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What is the hedge for this? Digging a really deep hole somewhere?


Hedging against currency collapse is notoriously difficult. But a reasonable set of hedges are assets that will have value regardless of currency changeovers. Eg housing, land, gold etc.


I just assume the USA will be the place where violent "repurposing" of land will happen because of all the guns here. Housing seems risky for that reason.


Anything that has steady value - land, gold, real estate with global appeal, manufacturing for the global market, etc.


> What is the hedge for this?

Cash. So you can buy into the dip. It’s historically a losing position, however.


It feels like inflation negates that hedge somewhat.


> feels like inflation negates that hedge

A true hedge isn’t ever free. Paying some inflation today to score cheap assets tomorrow is fine. (Also, “cash” means cash and cash equivalents. You can lend your money to the USG for one month well above most inflation [1].)

[1] https://home.treasury.gov/resource-center/data-chart-center/...


The hedge is the Russia '98 play, which is already in various stages of progress.

1. Default on ruble-denominated debt (replace with dollar-denominated), and trigger a recession and currency crisis.

2. Military attack on a border state to fight secession (replace with narco-terror) and advance nationalist agenda.

3. Vote in a strongman who promises to take the country back from evil capitalist influence (replace with communist) and restore their rightful place in the pantheon of great civilizations.

4. Come to power and intimidate/co-opt independent media into docile acquiescence, convince corporations to do your bidding in exchange for favorable treatment, restructure elections to your advantage.




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