The Collapse of Cryptocurrency Will Trigger The 2026 Great Recession.
And the subsequent rise from the ashes of the original ecash protocol will boost economic productivity to such an extent it will rescue the economy soon after - millions of homeowners will be saved.
I'm going to tell you about:
- why the 2026 recession will happen
- how crypto collapse will trigger it
- how to plan for it and protect your household
So do not be scared. This is a repeat cycle and you have every opportunity to prepare for it enough to ride it out with ease. It's simply a matter of your attitude toward it: cast off your prejudices on what you've learned from social media for ten years, for long enough to develop a winning plan to protect your family. This is your household we're talking about, not a gamble.
This is how the recession will play out:
A significant global financial credit event will take place - cryptocurrency crashing fast toward zero
Cryptocurrency collapse will be the financial trigger for the next Great Recession in 2026. Recessions have the same root cause every time. But are triggered into unstoppable panic by something proximate and less relevant. This one will be triggered by crypto finally heading fast to zero. Each time once the horse has bolted a different scape goat will be found by governments to blame. Root cause will always be covered up. And a generation later - long enough for the whole world to have forgotten why the last one happened, there will be another recession, just like the last one for identical reasons. In our modern globalised world, government across the world will harmonise around this. I'm not a fan of globalism. I am just pointing at it for the fecund householder to account for.
Why will these fake Bitcoin cryptocurrencies trigger the recession? Wealth and power are balls deep in crypto. They're also very close also to government power and financial market leadership. These characters are already staking their crypto bags on big loans for goodies. As the economic rents eat relentlessly into the profits from earned incomes, undermining the economy, crypto, having even less intrinsic value than anything else will be hit first because of its notoriety. So even though it's total market size is less than a $trillion, it is highly visible. Everyone will see it collapsing and it will make spectacular press even in the world of fake news we call the media today. The media are no longer smart enough or quick enough to catch it happening and adapt. Being driven fully by ad revenue, they will be awaiting guidance from a slowly responding ad market. By the time they realise they need to act, crypto will have crashed within a day or so and be heading fast toward zero, so they wont have time to rescue their paymasters in wealth and power. No one will be able to access the exchanges to withdraw, even the powerful, because the exchanges will already be front running whatever little is left and running for Panama. They're not nice people and neither are they stupid. If they don't get out quickly they are soon going to jail in the most horrible way. Along with their family's just as did Bernie Madoff and his when he was used as a scape goat in 2008 to cover up for the homeowners of all nations.
Positive feedback effects multiply its scale into financial markets and pension funds, overwhelming governments ability to respond
We're forecasting a recession in around 2026, derived from mortgage defaults nominally. And at the root because locations are privatised and your hard work and enterprise are heavily taxed. Another great recession is inevitable because this dual and latent fiscal policy which all party's silently follow like the Bible means every economy around the world is fully unsustainable from the beginning through reckless taxation and property rights. Currently, no party, ideology, religion or cult have a policy where this is not latent and blatant. So there's no escaping it. It will happen. Do not get scared about it. Do not add it to your total fear. Adapt your attitude toward it without prejudice for what it actually is. And start planning to ride the storm as every fecund householder would do.
There's now a roller coaster of bad publicity in play which finally the general public and government understand is a big deal. What is more is the banks and politicians, heavily vested in a worthless crypto will start calling it all in, some being under water, others starting to panic.
Government, their advisors and professors will not have seen it coming because they have a disastrously limited view of economics. So will respond blindly with no hope of rescuing it on their own.
And it is now when all people and institutions will see for the first time in a generation, the entire economy of every nation, left and right, rich and poor, Trump or never Trump, BLM or KKK, totalitarian or anti Vax - the entire great masse of people, will see the whole thing has from day one been built on a house of cards. Just like last time when the president rolled out Bernanke and Paulson to start the homeowner bailouts in 2008.
And the bank runs will commence uncontrolled and with no accounting for fairness, colour, gender, equality - it will be a free for all where the true 'colour' of the people will be temporarily restored. All race will for the first time in ages be transparent and of the exact same shade. Because we have finally returned to the real world and crossed the threshold into the forbidden zone. The whole world will be united in being deadly serious about saving their households in a free for all, just long enough to cast off whatever was creating our image of the world for the past 20 years. It will be like Jesus has just cured the 'blind' or 'fed the 3000'. No! It will be just like he has 'raised the dead'.
Government will attempt to bail it all out very much later, after it's way too late, after they have notified and front run whomever they prefer to get in first, and all of this corruption will simply intensify the crash, yet further, anyway.
This is traditionally also known as a wholesale run on the banks, or a 'great recession'. It cannot be compared to the silly little recessions we hear about daily when there have been 2 quarters of no growth.
- Negative externalities will flow freely from this into households. Because the banks' major assets - mortgages and their derivatives(MBS, CDO, swaps & CDS etc) - are already technically under water, mostly being mortgage derivatives, and have been heading that way already for over a year
- Homeowners will begin to default by the million per nation. Banks will begin to default, not just the small ones
- Insurers of banks and financial market companies will default too unable to pay out on the derivatives they've been insuring, further intensifying the already wildly out of control positive feedbacks above
I'm sorry to point out all this apparent bad news. And if you have the right attitude you will pay attention and get your household and business very well prepared for it. This is the Good News if you can pay attention - you will be in control and super confident, your family safe for the foreseeable future. But carry on using social media to plan your budget and you're in the lap of the Gods, an ultra negative and dangerous approach.
There will be several years before the economy of the world recovers again
Historically, recovery is always boosted by a combination of falling rents and new found productivity from new technology. I'm forecasting this new tech will be the original ecash protocol known today as Bitcoin. Don't get this wrong: cryptocurrency today is masquerading as Bitcoin in name only but its not the original protocol. Its a completely different financial security use in finance, a gamble only useful for those good at getting others to pay a higher price for it than they did.
Following the collapse, ecash as a staggering labour saving device will boost the productive economy enough to make it possible for homeowners and business to recommence paying the rents. There will be other tech advances such as AI but this will be a small but useful bonus in comparison. Bitcoin proper(ecash) will help the recovery from there as a labour saving device par excellence.
All crypto price will be close to zero since the crypto collapse and will begin to follow the market as a commodity from there finding its own level. Much like the dollar does today. Price will no longer be the goal of Bitcoin. It's use as ecash for small payments will open up something longed for by the 7 billion for decades - a way to very cheaply pay another trader directly without a bank who are compelled to charge a high transaction fee due to the limited nature of the 40 year old tech. Banks will remain in business to deal with larger savings so this will not harm them except to shift their inefficiency onto a more productive system. Of course they will resist furiously, they already are by undermining ecash and promoting the fake Bitcoin.
Real estate will recover as a result of the increased productivity from ecash and continue it's never ending upward march just as it did rather last time, signalling the start of the next cycle is over and boom times are soon coming back.
Others are talking about AI doing the same thing. It will help but its just the latest fashion and is relatively unimportant. The same is true for CBDCs which even if adopted will eventually be a side chain of ecash, which will already be covering the vast majority of transactions. Anyone who fears CBDCs should be avoided, they're not even going to be important. And a micropayments system for small payments of say £0-30 will be an enormous boost for the whole economy. No longer needing a payments processor(bank) in the middle, thus making it ultra cheap per transaction. Meaning the door opens to make bigtech and your loss of identity in exchange for free apps will be a thing of the past.
Why am I telling you this?
Its a tool you can use with all the others in the upcoming times to be way ahead of the rest.
You and your household can be made safe. But you must change your attitude toward the actuality of the world, which is nothing like social media tells you.
Billy Ocean used to sing "when the going gets tough, the rough get going". Do not listen to idiots. When the going gets tough, the tough will already be very much ready for it. They do not wait until its upon them.