⚔ Geopolitics risk-off · 1–3 years
A what‑if from the future

What if a large economy is expelled from SWIFT over a geopolitical rupture?

A large economy is expelled from SWIFT over a geopolitical rupture, fragmenting cross-border payments and accelerating migration to CIPS/SPFS-style alternatives.

8%
our model probability
over 1–3 years
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 8% · 90% range 0–19% · 40 analogues · measured class de_dollarization 58% in 3 yr · 3% held back for the unknown
how we built this number — every step
Measured class rate — de_dollarization ≈0.2857/yr → 58% in 3 yr58%
Analyst prior · editorial share 10% of the class6%
Pooled · weight 87%8%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)8%
Published8%

The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.

The butterfly cascade

How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.

Resolution timeline — how this probability is moving

Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 1–3 years horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.

loading the timeline…

What it would mean

If this plays out, it is a risk-off shock. A large economy is expelled from SWIFT over a geopolitical rupture, fragmenting cross-border payments and accelerating migration to CIPS/SPFS-style alternatives. The trigger decomposes into signed root‑shocks — Dollar/reserve confidence ▼ · Financial conditions ▲ · Geopolitical risk ▲ · Trade tension ▲ — which propagate through our causal graph to the markets below.

If it happens — the markets it would move

Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.

MarketClassProjected move
1Volatility (VIX) VIXon Hyperliquid 📈 chartVol▲ +8.5%
hist +1.35–+8.9% · other way -3.55% (n=12)
2Nasdaq 100 NDXon Hyperliquid 📈 chartIndex▼ -4.9%
hist -3.19–-1.57% · other way +0.4% (n=12)
3Tech sector XLK 📈 chartEquity▼ -3.4%
hist -2.22–-0.89% · other way +0.42% (n=12)
4Semiconductors SMHon Hyperliquid 📈 chartEquity▼ -3.1%
hist -1.99–-0.09% · other way +3.07% (n=12)
5Nvidia NVDAon Hyperliquid 📈 chartEquity▼ -2.6%
hist -1.94–-0.22% · other way +3.1% (n=12)
6TSMC TSMon Hyperliquid 📈 chartEquity▼ -2.4%
hist -1.67–-0.82% · other way +3.31% (n=12)
7S&P 500 SPXon Hyperliquid 📈 chartIndex▼ -2.0%
hist -1.68–-0.55% · other way -0.7% (n=12)
8AMD AMDon Hyperliquid 📈 chartEquity▼ -2.1%
hist -1.88–+0.45% · other way +0.74% (n=12)
9Broadcom AVGOon Hyperliquid 📈 chartEquity▼ -2.1%
hist -1.48–+1.91% · other way +3.0% (n=12)
10Micron MUon Hyperliquid 📈 chartEquity▼ -2.1%
hist -1.51–-0.34% · other way +4.09% (n=12)
11Marvell MRVLon Hyperliquid 📈 chartEquity▼ -2.1%
hist -1.24–-0.52% · other way +2.51% (n=12)
12Gold XAUon Hyperliquid 📈 chartCommodity▲ +1.9%
hist +0.39–+1.68% · other way -0.42% (n=12)
13ASML ASMLon Hyperliquid 📈 chartEquity▼ -1.9%
hist -2.34–-0.08% · other way -0.48% (n=12)
14Qualcomm QCOMon Hyperliquid 📈 chartEquity▼ -1.4%
hist -2.67–+0.3% · other way -0.08% (n=12)

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
Cash / hedgeRaise cash and hold the long hedges above; this scenario is net risk-off.
For a common-man portfolio: A typical stock-heavy portfolio is at risk. Consider trimming equities, raising cash, and a small gold hedge.
Also moves (not yet on Hyperliquid): Tech sector -3.4% · High-yield credit -1.0% · Chinese yuan -0.8% · Financials -0.7% · JPMorgan -0.6% · Lockheed +0.6%

Historical precedent — what analogous events actually did

Across 40 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.

China retaliates to Liberation Day: 34% tariffs + rare-earth controls 2025-04 Gold tops $3,000 for the first time amid tariff and rate-cut fears 2025-03 Chinese yuan breaks 7 per dollar; US names China manipulator 2019-08 Smoot-Hawley clears the US House 1929-05 US-China extend tariff truce by another 90 days 2025-08 Israel strikes Iran — Operation Rising Lion 2025-06 US and China agree Geneva tariff truce, slashing rates 2025-05 October 2024 Iranian ballistic-missile attack on Israel 2024-10 Wagner Group mutiny against the Kremlin 2023-06 First Republic Bank seized and sold to JPMorgan 2023-05 Regional-bank panic deepens after Signature seizure 2023-03 Russia central-bank reserves frozen 2022-02 Kaisa Group offshore default 2021-12 Saudi-Russia oil price war 2020-03 Bitcoin Cash hash war capitulation 2018-11 US List 3 tariffs on $200B of Chinese goods finalized 2018-09 US Section 301 List 1 tariffs take effect on China 2018-07 China retaliates: $50B tariff list incl. soybeans 2018-04 US Section 232 steel & aluminum tariffs imposed 2018-03 North Korea sixth nuclear test 2017-09 North Korea 'fire and fury' nuclear scare 2017-08 Mexican peso crash on Trump 2016 win 2016-11 OPEC abandons output defense, opting for market share vs US shale 2014-11 HYG record outflows in 2014 high-yield rout 2014-10 Mt. Gox collapse 2014-02 Mt. Gox halts withdrawals 2014-02 Cyprus deposit bail-in 2013-03 Spain requests EUR100bn bank bailout 2012-06 Bankia nationalised in Spain's banking crisis 2012-05 Portugal requests EU-IMF bailout 2011-04 Egyptian revolution / Mubarak uprising 2011-01 Greece first EU/IMF bailout 2010-05 Greece requests EU/IMF bailout 2010-04 Anglo Irish Bank nationalisation 2009-01 Fannie Mae and Freddie Mac conservatorship 2008-09 IndyMac Bank seized by the Office of Thrift Supervision 2008-07 Northern Rock bank run 2007-09 American Home Mortgage bankruptcy 2007-08 Bear Stearns freezes redemptions on subprime hedge funds 2007-06 New Century Financial bankruptcy 2007-04
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
XCU XCUSHORT-2.0% · 5d -0.8%68%39 0.31✓ matches cascade
High-yield credit HYGSHORT-0.6% · 5d -0.2%67%38 0.28✓ matches cascade
ETH ETHSHORT-5.7% · 5d -6.7%67%18 0.26✓ matches cascade
AVGO AVGOLONG+2.6% · 5d -1.4% ↺ fades63%32 0.24⚠ differs
MRVL MRVLSHORT-0.2% · 5d -2.4%64%39 0.23✓ matches cascade
10y yield DGS10LONG+3bp · 5d +4bp62%39 0.19✓ matches cascade
RTX RTXSHORT-1.7% · 5d -1.2%62%39 0.18⚠ differs
AUD AUDSHORT-0.8% · 5d +0.0% ↺ fades59%39 0.17✓ matches cascade
XLF XLFSHORT-0.5% · 5d -0.9%59%39 0.16✓ matches cascade
FCX FCXSHORT-3.3% · 5d -1.8%59%39 0.15✓ matches cascade
Bitcoin BTCSHORT-4.0% · 5d -3.9%59%23 0.15·
SMH SMHLONG+1.0% · 5d -0.5% ↺ fades57%39 0.11⚠ differs
KWEB KWEBSHORT-1.6% · 5d -0.8%57%25 0.11✓ matches cascade
Gold XAULONG+0.6% · 5d -0.3% ↺ fades56%39 0.10✓ matches cascade

Methodology. Probability and impact are anchored to history and scored against what actually happens — wins and losses, in public, at Reality Check. Crowd odds live from Polymarket & Kalshi. By Vikas Singh, Quantitative Strategist. Updated 2026-07-03.