Alright, let me break this down—
The Galactic Central Bank dropped their latest policy bombshell yesterday: emergency credit expansion of 2.7 trillion SGC to “ensure market stability during these uncertain times.”
Sound familiar? It should. We’ve seen this playbook before.
HERE’S the beautiful part—
They’re calling it the “Interstellar Economic Stabilization Protocol.” Beautiful name, right? Makes it sound like they’re saving civilization itself. But watch what happens next…
Step 1: GCB creates 2.7 trillion fresh credits out of thin air. Not backed by ore, not backed by energy cores, not backed by anything except their promise that these digits have value.
Step 2: Those credits go straight to the mega-corps first. Stellar Financial gets their bailout. Orion Trust gets their liquidity injection. The Ceres Exchange gets its “market maker” funds.
Step 3: These early recipients spend the new credits at today’s prices - before credit dilution hits the broader economy.
Step 4: By the time those credits trickle down to frontier settlements and colony stations, prices have already adjusted upward.
You see what they did there? The mega-corps got to spend tomorrow’s inflated credits at today’s deflated prices. Meanwhile, workers in the Outer Rim watch their wages buy less fuel, less food, less everything.
And THAT’S the Cantillon Effect, baby!
This is the part they don’t want you to understand
Richard Cantillon figured this out back in the 18th century Old Earth calendar. New money doesn’t spread evenly through an economy like honey on toast. It flows in a specific sequence, benefiting those closest to the money printer.
In our case, the flow looks like this:
- GCB creates credits
- Mega-corps receive credits
- Core System contractors get paid
- Mid-rim suppliers see demand
- Outer rim colonies feel price increases
- Frontier settlements get crushed
Now watch what happens next… The GCB will point to “rising prices” as evidence they need to “tighten policy.” Translation: they’ll restrict credit access for small businesses and colony startups while keeping the cheap money flowing to their friends.
Here’s the whiteboard moment
Imagine you and I are the only two people on a station. I have the only credit printer. I create 1000 new credits and spend them buying all your spare oxygen canisters before you realize what’s happening.
By the time you figure out there are more credits in circulation, I already own your oxygen at yesterday’s prices. You’re left with diluted credits that buy less of everything else.
Scale this up to 847 star systems and you’ve got modern monetary policy.
The beautiful scam
Every “emergency” expansion transfers wealth from credit holders to credit creators. Every “stabilization” protocol destabilizes working families while enriching the already-wealthy.
And the best part? They’ve convinced everyone this is normal. That this is how healthy economies work.
It’s not.
Sound money doesn’t need constant “management.” Sound money doesn’t require emergency interventions every few cycles. Sound money doesn’t systematically transfer wealth from workers to financiers.
But sound money doesn’t make the mega-corps richer, so we’ll never see it under the current system.
Next week: How the “Colonial Development Fund” actually prevents colonial development