IMF has another trick up its sleeve when Fiat fails – Its own coin SDR | Shelter Crypto | Shelter Humanity | Charity Token Homeless | Charity Coin

 

 

 

 

While most people know what a dollar looks like, not many people are familiar with the SDR. Special Drawing Rights (IMF) are an international monetary reserve system that was created to alleviate limitations in gold and other fiat currencies like the USD. These instruments can be redeemed by central banks or their governments in the event of failure.

 

An Artificial Currency

 

SDR is not a currency according to IMF. However, it can be used to make a claim on freely-usable currencies of IMF member countries. SDR is the exclusive asset of the IMF and designated, official entities. The average person cannot obtain SDR. The Special Drawing Rights are a collection of global currencies. They are reviewed every five years. The SDR currently uses USD, EUR and CNY. Join Charity Token Homeless community

 

IMF has another trick up its sleeve when Fiat fails – Its own coin SDR

 

According to the system, liquidity can be provided in international finance to allow for liquid assets such as gold and other fiat currencies to fail. SDR could be used to centralize global trade networks rebuilding in the event of a worldwide, unprecedented economic collapse. The IMF issued SDR to its member countries in an unprecedented effort to stabilize the world economy after the 2008-09 global downturn.

 

 

 

 

 

IMF has another trick up its sleeve when Fiat fails – Its own coin SDR

 

In 2009, the SDR allocation was boosted by unprecedented 182.7 billion dollars in response to the global financial crisis. Source: IMF

 

SDR creation

 

The SDR system was established in 1969. It was initially equivalent to 0.888671 grams fine gold, which at that time was also equivalent to one U.S. Dollar,” imf.org states. The SDR system was created in 1969 and “was initially defined as equivalent to 0.888671 grams of fine gold–which, at the time, was also equivalent to one U.S. dollar.” This is due to the global abandonment of the gold standard, which led the world into floating exchange rates. SDR is an isolated system with its own economy and management. It has interest rates that are set weekly and allocations to members countries that are determined by IMF criteria.

 

Controversy and Control – Crypto

 

The International Monetary Fund, a financial superpower with a great deal of influence on global affairs, is well-known. Over the years, the group has been criticized for allegedly destabilizing local economies and agricultural systems, negatively impacting healthcare and overregulating competing currencies and monetary instruments like Bitcoin and crypto.

 

The group in 2018 discouraged the Marshall Islands to create their own cryptocurrency, which could challenge dollar hegemony. However, it was only months later that they advocated central bank-issued digital currency in other more powerful nations. The Marshall Islands seem to be continuing with their plan. However, they still advocate the SOV national currency to fight inflation. Standing up to an IMF-like surveillance and regulatory behemoth is difficult and will likely require serious compromises.