In the speculative market of imperial gold banknotes, in addition to the Fogel family, there are other "big players" who heard the news in advance, such as the Weinstein family, and the Canaanite royal family fund, which entrusted the Weinstein family to hold the gold banknotes on behalf of them, also threw gold bills on this "Black Friday" at the behest of Prince Colossa, and arbitrarily left the market.

In this way, at the same time when tens of thousands of retail investors were still at a loss, super speculators tacitly sold gold banknotes that had appreciated to the peak one after another, and quietly withdrew from this crumbling market. The price of gold banknotes, as the thermometer of the market, after a whole day of back and forth between buyers and sellers, finally could not withstand the pressure of huge selling, from a slow decline to a rapid fall, and by nightfall, the market price of gold banknotes had fallen by one-third, and it continued to fall.

At this time, even the most sluggish people realized that something was wrong, and frantically rushed into the nearest tavern to try to find a counterparty and sell their gold money as soon as possible.

From the princes and nobles, down to the peddlers and pawns, almost everyone in the holy city participated in gold money speculation to varying degrees, contributing more or less to the inflation of this "gilded bubble", and now the bubble burst without warning, everyone panicked, and the panic spread throughout the city like a contagion.

On this night, countless people tossed and turned and couldn't sleep, and countless hearts were anxious. All the anxiety and panic were projected onto the gold banknote market and magnified, and in the early morning of July 31, the Imperial Gold Banknote, which had risen for more than a year and had reached a maximum market value of 215 gold duga, was so prosperous that the market price fell back to face value!

And this is just the beginning of a financial catastrophe. At nine o'clock in the morning of the same day, the Reichsbank could not open its doors at its usual schedule, because a mile-long queue had been discharged from the bank's door, and the black-pressed crowd could not be seen at a glance, and every face, young or old, had the same anxiety written on it, and they all had the same purpose, to exchange the sharply depreciating gold banknotes in their hands into magic crystals, which was the promise that Prime Minister Muller made to the public when he issued the gold banknotes last year!

At the same time that people were in a hurry to exchange gold money, there was also a tense atmosphere in the Imperial Central Bank building. In the conference hall, the president kept wiping his sweat and repeatedly explained to the gloomy Frank why he couldn't open the door. The answer is actually quite simple, the central bank simply can't come up with enough magic crystals and gold and silver to quell the public run.

"The longer it drags on, the stronger the public panic will be, and the more people will join the run." Frank wiped his slightly sweaty forehead, turned to face his chief thinker, and couldn't help but say in a tone of condemnation: "John, I warned you a long time ago, you can't issue paper money in such an uncontrolled manner, sooner or later it will lead to trouble!" Look, trouble is coming now! ”

"Red-haired" John seemed to be the only person in the room who remained calm, and he smiled at the crown prince's accusations and calmly retorted them.

"Your Highness, how much currency a country needs depends on the size of the country's economy, the empire has 20 million square miles of land and 230 million people, compared to the huge economic potential, the gold banknotes we issue are only a lot at first glance, in fact, according to the average calculation of the whole people, the gold banknotes held by each person are only 3 gold duga, is it possible that the per capita property of the people of the empire is only a pitiful 3 duga? Does anyone believe this? ”

"John, my friend! This account can't be calculated like this, you must know that although the empire is vast and has a large population, the wealth is not evenly distributed in everyone's hands, some people have tens of millions of dollars, and some people are penniless, and it is meaningless to calculate the average! Frank said angrily.

"But think about it, would those poor devils who were penniless hold gold money? It doesn't matter if the price of gold money rises or falls, we just need to focus on those who hold the gold money. John Lauer said with a pretended lightheartedness.

"That's right, the people we need to pay attention to are blocking the door of the central bank at the moment, asking us to exchange the magic crystal and gold and silver for the gold and silver in their hands, John, what are you going to do now?" Frank asked, holding back his anger.

"Just meet their requirements." John Raul actually laughed, "Most of the gold banknotes are sold at a premium, and now they are recovered at face value, and the central bank is not at a loss." ”

John ...... Are you going to ......" Frank stared at the red-haired man in surprise and lowered his voice to ask him, "Do you really think of those banknotes as a currency of equal value to gold and silver?" ”

"Why not?" John Lauer's eyes burned with pious fervor, "It doesn't matter if the material of the currency is gold or silver or paper, what matters is credit!" As long as a currency can maintain credit, the lower the value of the coin, the lower the cost of issuance, which is a good thing, and from this point of view, paper money is much better than gold and silver coinage. ”

"In the past, when gold and silver coinage was used, the monetary tools in the hands of the central bank were very limited, and those who held a large amount of gold and silver could manipulate the interest rate of the whole country and obtain huge profits through usury, and the resulting high interest rates hurt small operators, and the high cost of borrowing was like an invisible wall, towering in front of people, discouraged people's enthusiasm for entrepreneurship, and this is the fundamental reason why China lags behind other powerful countries in the tide of magic industrialization in the new century."

"Since we issued paper money last year, the central bank has the right to issue money without restrictions, 700 million gold banknotes have been roaring into the domestic market in a year, which has indeed caused a certain degree of inflation, but it has also greatly reduced the cost of borrowing, and the power to control interest rates has been taken back from the hands of lenders, lower interest rates are conducive to borrowing, stimulating people's entrepreneurial enthusiasm, and at the same time can greatly reduce trade costs, this year the empire has added more factories than in the past five years combined, and export trade is also more active, It is even expected that the balance of imports and exports will be reached by the end of the year, and the disadvantages of the decades-long trade deficit will be reversed. Compared to these huge macroeconomic benefits, a little volatility in the speculative market is nothing! ”

"Alright John, now is not the time to brag about it, I admit that what you said is true, but it will be of no use to our current predicament, if you don't want to be torn apart alive by the angry gold money speculators outside the door, you better find a way to come out and appease them at once." Frank said helplessly.