i'm max to as you're welcome to the kaiser report yet what happens when as you saw after world war one a bunch of european countries just show up in the middle east and draw lines all over the map and say oh he's in the new countries we don't care about the history culture well less for twenty four and you end up with islamic state or isis they see exactly a max it looks like fox news and the it republicans are right it looks like we might have an islamic state in the world islamic state now resembles the taliban with oil fields the islamic state which now controls an area of iraq and syria larger than the u.k. maybe reason more than two million dollars a day in revenue from oil sales extortion taxes and smuggling according to u.s.

intelligence officials and anti-terrorism finance experts so it sounds to me like it's running its operations a lot like the u.s. operations. islamic state is a bold new startup i mean think about all the startups they have there called the structure something they take advantage of social media they've got ready access to currency they're able in this case to do two million dollars a day in revenue but some are asking when is goldman sachs going to take islamic state public i'm sure that america would buy into it c n b c would report on it and there could be a huge i.p.o. well the danger to what i think you know fox news and the republican party was right a few years ago they said during obama administration that we would become an islamic state here in the united states well the danger of that coming true is in this next fact to wait here max about them with this control of seven oil fields into refineries in northern iraq and six out of ten oil fields in eastern syria the terror. group is selling crude at between twenty five dollars and sixty dollars

a barrel that's up to seventy five percent discount american of course their number one concern always is the price at the gas station pump right there disrupting the cartel oil is but a cartel pricing like a cartel now islamic states coming in and they're under pricing the current cartel price and as a result they are set to become a huge player in this global geo political arena of oil and weapons and the other thing i thought when reading this reminded me of how the american markets the how any state really but the america is the empire now is you know the islamic state ice isis whatever you want to call them. whatever they started out as they keep on changing and adopting a new flag a new logo a new brand and one of the things that they do is they change down the local population they take a cut of all bank robberies for example so for us in the us they've taken

a cut of the massive wealth with the robbery that happened during the two thousand and six seven eight period remember during the somali pirate crisis just a few years ago the somalis were you know pirating off the shore of somalia and then they created a stock exchange where you could buy stock in future hiring excursions the real estate in kenya skyrocketed in value because all the cash coming in from the somali pirates and so islamic state i think look at the you know what there's a lot of money to be made out there we just carve out a state called islamic state or whatever or rakim syria and you know these lines in the middle east as i said before are just randomly drawn to begin with there's no real reason for them it's just all been basically political politics driven so as a result it makes perfect sense that could be them building the fifty story tower behind us by the way this view will no longer be available pretty soon as than they are building a fifty story tower so if you hear a noise out there it's just the islamic state or whoever i don't know one of these groups. maybe it's the somali pirates who learn from the dutch east india company

of course but you know running these. you know these sort of operations as the u.s. has found as every empire before the u.s. is found and now it's islamic state is finding according to the bloomberg article they say that still while ice may now be the wealthiest terrorist group on the planet warfighting and minister doing territory is expensive the official said and although the islamic state is flush with cash now a key question is how sustainable is self financing will be because to see the flipside of the self-sufficiency is that there's a lot of territory that they controlled out that has no wild wild and these are the ones that are sucking the state this law mixtape dry by all these people you know they want to be paid to sweep the streets so you say in the article and so they're costing money but not giving in to any money to islamic state complaining and signing up for the welfare rolls and all that sort of stuff that the islamic state now is to take care of but i sort of put this in

a context comparing it to america for example on fox news talks about the liberals you know you hear the soften from bill o'reilly or sean hannity talking about the parasitical liberals over there an islamic state this would be equivalent to the apostolic value prostate you know they're not they're not totally driven by the ideology of the red state that is yes well but in a way if you're really anti state you would be for these parasites because they suck the state dry important to collapse so already in this islamic state is the genesis the birth the seeds of this destruction because they have to take care of these people who have no idea well and that's also i think does show you a lot about what the world the facts of the world the oil rich areas are rich that america the empire the empires always want to control the rich areas the oil that in this case they used to be gold there in the spanish empire pretty well islamic state. a classic example of libertarianism so i'm sure that all the libertarians in

america like. we are from the folks over there various universities would be completely in support of the islamic faith because are you saying libertarianism to its fullest extent i am. a person libertarianism means don't take care of the said don't know the elderly don't don't give women any kind of rights exactly we see in america exactly we see in the red states exactly we see in america birth of libertarianism is just suck all the caste it would also been done the other thing i thought when i was looking at this to compare it to the us and things that we understand and know and see in our own backyard is that the islamic state is self financing now only through oil and but through the shakedowns and harassing the local population so this also makes it more difficult for the us to apply sanctions like they could for al qaida and bin ladin operation for example they say it's all their donations came from outside it gets cut off that source of

funding well here i'm looking at the harassment and what we see economic rassmann economic harassment and the ferguson crisis so they look at ferguson missouri and what they found was economic morass that basically it's one of the highest in all of the united states where these people are shaken down constantly by the police because that's the second highest source of revenue for the ferguson missouri municipality and these are like parking fines going through red lights or turning red it right on red when you shouldn't and things like that right parking over a yellow line so the municipality collect some two point six million dollars a year in fine and quirky typically from small scale infractions like traffic violations this is the second largest source of income for that small fiscally strapped in the polity and in fact they were three hundred twelve dollars in fines per household and progress in missouri i haven't heard this story this is incredible to me ferguson missouri shakes. from the police of the citizens and from

the courts on minor infractions are what keeping that government alive and as a result there is huge unrest from people who are tired of being shaken down in this matter what again this is what happens when the government spends all of its money supporting these foreign excursions and foreign wars there's no money to pay for basic services the cops are told go shake people on the highway steal their cash and they're going to end up with an uprising right there in the us and it's a classic and a vampire story and one of the guys that they talked to in this article says that you don't get three hundred twenty one dollars in fines and fees and three warrants per household from an above average crime rate you get numbers like this from b.s. harassed for jaywalking and what the report calls low level harassment involving traffic stops court appearances high fines threat of jail for failure to pay without a meaningful inquiry into whether an individual has the means to pay well i'm also saying this is compare this to the roman empire and they collapsed why did the

romans welcome in the visigoths the boss the vandals all those people from outside why did they accept them and well because they are being shaken down constantly by the roman emperor for financing all his wars and here these people are just like forget it i'm being shaken down by these guys at home might as well go be shaken down by those other guys who want to come then it's exactly analogous of the silver denarius of rome that was clipped the famous coin clipping that went on peoples the soldiers to defend the empire were saying that they were getting paid less and less of last and the bank vandals came in the barbarians came in here in the u.s. . version of point flipping it's called quantitative easing for the better reserve bank they also have records in place and that's hidden by shrinking the size of packaged goods so you get a third or a half the size for the same price so called shrink places. all the other examples

where the economy is being carved out is being drained of its vitality because america can't really pay for these wars anymore and you've got companies as we've said before burger king going to canada to avoid taxes they don't want to pay for the wars these want to cash so as a result ferguson missouri i think is just one of a thousand such uprisings in america probably in next eighteen months well actually if you mention the burger king story that's going to be an issue that you face more and more across to us mr polities. not only because they have the lower corporate tax revenue because of all these you know the tax and versions but you also have more people requiring subsidies and you also are going to see you know the retirees from these municipalities also demanding more and more of the shakedown so it becomes a point where all of these people in this town. incurring a criminal record because of these debts that are for small time to walking by the

way you know i must tell the international audience because this is that that hasn't really hit the rest of the world this that you get fined for jaywalking blocking your cross the street it's only a concept in america that was bought in by brought in by the car lobbyist anyway decades ago because somebody after it's really run over by cars and a bad headline so what they said is let's make it they're the j. the stupidest jaybird. walking was crossing the street while smoking and jack. not sure what that means that now well cyclists like map a whole lot more. to

. c.b.s. bizarre to see it more than the propaganda. that is the state sponsor of russia today program just words like sabean not like counting them and analyze this data is just ridiculous non answer to my question. john is not. supporting their safety and sometimes their lives all over the world to bring people stories none the propaganda channels don't want to see and become the most sometimes. those the media leave us so we leave the media. the see bush and security play your party years ago. in their shoes that no one is asking with the guests that you deserve answers

from it's all on politicking only on r t. differently here in syria now many of the members of congress of both parties who have gone to syria in recent months has said he's a reformer appreciate mr president that we choose diddy's time for him to go to. school we had to sue newsroom. welcome back to the kaiser report on max keyser time to turn once again to trace mayer he is a leading monetary expert on big coin and gold you know as i said that you were the

leading monetary x. where you could quite possibly be in the world today given your writing on the subject you're involved in a bit coy i want to turn again to where we left off last time trace this bit license in new york what are they trying to do and what should we do as big coin advocates yes. benjamin lawsky the superintendent and he passed for pros regulations for bit coin related companies actually virtual currency companies so it's very broad it's very big and it's very discretionary and so it's in a fact it's going to stifle a lot of innovation which i don't necessarily think is a very good idea for the us geopolitically and i don't think it's good for new york city particularly it's going to hurt their economy we're not going to companies won't come here one of the largest companies that testified at their hearing circle said we're not going to do any business with new york residents or businesses and

so you know they're going to isolate themselves becoming community the big players are saying we're just not going to be working in new york and but of course they're protecting their turf right because here's the biggest when you say about this intermediating force is a big point the new york banks are the ones we're going to be this intermediated right so they're just protecting their own yeah or at least that's the way they look at it it's like oh we're not going to allow blogs because it could hurt our newspapers the technology is coming like why don't you get ahead of the curve you know if more companies that had an internet strategy in one thousand nine hundred five and those companies that did have an internet strategy we see where they're at now and those that didn't well there are newspapers earnings are down ninety seven percent i mean it's a completely demolished industry and i think it's very analogous to banking you know we've seen. the internet just attack shipping we've seen it attack mail we've seen it is attack radio newspapers press taxi drivers actually drivers who were in protests in berlin like at the end of the day this is new technology it's going to creatively destroy old obsolete systems it's going to raise standard of living if

you go out of the innovation and if you don't you're going to live in north korea. well you mentioned. people dot com many of the ninety six center people focused on the crash of the dot com crash they forget that from the crash gave us amazon google the biggest market capitalized companies in america and in the world are at right the top of the list came out of that pressure you're suggesting that new york instead of being one of the winners in this new technological front they looks like they've opted to become the one of the losers yet at the end of the day been lost is really gotten above the pay grade with these regulations where would the u.s. be if they didn't have facebook and google and all of these helpful things for the u.s. intelligence services you know i guess we're going to talk about do we really want to drive all the innovation to singapore and to beijing and to moscow because i'm sure they'd welcome it with open arms you know if they could take away all that

knowledge the u.s. intelligence services have from visa and mastercard and what's actually going on in the russian economy they can take that away that knowledge i think it be a very powerful tool for them to russia for a second because they're making some moves here they are bringing in that chinese credit card yeah i think it's you know card to get or get out of the union to get out of mass according visa they are been buying gold very aggressively for for decades for years now so they're one of the biggest gold holders in the world they are doing selective sanctioning they are coming out is pretty smart and all this one one thing that surprises me that they haven't yet the penny hasn't dropped yet in the kremlin in terms of coins in other words. from where we sit. you know after having lobbied them for years to buy gold and take full credit for the crime of buying gold by the way well that they actually went to a data conference in two thousand and five and this guy that was number two in the economics department attended in the day after gold started from the four twenty

five to seven twenty five in russia and putin was holding a gold bar and some of the propaganda so i think the data guys actually had a lot to do in addition to you. this this idea that you know the really killie's heel of the us empire is and that economic calculation ability so the gold antitrust action committee bill murphy chris powell they had a conference there saying right after that oh yeah the guy from russia tended right after it started that up and there was a squeeze on this physical you know because the russians were saying physical delivery and now the chinese are gone into and taken out four thousand tons probably straight to beijing right now china and russia and iran have this cozy little shanghai cooperation organization they've got the new brics bank they're just get now the dollar i mean what i want a list of all my dollars i think right oh yeah. it's hard to kind of bad idea i mean goodness short term because the world reserve currency we're in a great credit contraction is the place unary a long term like everything stacking up against the dollar but i don't i mean i

what i love gold but in a lot of ways it's obsolete because we've got this new technology with big point you can't email gold around like how do you solve the payments problem with gold i mean you can't really do that so like i see big coin and gold is just very symbiotic what about germany is a great example they want their gold back from i guess new york so you laughing well not nice to laugh at the germans like that you're going to a burglar likes to see chase mayor laughing on the kaiser report are you strong to suggest that they'll never see their gold well i was actually laughing right in the face of one of the very dismaying dies i was at a conference and a guy from the bank was there and there was another person from a large another war. european bank and it was during one of the breaks in the business and i was actually very big points is talking to me because i was presenting about it and i asked them i was like you know how does get your go bad go on and he starts dancing you know and the other guy's like well we both know what why. and i said yeah because you're occupied. so i mean they're not going to

get their gold back there aren't you by they got how many tens of thousands of american troops in germany i think whatever the u.s. says and so does japan and so ok angela merkel you get spied on what are you going to do about it you're going to not renew the military to tell the u.s. to leave best the only real option that they have otherwise they just get to do whatever the u.s. tells them to do now according to jim rickards we've had on the show a few times he's author of currency wars death of the dollar. i was talking to him about this recently he's like well germany doesn't really want their gold back because as long as in new york it can be manipulated the u.s. can like confiscate it they can i pop they get it they can really vava get it right what he's saying they want to be manipulated as a way to support the current system because they want a role special drawing rights from the i.m.f. and they don't really want to go back to a hard currency of gold backed currency but it seems to me that if we're really

entering into a vicious currency wars like i think we are then you would want your physical gold in your country number one and number two i'm like records i think this whole idea of geopolitics and big coin has to be explored i think looking at his books they fall short of taking it to the twenty first century is very much a twentieth century currency warrior is not part of the twenty first century in this big coin development is it fair to say that you could wage global currency war and i'm talking about one hundred billion dollars transactions major currencies in bitcoin on the block chain is that possible is the security there is the liquidity there is that possible choice yeah the acquitted is. not there yet the security is getting there and armory were really built out the tools were built out cold swords maltese signature we're building out the security there extensible so you can keep building it building out features to it you know jim rickards currency wars

a great book i think you present a very strong case a very strong analysis but at the end of the day it's a chess board that existed you know in the past we've got a new chessboard now and unfortunately jim rickards doesn't really understand the the technological innovation with big point and so he can't provide a real saint analysis because he just doesn't understand it not that he can't understand it but he hasn't really you know bitcoin is created by a bunch of ph d.'s in math and computer science and distributed systems is highly complex you don't just get it and you can't just gloss over it otherwise you have a very superficial analysis of it let's take a look at this geo political chess board and put you on the spot here but i mean think of it i remember the old game we had as a kid risk you know as a geopolitical game and you're moving pieces around but how would this potentially obviously russia is the one that comes to mind right off the all right off the bat because they're being targeted by the i.m.f.

they got this ridiculous this going on in the ukraine on behalf of the i.m.f. to secure agricultural production in the ukraine let's be honest it's got nothing to do with with russia it's about the i.m.f. and the west wanting that agriculture product and they want the military bases there so it isn't. why don't they start to get more and maybe they are what are you hearing. we're building the tools for here is a great example with bit we have jeff cars make a big point for developer that we fired he built out a lot of the payment protocol how could the payment protocol be applied in the ukrainian situation what with the with the payment protocol you can authorize a transaction up to a certain amount of decline and then. you make watson micro transactions and it draws down against it and then you settle it on one big transaction but you've all but you know that you're going to get paid at least for whatever you shipped through the oil pipeline for example and so there are no big coins to authorize

a shipment of oil like russia just once and. as as each barrel of oil goes through the pipeline you're getting paid your big points in a in a nonreversible not enforceable non sanctionable way and then. ok so you've got your you've got like you've got the private keys yourself you're not like letting somebody else hold your gold and not when somebody else hold your big point you're doing it all in this just intermediate of this leverage is the open the ledger of which is the open accounting ledger there's private keys associated with it so you can you can parse out a deal over a year or eighteen months for oil through a pipeline through that territory and you can do it in a way that is completely above board and trustworthy on the open ledger it's irreversible using a private gaze you don't need the u.s. dollar oh you don't need the u.s. dollar but one you don't need any centralised so you don't use when you don't need all of these tony the lawyers you don't you don't need the contract well while the

contract you can actually build the contract into the transaction into using the big point protocol so it's all in the math like you see it all in the computer language so that russia china brazil iran they haven't got the new brics bank even if they don't use bitcoin as a let's say a reserve currency they would still want to use the block chain as a way to make it cheaper for them to do various currency swaps and everything else they need to do oh yeah and you can you can and i think when big point starts becoming a settlement currency because you can use it to enforce leverage ratios like insurance contracts there's a lot of ways that we can apply this this watch in technology and all of that is done and settled in the block chain. you know so there's no counterparty risk it's a huge deal no fannie mae freddie mac. lehman brothers bailouts like not notices settlement settlements are done on the block chain that what does this mean that means that we're not necessarily doing a deal of bitcoin if i got

a two billion dollar cultural deal to get through we can settle that all up on the block chain and subtle it's all backed up essentially in a way that takes away all possibility of there being any fraud in the transaction right both parties and if you really wanted to you could abstract dollars or rubles onto the box again and then they're represented by small or really small tiny amounts of big coins in the nose trade atomically in a box and so you're trading what's representing the oil with what's representing the roubles on the box given to thirty seconds left and i just want to get your final comments on are we heading to world war three are we in world war three your thoughts i think we've been in it probably at least for ten years you know along we've been doing this gold price suppression scheme with alan greenspan we've got us empire that's occupying everybody pledging everybody has collateral to consume people and take all their money and their identities and not let to grow are you

what you want to grow and all these problems across the world it all root cause in the us empire and i think a lot of people are fighting back against that whether it's in our weather center vigils and big cohen is that is the way to fight back because it's definitely a very powerful tool that individuals and states can use to fight this entire thanks treasuring once again on the kaiser report thanks max all right that's going to do it for this edition of the kaiser report with me max keiser and stacy herbert i want to thank our guests face mayor going to reach us on twitter use kaiser report the next time by go. over the wall piece from.

the budget since it adds to some good use will books will mostly be construed to be. years from still. almost all. before and. suggests a good basis try to. the people are going to. want to give the title or destroy the teaching every minute. of the money the law of the web. and my own life became.

the most sensational. most cases the most elite moments. sometimes from nothing which. is silly and in simple terms to. look just like the story can still be jobst if you see a stage eight look to be sets but the speech was still. plenty. we think of why we think there are. for all sand beaches. coconut palms gently swaying in the ocean breeze. in fact. white has a deep dark little secret a secret the u.s. government would like to know about. the allegra. bergdahl.

bilbo i dedicate their lives or she did take a good all wilderness is a. little. dramas that's trying to be ignored. stories others to refuse to notice. faces change the world writes never.

so picture of today's long life long distance from around the globe. dropped. to fifty. the resistance counterattack reverses military fortunes in the east with the rising body count in the armed forces sparking protests by soldiers relatives plus. i don't want to put the cart before the horse we don't have a strategy you have kurdish forces push back against the advance of islamic state fighters as western leaders try to thrash out a plan to keep the jihadist threat. and the british m.p. fleet in his home country for supporting the palestinians in his first interview since the brutal attack george galloway tells us about what happened.