Gold, yuan, and the end of dollar rule
“He who owns the gold makes the rules.” — Anonymous
A reader on Sunday’s post mentioned The Wizard of Oz. That single word—Oz—sent me back to an essay I wrote over two years ago called The Land of Ounces.
I went back and read it again, worried it might feel dated. It doesn’t. It feels like this morning’s headlines.
Here’s what’s happening right now: Trump is threatening Iran. And Iran has laid out a new deal. Want to pass through the Straits? That’ll be $2 million, paid in Yuan. How do you get Yuan? Easy. Take your dollars or euros, buy gold, ship it to China, sell it there. Now you have Yuan for oil and tolls.
The reserve isn’t dollars anymore. It’s gold. And when you buy that gold, you’re selling your dollars and euros. If you’re a dollar‑based hegemon, you can see why you’re so pissed.
And America seems a little pissed right about now. Don’t you think?
The essay below was written two years ago, but it’s about exactly this: ounces, gold, and the quiet end of a world order. If you missed it then, read it now: The Land of Oz.
“Outstanding, sophisticated, and mesmerizing…a spiritual intrigue similar to Dan Brown’s The Da Vinci Code.” —ForeWord Reviews