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CHANGE OF SCHEME: The dollar died as king? Gold Takes over the Crown of Global Reserves

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The question worth a trillion dollars has just been answered. For years, analysts debated "which currency would replace the Dollar": would Yuan be? The Euro? Bitcoin?

By Igor Pereira Financial Market Analyst

The graph I bring today closes the debate. The answer is: No paper coins. It's Gold.

CHANGE OF SCHEME: The dollar died as king? Gold Takes over the Crown of Global Reserves - ExpertFX School

It happened a lot faster than me, or anyone on Wall Street, I figured. Below, I analyze this historic event where Gold surpasses the Dollar in global reserves and what this means for its heritage.

The Bloomberg Intelligence/FMI image is the visual proof of the era change.

  • The King's Fall: The participation of the Dollar (black line) fell dramatically, perforating the psychological level of 50% and diving into the 40%.

  • The Emperor's Ascension: Simultaneously, the gray area (Gold) exploded upward, crossing the dollar line. Gold is now effectively the largest asset in global foreign reserves .

  • Implication: If the main asset of the Central Banks is no longer the dollar, the Dollar Standard has ended in practice, even if politicians do not yet admit it.

His reasoning is surgically correct: "If gold is now the largest asset in FX reserves, is USD still the primary reserve currency, or is it gold?"

  • The Reality: Gold has regained its throne. The world is not migrating from one fiduciary currency to another (as from Dollar to Yuan). The world is migrating from credit trust (fiat) for trust in physical guarantee (gold).

  • Why? Because Gold has no counterparty risk. It cannot be sanctioned, frozen or inflated by a decree in Washington.

If Gold is the new "reserve currency", it needs to be reprected to sustain trade and global debt.

  • Repeal Required: At $4,400/oz, gold is already high, but to replace the role of the dollar in global liquidity, macro analysts suggest that the price would need to be multiple times higher (some models point to $10,000 or $15,000/oz) to cover the monetary base.

  • The Floor: Forget about the idea of gold coming back for $2,000. The new floor is defined by the need for Central Banks to maintain their solvent reserves.

The chart shows that the transition has already happened behind the scenes. The retail market hasn't figured it out yet. My recommendation: You're not investing in gold to make a profit in dollars. You are. saving in gold because the dollar is no longer the world's reserve of value.

Keep accumulating. We're on the right side of financial history.


Game Turned: The Global Reset

This structural change will destroy the value of cash currencies of emerging and developed countries. Our members Premium They have access to my heritage protection strategy ("Wealth Shield") to survive and thrive during this monetary transition.

</span> <b data-index-in-node=Ensure your place in the elite market: "> CLICK HERE TO ACCESS THE PICTURE

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