Jump to content
Sign in to follow this  
RippleRicky

Supporting Fast Payments for All- Press Release -October 3rd, 2018 -Federal Reserve

Recommended Posts

Everyone should give this Federal Reserve press release a really good read. Although not mentioning Ripple or XRP, this speaks volumes with the shake-up of Swell and what Ripple is providing. I mean come on, it almost seems like the deck is stacked for Ripple and XRP and the infrastructure is being aligned for central banks. I’d love to hear feedback.

 

https://www.federalreserve.gov/newsevents/speech/brainard20181003a.htm

Share this post


Link to post
Share on other sites

interesting video, she did squirm & erm a lot when not reading off script & asked the crypto/bye bye usd as global currency question at the end which was interesting although understandable too. For the whole presentation it did sound like ripple wording over & over. Must try not to get too excited & tunnel visioned though as the RTGS solutions used in Europe etc manage pretty well without any crypto so must not just believe it is going to be ripple all the way. Would be nice though...……… :)

Share this post


Link to post
Share on other sites
On 10/6/2018 at 9:43 AM, RippleRicky said:

Everyone should give this Federal Reserve press release a really good read. Although not mentioning Ripple or XRP, this speaks volumes with the shake-up of Swell and what Ripple is providing. I mean come on, it almost seems like the deck is stacked for Ripple and XRP and the infrastructure is being aligned for central banks. I’d love to hear feedback.

 

https://www.federalreserve.gov/newsevents/speech/brainard20181003a.htm

Also have a look at this tweet by the Federal Reserve Bank of St. Louis on Oct 2:

Very encouraging presentation (https://www.stlouisfed.org/dialogue-with-the-fed/blockchain) by St. Louis Fed economist David Andolfatto and Q&A session with Executive Vice President Julie L. Stackhouse where they also made a reference to https://www.treasurydirect.gov/

 

Share this post


Link to post
Share on other sites

Great find RippleRicky!

Very exciting watching and hearing from the fed like this about RTGS.

At roughly 10.40mins she spoke about how the Australia reserve bank and the euro reserve something are on the "cusp" of implementing there own RTGS systems. I wonder what these are? I havnt heard anything before about these two.?

 

Share this post


Link to post
Share on other sites

I'm not into Tin foil hat stuff but I like to base my hypothesis based on the understanding of the past, what is happening in the present and what could possibly happen in the future. In saying that, there has been a lot of chatter in regards to the IMF and XRP as a world reserve currency to possibly replace the dollar.The world has been trying to get away from the double-edged sword that is a national currency that is also acting as a world reserve currency and prime example is the US dollar which controls the majority of the market.

The USA has domestic monetary policy obligations but at the same time an international one which creates trade deficits and potentially harm not only the US but the rest of the world. In April of 2010, the IMF released a comprehensive document titled "Reserve Accumulation and International Monetary Stability" the time was impeccable as China attributed the 2008 crash to the lack of liquidity that the US dollar provided and since then China has been aggressively working towards creating a gold backed currency, buy gold on a monthly basis, choosing to buy oil in their own currency and advocating for finding a replacement for the USD as a world reserve currency.

The IMF identified a few issues with the current system and here's an excerpt: 

Quote

Systemic imperfections. Potential vulnerabilities and market failures in the international monetary and financial system have been important drivers of reserve accumulation, beyond the traditional motives for holding reserves (such as smoothing out the impact on consumption of shocks or ensuring inter-generational equity—e.g., for oil producers). These imperfections include uncertainty about the availability of international liquidity in a financial crisis; large and volatile capital flows; absence of automatic adjustment of global imbalances; and absence of good substitutes to the U.S. dollar as a reserve asset, which also reflects the fact that currency tends to be a natural monopoly.

What caught my eyes from these imperfections stated above by the IMF is The absence of automatic adjustment of global imbalances and absence of good substitutes to the US dollar reserve asset. The world at the time was looking for a global ledger showing changes to the liquidity pool on-demand. The world also needed a liquidity pool that can be monitored with this ledger and a new monetary instrument that the world can accept, without borders and without anyone's control. Think of SWIFT sanctions that the US implements. SWIFT and the US dollar is not only being used as a means to control trade and economies, they are also used as a weapon. 

Whether we like it or not, the world is trying to move away from SWIFT and the USD as a reserve currency.

- Reserve Accumulation and International Monetary Stability https://www.imf.org/external/np/pp/eng/2010/041310.pdf

- The Triffin Dilemma https://en.wikipedia.org/wiki/Triffin_dilemma 

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

×
×
  • Create New...