Russian 300 billion soon to be seized

The G7 is meeting this week to find an agreement to siphon off the $300 billion belonging to Russia. Need bitcoin?

Bitcoin instead of the petrodollar

Bitcoin could very well serve as an international reserve currency. It would even be desirable. It is no coincidence that many countries buy gold without counting

But for now, the dollar rules. The main reason being that it is almost essential to purchase the most important raw material: oil. We think that 20% of the world's oil is purchased in currencies other than the dollar.

The arrival of Saudi Arabia, the United Arab Emirates and Iran within the BRICS will certainly reinforce this trend. Especially since yuans are convertible into gold for oil exporting countries.

In the meantime, central bank reserves still consist of 57% dollars (in the form of Treasury bills).

These bonds have the advantage of earning interest. However, real returns are consistently negative due to inflation. Quite the opposite of Bitcoin which appreciates at a rate much higher than inflation.

And the fact is that inflation shows no signs of moderation, on the contrary. Bank of America estimates that it will rise to 5% before the presidential election.

Under these conditions, why hold American debt in reserve? Many people are asking this question in view of the record purchases of gold by central banks.

First and foremost Russia, which saw its foreign exchange reserves (300 billion euros and dollars) frozen overnight. Arab oil-exporting nations are also probably shaking their fists over US complicity in Palestinian abuses.

Bitcoin is reaching out to nations that want to get rid of the greenback. What better way to trade between nations than a currency infinitely rarer than gold, stateless and that no one can “freeze”?

The 300 billion that belonged to the Russians

This jackpot is not only “frozen”, but could soon be seized. The United States and its G7 allies are considering it. This was stated by Treasury Secretary Janet Yellen on Tuesday.

“I fear that Russia is starting to see signs that the United States and its allies are tiring or finding it more difficult to find ways to support Ukraine”she said on the sidelines of the spring meetings of the IMF and the World Bank.

Ukraine needs continued financial flows which could partly come from frozen Russian assets, she added. The issue will be discussed this Wednesday at the G7 table.

Several options are being studied. The first is pure and simple typing. The United States insists there is a strong basis in international law to seize Russian assets. Germany and France, however, expressed their concern.

The second option would be to use the interest income generated by frozen assets. The latter would be used as guarantee for loans in favor of Ukraine, reports Reuters.

Whatever happens, this looting will leave its mark. Indeed, if the world's leading power can be robbed like this, then no one is safe. Many countries could then consider shedding Western debt.

More and more nations will abandon Western currencies in favor of gold. And bitcoin being gold but better, its time will come sooner or later. Countries like El Salvador and Bhutan have already taken the plunge.

Bitcoin is for everyone. Cypherpunks, savers, investment funds, sovereign funds and central banks! Don’t miss our article: Bitcoin, war and hyperinflation.