October could see the “biggest crash in world history” according to one personal finance expert. But why has this stark warning been issued? Will we really see a global economic crash this month?
Self-made billionaire Robert Kiyosaki, a personal finance expert, has warned a “giant” market crash has already been triggered.
He warns the world is on the brink of economic disaster and this crash will bring down bitcoin and could wipe out the price of stocks affecting millions.
Mr Kiyosaki told Kitco News: “This is gonna be the biggest crash in world history. We’ve never had this much debt pumped up.
“Debt is the biggest problem of all… debt-to-GDP ratio is out of sight.”
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He explained this has meant businesses haven’t received much-needed spending from consumers.
While they have also struggled with months of closures and loss of revenue caused by the numerous lockdowns.
He said: “So they [the US Government] pump all this money in, prices go up.”
He explained this has caused the US economy to be “stacked with this massive debt and all it’s done is bump up the stock market and real estate market”.
If his predicted crash happens, Mr Kiyosaki warns the repercussions will be huge.
He said the price of gold and silver will fall dramatically, along with it the bitcoin prices will also nosedive as the stock market crashes.
Mr Kiyosaki said the US stock market has been artificially inflated by the US Government over the pandemic and that when this bubble bursts millions around the world will be affected.
He said: “The money has not gone into the economy, that’s the sad part. So the rich get richer, but the poor and middle class are getting poorer. It’s tragic what’s happening today.”
He warned the crash will be so severe “unfortunately, there will be massive social unrest.”
As “the Treasury have only invested in the investor class, [and not] the working class.”
But Mr Kiyosaki said while ordinary people may feel the pinch, a world recession could be good news for savvy investors.
He said: “The good news is a crash is a good time to get rich, so that’s why I’m optimistic and I’m very optimistic on gold, silver and Bitcoin, not on stocks.”