Freezing Russian Reserve Assets Marks End of Monetary Regime; Gold, Bitcoin to Rise – Arthur Hayes

cryptonews.com:

The world’s current monetary regime effectively ended with the freezing of Russian foreign reserves by Western governments on February 26. In the new era, central banks will no longer save reserves in Western fiat currencies -- instead, turning to gold and bitcoin (BTC) as their preferred reserve assets, according to former BitMEX CEO Arthur Hayes.

“The current PetroDollar / EuroDollar monetary system ended last week with the confiscation of the Russian Central Bank’s fiat currency reserves by the US and EU,” Hayes wrote in a lengthy essay published on Thursday titled Energy Cancelled.

The reason for this, Hayes said, is that as countries around the world see what happened with Russia’s reserves, they will no longer feel comfortable saving their reserves in currencies controlled by foreign governments.

He added that historians in the future will point to February 26 as "the date on which this system ended, and a new, currently unknown-to-us system sprouted."

"A new neutral reserve asset, which I believe will be gold, will be used to facilitate global trade in energy and foodstuffs," Hayes said about what he sees replacing the current US dollar-centered system.

He further explained that countries around the world “appreciate the value of gold” from “a philosophical standpoint.” Bitcoin, however, is not yet there – at least not in the West, the former exchange boss said.

“Human civilization is approximately 10,000 years old, and gold has always been valued as a monetary instrument. Bitcoin is less than two decades old. But don’t worry: as gold succeeds so will Bitcoin,” Hayes said.

Referring to two widely shared articles from the Wall Street Journal and Bloomberg that discussed the implications of freezing Russian central bank