Insider Newsletter: Issue #301

China’s financial maneuvers, the rise of BRICS, and the power of patience in investing—what’s next for markets in this shifting global landscape? Buckle up.

Greetings, friends!

Subscriber Lacklan’s bolt hole in Patagonia.

Then we have this one from Andrew in Uganda.

And my PA Annet, who is in El Salvador ahead of our Mavericks meetup.

Before we kick this issue off, I felt the following was entirely appropriate given that it has been a crazy week.

As to the investment markets — keep in mind we are at the stage where assets move from public (government) to private.

Some of it will be outright fleeing, but the smart capital always leaves before the government begins stealing.

There are three legal investment strategies: You can be smarter than others. You can be luckier than others. Or you can be more patient than others. Know your edge and how hard it is to maintain. Morgan Housel

What If China Did This?

We touched on this subject in the last issue, but let’s explore some more. First out of the gate we have…

Tether to Develop UAE Dirham-Pegged Stablecoin

Tether, the largest company in the digital asset industry, announced today plans for the addition of a new stablecoin that is pegged to the United Arab Emirates Dirham (AED).

Set to be launched in collaboration with UAE’s multi-billion dollar tech conglomerate, Phoenix Group PLC, and with support from Green Acorn Investments Ltd, the Dirham-pegged token joins Tether’s slate of stablecoin products that include USDt, EURT, CNHT, MXNT, XAUT and aUSDT.

In true pioneering spirit, it will lead the way in seeking licensing under the UAE Central Bank’s recently announced Payment Token Services Regulation.

Then we have this:

BRICS Pay Blockchain System to Launch Next Month?

For all the talk, there has been a glaring missing link or piece of information. What exactly is the currency used?

There has been a lot of speculation. The gold bugs claim it’ll be gold and point to both Russia, China, and India’s central banks being major buyers of the shiny metal.

Others point to the commodity spectrum and reference previous comments made by Russia’s foreign affairs minister Lavrov.

Then recently a friend of mine, Matt Smith (the gent who does the excellent podcasts with

Doug Casey

— look them up), sent me something that immediately made perfect sense to me.

Before we get into it, the following is worth knowing. China has over $1 trillion in US treasuries.

Consider that Tether owns a relatively paltry $91 billion, up from bugger all a mere five years ago. Essentially, Tether has shown the way.

If you’re any country sanctioned by Western powers and cut out of the banking system, you’ve had a tough time over the last 80 odd years. Iran, for example.

Today, if you want to move capital in and out of any of Russia, Venezuela, or Iran, it is being done with USDT or USDC — so still using the dollar (as both USDT and USDC are backed by US treasuries).

What has changed is the underlying banking infrastructure. No more NY-based intermediary banks sitting in the middle of any transaction with the ability to shut down the transaction at will. So keep that in mind and then go watch the video below.

It is only 11 minutes long — longer than the attention span of most, but you’re part of Capitalist Exploits, so you’re not “most.”

What Happens Next Will Change Everything…

China’s financial strategy is evolving fast—but this is just the tip of the iceberg.

In the next section, we break down the hidden mechanics of how China can bypass the U.S. financial system entirely, what this means for global markets, and the one critical investment move to consider right now.