Max Keiser : HSBC is a Terrorist Organization

China and several other nations understand the value of issuing global reserve currency. That which was once good as gold was no longer so when the fixed exchange rate was removed. Any national currency which pegs to gold and does not fiddle with the fixed rate of exchange will be a global reserve currency. It matters not whether the gold is stored in vaults or on the fingers of citizens. Banks will be required to maintain gold reserves to redeem paper issued against it.

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