Is Texas About To Declare War On The Biden Economy And CBDC?

Lance: Welcome, welcome back to the Lance Wallnau Show and we’re always interested in bringing people to you who we think are going to expand your world and inform you in education ways that you don’t typically get educated. Our special guest today is going to be Kevin Freeman of the Economic War Room. I love that war room theme. We follow the Bannon’s War Room there on Saturday and Axe was going to call this program the 7-M War Room. Because the 7-Mountains but Mercedes said nobody knows what7-M is. So, we ended up with the Lance Wallnau Show as a default. But I want to welcome Kevin Freeman the economic war room and you can just imagine all the applause happening right now. 

It’s thousands of people are in our audience virtually. Kevin, thanks for joining us and could you explain to us and this is going to be a tough question. This is unrehearsed. All programs I do are unrehearsed. Explain to us what this economic storm is that we are in. What has preceded this moment in economic history? Because our people don’t normally drill down on these subjects unless we have a subject matter expert. I know you can break it down so they understand it. What happened that puts us in the precarious position we’re in right now in history in the American economy?

Kevin Freeman: Well, a couple of things. One is we have an extraordinary debt. No nation in the history of the world has ever had over $30 trillion dollars of reported federal debt. And that’s an understatement actually because we’ve made obligations and promises up to $200 trillion dollars. Because we say we’ll give Social Security, we’ll prescription drug benefits and we’re going to these VA benefits. And when you add it all up of what we the expected payout which is what any American corporation would have to do to stay out of jail. They’d have to report all their liabilities, we have about $200 trillion dollars in liabilities according to Lawrence Kotlikovof Boston University but we report $30 1/2 trillion dollars of federal debt. So, that’s the first thing that’s the first problem that we have.

Lance: And that’s big, okay. So, what’s feeding this inflation’s cycle. Why are we there?

Kevin Freeman: Inflation would be the second problem and that in classic definition of inflation Milton Friedman, too much money chasing too few goods. And during COVID we produced fewer goods and we gave everybody a ton of money. So, we have too much money chasing too few goods. At the same time, we have the federal government running trillion dollar deficits. And so, we’re essentially pumping lots of money that’s becoming less valuable in the economy. And so people when they go to buy things at the grocery store there according to the federal government about 8.5% more expensive today than they were a year ago. According to the American people it’s probably 15% more expensive than they were a year ago.

Lance: My gosh. Alright, so this is the problem I’m having right now is that it’s so simple. I was hoping for a more complex answer that I couldn’t follow thinking that maybe the physics will work it out. But so now this means if there’s too much money that’s been arbitrarily and by the way the Republicans are as bad as the Democrats Mitch McConnell is just as happy as Biden and Trump to just let the money gets crank the machine up. But this money is going out there, but we’re also the world’s reserved currency. Because the only way any country could be as goofy as we are with money is if we have other people taking it. So, how does the world’s reserve currency play into this.

Kevin Freeman: Now you brought in another complication and we’re getting three dimensional chess here. We have the world’s reserve currency for a simple reason. We used to have it because our currency was backed by gold and we have the strongest military on the planet. And at Bretton Woods, all the nations agreed we’ll make the US dollar the reserve currency. That means when other nations save money and they have excess capital what they want to hold it in is US dollars. That makes it the reserve currency. Where do you put your reserves? I put them in the US dollar. In 1970s, Richard Nixon removed us from the gold standard. No longer. It used to be you could take your Federal Reserve money and walk into the government and hand off a hundreds of dollars and get gold back and they closed the gold window. You can no longer do that.

So we don’t back our money with gold any longer. And then we started printing lots and lots of money and other nations started to get jealous like China and Russia and others. And they say,why is it the American dollar does well when we have an economic crisis. Like in the 2009 financial collapse everybody rushed to the dollar because they had to put their money somewhere and they wanted some something safe Vladimir Putin and the Chinese and others did not like the idea that the dollar was the safe haven everybody rushed to it. So, we actually benefited from the world turmoil and so there’s a group of nations who are saying, hey, look America’s not good with money. They’ve got 30.5 trillion dollars in debt. Why in the world should we put our reserves with them and they’re creating alternatives. Like a digital Yuan, the Chinese currency and they want to remove the dollar as the reserve currency.

But there will go even deeper in the 70s when Nixon took us off the gold standard. Henry Kissinger who was the Secretary of State went made a deal with the Saudis and the deal is this.Anybody that buys a barrel of oil in anywhere on the planet, they need to price it in US dollars.And so, someone in Africa wants to buy a barrel of oil from Saudi Arabia, they convert their money to dollars and then they buy oil. Which is a good reason to keep your reserves in dollars.Now here’s where the problem comes. The world has changed. There are all sorts of nations willing to sell oil without dollars including Russia because the Ukraine Russia war. Including the Iranians including the Saudis and others and so what’s known as the Petro dollar is breaking down.

So, when you bring up the point, what is the reserve currency? It is under serious threat. For the first time in really 50 years, people are questioning, should I hold dollars or should I hold gold or maybe some other currency?

Lance: Meanwhile, Russia is backing the rural with gold, right? Is that correct?

Kevin Freeman: That is correct. Buying enormous amounts of gold. The Chinese are buying enormous amounts of gold.

Lance: So it’s almost as though. They’re preparing themselves to back up their currency with something that is more solvent and stronger than our ratio of gold to debt we have here.

Kevin Freeman: You would almost call it an economic war wouldn’t you?

Lance: Okay, so your hence your program economic war. You’ve seen this as an economic war all along.

Kevin Freeman: Absolutely. And by the way in case it comes up Steve Bannon, I was on his program and the guy that was with him said, hey, you charge him a fee to use the name War Room. And Bannon Lord is it and he said no I stole it from Kevin. So, we had it first. We were there first.

Lance: Well, you had a moment of compensation there. It’s about all you got. The Petro dollar in danger of collapsing or how much of the world’s trading with Petro dollars now?

Kevin Freeman: Well, it’s in danger from a couple of things. One is the Biden administration wants to do everything they can to get us off of traditional oil and gas. And so, that’s a threat. If we were all electric and we produced our electricity, all wind, solar, and so forth. That would be a threat and so that’s an unintended or intended consequence of moving to a green energy system. I don’t think it’s going to happen anytime soon. So that’s a minor threat. The major threat is the oil producers no longer see the United States as a very trustworthy alliance partner. And so even India why would India care what happens in Ukraine and Russia.

Well, the Russians, they invade Ukraine and what do we do? We say we’re just going to take the money that you have in dollars and we’re just going to take it. Or India says, you can’t just take people’s stuff. Why would I want to have dollars if you’re just going to take them? And so, we’re right now destroying conferences in the dollar with our foreign policy.

Lance: Mercedes?

Mercedes: Yeah and what are Kim’s thoughts on digital currencies, CBDC’s when we’re talking about maybe trying to hedge you guys’ inflation. We talk a lot about gold and silver on this program. What do you think about cryptocurrencies and the way that that market’s going?

Kevin Freeman: There again we’re getting into the simple on the surface and then we can go deep into the weeds.

Mercedes: Okay.

Kevin Freeman: The problem with central bank digital currencies. Number one is its they will be intended to displace the US dollar and that’s a threat to the American citizens. So, if China develops a digital Yuan, the reason they’re developing is so we don’t trade in dollars but worse than that, much worse than that is the control a central bank digital currency provides. If China issues digital Yuan for example, they can track every person who uses it in every location where it’s used and they can turn it on turn it off. They can make it valuable or less valuable. They can look at you and they can say Mercedes, you put a tweet out that we don’t like and therefore, we’re going to just take your stuff. We’re going to take the money away and we’re going to reduce the value of that and that is not conjecture. That’s not just fear mongering.

No, there was a guy in Omaha, Nebraska that tweeted for Marriott tweet that said that, hey, we like Dalai Lama because they had a free Tibet thing here at our local Marriott and we just want to say thank you to that group. Well, the Chinese government called Marriott and said that is against Chinese policy to mention Tibet, and therefore you will either fire him or we will remove every Marriott from China.

Mercedes: Wow.

Kevin Freeman: So they use economic warfare. If they have a central bank digital currency that we’re operating in they’ll tell you what you can buy when you can buy if can buy.

Mercedes: Yeah, and so do you see that coming to the state soon and do we run those same risks?

Kevin Freeman: Well, there’s no question Federal Reserve has already said, we can do that. We can create a digital dollar and absolutely they’re bragging about the fact. Hey, guess what? If we need to ramp up spending, we can make the digital dollars expire in 90 days and so you have to spend it or lose it.

Mercedes: Wow.

Kevin Freeman: Or they could say there’s too much spending. Let’s slow it down. They’re bragging about how much they can have over the economy and then they can say, by the way,you were within the zip code of the of the Capitol Building on January 6th and therefore you don’t get anything. And that again is not conjecture. I mean this is what Trudeau threatens to the truckers. You’re here as a trucker your bank account we’re taking.

Lance: No, it’s crazy, but I don’t think people really are grasping what this digital transition does in terms of now we’re going to largely Christian audience out there. Because I built this audience of like 750, 0001 million people over 20 years of ministry. Then I got involved with political stuff and economic stuff largely from Mark Nettle and Rick Joyner and Jerry Boykin General Boykin.

Kevin Freeman: All friends.

Lance: All friends here. I figured you and I are in the same you know a crowd and they got me realizing I teach 7-mountains. But I never really realized that my gosh if we don’t have a biblical way of seeing all of these other nations and government and business and economics then we’re in danger of having the game shifted, right. To take away our own religious liberties right away.

Kevin Freeman: Oh yeah. Yeah and its economic war and the Bible is very specific on this. If we’re not faithful with our unrighteous mammon, we will not be trusted with true riches. So when I speak to people, I say, hey look, what I’m talking about that this should be the easy stuff. These are the small things. Luke 1610 says, “If you’re faithful in the small things, I’ll set you over greater things”. And 16:11, immediately behind it, Jesus said, “If you’re not faithful with unrighteous man, man, you will not be trusted with true riches”. The only way to interpret that is that the money is supposed to be a small thing. But in America, we made it a large thing and that’s why we’re so vulnerable in an economic war.

Lance: And I even think that Jesus gave us a clue as to how we’re to be engaged in the last days when he said, occupy till I come. Because the word occupying Greek actually means transact business until I return. Engage in the transaction of engaging in business in the marketplace till I come back. I never heard anybody preach on. I looked it up in the Greek. I said, my gosh, the word here is clear. It has to do with transact, transaction. Be engaged. Not hide out in the woods with your bug out bag but be engaged and you’re engaging. Could you share with us what guys as a think tank have been doing proactively to prepare us for what’s coming. And you’re in Texas.So, as a Texan, what Rose competing with Florida? What are we doing here to deal with this hostile takeover of the economy?

Kevin Freeman: Well, if I could. If you don’t mind I want to share something really impactful from second Chronicles 34 that ties in with your engage in business. That’s so powerful when I read it and that is, the servant who bear his money was the one that got in trouble. The ones that were engaging were the ones that were not in trouble. In James 5, it says, you rich, your riches rot with you because they were holding and hoarding on their money. They weren’t giving it out to the laborers, who were crying out to God. and in second Chronicles 34, it has this incredible verse where it’s King Josiah, the 8-year-old king and his daddy messed up and granddaddy messed up and his great granddaddy messed up. But all the way back he says he falled after his father David right so he was a good king and at 8 years old he decided I want to do things God’s way.

At age 18 in the 10th year of his reign he said we’re going to stop worshiping these false Gods. In the 18th year of his reign he said something really important. He said we’re going to clean up the temple and worship god in the right way. Verse 34:14 says this, it says, and when they took out the money that had been brought into the temple, Hilkiah the priest found the book of the law of the lord as given to Moses, and the Holy Spirit just quickened in me instantly. He said, when we took out the money, when we engaged the money, when they’d been heaping it up and holding it in and had been gathered in the temple. And when they took out the money and got it out there.As an economist, if you have no velocity of money, meaning the money just sits there, your economy collapse.

So, one of the things that we’re trying to do in Texas to transition to what you asked is we’re building a means of transacting and creating allowing for velocity of money that is based on something real not something false. Paper money according to the Bible if its fiat currency meaning nothing behind it, is an unjust weight and measure. It’s unbiblical. Money in the Bible’s historically always been gold and silver. All the way through a gold and silver. Now, money won’t save you. Money is a tool. It’s money and something we should use. Zephaniah says, your gold and silver will not save you in the day of the wrath of the lord and money won’t heal you.

I mean, you can hire and buy doctors and so forth but remember what they said. Silver and gold have I none but in the name of Jesus, rise up and walk. But money is incredibly important for other areas as a tool and when you need it, Jesus went said, go fishing, they found a coin. It’s gold and silver. Historically. So, in Texas, we’re going to use article section 10 of the US Constitution. Follow the constitution, which says, no State shall make anything other than gold and silver coins legal tender in the State. Now wait. No State shall make anything other than gold and silver, tender. That’s important term. Tender means transactional currency. And when you think about how important that is because the power to coin money was given to the federal government. The federal messed it up. They coined money. They’re print printing paper with nothing behind it but the States can only make real money.

So, we’ve created a bullion depository here in Texas. It’s been operating. It’s a suburb of Austin. You can go deposit gold and silver in that suburb in Austin right now. What we want to do is add legislation to where you can take that gold and silver that you’ve deposited and use it as a transactional currency, tender. In other words, get the money and obey the scripture, occupy till he comes. And that legislation we have to start in January, we’ve got a sponsor in the senate. If we can make that happen, we will have created returned America and all states could operate under this. Every single, one we would have returned America to a transactional gold which is amazing because a gold coin. And this is not a real gold coin, but a gold coin for one thing gold coin of this size that’d be worth quite a bit.

Lance: Yeah.

Kevin Freeman: But a gold coin you can’t walk into your local coffee shop and shave off just a few flex and say well I’ll buy my coffee. It’s not transactional in that way. It’s also not transactional in that the IRS considers this if it were gold to be a collectible. Like you’ve got a Donald Trump collectible there on your desk. It’d be a collectible and they’d say well it’s taxable if you bought it for a $1,000 dollars and you sold it for $2,000 spend it $2,000, you have a capital gain you have to pay tax on that. Well, if I get $1,000 of federal reserve currency paper bills 10, 100 bills and they buy more gasoline tomorrow than they buy today or more groceries tomorrow,wouldn’t that be nice? We could buy more tomorrow than we did. But I don’t owe tax on that because it’s tender.

So, if we make this bill happen in Texas, we will have given an alternative payment mechanism like a PayPal or a Zelle or a Venmo or a credit card or whatever and made it so convenient that you can walk in to the local diner, pull out your digital Texan card, tap it on the counter and pay for your meal. And right now if you spend 60 bucks for two people for lunch, which is you get a nice lunch for 60 bucks, that would be one gram of gold would go out of your account and into the account of the restaurant. They wouldn’t even know they’re getting gold. They could have it in gold or they could have it in US dollars.

Lance: Mercedes, you heard this concept, this theory of the case as Bannon calls it. You were privy to one of their discussions.

Mercedes: He had a small gathering where we talked about these things.

Lance: Okay. So does that make sense to you? Does that make sense to the moms out there that are in your network?

Mercedes: I think that it does. I think that it takes a lot of different like complicated concepts. I thought Kevin did a really good job of explaining it. I think that what makes this really special too is if Texas gets us together and we get all the right technology, it really makes gold tender again and spendable. And in some ways, one of the unique things I heard you guys talking about is that gold that would be held in Texas and the Texas depository that’s along with this digital Texan may become actually a little more intrinsically valuable than just normal gold. Because to your point, that’s tax to what? 35% if I spend a coin I have capital gains.

Kevin Freeman: Yeah, the highest capital gains, right.

Mercedes: Yeah. It would be the high. So, let’s say like 30%. So, if you bought it or you bought gold for $1,000, you sell it for $2,000, your tax is 35%. So, it may actually make the Texas digital dollar, Texas digital Texan more valuable. So, anyway, it’s just lots of different concepts but I love its usability. Like you’re saying, it’ll be the same way like for the younger generation who tap to pay like myself. I do my Apple phone all the time. You can do that. I mean, it’s going to be really and there and we talked about, there’s a couple other apps out there like this.

Kevin Freeman: You can do it right now.

Kevin Freeman: Yeah.

Kevin Freeman: Right now, you can do it not with Texas. You can do it right now. There’s a bank in Switzerland and they have an app called Glint and you can go right on your phone, takes you about 10 minutes, download the app and you can transfer in a thousand dollars of US dollars and they will convert it to gold, hold it in gold. And then, you can go to any merchant that takes MasterCard and spend it. And it’ll come out in grams of gold and if the price of gold changed between the time that you purchase it and the time that you spent it then they’ll adjust for that.but isn’t that better than paper money that’s losing 8.5%?

Lance: Totally. Well, I guess I’m confused and if I’m confused, trust me there’s some baby boomers out there that are confused. This is why my generation doesn’t go into the cryptocurrency with Sortz Zeal because we always like Jesse Duplantis has said to me I like to have some a bite. I was talking about having a solid something to back it. So, how does this work with? Do you have to have your own gold in deposit in Texas so that I’ve got a gold reserve over there and how does that work?

Kevin Freeman: It works so simply in depending on legislation but the way we envision it is you’ll just take your normal money and you’ll say I want my paycheck deposited into the Texas Bullion depository.

Lance: Oh.

Kevin Freeman: And it’ll automatically link up. They’ll purchase the gold for you because they’re buying in bulk. They’ll be able to buy at a slight discount which means Texas will make a little bit hopefully lower our property taxes and then it from then on it’ll function just as any kind any normal money would function. Because you’ll just either you could go to the ATM and take it out in dollar bills. You can take it and tap it and pay at a restaurant. You can deposit US dollars and you can take out US dollars, but the time it’s held there will be in the form of gold. So it will yeah to Jesse Duplantis, I’d rather have gold than paper, right.

Lance: That’s what he’s saying.

Mercedes: I would say with Glint which is probably a good use case if people want to look at it but save don’t move all your money in there. Let’s wait for the digital Texan.

Kevin Freeman: Because it’s taxable.

Mercedes: Because this is taxable exactly. Like I tested it the day that I went there. I actually bought a Starbucks or a coffee wherever I went. Got some coffee. And I swiped my Glint card and paid for my coffee with gold. Now, it’s going to be taxed, so it’s not ideal. But what you do like to your point just so you can see the user interface Lance is that you move your money in like you would deposit into PayPal or any other of these third-party payment websites. You move your money in and then, I can convert it right to gold. So, I have about $435 that shows me worth of

Kevin Freeman: That’s seven and a half grams is what that is.

Mercedes: Yes, and then I can connect my Glint card. I can switch it. I can either put it for my USD so I could swipe that or I could I right now it’s tied to the gold and I can go anywhere and pay with it. So, I wanted to try this because we recommend Birch Gold quite a bit.

Kevin Freeman: Yeah.

Mercedes: But sometimes its people get priced out of that. So I thought this is a good alternative to hold like if you have 500 a 1,000 dollars. Good way to maybe maintain your dollar value.

Kevin Freeman: Birch gold people will love this because it’s going to create an increased demand for gold. The more useful you make gold. I mean Warren Buffett used to laugh at gold. He’d say, if aliens landed on this planet and they saw people in in South Africa going into mines and digging out gold and they dug it out and then they put it on a plane and guarded it with guards and they flew it to New York and then they pulled it off the gold and then they put it in back into the ground in another vault. They’d say, what is that they’re just moving gold. Yeah,when you make gold useful transactional, when you occupy till he comes, it makes it more valuable. So, the demand for gold is going to go up. We believe with this and we think the price and the value of gold will go up. You see that with cryptocurrency the demand up. When there’s more demand for cryptocurrency, the price goes up. The good news is that gold has a limited supply and it’s been transacted, it meets all the definitions of money and has been used as money for thousands of years.

Lance: So and the obvious is this Texan digital can be used out of the state.

Kevin Freeman: Oh yeah.

Mercedes: Yeah.

Kevin Freeman: It can be used out of the country. It can use anywhere a Mastercard or Visa or whoever we partner with is accepted. And the good news is it’s in a bank and we’re going to have Chuck Norris and Texas Rangers guard it.

Lance: Alright, now we went a little bit over here. I want to take just a few more minutes. Let the control room know we’re going to go a little bit over. Because I want to ask you, so what’s the protocol for getting this advanced in Texas? What happens next?

Kevin Freeman: We have a bullion depository. That’s the hard part. That’s where we have an advantage over Florida. By the way, I’m talking to people in Florida who want to do this too. Texas has.

Lance: I didn’t I say in the opening, Texas and Florida are like always competing and we got something from Florida now.

Kevin Freeman: Yeah, we do. We have the Bullion and the reason we have the Bullion Depository is my state rep and the state rep here for this area came knocking on my door when he first ran dozen years ago or so and said, hey, I’m running against this lady who’s in there.Would you support me? And I said, yeah, well I want this I want a Bullion Depository. He said I was already thinking that. He’s a big goal guy and loved it and loved the idea. So, we created this Bullion Depository made in international news 10 years ago or something. We already have that. What do we need to do? We need legislation that declares it’s tender and then gives our control or the currency the ability to transactionalize it. To make it to where it links up to apps or links up to other uses. We need to make it to where we can use gold and occupy till he comes. Not dishonest weights and measures.

Lance: I’ll tell you what and is there a timeline you think before our excited audience can see this coming online?

Kevin Freeman: Well, we have January will be the new session. We’ve got a big election season and in Texas, we only have a legislative session once every two years and the session is January to like March or April. So, we have to move it fast. We have a sponsor in the senate. We’ve talked to people in the house, the Freedom Caucus and others. Texas should want this and once they stop and realize it’s going to flood money into Texas might help is lower property taxes. It’s allowed under the constitution and it’s not intended to replace the US dollar. It’s intended to be another means of payment. Just an option.

Lance: Yeah, it’s kind of like when a credit card came out.

Kevin Freeman: Yeah.. Just an option. It’s not going to displace anything. I think though people, money goes where it’s treated best. This is the best way to treat your money.

Lance: It’s a brilliant idea. Kevin, it’s a brilliant idea. Mercedes, anything you want to say before we wrap this up?

Mercedes: No, I think that’s it. I think that great. I’d love to have Kevin back because I want to talk about ESG and the threat that that is for investment advisors for how people are spending their money woke capitalism. It all goes together. So, I don’t know if he’s willing to say again but I’d love to have him on a show for that topic.

Lance: I’ll tell you, what we’re going to do. We’re going to end right now but we will come back with another program and we’re going to ask those specific questions. Alright, God bless you.And by the way, you heard about Gold. “Lancewallnau.com/birch”. I just once again was talking to someone yesterday. They’re taking their IRAs and they’re converting them over and so there’s a way in which the Birch Gold people will explain to you how you could do that. You could put your IRA and your retirement money over there into their gold, silver, and they have other medals as well. Very smart move and a lot of people are thanking me for that. “Lancewallnau.com/birch”. Talk to them. Download their free report. Knowledge is Read what they’ve got and learn how to perhaps protect your portfolio from the trouble times ahead. Look forward to seeing you again tomorrow. God bless you.

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