@WatcherGuru: Fed rates, stablecoins and tokenization

Has everyone forgotten about “high interest rates?” Why might they actually be a part of the PLAN? I have said for years now, that Trump took down the Federal Reserve in his first term, using the Covid emergency as the excuse. Trump rolled the Federal Reserve under the authority of the Treasury. Link: https://t.co/GhCwOYJmBk The Treasury Secretary is now controlling ALL the levers of “power” over the world’s financial system. Scott Bessent is able to track all the dollars, shut down all the illegal money streams and even exclude banks and countries from the world’s financial system. The central banking system is ALREADY dead. The whole world focuses on Bessent’s every move and the new FED chairman is just an afterthought. The only thing Trump’s newly appointed FED chairman is controlling is interest rates. But is he controlling interest rates, or is he taking orders? Several people commented that Trump wasn’t in control of the FED because Warsh did the opposite of what he’s consistently demanded for years. Trump “publicly” says that he wants the FED to lower rates and so does Bessent. Warsh raised them instead. Just OPTICS? Is this “proof” Trump doesn’t control the FED? Or is it “proof” that Trump actually does control the FED? Always ask the right questions. Why would Trump and Bessent actually want “higher interest rates” at this moment in time? What advantage would it be for Trump, to have higher interest rates stay temporarily elevated? Why would Trump and Bessent want a really strong dollar and U.S. Treasury? Who holds the world’s reserve currency? High interest rates strengthen the dollar and U.S. Treasuries against ALL foreign currencies. How do you “transition” the world from a central bank “fiat” system into a blockchain stablecoin system with sovereign currencies backed by “assets?” There are three “structural reasons,” high rates become a “requirement” rather than just an advantage. 1) Controlled “migration” into the new system PREVENTS bank runs and financial chaos. The GENIUS Act prohibits issuers from paying yield to holders, the stablecoin is a zero-yield instrument. One dollar equals one stablecoin. No interest attached. This is critical. High interest rates keep the “old system” funded long enough for the “new one” to MATURE AND GROW. If rates were low, there would be no reason for anyone to keep their money in banks — the “migration would accelerate” faster than the infrastructure could absorb it. It would cause “bank runs.” Trump and Bessent are preventing it. 2) Banks are allowed to “compete.” Competition is what destroys monopolies and centralization of our financial system. Trump isn’t trying to destroy the banking system, he’s trying to make it work for the benefit of the American people again. A Dallas Fed analysis confirms this: "Deposit rates increased substantially as the Fed raised interest rate in 2022." If the Fed rate were near zero, banks couldn't offer competitive deposit yields to stem outflows. Low rates would “trigger” another run on banks. Trump and Bessent are creating healthy competition. 3) High interest rates are actually “funding” the building of the new stablecoin system. How? The companies who issue stablecoins (not holding them) earn the Treasury spread on reserves. High rates equate to a spread in billions annually. Without “profits” from that Treasury spread, the stablecoin issuers couldn’t “build” the new blockchain system. It cannot be built, staffed, and globalized without that revenue stream. High interest rates are literally the “construction loan” for the “architecture” of the coming new worldwide financial system. Now here’s the important part: We NEED high rates to keep the old system alive, to fund the new system's construction, and to control the pace of migration — but the new system's success “kills” the high-rate environment that made it possible. It’s a phase-in transition with a built-in deadline. The new system phases out the old system.