Dinar Rumor from DBCooper

[PuffsPlus]

6:10 PM [dbcooper] Right now the local unit (one dinar) is worth $.00085 making 25,000 dinar notes worth $21.25 At the current Exchange Rate of 1170 per dollar the new 25 dinar notes will only be worth $.02 ($.00085 X 25 = $.02) The notes cannot coexist with the same dollar value because every Iraqi holding 25,000 dinar notes will lose $21.23 on each note. There would be riots everywhere because of this! Now, if they make the 25 dinar note the same dollar value as the current 25,000 dinar note they will have increased the dinar's Exchange Rate from 1170 per dollar to 1.17 per dollar, making 1 dinar worth $.85 which then of course raises the value of 25,000 dinar to $21,250 The denomination numbers on currency notes cannot be ignored, they represent the notes value based on the Exchange Rate. __________________ Not Revalue but Restoration of the dinar.

[JAMMING]

Nice explanation....thnx for the post

[outback7]

Thank you for this post......of course, it makes sense the way you laid that out...

[danahatch]

So if it is a reinstatement of the old dinar, what would the taxation be for those that hold dinar?

[Skumu1980]

makes sense, but since when does iraq do anything that makes sense?

[jab]

ain't that the truth Skumu1980

[DgreenFSU66]

Thats not how it works.... You cant just move 3 places over and say, there its .85 per dinar now, and 25 new notes is worth what the 25000 dinar note is. If they move 3 places over IT IS A LOP!!!

[fatcat]

Everyone holding large notes when they were worth 3.22 to dollar, say the rich, would be very poor if the lop was true. There would be rioting big time. There was big notes back then that were worth over 75,000 dollars. Lets hope it stays that way

[dbcooper]

Thanks for posting that for me puffsplus!

[Wannabe]

That would work just fine for me.

[ronscarpa]

So if it is a reinstatement of the old dinar, what would the taxation be for those that hold dinar?

Dana - the max tax rate is 35% if a short term capital gain. If long term (over 1 year - confirmable) it wopuld be subject to minimum alternative tax rate (I think 24-28%) and not the 15% of long term capital gains - according to my accountant. RON

[clemly]

6:10 PM [dbcooper] Right now the local unit (one dinar) is worth $.00085 making 25,000 dinar notes worth $21.25 At the current Exchange Rate of 1170 per dollar the new 25 dinar notes will only be worth $.02 ($.00085 X 25 = $.02) The notes cannot coexist with the same dollar value because every Iraqi holding 25,000 dinar notes will lose $21.23 on each note. There would be riots everywhere because of this! Now, if they make the 25 dinar note the same dollar value as the current 25,000 dinar note they will have increased the dinar's Exchange Rate from 1170 per dollar to 1.17 per dollar, making 1 dinar worth $.85 which then of course raises the value of 25,000 dinar to $21,250 The denomination numbers on currency notes cannot be ignored, they represent the notes value based on the Exchange Rate. __________________ Not Revalue but Restoration of the dinar.

I think this explanation that was posted for Venezuela clears up the misconceptions

http://www.reconversionbcv.org.ve/pdf/TripticoColorIng.pdf

[clemly]

I think you are right

[amickn]

it sounds good to me

[epicmotors]

I've posted this in a few spots,

Ok folks, I feel like this a great post but keep in mind that the total amount of dinar in circulation 1990 was 25 billion that was worth approximate 70 75 billion us dollars. Now, there is 25 trillion dollars in circulation. TRILLION!! that is a huge huge # 25,000,000,000,000.00 compared to 25,000,000,000.00 that is 1000 times more notes than it was originally. Maybe they purposely printed 1000 times more currency knowing that they would redenominate in the future where both bills would carry the same value, how ever not the value stated on the note itself!!!!!! which is a lop by redenomination. which will bring the total # of bills in circulation to the same number as before (1990), so in the end no gain no loss same # of bills which is easier to bank with less handling as they stated. I beleive the reval will be for the redenominated currency. Example 25,000. exchange for 25 then at some point and time either at the same time or later after the redenomination takes place the reval will take place for the new currecny only, for instance lets say it revals to three us dollars keeping it simple for demonstration purposes then the 25 dinar would then be worth 75 us dollar, which would make things the way they were before (1990) or at least close to it. What does that mean for us, well forget the million dollar dream, but instead a more conceivable realistic return on your investment then the proposed gains of 1000 times or more. three times is still a good ROI better then most I would say. I came into this with high hopes to be indepently wealthy as did most and now it is very clear if you open your eyes to the reality that it is just not possible to revalue 25 trillion dollars more then all the worlds money incirculation combined. I just wanted to shed some light on my my perspective which is only my oppinion, I respect the oppinion of others as well and hope the best for this investment for the betterment of all people. So dont go quiting your day job. ty. aka epicmotors