Stryker says that Turkey has different Resources and it is different entirely.

This fact was meant to address the video which says that Turkey revalued their currency. A country’s resources are totally different from the country’s currency. National resources do not back currencies. Reserves at a central bank backs currencies

Fact 36: Deleting the zeros does not mean pulling only the higher notes out of circulation. Once again this is redenomination language and it means changing out the entire series of notes. (See the link to the redenomination study)

Here Stryker claims that they are speculating on a revalue before they redenominate.

I think if both happen it will be the other way around. Even so, his opinion does not make this fact void. Read redenomination language and you will see terms like Deleting the Zeros, Removing the Zeros, pulling higher notes out of circulation. This is evidence for a redenomination not evidence for a revalue.

Simply look at the 3rd video In D.C Where Shabibi said deleting the zeros means redenomination

Fact 37: When you go to Forex, (a currency exchange market) and you search for the Iraqi dinar. (IQD) They say the Iraqi dinar is going to redenominate. Furthermore Iraq announced a redenomination.

http://www.xe.com/currency/iqd-iraqi-dinar#additionalinfo

On this fact Stryker says that it is someone’s opinion on Forex.

I made a mistake on this fact. I meant XE says the currency will redenominate. Forex does not say this. When you search Forex for the Iraqi dinar it really says that it does not trade with the IQD at this time. As far as XE goes, it is a disclaimer put out by xe.com. Check it out and see. I am sorry for this slip up. Yes sometimes I make mistakes. Let me correct this fact.

Fact 37: When you go to XE and search for the Iraqi dinar the site says the dinar is going to redenominate. It is a disclaimer based on Iraq’s announcement.

Fact 38: Currencies don’t work the same way as stocks and the stock market.

Stryker asks what is the point of this fact?

This fact was included due to the many comparisons of currency to stock. These Forum facts also circulated the forums.

http://dinarvets.com/forums/index.php?/topic/62638-frank-villa-conference-call-4-14-11-notes/

This link below reveals that the B.H. Group has said this before. The link also shows more light in the ongoing prosecution. It is a 3 page article.

http://www.forbes.com/sites/johnwasik/2013/09/06/inside-the-dubious-dinar-revaluation-ruse/

Fact 39: Some nations keep an artificially low value on their currency because it increases their exports which in turn provide jobs. The end result is a stronger economy. China can serve as this example.

http://bvawe.wordpress.com/2013/11/24/the-real-battle-part-7/

This fact is a conclusion that backs up fact 38 and that’s why it is included.

Fact 40: Shabibi never said that they would have the most valuable currency … he said it would be the strongest and he was referring to it being backed 100%. Once again there is not enough reserves to revalue the dinar to a penny!

Stryker claims Shabibi never said this but the link below totally debunks this claim.

http://dinardouchebags.blogspot.com/2011/12/strongest-currency-in-region.html

Conclusion

Stryker was pretty angry with me for writing this piece. It is clear that he tried to rebut the things I said without researching the links that I posted. He made a lot of assumptions during his rebuttal that are not true. He called me names and mocks my research. He called me Bozo more than a few times, and in a mocking way he referred to me as fact boy. He went on a rant several times and declared how superior his research was to mine even though he never took the time to clearly understand the reason behind some of the facts or research the links.

To be fair I don’t blame him for his reaction. I was once a dinar investor myself. I had millions of dinar. I was pretty mad when I found out about those facts that I listed. When this happens you are forced to face a totally different reality. I have been called a lot worse since I brought Iraq Currency Watch back. I remember Stryker from the days I hung out at Dinar Vets. He was always a decent man and we got along fine. My opinion of him has not changed and I still respect his point of view. That is why I have not attacked him. I just disagree with him. I believe the truth needs no defense.

Our disagreement basically boils down to one thing. He does not believe the numbers that the CBI puts out there. I totally believe the numbers that the CBI puts out. The CBI is a member of the IMF and BIS. They have to give an account to these global organizations and they are under a microscope. They have adopted a policy of transparency see the link below.

http://articlesofinterest-kelley.blogspot.com/2011/07/cbi-cbi-adviser-adoption-of.html

If you think the central bank is being deceitful and they are not reporting real numbers, then why would you want to invest in their currency in the first place? What makes you think they are going to treat you in a fair manner? If you invested in the Iraqi dinar then this is my advice. Don’t take my word for anything. Don’t take Stryker’s word for anything. Click on the links and do your own research. Reach your own conclusions. Let that determine your course of action!

Just for the record I am not a liberal. I am a conservative. I am a capitalist and I have nothing against a guy making an honest living, but in a lot of cases the dinar investment isn’t based on honesty. In my last article I said the only ones building wealth were the dealers. The reason why I said that was because the video I was debunking showed all these redenominations. It presented them as revalues. Then it talks about wealth building by purchasing the Iraqi dinar. This was dishonest so I addressed it. If Stryker had taken the time to watch the video he would have known this.

 

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That’s A Fact Jack

Earlier this week I got into a conversation with some people. It was made known to me that what I believed about the dinar was just my opinion. These guys implied that their belief in the revalue was based upon facts, and they did their homework. One of the things I remember about school is, just because you did your homework did not necessarily mean you would get an A on that homework. It also did not mean you would pass any tests. It just meant that you completed an assignment.

As I began to think about their point I discovered that they were right! What I believe is my opinion. Now that does not mean I am wrong. It just means that my analysis is completely my opinion. Whether those things become true yet remains to be seen. I did my homework too and I based my opinion on facts as well. The real question here is this. Who is going to get the higher grade based on the assignment called the Iraqi Dinar?

I remember when I use to be a dinar investor. I remember when I had high confidence in this investment. I was a member of the Dinar Vets Forum. I posted in there on a weekly basis and I defended what I believed based upon the so-called facts. I ran into someone in that forum whose name was Dustin Hayes. He coined a term called “Forum Facts”. A forum fact was something that was believed to be true only in the dinar community and the dinar forums. Outside the community that forum fact had no basis in truth what so ever.

I thought I did my homework when I was invested in the dinar, but as it turns out all of my so-called facts were wrong. The information that I had was recycled guru lies that was received as gospel truth! So-called facts like the Kuwaiti revalue and other facts of that nature had no truth at all. The thing that influenced me and caused me to change my mind about this dinar investment was learning the truth about the facts I was basing my belief on. Once that happened I saw that this whole thing was a lie and the facts I was basing my conclusions on were all lies as well. I was deceived.

So I thought it would be proper to put together a truthful fact list as to why I now believe the way I do. Please feel free to add to this fact sheet in the comment area, but keep in mind untruthful facts will be debunked! Some of these facts will be talked about in more detail in upcoming articles. This list of facts will correct guru lies and they will also include the way currency really works.

Fact 1: Currently there is over 34 trillion Iraqi dinar in circulation outside of the banks. That’s Trillion with a T!

Fact 2: The CBI has over 71 trillion Iraqi dinar in there M1 money supply. Check the CBI website

Fact 3: The CBI has over 85 trillion Iraqi dinar in their M2 money supply. Check the CBI website.

Fact 4: America’s total M2 money supply is only 11 trillion. There is not enough to cover a revalue to even a dollar.

Fact 5: In all of history there has never been a revalue above 50 percent. NEVER!

Fact 6: If the dinar were to revalue to 1 penny that would be a 1,000 percent revalue given the current exchange rate.

Fact 7: If the Dinar were to revalue to 1 dollar that would be 100,000 percent revalue given the current exchange rate.

Fact 8: If the dinar were to go to Its prewar rate it would be a 300,000 percent revalue given the current exchange rate.

Fact 9: Iraq was involved with a currency scam in the 1990’s which is similar to the current dinar scam going on today. In 1993 25 billion was lost to private investors outside of Iraq because of the same hype we see today. Check the Link below,

http://iraqcurrencywatch.wordpress.com/2014/01/15/dinar-updates-5/

Fact 10: Iraq’s reserves have been growing as a direct result of their currency being exported. The United States does not have a bilateral investment treaty (BIT) with Iraq. There are no bilateral treaty obligations which protect the dinar outside of country. Check the link below. In addition Iraq’s National Investment Law does not cover the banking sector and excludes it’s currency. A copy of this law can be obtained here. http://www.export.gov/iraq

http://dazzlepod.com/cable/09BAGHDAD265/?q=rasheed%20bank%20iraq

Fact 11: A redenomination would strengthen the dinar and drastically reduce the amount of currency in circulation.

Fact 12: A revalue like the gurus claim would be the same as adding currency to the money supply and it would contribute to hyper-inflation. It would not only make the currency weak it would totally collapse the currency. (check the feds document called Modern Money Mechanics)

https://archive.org/details/ModernMoneyMechanics

Fact 13: There was never a Kuwaiti revalue after the gulf war. Check the Kuwaiti Central Bank Website. Look at Wiki-Pedia. and Check the link below.

http://iraqcurrencywatch.wordpress.com/2012/04/15/the-truth-about-the-iraqi-dinar-part-2/

Fact 14: In 2005 Turkey went through a redenomination with their currency. (TURKISH LIRA) They did not revalue their currency. Check the link below.

http://www.isdadocs.org/speeches/pdf/turkishredom121004.pdf

Fact 15: Only pegged currencies revalue. It is a policy decision made by the central bank for that country. Floating currencies don’t revalue. The market determines the price.

http://wiki.answers.com/Q/What_is_the_difference_between_a_floating_and_a_pegged_exchange_rate

Fact 16: Japan’s currency floats. It did not revalue in the 1980’s.The yen isn’t pegged so it wasn’t a revaluation. Second, the yen gained ground simply because the dollar was devalued as a cold war strategy in 1985. Although there were people who did make money from the yen, it was never because of a revaluation. This is known as the Plaza Accord

http://en.wikipedia.org/wiki/Plaza_Accord

Fact 17: There is a feasibility study that circulates the dinar forums as proof of a coming revalue. Gurus claim that it is proof for a $1.13 to $1.17 revalue. Here is the study.

http://www.mop.gov.iq/mop/index.jsp?sid=1&id=308&pid=295&lng=en

The truth is this study is from 1984. It is during the Saddam era and it predates both gulf wars. It also predates the hyper-inflation Iraq went through during the 1990’s. In addition to this, the Gulf Wars in Iraq did not devalue the currency. The currency went through hyper-inflation during the 1990′s as a result of overprinting and Saddam invalidating the Swiss dinar outside of country. (See dinar updates 5) This Study no longer applies!

Fact 18: Oil in Iraq is sold in dollars. It is not sold in dinar.

http://bvawe.wordpress.com/2011/07/23/the-role-that-oil-plays/

Fact 19: Iraq is not reducing the money supply. Check the CBI website

Fact 20: The U.S. Treasury does not have trillions of dinar. (check the BH indictment)

Fact 21: Executive order 13303 does not protect the dinar investor. (Once again check the BH Indictment) The U.S. government got a conviction for fraud based on the statements in Fact 20 and Fact 21. According to the Federal Government, It is illegal to import Iraqi dinar. Check the link below.

http://www.ice.gov/news/releases/1305/130521rapidcity.htm

Fact 22: George Bush never said the war will pay for itself.

Fact 23: There was never an agreement for Iraq to compensate America for the war.

Fact 24: Dinar Gurus are being prosecuted for lying about this investment in order to make money off of unsuspecting people. The B.H. Group and David Olmsted serve as examples.

Fact 25: There are many more people who lied concerning the dinar. Tony TnT is just one of many people. In Fact a lot of gurus are multi-level marketers and they come from a questionable past. Check this link.

https://www.facebook.com/PeoplesTalkRadio/posts/493443510673955

Fact 26: The B.H. indictment says that Iraq plans on redenominating their currency. They got convictions of fraud based on statements saying Iraq was going to revalue its currency. Check the indictment below

http://www.realscam.com/attachments/f12/1576d1348185792-bayshore-capital-investments-bh-group-bhgroup_indictment.pdf

Fact 27: A revalue does not work in tiers. It does not occur in one country before it goes into another country. Revalues are global and they happen everywhere at once. Check Iraq’s history. Every time they changed the rate it was reflected the following day at the currency auctions. New rates go into effect immediately every where at once.

Fact 28: The dinar is the most lied about currency I have ever seen. There are a lot of scams associated with the dinar investment. Please note that this does not mean the dinar currency itself is a scam. It is valid and used in Iraq. The scam comes from people (dinar gurus) lying to sell the currency to foreign investors to make a huge profit from it.

Fact 29: The lower denominations were not printed in July of 2011 as the gurus claimed.

Fact 30: The dinar requires a reserve in order to give it value. The reserves for the dinar is the U.S. dollar. Currently there are not enough U.S. dollars (reserves) in Iraq to support a revalue to even a penny. Check the CBI website.

Fact 31: There is no coming Global Reset that will result in a revalue of the dinar. (article coming)

Fact 32: They don’t need to revalue the dinar in order to join the World Trade Organization (article coming with evidence)

Fact 33: The dinar cannot revalue according to the countries resources. There are not enough resources to back the dinar to even a dollar given the amount of Iraqi dinar in circulation.

Fact 34: There have been well over 70 redenominations in the past. In just about every case hyper-inflation happened as a result of over printing the currency. Redenominations happened both during hyper-inflation and years after hyper-inflation. Check out this study.

http://www.unc.edu/~lmosley/APSA%202005.pdf

Fact 35: Removing the zeros is redenomination language not revalue language. Look at Turkey’s redenomination articles, and the study on redenomination above for examples.

http://www.setimes.com/cocoon/setimes/xhtml/en_GB/features/setimes/features/2003/12/031229-FATIH-001

Fact 36: Deleting the zeros does not mean pulling only the higher notes out of circulation. Once again this is redenomination language and it means changing out the entire series of notes. (See the link to the redenomination study)

Fact 37: When you go to Forex, (a currency exchange market) and you search for the Iraqi dinar. (IQD) They say the Iraqi dinar is going to redenominate. Furthermore Iraq announced a redenomination.

http://www.xe.com/currency/iqd-iraqi-dinar#additionalinfo

Fact 38: Currencies don’t work the same way as stocks and the stock market.

Fact 39: Some nations keep an artificially low value on their currency because it increases their exports which in turn provides jobs. The end result is a stronger economy. China can serve as this example.

http://bvawe.wordpress.com/2013/11/24/the-real-battle-part-7/

Fact 40: Shabibi never said that they would have the most valuable currency … he said it would be the strongest and he was referring to it being backed 100%. Once again there is not enough reserves to revalue the dinar to a penny!

There it is. I have just listed 40 facts with links to back those facts. These facts are all true and you can base an opinion on them. Now it is important that when you form any belief or analysis that you get your facts straight. Forming an opinion based on guru lies or conspiracy theories can cause you to make the wrong choices in the end. If you believe in the revalue then you can put your fact in the comment area, but remember the burden of proof is on you.

The video below was made to sell dinar. In my view it is an effort to hype the currency. Now that you have had a chance to see the real facts pay close attention to so-called facts in the video.

People are getting hurt because of the type of hype you see in the video above. Families are being destroyed and people are selling everything they have to buy this crap based on the lies in the video. Dealers are cleaning up on dinar sales and that is the only wealth building going on!

If you watched this video then you know it is loaded with facts. They only problem is the facts are all wrong. For example it called Turkey’s redenomination a revalue. So you did your homework. So you studied facts. That does not mean you know what is going to happen. Remember that is only your opinion. In the end only time will tell whose opinion is right and who’s opinion is wrong, and that’s a fact jack!

 

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Return of The Guru

The dinar has become some sort of cult. There are those who are trapped inside of this scam that listen to every word from people who say they have an inside track on this investment. It seems that these people not only lie to promote the sale of dinar, they use fictitious names and identities. Some even claim to be Christian in an effort to gain trust. They claim to know people on the inside. They claim to be connected. A person like this is known as a Dinar Guru or simply Guru. For years they have spread rumors that made the investment seem legitimate. As a result trillions of dinar have been exported from Iraq and the currency has been presented as an investment.

The dinar is only meant to be circulated inside of Iraq and it really has no value outside of the country. As of this writing there is over 34 trillion dinar in circulation outside of the banks in Iraq. Of that, no one knows exactly how much is outside of the country and how much speculators hold. To put a comparison on this consider the fact that America’s M2 money supply as of this writing is only 11 trillion U.S. dollars.

The gurus promise wealth and riches if you invest, but that simply is not the case. (see dinar update 5) As Americans begin to catch on to this hoax, the gurus are beginning to be exposed for the liars that they are. Dinar Douchebags is one site that has exposed the identities of these guys. In addition the media has picked up on the scam and several articles and stories have been done concerning the Hoax called “The Iraqi Dinar.” The government has even got a few convictions. The government is in the process of prosecuting other popular Gurus as I write this latest article.

These Gurus make money several ways. They sell memberships to spoon feed innocent victims false intel. Some get kickbacks from sales. Others make money by placing ads on their sites. Some Gurus even make money off of conference calls. Mr. IQD posted information on their site revealing just how much money these guys were making off of bogus intel. Check the link out here.

http://mriqd.com/2014/01/03/rant-how-the-hack-gurus-make-money-on-free-conference-calls/

This whole thing has been a cult. The victim gets trapped with the promise of wealth and riches. Some people are dealing with hard times and hopeless circumstances. They begin to look to the dinar as their last chance in life. As a result these guys become fanatical. They hang on every word the Gurus say. They wait for some any moment revalue that will help them out of their problems. They invest outrageous amounts of money in the dinar. They won’t listen to truth logic or reason. So the dinar has a cult like following and a subculture community.

This community can be found on many forums and blog sites. Other conspiracies have linked to the dinar investment as well. Conspiracies like NESARA and CMKX are looking for a revalue of this currency in order for their beliefs to be realized. There are also forums and sites that represent these groups. Dinar information can be found in those communities as well.

But now the truth has come out and it is beginning to take over the search engines. More and more people are learning that this whole thing is really a scam to make these Gurus and dealers rich. I believe that sales in America are beginning to dwindle and people want out. Just do a search for dinar on eBay. Sites like Dinar Douchebags, Baghdad Invest, Mr. IQD, and Iraq Currency Watch have put an enormous amount of effort into researching and finding out the truth about who these gurus are and what the dinar is really going to do. Most of these people were investors in the dinar at one point until they realized that they were scammed. The intension is to provide a warning and to provide disclosure so people are aware of the real risks involved. This is something you won’t get from gurus. I also hope that Iraq will continue with its redenomination plans. If it sees that dinar sales are dwindling then just maybe they will go ahead and redenominate.

But just when you thought the truth was coming out and the Gurus could no longer make any money off their lies I stumbled across this.

“After the newspaper ads featured in USA Today and other major US newspapers, the popular Iraqi Dinar scam has moved to another country. Just when you thought it was safe for the US-based investors, with all the warnings recently published by major media sources, the scammers have found yet another country ripe for profit.

10,000 Iraqi Dinars selling at B$ 110 was the title of a recent ad than ran in a Brunei newspaper. And people are jumping on it like crazy. Rumors are the sellers have run out of stock in less than one week.”

Here is the link to read the whole thing.

http://www.iraqi-dinar-exchange.com/iraqi-dinar-scam-hits-brunei.html

So dealers have been advertising in USA today and selling out of stock. Well let’s have a look at one of those ads.

USA-Today add Selling Iraqi Dinar

As you can see they discuss a Kuwaiti revalue except they are careful not to use the word revalue. They talk about the Iraqi dinar appreciating to half the value of the Kuwaiti dinar. While they don’t say that the dinar will do that, they present it as a possibility.

Now there has never been a Kuwaiti revalue. The Kuwaiti dinar did fall in value because people lost faith in the currency. fleeing Kuwaiti citizens exchanged their currency for pennies on the dollar. It regained its value after Saddam was kicked out of the country. The ones who made the most money from it were the banking structures that allowed the people who fled Kuwait to exchange their currency for pennies on the dollar.

That is a lot different from this so-called revalue which is in fact a policy decision issued by the Central Bank of Iraq. The Kuwaiti central bank never devalued the currency or issued any kind of policy change while Iraq invaded Kuwait. This is a much different scenario! This does not mean that Iraq is going to issue a policy decision and revalue its currency!

This has been debunked several times but it seems that it is still being used to sell dinar. This was one of the reasons I purchased dinar. This is one of the lies told by Gurus. This is one of the lies I discovered. look at the supporting links

http://iraqcurrencywatch.wordpress.com/2012/04/15/the-truth-about-the-iraqi-dinar-part-2/

People are getting hurt because of this get rich quick scam and the gurus could care less. Just as long as their pockets get lined who cares about the people getting hurt! This cult is dangerous!

 

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Trust Issues

I must admit I have trust issues. At times it can be a real problem, especially when dealing with an investment like the Iraqi dinar. I am not the only one who has these issues. It seems that many in the community has the very same trust issues that I have.

I have a pretty good wall of defense. I weigh everything people say and place it against my world view to see if it will hold up. My world view is based on the education I received and my personal research. At this stage in my life there is a pretty strong defense mechanism in place, but it is not without its vulnerabilities.

When someone comes to me and says that they are a Christian that slightly lowers my defenses, and I trust them more than I should. If they quote scripture I lower my defenses even more. If they pray then I trust them more. If they do all three things then I have a really big tendency to completely trust them, and my defense mechanism is totally shut down. And that my friend is my issue!

There is a common bond between Christians that people who are not of faith can’t understand. Sometimes that bond serves to remove all our defenses and the so-called Christian person gains complete trust. I think this is one reason that the bible makes a comparison of Christians to sheep. As believers in Christ we tend to totally trust other Christians without verifying anything they say.

This can have tragic results. I have learned the hard way that you don’t automatically trust someone just because they have a fish on their business card. In fact those people should be held to an even higher standard, but I can’t help it. I always find myself giving Christians the benefit of the doubt. I tend to equate my trust in God with my trust in fellow Christians such as myself. It is more of a reflex than anything else. We as Christians do this on a subconscious level and we rise to defend other Christians as a result. If you are not a Christian than you cannot even begin to understand this type of behavior. It is as though you are defending a close family member like a brother or a sister.

But the bible warns us of explicit trust in other people that we don’t even know. Mathew chapter 7 says

15“Beware of false prophets who come disguised as harmless sheep but are really vicious wolves. 16You can identify them by their fruit, that is, by the way they act. Can you pick grapes from thornbushes, or figs from thistles? 17A good tree produces good fruit, and a bad tree produces bad fruit. 18A good tree can’t produce bad fruit, and a bad tree can’t produce good fruit. 19So every tree that does not produce good fruit is chopped down and thrown into the fire. 20Yes, just as you can identify a tree by its fruit, so you can identify people by their actions. NIV version

So you see we are supposed to judge people by what they do not what they say. There are people who pretend to be Christians in an effort to gain the trust of other Christians. They may be a wolf wearing a disguise that is designed to get you to lower your defenses. Then they can move in for the kill. We are to observe their actions. We will know who they are by what they do, not what they say. A wolf does not walk like a sheep even though he may be disguised as one.

As I have been a part of the dinar community for the past 4 years I have observed many gurus who claim to be Christians. These guys quote scripture and pray but in the end they are not being truthful about their background or who they are. They pretend in order to get you to accept their latest line of Bull! They make money off of conning Christians into buying dinar. They keep these Christians on the hook as long as they can. they quote scripture, pray, and may even bring up bible prophecy from time to time. They are full of deceit and lies. There is no truth in them.

Matt 9:36 When he saw the crowds, he had compassion on them because they were confused and helpless, like sheep without a shepherd. NIV

That is exactly what the dinar community is! All these wolves (GURUS) who are hungry and all these sheep who are dinner. But we wind up defending certain wolves because they look like a sheep! But watch them. They don’t act like sheep! If it does not walk like a sheep than Brother Chances are that is not a sheep!

Matt 10:16 Behold, I send you forth as sheep in the midst of wolves: be ye therefore wise as serpents, and harmless as doves. KJV

To be wise means to have understanding of people and situations, To have keen and unusual discernment, and a capacity for sound judgment in dealing with people and situations. Harmless may mean to be harmless in effect or intention. Inoffensive means to be giving no provocation. Doves are not called the birds of peace for no reason. Don’t get these instructions backward! You want to get this in the right order. Use discernment of the situation first. Then operate in grace and forgiveness. Pray for those wolves in the dinar forums dressed up like sheep. A dove is not necessarily the sharpest knife in the drawer if you know what I mean.

Use discernment, warn other sheep, but do no harm!

James 3:1 Not many of you should become teachers, my fellow believers, because you know that we who teach will be judged more strictly.

I wish I had thought of this scripture before I started this stupid dinar blog! To be honest that is why I brought Iraq Currency Watch Back after it was shut down. It was out of the fear of what I had done in ignorance and the judgment that awaited me for those actions. The wrong things I believed and taught about the dinar would be my undoing. That is why I will fight to get the truth out there. That is why I brought this blog back.

If a wolf is teaching something that he knows is not true than God will judge him more harshly than a wolf operating in ignorance. If someone believes the dinar will revalue and they teach others they will be held to a higher standard. This is why you are to be harmless as a dove. These people are already in enough trouble! Yes they need to be exposed. But they need to repent even more than that!

So if you see someone who claims to be a Christian and they say things that are false. If it is pretty obvious that they made these things up, then chances are this person is a wolf in sheep’s clothing looking to make a meal of you. Remember to use discernment regarding situations and with people you meet, Use discernment when you read articles from Christians in the dinar community. but most of all remember this one important thing. Trust is never freely given. It is earned!

My new motto is verify before you take action. Do this regardless of any feelings to willfully trust anyone.

 

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Dinar updates 5

In my last post I introduce a reverse guru of sorts who goes by the name of Zahlid. He claims that he is a consultant for the Central Bank of Iraq. He claims that they are working with the Turkish MOF, and that he is advising them on how to go about a redenomination. He also said that the exchange would only happen in Iraq and you would need to go there to cash in.

When I posted what Zahid said a lot of people got angry. I gave a disclaimer and said that I did not know if Zahlid is really a part of the CBI. More than likely he was not, but that did not seem to matter. People were still mad that I posted the things Zahlid claimed.

Zahlid was posting his comments at a site called baghdadinvest.com. The article he was responding to was written by a man named Jack. This man has earned my respect as he basically talked facts and told the truth about the so-called investment. That is why I posted the link to his article in my last post. He used facts and figures to show the fallacy of the revalue. He was sharing information that I have been talking about for the last two years. So hats off to you Jack for doing your part in exposing all the guru lies!

Zahlid made a comment that the reserves at the central bank were growing as dinar was being exported. I had figured this out already through the research I had done just a few years ago. The thing that surprised me was he is the first person ever to acknowledge this. However this raises some very serious questions. If Iraq knows that their reserves are rising in part due to the export of their currency are they looking the other way as the currency leaves the country through certain channels? Is Iraq itself in on this Iraqi dinar scam?

I have always thought that this was a big possibility in the back of my mind. I never vocalized it in a direct accusation because I simply did not have the evidence. I only suspected it. Well Zahlid left another comment and he said this.

“@Marcus Curtis

my friend your analogy of this myth is all true, this situation was created by outside influence to attain our reserves prior to people being duped , im in know doubt things are already coming to light with regards to this, I have already maybe spoke to much on here due to my own honour for my country being blackned,even if we wanted to return to sadaams pre war rate it would be impossible even with the reserves of oil,gold,and gas resources and too e blunt ,we have know

interest in making outside investors profits from this currency reform as said before they will

be scattered like sand in the wind when the change happens, Syria found that out with us before

when there holdings were dissolved.There is over 60 tlion iqd which will be evaporated when the change happens,yes our currency will be manageable and in time will be the highest in the mddl east ,I do know main countries have been appeased but there will be a lot of disappointed people

come march when they see they have been fooled by this so called fools gold.

shukran

zahlid”

Well I began to think about what Zahlid was trying to tell me. Although some of it I can’t figure out. I thought to myself “when did Syria have their holdings with Iraq dissolved? What outside influences set this up so the CBI can build their reserves? As I began to dig I discovered that Iraq was involved in a currency scam under Saddam. Apparently Iraq has fooled other nations before. The recent dinar hoax is not the first time Iraq did this. Let me explain.

After the first gulf war George bush pulled out of Iraq leaving Saddam’s regime in power. A wide range of UN Sanctions were put in place. Because of embargoes imposed on Iraq, the CBI could no longer source paper currency from De La Rue. This was Iraq’s UK-based supplier. Saddam began to print dinars locally. He also started to outsource the printing of more bills from a Chinese based printer.

For some reason the new notes didn’t circulate at the same value with the pre-war Iraq notes but traded at a discount. Somewhere around April or May of 1992, the older dinar notes were worth around 3 US cents whereas the newer dinar notes traded at 1 cent. Before the war the dinar was equal to around three U.S. dollars. This was only two years back.

The poor quality of the new post-war notes meant that they were easily counterfeited. The new notes had no security features and they lacked a watermark. The paper for the new notes was thinner and easily torn. The ink ran on some of the new notes. The pre-war notes were printed by De La Rue with modern technology. Traders most likely discounted the newer notes because they may have thought that they would be accepting counterfeits.

There is a news article written in 1993 called “Fortunes in Iraqi Bills Gone Overnight” Here are a few highlights.

To many outside the Arab world a pile of banknotes, each with an engraving of Saddam Hussein in a military uniform, might not seem like a sound investment. But many Jordanians, sure that the United Nations embargo against Iraq would one day be lifted, believed that the hard currency of their neighbor would regain its old value once Baghdad resumes oil sales.

Jordanian businessmen accepted Iraqi currency for payment, often in deals with the Iraqi Government, and squirreled it away. Shepherds sold their flocks, people traded in their gold jewelry and families mortgaged their homes, or withdrew their savings, to buy the Iraqi bills.

Remember this was going on in 1992-1993 The article continues,

Government officials estimate the value of hoarded Iraqi currency in Jordan at $100 million.

And Jordanians were not alone. Investors from Saudi Arabia, the United Arab Emirates and even Kuwait bought up millions of the banknotes, sometimes shipping them out of Jordan by the truckload. Iraq Complains of Hoarding

Iraqi officials say the Governments of Kuwait and the United Arab Emirates alone are hoarding 10 billion prewar Iraqi dinars as part of an effort to hasten the country’s economic collapse and force it to print money with no monetary backing.

Gulf Arab speculators would call up and place orders for a million dinars or more, Bashir Mostapha Nobani, a currency trader, said. “They always wanted the prewar 25-dinar notes because they are easier to ship in bulk than smaller denominations and because they did not have faith in the new Iraqi currency.”

In an effort to fight inflation within their country Iraq decided to invalidate the pre-war 25 dinar notes. This is what the article says

As the old 25-dinar notes began to disappear from the market, inflation soared, and Iraqi monetary officials, in what Western diplomats describe as a desperate effort to stifle it, invalidated the old notes. The move abruptly removed an estimated 25 billion dinars from circulation.

“This decision, in the short term, helps Iraq,” one Western diplomat said. “But in the long term it could prove devastating. Few people outside Iraq will now trust the currency, making imports harder to get and bleeding the hard currency reserves. Eventually this could fuel hyperinflation, as there will be lots of money and little left to buy.”

And that is exactly what happened! But the article continues

Baghdad permitted Iraqis to exchange the 25-dinar notes for the new currency, but they closed the borders for six days to keep speculators outside the country. The border was reopened Tuesday, after the Monday deadline to turn in the old notes passed. Baghdad Imposes Exit Tax

In an effort to cut down on smuggling, Baghdad also imposed a stiff exit tax of 15,000 dinars, the equivalent of $250 on the black market and $48,000 at the official exchange rate. The tax has slowed cross-border traffic from Iraq to a trickle.

Iraqi officials say they have no intention of compensating anyone else, even the Jordanian businessmen they traded with.

“It was their mistake to speculate in Iraqi currency,” Shawki Kubaisi, the chairman of the Iraqi Trade Bank, said in Amman. “This is a matter of our national sovereignty, taken to improve our economy.”

But Jordanian businessmen, who have lost tens of millions of dollars, say the move was akin to theft.

Here is a link to the article

http://www.nytimes.com/1993/05/16/world/fortunes-in-iraqi-bills-gone-overnight.html?src=pm

So here we see an Iraqi government that did business with its neighbors and paid them with pre-war dinars. Then it invalidated those dinars and provided a 6 day trade in period. To make matters worse they closed the borders so no one could trade in their currency during the trade in period. When they opened their borders anyone caught with dinar had to pay a high tax to cross the border thus Iraq was able to confiscate the currency. With this deceitful practice they removed 25 billion dinar from circulation. Remember that some of this currency the government themselves used to trade with other nations.

The Kurds in northern Iraq were not able to exchange their pre-war notes. The exchange period was closed to them. The 25-dinar notes continued to circulate and became known as the “Swiss dinars,” because they were printed with plates made in Switzerland. In the fall of 2002 it became more and more likely that the United States would invade. Because of this the Swiss dinar became more and more valuable. By this time the other nations that held the pre-war dinar already disposed of it. 25 billion dinar was gone and in the end speculators from other countries first invested because they thought the value of the dinar would return to pre-war levels. (Does any of this sound familiar?) But Iraq would not allow these nations to exchange it. They could not get through the border. Here are more links to further your study.

http://people.ischool.berkeley.edu/~hal/people/hal/NYTimes/2004-01-15.html

http://www.bostonfed.org/economic/ppdp/2004/ppdp0401.pdf

Now fast forward to today’s date. Do you honestly think that Iraq won’t pull the same thing again? Some people say that Iraq has no choice and they got to honor their currency because of federal laws and the MSB license that dealers are required to have. FinCEN will force Iraq to honor their currency and the dealers will be able to trade it in.

Ok let’s look consider that for a moment. MSB is an acronym for Money Service Business. This is a license that must be obtained by a private business in order to conduct certain money services. These services are things like wire transfers, currency exchanges, Money orders, check cashing, and traveler’s checks. These services are normally done in a bank, but this license allows a private business to provide the same service. This is why dinar dealers are required to have the MSB license.

Here is a fact sheet regarding MSB

http://www.fincen.gov/financial_institutions/msb/pdf/FinCENfactsheet.pdf

FinCEN stands for Financial Crimes Enforcement Network Here is a quote from their site.

“FinCEN is a bureau of the U.S. Department of the Treasury. The Director of FinCEN is appointed by the Secretary of the Treasury and reports to the Treasury Under Secretary for Terrorism and Financial Intelligence. FinCEN’s mission is to safeguard the financial system from illicit use and combat money laundering and promote national security through the collection, analysis, and dissemination of financial intelligence and strategic use of financial authorities.”

These are the guys that issue the MSB licenses to the dinar dealers. It allows them to sell the dinar as a collectible item. Here is a link to their site.

http://www.fincen.gov/about_fincen/wwd/

here is a look at their international program

“FinCEN works to establish and strengthen mechanisms for the exchange of information globally, and to engage, encourage, and support international partners in taking necessary steps to construct regimes to combat money laundering, terrorist financing, and other financial crimes. FinCEN responds to requests from financial intelligence units (FIUs) that are members of the Egmont Group, and acts as a conduit for requests from domestic law enforcement to foreign FIUs. FinCEN also issues strategic products for law enforcement agencies and FIUs on topics of international interest.”

Here is the link.

http://www.fincen.gov/international/

Now that we have our background established how does all of this work on a legal basis? First and foremost it is against the law for a business with a MSB license to provide investment advice! You need a special license for that. Yet we see some dealers who have a MSB license marketing the dinar as an investment.

Second-any investment needs to have legal disclosure. The risks of any investment will need to be covered during the purchase of said investment. That is not being done.

http://legal-dictionary.thefreedictionary.com/full+disclosure

http://www.learningmarkets.com/the-iraqi-dinar-scam/

Third-there are some gurus who not only hype the scam, but they sell dinar or get kickbacks from dealers that sell dinar. Not only is this illegal, but the agents of any MSB must be listed with FinCEN! Some of these gurus on the payroll are being presented as an independent analysis and that is simply not the case. They are excepting money from dealers.

According to the department of homeland security importing the dinar is against Federal law. They got a prosecution based on this. It was even established in the Status Of Forces Agreement (SOFA) that U.S. solders could not bring back dinar after their tour of duty.

According to Iraqi law the dinar can only be used an honored within the borders of Iraq and it is illegal to export the currency. Check the official links below

http://graphics8.nytimes.com/packages/pdf/world/20081119_SOFA_FINAL_AGREED_TEXT.pdf

http://www.cbi.iq/documents/CBILAW-EN_f.pdf

http://www.ice.gov/news/releases/1305/130521rapidcity.htm

Dinar has been exported in the past to provide a means of exchange From US dollars for people traveling to Iraq. People cannot use it as a means of exchange outside the borders of Iraq or use it for investment purposes. Check the BH indictment!

When Iraq enters the redenomination process it will site these laws as a reason for exchanging the currency in country only. So you would need to go to Iraq to exchange your old dinar for the new dinar or you would need to know someone who is willing to go on your behalf. You can’t use the banks and the banks do not offer an exchange service for the dinar to begin with.

FinCEN will go after the law breakers. But those law breakers are the gurus and the people marketing the dinar as an investment. It’s jurisdiction is limited outside of the United States and in the end Iraq has national sovereignty! Iraq will more than likely cooperate with anything FinCEN wants to investigate but in the end FinCEN will go after the dealers and their agents/gurus who market the dinar as an investment. Those are the ones breaking the law. So now,

I would highly recommend that you be honest with yourself just this one time. Given the fact that Iraq will profit by only doing a redenomination within their borders and their reserves will remain stable. Considering the fact that Iraq has done this once before, What do you think Iraq is really going to do?

 

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Dinar Update 4

Here we go boys and girls. The whole dinar thing is about to implode. The dinar scam is going to cave in on itself. At least that is what some people are promising. Someone sent me a link to an article called “Iraqi Dinar Revaluation – Strong Thoughts From Jack.” I thought it had some good information. People are beginning to wise up to this scam. The truth is now out there and I am no longer part of a minority. This article basically laid out the course of the whole so-called investment. I thought it was pretty truthful.

But the interesting thing to me was the comment section. I started to scroll through it and I came across a comment from a man called Zahlid. This is what he said

I WORK OR CBI AND BELIEVE ME THEREWILL BE NONE RV OF MY COUNTRIES CURRENCY,WE PLAN IN REDOMINATING OUR NOTES SAME AS TURKEY, IN FACT WE HAVE HAD TURKISH MOF WITH US DIRECTING OUR ACTIONS AND PLANS

I first thought wow what is going on here. I began to read through the rest of the comments when I discovered another post from Zahlid. This time he said,

THE REASON OUR RESERVES ARE GROWING IS DUE TO MISINFORMATION SPREAD THAT WE WILL REVALUE OUR CURRENCY WHEN IN FACT THERE IS ALSO TALK ANY EXCHANGE WILL BE DON INSIDE OF IRAQ ONLY SO OUTSIDE INVESTORS WILL LOSE UNLESS THEY CAN COME TO IRAQ TO EXCHANGE WITHIN A SET TIME DEADLINE,THIS WAS ALWAYS OUR PLAN AND IT WAS USA WHO ENTICED PEOPLE INTO THIS IN FACT THE PTB PLAN HAS WORKED WHERE OUR COUNTRY RESERVES ARE INCREASED TO MOVE FORWARD WITH REBUILDING FOR MY BROTHERS , I DO KNOW THAT CERTAIN COUNTRIES HAVE BEEN LOOKED AFTER FOR THERE HELP AND I FEEL SORRY THAT PEOPLE WILL LOSE MONEY AND FEEL BAD AGAINST MY COUNTRY WHEN THEY LOSE THERE MONEY,THERE IS TALK THAT FEB WILL SEE THIS RD AND ALL OUTSIDE DEALERS WILL NO LONGER SELL IQD OLD AND WILL BE UNABLE TO BUY FROM OUTSIDE INVESTORS BACK. MAY PEACE E WITH YOU ALL SHUKRAN

I thought wow this is what I have been saying for the last 2 years! This is what some of the wiki leaks documents on Iraqi banks revealed to me to.

Then Bagdad invest responded, he said

“Selam Zahlid. I think either the Iraqi embassy in America or the Central Bank of Iraq itself should write a press release once and for all and publish the truth because too many are getting hurt. You and I both know the truth but there are hundreds of thousands of people who think differently. Thanks.”

Bagdad invests also said

“Thanks for posting that. Just checked the IP of the person who posted it and it is coming up as Glasgow, Scotland so I think we can assume it is indeed false in terms of the persons position but the relevance is good but we can assume he does not work for the CBI.”

I believe the site where the article is posted belongs to Bagdad Invests. Zahlid responded by saying

“@BAGHDAD INVEST ,

CORRECT MY BROTHER WITH MY IP ADDRESS , MY FAMILY MOVED TO SCOTLAND WELL BEFORE SADAAM DESTROYED MY COUNTRY, MYSELF AS A FINANCE MINISTER FOR CBI

AND MY WIFE A DOCTOR WHO NOW WORKS FOR NHS SCOTLAND,I HAVE AN ADVISOR

ROLE WITHIN THE CBI AND TRAVEL CONSTANTLY ON BUSINESS WORLDWIDE FOR CBI

SO YOU HAVE WRONGLY DIAGNOSED MY AUTHENTICITY MY FRIEND,ALL THAT GLITTERS

IS NOT GOLD BELIEVE OR NOT MY FACTS ARE TRUE AND COME FROM WELL INSIDE THE CBI ANY MAJOR RV RETAINING OUR 000S WOULD BANKRUPT OUR ECONOMY WITH

THE AMOUNT F DINARS WORLDWIDE DUE TO OVERPRINTING SIMILAR TO THE DOLLAR

I HAVE NOTHING TO LIE ABOUT OR PROVE WATCH AND REMEBER MY WORDS I SPOE BEFORE RD= THERE WILL BE NO MILIONAIRES MADE OUT OF IRAQ CURRENCY REFORM

THIS WILL BE MADE CLEARER OVER THE NEXT MONTHS PRIOR TO ELECTIONS

SHUKRAN”

Bagdad invests responded by saying

“Okay Zahlid. Lets see how it goes over the next few months. Shukran”

That’s good advice but finally here was a man who was saying what I have been saying all along. It did not matter to me if he did work for the CBI this man was validating my theories and he was the only person I have ever read that did so. This meant that I had to leave a comment. So this was my comment.

“I just knew it. I have been saying this for years. Iraq’s reserves are growing because the dinar is being exported. As dinar leaves Iraq it is exchanged for dollars. This is why their reserves have grown. As their reserves grow the bank releases more dinar. It really is about collecting the US dollar isn’t it? This was revealed in wiki leaks documents as well. (which I have) Zahlid would you be kind enough to answer a few questions that I have that have bothered me for the last few years

1. Out of the approximate amount of 31 trillion dinar that is currently outside of banks right now, how much of that is out of country? How much do spectators hold?

2. How far does this go up? In other words did Iraq discover that their reserves were growing as a result of foreigners being scammed by gurus and liars here in America? Or are they a part of the perpetuating myth?

3. Did they delay the redenomination knowing that their reserves were growing because Americans were buying dinar? Was this the reason for the delay?

Let me tell you people are being hurt by this. I spent the last 2 years debunking this and I got some pretty bad stories from people. My only hope is that all the gurus are rounded up and the American government prosecutes them all to the fullest extent of the law!”

Zahlid left one more comment he said

“I can concur that there are plans for legal action as have been on meetings and conference calls with

regards this, I CN TELL YOU CATEGORICALLY AY EXCHANGE WILL HAVE TO BE DONE IN IRAQ

THIS HAS ALWAYS BEEN THE PLAN, EVEN MORE SO NOW WITH THE AMOUNT OF DINAR OUTSIDEOF IRAQ,WE HAVE THE CAPITAL IN RESERVES NOW AND IT HAS BEEN PAID FOR

AND TOO BE HONEST OUTSIDE SPECULATORS ARE NOT OUR WORRY.THEY HAVE BEEN DUPED BY FALSE LIES FROM ALI BABAS AND I DO KNOW THESE PEOPLE WILL BE ADDRESSED WHEN THE TIME COMES, ALL THE DEALERS WILL SOON BE INFORMED TO STOP TRANSACTIONS AND WILL NO LONGER BUY BACK THE OLD IQD, THE NEW IQN

WITH OUR KURDISH LANGUAGE HAS BEEN PRINTED ND IS READY T BE DISTRIBUTED

TH TIMELINE I HAVE HEARD WILL BE FEB/MARCH ,IN IRAQ WE HAVE ALREADY STARTED

THE COUNTDOWN WITHIN CERTAIN AREA WHERE NONE MONIES CAN BE TRANSFERRED

OUT OUR COUNTRY AND ALSO THE BORDER SECURITY HAS BEEN STEPPED UP, BELIEVE

OR NOT I ONLY TELL YOU THIS AS I FEL I HAVE BEEN GIVEN A SECOND CHANCE FROM

PERJURY AND HURT Y CITIZENS OF BRITAIN TO REGAIN MY LIE FOR ME AND FAMILY AND DO NOT LIKE LIES THAT I SEE BEEN TOLD, THERE WILL BE NO RV OR RETURN TO OLD SADAAM DAYS OF OUR MONEY PEOPLES25000 DINAR WIL BE 25 DINAR WHEN RD,TURKEY IS OUR BROTHE WHO IS MAKING UR CURRENCY REFORM SAME AS THERES SO I ASK YOU NOT TO LOSE YOUR MONEY AND IF CAN TAKE BACK WHAT YOU CAN NOW BEFORE YOU HAVE SAND GRAINS

SHUKRAN

ZAHLID”

For some reason I think this guy is legit and if he is correct that means with any luck we will see this thing will come to an end this year. He says the redenomination process will start before the elections. He says people will be prosecuted. Well I guess we will just wait and see. I still question Iraq’s involvement with all this. If you want to read this article and the comments for yourself then click the link below

http://www.baghdadinvest.com/iraqi-dinar-revaluation-strong-thoughts-jack/

 

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Dinar Update 3

I decided to write another update to address something that people have been asking me. I have been getting questions regarding a world-wide global reset on all currencies. Basically some people think there will be a global reset of all currencies in the first quarter of 2014. According to this view a global reset is coming from the International Monetary Fund. (IMF) According to this belief the dollar is in big trouble. Supposedly there are 204 countries that have agreed with the IMF to revalue their currencies. The IMF will determine the new value of all currencies and every nation has agreed to keep these new values within a 5 percent deferential of each other. All currencies will revalue according to the assets that nations hold. This is supposed to happen by the end of March 2014. it is supposed to be announced as a global event. This rumor comes from people with different backgrounds and beliefs. I have even read about it in dinar forums. Here is what Lindsey Williams has to say about it.

Background

(According to Lindsey Williams) A number of years ago Lindsey was given a job in Alaska. He was a chaplain for the oil company ARCO. His job was to provide consul to employees and improve company relations with employees. While he was there he got to meet the top people in the oil industry and he became close friends with them.

These guys are supposed to have an inside track on global events and they can predict and tell of events and plans before they occur. Lindsey became famous for a book he wrote called the Non-Energy Crisis. In this book he claims that there is enough oil in Alaska to last the United States for the next 200 years and there is no shortage of oil. In 2008 during the financial crisis oil shot up to $149.00 a barrel. During that Summer Lindsey said that his friends in the oil industry told him that oil was going to drop below 50 dollars a barrel. He was called a nut for saying this. In the fall of that same year oil fell to around 30 dollars a barrel.

However it should be noted that Lindsey Williams does not have the best track record. He has also been wrong on many of his currency predictions. In fact he has been more wrong than he has been right. He has predicted the end of the dollar in 2012. He said it would crash. Now he says this global reset will happen in March of 2014. He claims that he is acting on insider information. At least he is not saying God told him these things.

Will there be a global reset? Will this affect the value of the Iraqi dinar?

Mr. Williams said that all the currencies in the world will revalue within the first quarter of 2014. The dollar will be valued at 30 percent less. There will be no more currency wars. All then he makes the bold claim that all nations have signed on to this and it will happen by the end of March. This claim has served to increase speculation of a revalue in the Iraqi dinar. Is any of this true?

The first thing to understand about the Iraqi dinar is that it is a currency that requires a reserve. Something needs to back the dinar for the currency to be worth anything. Iraq’s oil does not back the Iraqi dinar. The U.S. dollar backs the Iraqi dinar. This means that Iraq must have enough U.S. currency on hand to match the value given to the dinar. Currently Iraq’s money supply outside of the bank is over 30 trillion. These numbers are available on the Central Bank of Iraq website.

Iraq’s M0 money is physical money. Iraq’s M1 is physical and electronic currency. Iraq’s M1 is over 70 Trillion. This is according to the Central Bank of Iraq. (CBI) So the dinar gets its value from the Dollar. This is why the exchange rate is about 1166 to 1. If Iraq had less currency in circulation the dinar would be worth more. One thing about a revalue is that they will need enough US currency to back any value they place on their currency. The amount of currency in circulation plus the reserve amount (US Dollars) determines the overall value of the dinar. This puts an overnight Revalue out of the question once and for all.

First if the dollar is worth 30 cents less than the dinar will also be worth less because it is pegged to the dollar. Remember the dollar backs the dinar. Lindsey does not say that the dollar will not be a reserve. He says that all the currencies globally will revalue putting an end to currency wars. He says that the crash of the dollar will come after that. When the dollar crashes it will be because it is no longer used as a reserve and oil will no longer be sold in dollars.

Second I find it hard to believe that all the nations signed on to this and there will be no more currency wars. Nations like to keep their currency low in an effort to increase their exports. China undervalues their currency by 30 to 40 cents. This is the same as having a 30 to 40 cent tariff on all goods coming into china from America and it allows china to export more goods which is the fuel to any nation’s economy. I find it hard to believe that all nations will give that up. Especially China!

The lower a currency value the better the chance that country will get industry because it will be cheap to manufacture goods and exports for that nation will be higher. This is the incentive for having a low value on your currency. The country with low currency rates can have a higher trade export and that fuels that country’s economy because it provides many jobs. Global currencies flow to that country as a result of their low currency rate. These countries are all of a sudden going to play nice because the IMF says so? I have my doubts. I highly doubt china is on board with this. Their actions over the last 10 years suggests otherwise. By the way this scenario further debunks the revalue of the Iraqi dinar because a higher currency will serve to restrict their economic growth from an industrial point of view.

Oil is sold in dollars. This is how Iraq pays for its international contracts that are given out to rebuild the country. There are not any companies that will accept dinar. This is mainly because it is a currency that is only used within Iraq itself. It is not a global currency. These companies don’t have any global use for the Iraqi currency.

The Petro-Dollar.

To understand what the Petro-Dollar is you must first go back to the Nixon administration. In August of 1971 Nixon removed the dollar from being backed by gold. This was called The Nixon Shock. This ended the current financial system which was call Bretton Woods that was set up in 1945 after World War II. Shortly after that event agreements were set up with OPEC.

Basically OPEC agreed to sell oil only using U.S. dollars. In return the United States would protect any nation selling oil in dollars with our military. They also promised to make any nation that sold oil in dollars rich. As long as dollars are used to buy oil the currency will be in demand. Oil is the factor. The dollar will begin to hyper-inflate and collapse when it will no longer be used to buy and sell oil.

The United States started to make invasion plans shortly after Saddam started selling oil in Euros instead of Dollars.

Even Barak Obama protects the petro dollar. If he did not do this then it would lead to an entire collapse of the U.S. economy. This would also result in a global collapse. Remember when Obama said Gaddafi must go

Conclusion

For better or worse here is my opinion. I don’t put much stock in a global reset simply because it does not serve the interests of nations like China. It is doubtful that they will comply. The dollar will collapse only when our military might diminishes. Once the OPEC nations begin to rely on other nations for military protection and when or if our military weakens due to lack of funding, then the United States will no longer be able to force the current Petro-Dollar arrangement.

It is highly doubtful that Iraq will begin selling oil in dinar without a collapse of our military and our economy. No so-called global reset can change this. I believe the U.S dollar could collapse, but it won’t be overnight. I think it will be gradual over time. I believe that eventually the dollar will be replaced by a new international currency controlled by the IMF.

Further Study

To research these things further I will recommend some articles that I wrote on my other blog that will point you in the right direction.

To understand Iraq’s oil industry read The Role That Oil Plays in Iraq.

To understand what is going on in China and how we got to where we are read The Real Battle part 7

To understand America’s currency and how we got to our current financial system read The Monetary History of America.

To understand the financial meltdown of 2008 and our current global financial system read The Rabbit Hole series.

Click on the links and resources in those articles to further your research.

 

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Dinar Update 2

Welcome to the latest dinar update. As gurus give updates about a potential fictional revalue, I will give updates about an imminent redenomination. I know it has been a while since the last update. I really don’t follow the dinar as close as I use to. Since I have been free from this scam I have been busy doing other things.

As most people know I have another blog that deals with world economics. The Blog is known as BVAWE. I started a new series on the blog called The Real Battle. It deals with the rise of the New World Order. It talks about these people using oil and the banking structure to come to power. While I was working on this new series I came across this.

Suspicious Activity Involving the Iraqi Dinar

“Over the last year, the circumstances of the war in Iraq have created the phenomenon of businesses trading in new Iraqi dinars. Many of these businesses advertise or conduct business over the Internet, and suggest that the Iraqi dinar, much like the Kuwaiti dinar following Operation Desert Storm, will increase in value exponentially following United States military involvement in Iraq. Most investors purchase dinars from websites established particularly for selling dinars or from major auction websites.

FinCEN has been receiving inquiries regarding the legitimacy of websites offering Iraqi dinar sales. While it is not necessarily illegal to buy or sell Iraqi currency, there are a number of risks and compliance concerns for the financial community. For example, Iraqi officials state that it is illegal under Iraqi law to export dinars. Therefore, in addition to questions about the source of the currency, and the potential for investment or securities fraud, businesses offering to sell dinars may also pose the risk of being used to fund terrorism or as a vehicle for money laundering. FinCEN also has a particular interest in these businesses because they may be money services businesses required to comply with the Bank Secrecy Act.

Any United States entity that buys or sells currency, including Iraqi dinars, in amounts of more than $1,000 U.S. to any one person in one day may be a money services business under FinCEN’s regulations at 31 C.F.R. Section 103.11(uu). [Note: there have been questions about the old dinar with Hussein’s picture on it. That dinar ceased to be legal tender around January 15, 2004 and thus ceased to be currency for purposes of the Bank Secrecy Act.]“

I found this part interesting

“Moreover, even if the business is registered with FinCEN, that registration does not guarantee that the business is in compliance with other Bank Secrecy Act requirements or with applicable state law.”

This is excerpted from SAR Activity Review Issue 8, page 41

http://www.bankersonline.com/security/sar/dinarsar.html

Years ago when I invested in the dinar I did a search to see if the dinar was a scam. Back then it was hard to find out any information on the currency outside of the dinar forums. Now it seems that there are independent articles all over the internet warning people about this. Well better late than never I guess. Here are a few examples.

“The hype about the investment in Iraqi Dinars has been going around for a while. Sellers explain that as democracy comes to Iraq, the economy will flourish and the value of the Dinar will grow.”

http://scam-detector.com/financial-scams/iraqi-dinars

“Live Wire: Iraqi dinar scam is still out there”

http://fayobserver.com/articles/2013/03/19/1243823

“Beware ‘amazing investment opportunity’ in Iraqi dinars, experts say”

http://www.ksl.com/?nid=148&sid=25004930

“Three Currency Scams to Avoid at All Costs”

“Going on 10 years, this scam hasn’t turned anyone into a millionaire, or even a thousand-aire. In fact, since the fall of Saddam Hussein’s regime, one note has been worth less than a tenth of a U.S. penny.

Word of warning today: Expect a flare-up in dinar marketing. Sellers often refer to the government of Iraq revaluing its currency to make it appear stronger and more attractive.

Wouldn’t you know, just as the dinar’s value plunges further, Iraq parliament is considering just that.

Last week, Al-Monitor (The Pulse of the Middle East), reported that a member of the Iraqi parliament’s Economic Committee said, “Reforming the management of the Iraqi currency now requires the deletion of three zeros. The Iraqi currency is weak, and the money supply has amounted to multi-trillions because of the existence of these useless zeros. The country will witness a significant increase in oil revenues, financial earnings and high budgets. Thus, we need to print new banknotes, as estimated by the Central Bank.”

http://www.wallstreetdaily.com/2013/07/30/egyptian-pound-currency-scams/

This is redenomination language. When they talk about printing new notes because their currency has become weak they are talking about printing a new series of dinar and that is a redenomination. And that is what this scam is all about. It seems to me that these days there are all kinds of scam warnings about the dinar.

Wait a minute…The Iraqi dinar is a scam? Maybe this video will help explain one of the scam aspects.

When I decided to post another dinar update I did a quick search and found this Warning from Washington State about the dinar.

“The Washington State Department of Financial Institutions is warning consumers about potential scams regarding Iraqi Dinar currency exchange services. While foreign exchange scams are not new, the sudden popularity with the Dinar and resulting consumer complaints to our banking partners is concerning.

Several websites have recently begun advertising investment opportunities in Iraqi Dinars, the currency of Iraq. These websites are asking the consumers to send a check, wire, money order, or pay cash upon delivery of the Dinars. What consumers are not told is that the Dinars can be redeemed only in Iraq, as most of the established currency exchange houses and banking institutions cannot convert the Dinar to US dollars. Since no exchange exists for the Iraqi Dinar, dealers can charge whatever they want to sell and buy back the Dinars”

http://www.dfi.wa.gov/consumers/alerts/iraqi-dinar-scams.htm

Even though this warning is from 2011 this is the first time I saw it. So as you can see the Iraqi dealers are the only ones providing liquidity for the currency they are selling. Talk about a conflict of interest. When the Redenomination goes down how many dealers will there be left to provide the liquidity needed to exchange the investment?

Contact Me

I have included a contact form on the home page of this blog. Anything that is put there is kept confidential and will not be posted on this blog without your permission. From time to time I get requests to contact people but keep in mind I am not interested in debating anyone about this investment. My time is limited.

And Then There Is This

There are people who got into this investment because they believe that this fictional revalue is prophetic. They believe it can be found in biblical prophecy. As far as these people are concerned no amount of reason will convince them. Even if you explain the logic of why it won’t happen they won’t believe it because to them it is a matter of faith. I would like to personally address these people now.

1. First you should know that Kim Clement is a false prophet. He has said a number of things that have not come to pass. I observed him when he first came to TBN. I marked the things he said at that time and waited to see if they would come to pass. The time of the prediction came and went and what he predicted did not come true. Here is an extensive list of some of the many wrong predictions this man has made.

http://www.forgottenword.org/clement.html

The Bible says,

Deu 18:20 But the prophet, which shall presume to speak a word in my name, which I have not commanded him to speak, or that shall speak in the name of other gods, even that prophet shall die.
Deu 18:21 And if thou say in thine heart, How shall we know the word which the LORD hath not spoken?
Deu 18:22 When a prophet speaketh in the name of the LORD, if the thing follow not, nor come to pass, that is the thing which the LORD hath not spoken, but the prophet hath spoken it presumptuously: thou shalt not be afraid of him.

Mat 24:24 For there shall arise false Christs, and false prophets, and shall shew great signs and wonders; insomuch that, if it were possible, they shall deceive the very elect.

So do you really want to trust this guy for dinar analysis? When I first invested in the dinar I wondered if the dinar was part of biblical prophecy. I am a long time student of the bible and I began to see if I could make a connection. The more I studied the more I saw that the dinar has nothing to do with biblical prophecy.

The other blog I have which I mentioned earlier is called Biblical Views and World Economics or BVAWE. It contains the prophecy research. It also explains world economics and how it relates to what is on the horizon. Although I will be quick to say it is based on my opinion and independent study. Right now the new series (The Real Battle) is taking all my writing and research time, but if anything interesting happens in the dinar world I will be sure to put it on this blog. If you want to see the other blog click the link below and see what a trillion dollars looks like.

http://bvawe.wordpress.com/

here is the new series. There are 4 parts so far. Part 5 is coming

http://bvawe.wordpress.com/2013/06/22/the-real-battle/

 

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Dinar Updates 1

This is the first dinar update. The idea here is to pass along news as the investment implodes. I won’t focus on research, speculation, or what the dinar is going to do. I will simply pass along information about what is going on now.

It Looks like another dinar dealer is in trouble. David Olmsted, aka Dale Cooper Jr., 60, of Lead, S.D., pleaded guilty to evading reporting requirements for foreign currency transactions. According to court records, Olmsted will forfeit assets and currency worth at least $1.2 million. This is according to the ICE website.

ICE is an acronym for Immigration and Customs Enforcement (ICE).

“U.S. Immigration and Customs Enforcement is the principal investigative arm of the U.S. Department of Homeland Security (DHS) and the second largest investigative agency in the federal government. Created in 2003 through a merger of the investigative and interior enforcement elements of the U.S. Customs Service and the Immigration and Naturalization Service, ICE now has more than 20,000 employees in offices in all 50 states and 47 foreign countries.”

“According to court documents, Olmsted arranged for shipments of Iraqi dinars, the country’s currency, to be sent from the country of Jordan to the United States in split shipments in February 2011.”

Wow from Jordan? Imagine that!

“According to court documents, Olmsted arranged for shipments of Iraqi dinars, the country’s currency, to be sent from the country of Jordan to the United States in split shipments in February 2011. He had previously been federally licensed to conduct foreign currency transactions in 2004 and 2006, but his license lapsed in 2008. Also, importing Iraqi currency is against federal law.”

Wait hold the phone…….It is Illegal to import Iraqi dinar? where is that 13303 presidential order when you need it? This is according to ICE which is a part of homeland security. They should know what the custom laws are!

“Olmsted funneled the illicit proceeds through business and personal bank accounts in South Dakota and Wyoming. He used the proceeds from his scam to finance Internet sales and purchases of foreign currency, jewelry and collectible coins via two businesses he previously owned: Black Hills President’s Park, and the Iraqi Dinar Financial Group, both based out of his home.”

http://www.ice.gov/news/releases/1305/130521rapidcity.htm

http://sd.findacase.com/research/wfrmDocViewer.aspx/xq/fac.20120906_0000116.DSD.htm/qx

Now it looks like Iraq is getting closer to a redenomination

According to Iraq’s semi-official Alsabaah newspaper, the finance committee received specimens of the new Iraq banknotes from the Central Bank of Iraq. The specimens were of the 25, 50, 100, and 200 dinars. The committee urged the central bank to delay the introduction of the new currency from January 2013 to July 2013 to study all the aspects of the process.

This report is from Banknote News

http://www.banknotenews.com/files/e6aeb4a9a73b43af93fb33b73f0c705d-2193.php

If this report is true this means that Iraq is close to starting the redenomination process. This is when things are about to get interesting.

 

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This is it for me

There is a difference in lying and being misinformed. When someone says something that is not true it can fall into one of those two categories. In the past there have been many rumors that are passed on in the dinar communities which are simply not true. For the most part they gain momentum and before long they are accepted as fact. This misinformation comes from a lack of understanding about how money really works.

That being said I will say for the first 2 years of this investment I was grossly misinformed. I believed in this investment because of the misinformation and my opinion of how money works. My misinformation has been copied and pasted into other forums because it promoted hope. Now that I have learned the truth I have an obligation to set the record straight. Back when I believed in this investment I was getting thousands of hits on this blog. This is something I never expected. Now that my view has changed and the hope of making money is gone the hits are single and double digits. Not much traffic to really speak of these days.

Even so there were reasons to keep this blog going. The first one is to set the record straight, the second one is because of the readers who purchased dinar because of my views, and the third is because my old posts are copied and pasted everywhere. I wanted to cover all the reasons why I first purchased the dinar. All of these reasons were based on misinformation. I did not research as much as I should have before I purchased the dinar. The subject of money was so vast that it took me 2 years to get a basic understanding of how economics work. This blog is vast and there is a lot of reading involved. So in this post I will present my evidence that support my conclusions using all the links and articles on my sites. This will be a condensed version. So let’s look at all the misinformation. This article is more or less a summary of this entire blog.

1. The first article The Truth About The Dinar covers how I got involved with this whole thing and how this blog started.

2. The Truth About The Dinar part 2 . In this article I expose the truth that the lower denominations were not printed as of yet in July of 2011. Since I was involved I have always heard that they have the lower denominations. I also expose the fact that there was never a Kuwaiti revalue. There was a Kuwaiti redenomination, but never a revalue. My source for this was the vast assortment of news articles from 1991 regarding Kuwait and the invasion. The other source for this is the central bank of Kuwait itself. Their website will expose this rumor for what it is.

3. Where Do We Go From Here covers how the dinar gets here in the U.S. It covers the SOFA (status of Forces Agreement) with Iraq and shows how soldiers were not allowed to bring back dinar with them. It covers the way this currency flows. This is only one stream of flow but I believe it to be one of the major ones.

4. Where Do We Go From Here part 2 covers the redenomination process and a few other opinions from people regarding why the dinar is a scam. It covers the history of the rise of this global economic machine.

5. The Conclusion To The Matter covers other links from other people who feel as I do. I really don’t know any of these guys but they do make some valid arguments. We also cover why the dinar will not be an internationally traded currency

6. The Conclusion To The Matter part 2 is a rebuttal to an article I wrote called “The Iraqi Dinar Will Revalue Here’s Why” Basically I am arguing with myself and my conclusions were all wrong back when I wrote that piece and this is an attempt to correct it. This is the number one article that can be found in most forums.

7. The Dinar Will Not Be A Reserve Currency. This gives an overview of money and the laws that have backed it throughout the years. It talks about why the dinar cannot be a reserve.

8. How The Dinar Works. This article covers the fact the Iraqi dinar is not used to sell oil and it will not be used to sell oil. It goes on to outline the petro-dollar system. It also talks about how the dinar is not being used to rebuild Iraq. Revenue from oil being sold in U.S. dollars is being used to rebuild Iraq. I have another article on another blog that talks about Iraq’s history regarding oil and recaps everything that happened in Iraq since the 70’s. This article is called The Role That Oil Plays For Iraq and the Petro Dollar System. This article goes into much more detail about this.

9. Lies Deceit and Denial covers and exposes the truth about executive order 13303. This order does not protect dinar investors like we were led to believe. It also exposes the fact that the Government does not have trillions of dinar stockpiled for a revalue. It also covers a court case between the government and the BH Group. The government is prosecuting the BH group based on their statement in the indictment which claims there will be no RV and Iraq plans on redenominating their currency. A link to the indictment is available.

They have their first conviction look here. Read more about the charges here

So all the reasons that I purchased dinar in the first place are covered in all these posts. Every article has qualified links that present the truth. Truth is different from opinion. Truth is based upon facts. You are entitled to your own opinion, but you are not entitled to your own facts. You can believe anything you want and have various views on anything based on any facts you find. The dinar will not revalue that is a truthful fact not an opinion. The indictment against the BH group declares this.

Now I made my case. At this point do what you feel is right for you regarding this investment. The links in these articles will help you to do your own research. Don’t take my word for anything. Look at the links that led me to this conclusion. It is my plan that this will be my last post regarding this investment. My plans now are to move on to other things. I do not have plans to follow or track this investment any longer. My plan now is to move on and watch this whole thing fade into obscurity taking with me all the hard lessons I have learned from this investment. Yes there is a difference between misinformation and lying. It has been my objective to deal with all the misinformation that trapped me in this investment in the first place.

Eventually I will end this dinar chapter of my life I may even take this blog down once Iraq goes into a redenomination process. I would like for this to be my last post. Let me apologize now to the 5 people who read this blog. It use to be thousands, but I think people are tired of reading about this. That is fine because It has been time for me to disconnect for a while. Now it is on to other things.

 

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How The Dinar Works

I spent a little over two years invested in the Iraqi dinar. When I first got into the dinar I knew nothing about how currency works. I knew nothing about finance or investing outside my 401k. The financial terms seem boring and confusing. I felt a sense of urgency to buy because soon I would miss my opportunity and I would miss out completely. I am willing to bet that I fit the profile of most first time dinar buyers.

Over the course of the two years that I was invested, I did intense study and research on the dinar and currency in general. In addition to following this investment for two years I did intense economic studies. Once you learn how currency works and once you understand the basics then you can determine for yourself when the RV will take place. You won’t need to rely on gurus any more for advice. You will understand exactly what is going on and when to cash in.

The main problem here are the things being said to cause people to buy dinar on impulse without doing research. These outright lies are told and repeated without verification. They have been the same lies repeated to first time buyers for many years now. Some of these things I already debunked in older posts but let’s revisit a few statements or myths for the purpose of where this article is going.

1. The dinar will be used to sell oil.

2. The dinar will be used to rebuild Iraq

Actually these two statements go together and one follows the other. The truth is Saddam switched from selling Iraqi oil in dollars to euros. Then right after that America made invasion plans. Once America was in Iraq a new constitution was written that included a separate central bank. They immediately switched back to selling oil using the dollar. In previous articles I wrote about the petro-dollar. These articles go into details about the petro-dollar and why Iraq will not sell oil in dinar.

Iraq oil and the Petro-Dollar

The dinar is not and will not be a means to sell oil in Iraq. Anyone who says otherwise is lying to you!

Oil is sold in dollars. Dollars are used to rebuild Iraq. Iraq is also seeking private investors as well. Iraq’s reconstruction efforts is ongoing and it is in dollars not dinar. It is an international effort.

Funds held by the United Nations Development Group are disbursed through United Nations agencies such as the World Health Organization, UNICEF and the UN Development Program. These UN agencies directly contract with equipment suppliers and construction companies. Disbursement of funds by the UN began in June 2004. Funds held by the World Bank are disbursed directly to Iraqi government agencies including the Municipality of Baghdad and national ministries. Granting of funds to Iraqi agencies began in December 2004

Rebuilding Iraq

This Wiki article goes on to point out

Funds from the US-operated IRRF are largely disbursed through contracts to private firms. Several US companies have been particularly prominent in receiving Iraq reconstruction funds. Bechtel of San Francisco, USA has been awarded over $2.4 billion for infrastructure rehabilitation through USAID contracts.

I can tell you that is not 2.4 billion in dinar. These are international companies that won’t accept a local currency for their services. Rebuilding is an international effort requiring an international currency.

Dinar sales have become a big industry. Lies are told to increase and hype the sales. Another lie is that the rate is imposed by the IMF.

Since Iraq has few exports other than oil which is sold in dollars there is little demand for Dinars and they remain in “exotic” status. However the new currency has sparked a multi-million dollar industry in selling dinars to speculators. These so called “money service” companies will sell Dinar to speculators at an inflated price and push the idea that the dinars will “RV” or be revalued to greatly increase the exchange rate against the dollar. The Dinar is currently pegged to the dollar at a rate of 1166/1164 (sell/buy) dinars per dollar as can be seen on the Central Bank Of Iraq’s home page. The exchange rate reportedly available on the streets of Iraq is around 1200 dinars per US dollar.

There is considerable confusion (perhaps intentional on the part of Dinar sellers) around the role of the International Monetary Fund in Iraq. The IMF as part of the rebuilding of Iraq is monitoring their finances and for this purpose uses a single rate (not a sell/buy) of 1170 dinars per dollar. This “program rate” is used for calculations in the IMF monitoring program and is not a rate imposed on Iraq by the IMF.

Iraqi Dinar Sales Men

Another lie told to sell dinar is that Kuwait revalued its currency. This never happened! If you want details with proof read this article I wrote a while back

Kuwait never revalued!

How the Dinar Works

To better understand how the dinar works we need to spend a little time at the central Bank of Iraq’s website.

CBI History

According to the CBI, Iraq’s banking law became compliant with international standards.

The Banking Law was issued September 19, 2003. The law brings Iraq’s legal framework for banking in line with international standards, and seeks to promote confidence in the banking system by establishing a safe, sound, competitive and accessible banking system.

Another common lie about the Iraqi dinar is that the currency is backed by oil. We are about to see this is not the case. So what is the dinar backed by?

Fiat money is money that derives its value from government law or regulation. Typically it is declared legal tender and has no real intrinsic value. From 1944 to 1971, the Bretton Woods agreement fixed the value of 35 US. Dollars to one troy ounce of gold. Other currencies were also pegged to the U.S. dollar at fixed rates. The U.S. promised to redeem dollars in gold to other central banks. So the dollar was backed by gold. Trade imbalances were corrected by gold reserve exchanges or by loans from the International Monetary Fund. This Bretton Woods system collapsed in August 1971 when the United States government ended the convertibility of the US dollar for gold.

Today the dinar rate is pegged to the dollar. A pegged, or fixed system, is one in which the exchange rate is set and artificially maintained by the government. The rate will be pegged to the US dollar. Iraq has to work to keep their pegged rate stable. This is because if people realize that their currency isn’t worth as much as the pegged rate indicates. They could very well rush to exchange their money for other, more stable currencies.

As a result The CBI must hold large reserves of foreign currency (in this case the US dollar) to mitigate changes in supply and demand. Iraq holds the dollar as a reserve against the dinar. This is why the currency supply grows in Iraq in proportion to how much US dollars they have in reserve. As their reserves grow the amount of dinar they have in circulation also grows. That is how pegged currencies work!

Pegged Currencies

Currently as of this writing there is 31 trillion dinar outside of banks in circulation. So here is the question. How much reserve would they need to revalue their currency? If the dinar were to revalue to just one US dollar how much US reserve would they need to keep their pegged rate? By international banking law they established they would need to keep their reserve even in the event of a Revalue.

So they cannot just say the dinar is worth x amount. They need the reserve to back whatever value they place on it. Now if that is indeed the case, (and it is) then they would need to drastically reduce the money supply in order to raise the value even to 1 cent. The amount of dinar in circulation is in direct relation to the value of that dinar. The value and amount of dinar they have in circulation is in direct relation to the amount of foreign reserve they have on hand.

To find the amount of dinar outside banks go to the CBI website. Found Here Click on financial indicators and download the excel document and open it. Scroll down to line 79. It says money outside of banks. That number is in billions so that means that the numbers found in millions, thousands and hundreds are omitted and everything is rounded to the nearest billion.

So since 2003 the amount of dinar has been growing at a steady rate. As people over here buy dinar that money eventually winds up in Iraq. I have read estimates of 4 trillion dinar outside of Iraq and in the US. If that is true that means Iraq has made 4 billion US dollars off the export of their currency! People get mad because of congress giving Iraq 89 billion to help rebuild Iraq. I often wonder if these same people know that American citizens have also freely given Iraq billions as well. They did this when they purchased the dinar!

 

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The Dinar Will Not Be A Reserve Currency

I have read on various forums that people believe the dinar will be a reserve currency. Reserve currencies were first set up under Bretton Woods. This is where a country would hold a certain amount of another nation’s currency as a reserve to give that nations currency value and worth.

So does the dinar qualify, or will it qualify after the mythical revalue happens? How likely do you think it is that they will replace the US dollar (an over printed fiat currency) with the dinar (another over printed fiat currency) as a reserve in the event of a complete global collapse?

I have another blog that I maintain called Biblical Views and World Economics. It really has little to do with biblical views and more of a focus on world economics. I have about 4 years of research on global economics that is displayed through this blog. Lately I have been writing for that blog. I just finished an article called, The Monetary History of America. This topic is so important to our understanding of money that I decided to make this a page on the site instead of an article or post.

It is amazing to me how the bankers, central banks, and the money changers have been screwing things up for the last 300 years. There is a lot of doom and gloom with the economy and our current financial system. A lot of prophets are predicting the end of the dollar and the reign of some other standard overnight, but is this a practical point of view? Will the dinar be the savior of the monetary world like all the forums and gurus predict? Highly unlikely! In fact this is not at all possible.

Will the dollar crash overnight? Even if this was the case it is highly unlikely that the new standard will be another over printed fiat currency from a country with no infrastructure and whose entire GDP depends only on oil given the track record of such currencies.

So people are returning to real money. (Gold and Silver) Prices for these metals have soared as people stock-pile them and as nations add them to their reserves. The main reason people are stocking up on gold and silver is because they can see what is happening with the dollar. In my new blog page we cover the history of money in America. When you study this out some interesting things come to light. I will talk about just a few highlights here. If you want to read the whole thing just click on the link below

http://bvawe.wordpress.com/the-monetary-history-of-america/

“James A. Garfield became president in 1881.Throughout Garfield’s extended Congressional service after the Civil War he fervently opposed the Greenback, and gained a reputation as a skilled orator. President Garfield advocated a bi-metal monetary system”.

Under this system the metal was the money and the currency was merely the receipt for the money.

“Ulysses S. Grant was our 18th president. There was a panic in 1873 which led to a depression for 5 years. People wanted more paper currency in circulation. The Inflation Bill was pushed through on April 14, 1874 to increase the nation’s tight money supply as a result of the contraction act. Many farmers and working men favored the bill, but Eastern bankers wanted a veto because of their reliance on bonds and foreign investors. On April 22, 1874, Grant unexpectedly vetoed the bill on the grounds that it would destroy the credit of the nation.”

“Stephen Grover Cleveland was the 22nd and 24th President of the United States. He is the only president to serve two non-consecutive terms. (1885–1889 and 1893–1897) In his second term the panic of 1893 struck the nation. The panic was worsened by the acute shortage of gold that resulted from the free coinage of silver. Cleveland oversaw the repeal of the Sherman Silver Act. At the time the repeal seemed a minor setback to silverites, but it marked the beginning of the end of silver as a basis for American currency.”

“William McKinley is our 25th president. He secured the passage of the Gold Standard Act”.

Every major currency left the gold standard during the Great Depression. This put and end to what is known as the classical gold era. Some of the doom and gloom prophets that are forecasting and end to the dollar are calling for a return to the gold standard. While this idea may have some merit, the gold standard did not protect anyone during the great depression and in fact the faster nations removed themselves from this standard the faster their economies recovered. (Sources and links provided from original article on my other blog)

The big mistake in my opinion was the removal of silver and that gold was the only metal used for money, or to back money. I think James Garfield had it right. A bi-metal monetary system would be better. But whatever system winds up replacing the dollar just know it won’t be like anything we had in the past. In fact I believe that when the dollar is replaced it will be a whole new system of exchange. Gold and silver will serve to protect people while the new system is being set up. That’s why prices are going through the roof. Fear is driving the market. Whenever people panic they always run back to real money. (Gold and Silver) paper fiat currency is not real money. It might as well be monopoly money. For now though, the dollar has value.

I don’t agree that the dollar will crash overnight like some people think. I think the dollar will meet a gradual demise. The indicator is oil. Two thirds of our currency is overseas and it is used to buy and sell oil. Since the dollar is the medium of exchange for oil, other nations secure the dollar by their oil supplies. It does not matter what quantity The Federal Reserve puts out. Although this weakens the dollar it won’t destroy it. When nations start to use some other medium to exchange for oil, then those dollars overseas will no longer be needed. When that happens most of all the foreign U.S. dollars will make their way back to the United States where they originated. When this happens hyperinflation will set in as there will be too much money in circulation.

The cause and effect of this will mean several things. First we as Americans will see a dramatic fall in our standard of living. America’s credit rating will plummet. And the economy will adjust accordingly. The adjustments will be gradual. Second, America could face a redenomination of its own. We should be familiar with this process after we watch what happens with the Iraqi dinar. Third, there will be a new global exchange that could move beyond the medium of fiat currencies, or the nations that held our debt will be the new reserve currencies. What will the new system be?

http://articles.nydailynews.com/2012-06-01/news/31965723_1_verichip-dna-testing-microchip

Who really knows for sure. What will America do when our dollar is no longer the medium and standard for the world? Simple, they will start drilling for oil here in America and tap America’s vast oil reserves that until now remain untouched. For more information on this, research the petro dollar and see its global impact. This is also talked about in great detail on my other blog about global economics. (BVAWE)

 

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The Conclusion To The Matter part 2

The Iraqi Dinar Will Not Revalue Here’s Why

Back in 2010 I wrote an article called “The Iraqi Dinar Will Revalue, Here’s Why” This turned out to be the most popular thing about the dinar I have ever written. It was copied and pasted in all the forums. Since I spent the last few months correcting things I have said and debunking myths, I thought I would end with the things that were talked about in this article. This subject became too long to include at the end of the last post. (Supposed to be in the last post)

Of course I no longer agree with the premise of this article. As you know by now I do not believe the dinar will revalue. There is something in my disclaimer I would like to point out. It is the part that says. “My opinion is subject to change if new information surfaces that I am not aware of.” Once I started looking in the right places lots of information surfaced I knew nothing about. So now I would like to go into this article with a bit more detail.

Iraq reducing its money supply

Well as we now know this is not the case. They have been expanding the money supply ever since 2004. There was an article that said Iraq was reducing the excess liquidity by 70 percent. This was one of the articles I used that came from Iraq to say Iraq was reducing its currency. Numbers at the CBI have indicated otherwise. It was a matter of not trusting the CBI’s numbers and looking to other sources to confirm currency supply. This goes along with the smoke and mirrors conspiracy thing. The truth is you can trust the numbers from the CBI. They need to be transparent. The IMF would not tolerate deceit.

It is interesting to note that the CBI has released a new version of the key financial indicators document which now shows currency outside of banks being 29 trillion and not the 35 trillion as it declared back in March. In fact the new document does not show the M2. The only real correction was line 79 which stated there was 35 trillion outside of banks. There are other numbers in this document that are missing. Now the new version of this document is saying there was really only 29 trillion outside of banks for the month of March. So what happened? If they did not need to be transparent then there would be no need to indicate they had 35 trillion outside of banks. They could have just lied about the numbers from the start and avoid a lot of headache.

It is my guess this whole turmoil started when Shabibi tried to do something with the currency and released this vast amount. He got a backlash from Maliki and certain members of parliament that support Maliki. This is the thing that caused all the turmoil and now the money is back at the CBI. Of course I don’t know for sure. I do not believe it was a typo. This is because line 79 added correctly with the other figures in the document. Shabibi got caught doing something. That much is obvious. You can go look at the document yourself. I downloaded the version that said there was 35 trillion outside of banks. Now one month later there is magically 29 trillion outside of banks in the new document. There was 28.5 trillion in February. So it is still an expansion and not a reduction. Things that make you go hmmmm.

http://www.cbi.iq/index.php?pid=Statistics

Oil

The dinar article in question was the first one I wrote that talks about the oil effecting GDP, and how oil will not be traded for dinar. I do make the point that a higher GDP will affect the currency’s value. This is the only part of the article that was correct concerning any change in the value of the dinar.

Fractional Reserve Banking

People proposed questions in forums about currency supply. These were people who believed that there would be no revalue. These are also people with financial backgrounds and degrees. At that time I thought there would be a revalue and I knew this was a trick question. Here is the general question that was asked. How can America even support an RV when it only has 3 trillion dollars in circulation according to the money supply? If there is 25 trillion dinar in circulation how can it RV to $3.00 when the US does not even have that much money in circulation? I have read this question in at least three posts

While the question on surfaced sounded good the question itself was really deceitful. The person asking the question knew it was deceitful. They asked it only to argue against people’s hopes for a revalue. They were not interested in the truth, and they thought no one would address this question. It was obvious to me that this was not a question from someone who was searching to expose the truth, but its intended purpose was to antagonize. This was a question from someone who thought everyone in the dinar community was stupid and did not know what he (Mr. Finance Guru) knew about money. So after studying money for a while I was going to let these guys have it with both barrels.

If you really come to a place like I have where you no longer believe there is going to be a revalue, you don’t need to ask deceitful trick questions like this. The facts themselves will support your theory. So I gave my response which I stand by to this day.

In the first place not everyone believes the dinar will revalue that high. (Above the 3.00 mark) The 3 trillion US dollars mentioned here did not make up all of Americas money supply like this question led you to believe. This was only M1, and M1 is physical currency. Only 3 percent of America’s currency is physical currency. So where does the rest come from? Well there is also M2 which is M1 plus electronic currency. It is a different number. This was about 9 trillion at the time. Then there is M3. The Federal Reserve no longer reports on M3. They stopped reporting M3 in 2006. M2 would be base money and this is expanded through something called Fractional Reserve Banking. This is outlined in a book put out by the feds called Modern Money Mechanics. It works something like this (watch Video)

As a direct result of fractional reserve banking the money supply expands. Watch the next video to see how.

The point here is our currency supply is not 3 trillion dollars. That was just our physical currency which is only 3 percent of the money supply. (watch videos) According to the principles in fractional Reserve Banking it also means that outstanding debt is also money in circulation. The banks created the money when it generated the loans. So our national debt is over 15 trillion dollars. Consumer debt is 57 trillion. All of this is money in circulation. This explains why the dollar is in trouble. But don’t sit there and tell me that the US has only 3 trillion dollars to pay for the mythical revalue when there is plenty of other evidence that goes against the revalue theory.

So how much money is there? Well here are some links that explain it.

http://en.wikipedia.org/wiki/Money_supply

http://en.wikipedia.org/wiki/File:Money-supply.png

“In economics, the money supply or money stock, is the total amount of money available in an economy at a specific time. There are several ways to define “money,” but standard measures usually include currency in circulation and demand deposits.” Notice that this standard definition of the money supply does not include debt. Check total debt and total money supple here

http://www.usdebtclock.org/

http://en.wikipedia.org/wiki/Contractionary_monetary_policy

Notice that 3 of the 4 contraction and expansion measures for the money supply involve the loan process.

Some people have taken my statements here and thought I said that Iraq’s banks were going to use fractional reserve banking (FRB) to finance the revalue of the dinar. That’s not what I said or what I meant to say. My only reason to point that out in the article was to show America has more US dollars in circulation then the so-called financial experts in the forums were saying. This put a stop to those kinds of questions. At least while I was there.

Iraq won’t use FRB to finance a revalue because this process expands the money supply. Iraq needs to contract their money supply in order for the revalue theory to work. Most of Iraq’s money is base money it has not been expanded through the loan process. This narrows down the contraction measures to one thing which is Redenomination. If you doubt that debt becomes a part of the money supply just look at how money is expanded and contracted. If the fictional RV happened as portrayed in the forums this would cause an immediate increase in the world’s money supply. As people paid off debts like mortgages, credit cards, and cars the money supply would go through a slight decrease.

However, dumping that much money in the general world money supply would have an end result of inflation. This to me is a much better argument then saying the united states only has 3 trillion in circulation. If this is the case how did the United States acquire a debt of over 15 trillion? The point of explaining Fractional Reserve Banking was to show the expansion of the money supply. Not to explain the mechanics of the RV scenario.

The Rothschild Dynasty

In the article I posted in 2010 I talked about the Rothschild family. I talked about their involvement in the first two central banks that America had. I talked about their involvement in the Formation of the Federal Reserve. Part 1 of this article series talks about that. I was speaking about their involvement as part of a world banking cartel. I even said they owned or had a hand in almost all the Central Banks around the world. They basically controlled almost all the central banks.

I talked about what happened during the revolutionary war. I talked about how on one hand the Rothschilds said the colonial script (colonies money) would not amount to anything, and it was worthless. Then secretly they were buying up all the colonial script they could get. After the war one of the things Alexander Hamilton was able to do was place a value on the currency (colonial script) so the Rothschild family could cash in all of the colonial script they had purchased for next to nothing after the war. I mentioned that they are doing this with the dinar today. On one hand they are saying the currency is worthless and then the CBI will revalue the currency that all the fat cat banking cartel own.

Well first I want to address the Rothschild family. Let’s talk about who they are, their history, and what they really own. This alone would fill volumes of books, but in the interest of time I will sum everything up in 5 videos. First watch the videos to gain a basic back ground.

So if you took the time to watch these videos you know of the Rothschild’s involvement in the banking system, the industrial revolution, and the political system. Their old houses are used today as embassies and one mansion was even used as a headquarters to implement the Marshal plan. You see their involvement in the current central banking system. While there seems to be many conspiracy theories surrounding this family, controlling the banking system is not one of them. Here is one link that will provide numerous links for further study. Some of the links in my view are conspiracy minded. Other links bring forth documentation about the truth.

http://www.carlg.org/engrothschild.html

The Rothschild family operates their holdings by degrees of separation. Basically it works like this. Company A is owned by company B, which has a sister company C. all these companies have a parent company D, which is managed and controlled by company E which is controlled by the main corporation that the Rothschild family controls. So with all these degrees of separation there are few companies that bare the name Rothschild that are actually owned by them. It also makes it harder to trace ownership of a given company back to the Rothschild family.

The ultimate parent company of the Rothschild dynasty is a private Swiss company, “Rothschilds Continuation Holdings. AG (RCH) Rothschilds Continuation Holdings AG is a bank holding company which through its subsidiaries, provides banking, treasury, investment banking, fund management, private banking and trust management services to governments, corporations and individuals worldwide. The company is based in Zug, Switzerland. Rothschilds Continuation Holdings AG operates as a subsidiary of Paris Orleans S.A.”

http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=4511240

The Rothschild family biographies give the illusion and impression that their total wealth has decreased over the years. But researchers estimate their wealth into something more than half of the entire world’s wealth.

http://www.dailymail.co.uk/sciencetech/article-2051008/Does-super-corporation-run-global-economy.html

Who owns and operates central banks?

Central Banks are separate from Governments for a reason. They are controlled by someone else. They are part of the elite banking cartel. They do not belong to the people of that country. A central bank is controlled in two ways. First through the International Monetary Fund, (IMF) and second through The Bank For International Settlements.

“The Bank for International Settlements (BIS) is an intergovernmental organization of central banks which fosters international monetary and financial cooperation and serves as a bank for central banks. It is not accountable to any national government. The BIS carries out its work through subcommittees, the secretariats it hosts, and through its annual General Meeting of all members. It also provides banking services, but only to central banks, or to international organizations like itself. Based in Basel, Switzerland, the BIS was established by the Hague agreements of 1930. The Hague Agreements are maintained by World International Property Organization or WIPO.”

“The World Intellectual Property Organization (WIPO) is one of the 17 specialized agencies of the United Nations. WIPO was created in 1967 “to encourage creative activity, to promote the protection of intellectual property throughout the world”

“As with all United Nations multi-government forums, WIPO is not an elected body. WIPO usually attempts to reach decisions by consensus, but in any vote, each Member State is entitled to one vote, regardless of population or contribution to the funding.”

“Unlike other branches of the United Nations, WIPO has significant financial resources independent of the contributions from its Member States. In 2006, over 90% of its income of just over CHF 250 million.”

http://en.wikipedia.org/wiki/Bank_for_International_Settlements

http://en.wikipedia.org/wiki/Hague_Agreement_Concerning_the_International_Deposit_of_Industrial_Designs

http://www.wipo.int/hague/en/

http://en.wikipedia.org/wiki/World_Intellectual_Property_Organization

So we can see how all this connects together. The Bank For International Settlements ultimately plugs back into the United Nations.

Bank For International Settlements Board of directors:

Christian Noyer, Paris (Chairman of the Board of Directors)
Hans Tietmeyer, Frankfurt am Main (Vice-Chairman)
Ben Bernanke, Washington, DC;
Mark Carney, Ottawa;
Mario Draghi, Rome;
William Dudley, New York;
Stefan Ingves, Stockholm;
Mervyn King, London;
Jean-Pierre Landau, Paris;
Guillermo Ortiz Martínez, Mexico City
Guy Quaden, Brussels;
Jean-Pierre Roth, Zürich;
Masaaki Shirakawa, Tokyo;
Jean-Claude Trichet, Frankfurt am Main;
Paul Tucker, London;
Alfons Vicomte Verplaetse, Brussels;
Axel A. Weber, Frankfurt am Main;
Nout Wellink, Amsterdam;
Zhou Xiaochuan, Beijing

Most of these people attend the Bilderberg meeting every year. These people control all the central banks around the world including the CBI. The collation provisional authority set up the CBI as an independent bank and as part of the international system so they could control it. When I say Rothschild owns the CBI I meant Rothschild controlled through BIS, IMF, and UN New World Order. For the Rothschild dynasty are the founding fathers of the central bank system.

http://globalresearch.ca/index.php?context=va&aid=25247

Rothschild-owned Central Banks in ALL BUT THREE countries in 2011. (Check the link below) The first Rothschild world bank, the, “Bank for International Settlements (BIS),” is established in Basle, Switzerland.

http://mikephilbin.blogspot.com/2011/11/rothschild-owned-central-banks-in-all.html

You may not agree. You may even think that I am a bit to conspiracy theory minded. That’s fine believe what you want. I have provided all the evidence in the supporting links. There is no smoking gun. You got to look at all the evidence as a whole.

I was wrong when I said that the Rothschild institutions were going to revalue the dinar. I now think they already made their money off the dinar. When Iraq was invaded they left the central bank unguarded and Saddam made off with a bunch of dinar. But the invading forces took a lot of the old dinar as well. I now believe that the Rothschilds already made their money on the initial exchange back in 2004. I got several links for this as well. I am still digging in this area and I think the global interest already made their money off the first exchange. This is what the evidence suggest so far. It seems I found out about the dinar long after they were out.

So there it is, these last 6 posts gives my personal story about the dinar and my 2 year involvement with this currency. I am certain that this currency will redenominate and I believe that when this happens there will be no way to trade back for dollars here in the US. Once people figure this out the demand for the currency will stop. And once that happens you will not even be able to trade that worthless dinar paper for a stick of gum. There will be no demand for it. The dealers will all close up shop and you will not find them.

The dinar is like a game of musical chairs. Whoever is caught holding this stuff when the whole thing crashes will lose. They won’t be able to find a seat once the music stops. And that is the scam behind the dinar.

 

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The Conclusion To The Matter part 1

I was just about like every other investor I came into contact with. The Iraqi dinar was my first real investment outside of my 401k. I knew nothing about currencies or investing. I took a lot of things at face value. When I was told the Kuwait lie and the Germany lie I believed it hook line and sinker. There were a lot of lies I believed when I first got into this thing. I was about as green and gullible as I could possibly be. When I was writing posts for the blog I just repeated what I was reading in my own words. I never expected it to get as big as it did. The only point of the blog was to answer a few questions for friends and family. Soon my posts were repeated, copied, and pasted in dinar forums all over the community. As if I was some kind of authority.

I really could not understand why the hits on the blog were going up until one day I ventured into a forum and saw what I wrote on the blog. When I found out the truth I removed all the posts that had misleading information. My point of view had changed once I stopped taking the gurus word and dug in to verify the things that were said. The problem I had was that even though I removed these from the blog they were copied and pasted in the forums. There was no way to delete those posts. So the real reason for bringing Iraq Currency Watch back was to set the record straight and correct things I no longer believe. The second reason was to warn all the people who took the time to read my blog. I need to warn them about what is going to happen next. This is so they can make the right choice. These are my only goals. After this post I am done and I will no longer follow this investment. I will remove myself from investment communities and pursue the things that interest me.

I never made any money from this blog. I wanted to stay open and impartial. Making money on ads would color my perspective because now I am no better than the other gurus who make money because the reader believes there is going to be a revalue. These five posts are all about correcting misinformation and speaking the truth. In the first post I gave my personal story about how I got involved with the dinar. In the second post I correct a lot of things I believed at the time but found out later were not true. In the third post we follow the money and you begin to see the truth with this investment. In the fourth post we talk about revalue versus redenomination. We talked about the problems that could make the government unstable. If this happens everyone will lose.

Now I would like to talk about the network set up here in America to move the dinar. This dinar network is a combination of forums dealers and independent research teams. Most are dishonest and on the take. There are some that search for the truth and believe they are doing a good thing. These people don’t believe the things I revealed in the last 4 posts and for the most part are investors themselves like I once was. I hope that once you see the corruption in the way the dinar is sold you will understand why seasoned investors refer to this as a scam. I just want to show you research other people have done so you can be informed. Let this thing be established by more than one witness.

This first site is called Iraq Dinar Money. The column to the right shows a list of dealers and sites. It shows the ones who share the same IP address. It seems some sites are set up as independent analysis. They display Investment Intel and news related to Iraq. They give the appearance of being an independent site. Other sites sell dinar, but they are secretly connected to the analysis site. The illusion is these two sites are separate when in fact they share the same goal and they are one and the same. That goal is sell the dinar by any means. a lot of these sites even share the same IP address. This site is a great source for flushing out the scam artists. They tell lies to sell dinar and entice people into buying. This is also known as pumping

http://www.iraqidinarmoney.com/

The other site that seems to do a great job at revealing conflicts of interest is called Dinar Douche Bags. This site reveals the real identity of the people lying to you. They have information on how gurus are connected to each other. They show all the con games going on with this investment.

http://dinardouchebags.blogspot.com/

The mission of Iraq Currency Watch has always been to seek the truth about this investment. I will admit I am kind of slow. After all, it took me two years to discover it. So basically I put to the test the things that are said about this investment. Iraqi Dinar Money shows how all the dealers are connected. Dinar Douchebags show and reveal the identity of all the liars. Between these three sites you should know enough about this scam to know that any money spent on the dinar will be wasted and you will lose. That is unless you can find some poor sucker on eBay who won’t listen to reason.

So now I want to talk about how my family and I got our dinar and how members of my family were scammed. When I heard about the dinar I did not dig as deep as I should have because I was looking at other currencies too. Time was limited. I found one of the independent analysis sites that were connected to the dealers. These sites are good at setting up straw men to tackle. When I decided to buy my dinar I purchased it all from Dinar Trade. This site was run by a man by the name of Ali Agha. I saw his clip on MSNBC. Ali sells the real deal. His currency is real dinar and as far as a fair exchange goes and getting real dinar in that department he is more than honest. He backs the authenticity of the currency. So I felt he was reputable.

What I did not realize at the time was how independent analysis sites were set up with Ali. At that time you could go to Dinar Daddy or Franks KTFM site and get hype about the dinar. Their job was pumping. They sent you to Ali’s site to purchase it. When you type in their special code you got a discount on your purchase. I think my discount was around 5 bucks. It was amazing how policy at Dinar Trade and intel by the gurus went hand in hand.

Let me give you an example. My brother had about 100,000 dinar. That’s all he wanted to invest. He did not want to invest anymore. Money was extremely tight and he was barely making it. During the whole summer of 2010 the gurus in the analysis forums said when the dinar RVs the rate will be over 3.00 and it will go up from there. Frank had a rate prediction of around $3.86. Everyone said when it RVs the rate will go up. Ali had a policy that you could lock into a rate after the revalue with 100,000 dinars if you made an appointment with him after the revalue. He would pro rate it.

Ali Agha from Dinar Trade changed his policy. He said that you need to have a million dinar to lock in a rate. At the same time and right on cue the gurus and pumpers changed what they were saying. They now said that when the rate comes out it will be high at first then it will go down. Now if you believe that the rate will go down after the initial RV and you now know that you need a million dinar to lock in a rate, what are you going to do? You are going to beg borrow and steal to get more dinars so you can maximize your profits right? Well my brother purchased a million dinar from Ali and he put in his code for his discount. I had other family members that sold family air looms for cheap to get the money to buy more dinars. I don’t know how much more money the dealers made as a result of this. I began to suspect that the pumpers were getting kickbacks from Dinar trade. My suspicion was this. The real reason for the discount code was to give commissions to the proper pumpers, and to credit those guys for the sales. Frank had his own code and Roger had his. This became more apparent later when Roger Dorman went on his own and started Treasury Vault. He introduced his wife Angela as the owner of Treasury vault as though she was just an acquaintance. My brother was scammed into buying 1,000,000 more dinars even though he was fine only holding 100,000.

Ali has had legal issues as well

http://www.iraqidinarmoney.com/dinartrade/

Here is an insert from that legal case,

“From on or about January 1, 2008, through the date of this Order, Dinar Trade has exchanged approximately $4,400,000.00 into Iraqi dinars in approximately 5,000 transactions for residents of the State of Arkansas.”

http://www.securities.arkansas.gov/!userfiles/Consent%20Order%20C-11-0205-11-OR02.pdf

It makes you wonder just how much dinar has been sold and is sitting here in the United States. Does anyone know? Please leave a comment if you do.

Dinar Trade started another policy that turned out to be beneficial for Ali. That policy was buying dinar on reserve. This is how it works. Let’s say you wanted to buy 10,000,000 dinar. Now Let’s say you did not have all the money for that much dinar. You could put 10 percent down. The dinar was held out in reserve. You had 30 days to come up with the rest of the money. If you did not come up with the money you lost your reserve and you lost your deposit.

I know a lady at the Starbucks where I work she used the reserve to try to get a million dinar. She put $100.00 down and she was not able to come up with the rest. She lost her money. She told me the gurus at the pumper sites where predicting it would RV within the month so she thought she would buy dinar on reserve put in the discount code and pay for it after the revalue, And that is how that scam worked. Who knows how many people bought dinar this way and lost. The dealers are making money because they don’t even need to provide the dinar in the transaction. They just sit back and collect, and the pumpers get their commission

Later on Ali closed down. Dinar Daddy’s owner, Roger Dorman with his wife Angela Dorman starts Treasury Vault. They have the same policy concerning reserve but they changed it. If you don’t meet the reserve time instead of losing all your money you get the equivalent deposit in dinar.

Around the end of April first part of May in 2011 Ali closes Dinar Trade. His excuse at that time was someone was making threats to his family. Now Ali is opening for business again. He just sent me an email.

To all of our valued and loyal customers and friends,

We would like to thank you for your continued loyalty and support. We have received overwhelming response to our newly introduced “Guarantee Reserve Program,” allowing you pay the initial 10% purchase amount with no obligation to pay the remaining 90% balance. If you choose this, you still will receive the 10% amount in Dinars.

Unlike other dealers, all of our currency programs are backed 100% by the capitalization of Dinar Trade. The “Guarantee on Reserve” program ensures the full amount of Dinars that you reserve are kept in our secure vault. Other dealers have often imitated our reserve program, but cannot match our customer service and industry-leading services.

So now he is back?………. He gives an interview on blog talk radio

http://www.blogtalkradio.com/dinardaddy/2012/04/22/dinar-daddy-interviews-ali-of-dinar-trade-hes-back

In the link above is a call on Blog Talk Radio. The call is between Ali Agha and Roger Dorman. He talks about opening up his business and he talks about his contacts in Iraq. I believe Ali does indeed have contacts in Iraq. I think he is well-connected.

This whole thing puzzles me. I strongly suspect his real reasons for closing down and starting up again are different from what he says in this call. The timing is too suspicious to me. When Ali closes down it was just one and a half months later in June that Iraq announces their redenomination. They announce new lower denominations that will be printed with Kurdish symbols. The last video in the last post goes into detail about this.

http://english.cntv.cn/program/bizasia/20110908/104798.shtml

Now this redenomination has been put on hold. The date of this article is April 14 2012.

http://www.reuters.com/article/2012/04/12/iraq-currency-idUSL3E8FC8G120120412

“BAGHDAD, April 12 (Reuters) – Iraq has decided to hold off on a plan to knock three zeros off the nominal value of bank notes of its currency because it does not believe the economic climate is suitable, the cabinet secretary said on Thursday.”

We talked about the fact that Shabibi released 6.5 trillion more dinars into the money supply. Now all of a sudden Ali opens up for business once again! I think the dealers, pumpers, gurus, and even Iraq thinks we can get a little more milk out of this cow. These are my suspicions. I would like someone to provide evidence that proves otherwise.

DinarTrade.com has been around since May 5 2004. It was registered out of Bakersfield, California by Maria Agha. The site is run by Ali and it was started with his father. Now Ali is moving his headquarters to Las Vegas. The main Office will be there. He says the reason for this is because of threats on his family. I think the real reason may be because he thought the dinar was going to redenominate so he closes up shop. Then they postpone the redenomination a few years so he reopens in Vegas. He chooses Vegas because he is getting killed on taxes in California. Nevada has no state income taxes. This whole thing just smells funny to me. Why is Roger on a conference call with Ali? Isn’t he a competitor now? Treasury Vault competes with Dinar Trade right? Or does it? Rogers’s wife runs Treasury Vault. I noticed that Frank was missing from the call. Of course I downloaded the call and it is now in my archives.

It is stuff like this that causes me to suspect that when the redenomination comes and a new ISO number is issued the dealers will all pack up and go into hiding. They won’t buy dinar anymore because they won’t be able to sell it to new investors and they won’t trade it in because there may be issues with returning the currency to Iraq.

“Wait but Ali will provide liquidity because he owns a bank in Iraq right?”

Here is a list of all the banks in Iraq.

Central Bank

Central Bank of Iraq

State owned banks

Rafidain Bank
Rasheed Bank
Industrial Bank of Iraq
Agricultural Cooperative Bank of Iraq
Real Estate Bank of Iraq
Bank of Iraq
Trade Bank of Iraq

Private Banks

Ashur International Bank for Investment (Mobile: +9647700224514, +971505589633)
Kurdistan International Bank for Investment and Development
Warka Bank
Babylon Bank
Bank of Baghdad
Basrah International Bank for Investment
Commercial Bank of Iraq
Credit Bank of Iraq
Dar Es Salaam Investment Bank
http://www.dfdi-bank.com/english_index.html (Dijlah and Furat Bank)
Economy Bank Iraq
Gulf Commercial Bank
Industrial Union Investment Bank
Investment Bank of Iraq
Iraqi Middle East Investment Bank
Islamic Bank
Mosul Bank
North Bank
Sumer Bank
Union Bank of Iraq
United Investment Bank

Ali Agha is not listed as the owner of any of these banks. In fact these banks have not changed owners since 2006.

http://en.wikipedia.org/wiki/List_of_banks_in_Iraq

If you want to find out anything about dinar lies or anything about dealers or pumpers just use these three sites. Iraq Currency Watch, Dinar Douche Bags, and Iraq dinar money,

Let’s say you want to know more about the site dinar vets. Start by going to Iraq dinar money and search for the Site and its founder

http://www.iraqidinarmoney.com/rvintel-com-review-adam-montana/

Now let’s say you want to find out more about Adam Montana. Adam wrote a book and in this book he claims he is a Harvard graduate. Let’s say you want to know more. Well a quick dig and you discover that Adam is not this guy’s real name. Over at dinar Douchebags you can discover his real name which is in fact James Wolf,

http://dinardouchebags.blogspot.com/2012/04/montana-trail-part-3.html

http://dinardouchebags.blogspot.com/2012/05/montana-trail-part-4.html

Sam I Am has way too much time on his hands but he is uncovering some interesting things. He did analysis of Adams voice from a conference call and found his ski video on You Tube. Voice analysis confirmed that James Wolf is indeed Adam Montana.

http://www.youtube.com/user/Smelleet/feed

This You Tube channel has videos revealing this guy. James Wolf AKA Adam Montana sells some VIP membership on his site which promotes giving financial advice after the revalue. I looked at Harvard. There is no record that I could find of one James Wolf ever graduating from that university. If anyone has a record of this please share. ummm James I know your reading this!!!

These are the kind of things associated with this currency that make real investors consider this whole thing a scam. Can anyone name another currency that is lied about so much?

Internationally Traded Currency

The big question I get from people is how will Iraq be an internationally traded currency if they redenominate? This is a step in the wrong direction isn’t it? The banks will trade it in after the RD, RV, RI or whatever. This is because the currency will be internationally traded right?

My response is this. Are the banks taking the dinar now? There used to be several in my area. There are none now. The dinar is only meant for use in Iraq. It is a pegged currency and it does not float. Right now it is not an internationally traded currency. But let’s consider for a moment that Iraq wants their dinar to be internationally traded like some of the other currencies on Forex.

Iraq’s currency could  become an internationally traded currency after the redenomination process is finished. In other words they redenominate and you miss the trade in period because you are unable to exchange the old denominations for the new denominations. After the trade in period expires and the process is over then the new dinar becomes an internationally traded currency. No one knows for sure that they will redenominate and become an international currency at the same time! Just like no one knows that they will redenominate and dedollarize at the same time. They may choose to dedollarize long after the redenomination process.

Consider this, It would benefit Iraq to redenominate in country only and get rid of all the old currency outside its borders without providing liquidity. It would not need to send the billions of US dollars back to the United States that it once got for it’s now worthless currency in the first place. They won’t need to print as many lower denominations saving even more cost on the redenomination.

But I just want the new notes not the US dollars so what’s the problem?

The problem seems to be that there is a liability issue with the new notes. Even though you may want those notes now there will come a time when you will want to trade that new note for the US dollar. I tried to calculate just how much dinar is in the United States. I think that there is at least 2 1/5 trillion dinar here in the states. (Not sure of exact amount) If this is the case that means that over 2 billion US dollars are in Iraq because of this. Why would Iraq allow new denominations to come to America? Won’t Iraq be on the hook for that much money? Oh wait we all know how honest the politicians are over there right? You can trust the guys running that country half way around the world. (note the sarcasm) In your heart……What do you think Iraq is really going to do?

I really started this post thinking it would be my last, but this post is already getting way to long. So I will need to stop here and do one more. I want to talk about who really owns the central bank in Iraq. This post is already way too long to include all I want to say. I guess writing blog posts are like eating potato chips You can’t just eat one.

 

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The Truth About The Iraqi Dinar part 1

The dinar is the most lied about currency I have ever seen. This in itself should raise a big red flag. To really understand what is going on with this currency you need to hear my story. As I share with you how I got involved with this venture, it is my hope that I will expose the myths and establish the facts concerning the revalue.

It all started for me back in the summer of 2009. I had lost faith in my 401k due to the financial meltdown that occurred in 2008. I was looking for other investment opportunities. I had stopped my contributions to this flawed retirement policy. I knew I had to save or make money by some other means. In August of 2009 I attended an online seminar conducted by Jerry Robinson. I knew him personally and he is a reputable economist. He talked briefly about foreign currencies. So I began to research these currencies. That is when I stumbled upon the dinar. There where sites that said it was a scam and there were sites that said it was a real investment.

I did find a few scams regarding this currency. I found people selling the old dinar with Saddam’s picture on it. I found people selling dinar but they have never shipped orders. Even though there were a few scams out there, as far as I could tell the dinar itself was a real currency that was used in Iraq. The dinar in itself was not a scam, but there were people who found a way to misrepresent it and steal from unsuspecting victims.

Around the last part of November in 2009 the online trading screens change after trading hours and the dinar jumped up to $1.49 for about 6 to 8 hours. This rate was right below the Euro. Then it went back to the posted 1170 to a dollar rate. In my research I saw how the currency moved and how it was going up since its release. Back in 2010 you could get dinar at the local banks. You could exchange dinar there too.

In January of 2010 I decided to make my first purchase and I was only going to buy a very small amount. I bought my dinar from Dinar Trade. At that time Dinar Trade was probably the number one dealer. It was run by a guy by the name of Ali. I also got a better deal than what I would have got using the banks. I read through a few forums and some people seem to think that this currency was going to revalue at any second and you should buy it before the election. After the winner is determined then the revalue will happen. At least this is what people suggested. They really didn’t know. So I felt a sense of urgency to buy this currency. There were two front-runners for the election Maliki and Alawai.

I told a few people I work with about this investment. They bought dinar as well. They told all their friends. It wasn’t long before my phone was ringing off the hook about the dinar. All kinds of people I did not even know were asking me questions about what I read. My phone number was given to friends of friends. It is important to note that I knew squat about currency and revalues at this point, but I began to believe the dinar could revalue and the major risk was behind us. My friend Jerry encouraged me to start a blog and talk about my findings with this currency. I started Iraq Currency Watch in February of 2010. I knew nothing about blogs, and I knew nothing about the currency. I just put the basic information up there and answered the most basic questions that I got asked all the time. Things like don’t buy the dinar with Saddam’s picture on it. I also would read and I tried to analyze articles from Iraq. Now when people called I referred them to my blog. Eventually the phone stopped ringing all together. The blog was a success. It seemed as though for a brief moment I had my life back. Little did I know it was just the calm before the storm.

Then I read 3 articles towards the end of February that made me up the ante. Maliki said the dinar will revalue before the end of 2010. It seemed the cat was out of the bag and all 3 articles said the dinar would revalue. I bought a lot more dinar. The elections were just around the corner and it seemed that once this part was done we would see the Revalue of this currency. Furthermore when I looked up the rate on Forex it said that Iraq had announced plans to revalue their currency.

I began reading everything I could about the dinar. I saved hundreds of links. I read that Kuwait revalued its currency after the invasion by Iraq. Then shortly after that they redenominated. Everyone who bought Kuwaiti dinar cleaned up. I also read about how the dinar will be sold for oil. I read that the CBI was pulling 70 percent of their dinar out of circulation to prepare for the revalue. I read that the lower denominations were already printed because of provisional order 43. I also read the dinar will revalue over $3.00. Now I was starting to get excited. Some of this stuff was in the forums and some I got from articles that were coming out of Iraq. I heard the term reinstate for the first time. Some guy named Frank26 said this currency was going to reinstate. This meant that a currency would reinstate to its previous value. I even read that the revalue of the Iraqi dinar was part of biblical prophecy. Being a student of prophecy I found this thought interesting.

http://en.wikipedia.org/wiki/Coalition_Provisional_Authority

The election came and went in March with no clear leader. This frustrated everyone because most people thought this would not happen until after the election was over and a winner was chosen. By the end of March no one knew who the new prime minister would be. By the end of April people still did not know which one would obtain the prize of prime minister. By the end of April I had 206 hits on the blog for that month. The stuff I read in the forums and the stuff I read in news articles made me buy even more dinar.

Then something happened to me in the spring of 2010. I got  hurt on the job. I could no longer work. In addition to this I could not work overtime. I had gigs outside of work I did for money. I could no longer do those gigs and I lost those Jobs. Throughout the rest of spring and the whole summer I was out of work and I could do nothing physical until I recovered. So now what do I do? money was tight.

I decided to work on my blog and read news articles. I also needed to know what I was talking about so I started to research money. I researched the history of money. I learned things like the United States had a total of 3 central banks in its history. The first two only had 20 year charters and they were failures. I learned that Lincoln created his own money called the green back. I learned how we got money today and where it came from. I learned how money works. I learned how it expands and contracts and I learned the difference between fiat currency and currency that is backed by gold. I learned about modern money mechanics. Of course I wrote about all this in my blog.

In May of 2010 Iraq announced that it is going to redenominate its currency. Forex change their notice from revalue to redenominate. The new notice said Iraq has announced plans to redenominate their currency before the end of the year. I first thought great!!! I could have really used that extra money I spent on dinar. So much for reinstate! But as I began to dig in and research articles coming out of Iraq, some articles said they would redenominate and some articles said they would not redenominate. People developed a smoke and mirrors mentality. but know one could tell what was the smoke and what was the mirrors. This sparked great debates in all the forums. Some articles said that Iraq was only going to pull the 25,000 and the 10,000 notes out of circulation and replace those with 10 and 25 dinar notes.. Some articles said that Iraq was only going to delete the notes with three zeros. One thing I knew through my research was they could not just pull the higher end notes out of circulation and release a new series.This piece of information led to a rumor that circulated. Someone said that it is safer to buy lower denominations and this will protect you from a redenomination. Nothing could be further from the truth! In a redenomination the whole series is changed out.

They had to replace the whole series in order to redenominate, and yet the process described in the news articles was not one of redenomination. For example, they could not put a 25 dinar note into circulation and have it be worth more than the 250 dinar note. If they are only pulling the notes with 3 zeros like the news articles said then they could not do this because it would invalidate the 50, 100, and 250 dinar notes. This made the idea of a revalue more plausible. It also gave credence to the smoke and mirror theory. But in the end no one knew what they were talking about. Even the guys writing articles in Iraq made stuff up. Of course this did not dawn on us until much later.The summer drifted on with really no new information. There was very little activity.

Throughout the whole spring and the whole summer no one knew who the prime minister would be. The articles that came out of Iraq were just ridiculous. Some sided with Maliki and some sided with Aliwai. All kinds of rumors were floating around about those two men. I continued to spend all my time learning about money, and learning about how money works. I would speak out against stupid articles and the authors that were writing rumors about these two candidates. It never dawn on me how dumb it was to analyse news articles that were constantly lying to you as though there was some hidden information about a revalue or a redenomination or even who the prime minister would be.

Then towards the end of summer I discovered the petro-dollar. I learned that we went off the gold standard in August of 1971. I learned that the dollar was backed by nothing and every currency in the world that held dollars in their reserve became a fiat currency. Fiat means faith-based. In other words the currency only has value because people believe it does. Just because the currency bought something yesterday made people believe it will buy something today, and people believe it will buy something tomorrow. But when too much currency is in circulation hyperinflation goes into place and the perceived value changes. People lose faith in the currency.

I learned that when we went off the gold standard not only did we make our currency a fiat currency, but we tied almost all the world’s money to a fiat system as well. Oil replaced gold as a means to back currency. We set up agreements with OPEC and other Arab nations. We told them that we will protect them with our military and make them rich. The only thing they had to do is sell their oil using only US dollars. Since oil could only be sold in dollars this meant a demand was created for our worthless fiat currency because other nations needed it to buy oil. This was the thing that set up the entire global economy we have today.

In 2000 Saddam change from selling oil from dollars to euros. Shortly after that we made invasion plans. The first order of business was to change it back to dollars again. The United States made it a top priority. Oil drives the economy because oil backs our dollar. This is the real reason for our involvement in Libya. If oil is sold in anything else than our dollar then that threatens our dollar. This means that the United States will not use Iraqi dinar to buy oil because it will threaten the global economy. All they need to do is print more money to buy all the oil they need. That was the first lie I exposed about this currency. Dinar will not be used to buy oil. I wrote about this in August.

http://www.time.com/time/magazine/article/0,9171,998512,00.html

http://www.rferl.org/content/article/1095057.html

http://en.wikipedia.org/wiki/Petrodollar

People began to copy and paste parts of my blog into forums around the dinar community. I really did not care. This caused my readership to skyrocket. I went from 10 to 50 hits a week to 800 a day. Then it went to 1500 hits a day on average. I joined Dinar Vets to defend some of my posts that were being copied and pasted in that forum. I got into a debate with someone named Dustin. As I began to research and give the reasons why the currency will revalue and not redenominate I discovered that all the News links I had about Iraq’s announcement to revalue had vanished. They were nowhere to be found. They were all removed. I had found articles that used revalue and redenomination interchangeably as if they had the same meaning. So I began the debate talking about oil. Most of what I said can be found in this article.

http://bvawe.wordpress.com/2011/07/23/the-role-that-oil-plays/

My argument for the redenomination was weak. Everything I had on the revalue was removed from the internet. All my evidence was gone. My evidence was from the same news organizations that were lying about who the next prime minister would be. The only thing I could say was if they redenominate they need to change out the entire series not just the high notes. I also pointed out that there are just as many articles that say there will not be a redenomination. There are no articles that point out they are replacing the series. In the end we agreed to disagree.

The cork came out of the bottle in the fall. Obama had announced he was bringing the troops home and ending the war in Iraq. The funny thing was he left 50,000 troops over there and this was compliant with the Status Of Forces Agreement (SOFA) we had with Iraq under George Bush. When this happened we saw some real movement. Iraq was removed from being a terrorist nation under the OFAC list. (Office of Foreign Asset Control) They got their swift codes for banking. In November Maliki was chosen as the prime minister. It set a record for the longest time it took to decide an election, and in December 15 of 2010 Iraq was removed from almost all the sanctions. They still held money in the DFI fund for Iraq and that was not going to be released until 6 months later. We had until the end of 2010 to see the revalue. We just all knew we were going to be rich any day now. They had to honor their debt with the Paris club, and they needed to revalue to do it! Here it comes!! here is the Revalue!!! Oh my God…. any moment now…. any day!!!! I can’t breathe!!! OH MY GOD!! We are going to be rich!!!!!

January 1st there were a lot of people wondering just what happened. Even though those articles were removed way back in February talking about the revalue of Iraq’s currency before the end of the year. We all remembered them. As I was scratching my head I started writing about money and all the things I learned over the summer. I wrote a piece that I called the Rabbit Hole. It was a 5 part series. After writing that my readership soared to about 4,000 people a day. My highest day was 5,820 people. For the month of January I had 35,110 hits. Not bad for a blog that just started out to answer a few questions.

This Rabbit Hole series explains the financial meltdown of 2008. It tells you who is responsible and why it happened. It talks about the Exchange Stabilization Fund. It explains how the US treasury used this to confiscate gold that belonged to American citizens in the 30’s. It also explains how the treasury uses ESF to control the Federal Reserve. It explains the rise of the globalist and the New World Order. It shows how the stock market is rigged. It reveals all kinds of things related to currencies and how it is used to control nations, Governments, and people’s around the world. If you have not read this series yet you should. Here is a link to get you started.

http://bvawe.wordpress.com/2011/08/01/the-rabbit-hole-part-1/

It is simply amazing to me how money works and how it is used. Most things written about money from economist are boring and labeled with terminology that is designed to bore and confuse the masses. Strip all that away and you see a major beast emerge, and you see an oligarchy of men controlling it.

I continued to post about world economics all through the spring and into the summer. I averaged 4,000 people a day. I got email and comments from people who just wanted to hear about the dinar. They wanted me to stop writing about global economics and focus only on the dinar. The problem with this is you can’t understand one without the other. The more you know about global economics then the more you will know about the dinar plain and simple!! If you limit yourself in this one area you will not get the big overall picture.

This is just one of the reasons that led me to close down Iraq currency watch and start another blog called Biblical Views And World Economics (BVAWE). So in July of 2011 I announced I was going to close down Iraq currency watch. I moved all the articles. I was afraid that if I gave up the name then some pumper/guru would come and take it over and pretend to be me. They would give bogus information to hype sales. So I kept the blog, but I just removed everything except one conference call with my good friend Scooter. I updated the articles and updated the links to a different series of links that work. I have written and combined posts. I never gave up the name Iraq Currency Watch. I just removed all the content. In the next post I will tell you the other reasons I shut down Iraq Currency Watch, and I will tell you why I am bringing it back. By the end of that article you should understand enough about the dinar to make an informed decision. I will write this article as fast as I can! I promise!!!

 

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