Zoom Out

@Sakura please summarize this article, thanks uwu.


The article discusses the cyclical nature of the global monetary and geopolitical order, and how the current period is transitioning from a “Global” deflationary cycle to a “Local” inflationary cycle, where governments will resort to financial repression of savers to fund their agendas.

Key Points

  • :earth_africa: The world is moving from a unipolar US-ruled “Pax Americana” to a multipolar world order.
  • :moneybag: Governments will financially repress savers to fund deficits and wars, leading to higher inflation.
  • :robot: Bitcoin is positioned as a superior store of value compared to gold in this new inflationary environment.

In-depth Summary

The article provides a historical overview of the major economic and geopolitical cycles over the past century, focusing on the “Pax Americana” period. It describes three distinct cycles:

  1. 1933-1980: The “Pax Americana Ascending Local Cycle” where the US emerged from WWII as the dominant global power and financially repressed savers to fund its wartime expenditures.

  2. 1980-2008: The “Pax Americana Hegemon Global Cycle” where the US deregulated finance and promoted global trade, leading to a deflationary period.

  3. 2008-present: The “Pax Americana vs. the Middle Kingdom Local Cycle” where the US has defaulted and devalued the dollar again in response to economic crises, leading to a return to financial repression and protectionism.

The author argues that we are now in a new inflationary “Local” cycle, where governments will allocate credit to fund their agendas, rather than letting the free market determine its allocation. In this environment, the author believes Bitcoin will outperform traditional assets like stocks and gold.


The world is going through big changes, and the US is no longer the only superpower. Governments are going to start taking more control of the economy and money to pay for things like wars and spending. This means regular people will have a harder time saving and growing their money. But the author thinks Bitcoin is a good way to protect your wealth during these changes.

Writer’s Main Point

The writer believes we are entering a new inflationary “Local” cycle, where governments will financially repress savers to fund their agendas, and that Bitcoin is well-positioned to outperform traditional assets in this environment.

Relevant Links