Subject: File No. S7-33-11
From: Gr Peck
Affiliation: Private Citizen

September 4, 2011

It shouldn't amaze anyone why the existing fiat system is going to implode? As pointed out by many credible sources, most derivatives are illegal transactions. Pyramid schemes. Financial institutions might say that the value is what they say it is, but that does not make it so. The derivative scam is the largest catastrophe for the world economy that is looming in the distance (no longer in the distance). The intent of the corrupt financial institutions is to turn their 'paper losses' from the derivatives onto the taxpayers. If they manage to get away with that, brimstone will rain down on the world. The sub-prime mortgage crisis is a pimple in comparison with this criminal act of economic terrorism. The penalty for economic terrorism in times of war is capital punishment and these criminals should receive nothing less for their insidious behavior. An explanation of derivatives for dummies below. ..

What are derivatives? Think of them as bets and debts by the super-rich and the world's largest companies. What is being bet on, for the most part, is toxic paper and the bet adds to the toxicity. Conservative estimates say over $600T, probably more like over a quadrillion.

What's the market for derivatives like? Think of it as a giant international casino:

In the main hall, they bet on the interest-rate roulette.
In the side rooms, they bet on foreign-currency blackjack, commodity craps or stock-market poker.
And in virtually every sector, the bets are financed with generous amounts of borrowed money.

Copyrighted material redacted. Author cites Long, Gordon T. "Sultans of Swap - Explaining $605 Trillion of Derivatives!" Gold, Precious Metals News Wire - 25 Feb. 2010. Web. 06 Sept. 2011.