A speaker claims the Genius Act lets financial elites use stablecoins and tokenized Treasury debt to secretly inflate the money supply. BlackRock issues tokenized debt while Tether converts deposits into stablecoins that buy government securities, duplicating the same debt twice. A BIS paper cited suggests this activity has the liquidity impact of a 2 to 2.5 basis point Fed rate cut.
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The shadow government is exploiting a crypto backdoor to erase the $35 trillion worth of government debt. They just got exposed for cloning your money to pull this off. It all started when the Genius Act got written into law, allowing banks to create stablecoins. See, everybody thought it was just about crypto, but they didn't realize that there's actually government debt tokenized right now on the blockchain as well. So tokenization just means that you could take any asset or liability and turn it into an actual token. So right now what they did is they took the government debt and they made a token version of it. Tokenization of all assets. And you guessed it, BlackRock is the biggest issuer of this tokenized debt. When you combine it with the fact that banks can now create stablecoins, Legally, out of thin air, it gets a little out of control. So this is how the current banking system works. A regular person just deposits money in a bank, and the bank is legally allowed to loan that entire balance out to anybody they want for car loans, house loans, whatever. And the person that takes the loan has to pay the bank back a yield. So the bank profits off of your money. In other words, they give you the innovation of a debit card, and they give you security by insuring your money. So they're allowed to loan it out to as many people as they want. And now they have this innovation, which is stablecoin issuance. If you take your real money, right, and you put it through a product like Tether, Tether takes that real money and actually invests it into government debt. Tether is able to profit off off of buying government debt, and you get the stablecoin version to be able to use in crypto for DeFi or whatever you want. And it all starts to come together with this last element of tokenized debt. Remember when I told you that the stablecoin, you could use it for DeFi? Well, there's a lot of people that are taking that stablecoin money and, you guessed it, putting it right back into government debt. Here's the proof. There's close to $8 billion being currently invested through tokenized government debt. So you have stablecoin issuers like Tether and all these banks that are about to create stablecoins putting that money into government debt, and then you have the same people that got the stablecoins putting money into government debt. It's duplicating the money and it's flowing back into government debt. This is insane. The Federal Reserve controls money in the United States. They get to pick the cost of interest rates, which is the cost of borrowing money. When we have a high cost of borrowing money, what happens is banks have to give out expensive loans. So if loans are expensive, nobody wants to take out a loan, right? But if loans are cheap because the Federal Reserve lowers interest rates, then we have a lot more people taking out a lot more loans. See, when people take out a lot of loans, that's a lot of new liquidity in the system, and we see asset prices like crypto and And stocks go up a lot. So obviously, as an investor, this is like the most important thing and what I've been screaming from the top of my lungs for a long time. Interest rates are dropping, but not only that, this stablecoin duplication hack is also injecting a whole bunch of liquidity. Let me show you. The Bank for International Settlements literally wrote a paper on how crazy this stablecoin liquidity is for government debt, and they came to a conclusion that just through stablecoins buying debt, this is equivalent to the Federal Reserve dropping interest rates by 2 to 2.5 basis points within 10 days. If we have just 10 more Tethers We'll have literally a quarter basis point cut, which is equivalent to Jerome Powell dropping interest rates at the end of this month, which he is doing. So he's dropping interest rates, and we have all these new banks issuing stablecoins that could potentially drive more liquidity, very similar to Jerome Powell dropping interest rates. And see, there's just one problem with this paper here. They didn't consider, again, tokenized debt, which I just told you $8 billion is being purchased by random people in DeFi right now. So just to put it into context for you, this new system is cracked. They have this duplication weird thing in cryptocurrency with stablecoins, banks, and tokenized debt. That actually does have a significant role in injecting liquidity into risk-on assets, aka the market's gonna pump. The elite are putting money in weird ways we have never seen before in the market.
