The era of the United States' petrodollar dominance is drawing to a close, marking a pivotal moment in global banking history. The transition to ISO 20022 and a gold-standard banking system represents a revolutionary step away from the flawed fiat currency system, notorious for its susceptibility to criminal exploitation and unchecked fund leakage.
The Demise of the Petrodollar
The petrodollar system, which has underpinned the U.S. dollar's status as the global reserve currency, especially in oil trade, is unraveling. The U.S. Treasury bond, previously a pillar of global finance, no longer meets the requirements for tier 1 capital. This shift signifies a significant decline in America's financial influence.
The Role of ISO 20022 in Banking Overhaul
ISO 20022, a new standard for financial messaging, is instrumental in this financial transformation. It promises enhanced efficiency, security, and transparency, addressing the vulnerabilities of the previous system.
The Impending Credit Implosion
Experts like @MikeCristo8 warn of an imminent credit collapse within the Federal Reserve and G-SIBs. The depletion of the reverse repo market and the declining value of foundational financial assets and liabilities point to an impending crisis in the global banking system.
The Shift to Gold-Backed Currencies
In response to this financial instability, a movement towards gold-backed currencies is gaining momentum. Nations like Iraq are distancing themselves from the dollar, aligning with BRICS countries to create a more balanced financial system.
Conclusion: A New World Financial Order
The transition from the petrodollar to a gold-backed banking system heralds a new era in global finance. This move towards a more secure, transparent, and equitable financial world has profound implications for global trade and monetary policy.