What Greece should do next

Greece is in the unenviable position of having to make a choice between forced austerity or leaving the Euro. The question is why is the decision so hard and taking so long?

The best course for Greece is to leave the Euro and the failed financial system which benefits a few members countries and world financial institutions at the expense of the citizens of Greece.

But if Greece is to leave the Euro it should do so in a manner that will provide the maximum benefit for the citizens. Which means that it's time to default on all the debts and blow up the banks.

Greece was the birthplace of democracy and it should now be the birthplace of a democratic financial system. Greece can rid itself of the totalitarian fractional reserve banking system, based on credit (i.e. ever growing debts) and institute a new financial system as a model for the rest of the Eurozone and the world.

Instead of bank issued money which is only created with attached interest (debt) Greece should institute a system of Social Credit where the money is created and issued by the government in an amount sufficient for commerce and government expenditures within the country.

The new currency should be based on the system of demurrage not interest. This system of currency was tested in Worgl Austria during the Great Depression and in hundreds of other towns across the US. Where it was implemented the cities and towns prospered while surrounding cities and towns remained in the grips of the Depression.

Greece can go one step further with the new currency and that would be to create an electronic peer to peer currency, The currency would itself be a piece of software that could be exchanged by small deceives, computers or even cell phones. It would be passed from device to device directly without needing to be processed through an account in a bank computer. This would afford every person the security of knowing they alone controlled their money with no possibility of a bank run, or bank error that would freeze or worse loose a persons money.

Similar to Bitcoin as an encrypted currency it would also have a half life imbedded in each 'coin' that would implement the reverse interest or demurrage. Each 'coin' would have a fixed value which would be small enough to allow for micro transactions of single 'coins' allowing small purchases.

The currency being peer to peer and encrypted would be anathema to most governments which desire to track and control the money flows in the world. But to that one must ask are they doing such a good job of it now that we really want them to continue to control the peoples finances. Money is a tool for the people to allow for commerce and should not be the means to control citizens of a country.

The majority of people will use the currency for wholly legitimate purposes, being commerce of goods and services. A few will use the currency for illegal activities much as they do now with bank controlled currencies most of the time with the banks full knowledge of the activities while skimming off the banks share of profits. If this is your intention then shame on you.

Criminal activity has never been eliminated in the entire history of humankind. The only way to eliminate such activities is to force all transactions to be processed via a government controlled bank which will track every detail of the transaction. Do we really want this form of currency, financial control and tracking?

The adoption of a peer to peer currency that would be non-traceable would make Greece a pariah nation with the financial powers that currently have the worlds reserve currency. Namely the U.S. and to a lesser extent the Euro which for all intents and purposes right now is controlled by the Bundesbank.

But there are enough nations interested in breaking the hold of the U.S. dollar as the world reserve currency for Greece to find trading partners. Russia, China and Iran come to mind immediately.

And let's not forget that Germans love to vacation in the Greek Isles. They will be the first to exchange their Euros for the new currency.

Greece will also have a unique opportunity to export the new currency and the tools to use it to Spain, Portugal, Ireland and Italy as these countries start to seek alternatives to their forced austerity programs and failed banking system.

There are a many other options open to Greece to force the use of its new currency on the rest of the world. For example open a massive pornography data center where all purchases have to be made in the new untraceable electronic currency. Producers in many countries would be interested in moving their operations to Greece to find some stability. And customers will follow also seeing a benefit to using a peer to peer untraceable currency. The producers being an enterprising lot will find a way to convert the new currency to hard assets.

And we have other suggestions such as these from Ian Welsh.  [1]

It has been said that according to both the Mayan and Hindu calendars 2012 mark the change from darkness to enlightenment. As history has shown change can start in the most unexpected places and spread like a virus. An idea whose time has come is a powerful contagion.

There is a unique opportunity in Greece to make a fundamental break with the current banking and currency system. An opportunity to be a model for the world and to spark a revolution in the meaning and purpose of money. Money controlled by the people and for the benefit of the people not the banks.

John Doe, 27-May-2012

[1] Let's Talk Turkey About Greece, 26-May-2010, Ian Welsh, http://www.ianwelsh.net/lets-talk-turkey-about-greece/