Popular Post RichNick123 Posted June 23, 2011 Popular Post Report Share Posted June 23, 2011 KeepM, This is a serious question based on research I have done and I would love your input. Here goes; I agree totally that Iraq CANNOT RD with 24-27 trillion Dinar in the M0 float. I believe there are a couple of variables I have been really looking at. 1. Under Sharia banking the value of the Dinar must be backed by something of intrinsic value; gold, silver, oil, property etc. 2. Iraq has only 20 billion of actual value in the paper Dinar that is, or has been, in circulation. 25 trillion X .00089 = 22,250,000,000. 3. That amount of actual Dinar value is way below surrounding countries. A. Kuwait is valued at 3.60 per Dinar but only has 18.12 billion in paper Dinar. This equals 65 billion USD. B. Saudi Arabia has a low value but has 166.9 billion in currency equal to 46 billion USD. C. UAE is worth only .13 USD and they have 68.76 billion in currency worth 9 billion dollars; they also only have a population of 5 million where Iraq has 30 million. Now this is where it gets interesting, two key points so please stick with me! suppose due to the release of the DFI fund, on the 30th, Iraq then backs the dinar with a large enough amount to raise the value? Say they add an additional 80 billion dollars, which they now have, and you would then divide the 25 trillion into 100 billion to get a new valuation; 100 billion divided by 25 trillion equals .004 or 4 thousand per million. Iraq cannot continue to function on only 20 billion total value of cash in their M0 for a country of 30 million. NOW COMES THE EXCITING PART!! Did you know that the paper currency that the Dinar is printed on has a finite shelf life? Are you aware that a bill printed in 2003-2004 cannot last forever? Is anyone here aware of the lifespan of US currency? If not let me help you a little, these are from the US treasury itself so I think they can be trusted? 1. A 1.00 bill lasts only 21 months 2. A 5.00 bill lasts only 16 months 3. 10.00 bill 18 months 4. 20.00 bill 24 months 5. 50.00 bill 55 months 6. 100.00 bill 89 months Now can any reasonable person think that the bills in circulation in Iraq, with no heat and air condition, constantly trading hands in harsh elements and environment, can last over 7 years?.. There has got to be substantial destruction of many of those notes in country and the middle east. I know our uncirculated bills are in pristine condition but what about the Iraqi carrying them in his waistband in 110 degree heat and exchanging them daily in the market place? If only half are no longer viable bills, destroyed, lost, no longer usable then the valuation is a guess that nobody can come up with except those inside the CBI!! Just sayin I don't believe that 25 trillion number worth squat. Comments please! 33 3 Link to comment Share on other sites More sharing options...
Dinarius Rucker Posted June 23, 2011 Report Share Posted June 23, 2011 How can that post deserve a NEG 1? 2 Link to comment Share on other sites More sharing options...
Popular Post sonny1 Posted June 23, 2011 Popular Post Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post 25 Link to comment Share on other sites More sharing options...
Psych Posted June 23, 2011 Report Share Posted June 23, 2011 Richnick, Wow....you are certainly one of the most intelligent guys here in the room. I had to read it 5 times before I got even the general jist of it (reminds me of college). If I follow you correctly (big if), then you are stating that Iraq is struggling to have enough physical notes with value to do business...i.e., make day to day purchases...etc? There are too many people and not enough notes with value??? Which means the notes need value pumped into them or else day to day transactions are impossible??? And that more notes with this extra value are required? Your point about the shelf life of the physical IQD is something I had not considered before. Great and well thought out post. Plus 1! 3 1 Link to comment Share on other sites More sharing options...
speculatorsRIDE Posted June 23, 2011 Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post 15 trillion huh? I wasn't far off. I estimated they had 9 trillion in circ. Your figure would leave 12 trillion. I agree we are in the final days as well. 1 Link to comment Share on other sites More sharing options...
tommy17 Posted June 23, 2011 Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post Thanks for the heads up . Link to comment Share on other sites More sharing options...
foghorn leghorn Posted June 23, 2011 Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post I like your post...thx sonny1 Link to comment Share on other sites More sharing options...
hiloeven Posted June 23, 2011 Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post Sonny--great to see you back and even greater to see you sticking to your time estimate for the RV. I could care less about the rate if we're home in 2 weeks. Link to comment Share on other sites More sharing options...
bamagirl Posted June 23, 2011 Report Share Posted June 23, 2011 Ooh, I like the way you think!!! Link to comment Share on other sites More sharing options...
easyrider Posted June 23, 2011 Report Share Posted June 23, 2011 (edited) wow!!!!!!!!!!!!!!!!!!! great post lets hear the lopsters debate on this one!!!! lol j/k Edited June 23, 2011 by easyrider 2 1 Link to comment Share on other sites More sharing options...
Dinar-Hustle Posted June 23, 2011 Report Share Posted June 23, 2011 thanks for your very insightful post........GO RV! 2 Link to comment Share on other sites More sharing options...
Texan49 Posted June 23, 2011 Report Share Posted June 23, 2011 Great post. One of the best post that I have read. Thanks Sonny for your reply as well. I quess I can wait a few more weeks. Link to comment Share on other sites More sharing options...
earjockey Posted June 23, 2011 Report Share Posted June 23, 2011 I gave you a + for an out-of-the-box analysis. Don't forget that their 25K notes are trading like our $1 bills, so their 3-zero currency probably has a short shelf life. On the other hand their currency does not have to pass the test of ATM usage so their notes probably are pushed beyond the normal wear-and-tear of a USD bill. Not sure if there is a replacement program that is accounted for in their money supply numbers? You might want to check that out if the information is available. Link to comment Share on other sites More sharing options...
umbertino Posted June 23, 2011 Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post Ok. I'm ready. 1 Link to comment Share on other sites More sharing options...
DaveNC Posted June 23, 2011 Report Share Posted June 23, 2011 And just think if they printed the small notes at the same time as the larg notes there are less than that. Small notes being apart of the trillion. 1 Link to comment Share on other sites More sharing options...
goldengoose Posted June 23, 2011 Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post 'Sonny1', Good evening! Thank you very much for your post! Please, please- provide additional information on this issue and some reasons why you feel the way you do! I really appreciate your time and effort, your posts are very inspiring and leaving the crowd wanting more, more, more.....etc.....!!! Respectfuly, GG Link to comment Share on other sites More sharing options...
DaveNC Posted June 23, 2011 Report Share Posted June 23, 2011 27 trillion Link to comment Share on other sites More sharing options...
quadraph0nic Posted June 23, 2011 Report Share Posted June 23, 2011 Because if they took that much money off the books they would have already raised the exchange rate Link to comment Share on other sites More sharing options...
Networth Posted June 23, 2011 Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post Based on what? I have not found a single piece of information that states this. I have only seen this assertion made by other posters. That's evidence of nothing. And it seems like a dubious statement to make since $150,000,000 worth of dinar are auctioned every day by the CBI. 2 2 Link to comment Share on other sites More sharing options...
coldwarvet Posted June 23, 2011 Report Share Posted June 23, 2011 Great post, RichNick! This is getting VERY exciting! Link to comment Share on other sites More sharing options...
quadraph0nic Posted June 23, 2011 Report Share Posted June 23, 2011 Its a long term plan, they haven't started that will take a long time to remove that kind of currency out of circulation and it will be gradual. At this time in country, I can get any large notes and there are no small denoms Link to comment Share on other sites More sharing options...
Candinar Posted June 23, 2011 Report Share Posted June 23, 2011 (edited) Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post Ok. I'm ready. That would back up the older "3 zeros" article, I believe it was said that they were in the process of the lifting of the 3 zeros, so if they were in the process then the large bills or "3 zeros" were being taken in slowly, still leaving enough for the citizens. IMO. Edited June 23, 2011 by Candinar Link to comment Share on other sites More sharing options...
shiFT_yourworld Posted June 23, 2011 Report Share Posted June 23, 2011 Shabbs said they sucked 15 trillion back in. This Thing is done it will RV in the next 2 weeks. I liked your post Do you have a link or any factual information to back this claim of 15 trillion. That would be aces!!, I mean no disrespect I just haven't come across this in my own research. thanks in advance. I'm glad your sticking to your RV prediction with such confidence. Would love to hear more from you. 1 Link to comment Share on other sites More sharing options...
quadraph0nic Posted June 23, 2011 Report Share Posted June 23, 2011 Do you have a link or any factual information to back this claim of 15 trillion. That would be aces!!, I mean no disrespect I just haven't come across this in my own research. thanks in advance. I'm glad your sticking to your RV prediction with such confidence. Would love to hear more from you. Ughh Its not a fact 1 Link to comment Share on other sites More sharing options...
YaTaHe Posted June 23, 2011 Report Share Posted June 23, 2011 Great observation!! I knew that they had to increase the supply to create the demand to make the currency more valuable, but I couldn't figure out how they were going to create the demand when they are holding auctions every day. Thanks!! Link to comment Share on other sites More sharing options...
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