**** Great explanation on IQD exchange process****

[easyrider]

CONCEPT EXPLAINED:

First off, I’ll use the exchange of a 10,000 IQD note as my example. To help explain the economics of this cash-in example, I will use a 1:1 cash-in ratio between the USD and IQD, that is given a two-tier payout, and a 2% bank spread.

What You Will Receive:

If you were to cash in your 10,000 IQD note with a bank that charges you a 2% spread, you would personally receive a net take-home of $9,800 credited to your bank account.

What Your Bank Will Receive:

Your Bank will receive a $10,000 credit to its Federal Reserve Account. They will also be able to add the $200 profit to their “capital account”.

If you don’t understand the “Fractional Banking“ concept that runs our country, you may want to, as that is what this is based on, and is what is behind this entire concept and plan. To learn more about this concept, I suggest you click HERE (this link does not work), and go to a video post I brought to the forum previously, and posted in my “Tidbits“ section.

Ultimately, the bank wins because they are able to gain $2,000 in lending power under the 10% “Fractional Banking“ model.

What the US Treasury Will Receive:

First off, the US Treasury will receive $3,500 in estimated taxes in the quarter after the exchange, because you are now in the “rich” category and get to enjoy the 35% tax bracket. This lowers the “net cost” of the IQD exchange to the US financial system to $6,500 USD (i.e. $10,000 out – $3,500 in). Furthermore, the US Treasury’s rate is higher than the banking rate (we will use in this example 1.25), thereby further reducing their “net cost” from $6,500 to $4,000.

Oil Now Enters the Picture:

At some point, a Fed-appointed agent orders $12,500 worth of oil from Iraq. Payment will consist of a $12,500 transfer from the Fed’s foreign currency reserve IQD account to the IRAQ Oil payment account at the CBI in a form otherwise known as PetroDollars/PetroDinar. Even though the world spot price of oil is defined in terms of USD, the actual transaction may take place in any internationally recognized currency agreed to by the parties. For example, Iran only accepts Yen from Japan for their oil orders, because they don’t want USD in their foreign currency reserves.

How the CBI “RECAPTURES” the Money:

The $12,500 order is filled with 250 barrels of oil based on the spot price on the date of the sale (for this example we used a $50 USD spot price). What does it cost Iraq to produce the oil to fill this order? Well they have negotiated productions agreements for approximately $1.50 USD/barrel. From that price $.50 USD goes to the national Iraqi oil company who is the partner in the field the oil came from. Out of the remaining $1.00 the other oil field partners have to pay the Iraq government a profit tax of $.35 USD (35%). The net cost to Iraq to produce a barrel of oil used in this scenario is $.65 USD. (i.e. $1.50 – .50 – .35)

What does all that mean? It cost Iraq $162.50 to bring back a 10,000 IQD note! Can they afford that? I think so! So, instead of paying out $12,500 for a 10,000 IQD note, they only pay $162.50! That doesn’t add to the money supply much at all does it! They receive their IQD back and place it in the CBI, or destroy it.

The transaction is completed with the Federal Reserve exchanging foreign reserve credits which are equal to $12,500 USD (which had a net acquisition cost of $4,000 USD for the US) for 250 barrels of oil (which has a TOTAL COST to produce of $162.50 USD for Iraq.

More completely explained, and simply put, it cost Iraq $162.50 USD from their foreign currency reserve accounts to redeem the value of 10,000 IQD, which goes into their operating accounts. At the same time the US got $12,500 worth of oil for a net cost of $4,000. That’s how it was originally planned for Iraq to RV at 1 IQD = 1 USD, with the variable being the political element (i.e. UN Sanctions, GOI actions, IMF actions, World Bank actions etc.)

Other Factors that Strengthen Iraq’s Position and Ability to RV:

• DFI Funds Returned & Other Assets: $280+ Billion USD, plus other frozen assets (estimated at $100 billion) will be returned back to Iraq and added to their foreign currency reserve, bringing it up to $430+ billion USD.

• CBI IQD Reserve Requirement Adjustment: The CBI will change the current fractional IQD reserve requirements from 100% to 15% at the appropriate time. As a result, the the total potential money supply will be raised in value to $2.8 Trillion (430 billion/15), while at the same time, the total physical IQD in circulation will be reduced by removing the large bills with the 3 zeros over a period of 2 years, as they have indicated.

• Oil Production Increased: Iraq will also execute the plan they announced to increase oil production from 2+ million barrels/day to 10 million barrels/day with the resulting revenues flowing directly to the Iraq treasury.

• Oil Futures & Forex Contracts Added: To further stir the pot, the CBI will continue to use it’s sales window to market oil futures and forex contracts. They have shown they can generate significant cash flow in the private market. Think of their impact in public markets.

There, my friends, is how this plan will be enacted and made possible. Taking NOTHING, and turning it into SOMETHING, then bringing it back to a “manageable and reasonable something” that is accepted and supported by seeming endless supplies of oil. This is how the world’s ENTIRE NEW MONETARY SYSTEM will be regenerated and supported and backed, given, in essence, a re-birth and renewed for most governments and economic regions… even by “Black Gold”.

So, here’s the summary for all the “players” involved, giving ballpark numbers, and not taking into account superfluous costs, fees, and other small details that don’t really affect the larger picture:

• Investor’s Net Gain: $10,000 – $200 = $9,800 x .65 = 6,370 for an investment that cost $10

• Bank’s Net Gain: $200 added to “capital account”, plus $2,000 they can use to loan out.

• US Treasury Net Gain: $2,500 from the .25 spread on top + $3,500 in quarterly taxes = $6,000

• CBI/GOI/Iraqi People Net Gain: $12,500 – $162.50 = $12,337.50 + Profits from “Other Factors”

• Overall Net Gain for All Involved: $6,370+$200+$6,000+12,337.20 = $24,907.20

This is the wealth that was generated from a single 10,000 IQD note that was given an original value of approximately $10! Is that amazing or what?! You tell me… can Iraq afford NOT to RV?!!! Will the IMF allow them to NOT RV their currency, but simply replace their large denoms for smaller ones?!!! LOL!!!

In this scenario, EVERYONE WINS… and the IQD is slowly (over 2 years) taken back in to the CBI… eventually destroyed, leaving a manageable M2 behind, having created HUGE WEALTH throughout the world to re-supply what was allowed to be destroyed in the “great bleed” over a period of just a few weeks a couple of years ago, even the greatest redistribution of wealth the world has ever seen. Believe it or not, it has happened for this very purpose, and it IS coming!

[dinardarius]

[umbertino]

Re-run but thanks.

[Carrello]

Blonde Minx, I think I should give you four 10 dinar notes after reading this. My 35% won't be enough. to keep everything going.

[sheik]

Should you put the horse before the cart first?? We are stuck on page one and you are at page 954. Just my opinion.

Edited May 23, 2011 by sheik

[sillyseaserpent]

Now, if we can just keep O and his gang from getting their hands into our pockets even deeper.

[rnldtippitt]

The 20% spread is a lie. My bank has already told me it's a flat $15 fee for an exchange.

[mrsonnyr]

As I recall, this is an article from Roger on another site entitled "Making Sense of the Numbers"

I for one try to give credit to the author if I'm going to repost. Just sayin. Good to see it again though.

Thanks Easy

The 20% spread is a lie. My bank has already told me it's a flat $15 fee for an exchange.

Please look a little closer before calling someone out as a liar. He did NOT say the bank spread was 20 %

• Bank’s Net Gain: $200 added to “capital account”, plus $2,000 they can use to loan out (ie..fractional banking..see Federal Reserve publication Modern Money Mechanics)

• US Treasury Net Gain: $2,500 from the .25 spread on top + $3,500 in quarterly taxes = $6,000

The .25 he's referring to is the spread between what the US Treasury has/is negotiating for "their rate" vs. the rate you and I will be able to cash in at

We try to have a positive attitude on this site, differences of opinion can still be done with tact, being respectful. Everyone, I'm sure, would appreciate it. IMHO

[The Machine]

nice post cheers

[Darkness4al]

Thanks easy I have not seen this yet and it breaks it down very simple. Even a trained monkey could interpret it. RV HAVING FUN NOW???

[The Machine]

I think this post should be pinned, this question comes up far too often and this is a well written answer....... So any mods out there think this should be pinned too ??

GO RV

[kix]

where in the heck did you come up with that sounds like insider trading info to me hell i dont even think the feds have thought it out that far you must be on the inside to come up with that propoganda oh yea i forgot is this RUMOR OR OPINION SECTION show me dinar fax

[Metrious]

The 20% spread is a lie. My bank has already told me it's a flat $15 fee for an exchange.

It might also be pointed out that it depends on the bank. Some banks love to charge more fees and others charge almost none. So you have a great bank. Kudos. Here in Washington I have been told by a few banks that exchange foreign currency that it is a 3% fee for the exchange. They might have set rates for large quantities such as if the Dinar went 1:1 with the USD then you would possble millions they will lower the rate to get your business.

I like this article everytime I read it, but to be fully honest it does make some broad assumptions. Such as do we really have a deal with Iraq to exchange dinar for oil. But the method used by banks is interesting especially on fractional reserve issues.

[puff26]

"Believe it or not, it has happened for this very purpose, and it IS coming!\

Thanks Easy, I Believe it!!!!!!

[Inbedded HorseHead]

if Ali opens his offices he claims he will charge $150/1,000,000dinar for the exchange----at the CBI rate

[TFK]

where in the heck did you come up with that sounds like insider trading info to me hell i dont even think the feds have thought it out that far you must be on the inside to come up with that propoganda oh yea i forgot is this RUMOR OR OPINION SECTION show me dinar fax

Friend, you must be new at this. You have much studying to do.

Everything he has stated in this recap of world monetary systems is out there for you to research.

Yes, some of it is speculation, but done with what is obvious to the learned investor.

I suggest you get started and quit sticking your foot in your mouth.

By the way, this forum does have spell check. Why not try it.

[akahornet]

thanks for the post easy! this is the plus side of rv. i would like to see another view, if anyone can explain, the non rv side of thing. what if they just don't or never rv. as much as i want to rv. i would like to understand and weigh in the pros and cons of this speculative investment. i am still trying to learn and understand the reality of this investment. thanks!

[bummer]

Ok everyone I too am a newbie...could someone just make this very simple for me? If I have $100000.00 in dinar and I live in canada and the RV is 1 to 1 after taxes and spreads etc what does that mean for me? All the chatter and differences in opinions have me completely confused!!! A simple answer would be greatly appreciated.

[arycroft2000]

I would like to hope it is going to pan out this way.

If the OP is smart enough to put a plan like this together.....then you can bet your booty that the US Government and Capitalistic Overlords have certainly though of it.

I imagine it happening like this.

Great post and yes....this should be pinned/sticky'd so it doesn't get lost in the shuffle.

[fox]

Ok everyone I too am a newbie...could someone just make this very simple for me? If I have $100000.00 in dinar and I live in canada and the RV is 1 to 1 after taxes and spreads etc what does that mean for me? All the chatter and differences in opinions have me completely confused!!! A simple answer would be greatly appreciated.

What this means for you if it RVs : wherever you cash in will take either a percentage spread or a fee, then you will owe your government taxes. What is left is yours to keep. Shop around for the best deal. Adam has negotiated some deals for us, but we will not know the details until the RV happens. If you are in VIP you will save thousands of dollars.

[F-16Pilot]

Easy, great explanation. However, I have one question, why didn't the Fed buy up as much available dinar as they could and avoid paying all of us. Wouldn't that be the best way to maximize their profits instead of potentially making a bunch of millionaires out of us?

[AK47]

Thanks Easy, It might have been old news but I thoroughly enjoy great reasoning! Thanks for the post!

Easy, great explanation. However, I have one question, why didn't the Fed buy up as much available dinar as they could and avoid paying all of us. Wouldn't that be the best way to maximize their profits instead of potentially making a bunch of millionaires out of us?

Millionairs pays mucho taxes to them...any questions?

[Girll7]

The 20% spread is a lie. My bank has already told me it's a flat $15 fee for an exchange.

talk to your bank, they will more than likely hold onto your money for 15 days or more before issue.collecting interest on your money!!! theres no tooth fairy....

[F-16Pilot]

Thanks Easy, It might have been old news but I thoroughly enjoy great reasoning! Thanks for the post!

Millionairs pays mucho taxes to them...any questions?

Millionaires give them back 35% of the profit through taxes, but why not take 100% by not letting us get any? Maybe I'm missing something...

[goldengoose]

Greetings....

Excellent post "Easyrider!" and thanks for the explanation.

I am quite new to this site and have been reading copious amounts of posts where there seems to be a tremendous amount of negativeness. I am no expert, but one thing I do understand quite well is most if not all of us who have invested in this currency, have in the grand scheme of things risked very little for a chance to engage in a possible life changing event. I would hope individuals understand that any positive return on an investment is a good thing no matter how large or small the amount is, even if it means to break even and chalk it up to a life lesson.

It seems as though individuals are allowing themselves to get caught up in a frenzy when an individual posts certain information in an attempt to provide some insight surrounding the potential revaluation of the Dinar. I too enjoy dreaming and thinking of all the wonderment of "striking it rich" just as the next person, but lets all try to remain grounded and if this does come through like we all hope it will, then we shall all be blessed with a once in a lifetime opportunity due to the sacrifices of so many.

GG