RE: The US Surpasses $20 Trillion In Debt As Bankruptcy and Hyperinflation Loom Closer

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The US Surpasses $20 Trillion In Debt As Bankruptcy and Hyperinflation Loom Closer

in money •  7 years ago  (edited)

It's unlikely the US dollar will default on its debt, as the US is doing everything it can to force Bitcoin users to pay taxes. Our funds and legal marijuana funds will be their next lucrative market to abuse at the expense of everyone else. I can't wait until China officially drops the US Petro dollar.

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You make some valid points , It will be quite a scenario seeing how this financial games is going to play out.

What does that mean that China drops the US Petro dollar?

It means that they use their own currency to buy oil. Most countries have to convert their currency into US dollars to buy oil. If China starts using their own currency, they will greatly decrease the demand of the US dollar and the supply/demand of the US dollar which shift. The glut of supply of dollars will have a drop in price (foreign exchange).

If global demand for USD collapses like that, all the USD (inflation) the US has been exporting since the 70s will come back home, most likely leading quite rapidly to hyperinflation.