1/ 🧵 EXPLAINED: “BRICS gold-backed currency” (the UNIT) — and why stackers should care.
Lots of noise. Some signal. Here’s the clean version.👇
Lots of noise. Some signal. Here’s the clean version.👇
2/ First: BRICS has NOT officially adopted a single common currency (despite years of headlines). Even BRICS officials have repeatedly emphasized national-currency settlement over a new shared currency.
3/ So what is “UNIT” actually?
UNIT is best described as a proposed settlement / unit-of-account concept linked to a basket:
✅ gold + ✅ BRICS currencies often tied to the IRIAS framework — but not an official BRICS policy instrument.
UNIT is best described as a proposed settlement / unit-of-account concept linked to a basket:
✅ gold + ✅ BRICS currencies often tied to the IRIAS framework — but not an official BRICS policy instrument.
4/ The core idea proponents push:
Measure currencies in gold terms (gold as the reference), not gold in currency terms.
That’s a philosophical flip — and it matters if it ever scales.
Measure currencies in gold terms (gold as the reference), not gold in currency terms.
That’s a philosophical flip — and it matters if it ever scales.
5/ Why stackers care even if it’s “just a pilot / concept”:
Because any trade instrument that anchors to gold nudges the world toward:
➡️ more gold in reserves
➡️ more gold in settlement thinking
➡️ less blind faith in paper IOUs
Because any trade instrument that anchors to gold nudges the world toward:
➡️ more gold in reserves
➡️ more gold in settlement thinking
➡️ less blind faith in paper IOUs
6/ Now connect the dots to the REAL driver:
Capital markets are enormous. Metals are tiny.
SIFMA: global fixed income ~$145T (2024), global equity mkt cap ~$126.7T.
Capital markets are enormous. Metals are tiny.
SIFMA: global fixed income ~$145T (2024), global equity mkt cap ~$126.7T.
7/ That means even a small asset reallocation from bonds/equities into physical metal can move price violently.
This is Jensen’s whole point: the “repricing” isn’t mystical — it’s math.
This is Jensen’s whole point: the “repricing” isn’t mystical — it’s math.
8/ Meanwhile, the plumbing is already creaking.
Reuters documented a London silver tightness / liquidity crunch (and how little “free” metal is actually available because much is tied up/allocated).
Reuters documented a London silver tightness / liquidity crunch (and how little “free” metal is actually available because much is tied up/allocated).
9/ Translation:
When everyone realizes “paper claims” ≠ “metal on demand,” the market doesn’t gently adjust…
…it gaps.
When everyone realizes “paper claims” ≠ “metal on demand,” the market doesn’t gently adjust…
…it gaps.
10/ Add fundamentals:
UBS has discussed a very large silver deficit outlook for 2026 (hundreds of millions of ounces) in a ~1.34B oz demand framework.
UBS has discussed a very large silver deficit outlook for 2026 (hundreds of millions of ounces) in a ~1.34B oz demand framework.
11/ So why do bullion banks keep calling “the top”?
Because if you’re structurally committed to paper leverage, your job is to:
🗣️ talk it down
📄 roll it forward
🧯 manage confidence
(Price discovery is inconvenient.)
Because if you’re structurally committed to paper leverage, your job is to:
🗣️ talk it down
📄 roll it forward
🧯 manage confidence
(Price discovery is inconvenient.)
12/ Here’s the stacker takeaway:
If a gold-referenced settlement concept gains traction at the same time London/COMEX tightness shows up…
…you get a feedback loop:
more demand → more stress → higher price → more demand.
If a gold-referenced settlement concept gains traction at the same time London/COMEX tightness shows up…
…you get a feedback loop:
more demand → more stress → higher price → more demand.
14/ Bottom line:
Whether “UNIT” becomes real policy or not, the direction-of-travel is clear:
🌍 the world is experimenting with settlement outside the dollar
🥇 gold keeps creeping back into the monetary conversation
🥈 and silver… is the tiny market with the biggest torque
Whether “UNIT” becomes real policy or not, the direction-of-travel is clear:
🌍 the world is experimenting with settlement outside the dollar
🥇 gold keeps creeping back into the monetary conversation
🥈 and silver… is the tiny market with the biggest torque
15/ Stackers:
you’re not early because you guessed a date.
You’re early because you chose the asset that breaks paper games when trust cracks.
🔁 Repost if you want the “paper vs physical” crowd to read something uncomfortable.
#Silver #Gold #BRICS #SoundMoney #PreciousMetals
you’re not early because you guessed a date.
You’re early because you chose the asset that breaks paper games when trust cracks.
🔁 Repost if you want the “paper vs physical” crowd to read something uncomfortable.
#Silver #Gold #BRICS #SoundMoney #PreciousMetals
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