How to legally hide from the surveillance state

Friday, 9 November 2018
London, UK
By Sam Volkering

  • Be wealthy, but only on the government’s terms
  • Hey big spender
  • Three things to think about to keep out of sight

Make money. Be wealthy. In fact, be as wealthy as you can humanly be. Be so wealthy that generations benefit from your wealth centuries later.

Oh, there’s only one caveat…

You can’t be wealthy in an ‘unexplained way’. You can be wealthy, but only according to how the government says you can.

If you’ve made wealth in a way they deem to be unacceptable and unexplained, well they can throw you in prison.

That’s right, get too wealthy and they’ll lock you up.

Scared much? You should be. We are.

Our whole purpose here is to provide you with ways to get stinkin’ wealthy. And now the government is saying that if they aren’t happy with it, then they’re going to chase you down, lock you up and throw away the key.

What’s the solution here? Do you try and shield your wealth from them, come hell or high water? Or do you just submit and obey their authoritarian control?

You’re damned if you do and damned if you don’t. Thankfully, we might just have the solution you’re after.

But first, the markets.


Overnight the Dow Jones Industrial Average closed up 10.92 points, or 0.42%.

The S&P 500 lost 7.06 points, or 0.25%.

In Europe, the Euro Stoxx 50 index finished down 8.56 points, or 0.26%.

Meanwhile, the FTSE 100 rose 0.33%, and Germany’s DAX lost 0.45%.

In Asian markets, Japan’s Nikkei 225 is down 179.73 points, or 0.80%. China’s CSI 300 is down 1.31%.

In Australia, the S&P/ASX 200 is down 20.60 points, or 0.35%.

On the commodities markets, West Texas Intermediate crude oil is US$60.53 per barrel. Brent crude is US$70.68 per barrel.

Turning to gold, the yellow metal is trading for US$1,218.83 (AU$1,683.17) per troy ounce. Silver is US$14.39 (AU$19.86) per troy ounce.

One bitcoin is worth US$6,425.76.

The Aussie dollar is worth 72.45 US cents.

$29 million over 10 years

Imagine spending $2.9 million a year every year for 10 years. Most people wouldn’t even have a chance to spend $2.9 million annually for one year, let alone 10.

But here’s something even crazier. Imagine spending $2.9 million a year at just one shop. At a retail shop, Harrods.

It’s positively bonkers. $29 million spent at Harrods over the space of a decade. And all by one person. It just so happens this person, Zamira Hajiyeva, is the wife of former ‘disgraced banker’ Jahangir Hajiyev.

Jahangir was the head of the International Bank of Azerbaijan. And according to the Daily Mail:

Hajiyev was arrested in his native Azerbaijan in December 2015 accused of embezzling more than £100 million from the bank. He is currently serving a 15-year jail sentence in the country for fraud and embezzlement.

It’s alleged that Mrs Hajiyev spend £16 million (approx. AU$29 million) over a decade at Harrods, using 35 credit cards issued by the bank. Yes, this does appear to be as dodgy as it sounds.

The end result here is that Mrs Hajiyeva is living a life of luxury in London. Well, she was until recently. She’s the subject of the UK’s first example of ‘Unexplained Wealth Orders’ (UWOs).

These are very new laws that came into effect in the UK in January this year. According to the UK government circular:

A UWO requires a person who is reasonably suspected of involvement in, or of being connected to a person involved in, serious crime to explain the nature and extent of their interest in particular property, and to explain how the property was obtained, where there are reasonable grounds to suspect that the respondent’s known lawfully obtained income would be insufficient to allow the respondent to obtain the property. 

A UWO is a civil power and an investigation tool. It requires the respondent to provide information on certain matters (their lawful ownership of a property, and the means by which it was obtained).

Now on the face of it you might think there’s nothing wrong with this. After all, it’s on the proviso that you have to be ‘reasonably suspected’ of serious crime. And that your property — and income — is lawfully obtained.

If you’re buying property or goods with money from criminal behaviour, then surely there must be investigative powers?

Well no, there shouldn’t. Not based solely on ‘reasonable suspicion’.

We think this kind of invasive power is akin to the government defence of ‘in the interests of national security’. Remember the Australian government’s mass metadata retention and collection powers? You know, the ones that still exist today. The ones where the government has carte blanche to collect, store and analyse all your metadata.

Well, their reasoning for these surveillance laws is the fight against terrorism. We think UWO’s are the UK government’s next attempt at mass surveillance. And we thoroughly expect the Aussie government to follow suit very soon.

It’s our view that all your personal financial transaction data will be collected, stored and analysed by authorities under the same security façade.

We exist in a digital world where the government will track all your metadata. That’s metadata from your phone. It’s metadata from your car. Metadata from all your smart devices.

And soon they’ll also track every cent you make, spend and save, to keep as close an eye on you as possible. All in the interests of national security, of course.

It’s why it’s inevitable countries will issue their own digital currency, if only to track the movement of every dollar everywhere in the economy.

Three ways to look at privacy

The surveillance state is right on you, right now. However, there is a way to keep your digital wealth away from Big Brother’s watchful eye.

It’s through obfuscated networks. These are cryptocurrency networks with the highest levels of privacy. These privacy-focused crypto networks have the tech to enable completely private, non-traceable but trusted transactions.

It means you can transfer wealth over to me and there’s no way to connect the transfer to either of us. The networks can provide privacy from prying eyes. No one can see how much you hold, what it’s worth, where you send it, who and where you get it from.

Three of the most developed cryptocurrencies working on these technologies include Monero, Zcash and PivX.

They’re working on tech they call ring signatures: zk–SNARKs and Zerocoin protocols.

The explanation of how that actually works can get highly technical. Heck, PivX’s open source code is MIT licenced. In other words, incredibly smart people are building these private networks.

The core element here is about keeping your digital wealth private, secure and safe.

Of course, we’re not saying you should do anything illegal. And for now there’s nothing illegal about using these cryptocurrencies. They are a fair way to keep your crypto wealth away from prying eyes.

However, what’s front of mind is the government declaring privacy crypto illegal. And therefore any wealth created by them could be reasonably suspected to be income from crime.

That’s the point here. They say these powers of surveillance are there to protect us all. But deep down it’s just an intrusion into everything you do.

We don’t expect any government is about to declare cryptocurrency illegal. Which means if you’re interested in keeping things private, secure and away from prying eyes, you should really be looking at ways to utilise privacy crypto.

Just something to keep up your sleeve for that rainy day.


THIS is How Trends Change, and Why it Matters…
By The Billionaire’s Trader

I hope you’ve enjoyed these essays so far.

I’ve laid a lot of groundwork for you so we can delve into the state of the markets at a much deeper level.

Now, it’s possible you may think that the few things you’ve learned so far don’t really amount to much. But I assure you, once you start seeing the stock and market analysis in real-time — giving you key levels to watch out for — you’ll be able to follow along and understand what’s going on.

But there is still so much more to show you. In fact, to help with your learning, I suggest you sign up for the FREE masterclass series that I’ve prepared for you. In that series, I’ll reveal my identity.

Sorry to be so coy about who I am. But before I put my name out there, I want to make sure you’re truly serious about learning to trade.

To sign up for the masterclass, just go to this link, check out the details, and follow the instructions to join. Remember, it’s FREE.

Over time, by reading these essays and the information in the masterclass series, you’ll glean a lot more information. But for now, you have a solid foundation on which you can build your knowledge.

Fire in the Hole!

Before You Even Think About Trading, Know This…

Fine-Tuning Your Trading ‘Swing’

How to Understand Two Decades of Trading in One Simple Chart…

Let’s Trade! Here’s Where the Rubber Meets the Road

And to help you further, I’ve also recorded a quick video for you today analysing the key technical aspects of the big four banks. You’ll see the link to that video below. It’s a big picture overview of the current state of the banks from a technical perspective. Importantly, it uses the answers to the questions I’ve written about for the last few weeks.

You can find those previous articles, in previous editions of Port Phillip Insider, here:

This is all part of putting what you’ve learned so far into some sort of practice. Not the ultimate practice of actually placing a trade, but a walkthrough using live data.

It will make things much clearer for you. If you’ve been scratching your head at all while reading the essays so far, it’s well worth 20 minutes of your time to watch it.

Now, today I’m going to let you in on a bit of a secret. I need to give you this information because the signal has been given in the S&P/ASX 200. It relates to the way trends change in markets.

It’s a neat little trick that will help you narrow down really solid opportunities. So I’ll show you the idea, and then we’ll look at the S&P/ASX 200 so you can understand why I’m starting to get excited about the coming opportunities.

I’m sure you’ve heard that a trend is a series of higher highs and higher lows in an uptrend, and lower highs and lower lows in a downtrend. But how does it get from one to the other? 

Most classical technical analysis looks for the break of the most recent low to confirm a possible change of trend.

Classical Technical Analysis for change of trend

chart image

Source: Port Phillip Publishing
Click to enlarge

I’d like to add another step to that definition. 

In an uptrend, once the previous wave’s low has been broken, that ISN’T the time to sell. That’s just the hint that the uptrend is under threat and could be ending. The real opportunity is to wait for a rally up into the sell zone of the current down waves.

Adding another step to Classical Technical Analysis

chart image

Source: Port Phillip Publishing
Click to enlarge

That’s where you can get an amazing opportunity to sell into strength after it appears the uptrend may be over.You should remember that the sell zone is a 75–87.5% retracement of the previous wave. You can see in the example given above that amateur traders who sell short, based on the classical view of a change of trend, would have been under pressure straight away in the next example. Instead of selling off as they expect, it rallies again almost all the way back to the high. 

Having the knowledge to wait for the rally after the initial hint that more selling pressure is coming, gives you the opportunity to get set in the sell zone (indicated in the chart above) of the current downwave. This will put you in the company of only a few knowledgeable traders.

I know that’s the case because I see these opportunities popping up everywhere.

So again, with that background, let’s turn to the S&P/ASX 200 futures right now. I’ll show you how this set-up is playing out in real-time.

ASX 200 futures have given the ‘hint’

chart image

Source: CQG Integrated Client
Click to enlarge

I’ve traced out each wave for you, so you can see how the trend developed with higher highs and higher lows. The big sell-off we saw last month broke below the previous wave’s low, so this has confirmed the ‘hint’.

Now we just need to wait and see how far this rally takes us. At some point in this rally, it should give us an excellent selling opportunity before the next leg down.

I’ve shown you where the buy and sell zones are for the whole rally since the start of 2016 (the red and green boxes). I’ve also drawn in the sell zone of the wave down from the high made in August this year.

Don’t be surprised to see a rally that goes all the way up there (around 6,150–6,250), where everyone could get bullish again…before the market falls over.

From here, if we see a weekly sell pivot, we’ll move to a ‘war footing’.

It would be great to see this short squeeze go a bit higher to increase the odds of a reversal. If it rallies to the top of the sell zone (the top of the larger red rectangle near 6,100), I would become far more aggressive in looking for ways to profit from that turnaround.

Hopefully by now, you can see the power of this analysis.

To take this one step further, make sure you look at the video where I analyse the big four banks.

chart image

Source: CQG Integrated Client
Click to enlarge

They aren’t flashing any trading opportunities right now, but you’ll gain a deeper understanding of how my analysis works.

Finally, also make sure you sign up for the FREE masterclass series. I’ll reveal my identity, and give you a comprehensive outline of everything we’ve discussed so far.

Bye for now,
The Billionaire’s Trader