August 20, 2021, | AtoZ Markets – The war in Afghanistan is a very long conflict that has been going on since the US invasion in 2001. Its purpose was to deprive the Taliban of power. After the chaotic departure from the country, the US occupation of Afghanistan is compared to the mistakes made during the Vietnam War.
Now that US forces have let go of Kabul, reports indicate that the New York branch of the Federal Reserve has confiscated most of the $10 billion worth of Afghan central bank assets. Moreover, last week the Biden administration halted shipments of dollars to Afghanistan.
US withdrawal from Afghanistan started the chaotic event
The war in Afghanistan, in which the United States participated, has long been a source of shame for American officials who backed the invasion. The “Fall of Kabul” is a chaotic event, with critics comparing the Afghan war to the Vietnam War.
Addressing the American public, President Joe Biden explained that despite the “chaotic” departure from the country, “there has never been a good time to withdraw US forces.” However, since the withdrawal of troops, the number of US troops sent back to Afghanistan has increased to 6,000.
Additionally, the US continues to wage a financial war. The $10 billion in assets of the Afghan central bank are in the possession of US forces and their allies. According to reports, Afghanistan’s central bank assets included $1.3 billion in gold and $361 million in international currencies. Afghans do not have any access to these funds as the assets are held in financial institutions such as the New York bank of the Federal Reserve (FRBNY).
There is (or rather was) $160 million worth of gold bars and silver coins held at the Afghanistan bank's vault at the presidential palace.— zerohedge (@zerohedge) August 18, 2021
The December 2020 report indicates that the FRBNY holds approximately $6.1 billion in total assets. The statement also indicated that the FRBNY owned $1.2 billion in Afghan gold bars. Afghanistan’s central bank will not have access to these funds any time soon, as the US government believes they could fall into the hands of the Taliban. Moreover, last week the Biden administration halted shipments of US dollars to Afghanistan.
New York Fed prevent access to Afghan funds
According to sources, the United States has imposed a financial blockade on Afghanistan as the Federal Reserve and other American financial institutions want to prevent the Taliban from accessing funds. For some reason, the Biden administration and US allies believe that the Afghan government’s banking assets should be controlled and sanctioned.
A Biden administration official told the press:
“Any central bank assets that the Afghan government has in the United States will not be made available to the Taliban.”
AFGHANISTAN CENTRAL BANK HAS $10 BILLION IN ASSETS, BUT A MAJORITY OF THE FUNDS ARE HELD BY THE FEDERAL RESERVE IN NEW YORK -RTRS— zerohedge (@zerohedge) August 17, 2021
And now the gold is gone. All gone
Increased armed forces and economic sanctions show that the US is not going to withdraw so easily from keeping order in the world. Afghanistan is likely to have problems with the financial system monopolized by the global central banking system, as are many other countries.
The Biden administration’s suspension of shipments of dollars has become a popular topic of discussion on the r/bitcoin subreddit. Many users say that Satoshi Nakamoto’s invention was created to prevent this from happening. And indeed. If Afghanistan had kept its funds in cryptocurrencies, the US government would not have been able to seize them. All because of the nature of digital assets, which makes each owner their own bank.
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