Coolest Guy On The Planet – Robert Kiyosaki and Michael Moloney
Robert Kiyosaki and Michael Moloney have an important message for investors.
Gold and Silver are important because it is a natural resource that can not be manipulated. In 1971 the US government and President Richard Nixon convinced the entire world to replace gold and silver with paper money!!!!
This has all happened before, history is repeating itself. The Romans, Greeks, English, French, Germans, every time man has replaced gold backed currencies with paper money there have been economic volatility.
The US dollar will continue to fall because the government is printing so much money. Assets will increase in value as the paper money devalues until the day that the dollar is worth it’s true value of zero.
Economic history is our crystal ball that shows the past waves and cycles, this has all occurred before. The currency has been backed by Assets such as Gold and Silver, Oil and land, these are stable assets that you can’t make more of. So when the government changes it to a Fiat currency that has no assets backing the dollar, they can print as much of it as they like which causes hyperinflation. The US has already been through this in the Revolutionary war, and the value of the currency (the Continental) dropped to zero creating the saying”not worth a continental” it was doomed.
Every 75 years there is an economic depression, the last one was in 1930.
We are now overdue for the next depression. Gold today is US$1100 per ounce and it is reasonable to expect that it will go to US$6000 per ounce in the next few years. We are in the 2nd phase of this bull market and the next phase will see the value of gold go vertical and rocket upwards, this is the time to sell when it is near its peak, as it is always the heard that come rushing in at the end of the cycle and get slaughtered. A guide as to when to sell the gold is when a median family home can be purchased for 40 ounces of Gold or 500 ounces of Silver.
The greatest wealth is created in the shortest period of time when we are going through these crisis. In 1971 to 1980 gold went up 24 times its worth and silver went up 39 times its worth. Right now the world is awash with paper money, there is a currency debasement going on. Now there are 2 billion ounces of gold and 300 Million ounces of Silver which is down from 2.2 billion ounces in 1980. Silver is used in industry to create information technology products.
“Cash is Trash”- In the old days the government would at least have to print the new money it was creating, so there was a time delay for the hyperinflation, but today all they have to do is type zero’s into a computer.
I believe that this topic is very important and relevant right now in our history and that is why I have re posted this story in the hope that more people get to hear the message that my advisers Robert Kiyosaki and Michael Moloney have to tell. “Cash is trash”
