Financial Reset Coming? China’s Currency Nears World Reserve Status + Washington Protects Its Lies With More Lies

05/29/2015

http://www.activistpost.com/2015/05/financial-reset-coming-chinas-currency.html

5-29-2015 12-17-15 PM

By Mac Slavo

The world is anticipating a new global reality with huge implications: China’s yuan is poised to get recognized as a global reserve currency.

In a sign of the times, the IMF has essentially rebuffed U.S. claims of currency manipulation, to instead affirm that China’s currency is “no longer undervalued” – essentially giving its approval for the inner circle what many have described as an incubating world currency.

China’s yuan currency, which Washington has long alleged was manipulated, is “no longer undervalued”, the International Monetary Fund said Tuesday.

The value of the yuan, also known as the renminbi, has been a source of tension for years, with China’s major trade partners — led by the United States — accusing Beijing of keeping it artificially low to give Chinese exporters an unfair competitive advantage, which Beijing denied.

“Our assessment now is that the substantial real effective appreciation over the past year has brought the exchange rate to a level that is no longer undervalued,” the IMF said in a statement after a consultation mission to China. (source)

With longstanding U.S. opposition to China’s currency status, the IMF decision has been seen as the biggest hurdle to world reserve status. This news brings China one giant step closer to entry onto the global stage of currencies and new financial norms for Americans, as SHTF has long reported.

The decision underscores a larger shift in the global balance of power – there is no doubt that there are serious cracks in the foundation – as the U.S. petrodollar has lost its potency as the world reserve currency hegemony.

U.S. allies have been easily won over to recognizing China, and partnering with its Asian Infrastructure Investment bank, signaling a new era for finance under globalism. The new currency will be pegged to a global basket that China is part of.

What will this new currency look like, and will it become a reality? A mining executive shed light on the manipulation of gold behind the scenes, with a quest for parity undervalue that is encouraging China to accumulate gold at a rapid pace, so that it can hold reserves equivalent to those the U.S. reportedly holds:

I think there will be a reset of the financial industry…

I think China is being allowed to accumulate gold purposefully by the American government… I believe that the Chinese need to own at least the same amount as the U.S. owns before this reset occursI think that there’s some kind of deal that’s being made between all the central banks behind the scenes and that’s why you’re seeing governments accumulating the metal.

I do believe there will be some kind of new currency created with the backing… and it might not be a direct backing of the metal… but it’ll be some kind of blend of currency.. it could be through SDR’s… Special Drawing Rights… or some type of mechanism… I think that’s where we’re going.

It could mean a major shakeup to the norms that Americans and other Westerners have been accustomed.

But beyond that, the currency will ultimately be digital. Cash will likely be banned to enhance control, and all payments will be authorized and monitored. Through a new wave of bank fees and fines, and (outrageously) charges for deposits, average people will be hurt on all sides of transactions by money that has been thoroughly debased and manipulated.

The Federal Reserve bank and its owners, the largest banks on Wall Street, want badly to be able to charge you interest for the privilege of depositing your funds. The problem is getting you to stand for it.

The cashless digital grid will become fully a tool of banker control that is global in scope and backed at its root by central planning at central banks supported by a system of total consumer surveillance over spending, exchanges and all other transactions.

Listen to more about IMF’s revaluation of the Chinese yuan, discussion starts at 8:50:

https://www.youtube.com/watch?t=374&v=c7lv1R9GDAw


 

 Washington Protects Its Lies With More Lies

http://www.thedailybell.com/editorials/36322/Paul-Craig-Roberts-Washington-Protects-Its-Lies-With-More-Lies/?uuid=6F80FACC-5056-9627-3C224900D5600C65

By Paul Craig Roberts

My distrust has deepened of Seymour Hersh’s retelling of the Obama regime’s extra-judicial murder of Osama bin Laden by operating illegally inside a sovereign country.  That Hersh’s story, which is of very little inherent interest, received such a large amount of attention, is almost proof of orchestration in order to substantiate the Obama regime’s claim to have killed a person who had been dead for a decade.

Americans are gullible, and thought does not come easily to them, but if they try hard enough they must wonder why it would be necessary for the government to concoct a totally false account of the deed if Washington kills an alleged terrorist. Why not just give the true story? Why does the true story have to come out years later from anonymous sources leaked to Hersh?

I can tell you for a fact that if SEALs had encountered bin Laden in Abbottabad, they would have used stun grenades and tear gas to take him alive. Bin Laden would have been paraded before the media, and a jubilant White House would have had a much photographed celebration pinning medals on the SEALs who captured him.

Instead, we have a murder without a body, which under law classifies as no murder, and a story that was changed several times by the White House itself within 48 hours of the alleged raid and has now been rewritten again by disinformation planted on Hersh.

Perhaps the release of book titles allegedly found in bin Laden’s alleged residence in Abbottabad is part of the explanation. Who can imagine the “terror mastermind” sitting around reading what the presstitute London Telegraph calls bin Laden’s library of conspiracy theories about 9/11 and Washington’s foreign and economic policies?

Keep in mind that the government’s claim that these books were in bin Laden’s Abbottabad library comes from the same government that told you Saddam Hussein had weapons of mass destruction, that Assad used chemical weapons, that Iran has a nuclear weapons program, and that Russia invaded Ukraine. There is no evidence whatsoever that bin Laden had these books, just as there is no evidence for any claim made by Washington. In the absence of evidence, Washington’s position amounts to this: “It is true if we say so.”

I would wager that the Hersh story was planted in order to gin up renewed interest in the bin Laden saga, which could then be used to discredit Washington’s critics. Notice that the authors in bin Laden’s alleged library are those careful and knowledgeable people who have severely whipped Washington with the truth. The whip wielders are Noam Chomsky, David Ray Griffin, Michel Chossudovsky, Greg Palast, Michael Scheuer, William Blum. You get the picture. You mustn’t believe these truth-tellers, because bin Laden approved of them and had their books in his library. By extension, will these truth-tellers be accused of aiding and abetting terrorism?

Obama claims to have settled the score in mafia godfather fashion with bin Laden for 9/11. But there is no body and not even a consistent story about what happened to the body. The sailors aboard the ship from which the White House reported bin Laden was given a burial at sea report no such burial took place. The SEAL unit that allegedly supplied the team that killed an unarmed and undefended bin Laden was mysteriously wiped out in a helicopter crash. It turns out that the SEALs were flown into combat against the Taliban in an antique, half-century-old 1960s vintage helicopter. Parents of the dead SEALs are demanding to have unanswered questions answered, a story that the presstitute media has conveniently dropped for Washington’s convenience.

Other than 9/11 itself, never has such a major event as bin Laden’s killing had such an enormous number of contradictory official and quasi-official explanations, unanswered questions and evasions. And the vast number of evasions and contradictions arouse no interest from the Western media or from the somnolent and insouciant American public.

Now it turns out that Washington has “lost” the bin Laden “death files,” thus protecting in perpetuity the fabricated story of bin Laden’s killing.

Here is Tom Hartman’s interview with David Ray Griffin: “Is bin Laden dead or alive?

Here is Philip Kraske’s OpEdNews article on Steve Kroft’s orchestrated “60 Minutes” interview with Obama on the killing of Osama bin Laden.

This article provided courtesy of PaulCraigRoberts.org.

OLDDOGS COMMENTS!

WAKE THE HELL UP AMERICA!

Don’t you know that being ignorant of your government’s lies and misrepresentations, gives them the power to continue? It also shows their total disrespect for those who voted for them, and empowers them to do even more nefarious skullduggery. Liars for leaders cannot be ignored, or chaos reigns. We will all pay an enormous price for accepting their actions as normal for politicians. Damn near every country on earth hates us, the people who you rely on for personal protection have morphed into wannabe killers, your assets belong to the Banking Cartel, your future is a guaranteed physical and emotional misery, and your children will turn on you for your cowardice and failure to protect them. Good luck suckers!

10 13 11 flagbar


Time to Put Your Money in your Mattress! Economists Warn Feds will Grab Retirement Funds

05/28/2015

http://www.wnd.com/2015/05/time-to-put-your-money-in-your-mattress/

5-28-2015 9-59-55 AM

Dr. Jerome R. Corsi / WND

NEW YORK – The unanimous Supreme Court decision in Tibble v. Edison has once again stoked ongoing fears in the financial services industry that the Obama administration might be preparing for a takeover of private retirement savings.

Some economists believe the court decision sets the ground for the administration to begin nationalizing 401(k) retirement savings plans under the banner of protecting individuals from predatory financial planners. The administration has in mind planners who recommend mutual fund investments on which they receive excessive commissions and fees, which curbs an investor’s gains during the 401(k)’s tax-deferred accumulation phase.

Yet most economists read Tibble much more narrowly. They argue that the justices’ only concern is that an objective methodology be implemented that forces financial planners to make recommendations on the basis of performance, avoiding mutual funds with high loads and fees that benefit financial planners unreasonably.

Is Obama planning to grab your 401(k)?

Economist Martin Armstrong, writing on his blog ArmstrongEconomics.com, asserted the Tibble decision “sets the stage to justify government seizure of private pension funds to protect pensioners.” He noted that 401(k) plans are part of the private pension market he estimates currently totals about $19.4 trillion.

Clearly the size of the retirement savings market is attractive to a federal government at a time when the federal deficit has increased some 80 percent in the past six years, with the federal debt now totaling more than $18 trillion.

An Investment Company Institute report published March 25 suggests the U.S. private retirement savings asset market may be even larger than Armstrong estimates. The ICI pegs total U.S. retirement assets at $24.7 trillion as of Dec. 31, 2014, with IRA assets estimated as $7.4 trillion and 401(k) assets at $4.6 trillion of that accumulated total.

The fear that the Obama administration may seek to grab private retirement assets is not entirely unjustified, as WND has reported. In 2010, the Obama administration began exploring strategies that would require hundreds of billions of dollars in programs such as 401(k)s and Individual Retirement Accounts, IRAs, to invest in U.S. Treasury bonds. The aim would be to lock in secured maturity values while providing the federal government a means of funding the $1.5 trillion a year needed to keep the government operating under the federal budget deficit estimated by the Congressional Budget Office.

In 2012, WND reported that in its annual budget proposal, the Obama administration endorsed “Automatic IRAs,” a plan introduced into Congress by Sens. John Kerry, D-Mass, and Jeff Bingaman, D-N.M. According to the plan, private companies would be automatically enrolled in government-mandated IRAs, forcing those businesses to contribute on behalf of their employees a “default amount” equal to 3 percent of an employee’s pay, unless the employee specifically opts out of the plan.

Earlier this year, WND reported the concern expressed by Rush Limbaugh that Obama intends to extract money from private retirement accounts. He cited the White House’s proposed fiscal year 2016 budget as proof Democrats have a plan to tax retirement accounts as a means of funding the administration’s ever-expanding social welfare, including services for the estimated 5-6 million illegal immigrants given “deferred deportation” under Obama’s executive actions.

Supreme Court disciplines financial planners

Columnist Chuck Jaffe, writing in MarketWatch.com, said the Supreme Court’s reasoning in Tibble is a simple idea that impacts all retirement savers.

“Workers should have access to the best fee structures available for their retirement plan,” he said. “The company providing or overseeing the plan has a responsibility to employees to make sure that the investments – and most importantly the fee structure on the plan – is the best available.”

http://www.wnd.com/2015/05/time-to-put-your-money-in-your-mattress/

 OLDDOGS COMMENTS

There is no absolute proof any of the above is going to happen, because that’s always been the way government’s work. When it happens we will not see it coming until we wake up some day and smell the shit on the fan. Pass this info to your broker – accountant – or whatever their called and watch his reaction. All of them will deny that snow is cold, or governments go broke. This has been going on in the EU and it will come here just as sure as ice melts in your hand. HEADS UP FOLKS!

2-6-2015 10-13-51 AM

 

 


WHY WASTE THE EFFORT IF NOTHING IS GOING TO CHANGE?

05/27/2015

http://www.newswithviews.com/Ewart/ron205.htm

5-27-2015 8-01-28 AM

By Ron Ewart
May 27, 2015
NewsWithViews.com

“The tyranny of a prince in an oligarchy is not so dangerous to the public welfare as the apathy of a citizen in a democracy”….. [or a Republic] —Charles de Montesquieu French Philosopher 1689 to 1755

Our last article entitled “Is It Too Harsh To Force Illegal Aliens to Self-Deport?” was of vital importance to every legal citizen in America. It laid out a succinct and detailed argument on how illegal aliens and the government-created magnets that draw them here, impact our way of life, our culture, our sovereignty, the criminal element, disease and the rule of law, but especially our pocket books. It demonstrated with clarity that to deport or force self-deportation was nowhere near as harsh as the impact that illegal immigration has on every legal American.

Expecting that this article would touch many hearts and minds of legal Americans, we had predicted, unfortunately falsely, a significant response. To our disappointment, we received only four (4) responses. One of those responses said this:

“As always many thanks Ron for your articles. “Too harsh on illegal aliens” was outstanding. From 1972 to 911, my partners and I saw the political fiasco, illegal immigration feel good policies disregarding INA codes for decades from Reagan’s 1986 Amnesty.”

We are grateful for this man’s acknowledgement, but as the poem says, “one swallow does not a summer make.”

Many conservative writers and talk show hosts have regurgitated the conservative message on the airways for decades ad nauseam and in cyber space since the birth of the Internet. Rush Limbaugh, with a huge national audience, has been on the air for going on 26 years and yet, with all that power to persuade he has not been able to stem the tide of liberalism. Rush Limbaugh has done nothing more than exploit the political schism that exists in America today, reaping huge profits from his advertisers and his products in the process. We say, more power to him. He was and still is using a niche’ market and the tools of capitalism to make a profit, as millions do. It matters not that his impact is negligible ….. to him.

Thousands of very good conservative authors write daily or weekly articles on the deadly plague that is Progressivism, as it uses its agenda of collectivism, social justice, radical environmentalism, multi-culturalism, one-world government, political correctness and the public treasury to buy votes, control the masses and maintain perpetual power. But the power of the Progressives has grown to the point that more Americans find a sleazy, hopelessly corrupt, power hungry, insanely ambitious, half man, “What-Difference-Does-It-Make” Hillary Clinton a better candidate for president than any one of the 25 declared or undeclared Republican candidates. That’s not Hillary’s fault! It is a testament to how successful the Progressives have been over the last 100 years in buying off the public for votes …. with your money.

It is going to take the people to rise up en masse, outside of the political system before there will be any changes. It is going to take massive resistance against government policies. Voting and writing to our Senators and Congressmen “ain’t” going to cut it any more, if it ever did. The simple reality is, it boils down to ….. NO GUTS, NO FREEDOM!

We have tried to get people to demonstrate their resistance to government and drafted a Petition calling for a Declaration of Open Resistance. Out of the thousands of people who read and forward our articles, seven (7) people actually signed the petition. SEVEN people out of tens of thousands had the guts! The excuse is that petitions are worthless and the excuse is valid when only seven people sign the petition. A petition will only have impact if millions of people sign it and act on it.

Most of the American people are like lambs to the slaughter. Half are on the dole and won’t bite the hand that feeds them and the other half are just plain scared of government. They have good reason to be scared. Nevertheless, they aren’t going to do anything to upset their little apple cart, or draw attention to themselves. The similarities to what happened twice in Europe in the 20the Century, are deeply troubling.

Sure there are some fighters in our midst and they are ready to fight, if it wasn’t for the fact that they are too few, nationally disorganized, rudderless, have no concrete plan to win and out of touch with others who are ready to fight.

In contrast, every time we write an article, we draw attention from the government. They monitor our website and might even have our phone tapped for all we know. We are still fighting the IRS, as are other beleaguered conservatives. Most conservative authors know what we are talking about and have felt the “sting” of government because of what they write. We hear stories of clandestine censorship, missing e-mails, disappearing e-mails, blocked e-mails and hacked websites. About 4 to 5 times a year our e-mails are blocked by Comcast, requiring a significant effort on our part to get them un-blocked.

In America’s fly-over country, rural landowners are taking a direct, frontal attack from government on their livelihood, their income and their property rights, from the Environmental Protection Agency (EPA), the U. S. Department of Agriculture (USDA), the Endangered Species Act, (ESA), the Clean Water Act (CWA), the Bureau of Land Management (BLM), the U. S. Fish and Wildlife Agency (USFW) and eminent domain, local and state government regulations, along with the U. S. Congress that provides the legislation and the enforcement power. These federal, state and local agencies are owned, occupied and are driven by powerful, wealthy environmental organizations. Environmentally indoctrinated graduates from America’s liberal colleges, staff these agencies. Rural landowners are virtually powerless to stop them and are forced to knuckle under when “Uncle Gov” comes calling. Who speaks for the rural landowner? NARLO does!

For 10 years and over 500 articles, some of them damn good, and like so many other authors, we have failed to make a difference. Progressivism has metastasized into a full-blown, invasive, out-of-control cancer in America with no cure in sight until an excruciating, painful, disfiguring death overtakes her. Any potential cure could, in all likelihood, kill the patient before it cures the cancer, as many cancer cures do, that is of course if anyone invents a cure.

“You can hit a nail with a hammer a million times, but if the force of the hammer is not greater than the friction the nail encounters as it enters the wood, the nail will not move.” —Ron Ewart

There have been many workable solutions proffered by thousands of dedicated patriots. But without a charismatic leader, a well organized national entity, millions of devoted followers and the billions of dollars it will take to implement any one of those workable solutions, there will not be enough energy to overcome the 100 plus year inertia of the Progressives and the Progressives know it.

So far, our conservative “hammer” has not had sufficient force to drive the nail into Progressivism (Socialism) and silence it forever.

Insanity, according to Einstein, is to do the same thing over and over again, expecting different results. That is exactly the insanity that all conservative authors, talk show hosts and bloggers have been unwittingly practicing. Like voting, writing articles or espousing conservative principles on the airways and in cyberspace are not enough. Unless peaceful solutions are designed and implemented to “cure” this cancer on a massive scale, radical and violent alternatives will suddenly erupt in skirmishes and clashes all over the place, like they have in Los Angeles, Ferguson and Baltimore, but for entirely different reasons. The rallying call at these clashes will be “FREEDOM!“, punctuated by guns. These skirmishes and clashes will be put down with even more intense violence by over-powering government forces and nothing will be accomplished. What is even worse, many of the skirmishes could easily erupt in full-scale civil war. Whether skirmishes, clashes, or civil war, freedom will have not been assuaged.

We have put forth many initiatives to inspire people to take action in the defense of liberty. Sadly, we have nothing but an empty wallet to show for it. At our age wasting time and money is a fool’s errand. In the coming weeks we will be re-assessing our effectiveness as a conservative author and determine whether to continue, or whether to pursue more lucrative endeavors.

What we will not do is suspend or terminate our efforts on behalf of the American rural landowner through our almost 10-year old, nationally known organization, the “National Association of Rural Landowners”. Our website is crammed full of useful information and tools for the urban and rural landowner. If you are a rural landowner, you owe it to yourself to check us out. If you are in need of an advocate, or a problem solver for land use issues, we are here to HELP.

[NOTE: The forgoing article represents the opinion of the author and is not necessarily shared by the owners, employees, representatives, or agents of the publisher.]

© 2015 Ron Ewart — All Rights Reserved

Ron Ewart, a nationally known author and speaker on freedom and property issues and author of his weekly column, “In Defense of Rural America”, is the President of the National Association of Rural Landowners, (NARLO) (http://www.narlo.org) a non-profit corporation headquartered in Washington State, an advocate and consultant for urban and rural landowners. He can be reached for comment at info@narlo.org.

Website: www.narlo.org

E-Mail: info@narlo.org


OLDDOGS COMMENTS!

Do not make the mistake of assuming that Ron is going belly up, and giving up the fight. He and I will fight this tyrannical bunch of scumbags until our blood covers the ground. I refuse to live in the world they are building, and I doubt not that Ron feels the same way.

2-6-2015 10-13-51 AM

 


THE ARMED FORCES AND THE MILITIA

05/26/2015

http://www.newswithviews.com/Vieira/edwin274.htm

By Dr. Edwin Vieira, Jr., Ph.D., J.D.
NewsWithViews.com

Since I first started to write columns for NewsWithViews in 2005 about the need to revitalize “the Militia of the several States”—a full decade ago—that subject has received scant support, sympathy, or even mention from the run of self-styled conservatives, patriots, constitutionalists, and (most depressing of all) champions of the Second Amendment who have made themselves prominent on the Internet. Instead, if they say anything at all about the matter, they tend to parrot the line put out by a certain notorious “‘poverty’ law center”, that anyone who mentions the word “militia” (except to disparage the concept) is some sort of “extremist” or other crackpot whose goal is “to overthrow the federal government”. Or they take the position that the only “militia” in which Americans can have confidence are “militia” with no connections to “government” at all—and that somehow the Constitution provides for such “militia”. Or they contend that Americans’ right to defend themselves with arms against private criminals and tyrants in public office has nothing to do with any “militia”, but is exclusively an “individual” right with no “collective” purpose or manifestation. Apparently, as far as these people are concerned, that the original Constitution incorporates “the Militia of the several States” as permanent, integral components of the federal system of government—and that the Second Amendment conjoins “[a] well regulated Militia” with “the right of the people to keep and bear Arms” in the very same sentence, and even declares that “[a] well regulated Militia” is “necessary to the security of a free State”—are facts without significance (or facts the significance of which has somehow escaped them).

These are not the only examples of the astoundingly tortuous mental gymnastics in which such people indulge, for what reasons Heaven alone can fathom. For, on the one hand, many of them predict with approval that Americans may soon have, and will want, to depend upon leaders in the Armed Forces who will thrust themselves into positions of political authority in order to save this country in the event of a nationwide crisis. Yet, on the other hand, not a few of these very same prophets repeatedly warn Americans that “the federal government” is plotting to deploy the Armed Forces to impose “martial law” throughout this country, under color of either a real calamity or a “false-flag” deception. Apparently, in these people’s imaginations, at one and the same time the Armed Forces are not just capable of, but also intent upon, both a coup d’état to enforce the Constitution and a coup d’état to eviscerate the Constitution. (Note that in the term “Armed Forces” I include both the regular Army of the United States and the National Guard—because, although people often assume that the National Guard is some sort of “militia”, it actually is not any kind of “militia” at all, but instead consists of the “Troops, or Ships of War” which the States may “keep * * * in time of Peace” “with[ ] the Consent of Congress”, pursuant to Article I, Section 10, Clause 3 of the Constitution.)

I presume, however, that the upper echelons of America’s Armed Forces are not yet composed predominantly of aspiring Bonapartists, Peronists, and other assorted uniformed usurpers and traitors who itch to seize control of this country under whatever pretext of faux patriotism or pressure of some manufactured crisis can supply them with a plausible excuse for the imposition of “martial law”. Rather, until the necessary experiment falsifies the hypothesis, I believe that the true patriots within the Armed Forces should, could, and (with the proper encouragement and education) would go a long way towards saving this country by doing exactly what that “‘poverty’ law center” and its partisans, dupes, and useful idiots of both the political “Left” and “Right” so deprecate. Through successfully promoting revitalization of “the Militia of the several States”, the Armed Forces would help to prevent the assassination of the Constitution, by foreclosing the deadly threat of “martial law”, not just now but once and for all. (As I have written a lengthy book, entitled By Tyranny Out of Necessity: The Bastardy of “Martial Law”, on this subject I shall not elaborate on it here.) Not only that, the Armed Forces would help to provide the institutions Americans desperately need in order (among other things) to secure honest elections, to introduce an economically sound and constitutional alternative currency within the several States, to put teeth into “the right of the people peaceably to assemble, and to petition the Government for a redress of grievances”, and to make meaningful the assertion of the Tenth Amendment that “[t]he powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people”, both today and for the foreseeable future. (As I have written an even more lengthy book, entitled The Sword and Sovereignty, on this subject I shall not elaborate on it here, either.)

But how should this be done? Quite simply. Every time questions of “homeland security” arise in Congress and the States’ legislatures, spokesmen for the Armed Forces who are called as expert witnesses should make it a point to testify in favor of revitalizing “the Militia of the several States” as the missing, critical, and indispensable element in any coherent, comprehensive, and constitutional plan for “homeland security”. Not just referring to revitalization, not just recommending it, not just urging it—but demanding it in no uncertain terms. Explaining that no fully constitutional Militia now exist in any State in this Union. And emphasizing that something needs to be done as soon as possible to correct this situation—because, without revitalization of the Militia, this country very soon will find itself in exceedingly dire trouble with which the Armed Forces are almost entirely unqualified, as well as quite ill prepared, to deal.

That is what spokesmen for the Armed Forces should be telling legislators at every opportunity. If they did, their audiences would have to pay serious attention to what was being said. The big “mainstream media” could not get away with refusing to report the story. Average Americans would take notice. And even the mass of self-described conservatives, patriots, constitutionalists, and champions of the Second Amendment could no longer disregard or dismiss the matter!

Exactly why, though, should the Armed Forces take it upon themselves—indeed, perhaps go out on a political limb—to promote revitalization of “the Militia of the several States”? For two reasons: principle and practicality.

  1. Revitalization of “the Militia of the several States” is a matter of imperative moral, political, and legal principle.Perhaps the most familiar of the mottos people associate with the Armed Forces is “Duty, Honor, Country”. But what is the very first and most important duty all members of the Armed Forces—and especially the higher ranks in the Officer Corps—owe to their country? Why, to do their best to understand, to protect, to defend, and to promote America’s foundational laws: namely, the Declaration of Independence and the Constitution of the United States.

Consider first the Declaration. Intent upon “let[ting] Facts be submitted to a candid world”, the Declaration set out a litany of abuses related to King George III’s deployment of “Standing Armies” and their imposition of “martial law” against the American Colonies:

He has kept among us, in times of peace, Standing Armies, without the Consent of our legislatures.—He has affected to render the Military independent of and superior to the Civil power.—He has combined with others to subject us to a jurisdiction foreign to our constitution, and unacknowledged by our laws; giving his Assent to their Acts of pretended Legislation:—For protecting them, by a mock Trial, from punishment for any Murders which they should commit on the Inhabitants of these States:— * * * For depriving us in many cases, of the benefits of Trial by Jury:—For transporting us beyond Seas to be tried for pretended offences * * * .—[and] He has abdicated Government here, by declaring us out of his Protection and waging war against us.

These, the Declaration asserted, constituted “a history of repeated injuries and usurpations, all having in direct object the establishment of an absolute Tyranny over these States”.

Moreover, the Declaration did not reflect American patriots’ mere disapproval, or disparagement, or even disgust with those abuses, but instead evidenced their downright denunciation of such wrongdoing. Those “repeated injuries and usurpations” constituted no less than violations of “the Laws of Nature and of Nature’s God”, so serious that they justified “the good People” of the Colonies in absolving themselves “from all Allegiance to the British Crown” and in severing “all political connection between them[selves] and the State of Great Britain”.

Self-evidently, in the light of this history, no member of America’s Armed Forces who takes seriously the motto “Duty, Honor, Country” should desire to give anyone the impression—or worse, grounds for suspicion—or worst of all, an actual basis in “Facts [to] be submitted to a candid world”—that he would ever advocate, participate in, or aspire to take a commanding rôle with respect to the sort of abuses in condemnation of which the Declaration excoriated George III. Nonetheless, the present-day para-militarization of State and Local police forces, the provision to those forces of military equipment by the Department of Defense, and the close coöperation being effected between the Armed Forces and State and Local “law-enforcement agencies” in various domestic “anti-terrorism” exercises all supply “Facts” from which “a candid world” could reasonably draw the conclusion that someone is preparing the Armed Forces to implementsomething akin to “martial law” somewhere within this country under some circumstances in the foreseeable future—as well as conditioning common Americans to accept this turn of events as somehow justifiable as well as inevitable. The obvious danger is that, once the precedent for such a deployment has been set anywhere within the United States, rogue public officials can concoct one ersatz “crisis” or another in order to rationalize further deployments of the Armed Forces just about everywhere, until “martial law” (in effect if not in name) becomes commonplace.

Unless Americans will have lost their wits entirely, though, they will eventually recognize these events as parts of what the Declaration of Independence described as “a long train of abuses and usurpations, pursuing invariably the same Object[, which] evinces a design to reduce them under absolute Despotism”—and the stage will then be set for desperate patriots once again to assert “their right” and “their duty, to throw off such Government, and to provide new Guards for their future security”. Yet that, one may rest assured, will be a consummation devoutly to be avoided, if at all possible. Certainly the Armed Forces should not want to be the immediate cause of such a calamity it—indeed, to be the moving parties, as the Armed Forces are the only establishments that can actually attempt to impose “martial law” within America. Fortunately for them, they can always put that praiseworthy desire into effect. For they are the only parties capable of absolutely guaranteeing that “martial law” will never be imposed, because if they do not impose it no one else can. For part two click below.

PART 2

http://www.newswithviews.com/Vieira/edwin275.htm

To be sure, one must take seriously the objection that extraordinary situations may arise “in the Course of human events” when and where only some “martial” institution can adequately execute the “law”, and that this possibility must somehow justify some form of “martial law” administered by America’s Armed Forces, notwithstanding the Declaration of Independence’s unqualified animadversions on “martial law” administered by Britain’s “Standing Armies”. Obviously, though, the great statesmen who subscribed to the Declaration, along with the other enlightened patriots of that time, were not unaware of this seeming paradox—or of how to resolve it.

The solution to the apparent problem of “martial law” is found, in pellucid terms, in the Constitution. No spurious distinction between America’s Armed Forces of today and Britain’s “Standing Armies” of yesteryear need be attempted. For “martial law” administered by Americans can no more claim a place within the Constitution than “martial law” as administered by the British found favor in the Declaration. That is, as a matter of constitutional law, “martial law” in that sense can find no place at all.

As the Preamble to the Constitution attests, “WE THE PEOPLE * * * ordain[ed] and establish[ed] th[e] Constitution”. However, WE THE PEOPLE enjoyed the legal authority to do so only because the Declaration of Independence “solemnly publish[ed] and declare[d], That the[ ] United Colonies are, and of Right ought to be, FREE AND INDEPENDENT STATES; * * * and that as Free and Independent States, they have full Power to levy War, conclude Peace, contract Alliances, establish Commerce, and to do all other Acts and Things which Independent States may of right do”. But “may of right do” in accordance with what standards of “right”? Obviously, the standards established by “the Laws of Nature and of Nature’s God” which, as the Declaration explained, alone “entitle[d]” Americans “to assume among the powers of the earth, [a] separate and equal station”. Those “Laws” establish that “Governments are instituted among Men, deriving their just powers”—and only “just powers”—“from the consent of the governed”. Even the People themselves cannot consent to be governed by any “Form of Government” purportedly vested with “[un]just powers”. (Which, of course, is why the Preamble lists “establish[ing] Justice”, not “imposing Injustice”, as one of the Constitution’s six goals.)

Plainly enough, America’s Founders did not consider “martial law” such as George III attempted to fasten upon them to be a “just power” under “the Laws of Nature and of Nature’s God”, or they would not have catalogued and condemned it in the Declaration of Independence as part of “a history of repeated injuries and usurpations, all having in direct object the establishment of an absolute Tyranny” on the King’s part. Therefore, imposing “martial law” of that ilk on America’s citizenry cannot be included within the “Acts and Things” which the Declaration asserted that “Independent States may of right do”. As an unjust power, it could not have been delegated to any “Form of Government” by “the consent of the governed” in the late 1700s—neither by WE THE PEOPLE to their State governments in the several States’ constitutions, nor by WE THE PEOPLE to the government of the Union in the Constitution of the United States. And because a power to impose “martial law” could not have been delegated to any “Form of Government” in America then, no “Form of Government” in America can claim to exercise such a power now. “Martial law” is as morally, politically, and legally impossible under the Constitution today as it was impossible under the Declaration of Independence in 1776.

Nonetheless, the Constitution does provide for certain “martial” institutions to which it assigns the authority, responsibility, and capability “to execute the Laws of the Union” “when called into the actual Service of the United States”: namely, “the Militia of the several States”. U.S. Const. art. I, § 8, cls. 15 and 16; and art. II, § 2, cl. 1. It delegates no such authority or responsibility to the Armed Forces, though. See U.S. Const. art. I, § 8, cls. 12 through 14; and art. II, § 2, cl. 1. So, if “martial law” is defined in general terms as the execution of the “Laws of the Union” (or of the several States each within her own jurisdiction) by a “martial” institution, then the only institutions constitutionally entitled, and required, to engage in such execution are “the Militia of the several States”, either “when called into the actual Service of the United States” or otherwise in the performance of duties mandated to them by their own States.

By delegating to the Militia—and to the Militia alone—the right, power, and duty to execute the laws, the Constitution solves the apparent paradox of “martial law” mentioned above. For, although the Militia are governmental institutions of the States, and permanent components of the federal system, they are not “standing armies”. Perhaps nothing makes this dichotomy clearer than Article 13 of Virginia’s original Declaration of Rights in 1776: “That a well regulated militia, composed of the body of the people, trained to arms, is the proper, natural, and safe defence of a free state; that standing armies, in time of peace, should be avoided, as dangerous to liberty”. Similarly, the Second Amendment declares “well regulated Militia” to be “necessary to the security of a free State”. So the “law” executed by the Militia, even in a “martial” fashion were the circumstances to warrant it, would always be executed by THE PEOPLE themselves for the ultimate purpose of securing their own freedom.

The problem which confronts America today is that, if constitutional “martial law” were ever needed in response to some major nationwide crisis, constitutional “martial law” could not be had. For the constitutional “Militia of the several States”, for all intents and purposes, do not exist—and therefore cannot be “called into the actual Service of the United States” in order “to execute the Laws of the Union”, or called forth to fulfill the analogous duty for their States. Some Americans have voluntarily enrolled in the National Guard, which a statute deceptively denominates as “the organized militia”, when actually it is no “militia” at all—whereas all other Americans who are eligible for service in the Militia have been consigned by that same statute to what it calls “the unorganized militia”. See 10 U.S.C. § 311. Relevant statutes of the States follow the same pattern. As the name implies, “the unorganized militia” is precisely that: unorganized, unarmed, undisciplined, untrained, and ungoverned. Contrast U.S. Const. art. I, § 8, cls. 15 and 16. But, as American legal history proves beyond any possible doubt, an “unorganized militia” is as much of a contradiction in terms as a “square circle”—and therefore is a constitutional impossibility. (See my book The Sword and Sovereignty.)

What obviously needs to be done in order to forefend the danger of “martial law” of the sort denounced by the Declaration of Independence, as well as to provide for the possibility that a “martial” execution of the laws allowable under the Declaration and the Constitution may become necessary in this country the not-too-distant future, is for the “martial” institutions which rogue public officials expect will impose “martial law” on common Americans—that is, the Armed Forces—to state publicly, categorically, and repeatedly that: (i) the imposition of “martial law” in any form is not and cannot be the constitutional mission of the Armed Forces; and (ii) execution of “the Laws of the Union” and of the several States in a “martial” fashion under exigent circumstances is the constitutional prerogative of “the Militia of the several States”, and only the Militia. Inasmuch as no one is better positioned at the present time to make this clear to legislators and the general public than are the Armed Forces themselves, it is their duty to do so.

  1. Revitalization of “the Militia of the several States” is a matter of practical necessity.Unfortunately, even with a constitutional principle in one hand, today one still needs an Abraham Lincoln Federal Reserve Note in the other hand to be able to buy a small espresso in a fashionable coffee shop. That is, constitutional principles command very little purchasing power in the contemporary “real world” of egotism, materialism, and hedonism, which allow only two notes on their discordant scale: namely, “me…me…me” and “dough…dough…dough”. So even the Armed Forces will need some very practical incentives to promote revitalization of the Militia. Some of the most important of these, however, are not difficult to identify.
  2. Just as an authority “to execute the Laws of the Union” forms no part of the Armed Forces’ express constitutional mandate, so too does it fall outside, and would be expected to hinder the fulfillment, of their vital practical mission to deter aggressors in foreign venues and to defeat them if deterrence fails and Congress must “declare War”. (Surely it is no accident that Congress’s power to do so, set out in Article I, Section 8, Clause 11 of the Constitution, is immediately followed by its powers “[t]o raise and support Armies” and “[t]o provide and maintain a Navy” in Clauses 12 and 13.) Revitalization of “the Militia of the several States” will enable the Armed Forces to devote their undivided attention to their constitutionally proper rôle, relieved of the possible burden of being diverted into domestic difficulties through deployments that smack of “martial law”. The Militia would “secure the home front” by maintaining law and order domestically in its proper form: namely, what the Second Amendment denotes as “a free State”.
  3. In the event of an unavoidable nationwide domestic crisis, such as the collapse of the monetary and banking systems, revitalization of the Militia would be requisite, for the obvious reason that the Armed Forces could never deploy enough “boots on the ground” to re-establish and then maintain law and order in every locality where significant social unrest arose and civil disobedience broke out. Part of the explicit constitutional authority of the Militia is to “suppress Insurrections”. U.S. Const. art. I, § 8, cl. 15. And enrollments in revitalized Militia would outnumber by far the total possible enlistments in the Armed Forces. Even if the Armed Forces could mobilize forces arguably sufficient in raw numbers to quell violent disturbances throughout the entire country, those forces would face innumerable, often novel, and predictably insuperable difficulties in dealing with other untold problems peculiar to the thousands of unfamiliar Localities they would be called upon to police. Revitalized Militia, in contrast, would be composed entirely of Local citizens—raised, organized, specially trained, and always deployed at the Local level—and imbued with intimate knowledge of and sympathy for their Localities and the people who lived there, which would enable them to deal intelligently and effectively with all of the disparate situations which arose in different areas of the country.
  4. A collapse of the monetary and banking systems is not the only conceivable nationwide or regional catastrophe which might threaten this country in the near future. Consideration must also be given to pandemics, famines, natural disasters, and massive industrial failures or accidents, to name but a few. The Armed Forces are not prepared, and therefore cannot be expected—let alone ordered—to deal with all of the complex challenges each and every one of these events could bring forth. Indeed, the Armed Forces can never be prepared for such duty, because they have few, if any, places in their tables of organization for people with the various kinds of highly technical knowledge and specialized experience which would be vital to draw upon in the event of such crises. In contrast, being composed of just about every adult American not enrolled in the Armed Forces, “the Militia of the several States” would not just as a matter of fact have access to, but also as a matter of law could call upon and dispose of, almost the entirety of national talent in every relevant field—with many, if not the vast majority, of these people already resident in, and therefore familiar with, precisely those areas in which the crises would most seriously manifest themselves.
  5. Even in the event of an actual invasion of the United States, the Armed Forces would need support from the Militia. That support would be forthcoming, because one of the explicit constitutional responsibilities of the Militia is to “repel Invasions”. U.S. Const. art. I, § 8, cl. 15. Moreover, that support would likely be necessary. For any initially successful invasion would involve hordes of enemy troops which would have to be fought with every tactic available, from direct counterattack at the invasion sites to guerrilla and partisan warfare throughout every part of the country into which the invaders penetrated—which types of warfare would require full and unstinting participation by the Militia.

To expect such a “Red Dawn” scenario always to be confined to movie theaters is naïve in an era in which America’s borders apparently cannot be made secure against even an invasion of illegal aliens composed almost exclusively of unarmed men, women, and children. (And, by revitalization of the Militia, even these now-porous borders could finally be sealed, without deployment of the Armed Forces.)

A final note of concern and caution. In the present state of political, economic, and social uncertainty and unrest throughout America, the Armed Forces will surely forfeit the confidence of every thinking citizen if, instead of supporting revitalization of “the Militia of the several States”, they attempt to impose “martial law” anywhere within this country when some major crisis breaks out (for which eventuality many observers believe they are training right now). For, by such behavior, they will prove “to a candid world”: (i) that they are politically unreliable “Standing Armies” with scant concern for the Constitution; and, worse yet, (ii) that they are willing to aid and abet America’s dysfunctional and disloyal political-cum-economic Establishment in “affect[ing] to render the Military independent of and superior to the Civil power” throughout this land—even if that turns out to be part and parcel of the Establishment’s “design to reduce the[ People] under absolute Despotism”. Confidence so lost can never be regained. Once the Armed Forces have alienated themselves from the people, the full consequences of their breach of trust may be unpredictable. But they surely will prove to be undesirable in the extreme.

© 2015 Edwin Vieira, Jr. – All Rights Reserved

Edwin Vieira, Jr., holds four degrees from Harvard: A.B. (Harvard College), A.M. and Ph.D. (Harvard Graduate School of Arts and Sciences), and J.D. (Harvard Law School).

For more than thirty years he has practiced law, with emphasis on constitutional issues. In the Supreme Court of the United States he successfully argued or briefed the cases leading to the landmark decisions Abood v. Detroit Board of Education, Chicago Teachers Union v. Hudson, and Communications Workers of America v. Beck, which established constitutional and statutory limitations on the uses to which labor unions, in both the private and the public sectors, may apply fees extracted from nonunion workers as a condition of their employment.

He has written numerous monographs and articles in scholarly journals, and lectured throughout the county. His most recent work on money and banking is the two-volumePieces of Eight: The Monetary Powers and Disabilities of the United States Constitution (2002), the most comprehensive study in existence of American monetary law and history viewed from a constitutional perspective.www.piecesofeight.us

He is also the co-author (under a nom de plume) of the political novel CRA$HMAKER: A Federal Affaire (2000), a not-so-fictional story of an engineered crash of the Federal Reserve System, and the political upheaval it causes.www.crashmaker.com

His latest book is: “How To Dethrone the Imperial Judiciary” … and Constitutional “Homeland Security,” Volume One, The Nation in Arms…

He can be reached at his new address:
52 Stonegate Court
Front Royal, VA 22630.

E-Mail: Not available 

2-6-2015 10-13-51 AM

 


Memorial Day Dishonor and Disgrace

05/25/2015

https://www.freedomsphoenix.com/Article/176856-2015-05-23-memorial-day-dishonor-and-disgrace.htm?From=News

by Stephen Lendman

General Smedley Butler was right. War is a racket – based on Big Lies, waged for wealth, power and dominance.

Wars have nothing to do with upholding democratic values, humanitarian intervention or fighting for peace, stability and security.

They have everything to do with conquest, colonization and control – forcing one nation’s will on others, stealing resources and exploiting populations.

America dishonors its war dead – sacrificed on the alter of greed and lust for power.

Privileged elites let others do their dying for them – making the world safe for bankers, war profiteers and other corporate predators.

Innocent youths are sent to die based on Big Lies. Sick and/or wounded returning home are often abandoned.

Epidemic levels of post traumatic stress disorder (PTSD) affect hundreds of thousands of combat forces and vets. Many go untreated.

Independent reports reveal nearly half of Afghan and Iraq vets have emotional and/or physical combat injuries. Many are maimed for life.

Combat stress is more than many can bear. The disturbing toll wars take is one of the most underreported stories. A generation of combat vets won’t ever be the same again.

Many needing help don’t get it. Too few get enough. An epidemic of vet and active duty suicides symbolizes war’s hellishness.

Many deaths aren’t called suicides – at home or abroad in war theaters. Misreporting is commonplace.

Many suicide victims are age 50 or older. Combat-related trauma is long-lasting. According to a Center for a New American Security (CNAS) suicide report, veterans commit suicide every 80 minutes.

Study authors Margaret Harrell and Nancy Berglass said:

“America is losing its battle against suicide by veterans and service members. And as more troops return from deployment, the risk will only grow.”

Many vets return home feeling helpless. Marine Corps vet Jason Christiansen watched his life unravel. “At one point, I was sitting there with a gun in my mouth,” he said. A friend urged him to seek help.

The Veterans Crisis Line gets hundreds of thousands of calls. CNAS said from 2005 – 2010, “approximately one service member committed suicide every 36 hours.” Too little too late reflects DOD/VA policy.

For what? America hasn’t had an enemy since Japan formally surrendered in early September 1945 aboard the battleship Missouri.

In the decade post-9/11, the VA paid $200 million to nearly 1,000 families in wrongful death cases.

They’re the tip of the iceberg. Malpractice takes countless others. Included are veteran and active duty suicides for denial of vitally needed physical and/or emotional care.

Wrongful diagnoses and botched surgeries are commonplace by uncaring medical professionals in a system encouraging malpractice by devoting resources to war-making, not caring of its sick, wounded or dying.

Malignant tumors are allowed to grow. Over-dosing on dangerous drugs compensates for denial of proper treatment.

Elderly vets promised healthcare for life die from fatal neglect. How many others suffer out of sight and mind?

It bears repeating. America dishonors its war dead, sick, wounded and dying. Paul Craig Roberts is right. Memorial Day is a cruel hoax – a national disgrace.

It’s been this way from inception since 1866 – more than ever today by far.

Stephen Lendman lives in Chicago. He can be reached at lendmanstephen@sbcglobal.net.

2-6-2015 10-13-51 AM


The Senate voted down a bill to renew the Patriot Act. The laws worst provisions will end on June 1.

05/23/2015

HTTP: CONSERVATIVE-DAILY.COM

5-23-2015 4-32-13 PM

Victory!

Senate Votes Against Patriot Act Renewal!

5-23-2015 4-32-36 PM

Fellow Americans,

This is a major victory. Late last night, the Senate held two votes. The first was on the USA Freedom Act, a piece of legislation to “reform” the NSA’s data collection methods. In reality, the NSA would have been just as powerful and able to spy on Americans which is why Senators like Rand Paul rejected it.

The vote was 57-42, which fell three votes short of the 60-vote threshold to pass. The USA Freedom Act was rejected.

Then, not to be outdone, Mitch McConnell staged a vote for a clean renewal of the Patriot Act. Even though the 2nd Circuit Court of Appeals ruled that the NSA’s data collection methods were illegal, Mitch McConnell wants to renew them.

The vote on the clean renewal was 45-54, missing the threshold by 15-votes. Another rejected attempt to renew the Patriot Act.

We did it!

Instead of keeping the Senate in session like he threatened to, Mitch McConnell conceded. Now, in all likelihood, the most atrocious parts of the Patriot Act will end!

But not so fast…

Senator McConnell has scheduled an emergency session for May 31, the day before these Patriot Act provisions expire. This is when he and the RINOs will stage their last stand.

Right now, it is important to thank all those who voted against infringing on Americans’ 4th Amendment rights. But with that said, we need to take this opportunity to remind Congress that when Leadership calls for another vote in the coming days, we expect for them to vote against this horrible legislation once again.

Make no mistake… Your activism made a difference here. All told, we sent 110,000 faxes to Congress on this issue.

Just as it is important to threaten our Congressmen and Senators when they stray from the path, it is equally important for us to thank them when they honor their oaths!

Tell Congress ‘Thank You’ for letting the PATRIOT Act die and restoring Americans’ 4th Amendment rights!

All the best,

Joe Otto

Conservative Daily

Tell Your Friends!

Make sure your friends read this too…we need every voice we can get to change the status quo in Washington!
Copyright 2015 PoliZoo LLC, P.O. Box 1382, Parker, CO 80134. All rights reserved.

2-6-2015 10-13-51 AM


THE NEXT GENERATION OF CURRENCY

05/22/2015

http://www.wired.com/partners/bnymellon/futureofmoney/

By Michael V. Copeland

Partner, Andreessen Horowitz

Not since the arrival of the almighty dollar has currency been poised for a more dramatic leap forward.

There was a time when people happily used chickens, pigs, or a nice pile of lumber as payment for a cow, some clothes, or anything else of value. And then some smart people got behind a breakthrough—they introduced currency.

Swatches of buckskin, stamped pieces of gold, and later, paper notes—these were a mighty intellectual and technological leap ahead from that clucking bird. It may not seem like it in today’s world, where cash has a whiff of the downright prehistoric, but paper currency was mind-blowing in its heyday—the first U.S. government-issued currency debuted during the Civil War—because of its advanced features: It was lightweight, portable, reliable (hyper-inflationary events notwithstanding), efficient, and powerful. These are descriptors we might apply to the latest smartphone today.

The point is, currency for hundreds of years has been an evolving form of technology, with the faster, better, cheaper underpinnings found in all great technologies. But arguably, not since the arrival of the greenback has currency been poised for a more dramatic leap forward. Digital currency is finally taking hold.

Driven by two massive technological waves—the Internet and the mobile phone—digital currency is bringing banking to the unbanked; it’s making new forms of transactions financially feasible; and it’s allowing currency to do things it could never do when trapped in a physical form.

With digital currency as the stream through which value flows, barriers to truly global trade are poised to fall. The knock-on effect is that the advantage that developed nations held for so long—as hubs through which value of all kinds move—is weakening. As with all forms of digital goods, it’s the most connected nation, or company, or individual that has the power. That does not necessarily mean the nations and companies that have traditionally led the global economy will continue to lead. The fastest, most secure data exchange will win—wherever it may be.

Digital currency acts as a catalyst for all kinds of businesses—large, small, legal, and not so legal. It’s enabling a whole new wave of competition. Whether you are running the corporate show, or investing in it, be prepared to take digital currency on, or be prepared to be left behind.

The digital currency everyone has heard of lately is Bitcoin, but there are many other forms this new platform takes. Each has its network within which it is exchanged. For Bitcoin that is the Internet, and by extension, the globe. For others it might be a single country, a company, or a game (hard to call it a currency if you can’t get it out of the game, but it’s pretty close). At a high level, what all these currencies have in common is the conversion of value into ones and zeros, into digital data. That in itself isn’t revolutionary. Banking today is mostly a function of moving around digital data. Where it gets far more interesting is when smart software hooks into that data and emerges on the front-end as new services serving networks of people and organizations—that’s when new digital currencies will be able to take on properties we’ve never seen. For example, banking without any banks.

In the U.S. with banks on every other downtown corner, it is hard to wrap your head around the fact that more than 2.5 billion people worldwide don’t have bank accounts. What they do have, however, are mobile phones. Take a form of digital currency, introduce some software that allows value to be exchanged on phones between people and businesses, and all of a sudden “money” is moving where it never has. That is the case in Kenya with the digital currency M-Pesa (“M” stands for mobile, “Pesa” is Swahili for money).

Launched in 2007 by the nation’s largest wireless carrier, Safaricom, M-Pesa is a service that allows registered users to do things like deposit money in accounts, transfer money person-to-person, or to one of tens of thousands of shops that take the digital currency. You put value in; it resides on the network (so if you lose your phone you don’t lose your money) and you take it out on your phone.

Even more interesting is that the service has led to a wide variety of businesses being built on top of it that couldn’t have been anticipated—such as shops and bars, travel insurance on animals being brought to market by farmers, and of course lots of money transfers from the city to relatives in rural areas. Saving for later—to buy a home, or to buy that thing to start a business—is another byproduct of this form of digital currency. M-Pesa’s success has been phenomenal. Recent statistics show that fully one-quarter of the Kenyan economy flows through M-Pesa.

Other countries are taking a crack at a similar mobile digital currency. Vodacom (majority owned by UK-based Vodafone, which owns a minority stake of Safaricom) has launched M-Pesa in other African nations, as well as India and parts of Eastern Europe. In Latin America, Ecuador recently announced it would launch a nationwide digital currency, residing largely on people’s smartphones to accompany the U.S. dollars that are the country’s official currency. The hope is that a digital currency will bring the same safety and ease of monetary transfer that the M-Pesa has to Kenyans to the roughly 40% of Ecuadoreans who don’t have access to a bank account. Plus, it offers Ecuadoreans the opportunity to start saving. The difference in Ecuador is that the Bank of Ecuador is backing the digital currency, essentially bypassing the big commercial banks in the nation, at least for now.

2-6-2015 10-13-51 AM