FACING THE RUMOR REALITY

[MGRMGRMBR]

Finally....well said. I wish the pumpers could read-this would really be something they could learn from.

Finally....well said. I wish the pumpers could read-this would really be something they could learn from.

[coldwarvet]

While Legolas presents a good case based on (as Tiffany23 describes them) "the facts as we know them," the FACT remains that we don't know what we don't know. Relying on imprecisely translated Arab lnaguage articles, and a knowledge of what has previously transpired in international finance is, in my opinion, insufficent to come to any truly supportable conclusion.

The world economy is currently in uncharted territory, and relying on the old set of rules, which may change tomorrow, to guide decision making may not be enough. It is obvious to me that the international financiers are scrambling right now to try to right the ship, but it continues to list.

It is not beyond the realm of possibility that a straight RV of the IQD has been in the cards for some time. If so, it would be foolhardy in the extreme for the decision makers to provide incontrovertible proof of that, due to the significant dislocation to world currency markets that would result. So we can't truly say that the RV won't happen, just because we haven't heard about it yet, or because someone's balance sheeet analysis doesn't add up to them personally. International finance takes into account many more factors than just spreadsheet presentations. So let's take a broader view before we prepare ourselves to throw in the towel and declare this opportunity to be less than we originally thought.

[theadicts]

I reached this state of mind a couple or three weeks ago. It truly makes me sad considering I really bought into the idea of cashing in BIG. I haven't lost all hope but I begin to face reality as the OP put it so elegantly.

Here is to hoping for a straight up RV!

[BlueOrchid919]

Legolas, I have always found your posts to be good ones. This time you've outdone yourself! Kudos. A truly nice read.

I finally started seeing the light last fall when time after time, the 'gurus' would say the RV would happen once "fill in the blank" happened. I then started doing research myself and found the 'fill in the blank' statements were totally unsupported. Recent facts prove that: WTO accession done, DFI funds returned to Baghdad, DFI funds no longer protected, Paris Club payments done, HCL done, Erbil Agreements done, HCL revenue sharing to start this month, and so on. These were all things that any reasonably sensible person could refute easily if they were so inclined to take the time to do so.

Much as I too had pinned hopes of lottery level great riches, I will be happy to simply recover my investment. Time will tell how this all comes down. Thanks for a great eye opener.

Hope still springs eternal though.....

[KristiD]

Doesn’t it make FAR more sense that they would issue a newly designed currency, with a NEW value of $1-$3 or so, simultaneously requiring that the old currency be exchanged for the new at equal value for a specified period of time? Until collected, the old notes would retain the same value as the new (minus the zeros). This would effectively result in an increase in value for the Dinar of anywhere between 18-250% - which would be a HUGE increase by ANY investment standards, and far more than any currency normally increases. It would NOT be a lop……merely a redenomination with a concurrent revaluation.

Read more:

Do you really think Iraq can have two sets of currencies outstanding at the same time each with different values.? Because it can't. Old currency is exchanged for new currency over a period of time - during which time, both currencies are legal and valid. A country must have a uniform value for it's currency. If it didn't, it would be a disaster for not only their Iraqi citizens, but any foreigners who held IQD. Can you imagine your scenario with two different 100 IQD notes out there, one worth $100US (assume $1US to 1new IQD) and one worth $.10? That's insane. And if you're saying that the current 1,000IQD note will be worth $1US while the new 1IQD is also worth $1US, that also is insane. A currency is worth what it's worth, you can't have the same denomination of currency worth different values and you can't have the same value on two different denominations of currency. This is just fundamental finance.

Furthermore, remember that Iraq's currency used to be worth over $3US. They deliberately devalued it temporarily to aid in the rebuilding of their country. That meant that all the Iraqi citizens lost their wealth at that time (for ex, if they had 100,000IQD worth $300,000US prior to the devaluation, post devaluation it was woth $100). Iraq basically took away all their citizens' wealth with the promise that it would only be temporary and that they (the Iraqi government) would rebuild their country as a democracy and then return that wealth to the people. The Iraqi people have been waiting for this and they deserve it more than we do. They need to RV to reinstate that wealth. Just like they abruptly devalued their currency, they can and probably will suddenly revalue it to a higher value. They are not creating value out of thin air, they have the resources to support a value of $1 to $3 or more. And in order for them to trade on forex, they must have a currency in line with their neighboring countries. I don't see any other avenue available to Iraq but an RV. Of course, no one knows when that will happen and at what amount, but for sure we are closer now than ever before.

I can appreciate your position and feeling like you'd been hoodwinked, but the scenario you propose is not feasible. A country can't have 2 different sets of currency with the same denomination but different values (purchasing power) outstanding at the same time. FYI, Breitling has covered this several times recently so you can listen to him as well. The truth is, their are so many variables affecting this situation that nobody knows for sure what's going to happen. But realistically, I think an RV - even if it's low to start and creeps up over time - is coming -- and it's going to apply to all the IQD at the same rate.

[War Eagle]

Well,Legolas; Just simply hit your mouse and be gone--------------------------------------forever!!!!!!!!!!!!!!!!!!Hopefully

Edited July 17, 2011 by War Eagle

[natesmommy]

I've been lurking for months now, but joined just to say Legolas' post makes more sense than just about everything I've read in a long time.

(Of course, there will be those who tell him to go away because they don't want their bubble burst.)

Reality can be painful, but sometimes it's the best medicine.

[Darkcleaver]

"Almost inexplicably, people continuing to believe each new lie as it is artfully created."

"The more lies created, the more money made by the dealers."

"After all this time and all these lies, I sure hope we see at least a reasonable profit from our investment."

I get irritated when people try to make a point without properly utilizing the words they are conveying. I understand there is a lot of frustration floating around but using inflammatory rhetoric to "prove" your point...in my humble opinion you totally undermine your entire argument thereby.

Consider...

Lie Definition

Dictionary.com

lie

1    [lahy] Show IPA noun, verb, lied, ly·ing.

–noun

1.

a false statement made with deliberate intent to deceive; an intentional untruth; a falsehood. (emphasis mine)

"Meanwhile, we continue to wait and watch the copiers and pasters bring the never-ending supply of crap to the websites to convince the newbies to jump on the Dinar express."

More inflammatory rhetoric. Again, at best you're simply being rude. At worst you're relegating entire posts and threads to the dung heap with your sweeping generality (i.e., it's ALL crap!)

While it is POSSIBLE that some "gurus" and/or "pumpers" are in fact LYING, to claim that ALL gurus are doing so is at best (as I've mentioned above) inflammatory rhetoric. At worst you're guilty of the same "crap" you mention being brought here.

Look, you're obviously very intelligent. As many others have done so I applaud your logical, reasonable argument. But to cast heaping piles of disdain and to level false accusations on anybody posting in the RUMOR forum, nay on EVERYBODY posting in the rumor forum...for the past what, several years?

For shame, sir!

Take care.

p.s. Regarding your point (which you could have made without all of your inflammatory rhetoric), didn't Scooter provide exciting and meaningful evidence for the possibility of an RV?

[Legolas]

Do you really think Iraq can have two sets of currencies outstanding at the same time each with different values.? Because it can't. Old currency is exchanged for new currency over a period of time - during which time, both currencies are legal and valid. A country must have a uniform value for it's currency. If it didn't, it would be a disaster for not only their Iraqi citizens, but any foreigners who held IQD. Can you imagine your scenario with two different 100 IQD notes out there, one worth $100US (assume $1US to 1new IQD) and one worth $.10? That's insane. And if you're saying that the current 1,000IQD note will be worth $1US while the new 1IQD is also worth $1US, that also is insane. A currency is worth what it's worth, you can't have the same denomination of currency worth different values and you can't have the same value on two different denominations of currency. This is just fundamental finance.

Hi KristiD. If you re-read what I wrote, you'll find that I never said they would have two currencies with different values. I said they would have "the same" value, and the old notes would have to co-exist for a short period of time until all could be exchanged. It's actually very simple. The new notes would be substantially different from the old and would be easily recognized. With a new value, it would be obvious that the 3 zero notes were to be valued without the zeros. Wouldn't take a rocket scientist to understand the change. No one can be absolutely certain that this will be the case, but it makes perfect sense. Review the posts that I recommended above explaining the M2, GDP, and 27 Trillion Dinars currently in circulation and it might be easier to understand the concept. The numbers simply don't work with a straight RV.

[Dalite]

Well,Legolas; Just simply hit your mouse and be gone--------------------------------------forever!!!!!!!!!!!!!!!!!!Hopefully

FWIW, when I first joined DV, and was hanging on every rumor; treating them as the gospel, I crossed swords with Legolas from time to time.

I slowly started reading more news articles and less rumors. My view of the situation slowly changed, and I began to accept the stark reality of what Legolas posted.

I used to steam at that little raygun in his Avatar. I might have even thought what you just posted.

My views on the future of the Iraqi Dinar literally went from one end of the spectrum to the other, as the pieces started falling into place.

Legolas has taken the time to give years of insight, at a low point in the hype about imminent wealth. He could have just as easily posted Go RV!!! In response to the news from Shabibi concerning presenting the RD plan to parliament.

I would respectfully ask you to give some consideration to what he has posted.

[RRSport]

So funny to see all the sheep who refuse to entertain anything other than the childlike 'I'm going to be a multi millionaire overnight' scenario'.

Wanting something to happen doesn't make it happen.

We all hope for the best but only a fool would refuse to believe anything other than straight up RV.

[Chilliherb]

It is amazing that the sheep would rather listen to the "DR> FEELGOOD" posts from the pumpers than looking at the situation logically..... It may get to 3+ and I do hope it comes out at that, but at 86 cents will be a more than ample profit..... thanks for the post

Hey Hitman

how do you figure a profit at 86 cents if it RD's and then RV's the spread and exchange fees will out paid to a profit I would think, enlighten me

Cheers Chilli B)

[wicked93gs]

In point of fact...every country who every revalued had two versions of the same currency in circulation at one time...both with the same value...the only thing that changed was the number of zeros...in other words, all paper money is simply the illusion of value...after all, they could never do this with gold. Great post btw legolas....heres hoping you can open a few eyes with it.

[Legolas]

I get irritated when people try to make a point without properly utilizing the words they are conveying. I understand there is a lot of frustration floating around but using inflammatory rhetoric to "prove" your point...in my humble opinion you totally undermine your entire argument thereby.

Consider...

Lie Definition

Dictionary.com

lie

1    [lahy] Show IPA noun, verb, lied, ly·ing.

–noun

1.

a false statement made with deliberate intent to deceive; an intentional untruth; a falsehood. (emphasis mine)

More inflammatory rhetoric. Again, at best you're simply being rude. At worst you're relegating entire posts and threads to the dung heap with your sweeping generality (i.e., it's ALL crap!)

While it is POSSIBLE that some "gurus" and/or "pumpers" are in fact LYING, to claim that ALL gurus are doing so is at best (as I've mentioned above) inflammatory rhetoric. At worst you're guilty of the same "crap" you mention being brought here.

Look, you're obviously very intelligent. As many others have done so I applaud your logical, reasonable argument. But to cast heaping piles of disdain and to level false accusations on anybody posting in the RUMOR forum, nay on EVERYBODY posting in the rumor forum...for the past what, several years?

For shame, sir!

Take care.

p.s. Regarding your point (which you could have made without all of your inflammatory rhetoric), didn't Scooter provide exciting and meaningful evidence for the possibility of an RV?

DarkCleaver, speaking of inflammatory........how many people do you think don't understand the meaning of the word "lie" and how many on this forum do you believe haven't realized after all these years of false rumors that they are IN FACT lies? What would you call them? Mistakes? Coincidence? Maybe once....maybe even twice.....but HUNDREDS or even THOUSANDS of times? Come on, let's be real. Show me one RV-claiming rumor posted over the last 5 years which has been "truth." If they're not truth, then what are they? The word lie in this instance is not inflammatory....it's factual and totally descriptive. I never said that EVERY post in the rumor section is a lie. Most of my own are there. The difference should be brutally obvious.

Further, I never said that ALL of the "gurus" are liars. I think by now, everyone who has been around for a while knows who the liars are, and I felt no need to call them out by name. There are a very few of the so-called gurus who have an amazing knowledge of Iraqi history, government and finance. Many of us here simply have a different opinion than they do of the eventual outcome. Not too awfully long ago, I agreed with much of what they said. More recently, based on statements from Shabibi and the reps of the CBI and Parliament, I no longer have the same opinion. It's that simple, and I've explained my position thoroughly. Many others have agreed, and expanded on my explanations making them even easier to comprehend. You're entitled to disagree, but calling my use of the word "lie" inflammatory is a HUGE reach at this point. Clearly you misinterpreted my post.

[noob57]

As articulate as you stated your opinion I cannot agree with your entire view.

My reasoning may seem simple, but I cannot look past it as others seem to do.

Our government spent billions of dollars in a war, and what did they gain?

A LOP, or LOP RV is not profitable for the US, the country that still occupies IRAQ.

I have heard over and over that the US was fighting this war for Oil not WMDs or because of terrorism. Now all of the sudden we fought it to bring Democracy to the Middle East. What profit is it for one nation to conquer another nation and take nothing as a spoil of war?

Logically, I cannot fathom a LOP or for that matter a War that was won decisively and to the Victor massive debt and forgiveness of debt to the conquered. You can bet that The US will profit from this war in some fashion. The only way that seems feasible at this time is an RV of the currency. It is my opinion that all Dinar holders are in fact in on this bet.

[Chilliherb]

Hi KristiD. If you re-read what I wrote, you'll find that I never said they would have two currencies with different values. I said they would have "the same" value, and the old notes would have to co-exist for a short period of time until all could be exchanged. It's actually very simple. The new notes would be substantially different from the old and would be easily recognized. With a new value, it would be obvious that the 3 zero notes were to be valued without the zeros. Wouldn't take a rocket scientist to understand the change. No one can be absolutely certain that this will be the case, but it makes perfect sense. Review the posts that I recommended above explaining the M2, GDP, and 27 Trillion Dinars currently in circulation and it might be easier to understand the concept. The numbers simply don't work with a straight RV.

G'day Legolas & KristiD

You say the numbers do not work for a straight RV, please consider this the 27 Trillion that for the moment we will say is out there mostly in the hands of Large Goverment's. KristiD brings a excellent point in regard to what the Iraqi people were told in relation to the devaluation and they took it on the chin and wow what an attitude most of us would have strung the deliverer's of that news up by their jewels and then hammered the nails into them in the form of a upside down crucifix after they had stretched for a while. You need to address her point.

My two cents worth(wish I could find the emoticon for that ) is the 27 trill is not Dinar that will be cashed in as we the estimated 3-7% (tops) investors will do and then some of us will hold out for a building rate of the Dinar.

I believe the Dinar that is held by the outside Governments will have agreements in place to only use the held Dinar as Petro Dinar for exchange and payment for Oil orders out of Iraq. This give Iraq the profit at the revalued rate and the ability to return the wealth to the iraqi people at the same time.

This has a whole lot more to it in terms of the US arrangements which have to be considered in regard to recouping teh war debt but this is a alternative to your scenario Legolas. Not withstanding this if Iraq does screw over the US gov't and it pans out to your scenario which is certainly still possible. I would be expecting Iraq to be in a mess within the first five years as the US will wipe them like a dirty rag.

Cheers Chill B)

Edited July 17, 2011 by Chilliherb

[Legolas]

As articulate as you stated your opinion I cannot agree with your entire view.

My reasoning may seem simple, but I cannot look past it as others seem to do.

Our government spent billions of dollars in a war, and what did they gain?

A LOP, or LOP RV is not profitable for the US, the country that still occupies IRAQ.

I have heard over and over that the US was fighting this war for Oil not WMDs or because of terrorism. Now all of the sudden we fought it to bring Democracy to the Middle East. What profit is it for one nation to conquer another nation and take nothing as a spoil of war?

Logically, I cannot fathom a LOP or for that matter a War that was won decisively and to the Victor massive debt and forgiveness of debt to the conquered. You can bet that The US will profit from this war in some fashion. The only way that seems feasible at this time is an RV of the currency. It is my opinion that all Dinar holders are in fact in on this bet.

That's an interesting point of view noob, but honestly, I can't recall a war involving the U.S. which was fought for "profit" or spoils. Perhaps I've forgotten one. All of those which I DO recall were extremely costly, both in terms of Dollars AND lives. In addition, massive debt was often forgiven. The claims of the Iraq wars being fought for oil were made by conspiracy theorists, not by our government. I think it's highly unlikely that we would have attempted to steal their oil. The nature of Middle East politics would have made that a foolish move, even in the brilliant mind of GWB. (cough) I think those of us who have presented the theory in my post have repeatedly indicated that what we are describing is NOT a "lop" but rather a re-denomination with a simultaneous RV. There is a big difference. Once again, I would suggest that you read all of the posts I've recommended in this and other threads, as well as those by Keepm, and you might begin to see that there is a very logical alternative to the straight RV we're all hoping for.

[Darkcleaver]

You're entitled to disagree, but calling my use of the word "lie" inflammatory is a HUGE reach at this point. Clearly you misinterpreted my post.

Your post seemed clear: you were drawing parallels between the "gurus" and their lies, whose sole purpose was to increase dinar sales to line their own pockets.

I just don't see how you can draw such a conclusion when to do so means every single person who has claimed an RV date and was wrong, did it on purpose knowing it was NOT in fact an RV date.

Color me naive if you like, but I cannot accept such a conclusion. Yes, even when they've done it hundreds of times over the past several years. It seems much more likely to me that they are simply people with various sources of "intel" who are very enthusiastic about this investment.

I mean really? What sounds more logical or reasonable to you? And again, the very fact that you're making such an egregious claim completely (to me at least) undermines your entire argument.

On an aside I agree with the poster who said this thread would be much more appropriate in an "opinion" forum.

If you are somehow simply trying to use the word "lie" to mean any claim of an RV date that didn't come to pass, well then I point you back to the definition of the word. It's not simply the opposite of truth. I don't know. Maybe I'm just arguing semantics but I'm sure you see where I'm coming from. The definition of the word "lie" contains more than just a false statement. It implies duplicity. It implies deliberation. It implies knowing the truth then misrepresenting it.

None of which I think apply to the overzealous gurus who have repeatedly for the past several years given us "intel" that the dinar will RV in the next few days.

Tossing in the never ending supply of crap comment didn't help in my interpretation of your intent, I will not deny.

Take care.

p.s. Mixing fact and opinion doesn't help either (i.e., the facts you presented versus your obvious opinionated comments re: liars and crap - heh - love ya' Legolas!)

[Legolas]

G'day Legolas & KristiD

You say the numbers do not work for a straight RV, please consider this the 27 Trillion that for the moment we will say is out there mostly in the hands of Large Goverment's. KristiD brings a excellent point in regard to what the Iraqi people were told in relation to the devaluation and they took it on the chin and wow what an attitude most of us would have strung the deliverer's of that news up by their jewels and then hammered the nails into them in the form of a upside down crucifix after they had stretched for a while. You need to address her point.

My two cents worth(wish I could find the emoticon for that ) is the 27 trill is not Dinar that will be cashed in as we the estimated 3-7% (tops) investors will do and then some of us will hold out for a building rate of the Dinar.

I believe the Dinar that is held by the outside Governments will have agreements in place to only use the held Dinar as Petro Dinar for exchange and payment for Oil orders out of Iraq. This give Iraq the profit at the revalued rate and the ability to return the wealth to the iraqi people at the same time.

This has a whole lot more to it in terms of the US arrangements which have to be considered in regard to recouping teh war debt but this is a alternative to your scenario Legolas. Not withstanding this if Iraq does screw over the US gov't and it pans out to your scenario which is certainly still possible. I would be expecting Iraq to be in a mess within the first five years as the US will wipe them like a dirty rag.

Cheers Chill B)

Hi Chill. First, I've personally seen no tenable evidence of large governments holding huge quantities of the IQD. The claims I've seen have been in the forums, not in reliable evidence. There could be, but it doesn't make a lot of sense given the reports we HAVE seen. Next, I would doubt very much that many of us would hold on to many Dinars IF an RV were to occur. I suspect that most of us wouldn't be able to get rid of them fast enough.

Unless a major change in OPEC policy would occur, oil is only traded in U.S. Dollars - everywhere in the world. It's petro DOLLARS, not petro Dinars. That could conceivably change given the state of the world economy, but it seems unlikely for now.

Finally, you have to remember that the Saddam Dinar was artificially valued. It didn't actually have any REAL value. Further, the Iraqi people weren't internally damaged by the devaluation. Remember that "pricing" of all products would have changed at the same time, just as it would be were our RV or RD/RV to occur. The numbers are all relative. I'm not sure how you see Iraq as "screwing over" the U.S. Govt. given the fact that we have no proof that the RV has been "promised" to anyone. I don't believe that the U.S. can afford to "wipe them like a dirty rag" given the Trillion Dollars and 4,500 lives which have been expended there. There are many more issues involved than our RV. But this is only my opinion.

[Legolas]

Your post seemed clear: you were drawing parallels between the "gurus" and their lies, whose sole purpose was to increase dinar sales to line their own pockets.

I just don't see how you can draw such a conclusion when to do so means every single person who has claimed an RV date and was wrong, did it on purpose knowing it was NOT in fact an RV date.

Color me naive if you like, but I cannot accept such a conclusion. Yes, even when they've done it hundreds of times over the past several years. It seems much more likely to me that they are simply people with various sources of "intel" who are very enthusiastic about this investment.

I mean really? What sounds more logical or reasonable to you? And again, the very fact that you're making such an egregious claim completely (to me at least) undermines your entire argument.

On an aside I agree with the poster who said this thread would be much more appropriate in an "opinion" forum.

If you are somehow simply trying to use the word "lie" to mean any claim of an RV date that didn't come to pass, well then I point you back to the definition of the word. It's not simply the opposite of truth. I don't know. Maybe I'm just arguing semantics but I'm sure you see where I'm coming from. The definition of the word "lie" contains more than just a false statement. It implies duplicity. It implies deliberation. It implies knowing the truth then misrepresenting it.

None of which I think apply to the overzealous gurus who have repeatedly for the past several years given us "intel" that the dinar will RV in the next few days.

Tossing in the never ending supply of crap comment didn't help in my interpretation of your intent, I will not deny.

Take care.

p.s. Mixing fact and opinion doesn't help either (i.e., the facts you presented versus your obvious opinionated comments re: liars and crap - heh - love ya' Legolas!)

We're going to have to agree to disagree, Dark. You insist on misinterpreting my post and putting words in my mouth. I never used the words "every single POST." I said every RUMOR - meaning those claiming the RV was imminent or had occurred, etc., etc. Further, I never used the word "guru" and never said "every single person." I specifically referred to the "pumpers/liars" and those who have made the same claims MANY times. I feel pretty certain that nearly everyone knows the many individuals being referenced without the necessity of identifying them by name. I even used the words HUNDREDS and THOUSANDS. If you wish to believe that these individuals are innocent victims of enthusiasm, so be it. I personally strongly disagree, and consider it to be the epitome of naivete. I believe a majority of rational people would concur.

[Chilliherb]

Hey Legolas

One, if Gov't are not holding reserves then your argument goes out the window re the 27 Trillion in circulation, because there is proof that the Global investment by mum and dad investor only hold 3-7%

Two, the US took as security at least the equivalent Dinar to 400 Billion USD when they gave Iraq USD to begin the rebuild Not sure how much that comes to but I think it might be a bit.

Three Kuwait chose to take Dinar as Compensation payment NOT USD and conditioned the lifting of the Chapter seven which I understand they have to sign off on knowing what the revalued Iraqi currency will be when Iraq does enter the global trading arena.

Four if the war debt is not paid back and I refer to the coalitions loses in men Americans, Australians, British , Germans, Dutch, Japanese ect ect do you really think we are going to go back and do it all again when some tin pot dictator decided to screw the pooch again. I do not think so.

Like I said there is a alternate to your argument it just depends on if Iraq has the balls to defy the parents of democracy, I personally think they will get a spanking.

Cheers Chilli B)

[Sawmill]

I have also repeated over and over that I have never totally bought into the overnight millionair hype. The only possible way it could be more than that is that if there really exist a "plan" that took the old currency out, replaced it with nearly worthless paper, with the eventual plan to "revalue" it and thereby create a windfall for those fortunate enough to participate. If this is a plan, there are definite problems with it. Much time has passed, and the players have changed. Lots of dinar was printed and circulated. Its also possible that too many "investors" got in, making the potential distribution spread over more investors. Does the plan exist? I don't know. Legolas may likely be exactly correct. I still hold on to the really thin chance, and frankly getting thinner every day, that a plan may indeed exist. Been careful from the start not to spend more than I could afford, and after 3 or 4 months, I quit getting excited everytime a guru laid out another "rumor". Pumping has lost its original fizz. All that said, here's to hoping and praying for a quick conclusion to this investment! As a side note, until I became a DV member, I had never posted on any forum. They always intimidated me. Thanks DV members, for your patience with this ole Kansas boy. Your a great bunch!

[Ok-Valentine]

theadicts

Posted Today, 04:43 PM

I reached this state of mind a couple or three weeks ago. It truly makes me sad considering I really bought into the idea of cashing in BIG. I haven't lost all hope but I begin to face reality as the OP put it so elegantly.

Here is to hoping for a straight up RV!

--------------------

Now I see why you are still here - I too find myself questioning all kinds of

things to do with the RV - I am still hopeful it will be a great return on this

investment - I can understand your frustration and anger at the (it's done)

rumors every week - I am going to hang in there -JUST IN CASE

[kliklok00]

Doesn’t it make FAR more sense that they would issue a newly designed currency, with a NEW value of $1-$3 or so, simultaneously requiring that the old currency be exchanged for the new at equal value for a specified period of time? Until collected, the old notes would retain the same value as the new (minus the zeros). This would effectively result in an increase in value for the Dinar of anywhere between 18-250% - which would be a HUGE increase by ANY investment standards, and far more than any currency normally increases. It would NOT be a lop……merely a redenomination with a concurrent revaluation.

Read more:

Do you really think Iraq can have two sets of currencies outstanding at the same time each with different values.? Because it can't. Old currency is exchanged for new currency over a period of time - during which time, both currencies are legal and valid. A country must have a uniform value for it's currency. If it didn't, it would be a disaster for not only their Iraqi citizens, but any foreigners who held IQD. Can you imagine your scenario with two different 100 IQD notes out there, one worth $100US (assume $1US to 1new IQD) and one worth $.10? That's insane. And if you're saying that the current 1,000IQD note will be worth $1US while the new 1IQD is also worth $1US, that also is insane. A currency is worth what it's worth, you can't have the same denomination of currency worth different values and you can't have the same value on two different denominations of currency. This is just fundamental finance.

Furthermore, remember that Iraq's currency used to be worth over $3US. They deliberately devalued it temporarily to aid in the rebuilding of their country. That meant that all the Iraqi citizens lost their wealth at that time (for ex, if they had 100,000IQD worth $300,000US prior to the devaluation, post devaluation it was woth $100). Iraq basically took away all their citizens' wealth with the promise that it would only be temporary and that they (the Iraqi government) would rebuild their country as a democracy and then return that wealth to the people. The Iraqi people have been waiting for this and they deserve it more than we do. They need to RV to reinstate that wealth. Just like they abruptly devalued their currency, they can and probably will suddenly revalue it to a higher value. They are not creating value out of thin air, they have the resources to support a value of $1 to $3 or more. And in order for them to trade on forex, they must have a currency in line with their neighboring countries. I don't see any other avenue available to Iraq but an RV. Of course, no one knows when that will happen and at what amount, but for sure we are closer now than ever before.

I can appreciate your position and feeling like you'd been hoodwinked, but the scenario you propose is not feasible. A country can't have 2 different sets of currency with the same denomination but different values (purchasing power) outstanding at the same time. FYI, Breitling has covered this several times recently so you can listen to him as well. The truth is, their are so many variables affecting this situation that nobody knows for sure what's going to happen. But realistically, I think an RV - even if it's low to start and creeps up over time - is coming -- and it's going to apply to all the IQD at the same rate.

Hey Kristi...thanks for the post. While Legolas' post seems logical at first glance, you bring up two very important points and I am thankful you did so. This ride has been incredible---when you are "up", you tend to believe you don't have enough Dinar and it is going to RV in ten minutes! When you are "down" you kick yourself for buying any Dinar and for believing all the hype (and thus are ready to bail out). I am in agreement with Breitling (and you)...thus, I am confident I made a wise investment. Thanks again for your post.

[theadicts]

It is none of my business who else is buying dinar still but I think Legolas proves in his post that you should definitely think twice, maybe three times before hitting the buy button.

I myself, cannot imagine buying anymore at this point.

I hope were all rich after this is said and done.