Central bank: yesterday and today


The “Federal Reserve” is a story of insiders and outsiders, and the attempts of those in power to maintain and focus it.

The People and Events That Shaped The Federal Reserve’s Monetary System Today | Part i

This article will look at the creation of the Federal Reserve System, as well as the people and events that shaped the monetary system into what it is today. Before you begin, a simple question to answer is, “What is the Federal Reserve System?” The answer may surprise you because it is not federal and there are no reservations. Federal Reserve banks aren’t even banks. They are private institutions designed and charged with maintaining and controlling the monetary policy of the United States.

How did the Federal Reserve system come about? The answer to this requires going back in time. Jekyll Island in Georgia hosted a secret meeting of the elites and at this meeting the idea of ​​creating a Federal Reserve System was considered. The birth of a banking cartel was designed along with the strategy to convince Congress to hand over the power of the stock market to the Federal Reserve and convince the public that it was a government agency (when it was not not and still is not). Here is a look at some of the people who attended this meeting.

In 1910, Nelson Aldrich, Senator from Rhode Island, one of the most powerful men in the Senate and in Washington DC He was considered a spokesperson for big business and frequented Wall Street. He was a partner of JP Morgan and had large holdings in banking, manufacturing and utilities. His son-in-law was John D. Rockefeller, Jr. During this meeting, he spent time with a few other elites, including:

  • Abraham Piatt Andrew – Assistant Secretary of the Treasury of the United States
  • Frank A. Vanderlip – Chairman of the National City Bank of New York
  • Henry P. Davison – Senior Partner at JP Morgan
  • Charles D. Norton – Chairman of the First National Bank of JP Morgan in New York
  • Benjamin Strong – Director of JP Morgan’s Bankers Trust Company
  • Paul M. Warburg – Partner at Kuhn, Loeb & Company (representative of the Rothschild banking dynasty in France and England)

According to the book “The Creature From Jekyll Island” by G. Edward Griffin, “the mission of the meeting was to centralize wealth among the elites, as up to 25% of the world’s wealth resided in the members of the Jekyll elite. Island Club. In the United States, the two main foci of this control were the Morgan Group and the Rockefeller Group. Within each group there were a multitude of commercial banks, investment firms and corporate banks. acceptance.

The structure of this club was entirely a manual cartel. A cartel is a group of independent companies that coordinate production, pricing and marketing to their members. The purpose of a cartel is to stifle competition and increase profitability. Thus sharing a monopoly over their common interests, this cartel of bankers teamed up to ensure that their wealth, and subsequent power, could not be tested.

According to “The Creature From Jekyll Island,” “In 1910 the number of banks was growing rapidly and competition was increasing; therefore, the monopoly of the established cartel which was led by the Morgans, the Rothschilds and other prominent bankers was in jeopardy. In 1913, non-national banks accounted for 71% of the market and held 57% of deposits. It was a trend the cartel didn’t like and a reversal was needed. ”

Therefore, the cartel met to discuss plans to restore its grip on the monopoly it was losing and to address the challenges it faced.

They identified ways to:

  1. Stop the growing influence of rival small banks and ensure that control of the nation’s financial resources remains in the hands of the Jekyll Island Club.
  2. Make the money supply elastic in order to reverse the trend towards private capital formation and win back the credit market.
  3. Consolidate the reserves of the country’s banks into one large reserve so that all the major banks will follow suit.
  4. Put the blame on taxpayers if the financial system at some point collapses and transfers losses from bank owners to taxpayers.
  5. Find a way to convince Congress that it was in the best interest of the public.

At the time, the American public was skeptical of a cartel, knowing that for years these same conglomerates had sought to maintain their influence until the War of Independence. The group knew that using the literal words “cartel” and “bank” would make the public turn against them. Warburg, who had extensive knowledge and because of this, became a dominant force within this group, proposed the term “Federal Reserve System” and he then worked with Senator Aldrich to develop the Reserve Act. federal government of 1913.

This brief review of history shows the flaws in our current system. A country where we are no longer sovereign, our money is not sovereign and neither is our nation. We are subject to a cartel of bankers who have desires to use our money against us, and for surveillance purposes, to limit our speech and our access to information. The cartel exists only to secure their wealth, and all the while, taxpayers foot the bill to keep these bankers afloat. 1971 was the last nail in the coffin, giving the Federal Reserve the power to print money without adhering to the gold standard. There has never been an audit of the Federal Reserve and never will be.

In the aftermath of the 2008 stock market crash, taxpayers were blamed for the credit failures of major banks which were “too big to fail”. It set a precedent that now, whenever there is a financial calamity, it is the taxpayers and not the bankers who will foot the bill.

Subsequently, in 2008, Satoshi Nakamoto published the Bitcoin white paper. It was pushback against the cartel and they knew it.

The central banking system will push back those who hold bitcoin and they will put pressure on the politicians they control to make sure their power and wealth remain unscathed. We are pawns in their game; Bitcoin, however, gives us the strength to push back this establishment and gives us hope to endure what is to come. This financial institution will not hand over the keys to the castle in peace: we must remain strong in our principles and do what we must to ensure a future that embraces sovereignty not only of ourselves, but of our money and our nation.

Source

Griffin, GE (2010). “The Creature from Jekyll Island: A Second Look at the Federal Reserve” US Media.

This is a guest article by Shill Scale. The opinions expressed are entirely their own and do not necessarily reflect those of BTC, Inc. or Bitcoin Magazine.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

About Eleanor Blackburn

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