The Fed Has Fallen: How Trump's Reset Architects Are Engineering America's Monetary Overhaul

(MENAFN- The Rio Times) (Op-Ed Analysis) Stephen Miran's elevation to the Federal Reserve is more than a routine appointment. It places the architect of Donald Trump's most ambitious economic vision directly inside the central bank that will be tasked with executing it.

What began as provocative speculation in think tank papers is now shifting into institutional reality. For years, the U.S. has wrestled with what economists call Triffin's dilemma: the burden of issuing the world's reserve currency.

The dollar's privileged status provides global demand for U.S. assets, but at a cost-it keeps the currency artificially strong, undermining American manufacturing and forcing the U.S. to run chronic trade deficits.

Trump and his economic circle-Miran, Treasury Secretary Scott Bessent, and Commerce Secretary Howard Lutnik-are convinced this flaw is the root cause of America's industrial hollowing-out.

Their solution is nothing less than a monetary reset, a modern equivalent of the 1985 Plaza Accord, but on a scale that could redefine the global system.
The Blueprint for a Reset
Miran's 2024 white paper laid out the intellectual foundation. It argued that to restore American productive capacity, the dollar must be deliberately weakened, and global trade rules restructured.



Tariffs, currency interventions, and fees on foreign dollar reserves were suggested as tools. Unlike past administrations that treated trade imbalances as an unsolvable feature of the system, Trump's team sees them as design flaws that can be corrected.

The strategy is now known among insiders as the“Mar-a-Lago Accord.” The name itself hints at how Trump envisions its culmination: a gathering of world leaders, not at Bretton Woods or the Plaza Hotel, but at Trump's Florida estate, where a new monetary framework would be unveiled.
Why the Fed Matters
Historically, such resets only succeed when monetary policy is aligned with political objectives. The Plaza Accord worked because then-Fed Chair Paul Volcker cooperated with Treasury Secretary James Baker in cutting interest rates, creating the conditions for the dollar to fall.

Trump appears to have drawn this lesson. By positioning Miran inside the Federal Reserve, he ensures that the institution will not resist but actively facilitate dollar devaluation.

As a Fed governor, Miran will have a permanent vote on the Federal Open Market Committee. This gives him influence over interest rates, money supply, and balance sheet operations-the levers that will be used to synchronize monetary policy with Trump's Reset.

With Jerome Powell's term ending in 2026, Miran could even be elevated to chair, consolidating full control over the central bank's direction.
The Gold Connection
Markets have already begun to respond. Since late 2024, gold has surged more than 45%, repeatedly hitting record highs above $3,400 per ounce. At the same time, physical gold has been leaving London in massive quantities, much of it bound for New York.

Analysts estimate that an anonymous U.S. buyer-likely a government entity-has taken delivery of as much as 2,000 metric tons, roughly a quarter of the official U.S. gold stockpile.

This is no speculative play for short-term profit. The behavior suggests accumulation for strategic purposes-possibly to prepare for a gold revaluation that would underpin the Reset.

For centuries, gold has been the asset of last resort when monetary regimes falter. If Trump's team intends to anchor confidence in a new system, a credible demonstration of U.S. gold reserves would be central to persuading foreign governments and markets alike.
Toward a Sovereign Wealth Fund
Yet gold is only the first step. Trump's team is exploring the creation of a U.S. Sovereign Wealth Fund (SWF ), modeled on those of Norway, Saudi Arabia, and China.

The idea is to place America's vast underutilized assets-land, minerals, energy reserves-into a portfolio that generates royalties and investment returns.

Lutnik has suggested that U.S. national wealth could be valued at $500 trillion, and even a fraction of that monetized could yield trillions annually.

By combining gold revaluation with a SWF, the U.S. would be able to“monetize the asset side of its balance sheet,” as Bessent described, and simultaneously reduce reliance on debt issuance.

The SWF would also provide the foundation for rebuilding U.S. supply chains and restoring manufacturing competitiveness, aligning industrial policy with monetary reform.
A Calculated Gamble
The approach is risky. Weakening the dollar carries the danger of capital flight and financial instability. Allies may resist, recalling how Japan and Germany were strong-armed in the 1980s.

China, already pursuing its own gold and currency strategies, may not cooperate. And a radical dollar devaluation-some forecasts suggest up to 90% against gold-would impose severe pain on savers and consumers in the short term.

But the logic is consistent. To revive manufacturing, America needs a weaker dollar. To secure legitimacy for that shift, it needs gold and tangible assets backing the transition.

And to execute such a complex maneuver, it needs the Fed onside. Miran's placement achieves exactly that.
From Chaos to Design
Critics dismiss Trump's tariffs, currency jabs, and threats as chaos. But viewed through Miran's blueprint, the turbulence looks more like stagecraft: disruption as a means of forcing negotiations and preparing markets for a systemic overhaul.

Just as Nixon's 1971 gold shock and Reagan's Plaza Accord rewrote the rules, Trump appears intent on doing the same-this time under the banner of the Mar-a-Lago Accord.

Whether this gamble succeeds remains uncertain. Success could mean a revived industrial base, a restructured dollar, and a new“golden age” of U.S. productivity.

Failure could accelerate decline and fracture alliances. But with gold soaring, the dollar sliding, and Miran inside the Fed, the Reset has clearly moved from theory to practice.

For investors and citizens alike, the implication is stark: the monetary order is being rewritten in real time, and the consequences will ripple through every household and portfolio. The storm may look chaotic-but behind it lies a deliberate design.

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