Terminus

The potential terminus point for this fable of what happens when a snake begins his last meal by starting at his own tail could be interesting, especially if the Fed becomes the final resting place for a majority of foreign-owned Treasuries that are not rolled over. We could see most of the Treasuries in existence classified as liabilities on the books of the Treasury simultaneously classified as assets on the balance sheet of the bank empowered to auction them, the Fed.

The bonds could not have any value at that point, because the only way the Treasury could redeem its liabilities would be to borrow from the Fed- technically making the Fed responsible for reconstituting the Treasuries it is counting as assets.

I guess that's the point where they come to seize the collateral and wave bye bye to the fiat dollar. And that's exactly the terminus this centrifuge of funny money is pointing to.