All language subtitles for Russia Says U.S. Planning $37 Trillion Crypto Reset

So, at the recent Eastern Economic Forum
in Russia, one of Vladimir Putin's closest

advisors said something that got a lot of
attention.

He said, the United States is preparing to
use crypto and stablecoins to secretly

devalue its entire 37 trillion dollar
debt.

He says the United States is plotting to
put that debt into a crypto cloud which

would reset the system, basically leaving
the rest of the world holding the bag.

Now, this might sound like some crazy
theory, but a version of this story has

been said before by billionaire CEO of
MicroStrategy, Michael Saylor.

He actually advised President Trump to,
quote, dump all the U.S.

gold and buy Bitcoin.

Dump your gold, sell all the U.S.

gold, buy Bitcoin, then the
trade is free because you

could buy 5 million Bitcoin
for the cost of the gold.

And you will demonetize
the entire gold asset

class and our enemies
hold gold in their banks.

So, their assets would go to zero,
our assets would go to $100 trillion,

and we would control
the world's reserve capital

network as well as the world's
reserve currency network.

The $37 trillion
question though is, how

realistic is this and
would this actually work?

Because I think the answer is,
it's not just going to work.

It's going to be inevitable, and I think
it's going to happen.

Not exactly in that way, but that's what
I'm going to help explain in today's video.

I want to show you what Putin's advisor
exactly said and how the U.S.

will devalue its $37 trillion worth of
debt with stablecoins and Bitcoin.

It's a really interesting story.

So, with that said, let's get into it.

Hi, my name is Andrei Jikh.

Hope you're doing well.

Come for the finance and stay for the
Bitcoin.

So, okay, first question is, who is the
person that said all this?

Now, his name is Anton
Kobayakov, and he is the

senior advisor to Russia's
President Vladimir Putin.

And he's been in that job for over a
decade.

He basically helps with
Russia's messaging at

big events like the
Eastern Economic Forum.

Now, in his speech, he said that the U.S.

is trying to rewrite the rules of the
golden crypto markets and that the

ultimate goal of the
United States is to push the

whole world into what
he called the crypto cloud.

And once the world is there, he says it's
going to move its huge $37 trillion worth

of national debt into assets like
stablecoins and then devalue it,

which would essentially wipe the slate
clean.

Okay, second question then is, what
does it actually mean to devalue the debt?

And how does that work?

So, here it goes.

Imagine that the whole world is just worth
this $100 bill.

Let's say I borrow all of it, right?

Every single dollar.

And now I owe, and I have to pay it back.

The problem is, paying it
back the hard way means

I have to pay it back
and give it back, right?

But luckily, I have a
special superpower

because I control the
world reserve currency.

So instead of repaying it back with the
same $100 bill I just borrowed,

I could just create another $100 bill out
of thin air.

Well, now the world doesn't just have $100
in circulation anymore.

It now has $200, which is
now trying to buy all the same

things in the world because
we didn't make more stuff.

So what happens next?

The price of all those things goes up,
right?

Things like real estate, stocks, gold,
especially the things everybody wants.

They all go up.

The groceries you used to pay a dollar for
now cost two.

Everything becomes more
expensive because again, the supply

of money doubled but the
supply of stuff stayed the same.

That's inflation.

Now, when I go to give
you back your $100,

it looks like I just
repaid you back in full.

But in reality, I cheated because now your
$100 bill doesn't buy you the same amount

of stuff because I diluted the money so it
now only buys you half as much.

I devalued the debt.

Now, what most people don't
realize though is that this is

literally the oldest trick in
the book in a lot of ways.

It's how the United States has been paying
for its debt this whole time.

Devaluing doesn't mean defaulting.

It doesn't mean not paying back.

It means to lower the
real value of that debt

through inflation or
currency manipulation.

And this has happened over and over again
throughout time.

After World War II, during the
inflationary 1970s and even more recently

after the pandemic when
we created a ton of new

money and then everything
went up in price, right?

More dollars chasing the same amount of
stuff.

So when Russia's advisor
says that the US might use crypto

to devalue its debt he's not
telling us anything new, right?

He's describing something the US has been
doing for a really long time.

Now, if you take that same trick I just
explained and you push it out to the rest

of the world that's what stablecoins let
you do.

And just to be clear this isn't literally
exchanging the 37 trillion into

stablecoins it's using
dollar pegged stablecoins

backed by treasuries to
spread liabilities globally.

When those dollars are
inflated the loss gets shared by

anyone holding the tokens
but we'll get into that later.

But also speaking of integrating
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segment and now let's get back to it.

But now, here's arguably the most
important thing you'll ever understand

about the economy and this is credit to
Jeff Booth for this one.

Just remember this all the time.

The natural state of the economy is
deflationary.

So what does that mean?

Well, it means if the amount of money in
the entire world stayed the same,

like let's say there was only ever
this $100 bill in the entire world, right?

And it was always that amount.

Over time, as technology gets more
efficient, as we get better and better at

making stuff, the price of everything
would naturally go down.

Things would get cheaper because
productivity goes up.

But the money supply stays the same.

That is the natural order of the universe.

It's decay.

Things get cheaper over time.

And that's how it should be.

But if you think about
it, that's not how the

world we live in actually
works for some reason.

And that's because governments can make
more money.

And when they do, that's when you hear,
oh, wait a minute, gold, real estate,

stocks, Bitcoin.

That's hit an all-time high.

But the reality is it's not really that
those assets are going up in price.

What's really happening
is that the dollar's

going down because
we're making more of them.

So it now takes more of them to buy the
same thing.

And when the new money floods the system,
all that extra liquidity, as it's called,

has to find a home.

It has to find a place to go so that it
doesn't become worth less.

So it gets put into things like real
estate, stocks, gold, Bitcoin,

which is also why over the long run,
those assets look like they go up forever.

In reality, they're just holding their
purchasing power while the money that's

underneath all of that gets weaker and
weaker.

So then the question is,
what if you can expand this

superpower, you can widen
the same trick beyond the U.S.

borders.

That's where stablecoins come in.

Okay, but hold on.

If the U.S.

can already devalue its debt
with regular inflation, what

does it matter if it can do the
same with stablecoins, right?

This is why Russia's advisor thinks the U
.S.

will actually do this.

The answer comes down to distribution and
control.

You see, when the U.S.

inflates the dollar, the economy starts to
feel the pain right away.

We all see the higher grocery bills,
right, the more expensive house prices,

the energy costs going up, potentially
higher interest rates to cool it down,

those CPI and consumer price index reports
go up and then people get upset, right?

But stablecoins, they
changed that equation because

stablecoins park
reserves in short-term U.S.

treasuries so the demand for dollars and
treasuries can actually go up as adoption

grows making the whole thing kind of
self-reinforcing.

Every time someone uses USDT or USDC
throughout the rest of the world they're

basically holding a digital IOU backed by
U.S.

treasuries.

That means they are
indirectly helping fund

America's debt without
actually buying U.S.

treasuries, right?

So if the U.S.

devalues its debt through inflation the
burden doesn't just hit American citizens

it gets exported worldwide through the
stablecoin system.

So inflation then becomes kind of a shared
tax that stablecoin holders everywhere are

forced to pay because
their digital dollars

also lose purchasing
power at the same time.

Now this is also technically true of
today's system because dollars are

everywhere throughout the world
but this would become a much

bigger market that would also
exist on people's smartphones.

And here's the other piece of the puzzle
stablecoins can look neutral because they

could be created by private companies,
not just the government.

What that means is they don't
carry the same political baggage

that is associated with the
Federal Reserve or the Treasury.

And under the Genius Act it says only
approved issuers like banks, trust

companies or non-bank firms can get
special approval they can issue regulated

dollar-backed stablecoins in the United
States.

So if Apple or Meta wanted to they could
create their own currency like Metacoin,

right?

All they got to do to get approval is just
suck up to the president a little, right?

How much are you spending would you say
over the next few years?

I think it's probably
going to be something

like I don't know, at
least 600 billion dollars.

Show your loyalty, spend a little bit of
money and that's why stablecoins are going

to play such a huge role in the
devaluation of our debt.

It's kind of CBDC level of control without
the CBDC brand.

Now here's why the rest of the world wants
no part in any of this.

And we know it doesn't because of how much
gold the world has been buying.

That's what's happening to gold right now.

Countries are like we don't want your
stablecoins give us gold because it was

the agreed upon standard for thousands of
years.

So let's just go back to that.

But why don't they want any part of this,
right?

It's because even though stablecoins are
supposed to be backed one-to-one by real

US assets like dollars or treasuries in
theory every single stablecoin in

circulation should have a real dollar or
bond equivalent sitting right behind it

the problem is there's no
way for a person or a foreign

government to audit that
claim with 100% certainty.

Companies like Tether and Circle release
reports but you have to trust the issuer

and the auditor and they're all mostly US
based.

And when it comes to trust
especially when it comes to

trillions of dollars that's a
big ask between countries.

Even if one day blockchain technology
makes it possible to fully audit those

reserves in real time that
still doesn't really solve the

bigger problem which is that the
US can always change the rules.

Remember the government once promised that
dollars would always be redeemable for

gold and then in 1971 Nixon just rug pulls
everyone.

That link was cut.

So from the world's perspective that was
kind of like the ultimate rule change.

That was the promise of redemption and
then just kidding.

So a trust us token isn't really going to
cut it.

There's nothing technical
that stops the US from doing

the exact same thing but
this time with stablecoins.

That's why there is
so much distrust in the

world about moving to
this new digital system.

So then the next question is will the US
actually do this then?

I actually think it's more possible maybe
even inevitable that the US is already

experimenting with this idea just not in
the way that we hear about it.

For example Michael Saylor he was very
public, right?

He's advised Donald
Trump and his family that

America should have a
Bitcoin strategic reserve.

His plan was if the US sold off all its
gold and bought Bitcoin it would crush

gold prices it would hurt competing
countries like China and Russia and at the

same time it would
send Bitcoin's price way

up and recapitalize
America's balance sheet.

But in the end that's not what ended up
happening.

Instead, during Trump's presidency the
idea of this US Bitcoin reserve it ended

up being just an idea
that was teased but it

was never fully something
that became real.

The US said it would
never use taxpayer dollars to

buy any Bitcoin and it
really hasn't been buying any.

At least not that we know of publicly.

So I don't think it's
going to happen the way

Michael Saylor was advising
publicly it would happen.

But this is where the private angle comes
in.

Because while the government might not be
openly buying Bitcoin there's a back door.

There's another way this could happen
behind the scenes.

So think about MicroStrategy, right?

This stock.

The company has basically become a public
Bitcoin proxy with Michael Saylor.

They've been buying Bitcoin non-stop.

They now hold hundreds of thousands of
Bitcoins.

So what if instead of the US government
buying Bitcoin directly and then risking

global panic what if it's easier to just
let a corporation do it first?

That way it doesn't look
like some central bank

operation and no one's
really paying attention.

And then later if Bitcoin really does
become a strategic asset the US government

could take in and take a
partial stake in MicroStrategy

the same way it took 10%
ownership in companies like Intel.

So this precedent already exists.

I mean, think about it.

Why would the US openly risk
crashing the gold market with a

trillion dollar Bitcoin purchase
or a forced stablecoin rollout?

Why would it sell its gold if it still has
any, right?

It's way easier and much smarter just to
let private companies do the heavy lifting

first let them experiment
and then the US government

could come in and adopt
what's already working.

That's how the US has always played the
game.

Innovation starts privately
and when it becomes way too

important to ignore it gets
absorbed nationally, right?

This way it's way more subtle
way more gradual and it's

kind of deniable until
the day it becomes official.

But the point I'm trying
to make is that there's a lot

of ways that this could happen
and probably will happen.

So yes, the Russian advisor is 100%
correct in his assumption that that's what

the US will most likely
do at some point in the

future if it cares about
solving its national debt.

But whatever ends up happening either way,
I'd love to hear your thoughts.

Let me know down in the comments below.

I hope you have a wonderful rest of your
day.

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I'd love to see you back here next week.

I'll see you soon.

Bye-bye.