Frank26 says Iraq is talking about deleting the 3 zeros

Frank26  

In the last 24-48 hours we’ve seen several articles that state they are going to delete the 3 zeros. 

IMO - Abadi is now shifting things to a market economy … the only way to do that is to tell these “investors” in back-rooms that they are about to raise the value of their currency.

This is HUGE!  Time is up and they can’t afford to walk into next year … bankrupt.  They can’t go bankrupt...that would be a LOP...and that is not the goal of Iraq nor the United States.

[QUOTE]- "They can’t go bankrupt...that would be a LOP...and that is not the goal of Iraq nor the United States"


That scamming POS knows full well that deleting the zeros is the LOP and it has noting to do  with bankruptcy one way or the other!


For the umpteenth time deleting the zeros works like THIS,

The deleting country issues an all new currency with a new ISO code, in Iraq's case it would be the same denominations but without three zeros but worth 1000 times as much, thus the 25,000 notes that are worth about $23 would be issued as a new 25 note also worth the same $23, 10,000 note would be a new 10 Dinar note also worth exactly the same as the old 10,000 Dinar note, the 5,000 becomes a 5, etc. The value of the new notes is 1000 times higher but the old DOES NOT CHANGE IN VALUE and will trade for the new at a rate of 1000 old for one new, no one makes or loses any money. Both currencies will exist side-by-side for a period of time, Iraq has mentioned as much as 10 years but it can be as little or as much time as they want, and then the OLD CURRENCY becomes de-montized and no longer spendable or tradable, it becomes worthless. 


This is how deletion of the zeros works no matter who is doing it and it has been done many times throughout history, Turkey (2005), Mexico (1993), Venezuela (2008) and even Russia (1998). Did anyone get rich from holding these currencies at the time of the deletion of the zeros? Of course not and it will be the same with Iraq!

This is the way zero deletion/re-denomination or LOP is done and the way it works, Iraq has REPEATEDLY explained that they intend to do this just this way, they have many times used Turkey as an example of what they intend to do and have explained several times how the exchange is to work with the 25,000 note becoming the new 25, etc.

These idiot gurus go into damage control whenever Iraq mentions deleting the zeros and start these mis-information posts, they know fulll well what deleting the zeros really means and they know that if it ever happens that will be the end of the game for them and the scam will die! People still holding Dinar outside Iraq will be stuck with worthless paper that no one will take unless the dealers will maybe buy it back, which is highly unlikely and even if they do it would be with another (probably bigger!) spread since that would be a holder's only option!


Make no mistake about it, deletion of the zeros IS A LOP and holders of Dinar will either trade them (if it's even possible), sell them at a huge loss or simply be stuck with worthless paper and since the only place that will accept them is Iraq being stuck is the most likely scenario!