Latest / CRYPTO 101 / Crypto Rundown: Bitcoin Wallet Hack Panic… Here’s What Actually Happened

Transcript

Crypto Rundown: Bitcoin Wallet Hack Panic… Here’s What Actually Happened · CRYPTO 101

0:06
[SPEAKER_02]: And welcome back to the show, my friend, how are you?
0:09
[SPEAKER_02]: I'm doing great, man.
0:10
[SPEAKER_02]: It's good to be back.
0:11
[SPEAKER_02]: Love doing the rundowns.
0:13
[SPEAKER_02]: Man, there's a lot to talk about here today as they're usually as during these events, but Happy to be back, my friend.
0:21
[SPEAKER_01]: Absolutely.
0:22
[SPEAKER_01]: I think we got to jump right off with the, um, with the cold, cold card wallet hack.
0:27
[SPEAKER_01]: I'll bring that up.
0:28
[SPEAKER_01]: It's, it's one of the bigger hacks for wallets.
0:30
[SPEAKER_01]: Um, they're calling it the worst hardware wallet hack and Bitcoin history.
0:34
[SPEAKER_01]: But there's some nuance to this that you need to understand.
0:37
[SPEAKER_01]: Um, and it comes down to, uh, it really was the company's fault.
0:41
[SPEAKER_01]: And it's been, you know, we don't want to see anybody lose money.
0:43
[SPEAKER_01]: It's obviously very sad when that happens.
0:46
[SPEAKER_01]: Um, and it's one of those things where, where you got to do your research and find the
0:51
[SPEAKER_01]: But any insight into this hack and the exploit that was really through the company, it wasn't a blockchain breach or an AI quantum threat and you got to be careful because there's a people that are going to run with this narrative and kind of take it down that rabbit hole, but it was simply just kind of, you know, and I don't think it was a bad actors and nefarious like an SBF, but bad actor nonetheless of not doing their customers do diligence.
1:18
[SPEAKER_02]: Yeah, I think it was a bit more of carolousness as opposed to intentionality if that makes sense.
1:24
[SPEAKER_02]: Maybe a little bit of corner cutting, maybe just a little bit of ignorance, you know, really not sure.
1:29
[SPEAKER_02]: But I think you made a good point here, and that the main takeaway is not that wallets aren't safe.
1:34
[SPEAKER_02]: Bitcoin isn't safe, blockchains aren't safe.
1:37
[SPEAKER_02]: That's a misunderstanding of what happened here.
1:40
[SPEAKER_02]: And you're right, it was on the fault of the company in the firmware, and this talks about it a little bit.
1:45
[SPEAKER_02]: It's actually a really good article.
1:46
[SPEAKER_02]: You pulled up Tvo here from X, but it's really due to the company, and it comes down to how they,
1:55
[SPEAKER_02]: created those seeds, right?
1:57
[SPEAKER_02]: Is it purely random, is it predictable?
2:00
[SPEAKER_02]: Well, as it says in this post, it's a firmware bug.
2:04
[SPEAKER_02]: So it's not to say, oh my gosh, all wallets are no longer safe.
2:07
[SPEAKER_02]: The blockchain itself, it's not safe.
2:10
[SPEAKER_02]: That's not at all what happened here.
2:12
[SPEAKER_02]: And so that's a misunderstanding.
2:13
[SPEAKER_02]: I think you are going to see people run with that.
2:16
[SPEAKER_02]: It's a bit of a theme right now.
2:17
[SPEAKER_02]: And we'll have another post that we can kind of show to talk about this a little bit more.
2:21
[SPEAKER_02]: the theme right now and the cool thing that'll get clicks and attention and whatever is this idea that nothing's safe anymore, right?
2:30
[SPEAKER_02]: Nothing's safe, blockchain, not blockchain, the normal world, AI is coming after you.
2:36
[SPEAKER_02]: Open AI and chatGETBT has been able to go and
2:41
[SPEAKER_02]: breach security of companies and anthropics doing this left and right.
2:46
[SPEAKER_02]: They're putting it in test environments and it's breaking out in its hacking companies.
2:50
[SPEAKER_02]: All of a sudden, you know, you know, there's this news that Bitcoin's not safe in blockchains aren't safe.
2:55
[SPEAKER_02]: It's just the popular thing right now.
2:57
[SPEAKER_02]: And again, it's to get clicks.
2:59
[SPEAKER_02]: Now, this did actually happen.
3:00
[SPEAKER_02]: It is super unfortunate.
3:02
[SPEAKER_02]: But again, it's not because Bitcoin or the blockchain or wallets is a whole or no longer safe
3:12
[SPEAKER_02]: It's a misunderstanding of it.
3:13
[SPEAKER_02]: And so if you go to the next one that we had kind of talking about this, this was coming, I believe, from the bitgo CEO, or one of the bitgo executives.
3:24
[SPEAKER_01]: And the front of the show, Mike Bells you.
3:27
[SPEAKER_02]: Yes, yes, and yeah, what he says here is he's like seeing all this get posted and he was basically like guys I'll put up a hundred bit coin in a wallet and he makes a good point because he says either anthropic AI is terrible about building these sandboxes or this is just really great marketing maybe it's both
3:51
[SPEAKER_02]: But enough of like, oh, we've created this thing and it's hacking everywhere and nothing safe anymore.
3:57
[SPEAKER_02]: And people feeding into this narrative, he's like, you know what?
4:00
[SPEAKER_02]: I will put 100 Bitcoin in a wallet, go get it.
4:03
[SPEAKER_02]: And that's a lot, right?
4:05
[SPEAKER_02]: You do the math, 100 Bitcoin, I have the current price.
4:08
[SPEAKER_02]: I think most people look at that and be like,
4:09
[SPEAKER_02]: If I have something that can truly hack these walls, I'll go get that and he's putting a target on its back.
4:14
[SPEAKER_02]: He's telling you the address, he's telling you how much is in there.
4:17
[SPEAKER_02]: And if things are truly as good and great as it appears to be quotations, right?
4:24
[SPEAKER_02]: Well, there, it's 100 Bitcoin reward if you have the capabilities.
4:29
[SPEAKER_02]: Now, obviously, I don't think he believes it's going where.
4:33
[SPEAKER_02]: We don't believe it's going anywhere.
4:35
[SPEAKER_02]: It's just a test to say, hey, he's publicly willing to kind of put this out there because there's this narrative that nothing safe, he's challenging it and saying, it's perfectly safe.
4:43
[SPEAKER_02]: Let me give you all the information that you need to go and get access to this stuff if you truly have the capabilities.
4:50
[SPEAKER_02]: And it's just going to sit there, right?
4:51
[SPEAKER_02]: Nothing's going to happen to it.
4:53
[SPEAKER_02]: So I like this.
4:54
[SPEAKER_02]: This is, I would say genius marketing from Friend to the show.
4:58
[SPEAKER_02]: Bit go over there.
5:00
[SPEAKER_02]: I like this.
5:01
[SPEAKER_02]: I saw this and I was like, this is smart.
5:03
[SPEAKER_02]: It's fun.
5:04
[SPEAKER_01]: You need to go ahead and try to take back the narrative because again, this snowballs and especially when the mainstream media or the finance media and they don't have all the facts or even sometimes when a story like this breaks, people don't even care to have all the facts.
5:19
[SPEAKER_01]: They just want to run with it.
5:20
[SPEAKER_01]: Like, oh, act big coin, that's that end of the fact.
5:22
[SPEAKER_01]: Big buzzwords that they can then bring to their show or their column or their article.
5:27
[SPEAKER_01]: And they don't have to be factually right
5:29
[SPEAKER_01]: Again, the game that, you know, I think we try to more go educational route and then we try to have fun on the show and be entertaining.
5:36
[SPEAKER_01]: But a lot of the people that are going just for clicks, they get paid per click, they get paid per view.
5:40
[SPEAKER_01]: And so it doesn't really matter whether it's factual or not.
5:43
[SPEAKER_01]: And so that's what we're trying to debunk you.
5:45
[SPEAKER_01]: That's what Bell she's fighting against.
5:46
[SPEAKER_01]: That's what we try to do here on the platform is educate.
5:49
[SPEAKER_01]: And one of our education.
5:51
[SPEAKER_01]: and tips and for for everybody in the space is keeping your crypto state.
5:57
[SPEAKER_01]: And so when something like this comes, we talk to the team.
6:00
[SPEAKER_01]: Obviously, we have tons of free content, countless hours on YouTube and podcasting.
6:05
[SPEAKER_01]: But we do have some more in-depth stuff behind the community that a lot of people are involved with as well.
6:10
[SPEAKER_01]: And so when we do the shows, we like to have a promo.
6:12
[SPEAKER_01]: And so for this,
6:13
[SPEAKER_01]: with this specific topic and situation happening.
6:16
[SPEAKER_01]: We have our ultimate guide to keeping your crypto safe.
6:19
[SPEAKER_01]: It's the new updated ultimate guide to keeping your crypto safe.
6:22
[SPEAKER_01]: Today for just $3 during this promo for the show, check the description below on YouTube and on the podcast.
6:30
[SPEAKER_01]: We really, you know, we want everybody to keep their crypto safe.
6:32
[SPEAKER_01]: This is an ever changing landscape of, you know, kind of understanding what you do.
6:38
[SPEAKER_01]: If you're a hard, you know, hard wallet or you're keeping on exchanges.
6:43
[SPEAKER_01]: thing.
6:43
[SPEAKER_01]: Normally, I think this is like a hundred dollar product, but when you see something like this, we want to make sure it gets into everybody's hands.
6:49
[SPEAKER_01]: So today on the show, $3, the new ultimate guide to keeping your crypto safe.
6:53
[SPEAKER_01]: Check the links below as we move on in the show.
6:57
[SPEAKER_01]: Brendan Blackrock, continuing to build Larry Think, putting his money where his mouth is announcing a partnership with Ethereum on some tokenized money funds, and then you brought up as well that you saw
7:12
[SPEAKER_02]: Yeah, this has been a big theme that we've talked about internally.
7:15
[SPEAKER_02]: If you guys are members over here, or if you just watch the rundowns, a big theme has been tokenization.
7:22
[SPEAKER_02]: In fact, we have, you know, one of our groups, we just did a whole report on this with last Friday.
7:27
[SPEAKER_02]: Shout out to all of you who joined.
7:29
[SPEAKER_02]: But we've been talking a lot about how tokenization is, is one of the big areas to keep an eye out on here.
7:35
[SPEAKER_02]: And that is a big push, right?
7:36
[SPEAKER_02]: Robin Hood's doing it.
7:38
[SPEAKER_02]: You see Black Rock doing it.
7:40
[SPEAKER_02]: You see, Nate Crypto native player is obviously being a part of this.
7:43
[SPEAKER_02]: There's people everywhere, right?
7:45
[SPEAKER_02]: Traditional financial asset managers, banks, or native crypto projects, all doing this.
7:50
[SPEAKER_02]: And it's exploding in terms of growth over the last couple of years here, especially in the last year or so.
7:56
[SPEAKER_02]: But yeah, BlackRock here has launched two new tokenized money market funds.
8:01
[SPEAKER_02]: The first one that you have on the screen here is the $6.2 billion
8:05
[SPEAKER_02]: black rock, excuse me, select treasury fund.
8:10
[SPEAKER_02]: And then we have a second one here, which is BRSRV along side it.
8:15
[SPEAKER_02]: So this is really cool.
8:16
[SPEAKER_02]: This is basically the Ethereum side of things.
8:19
[SPEAKER_02]: And then if we go over to the Solana one, which was just announced as well, they are filing here with the SEC to issue a tokenized fund of shares on Solana.
8:30
[SPEAKER_02]: So,
8:32
[SPEAKER_02]: Listen, I know there's a lot of maxes out there who think everything's going to be at the area.
8:36
[SPEAKER_02]: Everything's going to be Solana.
8:37
[SPEAKER_02]: Everything's going to be one or the other.
8:39
[SPEAKER_02]: Over here, we like them both, right?
8:41
[SPEAKER_02]: We've had both of the teams on the show.
8:43
[SPEAKER_02]: We've had some of the key, most core Ethereum developers.
8:47
[SPEAKER_02]: We've had some of the earliest Bitcoin developers.
8:50
[SPEAKER_02]: We've had the Solana team on countless times.
8:52
[SPEAKER_02]: We believe in all three.
8:53
[SPEAKER_02]: I don't think it has to be an all or nothing or one chain wins all scenario.
8:57
[SPEAKER_02]: And those are reason why BlackRock's looking at this and saying,
9:00
[SPEAKER_02]: Let's do this kind of thing on Ethereum and on Solana.
9:04
[SPEAKER_02]: And I don't really see either going anywhere.
9:06
[SPEAKER_02]: So it's a big news.
9:08
[SPEAKER_02]: I think what this does is it helps solidify the place of Solana and Ethereum, right?
9:13
[SPEAKER_02]: Because there's this fear of like, oh, well, what if this all disappears?
9:17
[SPEAKER_02]: What if it goes anywhere?
9:18
[SPEAKER_02]: Guys, they want to be building this.
9:20
[SPEAKER_02]: You have the largest asset manager in the world spending billions of dollars or creating billions of dollars in these products.
9:29
[SPEAKER_02]: I think that what that does is that helps solidify the place that these assets sit as infrastructure for the long term.
9:35
[SPEAKER_02]: So I like this.
9:36
[SPEAKER_02]: If you're a salon fan, it's good news.
9:38
[SPEAKER_02]: If you're an Ethereum fan, it's good news.
9:39
[SPEAKER_02]: If you have exposure to tokenization, it's probably really good news for you.
9:43
[SPEAKER_02]: So good stuff here.
9:45
[SPEAKER_01]: Yeah, the building the building continues again.
9:48
[SPEAKER_01]: That's the theme of this show before we move on.
9:51
[SPEAKER_01]: We want to give a shout out to the chat.
9:52
[SPEAKER_01]: A little active here on a Tuesday afternoon.
9:54
[SPEAKER_01]: You'll have to see that Michael formerly known as East Coast Lobster from Halifax, Nova Scotia.
9:59
[SPEAKER_01]: It's an international rundown today.
10:01
[SPEAKER_01]: We've got Dr. Bob, Dr. Bob and California.
10:05
[SPEAKER_01]: I'll be heading out to California later this week.
10:08
[SPEAKER_01]: And then Joe, Joe B, from the villages in Florida, fellow Florida man, love to see that.
10:13
[SPEAKER_01]: We got John in here as well.
10:15
[SPEAKER_01]: Let us know where you're watching in from John and anybody else in the chat.
10:18
[SPEAKER_01]: We really appreciate everybody listening.
10:20
[SPEAKER_01]: Give us a thumbs up.
10:21
[SPEAKER_01]: Bottom right if you're new, hit the subscribe button.
10:23
[SPEAKER_01]: We do this multiple times a week.
10:25
[SPEAKER_01]: Have a lot of fun and keep you informed in the crypto markets.
10:29
[SPEAKER_01]: And what thing going on in the crypto markets?
10:31
[SPEAKER_01]: It's just you got to call a spade a spade, and at face value, you might not like this.
10:36
[SPEAKER_01]: I think over time this is again the bottoming process is stuff that we like to talk about is Trading activity is declining and I think you can look at this from both sides.
10:45
[SPEAKER_01]: You're an active trader So I'll see this as a thought and get your opinion on it When trading activities declining like this kind of seeing it of as low as levels of the year
10:55
[SPEAKER_01]: It's kind of a sign of, it could be, you could add this to the data of the bottoming process.
11:00
[SPEAKER_01]: Again, right, because trading volume doesn't mean necessarily price is going up.
11:03
[SPEAKER_01]: You get huge spikes of trading volume when price is going down in the volatility, because people want to sell and get out of their positions.
11:09
[SPEAKER_01]: So, I kind of look at this as I added to the box of my bottoming process.
11:13
[SPEAKER_01]: We've done a lot of data over the last couple months of kind of ticking the box.
11:19
[SPEAKER_01]: of hey this is kind of something that looks like when we start the bottoming process and again nobody can pick the exact bottom of the tick, but trading activities declining.
11:28
[SPEAKER_01]: Do you agree with that disagree?
11:29
[SPEAKER_01]: What are your thoughts?
11:30
[SPEAKER_02]: Yeah, I would largely agree.
11:32
[SPEAKER_02]: I think that this is the kind of thing that you see in every bearish cycle, right?
11:37
[SPEAKER_01]: It's not anything different.
11:39
[SPEAKER_02]: As the bear market goes on, it makes sense that there's less traders, right?
11:42
[SPEAKER_02]: People are losing money, people are getting liquidated, et cetera.
11:45
[SPEAKER_02]: When the market's going up and you're in a euphoric bull market, there's always going to be more trading activity, more volume.
11:51
[SPEAKER_02]: probably more liquidity and it's just naturally going to be less as the bear market goes on.
11:55
[SPEAKER_02]: But that's what helps feeds into the final capitulation moment, right?
11:59
[SPEAKER_02]: Because people are giving up they aren't trading.
12:01
[SPEAKER_02]: That's what capitulation is.
12:02
[SPEAKER_02]: And you see that at the bottom of every cycle pretty much.
12:05
[SPEAKER_02]: So this doesn't shock me.
12:07
[SPEAKER_02]: In fact, I would say that it's somewhat motivates me to say, hey,
12:12
[SPEAKER_02]: Personally, again, no one is a crystal ball, but I think that we are entering into what could be the final stages of this bear market.
12:19
[SPEAKER_02]: I think if you're going off past cycles, you would expect that to probably happen some time around the fall of this year, maybe earlier, maybe a little bit later, but roughly around then.
12:30
[SPEAKER_02]: And I think if you're looking at similarities, other similarities, whether it's technicals or fundamentals, or even just doing historical analysis, this is the kind of thing that you would expect to see at the trough of a bear market before things actually do turn around.
12:44
[SPEAKER_02]: So I like that you brought that up because I'm sure a lot of people are going to look at this.
12:47
[SPEAKER_02]: And they're going to go, oh my gosh, it's another reason why I shouldn't be looking at crypto.
12:51
[SPEAKER_02]: I would actually flip it on its head here and say that this is a reason why you should start looking at crypto.
12:56
[SPEAKER_02]: Especially if you see the start to flip and accelerate back to the upside, if you start seeing flows increasing from that negative to that positive, if you start seeing trading activity increasing, if you start seeing some of these cryptos breaking out to like new swing highs above some of those key moving averages again, I'd say really start to keep an eye on it because it's once we get to this point that you look for that final point of capitulation and it's when you least expect it kind of when
13:26
[SPEAKER_02]: And, you know, that's what makes it a turnaround, right?
13:29
[SPEAKER_02]: Most people have given up, most people have started looking elsewhere, and there we go.
13:35
[SPEAKER_01]: And you can't be in the darkness without extreme fear.
13:38
[SPEAKER_01]: And then we kind of do in the classics, but we haven't really been taking too much.
13:44
[SPEAKER_01]: Because it's just been what it is, we're in fear.
13:46
[SPEAKER_01]: And so you can't hit that darkest before the dawn mentality without this extreme fear.
13:51
[SPEAKER_01]: And again, we basically,
13:54
[SPEAKER_01]: I mean, I'm this is one chart.
13:56
[SPEAKER_01]: I'm trying to see if we've even broken out of fear all summer because again, beginning a June We popped down.
14:02
[SPEAKER_01]: We were in the you know 10.
14:03
[SPEAKER_01]: We went down to the single digits.
14:05
[SPEAKER_01]: We went down to eight And then looks like our high for the summer on this indicator was 33 so I'm not quite sure we're 33 might land us that might be I think that might be fear still honestly
14:19
[SPEAKER_01]: So it looks like we've had a summer a fear and extreme fear and then again, something we haven't looked at in a while is the again trends.
14:26
[SPEAKER_01]: It's all the same stuff right trading trends extreme fear.
14:30
[SPEAKER_01]: It's the lowest, you know, it's just the lowest right now.
14:33
[SPEAKER_01]: And so.
14:34
[SPEAKER_01]: You know, you could take that as one way as you can sell and go home, take your ball, go home as they say or this is where you want to dive in and do the research and try to find the long-term investments and places that you want to park your money and make it work for you and try to find out what the future finance could be and again, you can only make those decisions.
14:54
[SPEAKER_01]: We don't give personal financial advice, but you know, even the famous Warren Buffett, you know, says, you want to buy when there's
15:00
[SPEAKER_01]: blood in the streets, right?
15:01
[SPEAKER_01]: So, uh, it just definitely feels like one of those times as we continue to try to do the research, find the bright spots, which we've had, right?
15:08
[SPEAKER_01]: The right way to Robin Hood's summer earlier in July.
15:12
[SPEAKER_01]: That was a fun one.
15:13
[SPEAKER_01]: I know Brian and Joe are picking some winters.
15:15
[SPEAKER_01]: I know you and your trading course.
15:16
[SPEAKER_01]: You, uh, you know, the fed some, uh,
15:19
[SPEAKER_01]: some breakouts and playing some momentum yourself, but also we've talked about me and you how, you know, me specifically, I'm not much of a momentum trader, but I like to, you know, at this point in time, I have the long-term buys on.
15:30
[SPEAKER_01]: I'm not thinking about it.
15:31
[SPEAKER_01]: I'm just, you know, every every week, a little bit of Bitcoin, a little bit of Ethereum is what what I got going right now, and I don't, I don't even think about it.
15:38
[SPEAKER_02]: Yeah, exactly.
15:39
[SPEAKER_02]: I'm, you know, I have a saying over here where there's a time to step on the gas, there's a time to hit the brakes, and then there's just a time to coast, and I think when things are the most uncertain.
15:50
[SPEAKER_02]: It's okay to coast a little bit or even hit the brakes.
15:53
[SPEAKER_02]: And then you just have to be able to identify like when things are hot.
15:57
[SPEAKER_02]: That's when you want to use the capital.
15:58
[SPEAKER_02]: That's when you want to step on the gas.
16:00
[SPEAKER_02]: And that's when you want to do a lot of altcoin trading.
16:02
[SPEAKER_02]: It's something that we talk about a lot over here.
16:04
[SPEAKER_02]: I know inside the trading program and other stuff internally.
16:07
[SPEAKER_02]: But something I really do try to hammer home is because when altcoin season is hot, it's hot.
16:13
[SPEAKER_02]: then it's really hot and it's really fast and it is the thing to trade.
16:17
[SPEAKER_02]: I think the mistake that a lot of people do that we talk about is that a lot of people mistake and think, oh, I'm always going to step full gas pedal on altcoins at all stages of the market cycle and that's just not really ideal.
16:29
[SPEAKER_02]: It's not optimal.
16:30
[SPEAKER_02]: It's not always the best.
16:31
[SPEAKER_02]: risk versus reward either, you know again there's a time where altcoins are hot and they're outperforming Bitcoin and large caps and equities and stocks and everything else and it's it's being able to identify that and then stepping on the gas when altcoins are hot is like that's where you just make stupid money and by avoiding the downside I would say that that's equally as important as well so yeah I would agree you know right now
16:56
[SPEAKER_02]: You know, there's absolutely still trades out there.
16:58
[SPEAKER_02]: We're in a bit more of a popcorn season.
17:00
[SPEAKER_02]: So you see select all Queens kind of popping off of the whole market kind of chills and it's found a nice little bottom here since February for the most part.
17:09
[SPEAKER_02]: We got things shopping around a little bit while select all Queens pop off.
17:13
[SPEAKER_02]: I'd love to see that turnaround happen.
17:15
[SPEAKER_02]: And again, I think that's when you really start to see the potential come back.
17:20
[SPEAKER_01]: Yeah, and again, while there's volatility, a lot of people selling, you know, they say retailer selling during this.
17:27
[SPEAKER_01]: They're not the only one.
17:28
[SPEAKER_01]: Michael Saylor continues to sell.
17:31
[SPEAKER_01]: I think it's a great use of verbiage here.
17:34
[SPEAKER_01]: Increased its USD reserve, but also that that's how do you increase the USD reserve.
17:40
[SPEAKER_01]: You sell some Bitcoin.
17:41
[SPEAKER_01]: So Saylor continues to sell some Bitcoin.
17:45
[SPEAKER_01]: And the strategy here is buying stretch.
17:47
[SPEAKER_01]: I'm trying to get that back to par so I guess we can access this cool new feature where it gives you the charts here.
17:52
[SPEAKER_01]: Let's see.
17:53
[SPEAKER_01]: I haven't played around this yet, but as you can see kind of the month or the week, I think it's like up file was 5% of the week 4.7 on this chart.
18:01
[SPEAKER_01]: There was a lot of people in the timeline.
18:03
[SPEAKER_01]: I saw actually playing that trade.
18:05
[SPEAKER_01]: I saw somebody was getting trolled by the all-in podcast for selling micron.
18:11
[SPEAKER_01]: and buying stretch at like 85 or something, Jason would start trolling him and he just retweeted it at the other day I didn't say the link but it was like hey Jason how did this trade work out you know closing it out you know whatever so people were playing the trade there and it makes sense because you know in the sense that I'm not advocating for this I'm not in this trade at all full disclosure but it is interesting because sailor
18:34
[SPEAKER_01]: is focusing his capital right now across the board to seemingly try to get stretched back to par or and let me let me like drag me if I'm wrong Brendan but like basically just trying to keep the confidence in the product, the high dividend product more so than you know stacking the Bitcoin so it feels like you know if it ever got down too far it felt like I guess Monday morning quarterback it seemed like a decent enough trade.
19:01
[SPEAKER_02]: Yeah, I think with this, you know, obviously listen, I've been a skeptic, they're trying so hard here to keep confidence in strategy and in stretch and all of this.
19:14
[SPEAKER_02]: They just, it's unfortunate that they're coming out again and selling even more here and it's gotten, and I think they've started to get a decent amount of beef.
19:25
[SPEAKER_02]: and the skeptics have come out because Michael Sailor himself had to issue a statement and you had the CEO I believe of strategy go on CNBC or Bloomberg or one of those big shows and he was even talking about this and Michael Sailor basically came out with this big post saying like hey guys I've always said I was never going to sell Bitcoin but I never said strategy wasn't and it's kind of a little bit of a change in the narrative of what he's saying is he like
19:51
[SPEAKER_02]: Technically wrong, you know, maybe not.
19:54
[SPEAKER_02]: But I think a lot of people would feel just again, a little bit misled there, he's saying, well, I would never sell Bitcoin.
19:59
[SPEAKER_02]: I haven't sold any, but strategies of business and we have to.
20:02
[SPEAKER_02]: And again, they're doing this to support a product, which I have been a little bit as skeptical.
20:08
[SPEAKER_02]: I understand why they have to do it, right?
20:10
[SPEAKER_02]: They're trying to keep it afloat.
20:11
[SPEAKER_02]: They're trying to keep confidence.
20:12
[SPEAKER_02]: It would be really, really bad if it just blew up in their face.
20:15
[SPEAKER_02]: So they almost have to.
20:18
[SPEAKER_02]: but you know my stance, my stance on this is I would prefer stretched doesn't exist.
20:24
[SPEAKER_02]: I would prefer if they just use their old business model, and they just try to continually purchase more Bitcoin, use it as a treasury.
20:35
[SPEAKER_02]: And yeah.
20:37
[SPEAKER_02]: That's really where I stand.
20:38
[SPEAKER_02]: I think that they're trying to do too much here.
20:41
[SPEAKER_02]: They're already below average cost.
20:42
[SPEAKER_02]: That's the issue I have.
20:43
[SPEAKER_02]: Is that they've always had this marketing narrative.
20:46
[SPEAKER_02]: Whether it was their actual policy or not, the marketing narrative was, you'll never have to sell your Bitcoin.
20:53
[SPEAKER_02]: You'll never have to sell your Bitcoin.
20:54
[SPEAKER_02]: We'll never have to sell our Bitcoin.
20:55
[SPEAKER_02]: That's kind of been the rough marketing narrative that they've had.
20:59
[SPEAKER_02]: And then the issue now,
21:00
[SPEAKER_02]: is that they're consistently selling.
21:02
[SPEAKER_02]: I mean, we talked about what a month or so ago, they were net negative.
21:05
[SPEAKER_02]: And so now they're coming out and they're selling again and selling again.
21:07
[SPEAKER_02]: And this is all happening while they're below cost basis.
21:10
[SPEAKER_02]: So people are looking at it and they're saying, okay, well, why should we be the ones buying Bitcoin when you guys are continually selling?
21:17
[SPEAKER_02]: Like, what if we just mimic what you guys do?
21:19
[SPEAKER_02]: You guys are the big Bitcoin company?
21:20
[SPEAKER_02]: Well, what if we're just gonna go start selling our Bitcoin too?
21:23
[SPEAKER_02]: It's right, you know, they should lead by examples.
21:25
[SPEAKER_02]: I guess what I'm trying to say here.
21:27
[SPEAKER_02]: Again, I understand it's a business.
21:28
[SPEAKER_02]: They have to do some of this stuff.
21:30
[SPEAKER_02]: It's a necessity, but, again, I think they should lead by example, and I don't think people like the idea that not only are they selling, but they're selling below cost basis, right?
21:41
[SPEAKER_02]: I think they're cost basis is around 75,000, which they say doesn't matter too much, but it's in the red.
21:47
[SPEAKER_02]: We'll go back, I think it will, right?
21:49
[SPEAKER_02]: I think we're going to go well above 75, okay, or whatever it is, that we'll go back up above 100K for Bitcoin.
21:53
[SPEAKER_02]: I'm not worried about that.
21:55
[SPEAKER_02]: It's just the concept of,
21:57
[SPEAKER_02]: If they're the ones trying to lead by example selling below cost basis, then what does that say to the average person who isn't like, you know, Teva, they're not like you, they're not like me, they're not in this as much.
22:06
[SPEAKER_02]: I think that has fed into some of the panic selling a little bit.
22:11
[SPEAKER_02]: So I would love to see the buy programs turn back on.
22:14
[SPEAKER_02]: I don't think it's a good look that you see them buying treasuries or getting in the treasuries or, you know, whatever it is, and raising cash, and they're saying, oh, look at all this new cash that we have on our balance sheet.
22:22
[SPEAKER_02]: It's like,
22:23
[SPEAKER_02]: guys we don't follow you for that they've they've always been like anti all of that and pro bit coin so i think instead of raising you know their u.s.d reserve like this says yes strategy increases the u.s.d reserve the 250 million or buy 250 million all of a sudden now they have four billion here and they're going to repurchase it's like okay we'll
22:41
[SPEAKER_02]: Let's use that.
22:43
[SPEAKER_02]: Let's go buy some Bitcoin here.
22:44
[SPEAKER_02]: Let's turn it back on, stop selling start buying.
22:46
[SPEAKER_02]: I'm done with my rant, but listen, I have the same thoughts on this.
22:49
[SPEAKER_02]: I just, I really wish that they would just become more of a net buyer of Bitcoin hold for the long term and create yields off of those products and not really stretch.
22:59
[SPEAKER_01]: No, it's all great points in a good rant, and just the apologies for my, and I think I was doing some testing and it looks like my video is not coming in clear.
23:08
[SPEAKER_01]: I certainly hope my audio is to everybody watching the live.
23:11
[SPEAKER_01]: Give us the thumbs up.
23:12
[SPEAKER_01]: The audio is coming in clear.
23:13
[SPEAKER_01]: I apologize for the video.
23:14
[SPEAKER_01]: A little grainy today.
23:16
[SPEAKER_01]: And then as we move on to the next topic, just want to say sorry to the live.
23:21
[SPEAKER_01]: Watchers out there.
23:22
[SPEAKER_01]: We'll get it dialed in just a little internet issue, I guess.
23:26
[SPEAKER_01]: I wanted to touch base on all the negativity Kind of seems to stem at least right now again the narrative's always changed, but from the clarity acts of the clarity act odds right it's lowest It's it's been in a while and
23:40
[SPEAKER_01]: that's because August recess at this point looks like it's going to happen without a vote and then when they come back uh... who's to say that we would even get a vote leading into the midterms right and i pushed uh... i promoted this episode uh... it's live it's christian carola former cftc chairman
23:59
[SPEAKER_01]: that Bryce sat down with at the conference we had a couple weeks ago the episode is live so I think some people definitely the podcast listeners Watched it, but if you haven't you want to go back and listen to it and I'm gonna play a 90 second clip here and he explains why you know in his mind Maybe the clarity act does not matter
24:16
[SPEAKER_01]: and how crypto will move forward with or without the clarity act.
24:19
[SPEAKER_01]: And so those are the narratives that I find my most interesting right now, especially again, anybody can say that.
24:25
[SPEAKER_01]: I could say that Brendan Bryson, anybody could say that, but coming from a former CFTC chairman who still has the relationships with the SEC and the CFTC, who knows these people personally who are in the positions now, he lays out the case.
24:36
[SPEAKER_01]: So let's, let's hear it from him.
24:37
[SPEAKER_00]: doesn't matter as much as people think.
24:39
[SPEAKER_00]: I don't have anything we've made to make a video.
24:41
[SPEAKER_00]: That's a hot take.
24:42
[SPEAKER_00]: I like that.
24:44
[SPEAKER_00]: If the Clarity Act doesn't pass, the world goes on.
24:47
[SPEAKER_00]: The internet, oh, things in the world in the last 30 years.
24:49
[SPEAKER_00]: And there's no authorizing structure.
24:51
[SPEAKER_01]: Oh, I didn't know that.
24:52
[SPEAKER_00]: Right, if we don't get a Clarity Act,
24:55
[SPEAKER_00]: these innovations are going to happen anyway.
24:57
[SPEAKER_02]: Yeah.
24:57
[SPEAKER_00]: First of all, Wall Street is all it's no turning back on what DTCC is doing right, what Franklin Templeton is doing, all of this is going to go forward with a clarity as is not.
25:07
[SPEAKER_00]: This is not a way.
25:08
[SPEAKER_00]: And if the pendulum fully swings for two years from now and suddenly Elizabeth Warren is going to be present, she's not got ripped this out of the ground.
25:16
[SPEAKER_00]: It's
25:16
[SPEAKER_00]: going to be too filled in.
25:18
[SPEAKER_00]: In fact, her wing of the party is already moved on from anti crypto anti AI.
25:22
[SPEAKER_00]: Yeah.
25:23
[SPEAKER_00]: They love it.
25:24
[SPEAKER_00]: I've found a new target for there.
25:26
[SPEAKER_00]: It's been a prior to stop all progress.
25:28
[SPEAKER_00]: It's now AI crypto is too ingrained.
25:31
[SPEAKER_00]: So all of this is going to happen.
25:33
[SPEAKER_00]: Builders out there keep building.
25:35
[SPEAKER_00]: If this isn't passed, it's not the end of the world.
25:37
[SPEAKER_00]: Yeah.
25:38
[SPEAKER_00]: It the world goes on.
25:39
[SPEAKER_00]: The third way that the internet is coming.
25:41
[SPEAKER_00]: It's here.
25:42
[SPEAKER_00]: It's not going back.
25:43
[SPEAKER_00]: Yeah.
25:43
[SPEAKER_00]: We're ready moving on.
25:45
[SPEAKER_00]: I, I hope it passes.
25:46
[SPEAKER_00]: I think there's some good things in it.
25:47
[SPEAKER_00]: One of the things that did it.
25:50
[SPEAKER_01]: So we'll pause it there because again, the summary was keep building.
25:54
[SPEAKER_01]: It's two in green.
25:55
[SPEAKER_01]: And in the fuller episode dies into why he thinks that bright to ask some great questions to kind of dive into that thought.
26:03
[SPEAKER_01]: And it was, hey, whether this passes or not, and he kind of relayed back to who's the SEC chair, who's the CFTC chair now.
26:10
[SPEAKER_01]: you know, they have programs that they, in their leadership positions that they can enact to keep this going.
26:15
[SPEAKER_01]: And then again, two years from now is main point there, fraying it off to you, bringing your thoughts, is that this thing is going to be too ingrained.
26:21
[SPEAKER_01]: Like, you know, even if, like you said, if Liz Warren comes president, it's too ingrained.
26:26
[SPEAKER_01]: You won't be able to unravel.
26:27
[SPEAKER_01]: It's like unraveling the internet, right?
26:29
[SPEAKER_01]: If how could we roll back the internet today?
26:32
[SPEAKER_01]: It's just not possible with how we live.
26:34
[SPEAKER_02]: Yeah, I think it is very much like that, right?
26:38
[SPEAKER_02]: It's once it's there and once the infrastructure there is there, it is your economically shooting yourself in the foot.
26:45
[SPEAKER_02]: I was going to say it's economic suicide, maybe that's like bold.
26:48
[SPEAKER_02]: But if you have all these big financial institutions with
26:51
[SPEAKER_02]: billions of dollars tied up in money and clients.
26:54
[SPEAKER_02]: It's like, all right, were you going to make all the clients mad?
26:57
[SPEAKER_02]: Are you going to make all the banks mad?
26:58
[SPEAKER_02]: Are you going to make all the institutional, uh, the asset managers mad?
27:02
[SPEAKER_02]: Are you going to just like piss off everyone?
27:03
[SPEAKER_02]: Like the big institutions with all the money and the average people who have their money tied up in this and you're in hurt both of them.
27:09
[SPEAKER_02]: It's not only is it like,
27:12
[SPEAKER_02]: Stupid from a financial standpoint, but it's really, really stupid from a political standpoint.
27:17
[SPEAKER_02]: It's like, let's piss off all the people who matter the most.
27:21
[SPEAKER_02]: If you're gonna go rip it out of the ground after it's already there.
27:24
[SPEAKER_02]: Now it's one thing to prevent it before it's done.
27:26
[SPEAKER_02]: It's another thing to have it already done and everything settled in and people using it and the money have been spent and then trying to go and get rid of it.
27:34
[SPEAKER_02]: So I completely agree with them there.
27:36
[SPEAKER_02]: I think that he's spot on.
27:43
[SPEAKER_01]: fantastic and then we'll wrap out if our bottoming data, if the data that we presented to you over the last couple months here doesn't show you that we think we're heading into the bottom.
27:54
[SPEAKER_01]: There is certainly one.
27:55
[SPEAKER_01]: data point that everyone can agree on.
27:59
[SPEAKER_01]: And it's Jim Cramer selling his Bitcoin or saying that he's going to go sell all his Bitcoin.
28:04
[SPEAKER_01]: It was something here's the one here's the tweet.
28:07
[SPEAKER_01]: Jim Cramer said he's reportedly selling all his Bitcoin.
28:10
[SPEAKER_01]: Point per coin desk.
28:12
[SPEAKER_01]: I mentioned a couple times on his show as well.
28:15
[SPEAKER_01]: And then the entire crypto community is just saying
28:20
[SPEAKER_01]: I can't play because there's music attached to it, but everybody remembers that scene from the hangover where they're all just screaming in the car that they're back.
28:30
[SPEAKER_01]: and that's that's my last data point for the day if i can't convince you that fear and greed index has been in fear all summer uh the volume of trading is going down uh sailor selling is bitcoin and it's not rocking rocketing the price of bitcoin lower um and searches and trends are uh you know at the year low as well uh i got one more for you it's a gym
29:00
[SPEAKER_02]: Yeah, it's uh, when I saw that, it put a big old smile on my face because of that whole inverse cramer theory that we have to, though.
29:08
[SPEAKER_02]: And we'll see, right, fingers crossed.
29:11
[SPEAKER_02]: The inverse cramer index is up, I think, could be wrong.
29:15
[SPEAKER_02]: I think it outperform Nancy Pelosi last year, or it was right up there with it.
29:20
[SPEAKER_02]: It was like really, really good performance.
29:22
[SPEAKER_02]: Historically, it is,
29:25
[SPEAKER_02]: obviously love dream creamer no no shade during it him but this is kind of a meme it's like hey whatever he says just like do the opposite of especially when it's these big like notable events like sell everything or go all in on this or something like that
29:40
[SPEAKER_02]: It tends to be a good turnaround, and I think what this does is it feeds into the whole capitulation story that we've said right when there's Max fear Max pane everyone gives up the capitulate They throw in the towel and then the bottom happens
29:56
[SPEAKER_02]: and what better sign of this stuff happening than more stuff like this, right?
30:01
[SPEAKER_02]: We've shown this before where you need to have a blowup event.
30:04
[SPEAKER_02]: We saw that happen, right?
30:05
[SPEAKER_02]: Just last week, we talked about it with BitMax and all those other places that went under.
30:10
[SPEAKER_02]: And then you go and you look at the rest of them that have all blown up.
30:13
[SPEAKER_02]: And then you look at, you know, krypton trading and volume falling and activity falling and then Jim Kramer saying to sell everything and it's like, that is what the full max pain capitulation looks like before turnaround happened.
30:26
[SPEAKER_02]: Not saying it's already happened, but again, it's something I'm actively looking for here if not right now, and then hopefully in the next few months, I would really be looking for that.
30:35
[SPEAKER_02]: So maybe we get one more sweep of the lows, maybe that's possible, but I'll tell you what, I'm still looking for it nonetheless.
30:42
[SPEAKER_01]: It's a great point to wrap up on as we have over a hundred live viewers this show.
30:48
[SPEAKER_01]: So we really appreciate it by tuning in on a Tuesday.
30:51
[SPEAKER_01]: If you missed the beginning, definitely go back once we end here and watch the top.
30:56
[SPEAKER_01]: You want to make sure you hear about the wallet hack that was going on.
31:00
[SPEAKER_01]: And again, for this show only, we're running a promo for the new ultimate guide to keeping your crypto safe.
31:05
[SPEAKER_01]: Again, the hack drained over at this point.
31:07
[SPEAKER_01]: I think it's over a hundred and twenty million dollars gone overnight.
31:10
[SPEAKER_01]: And, you know, as we think, the bottling process is happening.
31:13
[SPEAKER_01]: The next bull run is lining up, so you got to update what you know to keep your crypto safe.
31:19
[SPEAKER_01]: Check the link below.
31:20
[SPEAKER_01]: It's a $3 promo.
31:21
[SPEAKER_01]: I mean, I think this thing goes traditionally for $100.
31:24
[SPEAKER_01]: So $3 promo, the new ultimate guide to keep your crypto safe.
31:27
[SPEAKER_01]: Check it out.
31:28
[SPEAKER_01]: The description.
31:29
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31:30
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31:32
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31:34
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31:35
[SPEAKER_01]: And if you're new bottom right, hit the logo.
31:39
[SPEAKER_01]: but we really appreciate everybody tuning in on Tuesday.
31:42
[SPEAKER_01]: We got more, you must see if the podcast is going out.
31:45
[SPEAKER_01]: I got another Bryce interview going out this week, and we'll be back again on Friday for another rundown.
31:50
[SPEAKER_01]: The content keeps coming, the crypto train does not stop, but that's all for today.
31:54
[SPEAKER_01]: Thanks for tuning in.
31:55
[SPEAKER_01]: That's all for now.
31:56
[SPEAKER_01]: Bye, everybody.