A few weeks ago, the Daily Economist wrote a piece on another website of the game changing revelation in China where they will now be bypassing the dollar in oil transactions, and allowing all countries around the world to buy and sell oil in a currency other than the dollar. This sea change is an attack on US hegemoney over the reserve currency, and the currency known as oil, and would be the primary catalyst in destroying the economy without firing a shot.
Dollar no longer primary oil currency as China begins to sell oil using Yuan
In fact, world renowned commodities trade Jim Sinclair expanded upon this move, and said that the ultimate goal was a bypassing of the SWIFT system, which is used globally for all transactions between currencies.
What this article really said, if you have the eyes to see it, is that China has a system in place to offset the effect of being shut out of the SWIFT system, the economic nuclear weapon of the West. That proves that the premature threat and use of the SWIFT system against Iran will have rendered this economic weapon useless in the future. The mistake the West made prematurely using the economic weapon, the SWIFT system, will come back to haunt the West as extremely expensive. Had this not been used prematurely, it could have shut down major nation’s economic processes by electronically deleting the enemy from the SWIFT system. Therefore the taking and making of settlement on international transaction would have fallen back on only the gold a nation had. Everyone had gotten lazy so both enemies and friends were settling international transactions on SWIFT. History will see this as the mistake of the century. Now all opposed to each other have or are developing their own electronic payment system free of SWIFT. - Jim Sinclair
Now, the Republic of Texas TV has created a video explaining the history of the petro dollar, and what it would mean to all Americans if the global economy suddenly rejected the dollar as the reserve currency.
China, along with Russia has already made the first moves, and pandoras box has been opened. What we choose to do to hedge the coming changes is all about the understanding of sound money and assets, and what both gold and silver (physical) mean about wealth protection.