What Bernie Madoff did was childs play, and will look like a ride at Disneyland compared to the US Government.
Bernie Maddoff sold investments to people, let say he sold one investment to you for $100, promising $110 next week.
Then Bernie sells me an investment for $115, promising me $125 next week. Bernie then pays you your $110, pockets $5 and waits for the next investor.
So after working for 10 years, I've paid $50,000 into this system. The US Government has used that $50,000 to pay off people that are currently retired and paid into the system earlier.
I don't understand the difference.
O wait here is the difference, they are the Government. Bernie Madoff got 150 years in prizon. The US Government just gets to print money.
The US Social Security system has 9.6 TRILLION in unfunded liabilities. UNFUNDED. U N F U N D E D. Note that this is the current government estimate, (which is probably low)
So where will they get this 9.6 trillion? They have two options. They will print it or they will default on it.
Bernie Madoff had the same problem, except he couldn't print money. His unfunded liability was only 18 billion, about 1/5000th the size of the US problem.
When the US defaults on its Social Security liabilities, Bernie Madoff should get a ride at Disneyland.
Dont believe me? Ask the government workers of Detroit, that paid into a government pension their entire career, and when it came time to collect, Detroit filed for bankruptcy.
Dont believe me? Ask the government workers of Detroit, that paid into a government pension their entire career, and when it came time to collect, Detroit filed for bankruptcy.
How does this relate to Bitcoin? They current currency system IS going to go down. Bitcoin, Gold, Silver and anything you can touch will be the only thing of value.
Wait? I can touch bitcoin? Yes! More on that next post!
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