40 years ago today, on August 15, 1971, President Nixon made the historic announcement that the United States would be removed from the gold standard.
For the first time in world history all currencies globally were backed by nothing, and their values were now based on the exchange rate in the open market.
With the dollar unpegged as the reserve currency of the world, it allowed the United States to run unlimited deficits, which were once checked based on the amount of gold backing the currency.
The average currency system throughout history last about 40 years before something new takes its place. Our current experiment with a global fiat currency system is now in its final, terminal, stage with the suffocating debt laced throughout the entire world at every level.
It will end in spectacular fashion, with the central banks trying everything in their power to keep the current system in place.
The historic announcement that rocked the world 40 years ago: