Banking Crisis Accelerates Push for Digital Dollar
With nearly 190 banks at risk of a Silicon Valley Bank-style collapse, central bankers are preparing for more bailouts in the near future.
On March 15, the Federal Reserve announced its FedNow service will begin operating in July. This new service will be built on the Fedwire Funds Service and will enable instant payments between banks in the United States. Yet many people fear it might be a precursor to a central bank digital currency that will enable instant payments between individuals in the U.S.
Florida Governor Ron DeSantis proposed legislation on March 20 that would ban a “centralized digital dollar” in the Sunshine State. Meanwhile, Texas Senator Ted Cruz introduced a bill to Congress that would block the Federal Reserve and the Biden administration from moving forward with a central bank digital currency. Both men are concerned that a digital dollar would give the federal government too much power over people’s lives.
Crypto-communism: The Federal Reserve began researching the feasibility of a dollar-based central bank digital currency last year when it participated in a 12-week pilot program with several large financial companies—including Citigroup, hsbc, bny Mellon, Wells Fargo and Mastercard. This program used digital tokens representing digital dollars to improve how central bank money is settled between institutions. But this technology could be used to make it possible for central bank money to be sent to individuals.
Radical Communists like Cornell Law School professor Saule Omarova are famous for their calls to expand the powers of the Federal Reserve by nationalizing banking and digitizing the dollar. In a series of papers, Omarova argues that every American needs a bank account set up at the Federal Reserve that governing authorities could use to inflate the dollar by issuing interest on the deposits or crediting accounts directly. Experts have noted that this proposal would enable the government to run the economy with unlimited discretion.
Orchestrated crisis: The fifth plank of Karl Marx’s Communist Manifesto is the “centralization of credit in the hands of the state, by means of a national bank with state capital and an exclusive monopoly.” Yet before Communists can fully accomplish this goal, they must destroy local banking. Toward this end, the current banking crisis has been a boon to the radical left. A wave of customers has already pulled their deposits from small banks and moved them to the same large financial institutions that participated in the Fed’s 12-week pilot program. American banking is being centralized in the hands of those who ultimately want a digital dollar.
Coming collapse: The late Herbert W. Armstrong warned that communism would strip America of its blessings—the greatest blessings ever conferred on any people—not simply because socialists outmaneuvered conservatives but because the American people turned away from God’s laws. Specifically, he warned that communism would pervert America’s morals, sabotage its educational system, wreck its social structure, destroy its spiritual life, weaken its military, and sap its economic strength. Today, we see an orchestrated effort to weaken America’s economy to the point where the government can nationalize it.
Learn more: Read the chapters “Our Financial 9/11 Was Prophesied!” and “The Communist Infiltration of America Was Prophesied” from our booklet about Mr. Armstrong’s prophecies, He Was Right.
