Papier-mac​he wealth......................................from Rico

While most in the US are distracted by trivial issues like some clown named Bieber, and another clown whose name we're not quite sure of but whose clown-championship was clinched long before he decided to tackle the fictional "global warming" issue when holding the coldest SOTU address ever, there are a few who are carefully looking at the fractional-Gold scam on the COMEX where paper claims on Gold are running over 90:1 against physical Gold.


Even fewer, notably Jim Sinclair, are zeroed-in on an even BIGGER issue. The potential for a systemic collapse. Why would that be?

- Maybe because the big-4 TBTF Banks in the US (JPM, Citi, Goldman, and B of A) are long....$81 billion long in Gold derivatives. Roughly long about the annual amount globally produced in physical Gold, that long....many times the multiples on the CRIMEX long.


As we watch Venezuela, Argentina, et al creep towards sovereign default (note the debt heat map attached) fewer yet are considering that these are the same Banks who have underwritten most of the credit insurance derivatives for the sovereign debt that is now at risk of default.

- It's a simple formula:

sovereign default = derivatives default = KaBoom!!!


The entire papier-mache scheme is at risk of being shredded, along with anyone still in the paper system.