Latest / Simply Bitcoin / The Fed Just Told You to Sell Gold… and Buy Bitcoin! | Simply Originals
Transcript
- 0:00The Fed just low key dropped a playbook to sell gold and buy
- 0:04Bitcoin and nobody's talking about it.
- 0:06OK, this is not from a Bitcoin bro on Twitter.
- 0:09This is from the Federal Reserve and they just published a
- 0:12research note that casually explains how a country can tap
- 0:15gains on its gold reserves without selling an ounce.
- 0:19And right after that they mentioned Bitcoin.
- 0:22Not a joke, not a rumor, it's right there.
- 0:25Translation. The US government just laid out
- 0:28a stealth playbook. Revalue gold, unlock capital.
- 0:32Use that capital to stack Bitcoin.
- 0:35This is how you pivot the financial system without
- 0:37admitting that you're doing it. Sailor's been screaming it.
- 0:41Senator Loomis proposed it. Now it's in Fed literature.
- 0:46And if you're not paying attention, you're going to miss
- 0:48the greatest wealth transfer of our lifetime.
- 0:51Welcome back. I'm Sophie.
- 0:52And by the end of the show today, you'll understand why
- 0:55250K Bitcoin isn't optimistic. It's conservative.
- 0:59Send it. We hold them at about a 1974
- 1:07value, which was, I don't know, $46 an ounce or some such thing,
- 1:14and then bring them to mark to market value and then use that
- 1:19to buy Bitcoin. Sell all the US gold, buy
- 1:22Bitcoin. Then the trade is free because
- 1:24you could buy 5 million Bitcoin for the cost of the gold.
- 1:28You will demonetize the entire gold asset class, and our
- 1:32enemies hold gold in their banks, so their assets would go
- 1:36to zero. Our assets would go to $100
- 1:39trillion and we would control the world's reserve capital
- 1:43network as well as the world's reserve currency network.
- 1:46Could you sell some of the gold in Fort Knox to buy Bitcoin?
- 1:50Can we? Well, if it's budget neutral and
- 1:53doesn't cost the taxpayer a dime, you're kind of.
- 1:55Exchanging one for the. Other we'll see whatever
- 1:57creative ideas that we can come up with.
- 1:58And you know, like I said with all the interagency working your
- 2:01backers that will convene in these meetings, I mean we're
- 2:03going to hear some tremendous ideas about how we could do it.
- 2:05I just don't want to box us in yet to what that actually looks
- 2:07like because I want to be able to hear from everybody.
- 2:09OK, let's actually talk about this Federal Reserve bombshell
- 2:12because the headlines aren't doing it justice.
- 2:14This is from their latest note. Several countries have unlocked
- 2:18billions by reevaluating their gold reserves without selling a
- 2:21single oz. This mechanism has been
- 2:23discussed in the context of a strategic Bitcoin reserve
- 2:26translation. Here's how we could tap into
- 2:29gold to stack more Bitcoin if we needed to.
- 2:32And the gold bugs? They're flipping.
- 2:34ECR Minerals, a gold mining company, just announced they're
- 2:38putting Bitcoin on the balance sheet.
- 2:39Think about that. The gold bugs are flipping.
- 2:43The Fed is hinting the game is changing and someone better
- 2:48check on Peter Schiff. You can't wake.
- 2:51Up. Now here's where things get real
- 2:55interesting. Arthur Hayes just laid down one
- 2:58of the most important economic breakdowns we've seen in years.
- 3:02And it's not some wild prediction, it's math.
- 3:05He says there's only one path left for the system.
- 3:08Print money or collapse. Let's walk through it. the US
- 3:11mortgage system, led by Frannie and Freddie, needs about $5
- 3:14trillion just to stay solvent. Now add in regional bank
- 3:18bailouts, shadow banking risks, commercial real estate defaults,
- 3:23and you're staring down the barrel of 9 trillion in required
- 3:26liquidity. But how they're going to print I
- 3:28think in the realm of 9 trillion ish dollars between now and in
- 3:33that period of time. And that is, you know, Fannie
- 3:36and Freddie, the government support entities that are
- 3:39allowed to create mortgages in the US, They, they will print 5
- 3:42trillion. You will have probably up to a
- 3:45trillion dollars purchased by the banking system due to
- 3:48supplemental leverage ratio exemptions and purchasing things
- 3:51that the foreigners are selling. And I think the banks are gonna,
- 3:54because they now don't have to hold all this equity capital
- 3:56against their treasury book. They can lend more into the real
- 4:00American economy. And so you're gonna see the
- 4:02amount of loans going to manufacturing firms increase,
- 4:05which is again, that's an increase in credit and that will
- 4:08make its way into crypto as well.
- 4:09Again, this isn't speculation, this is how math works.
- 4:12If growth doesn't go up exponentially, the debt pyramid
- 4:16cracks. And while America's trying to
- 4:18plug that hole, capital is leaving.
- 4:21Asian countries, Korea, Taiwan, Singapore are repatriating
- 4:25dollars back home. Hayes take away.
- 4:28When foreign buyers vanish, the Fed becomes the buyer of
- 4:31everything. Stocks, bonds, housing.
- 4:34Sound familiar? That's QE on steroids.
- 4:37That's how you get 250K Bitcoin and then some.
- 4:42Well, foreign money went into the US because the US markets
- 4:44have been the best performer, whether it's stocks, bonds or
- 4:47real estate. And if that money is leaving and
- 4:49it's going to go back into their local markets, then the US
- 4:52markets don't do so well. And maybe it's better to own
- 4:56Taiwanese stocks or Indonesian stocks or food, Taiwanese Thai
- 5:00stocks or, you know, all these other emerging market countries
- 5:02who are basically going to say, OK, we're going to we're we're
- 5:04forced to repatriate this money back on shore.
- 5:06Our currencies appreciate, our consumer gets wealthier because
- 5:09now they can purchase more things and maybe people want to
- 5:12build business domestically to service that economy.
- 5:15Hayes calls this the death spiral of traditional assets.
- 5:18Boomers are retiring. They need to sell stocks in real
- 5:22estate for cash. But the buyers, millennials who
- 5:26don't want inflated assets, they want mobility, freedom, Bitcoin.
- 5:32So what happens? The government becomes the buyer
- 5:35of last resort again, which means more printing, more
- 5:39inflation. And the real intergenerational
- 5:42wealth transfer happens via inflation, not inheritance.
- 5:46For crypto right Because or any other digital assets?
- 5:49Because the boomers have stocks to sell.
- 5:52Does anyone want these stocks? Maybe to some extent do they
- 5:55want that big suburban house or whatever they have or apartment
- 5:58in the city? I don't know.
- 5:59So I think that's just going to be a massive issue in terms of
- 6:03if the younger generation wants to buy things that the older
- 6:06generation is selling and they need to sell those things to
- 6:09fund their retirement. How does that square are they
- 6:12going to increase taxes because the asset prices of things at
- 6:15boomers own and went down and they can't afford their
- 6:17retirement. So then they're going to tax the
- 6:18young more to to pay for their retirement.
- 6:20And is are the young going to accept that?
- 6:22I don't know what would you. Guess.
- 6:26I think there's going to be a lot of intergenerational
- 6:28conflict. I don't know the outcome of it.
- 6:30But. It could be mean money printing
- 6:32at the end of the day, right? Because it's very easy way for
- 6:35the government to solve this problem.
- 6:37Here's Hayes mic drop. Assets that need money printing
- 6:40will do it. Assets that don't will absorb
- 6:43it. Let that sink in.
- 6:45Bitcoin doesn't need support. It is support.
- 6:48It's the hard cap, the signal in the noise.
- 6:51Hayes calls 250 K dollar Bitcoin conservative in this
- 6:55environment. Not a fantasy, a floor.
- 6:58The 2. 150 by end of the year? Is that still your timeline or
- 7:01a? Huge, heavy, yeah.
- 7:02So I think that we get to 250,000 by the end of the year.
- 7:04It'll be bumpy along the way obviously, but that's sort of my
- 7:07end of year price target. And then $1,000,000 Bitcoin.
- 7:10It's like just got off stage talking about how they're going
- 7:13to print I think in the realm of 9 trillion ish dollars between
- 7:18now and and that period of time. And that is, you know, Fannie
- 7:21and Freddie, the government. And if that wasn't enough,
- 7:25Donald J Trump just decided to turbocharge it.
- 7:28This week, he's signing an executive order to allow Bitcoin
- 7:31into four O 1K retirement plans. That's $7.7 trillion in American
- 7:37retirement accounts now legally allowed to allocate to Bitcoin.
- 7:41I will say very clearly we want as much Bitcoin as we can
- 7:43possibly get. We have to do this in budget
- 7:45neutral ways that don't cost a taxpayer a dime.
- 7:47But there are countless ways in which we can do it.
- 7:49You know, there, there can be hundreds of different ways we do
- 7:51this, if not thousands. And so we talked about this in
- 7:54different verticals, whether it be like through mining activity,
- 7:56whether it be through bit bonds. I mean, there's, there's tons of
- 7:58creative. Taxes in Bitcoin.
- 7:59Yeah, I mean, it's, it's it's endless.
- 8:01And so people ask me to give like clear examples.
- 8:03And the reason I don't want to tell you what we're going to do
- 8:04first yet is because everyone don't want to poison the well.
- 8:06We want to do something that's going to be the most effective
- 8:08in the United States. And so when we're ready to
- 8:09announce that, which I'm I'm sure we will be in short order,
- 8:11I think that this community will be extremely pleased.
- 8:13Wall Street, boomers, family offices, pension funds, they've
- 8:18all been waiting for this green light.
- 8:20Now it's here and the supply of Bitcoin isn't getting any
- 8:23bigger. You do the math.
- 8:24Quick legal update that should freak you all out a little bit.
- 8:28We have an update on the Tornado Cash case.
- 8:32Hi, everybody. This is David.
- 8:33We have a verdict in USAV Storm. It is a mixed verdict.
- 8:37It's really complicated and there's a lot to talk about, but
- 8:39generally it is good news. On counts one and three against
- 8:44Roman, the conspiracy to commit money laundering and to violate
- 8:48sanctions, the jury was unable to reach a unanimous verdict on
- 8:52those charges. We essentially have a mistrial.
- 8:56On the second charge, conspiracy to operate an unlicensed money
- 9:00transmission business, we do have a guilty verdict, however,
- 9:04that's, you know, that charge has been forked and changed a
- 9:07bit. Also, the maximum sentence there
- 9:09is five years. Additionally, there was a move
- 9:13by the prosecution to remand Roma to state custody.
- 9:17That was overturned. That was denied.
- 9:20So Roman will be free on bail while the appeals process goes
- 9:25on and until sentencing. Judge Fila emphasized that there
- 9:29was a great deal of fighting left to do before we get to
- 9:32sentencing. We will obviously continue to
- 9:35cover that, but split decision, no unanimous verdict on charges
- 9:40one in 3, guilty verdict on charge 2, the MTB charge.
- 9:44We will be filling in on that as we move forward.
- 9:48Thanks everybody for paying attention.
- 9:49This is important. Roman Storm, developer of
- 9:53Tornado Cash, was just found guilty of operating an
- 9:56unlicensed money transmission business.
- 9:58Not money laundering, not sanctions evasion, just building
- 10:02an open source code, Roman Storm says.
- 10:05This isn't over. We're fighting.
- 10:07This isn't just about Tornado. This is about all open source
- 10:10development privacy and the precedent it sets for
- 10:13Bitcoiners. If you build a tool that
- 10:15protects financial privacy, they might just call it a crime.
- 10:19So while the government buys Bitcoin, there's still trying to
- 10:22control how you use it. That's why self custody isn't
- 10:25optional anymore. It's survival.
- 10:27And if you're serious about privacy and sovereignty, you
- 10:30need to talk to our friends at the Bitcoin way.
- 10:32They don't just help you set up a wallet.
- 10:34They help you build a fortress. Whether it's multi sig
- 10:37inheritance planning or total off grid setups, they've got the
- 10:41tools and the mindset to make you ungovernable.
- 10:44Visit thebitcoinway.com and tell them simply Bitcoin sent you.
- 10:47You can schedule a free 30 minute consultation using that
- 10:50link below in in the show notes and once you've secured your
- 10:53Bitcoin, here's how to make it work for you without selling a
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- 11:39bullish signal. On the macro front, the odds of
- 11:43a rate cut in September are now 93.2%.
- 11:47And guess what Q4 usually brings?
- 11:49I believe Bitcoin is a one way St. and what that means is that
- 11:53you and I, we the people, we need Bitcoin in order to secure
- 11:58our future. We need it.
- 11:59But the same is for businesses. Businesses also should have
- 12:02savings at treasury and they also need to put that into
- 12:05Bitcoin to push that value into the future.
- 12:06As do corporations and as do governments.
- 12:09Governments also have savings and they also need to preserve
- 12:12that. But as much as the corporations
- 12:15and the government's need Bitcoin, Bitcoin doesn't need
- 12:17them. Bitcoin doesn't need the
- 12:20governments to succeed, right? We've already done that in spite
- 12:23of it. So every company to the point
- 12:25you're making, every company, every mag 7 company, any company
- 12:28that wants to exist into the future is going to have to adopt
- 12:31Bitcoin at how you know how much longer can they hold out?
- 12:36I would imagine by the end of the next, by the end of this
- 12:40decade, in the next 5 years, the majority of them will have will
- 12:43have come over. I believe that we're going into
- 12:45a parabolic phase of Bitcoin and a little bit of a contrary
- 12:48intake I would have is that while everybody's expecting the
- 12:51Kegar, the compounded annual growth rate of Bitcoin to
- 12:54continue to diminish because the law of large numbers, I think
- 12:57there's a possibility we can see the Kegar actually start to
- 13:00accelerate again for a bit as we go to this parabolic phase.
- 13:03Everyone's going to realize this by the end of the decade.
- 13:07We haven't jumped into the macro side.
- 13:08But if you look at what Elon Musk said when he left the
- 13:11government, when he left DOGE, if you look at the pivot that
- 13:14Scott Percent the Treasury Secretary has made, Trump has
- 13:17said it's now there's no cutting, there's no austerity
- 13:21coming. It is only grow our way out.
- 13:24That means let inflation RIP. So we'll see two things happen.
- 13:27We'll see inflation RIP and Bitcoin RIP at the same time.
- 13:30And every mag 7 is going to see this and come around.
- 13:33You better buckle up. Even Janet is calling for Jay
- 13:36Powell to fire up the money printer.
- 13:38I think that perhaps the most recent data strengthens the case
- 13:43for some rate cut going forward. Of course, the markets have long
- 13:49expected there to be some rate cuts.
- 13:52It's of course contingent on the data continuing to show that
- 13:58inflation's under control and. Let's run it back. the Fed just
- 14:02told you how to sell gold to buy Bitcoin.
- 14:05Arthur Hayes says $9 trillion in money printing is incoming.
- 14:09Trump just opened four O 1 KS to Bitcoin.
- 14:13The legal system is still trying to attack privacy and the market
- 14:18is coiling for a breakout. If you're not prepared for this,
- 14:21you're going to miss out on the biggest money transition of our
- 14:24lifetime time. Take the hint, take the high
- 14:27ground, and for the love of Satoshi, hold your own keys and
- 14:32join us at Mining Disrupt 2025. It's only months away.
- 14:37The biggest Bitcoin mining conference and Expo in the
- 14:39world. They're heading to Dallas, TX in
- 14:42November 11th through the 13th. Meet the legends.
- 14:45Building the hash power revolution.
- 14:47From sovereign mining to AI plus Bitcoin integration, this is
- 14:51where the next wave of Bitcoin history is being written.
- 14:54Grab those tickets today come and see the simply Bitcoin team
- 14:58on the news desk and don't forget to use the promo code
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- 15:13so you can stay up to date with the peaceful revolution.
- 15:16Love you guys, catch you next time.
- 15:18Yes, if you prefer to go down with the ship.