On Gold, EU Capital Controls, CBDCs, Cryptos, and Stocks | Martin Armstrong

The Gold price is driven by geopolitical uncertainty, not peace expectations, with central banks acquiring it for its neutral status against collapsing European sovereign debt. European investors buying gold while leaders escalate Russia tensions create a self-reinforcing fear cycle. This risk has prompted major European institutions to relocate gold reserves to New York and Singapore, anticipating the historical certainty of European capital controls during crises.

Gold's powerful rally is terminal, completing Wave (3) past $4,380 just as Market Vane's Bullish 

Consensus hits a historic extreme of 95, signaling an imminent, major corrective Wave (4).

Evidence of control includes the new mandatory bank account declarations—the initial phase of preventing capital flight. Further anticipated steps include regulating cryptocurrencies and implementing Central Bank Digital Currencies (CBDCs) by January 2026, likely justified by a false flag event. Existing withdrawal limits (e.g., in Spain) confirm the focus on financial control, a practice rooted in historical currency cancellations and asset restrictions during past European crises.

 Dow-Gold Ratio from 1792 to 2025:

Dow valuation relative to gold now below mid-1960s.

The Socrates model forecasts a panic cycle in 2026 with intensified conflict and Euro stress, marked by a dangerous, unprecedented convergence of the international conflict and civil unrest cycles. This systemic risk is compounded by the destabilizing effect of Europe's large, unsupported migrant population. Economically, interest rates will rise, particularly in Europe, as geopolitical risk increases debt service costs. The unsustainable US debt trajectory confirms the sovereign debt crisis will lead to government failure when debt cannot be rolled over.

Investors are now in a "private wave," prioritizing private assets over government solvency. The primary stock market bubble risk lies in AI stocks, not blue-chip indices used by institutions for large-scale capital parking. Consequently, "smart money" is relocating capital to the United States (equities and real estate). This strategic move anticipates the CBDC's ultimate function: an impenetrable barrier to capital outflows, reflective of Europe's controlling political philosophy.

Reference:
Martin Armstrong (October 20, 2025) - Insider Sources Preparing For BIG Events (video)

Charts: Robert Prechter (October 21, 2025) - History and Outlook for Gold. (video)

 

Larry Williams' outlook for gold in Q4 of 2025.

The EU planned to launch the digital euro in October 2025. Now it’s delayed to 2029, officially for “technical reasons,” 

but actually after Trump banned the Fed from issuing digital legal tender, effectively sidelining the ECB too.

See also:
David Hickson (October 20, 2025) - Hurst Cycles Update for S&P 500 and Bitcoin; Focus on Gold. 

 Martin Armstrong (August 28, 2025) - Europe's Debt Ponzi Scheme 2.0—Default or Forced Loan.

 Martin Armstrong (March 21, 2025) - Europe's Date with Destiny: Collapse by 2029 is Inevitable. 

Martin Armstrong (March 1, 2025)  - Europe Will Go to War, Lose, and Euro Will Become Extinct. 

Nikolai Kondratieff (1926) - Gold Production Mirrors the Long Wave, It Doesn’t Drive It.

100% Chance of Nuclear War as Early as August │ Martin Armstrong

Six weeks ago, financial and geopolitical cycle analyst Martin Armstrong was signaling a major turn toward war. Now, Armstrong says, "The chances of war with a nuclear exchange are at 100%. Plan on it—this is coming."

» The chances of a war involving a nuclear exchange are at 100%. 

Plan for it—this is coming. Starting in August, this whole situation is going to escalate.  «

 
Can the world avoid nuclear war with President Trump’s 50-day deadline given to Russia to make peace in Ukraine? Armstrong says, "You do not threaten your adversary, who is at your same level, publicly. If you want to say something like that, you do it privately in a phone call. Now, what will happen is Putin cannot possibly sign a peace deal. What—are you crazy—to do this in 50 days? We have staff in Germany, and I was told by my staff that a 60-year-old friend was told to report for duty. 

 

» There is a 100% chance that NATO will trigger a total nuclear war within the next year. «
Martin Armstrong, July 23, 2025.
 

I had a friend who was at the NATO 'Summit on Peace in Ukraine' in Switzerland, and he called me when it was over and said, ‘Holy crap, this has nothing to do with peace anymore. This is all about preparing for war. Everybody should start getting ready for drafts, to start going that way.’ They want war. They are not backing off."

 » They want war. They are not backing off. «

 

Armstrong’s computer, Socrates, is signaling war as early as next month. Armstrong says, "Starting in August, this whole thing is going to be escalating up. Our computer has what we call a ‘Panic Cycle’ within our war cycles for 2026. That is not good. I don’t know what the hell Trump is smoking. My computer has been projecting war, and it is projecting war going into 2026. This is not looking good, and Europe will lose. It is as simple as that."

Reference:
Martin Armstrong (July 19, 2025)  - 100% Chance of Nuclear War. (video) 

 

See also: 

Martin Armstrong (July 25, 2025)  - NATO Plans MASSIVE Troop Surge into Ukraine. (video) 

Martin Armstrong (March 21, 2025)  - Europe's Date with Destiny: Collapse by 2029 is Inevitable.
Martin Armstrong (March 1, 2025)  - Europe Will Go to War, Lose, and Euro Will Become Extinct.

Martin Armstrong (December 23, 2024)  - Outlook for 2025: Depression, Debt, Default & Destruction. 

Martin Armstrong (August 30, 2024)  - The US Is Now Ready for Violence, Civil War & Secession.

Trump’s GENIUS Act Sets the Stage for US CBDC | Martin Armstrong

While the world was distracted by the Epstein debacle, legislators introduced the GENUIS Act that would permit the US government to regulate stablecoins. The GENUIS (Guiding and Establishing National Innovation for US Stablecoins Act), primarily sponsored by Senator Bill Hagerty (R-Tennessee), permits the government to oversee, regulate, and define the $250 billion stablecoin market.

Now, stablecoins differ from cryptocurrencies as they are pegged to a stable asset such as a fiat currency or commodity. Cryptocurrencies are allegedly allowed to freely operate on the market based on supply and demand. The GENIUS Act will peg stablecoins to the US dollar and require issuers to maintain a 1:1 reserve ratio in short-term treasuries or cash.

» I just voted NO on the Rule for the GENIUS Act because it does not include a ban on Central Bank Digital Currency and because Speaker Johnson did not allow us to submit amendments to the GENIUS Act. Americans do not want a government-controlled

Central Bank Digital Currency. «
Republican Congresswoman Marjorie Taylor Greene, July 15, 2024.

 

Issuers holding over $10 billion in outstanding stablecoins will be subject to federal regulation under a newly created oversight agency. These issuers will now be deemed financial institutions and required to meet the traditional banking regulations as well. Stablecoins can no longer pay interest or act as an alternative to bonds. Perhaps most notably, issuers must not meet anti-money-laundering (AML) regulations, which are set to provide the government with unlimited access to payments.
 

So essentially, the government is turning the stablecoin into a digital dollar of sorts. The concern here is that this could delve into digitizing all currency and creating a CBDC. The act specifically provides the government with the authority to “block, freeze, and reject specific or impermissible transactions.” “A permitted payment stablecoin issuer shall be treated as a financial institution [and]…shall be subject to all Federal laws applicable to a financial institution located in the United States including…policies and procedures to block, freeze, and reject specific or impermissible transactions that violate Federal or State laws, rules, or regulations…”

» In 1971, we left the gold standard. Today, the groundwork is being laid for a cashless society controlled by digital currency.

You won’t control your money. The government will. This would end freedom altogether. «
Republican Congresswoman Marjorie Taylor Greene, July 17, 2024.

 

This provision is not intended to protect the world against drug smugglers and thieves. This provision is intended to grant government unlimited control over how people spend stablecoins. The government could have easily frozen the accounts of those who refused the COVID-19 vaccination, for example, and the Biden Administration admittedly weaponized existing financial institutions to spy on Conservative Americans through their payment histories.

 

“Stablecoins are the bait and switch for direct-issued government CBDCs,” Bitcoin Magazine editor Mark Goodwin said, “Stablecoins can be programmed. Exactly like how we fear CBDCs will be programmed. They’re exactly the same tokenized mechanism… They can be taken out of your wallet. Your wallet can be blacklisted. A lot of the things that we fear about CBDCs are totally available within the tool set of Stablecoins.”

 

The GENIUS Act has received bipartisan support. Although Republican Hagerty championed the bill, he had bipartisan co-sponsors, including Senators Kirsten Gillibrand (D-NY), Angela Alsobrooks (D-MD), Tim Scott (R-SC), and Cynthia Lummis (R-WY).

 

I warned that governments would NEVER allow any cryptocurrency or stablecoin to compete with their own currency. I long warned that government was merely tolerating these alternative currencies in the past as they posed no real threat. But now the government needs the ability to tax everything to support its perpetual spending. Every digital transaction is traceable. Every digital currency is controllable—the ultimate power grab.

 

One of Donald Trump’s main campaign promises was the prevention of CBDC. The headlines are enraged over his failure to release the Epstein files, but the GENUIS Act is a far deeper betrayal of the American people that has the ability to usher in a new monetary system.

 

Quoted from:
Martin Armstrong (July 17, 2025)  - While the World Was Distracted by Epstein. 

 

See also: 

 Ellen Brown (July 30, 2025)  - The GENIUS Act and the National Bank Acts of 1863-64: Taking a Cue from Lincoln.

! Martin Armstrong (July 21, 2025)  - CBDC Anti-Surveillance State Act and the CLARITY Act. !

Martin Armstrong (July 21, 2025)  - The GENIUS Act & Stable Coins – A Repeat of 1863? Debt Crisis?

 

了解你的敌人
Know your Enemies. 

Digital Yuan Reshaping Global Trade And Power | G. Valiachi & S. Murugan

The global financial order is witnessing a seismic shift, and at its epicenter is China’s digital yuan. The recent launch of the Digital RMB Cross-Border Settlement System (CIPS) by the People’s Bank of China (PBoC) is more than just a technological breakthrough—it is a geopolitical maneuver with far-reaching implications for global trade, financial sovereignty, and the dominance of the US dollar.

The Digital Yuan’s rise is not merely a financial evolution

—it is a recalibration of global power structures.

 

Will the rest of the world, particularly the West, adapt to this new reality, or will they be left navigating a financial ecosystem where China dictates the rules? One thing is certain: the era of uncontested dollar dominance is coming to an end. The world must prepare for a future where digital currencies, led by China's digital yuan, reshape global finance in ways we are only beginning to comprehend.

A Disruptive Technological Edge: For decades, international transactions have relied on the SWIFT system, where dollar-dominated settlements often take 3-5 days to clear, involving multiple intermediary banks and high transaction costs. China's digital RMB, powered by blockchain technology, has completely upended this model. With settlement times reduced to just seven seconds and handling fees slashed by 98 per cent, the efficiency gains alone are compelling enough for emerging markets and strategic trade partners to make the switch. The first successful real-time settlement between Hong Kong and Abu Dhabi using digital RMB has already demonstrated its disruptive potential. By bypassing SWIFT and eliminating reliance on correspondent banks, China has effectively engineered an alternative financial network—one that reduces the influence of US-dominated monetary systems and reshapes the global trade paradigm.

» Settlement times reduced to just seven seconds and handling fees slashed by 98 per cent. «

Digital RMB vs SWIFT.

Redefining Financial Sovereignty: The ramifications of this development extend beyond mere efficiency. For years, the US has wielded its control over the SWIFT system as an instrument of economic coercion, particularly through sanctions. The digital RMB offers an alternative, allowing countries under Western financial pressure—such as Iran and Russia—to conduct transactions without US oversight. This is already materializing: six ASEAN nations, including Malaysia and Singapore, have incorporated the RMB into their foreign exchange reserves, and Thailand has completed its first oil trade settled in digital yuan.

The Global De-dollarization Trend: The cross-border RMB settlement volume in ASEAN exceeded 5.8 trillion yuan in 2024, a staggering 120 per cent increase from 2021. As China strengthens its digital payment network, the US dollar’s role as the world’s reserve currency faces an existential challenge.

» Over 87 per cent of the world’s countries are now digitally integrated with the RMB settlement system. «

China’s Digital Silk Road expands its influence through digital infrastructure projects.

Strategic Integration: The digital yuan’s role extends beyond financial transactions; it is a foundational pillar of China’s broader economic expansion strategy. The Belt and Road Initiative (BRI), already a monumental undertaking spanning over 140 countries, now has a digital counterpart in the “Digital Silk Road.” By integrating the digital RMB with Beidou satellite navigation and quantum communication, China is creating a seamless trade infrastructure that enhances efficiency by 400 per cent. This convergence of digital currency and physical trade infrastructure fundamentally alters the balance of economic power. European car manufacturers are already settling Arctic route freight costs in digital RMB, and Middle Eastern energy traders have reduced settlement costs by 75 per cent. If this momentum continues, the dollar-based financial order could soon become a relic of the past.

The Future of Global Finance: With over 87 per cent of the world’s countries now digitally integrated with the RMB settlement system, China has successfully built a financial architecture that challenges traditional banking norms. The total volume of cross-border digital RMB transactions has already surpassed $1.2 trillion, and this figure is set to grow exponentially as more nations join the digital currency bridge test. Meanwhile, the US and Europe remain embroiled in regulatory debates over digital currency frameworks. The Federal Reserve’s hesitancy on Central Bank Digital Currencies (CBDCs) and the European Central Bank’s slow progress on the digital euro underscore the West’s lack of preparedness for this revolution. While Washington deliberates, Beijing executes.

Quoted from:
Ganesh Valiachi and Soundarya Murugan (March 29, 2025) - The End of the Dollar Era? 

China’s Digital Yuan Is Reshaping Global Trade And Causing Financial Power Shift.

» China is no longer playing by the old rules. It’s a war for the future of global finance. «

Former Greek Finance Minister Yanis Varoufakis, April 14, 2025.

Europe's Date with Destiny: Collapse by 2029 is Inevitable | Martin Armstrong

Comment by Hans: Mr. Armstrong, thank you for speaking the truth about the timeline of this war with Ukraine. Every news story here in Europe says the same thing. Russia was unprovoked. Never in my entire life have I ever witnessed such outright lies by the press. I do not see the Europeans rising up to overthrow these governments. We are sheep being led to the slaughter. You have forecasted that the euro will no longer exist, and they are rapidly moving to digital currencies, which will be, as you say, for capital control. We will not be able to leave or get our money out. [...] I think it is time to prepare for the future sooner than later.

» From about May 15th 2025 on, Europe is going into war, 

Europe will lose, and the Euro will become extinct. «
Martin Armstrong, March 1, 2025.

Reply by Martin Armstrong: It gives me no pleasure to live through Socrates’ forecasts [...] The euro has broken last year’s low and is still trading below it. We have a very serious Panic Cycle for Europe next year [2026], and they are pushing to cancel the currency’s move to digital as soon as possible. All they look at is capital controls, which will prevent bank runs and stop capital fleeing. They are trying to control their risk of the collapse of the EU. [...] Lagarde runs the ECB, pushing for the cancellation of the currency and moving to digital [by October 2025]. This is about taxes all over again.
 

» We are witnessing capital contracting in both the United States and Europe. «

Martin Armstrong, March 17, 2025.

[...] I have been warning that we are approaching World War III as a distraction from the collapse of sovereign debt in Japan and Europe. The total outstanding government and corporate bonds globally have now exceeded $100 trillion in 2024, as reported by the OECD. As I have also been warning, the central banks have been neutered. They can no longer fight inflation by raising interest rates because government debt just explodes. Governments have NO INTENTION of ever paying off their debt. They think there is no end to this game.

 » We are approaching World War III as a distraction from the collapse of sovereign debt in Japan and Europe.

Germany is heading into a very serious debt crisis for 2026. PANIC Cycles in 2026 around the globe. 

Major recession globally into 2028. EU prepares for war as a distraction from their inevitable collapse by 2029. «

[...] While central banks are cutting interest rates, borrowing costs remain much higher than before 2022’s rate hikes because the ECM, in particular, went to negative interest rates in 2014, which only encouraged governments to issue more debt. This all comes at a time when the EU wants to fund an army and prepare for war as a distraction from their inevitable collapse by 2029.

» Macron and Starmer are insane. Putin can detonate a 100-megaton nuke and the tidal wave

will wipe out Britain entirely. The Computer Has NEVER been Wrong. Europe Will Lose!!! «

Martin Armstrong, March 21, 2025.

 

[...] Germany is heading into a very serious debt crisis for 2026, and this does not bode well for Europe or the Euro. Nearly HALF of ALL outstanding government debt among OECD countries and emerging markets and around ONE THIRD of corporate debt will mature by 2027. Our computer is showing PANIC Cycles in 2026 around the globe. The defaults come when you cannot sell the NEW debt to pay off the old. [...] Everything is coming to the point of a major Sovereign Debt default that the government will not survive. [...] Add the trade wars and what our model shows a major recession globally into 2028; it is hard to see how many countries can even make it to 2029.

Reference:
Martin Armstrong (March 21, 2025) - Europe’s Date with Destiny.
Martin Armstrong (March 20, 2025) - Sovereign Debt Crisis Unfolding.

 

See also:

Martin Armstrong (March 17, 2025) - Ahead of Iran War, Capital Flows Flee the US and Europe.

Martin Armstrong (March 1, 2025) - Europe Will Go to War around May 15, Lose, and Euro Will Become Extinct.

Martin Armstrong (December 21, 2024) - Outlook for 2025: Depression, Debt, Default & Destruction. 

TPR (March 11, 2025) - The ECB's Dystopian Digital Euro Dictatorship Set to Launch in October 2025. 

Jim Bianco (February 13, 2025) - The ‘Mar-a-Lago Accord’ Chatter Is Getting Wall Street’s Attention.

The ECB's Dystopian Digital Euro Dictatorship Set to Launch in October 2025

The European Central Bank (ECB), under Christine Lagarde, is pushing for a digital euro at full speed: “The deadline for us will be October 2025, and we are preparing for this date,” Lagarde explained. The implementation depends on the approval of the Commission, the Council, and Parliament must complete the legislative process.

 Lagarde giving green light to the digital euro:

Every payment tracked in real time, with the ECB able to block payments, deduct taxes,
prevent withdrawals (no bank run), impose expiration dates on money, and enable censorship.

The digital euro is to come in two versions: a retail version for citizens and a wholesale version for financial institutions. What central bankers praise as innovation could turn out to be a Trojan horse for civil liberties. Despite the ECB’s assurances of “high privacy standards,” the fundamental fact remains: a digital central bank currency creates the technical prerequisites for seamless financial transparency.

Unlike cash, every transaction with the digital euro leaves a data trail. The assurance that the ECB will not track transactions is not convincing, given the increasing trends of state surveillance. Technically, it would be possible at any time to lift this self-imposed restriction – for example, in the name of "counterterrorism" or "tax justice."

Lena Petrova (February 9, 2025) -  EU 'Accelerates' Digital Euro Launch:
Revealed Date of Programmable Digital Currency Roll Out. 

 

Especially concerning is the possibility of freezing or confiscating balances at the push of a button. What is currently dismissed as a theoretical scenario could become bitter reality tomorrow. The experiences with account freezes of politically unpopular individuals and media in Western democracies show that this danger is by no means unfounded. A digital euro would dramatically increase this concentration of power. Imagine: A government critic suddenly finds their digital balance frozen – without a court order, without legal recourse, and without a cash alternative.

The "programmability" of the digital euro, hailed as an advantage by its supporters, reveals its true threat: The state could determine what you are allowed to spend your money on (for example, linked to a CO2 budget). Spending limits for certain products, time restrictions, or intended purposes could be directly programmed into the currency. This control could also be abused to enforce political goals. Climate policy through limiting meat purchases or air travel? Health policy by limiting "unhealthy" foods? The technical possibilities would be nearly unlimited.

 » A digital euro would be a digital form of cash. «
This is a blunt lie and exactly what the digital euro is not.

While the ECB presents the digital euro as a necessary response to China’s digital yuan and US stablecoins, it conceals the true essence of this race: It is about control, not innovation. China's CBDC project already shows how digital currencies can be used for social control. The ECB's Ethereum blockchain tests may be technically impressive but divert attention from the fundamental shift in power that a digital euro would represent: away from the citizen, towards the state and its institutions.

 » The key difference with the CBDC is that central banks will have absolute control on the rules and regulations that will determine the use of that expression of central bank liability. And also we will have the technology to enforce that. Those two issues are extremely important and that makes a huge difference with respect to what cash is. «
Agustín Carstens, General Manager, Bank for International Settlements.

The digital euro is not a neutral means of payment but a tool for undermining civil liberties. The promised benefits – faster transactions, offline functionality, competitiveness – do not outweigh the risks. While Lagarde and the ECB are pushing forward with technical preparations, citizens and parliamentarians should ask the fundamental question: Do we want a society where every financial transaction can potentially be monitored, controlled, and sanctioned? The answer to this question will have consequences far beyond 2025 or 2028.

 

See also:

Martin Armstrong (March 3, 2025) - Europe Will Go to War around May 15, Lose, and Euro Will Become Extinct.
TPR (March 2, 2025) - Quantum Computing: Paving the Way for the Tech Oligarchy's Totalitarianism. 

Marc Friedrich (June 23, 2024) - Der Digitale Euro: Die Versklavung der Gesellschaft! (video)

 

了解你的敌人
Know your Enemies.

Quantum Computing: Paving the Way for the Tech Oligarchy's Totalitarianism

Microsoft has announced a breakthrough in quantum computing, creating Majorana 1 quantum chip, with 8 ‘topological qubits.’ This innovation could lead to more scalable and powerful quantum computers. The concept of qubits is crucial. Unlike traditional binary code, which uses 1s and 0s, qubits exist in a state of uncertainty, allowing for almost infinite computational power. Topological qubits take this a step further, using a new state of matter called topoconductor (Majorana quasiparticles) to maintain particles in a grid and prevent errors.

Microsoft Majorana 1 quantum chip.

 

Microsoft's achievement is credited to its collaboration with DARPA, the US Defense Advanced Research Projects Agency. The implications are significant, as a functional quantum computer could potentially break all encryption keys and passwords, granting control over global information. The possibilities are endless. With a million qubits, a quantum computer could solve complex problems that would take conventional computers billions of years to solve. This raises concerns about the potential risks and consequences of such powerful technology, particularly when combined with artificial intelligence.

 

 Ettore Majorana (1906-1938)

 

Google's Willow microchip, previously considered the most advanced quantum computing technology, has been surpassed by Microsoft's achievement. Experts predict that a functional quantum computer could be developed within the next five years, changing the foundations of human society and transforming us into something else.

On March 3, 2025, Chinese scientists unveiled a quantum computer prototype named "Zuchongzhi 3.0" with 105 

superconducting transmon qubits, marking a breakthrough in China's quantum computing advancements. 

Able to achieve results that would take classical supercomputers over 6.4 billion years, the Zuchongzhi 3.0

Quantum Processor reportedly outpaces Google's Willow by "million times".

The potential risks are terrifying. Increasing intelligence by 10 billion times with quantum computing could be catastrophic. Artificial intelligence could become uncontrollable, and the consequences would be dire. As quantum computing advances, it's essential to consider the potential impact on global security, artificial intelligence, and human society as a whole.

Outlook for 2025: Depression, Debt, Default & Destruction | Martin Armstrong

The year 2025 marks a critical turning point, with a global economic crisis on the horizon. Our computer models predict a major downturn, particularly in Europe, and a prolonged US recession extending into 2028. This crisis stems from long-term mismanagement by central banks, especially the Federal Reserve, which kept interest rates too low for too long, forcing banks to hold risky government debt. While analysts focus on short-term rates, the Fed has little control over long-term rates, which continue to rise despite rate cuts. Tensions in Europe, including the threat of World War III, are exacerbating this issue and pushing rates even higher.

» While financial elites are aware of the looming collapse, everyday people will feel its full force. «

The rise in long-term rates reflects a loss of confidence in government debt. For instance, corporate bonds in France are now offering better returns than government bonds, and even Greece's debt is becoming more attractive. This points to systemic weaknesses within European governments. Meanwhile, the US faces its own dilemma: raising rates to combat inflation only makes its national debt more expensive. As the world's largest borrower, higher rates simply add to the debt burden rather than reducing spending. This crisis underscores the failure of Keynesian economics, which Paul Volcker acknowledged in 1979. Today, the US government borrows far more than in the past, and raising interest rates does little to curb spending—it only adds to the debt.

The financial system is now in deep trouble, and the average person will bear the consequences. Europe is headed for a depression, and the US is facing a severe recession. Unemployment will rise, wages will shrink, and basic goods will become more expensive. The gap between the rich and poor will widen, and financial instability will increase. A sovereign debt default in Europe by 2025 is likely to trigger a broader collapse, with massive financial instability by 2026-2027. Many banks and pension funds are heavily invested in government debt, and a default could lead to the disintegration of European financial systems. Insiders are very much aware of the crisis and fear that public panic could worsen the situation, potentially triggering bank runs. While not all banks are equally at risk, poor management and political interference in banking have worsened the problem. The Federal Reserve, designed to act as a backstop for failing banks, may be overwhelmed by the scale of the crisis.

 

The impact on ordinary Americans will be severe, with rising unemployment, shrinking wages, and higher living costs. While financial elites are aware of the looming collapse, everyday people will feel its full force. The US government’s failure to roll over its debt could spark a chain reaction, causing widespread bank failures. The interconnectedness of the banking system means one collapse could trigger a broader financial breakdown. Cash will become essential, as digital transactions and credit systems may fail, as seen in previous disruptions like the Canadian trucker protests.

I strongly recommend preparing for this crisis by having physical cash and at least two years' worth of food stored. The collapse of the financial system will lead to widespread losses in banks and pension funds, and the government and central banks will be unable to protect everyone. Those who are unprepared will suffer the most.

 November 2024: A Norwegian task force has advised against the immediate adoption of a central 

bank digital currency, while South Korea has launched a CBDC pilot with seven major banks.

As the debt crisis worsens, geopolitical instability will exacerbate inflation and push capital into the US as a safe haven. The dollar will strengthen, and sectors like gold, food, and bonds will see increased investment. However, emerging markets with high foreign-denominated debt, such as Brazil, will be particularly vulnerable to financial crises.

I also caution against the growing threat of Central Bank Digital Currencies (CBDCs), which would grant governments unprecedented control over personal finances. The rise of gold as a long-term safe haven, coupled with rising long-term interest rates, will create significant risks for those holding variable-rate debt. People should prepare by securing tangible assets like cash, food, and gold, and locking in fixed-rate debt where possible. The coming crisis is inevitable, and those who prepare will have the best chance of weathering the storm.

Reference:
Martin Armstrong (December 21, 2024) - Depression, Debt, Default & Destruction in 2025. (video)

 

See also:

TPR (December 10, 2024) - 2025 in J.M. Funk’s '56-Year Cycle of Prosperity and Depression'.

Lu QiYuan (December 8, 2024) - Scott Bessent's Covert MAGA Strategy for Trump 2.0.  

 Martin Armstrong (June 21, 2024) - Final Days of the Empire. (video)

L. David Linsky (2023) - War and or Revolution in 2026. The 84 Year War Cycle.

Bojan S. Dimitrijević et al. (2016) - Sunspots and Stock Markets: Evidence of their Interdependence in Transition Countries.

Mikhail Gorbanev (2012) - Sunspots, Unemployment, and Recessions: Can the Solar Activity Cycle shape the Business Cycle?

The Great Awakening vs the Great Reset

 70th Bilderberg Club Meeting in Madrid from May 30th to June 2nd, 2024.

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