By Greg Hunter
Analyst and financial writer John Rubino has been sounding the alarm about a potential currency crisis for several years, pointing out that it’s not just the US dollar, euro, or yen at risk.
Nearly every nation grapples with soaring, unmanageable debt, and Rubino warns that no fiat currency is likely to endure. “If you follow the financial news, you’ll notice that gold prices are rising, but they’re being treated like any other asset,” he states. “Gold is humanity’s oldest form of money, so when its price increases, it indicates that the currencies we measure against it are losing value.”
Globally, fiat currencies are plummeting in value, especially when compared to gold. Recently, gold has not only surpassed its historical nominal high but also its all-time inflation-adjusted peak. “This is significant, especially considering the inflation we’ve faced over the past 30 or 40 years,” Rubino adds. “Essentially, gold is signaling that the fiat currency experiment is coming to an end.”
He notes that the monetary system established in 1971, when we abandoned the gold standard, led to excessive debt and reckless spending—much like giving someone an unlimited credit card. “Now, we’re left with debt we can’t repay, and many people expect government support. France exemplifies this situation,” he explains.
Rubino believes nearly every country is facing a similar crisis. “Governments worldwide are compelled to borrow increasingly more to meet their obligations and pay interest on existing debts. This leads to more money printing, which further diminishes currency values, creating a potential currency death spiral,” he warns.
Rubino advocates for investing in physical gold, silver, and mining stocks, predicting that silver will begin to outperform gold percentage-wise. He adds, “For gold to underpin the next monetary system, similar to the classical gold standard before World War I, its price would need to reach around $20,000 per ounce to back all existing currencies. If we continue on our current path, fiat currencies could collapse to zero, making gold’s value limitless. My projection for gold’s future price lies somewhere between $20,000 and infinity.”
Additionally, Rubino discusses how artificial intelligence (AI) can have both inflationary and deflationary effects, elaborating on this in the interview.
The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of Censational Market.
