More Global Acceptance of Crypto?
Sometimes I feel like that dead Bulgarian mystic, Baba Vanga.
Only, I’m not dead.
I’m not Bulgarian.
And I am not a mystic… although Van Morrison’s “Into the Mystic” is a fantabulous song, apropos of nothing.
What has me on this seemingly nonsensical verbal meandering is news coming out of the International Monetary Fund. The IMF, as it’s known, is, by my accounting, one of the most egregiously pompous and financially overbearing organizations in human history. Its goal, so stated on its website: “To achieve sustainable growth and prosperity” for the nearly 200 member countries.
It’s here that I should note that the IMF works primarily to push a Western financial agenda. And there’s nothing wrong with that—if you’re a developed, Western country that sees the world through the lens of Western-style capitalism.
But if you’re not a Western country, or you’re a developing country, or you see some of the inherent flaws of Western-style capitalism that is rooted in the oroboros model of devouring yourself, then just maybe the IMF’s prescriptions do more harm than good.
Which brings me to this bit of head-scratchery…
El Salvador was doing a pretty good job of building an economy rooted to a certain degree in bitcoin as legal tender. Some will take umbrage at that and insist that El Salvador’s bitcoin experiment was a failure. But those are people who read the Western press and assume everything that’s fit to print is, therefore, learned analysis when much of the time it’s hackery and spin.
I, however, subscribe to this view expressed by US asset-management firm VanEck in a November 2024 blog post:
El Salvador’s transformation is a testament to bold policymaking and resilience. From fiscal reforms to Bitcoin adoption and energy innovation, the nation has defied global skepticism and achieved measurable success—whether through USD bond performance, GDP growth, or Bitcoin valuation, boosting its reserves. To date, these achievements have resulted from El Salvador’s independent and often solitary efforts, pursued in the face of opposition from major international stakeholders, including the IMF and its largest shareholder, the U.S.
The dig at the IMF is ultimately what I’m getting at here.
See, the IMF recently forced El Salvador to abandon the model that had made it a pretty successful example of a country thriving outside the traditional, Western fiat-currency architecture.
El Salvador’s gameplan was simply bad mojo for an organization where the only purpose is to push reliance on the US dollar and to make sure that countries fit neatly into the Western financial box, even if those economies must be sliced, diced, and unnaturally shoehorned into that box.
In need of financing (largely because of previous IMF plans that screwed the country) El Salvador unwillingly stepped away from its bitcoin experiment because of IMF demands.
So, you will understand why this particular headline sends my brain into paroxysms of rage, laughter, and melodramatic sighing:
IMF Adds Bitcoin to Reserves, Tracks It as Digital Gold and Capital Asset
That’s right, dear reader… the very same band of mouth-breathers who outwardly disparage bitcoin is now adding bitcoin to its reserves and tracking it as digital gold.
It’s clear the universe is writing an ironic comedy.
There’s even talk/rumors that the IMF might add bitcoin to the Special Drawing Rights, an international reserve asset that the IMF has built from a basket of currencies, including the dollar, the euro, the yen, the pound, and the Chinese yuan.
And, so it seems, soon bitcoin.
Which loops us back ‘round to my role as a non-dead, non-Bulgarian, non-mystic Baba Vanga for the economic dot connectors out there.
I predicted this!!
Many a year ago.
I’ve written numerous times that I won’t be surprised to see bitcoin emerge as a reserve currency, or as part of a basket of currencies that helps the Western world stabilize their fiat toilet paper.
And lo and behold… I present to you the IMF, which has clearly been reading Field Notes and my Global Intelligence Letter.
I know there are scads and scores and hordes of people who don’t care about bitcoin, don’t understand bitcoin, and still think bitcoin is a fraud and a scam and nothing more than digital Pop Rocks (they explode in your mouth and go away).
However…
We now have the IMF joining a bandwagon of countries, states, and cities that are building bitcoin reserve funds. The US under the Trump administration is, most prominently, leading that charge. But other brand-name nations including the UK, Switzerland, the EU writ large, Germany, Hong Kong, Japan, etc. and et al. are also kicking the tires these days. So, too, are at least 15 US states; the Texas Senate recently approved a bitcoin reserve and it’s now waiting on the Texas House to give its go-ahead.
The point to all of this is what you probably imagine my point to be: Buy Bitcoin!
Doesn’t matter if you don’t understand bitcoin. Doesn’t matter that someone you know knows someone who has an uncle whose pet rock telepathically told Uncle Festus that bitcoin is a scam.
Bitcoin is going to play a role in the future of money globally.
At this point, that’s just a simple fact. You don’t have to be Baba Vanga to predict that.
You just have to look at what countries and states and cities—and now the IMF—are doing to see that governments and multi-government organizations are moving to a pro-bitcoin stance.
Which means they will soon be loading up their coffers with bitcoin.
As they say, follow the money.
The people behind these governments and organizations aren’t looking to buy bitcoin because there are no more good Beanie Babies left to invest in. They know that global finance is changing. They know that Western fiat currencies have serious challenges ahead.
And, so, they’re prepping for what’s likely to come… a new financial order that devalues Western currencies as a way of dealing with extreme Western debts. In that devaluation, two assets are going to shine brighter than the sun:
Gold.
And bitcoin.
Own both now, while you can still own enough to protect your lifestyle when the coming reset arrives.
Not signed up to Jeff’s Field Notes?
Sign up for FREE by entering your email in the box below and you’ll get his latest insights and analysis delivered direct to your inbox every day (you can unsubscribe at any time). Plus, when you sign up now, you’ll receive a FREE report and bonus video on how to get a second passport. Simply enter your email below to get started.
