Latest / Simply Bitcoin / The Ultimate Case for $1M Bitcoin With James Lavish | EP 477

Transcript

The Ultimate Case for $1M Bitcoin With James Lavish | EP 477 · Simply Bitcoin

0:04
Welcome back everyone. We're simply Bitcoin.
0:06
We break down the news. The daily failed mean review.
0:08
Software releases Hardware releases and the plebiscites
0:12
joining us today. Very special guests fellow
0:16
Bitcoin, ER, and reformed hedge fund manager.
0:19
James lavish James. It is a great honor to have you
0:22
join us. Thank you.
0:24
I'm honored to be here. Thank you for having me, guys.
0:27
Awesome. Not right.
0:27
Hopefully, we don't freak him out too much.
0:30
It's not on that note. Let's dive into the numbers.
0:32
Nico. It's time.
0:33
Not a town brought to you by. Not only make some of the best
0:36
Bitcoin notes like the novel Dojo, the one I'm holding in my
0:39
hand. Yes, it's in red.
0:41
That means it's faster. You could run your own version
0:43
of Bitcoin core and the lightning Network, all in the
0:45
comfort of your own home. Remember guys, if you don't run
0:49
your own Bitcoin note, you're trusting someone else's and
0:52
that's very bad for privacy to say the least.
0:55
So get yourself, a Bitcoin note today, like the nozzle at the
1:00
This recording the block height is 730. 4141.
1:03
The Bitcoin price 38,000 420 420 chain rewrite day 702 total
1:10
public lightning capacity, 3670, 4.13, Moscow, time 2600, three
1:16
blocks that I happening, 100 and 5858.
1:19
And the samurai Whirlpool unspent capacity, Samurai
1:23
Whirlpool is a collaborative spend or coin and it is not a
1:29
mixing. Vez unspent capacity in that
1:31
pool is 4500 8.31. BTC Nico.
1:36
These numbers are boring. Yeah they're boring I'm going to
1:40
keep saying it. Bitcoin is the new stable coin.
1:43
Anyways I want to talk we've already talked about this today
1:46
but I want to talk about it again because it's developed and
1:50
also some very interesting videos have come out in the last
1:54
couple of days but I want to emphasize guys you know the
1:57
drill. We are a political and the Fiat
2:00
parties, we don't stand for left or right.
2:03
We stand for Bitcoin, meaning we stand for for Freedom, right?
2:07
And you know, unfortunately, you know, some, some, there's
2:11
moments in history, where one party stands for that one party
2:14
doesn't stand for that and we just happen to be in this moment
2:17
in history. So that being said, let's check
2:20
this out. I think this New York Post
2:24
article does it justice? I'm just going to read a little
2:26
bit so as a Biden blasted for policing for A speech with
2:30
dystopian. This information Bureau says,
2:33
President Biden. Came under Fire Thursday for the
2:35
creation of a deist. Dystopian disinformation Bureau
2:38
created under Homeland Security Department, which critique which
2:42
critics are blasting as just a way for the government to police
2:45
Free Speech online. So, here's the thing, Homeland
2:49
Security Department. That's a law enforcement agency,
2:52
they have a lot of guns, right? So I anyways, moving on.
2:57
This is a gent psaki. She is a Now, before I get to
3:00
that, let me play this. This is the, she is the lady who
3:05
is heading and the new Department, my comment on this.
3:10
Without stepping on too many toes is I just don't think
3:15
someone that is producing this type of content should be the
3:21
head of a law enforcement agency, policing speech.
3:24
Anyways, I'm going to just play 15 seconds.
3:26
Your ears might explode. You've been warned.
3:29
Well, they're doing is really quite ferocious.
3:31
It's when a hawks to take some lines.
3:33
Makes them sound precocious by saying some in Congress or
3:36
amazing opportunity. This informations origins of
3:39
slightly last atrocious, it's how you?
3:43
Oh man. Okay, moving on.
3:46
This is Jen. Hold on, hold on a second.
3:48
We've reached the nursery rhyme stage of this timeline.
3:53
Is that what just happened to us and at least, when they step us
3:55
into the gulags, the music will be good, right?
4:00
Anyways, here is Jen psaki and, you know, clearly, you know,
4:04
some of the media is asking about, you know, the new Bureau.
4:08
Let's see what she has to say. In regards to the new head of
4:13
the disinformation bureau Nina, let's see what she has to say.
4:17
Keep in mind, the video that you just saw, let's check this out.
4:22
She's an expert on online disinformation she was formerly
4:25
in the Wilson, Center's disinformation.
4:27
She was formerly a disinformation fellow at the
4:29
Wilson. Center.
4:30
She's testified before Congress, as well as the United Kingdom
4:33
and European parliament's advised, a Ukrainian foreign
4:36
minister, particularly relevant In This Moment under the
4:39
auspices of a Fulbright public policy, fellowship and overseen,
4:43
Russia and Belarus programs at the national Democratic
4:46
Institute. And he hiring decisions are up
4:48
to the Department of Homeland Security, but this is a person
4:51
with extensive qualifications. She's an expert one more thing.
4:56
Before we Riff on it, this is the first amendment of The
4:59
Constitution Congress shall make no law, respecting an
5:03
establishment of religion or prohibiting the free exercise
5:07
thereof or abridging the freedom of speech.
5:10
So, in my opinion, even with all her qualifications and whatnot,
5:17
I don't think that a government bureaucrat in charge of a lot of
5:20
people with guns, should get to dictate what is free speech.
5:24
And what is not free speech, that is a very, very slippery
5:27
slope every single dictatorship whether it's On the left or
5:30
right, had a similar Bureau just under a different name whether
5:34
that's Nazi Germany or whether that's the Soviet Union.
5:37
They had some version of the ministry of truth, right?
5:41
Very, very scary stuff. I think this is the American
5:45
version of the Pravda which was the the the Soviet Union's State
5:50
newspaper or whatever. So the point is is that this is
5:54
a very slippery slope. And the reason that this is your
5:57
hearing this and simply Bitcoin is because very simply Reason,
6:00
right? Money are exchanging of money,
6:04
is a type of speech, right? So and Bitcoin completely is the
6:09
antithesis of any censorship type of form of money.
6:12
So, in Bitcoin, doesn't care, where you're from, where, you
6:15
know, what religion you are, what country you are, you can
6:19
transact with somebody else, all you have to do is download a
6:21
Bitcoin wallet. So right?
6:23
Are we heading into a future where, you know, the government
6:26
is deciding, what type of speech are not?
6:28
What? How long until they come after?
6:29
A Bitcoin, right? If they don't allow you to say
6:32
certain things or if they don't want you saying certain things.
6:35
Why would they allow you to transact?
6:37
Because that's a form of speech, right?
6:39
So anyways, it's is very alarming.
6:41
This is the second time we've covered it this week, I never
6:44
could have imagined that the US would do something like this.
6:47
Anyways James what are your thoughts on this first of all?
6:50
Just wow. I mean I guess I'm I was blown
6:55
away when I saw it. Look, I'm a little bit older
6:58
than you guys so I grew up. Up in the 80s with the USSR,
7:04
right? And I remember what it was like,
7:06
watching some of the they would show us some of the propaganda
7:09
that, that the citizens were being shown and the anti anti us
7:13
propaganda in particular, and just how much information they
7:17
were flooding their citizens with, and to have a centralized
7:21
party or centralized, you know, body that is that is De just
7:28
deciding Meaning what the message is going to be, what
7:32
what the citizens are going to hear, and what they're going to
7:35
believe. I mean, North Korea, China USSR,
7:40
and now again, Russia is going back towards that, that system
7:45
of information and, you know, the state-owned televisions and
7:49
state-owned press, they deliver exactly what that party or that,
7:56
that powerful leader wants them to here.
7:58
So, Wow, I mean, there's just we better, we better unwind this
8:06
quickly. That's what I think he really
8:09
quickly. I agree.
8:10
I think this is, this is the line that has to be drawn and
8:15
it's just a step too far. Like, this is essentially
8:19
they're setting a precedent for, you know, what?
8:22
The government thinks is approved narrative.
8:25
And what is a what is not approved narrative and talk
8:28
about misaligned incentives, are you To tell me.
8:30
If something comes out that makes the government look bad.
8:33
It's not going to be labeled as disinformation.
8:35
Like it's a very, very slippery slope and I don't think it's a
8:39
coincidence that this happened. Two days after Elon bought
8:43
Twitter and wanted to wanted to have freedom of speech.
8:47
So very, very interesting to see how this is gonna play out and
8:51
very scary as well. I'm just happy I live in
8:54
Florida. Anyways, Phil, what are your
8:55
thoughts on this? Yeah, I'm starting to feel like
8:58
we're living in a parody especially after seeing in that
9:00
video. I mean, look, I understand that
9:03
we're supposed to be very impressed by the credentials and
9:05
the capability of, you know, these people to memorize a lot
9:08
of data and then regurgitate it. So that somebody else can feel
9:11
like they taught them. Something this is all fantastic
9:13
but at the end of the day, this is really scary.
9:17
It's exactly what you guys said. This is really scary stuff.
9:19
I can't believe that this is actually happening here in the
9:22
US, the fact that this. But the fact that this
9:26
organization falls under Department of Homeland Security
9:29
that Worry us even more. I don't think people really
9:32
understand what the implications of that are right Department of
9:37
Homeland. Security is also ice, right?
9:39
They are also border patrol. Like this is not, I don't
9:44
understand why this person and their organization falls under
9:47
that group and I think, I think Kerri.
9:50
Yeah, I think that they probably put it under that bat that group
9:53
because they want to show just how powerful that is.
9:56
Right. And that it's not a joke, you
9:58
know. It's not when the Space force
10:00
came out at first, it's just a big joke, like, this is their
10:04
labeling, this in a security zone for from DC, you know.
10:11
So this is their peacekeepers. I mean we're you know this is
10:15
this is no different than the Hunger Games now we're going
10:18
right towards having the capital control, the United States, its
10:23
it is nuts. Yeah.
10:25
Oh yeah, but it's a problem it's absolutely terrifying and
10:29
moments like He's really highlight the importance of
10:32
Bitcoin because Bitcoin allows you to opt out right where
10:36
before you didn't even have an option.
10:39
So yeah very very scary stuff. You know you guys know the drill
10:42
will stay on top of it as it develops perhaps Philadelphia
10:46
will be playful its information in a couple of months.
10:52
I don't know who. No no I hope this.
10:54
I hope this episode airs. It always does the nerves
10:59
innervate the nervous. Chuckle.
11:00
Um, but yeah. So and just to kind of give you
11:03
guys like a real-life example of what we've partake in that would
11:06
have been labeled misinformation.
11:09
We were actually, you know, and a lot of other bitcoiners.
11:13
We were calling for inflation for or higher inflation for an
11:18
extended period of time. While the media was still
11:22
touting out. The government, you know,
11:24
talking points of transitory inflation, it's the supply
11:28
chains. Now it's Russia somehow All
11:30
right, they blame everything but the fact that they're printing a
11:34
record amount of money and they were calling anyone that said
11:37
otherwise disinformation, right? It really sets the, you know,
11:42
how dangerous this is. And now that information could
11:44
be deemed Dangerous, by the Department of Homeland Security.
11:48
That's a law enforcement agency. Those are people with guns,
11:51
right? It's very, very scary, very
11:54
scary, scary stuff. You know what, it just got me
11:58
thinking, right? Because doesn't that kind of
12:01
bring in the this kind of terrorism aspect, right?
12:04
To quote unquote misinformation no, because I'm serious, right?
12:07
DHS the part that that's what they do, right?
12:11
The, the border patrol part of part of it.
12:13
This the, you know, it part of their mandate right is to, you
12:17
know, MP terrorism stuff like that.
12:19
So you put this organization under them and then all of a
12:21
sudden it's not very difficult to make the leap that all you
12:25
know what? What this group is saying What
12:27
these people are saying, you know, this is this information
12:30
but it's borderline terrorism. Yeah I'm telling you like it's
12:33
we're not far from this kind of stupidity.
12:35
It's a very it's a very scary scary development but anyways,
12:40
Phil it's time for the daily fail brought to you by Ember
12:44
app. Check them out.
12:45
Amber dot app. Look if you're not mining you're
12:49
gonna go and have to buy and you're going to stack SATs stack
12:53
with Amber. It is a nap by bitcoiners low,
12:55
fees, Fair spreads, Smart automation, the link is down
12:58
below ammo, smart ways, that cells.
13:02
Now looks like our topic from the numbers is bleeding into the
13:06
beginning of our fail. So, here we go.
13:10
This is a, this was a Pedro McCormack retweets from from
13:15
Elan Elan, said for Twitter to deserve public trust.
13:18
It must be politically neutral. Which effectively means
13:21
upsetting the far, right? And the far left equally, I can,
13:25
you know what, it's not a bad take for me.
13:26
Lon That makes sense. Right?
13:28
We're not going to agree on everything in.
13:30
This is why conversation has to take place.
13:33
All right, let's read Pedro's, take an impossible, task Free
13:38
Speech, end of opinion, observation and questioning
13:41
censorship will bring more of the far right back to Twitter
13:45
and push. The far-left away note.
13:48
This is an observation, not an opinion, okay?
13:51
So because he doesn't want to, he doesn't want to take shit for
13:53
it, right? He just wants to be able to say
13:54
it, but he doesn't want it. He doesn't want to take shit for
13:57
that. Take Okay, so that's that's a
13:59
strange implication. Why would he make that
14:04
implication, why automatically create the assumption, that two
14:09
opposing, that that people from opposing groups, can't possibly
14:13
come together, discuss things come to a compromise and figure
14:18
out how to do something correctly for once.
14:20
I mean, don't get me wrong but like this happens all the time.
14:23
Human beings. Cooperate.
14:24
All the time like, you know, as much as we shit on the Fiat
14:26
world and everything. That we've still managed to
14:29
create incredible technology, they're still incredible cities.
14:32
Right there are great things that are happening.
14:34
So this ridiculous idea that you can't possibly, you know, that
14:39
that it's that, that it's impossible to have a platform
14:43
that allows this type of free speech I think that this is
14:47
psychotic, and it's part of the problem, like, I wouldn't be
14:49
pushing that narrative, especially not with the gigantic
14:52
platform like that. Anyways, I would agree, I would
14:54
agree with his opinion, to be honest, I think he's A spot on
14:58
his opinion, Nico. Oh he's just an observation,
15:01
he's observation. I think that in this particular
15:04
moment in history I want to keep emphasizing that right?
15:08
And this particular moment in history, I think that you know,
15:11
the political left. Unfortunately.
15:13
You know it which blows my fucking mind because we live in
15:16
the US and the left was a main proponent of free speech for the
15:21
longest time. And it was actually the right.
15:23
That was censoring a lot of stuff, right?
15:26
You know, because of their A lot of religious conservatives,
15:29
right? So, you know, it's very strange
15:32
right? That, that there for censoring
15:37
certain type of speech and certain types of, of, of ideas.
15:40
It's a very, very strange phenomenon.
15:43
And I actually agree with Ilan, in the sense that I think it's
15:46
vital for democracy to have open and free discussion, right?
15:50
And for Bitcoin, I might add right, you need that even though
15:53
it's on the protocol, level Bitcoin does that.
15:55
So it's kind of immune From this stuff, which is why I believe
15:59
right there. So against proof of work in my
16:02
opinion, right? So anyways, James what are your
16:05
thoughts on this? I think, you're right.
16:07
We and, and not just that the alignment has completely flipped
16:13
from when I was a kid, you know, or even it a little bit before
16:17
that and the 60s. I mean, peace love, you know,
16:21
anti-war and it's completely flat.
16:24
That's crazy. They just want control.
16:26
The left ones can All they want censorship.
16:29
I mean, it's, it's they, it's nuts.
16:32
But so you, but that's one thing.
16:35
But then, the second thing is just, it's polarized, right?
16:38
So the views have been just pulled so far apart, that's why
16:43
the far left and the far right or not speaking.
16:45
But if you think about it, I mean, most of the people I know
16:49
are somewhere in the middle. I mean, they're not super far
16:52
left. They're not super far right
16:53
there in the middle, and they are not represented right now,
16:56
so that's That's another total issue with our political party
17:01
system here in the United States, having a two-party
17:03
system and having them completely polarized.
17:05
But I don't know if you guys saw the, the tweet that that Kyle
17:10
bass put out this morning and he's pretty hard conservative,
17:14
but he put out a post this morning, that showed the
17:19
political donors and the none of the money that came from the
17:23
percentage of donors that came from the left.
17:27
Just the right. But the Democrats versus the
17:30
Republicans in each of the major companies in America and one
17:34
from Netflix, you know, Twitter all and apple all the way down.
17:39
It was fascinating to see just how far skewed was laughed.
17:44
And so the people working at these companies at Netflix and
17:47
and at Twitter, I mean they just have a very there it is.
17:52
I mean, it's it's skewed. I mean, it's weird.
17:56
That's reality, right there. R.
17:57
That's that's Federal data. Yep.
18:00
And this is just what they recorded.
18:02
I can tell you that. The company I worked for was had
18:06
their political Pac committee and, you know, you're not
18:08
supposed to. So it's interesting, right?
18:10
You you signed documentation that says that in no way.
18:12
Will the company try to persuade you or your political views, but
18:16
come and sit down and pay attention to our political, you
18:19
know, our political action committee and we are going to
18:21
talk to you. Why?
18:22
You should vote for so-and-so party?
18:24
Yeah, so yeah, exactly. Okay.
18:26
I think it is Automatic, you know there it's not it's not a
18:29
Level Playing Field right now so you know I would like to see it
18:33
level. That's that's where I'd like to
18:35
see it. Period.
18:36
Agree. I agree.
18:36
But it's funny because once it gets level, that the right will
18:40
tend to want to push it to the because it's a fucking pendulum.
18:44
That's that's the issue. And that's what Bitcoin solves.
18:46
It essentially takes the power away from people.
18:50
The ability to censor in the first place, ready because the
18:53
right is like oh freedom of speech, freedom of sir, but you
18:55
know that once they start getting accumulated, A little
18:57
bit more power and be like, you know what?
19:00
We have to start censoring, you know, anything that the right
19:02
sensor is it, but that's the fundamental issue is that if you
19:05
have the power to censor, you're going to use it to your
19:09
political advantage and that's the Crux of the issue.
19:11
And that's what makes Bitcoin so unique and so important.
19:14
Anyways, Phil, what is the next fail?
19:16
All right, let's dive into it. This is a tweet from Caitlin
19:20
long. I think it was Ico Synod or
19:24
toxic at or I'm not sure one of the fellow plebs that Hide Us in
19:28
it. Let's take a look at this one.
19:31
Whoa. No wonder why big banks fight
19:33
us. So hard excerpt from comment
19:37
letter to the fed by wise Wells Fargo and JP Morgan are the two
19:41
banks that originated 50% of ACH payment volume Banks.
19:46
Charge a markup of up to 100% so ripe for disintermediation buy
19:51
Bitcoin. That's right.
19:52
And I mean don't get me wrong, you know, if you've dealt with
19:55
the banking system long enough, you completely understand that
19:59
you're paying for absolutely nothing in.
20:01
Many instances for services, right?
20:03
As a regular customer. I mean look they they charge you
20:07
a fee for administration and they do.
20:09
Absolutely nothing. It's all just hosted online.
20:12
This is all just paid for they get to write it off.
20:14
It's part of their expenses and they still just charge you for
20:17
it, anyways, whatever. Let's pretend it's not happening
20:20
and we're not living in clown world, right?
20:22
Right. That's not really happening.
20:23
Okay, so let's read this little excerpt, as wise indicated in
20:28
our previous letter. The status quo presents, a
20:29
significant competition, Ian and risk issues to Banks originated.
20:33
Nearly 50% of ACH transactions in the US.
20:37
And it's these same two banks that originated payments for
20:40
many large. Payments companies adding single
20:43
point of failure risks to these systems further in the US, the
20:47
direct cost of a Fed, ACH origination is only 35 cents or
20:52
less, but Banks May charge other financial institutions as much
20:57
as 35 cents or more for origination services.
21:01
Potential, markup of 100x. End-users ultimately absorb
21:05
these costs and this is exactly the point, okay?
21:11
It's that end users do end up absorbing these costs and really
21:16
there's no reason. No reason whatsoever for us to
21:20
have to pay this. There really isn't and this is
21:23
why they are not going to cede ground to bitcoin easily.
21:27
Okay, this is one of the main reasons a lot of these Tutions
21:31
completely understand that they make money for doing absolutely
21:33
nothing in a Bitcoin World. They are not going to be able to
21:37
make money for doing absolutely nothing.
21:39
They just won't they will have had to have provide some type of
21:43
a value, some type of a service, some type of a product that
21:46
people find Value in it that are willing to exchange their
21:50
Bitcoin. For anyways it's just look, you
21:53
know what? Shuttle to Caitlin long for for
21:56
putting that out there because really I think that people don't
21:59
understand how much these institutions are making for
22:03
doing little to nothing. I actually one time asked them
22:06
to document for me because they try to raise my my fee, Mike my
22:10
monthly fee. So I said look I go when I raise
22:13
prices for a customer. I have to tell them what added
22:16
service or value. I am providing for increasing.
22:19
My rates. Are I have to have a legitimate
22:21
reason so can you please tell me what added service our you, I'm
22:25
getting for this fee and they said, Nothing literally, they
22:32
just said nothing and they just said, well, this is a fee that
22:35
we charge and it's going up. Like they don't have a reason.
22:41
I can't believe it. People do this, dude.
22:43
I, you know, I've the send a wire transfer and then send a
22:48
Bitcoin transaction. You'll see how this ends, right?
22:51
That even that is my response to this right.
22:55
You know, I kind of set up my bank, you know, that.
22:59
So like I could, I have this little like, you know, this
23:01
little thing that changes kind of like to fa, but for your
23:04
bank, so I can send wires from home.
23:06
But most people don't have that and you have to go and you have
23:09
to go to the bank and you have to sign all Paperwork to send a
23:12
wire and even when I do send it at home, it said this is so
23:15
archaic. And why do I have to pay $30?
23:19
No matter how much money I'm sending, it's a fix 30 dollar
23:23
fee and now Phil is telling me that it's 35 cents, origination
23:27
feet. So it's like holy crap, these
23:29
people are just milking it, right?
23:31
And you compare it to bitcoin. You could not only is it
23:34
pennies, or dollar, or maybe a dollar or two, if you want to
23:37
send it really fast, you can send it all over the world.
23:40
It's Isn't Aeneas instantaneous, you're going to get it.
23:43
The other person is going to say, hey I got it, it might not
23:45
have confirmed, right? It's just a better system.
23:48
This is an archaic system. Perhaps, you could have made the
23:51
argument that this was the best solution at the time, but now
23:54
there's a better solution and just to kind of give people
23:57
context on who Caitlin long is she's behind the Wyoming Bitcoin
24:02
Bank Charter, right? So she's behind a cup, so
24:04
cracking his doing one Avanti, which is the one that Caitlin
24:07
long is behind and they're trying to set up essentially.
24:11
These banks that accept Bitcoin, they facilitate Bitcoin
24:14
transaction AKA Bitcoin banks in the state of Wyoming.
24:17
And they've had incredible push back just to get accepted.
24:22
So, now we know why. I now we know one of the reasons
24:25
why, anyways, James, what are your thoughts on this?
24:29
Make sure I'm not muted. So, first of all, going from a
24:33
third of a penny to 35 cents, I mean, that's just that's just
24:37
that it's so egregious, it's so far.
24:40
But they, but they're arguing will be why it's 35 cents, you
24:43
know, it's just 35, but it's still 100x, you're right?
24:46
It's, that's absurd. So, pedir point of wiring money,
24:52
you know, being in investments in having private Equity
24:55
Investments. We continue, I continue to have
24:58
to wire money to You to do these add-on Investments, you have
25:01
Capital calls and you have to wire money.
25:03
That's just the way it works. You have to wire money to this
25:05
private company and they you know so because I'm with Wells
25:08
Fargo and I've got a few Banks. I do it with but because I'm
25:12
with Wells Fargo, I have to go down there and sign a stack of
25:17
papers. I mean, I'm not joking.
25:19
It's a stack of papers and it takes me about 30 minutes maybe
25:24
sometimes sometimes slightly faster but and And it dewier may
25:30
arrive the next day. But if it doesn't it trips over
25:34
a weekend, it could get there on a Monday or Tuesday.
25:36
I mean, it is absolutely absurd how much time how much money is
25:42
wasted just with with somebody standing over there.
25:45
You could all be automated, we don't have to do this, you know,
25:49
we can have it Biometrics, we can and you know Nico like
25:53
you're saying you could have you could have your continuously
25:55
changing token. So you know, But they don't do
25:59
that for every customer, you have to, you have to go and have
26:02
special approval and some banks just don't even do it.
26:06
So, yeah, the Bitcoin, you can send a billion dollars from
26:10
here. All the way to San Francisco or
26:14
from San Francisco all the way to Tokyo or to Germany.
26:19
And it takes the same amount of time and the cost the same
26:23
amount of money, you know? And just like you said, Nico, if
26:26
you want to send a little bit faster, maybe it'll cost you a
26:27
dollar. To send a billion you know I
26:30
mean come on. It's just it's so far.
26:34
It's so far ahead of the current banking system.
26:39
You guys just defined exactly what the issue is.
26:42
Now I don't think that, you know, we could get into them the
26:45
Dynamics of fighting Bitcoin and and they're being conspiracy or
26:51
collusion against it. I don't think it's really
26:53
collusion. I just think that there's people
26:55
who are in positions of power who have benefited greatly from
26:59
This system and this system is the way they wanted to stay.
27:02
They don't want this system to change.
27:04
It's as simple as that, you know.
27:05
I mean it they're rewarded for this system.
27:09
It's done very well for them period.
27:12
I just want to point out, I didn't see the decimal when I
27:14
was reading and thinking. Yeah, correcting James, that was
27:18
that, that was a third of a said that is correct to 35 cents.
27:21
Thank you. So.
27:23
Ya know, an absolute and it was actually, Peter teal had this.
27:27
He had an amazing Pat or it was a keynote during the Bitcoin
27:32
conference and he's, you know, he said it he's like look if
27:36
Bitcoin wants to continue growing and needs to
27:39
essentially, you know, beat a peacefully these people and he
27:43
mentioned Jamie dimon, he mentioned, Warren Buffett.
27:45
He mentioned. All these people that benefited
27:48
tremendously from the Fiat system so that they're not
27:52
incentivized to understand, you know, a better system for in
27:55
their eyes. This is the better system but
27:58
the beauty of Coin. Is that it benefits everybody?
28:01
Whereas in the Fiat system it just benefits.
28:04
This Elite few of concealing airs, right?
28:07
Like Max Keiser likes to call them and yeah man it's it's it's
28:11
discussed is Nico. Just think of just thinking you
28:14
know your kid you're playing Monopoly and you're cruising
28:18
along and you're winning like you're crushing it and you've
28:21
got two or three other players, you get your brother and your
28:23
sister and a friend there and they're getting the kind of
28:25
irritated and I like let's just start over and You're the one
28:29
who's winning. You're crushing it, and you're
28:31
like, but I'm about to win, you know?
28:33
Why would you know, I don't want to start over.
28:35
I've got seven hotels and I've got Park Place and no, I don't.
28:39
That's where we're at. I mean, it's simple but that's
28:43
where we're at. It's simple that's where we're
28:45
at. I think Bitcoins incentives will
28:47
overcome this stuff, but you know of course they weren't just
28:50
going to give over the keys, you know, like these are you know
28:54
it's these are people that are very well funded and they
28:57
benefit but See how this plays out, it's going to be
29:00
interesting to say the least and it gives us plenty of fucking
29:04
Source material so we could cover it on the fail in the
29:07
news. But anyways Phil it's time for
29:08
the daily meme review brought to you by Citadel 21.
29:12
It's the best Bitcoin cultural Zine its stories articles Comics
29:17
by actual bitcoiners. Every volume has different
29:20
artwork. This is artwork for volume 10
29:22
and as artwork for volume 11, it just release and their scarce is
29:26
only 1000, physical copies made per volume.
29:28
You get your print of Citadel 21 today before they run out.
29:33
All right, everybody, Welcome to the Daily Mirror view where we
29:36
cover memes because memes are very important part of Bitcoin
29:40
culture and they are serving as a weapon in this narrative
29:45
trench warfare that were fighting in the peaceful
29:47
Revolution. Anyways this check it out first
29:50
a Reddit meme how much Bitcoin is enough Bitcoin I don't have
29:53
enough Bitcoin buys more Bitcoin ha ha ha.
29:58
Accurate. It's not true.
30:01
It's a feels good momentarily. Like a fuck, you know.
30:04
Like, okay for a second. You're like, I stalked.
30:06
I'm like, damn it. I don't have enough.
30:07
Okay, when somebody asks you, why you have an old car at
30:12
cracked phone and only twelve dollars in your bank account
30:14
while having a good job, you wouldn't get it.
30:20
No, it's so true like mine or me friends.
30:22
They look at me like a psychopath.
30:24
It's like what do you mean? You don't have a car?
30:26
It's like dude, this car is expensive.
30:27
I work from home, you know? And they're living the Fiat
30:30
lifestyle bro. Buying a Porsche Lambert is
30:33
likes. Like come on Bros anyway, Zambos
30:35
Lambos and I live in Miami. So it's like, this is actually
30:39
Lambo. This is the place to buy that
30:41
car anyway since Lambo country. Yeah, yep, it is.
30:45
Okay, so this is Roger over. Apparently he came back.
30:48
Regular report using are all using custodial wallets.
30:51
Bitcoin will have, will have lost a key property that made it
30:55
so revolutionary. I actually agree with Roger
30:57
there, to be honest. Roger, Bitcoin can never be used
31:00
as money without privacy, and this is hot on never saw little
31:03
bit coin. Lightning Network fixes this
31:05
already. Wait for more.
31:06
Tell me the truth. I'm ready to hear it.
31:08
Lightning will kill your she's going.
31:13
All right, moving on. All right.
31:15
This is why we are huge Advocates of Bitcoin.
31:18
Only if you zoom out Bitcoin remains King over time.
31:24
If you are looking in the short-term your B Ko your shit
31:28
coin might outperform Bitcoin but that's only for a short
31:31
period of time. And this this chart really
31:34
highlights that right all of these little shit coins, right?
31:37
All these little lines are shit coins, right?
31:40
And this is the performance of percentage performance of
31:42
Bitcoin. Overtime.
31:44
And here are the shit coins, right?
31:46
So dude, yes, in the short term, they might outperform Bitcoin
31:50
but over the long term, they do not.
31:52
None of them do those are the top 2412?
31:55
Yep. Yep.
31:56
Yep. Those are, those are only the
31:58
top that has survived. That is survival bias in it,
32:01
right there. Yeah, exactly.
32:05
This is like true thousand others that like don't even show
32:07
up there. This is true.
32:09
This is true. All right, here is from Sure
32:13
things. The only reason why the
32:14
government would want to disarm you after 243 years is because
32:18
they intend to do something that you would shoot them for.
32:21
Yeah I agree. This is a good one, not been
32:25
quite related. Awesome.
32:26
Phil kind of we're just shitting on the left today, aren't we?
32:29
Oh man where no I'm sorry, are a lefty friends because we do have
32:33
a lot of them. I'm sorry.
32:34
This, that was Phil's fault. All right.
32:37
Next one. Next one Rd underscore BTC
32:41
Bitcoin gives you the ability to levitate above.
32:43
Fiat, worlds. And it's all Bs politics.
32:45
And this is exactly why we say. We are a political because
32:50
Bitcoin fixes this, and there's a lot of things that the left
32:54
and the right people on the left and the right friends of ours
32:57
have in common, but because of Fiat it makes them feel like
33:01
they're fucking mortal enemies were.
33:03
It's they're not the money has been stealing from you this
33:06
entire time anyways. So I think this meme really
33:10
highlights that moving on to that next one.
33:12
Bye Giggles mama. Me sending flat ass memes to
33:15
help the cause. Hi keep plebs discussing bit
33:18
119. Phil, you're just picking these
33:21
today, bro. What the high IQ person is
33:26
Donald Trump I just look at the message that he simply be coin
33:35
became an ALT right Bitcoin podcast man.
33:40
Alright, moving on next one. Bitcoin meme Library.
33:42
What savings Millennials? Millennium Millennials trying to
33:46
save for house inflation. It's so true.
33:49
Especially in South Florida. Last two years 40%, right?
33:54
It's absolutely freaking insane home prices.
33:58
But anyways, those are some awesome A memes, fill for that.
34:03
I'm going to give it a very special, Lucha Poletti.
34:07
Shout out to you, brother, he signed it himself.
34:10
Thank you, man. Love your art bro.
34:12
This is my score. Anyways.
34:13
Phil, what do you give those memes?
34:16
I am prepared, I am prepared. Those were great memes, and I am
34:20
going with another Swede Toshi original.
34:23
That's right, not Taco Bell, but Taco plebs.
34:27
Taco platter. That's right, good scores, good
34:30
scores. Anyways.
34:31
James, what would you give? Those are we give?
34:34
So I would give that those awesome memes.
34:38
Were there a little bit mixed with the Trump being high IQ.
34:42
Brilliant. So, I would give that kind of a
34:45
half. Your pods case half, not full.
34:49
But how don't think we've gotten that as a score yet?
34:52
Very nice is it? No, but yeah, but they have the
34:56
potential to be just the best, you know, earphone to ever so
35:01
close. Wow, we're getting Cosmic very
35:06
cool. This makes it so easy.
35:07
It's not a half. It's not a half empty or pods
35:10
case. No, have full are past full.
35:13
Yeah, and you know, we still weren't wearing it.
35:17
I like that close. I like that.
35:19
I like that. Anyways guys, we want to know if
35:21
you agree with our scores, you disagree, let us know down in
35:23
the comment section. Make sure to join our telegram
35:26
group linked us, some dank dank dank Bitcoin, memes to review,
35:29
And subscribe to us on alternative media platforms,
35:31
like Rumble.com and our personal favorite Bitcoin tv.com.
35:34
They don't censor their because Bitcoin TV.
35:36
Anyways Phil it's time for the Daily News brought to you by
35:40
crypto cloaks.com they make some of the best 3D printed Bitcoin
35:44
merch. Like the famous 3D printed Art
35:46
sculpture grenade opens up. You put your favorite Hardware
35:49
wallet in there and also comes in any color you want.
35:52
Yes, that means it comes in gold and this must give Peter Schiff
35:56
Art Attack because it's a gold Bitcoin art grenade sculpture.
36:00
Yeah, that's right. And you can take advantage to
36:02
link down below to get 5% off crypto.
36:04
Cloaks.com. All right, everybody, we say,
36:07
we're not a hope IAM Channel. We say we don't speculate, but
36:10
we do bring guests that do that and they do it very well with
36:15
their Some creds and James is one of them.
36:19
Anyways, let's check it out. Bitcoin will eventually be worth
36:23
over 1 million dollars per coin. How pure math?
36:27
They're currently 700 trillion of global investment assets,
36:31
bonds, 137 trillion stocks a hundred and Seventeen trillion.
36:35
Real estate 219 trillion art and collectibles. 222 trillion gold
36:42
10 trillion em to 130 trillion total seven.
36:46
Third and six trillion dollars at 42 K per coin, bit coin
36:51
market cap, 900 billion Point, thirteen percent of global
36:55
assets as individuals and asset managers learn about and gain
37:00
comfort and Bitcoin. This number grows, one percent
37:04
equals seven trillion. 337 K Bitcoin two percent equals 606
37:10
667 K Bitcoin and three percent equals.
37:16
Million-dollar Bitcoin forget stock to flow use case Mi
37:20
valuation models or other scenarios.
37:22
This is simple math. You're starting to sound a Greg.
37:27
Mr. Lavish. Yeah.
37:29
So okay. So a couple questions, right?
37:35
First an observation to twenty two trillion dollars in arts and
37:40
collectibles, what the fuck is wrong with people?
37:42
Okay, that's number one, actually.
37:44
It's actually, it's actually higher.
37:45
Now, I I've revised that up to 30 trillion Jesus.
37:51
Okay, so James obviously, these are very bullish numbers.
37:55
I so I have a buddy of mine. I've brought him up a couple
37:58
times on this show to have a buddy of mine who works in the
38:01
wealth management of Goldman Sachs here in Miami.
38:04
And I we were I've been trying to Orange Peel this guy for five
38:08
years now, right? And he's my age, right?
38:12
And He still doesn't get it. He's like it's volatile.
38:18
I can't offer that to my client. So you have to understand the
38:21
type of clients he has, right? He doesn't have someone who's
38:23
trying to make money, he's trying.
38:25
He's having clients that want to conserve their wealth, right?
38:29
They have over 10 million dollars.
38:31
They want to conserve that. Right?
38:32
They took, they had they made risky investments in their
38:35
youth. They were an entrepreneur, they
38:36
started a company, they made a bunch of money now.
38:39
They just want to conserve, and I said, I don't know.
38:42
Fuck, I name-dropped and I'll beat that out.
38:44
I said, now you guys It already. I said, John Smith.
38:49
Do you not understand that you're hurting your clients?
38:52
If you don't put one percent of their wealth and Bitcoin?
38:55
They're going to fire you and he's not taking it seriously and
38:59
I don't think one percent is too crazy.
39:01
I think Bitcoin has surpassed this, you know, it went from I
39:05
would say a risky investment to I would say right now, it's a
39:08
necessary investment. I would say, if you don't have
39:11
especially for those types of risk tolerance people.
39:14
If you don't have Have at least one percent of your portfolio
39:17
investment in Bitcoin. I think you're actually hurting
39:20
your client more than you're helping your client.
39:23
What would you say about that James?
39:26
Well, a few things. First of all, it sounds like
39:27
Greg. What Greg.
39:28
And I talk all the time and that's how he found me.
39:30
I think he found me we got on stage together.
39:33
We were talking the same language, you know?
39:35
I mean, I traded risk Arbitrage, I traded merger Arbitrage.
39:39
I was, I've been a risk manager forever and so we kind of see
39:43
the world the same way we Things the same way.
39:46
And so when I first did the calculation that you're seeing
39:49
and another one that that shows the probability analysis, their
39:53
binary probability analysis that we that we use when you're when
39:57
you're looking at event event but with binary outcomes.
40:00
And so, you know, we speak the same language but back to your
40:04
point look there's there's a small chance that in the next
40:12
decade, you have a complete collapse.
40:15
Laps of the u.s. dollar, right? I mean, it's not a very big
40:18
chance. But it's not nonzero.
40:22
I mean, isn't it is a non zero chance for sure?
40:25
It's not zero probability. So, but the thing is, if you
40:31
have an all-out collapse and I wrote a whole thread about this,
40:35
a few months ago, I think. And if you have an all-out
40:39
collapse of Fiat, like you've seen in Venezuela, it happens so
40:44
fast that you don't have time to adjust, you know, it just Weeks
40:50
before the Ukraine was attacked. I put out a post.
40:53
I said, I hope that the Ukrainian people.
40:56
I hope some of them. I hope they own some Bitcoin.
40:58
And my point wasn't that. So they could get rich.
41:01
My point was that they need to be able to monetize their assets
41:07
and move them with them, right? So that was a, that was a war
41:10
case scenario. But when you have a collapsing
41:13
Fiat, when you when your your currency is devaluing and
41:19
debasing, So rapidly that you can't keep up with it, will
41:23
everything that you own is going to be revalued into whatever
41:27
becomes the form of money, right?
41:29
So, if the form of money is gold, then it gets repricing in
41:33
gold. And if you don't own any gold,
41:35
you don't have, you know, you don't have that as a currency.
41:40
If you don't own any of these assets, you don't have that as a
41:42
currency. So Bitcoin is the best safest,
41:47
the the Dearest form of insurance against the Fiat,
41:53
collapse that you can that you can find, Greg will go into all
41:58
the gamma and Theta, you know, optionality of it might a, can I
42:03
grieve with them on that? It's a little bit.
42:05
It's a little bit too complicated for, for this
42:08
discussion, but the point is that, if you have just one
42:12
percent of your assets, right, go back to the valuation that
42:17
you just went through with mine with my My analysis, which if
42:21
there are 700 trillion, dollars of investable assets, there's
42:25
over there's over a quadrillion dollars of total assets in the
42:29
world, including all the debt, right?
42:32
So if you have, if you have Bitcoin, become the world
42:38
though, it becomes the base currency of the world, you know?
42:42
Not just the, the reserve asset, but the reserve currency, well,
42:47
those numbers you're talking about Swallowing basically all
42:51
of it, right? So if you if it if you have
42:57
investors, okay, that own just just a few percent and Bitcoin
43:02
does what I think it's going to do which is it's going to become
43:05
a core asset in portfolios and it's going to be in a separate
43:10
asset class which means that people want to buy the riaa as
43:14
the investment managers. They're going to want to own
43:16
least one to three percent of this in the portfolio's.
43:19
It's a separate class. Class.
43:20
Right as insurance and as an appreciating insurance against
43:26
the Fiat collapse. Now, what does it feel collapse?
43:28
Look like wealthy. I Collapse, looks like all of
43:31
that. All of that monetary existence
43:34
gets swallowed into that new base currency and if that's
43:40
Bitcoin, what you're talking about?
43:42
Bitcoin not becoming worth 1 million dollars.
43:45
You're talking about it becoming worth multiple tens of millions
43:48
of dollars, you know? Like this it it does that
43:52
parabolic you know appreciation where price Discovery is just
43:59
the swallowing of the the the net worth of the entire world,
44:05
you know, because everything if you price everything in dollars
44:08
right now, that's what you're looking at.
44:10
If you price everything in Bitcoin, will take all the
44:13
dollars out of it and you're left with Bitcoin, right?
44:16
You guys with me on the math of this.
44:18
If you just have to your Going to make more than 100 times your
44:24
money from this point forty thousand dollar Bitcoin.
44:28
Your easily going to be 100 times that if you have an in a
44:32
catastrophic collapse of the currency system, the current
44:36
system, right? So if you have one percent and
44:40
that doesn't happen, let's say there's a nation-state attack
44:45
across the world and they somehow figure out how to kill
44:47
it and Bitcoin goes to zero. Again, I don't think that that's
44:51
a. That's a it's not a zero percent
44:55
chance, it's nonzero but I think it's super super super unlikely.
44:59
This is a this is the the best most positively most positive
45:04
asymmetric opportunity I've ever seen in my investing career.
45:07
So put that over here. Okay.
45:10
But if you do have a collapse then you own one percent and
45:15
your portfolio and it goes up 100 times.
45:19
Well, you've just saved the rest of your portfolio, right?
45:22
So now your 1% has become 100%. So you're still, you have, you
45:26
have you have protected your entire net worth with that 1%.
45:31
And you're probably have grown it.
45:34
You probably are worth more than you were before that.
45:37
If you own 0% your net worth collapses, right?
45:41
You don't know what that's going to be worth.
45:43
It's going to be worth a fraction of what it was.
45:46
We don't know exactly what it would be worth because we don't
45:48
know what real It does, we don't know what, you know, your other
45:50
depends on what you own. Okay, but the point is, if you
45:56
own one percent and Bitcoin collapses and for whatever
46:02
reason, it doesn't work, we still have ninety-nine percent
46:05
of your portfolio. How can you not own any that
46:09
makes absolutely no sense. It is ludicrous to think that if
46:13
you're an investment manager in today's world, you know, this is
46:17
out there. You're seeing the extent
46:18
Adoption from nation states. You're seeing Fidelity add it to
46:23
their 401K programs. You know you're seeing places
46:27
like Fort Worth and Texas embrace it mine it build out
46:31
their grid on the back of it and you still are you're you're
46:36
believing that it's not going to work that it's a Ponzi scheme
46:39
that it you know that to me is reckless if you don't just own a
46:45
little bit I'm not saying own five, ten fifteen twenty
46:47
percent, there are A lot of our listeners that they have their
46:51
net worth in it. That's fine.
46:52
That's not me. I me I'm a, I'm a, you know, I
46:55
like I said, I'm a risk manager and I've got a lot of different
46:59
Investments, you know, and one of them is Bitcoin and but if
47:05
you're if you're an investment manager and you're managing
47:08
other people's money and you don't have any exposure for them
47:12
in this asset class. I think that that's reckless.
47:19
So, beautifully, put, I'm going to send it to him.
47:22
So James, what does Fiat collapse need to happen in order
47:28
for this to play out? Okay, so you're watching right
47:36
now, things that are happening across the world, right?
47:38
So so you're seeing Japan and the Japanese Yen just it's down
47:44
like 20% in the last number of last few months, okay?
47:47
And what's happening there is Japan has announced the bank of
47:52
Japan has announced that they're going to stand on the 10-year
47:56
and buy every single bond in order to keep.
48:00
That that yield at point two five percent, right?
48:04
So there what that's called, yield curve.
48:07
Sorry yield curve control and so they're standing there buying
48:10
every single Bond. Okay, so what does that what
48:13
happens then? So as they're buying those
48:16
bonds, they're buying them from from International investors, or
48:20
from corporations, Whoever has them.
48:22
Right? And those they're buying them by
48:26
printing Yen, okay. Buying those bonds.
48:30
The whoever the seller was gets those Yen for that, right?
48:36
And then if you're born, you're selling those Yen.
48:40
So, the, the Yen then collapses in value, right?
48:45
So, that's its, there has to be a release valve for all of that
48:52
pressure from from those bonds. And from that, you know, that
48:57
dynamic between the treasuries that Then the bonds, the
49:02
Japanese bonds, and their currency and that and that
49:05
release valve is the n. So we're watching that happen in
49:08
real time. With Japan can do a few things,
49:10
they own us. Treasuries and there are a few
49:12
things that can do to shore it up but in the end they have to
49:15
print to Oblivion. That's what's going to happen.
49:18
I don't know when it happens but the yen is going to collapse.
49:21
I don't I'm not saying it's going to happen this year next
49:24
year. It these things take a long
49:25
time, but on the backside of that, the next one to go is the
49:29
euro Whoa, they've got all those southern states that have
49:32
absolutely terrible financials. Their GDP is not keeping up with
49:38
their debt and they're they're they're living on the backs of
49:42
the Germany's and the friend, you know, and the northern
49:47
European States, okay. And that's not going to be able
49:51
to be sustained. So that's the next one to
49:54
collapse. So what happens is, they all go
49:56
into the dollar? You have this kind of a dollar
49:57
milkshake. You've heard the dollar
49:59
milkshake Theory. And the dollar will be the last
50:02
one to to fail, but it will fail eventually, it's the math
50:08
doesn't work, why? Because Globe Global GDP, if you
50:13
take out Russia and China and say that they have their own
50:16
currency, right? They go to the the one Ruble,
50:21
okay? And we're at the rest of the
50:24
western world is on the dollar, basically.
50:27
That Western world's GDP does not sustain the debt that we
50:33
have, it doesn't cover it. So eventually you just have to
50:37
keep Printing and printing and printing and printing and
50:39
printing in order to keep inflation going in order to
50:44
inflate away your your past debt.
50:48
So the numbers if you if you just think about the numbers
50:51
your GDP if it's if it's three to four times the you know if
50:57
you're Is three to four times to your GDP, your nominal, your
51:00
nominator, she numerator over your denominator, right?
51:05
If you if you just look at the math on that, then this has to
51:11
be three or four times your denominator to catch up and it
51:16
will have you ever heard of GDP, sustained, GDP at 20 plus
51:21
percent. No, it's impossible.
51:24
L know now not possible. It's not possible.
51:27
It's simply not possible so it will eventually collapse in a
51:31
developing country perhaps, right.
51:34
But in a developed country, fuck know that.
51:37
No I don't see it. So I don't know when it happens
51:40
but it eventually has to climb. It just doesn't work.
51:42
The math doesn't work. So James and one last question
51:46
before we tie things up. So right now, you know, and fill
51:50
it. I were actually we're pretty
51:51
accurate on this to. Discredit us plebs.
51:53
Right? So where we stand from and we
51:59
had Mark Moss. Come on the show and we were
52:00
like, dude are we seeing this, right?
52:04
How is the Fed going to dig itself out of this hole?
52:08
Because I see what you're describing and I see them kind
52:12
of in a pickle, right? Because it's like they raise
52:14
rates, right? They stopped buying bonds, they
52:17
completely annihilate the economy, right?
52:20
What's your other option? Print more money, if they print
52:24
More Money, More inflation, which actually benefits the
52:28
government. And it benefits the very, very
52:30
one wealthy that benefit from asset inflation.
52:32
But everybody else your term told short Turner.
52:36
So is this the beginning? Of course, there's absolutely no
52:40
way to do it to know this, we're speculating.
52:43
But is this the beginning of it? Because Max Keiser and Jack
52:47
Dorsey. I might add Jack Dorsey said
52:50
this beginning of hyperinflation, he got totally
52:52
On by the propaganda media Kaiser, same, right?
52:56
So kind of a little bit different, you can't, you can't
53:00
you can't, what is it? You can't stop upon Z or
53:02
something like that, to his word, he's right?
53:04
Yeah, yeah. You can't inflate Away by a
53:06
parent go with you so. So are you, what are your
53:10
thoughts on the current situation?
53:12
Is it the beginning of what you just described?
53:15
Well, you know, first of all you've got to get to the the
53:17
definition of hyperinflation, right?
53:20
And hyperinflation, is it. Its measured on this, arbitrary
53:25
measure. That was that was created by
53:27
economists, that says, if you have inflation, it's 50 percent
53:31
month-over-month, then that's hyperinflation.
53:35
Okay. I mean, really if my goodly, I
53:39
would argue that. Okay.
53:40
Then what's super inflation, you know, if you go to the grocery
53:43
store right now, it costs you, it costs you about what 100%
53:50
more than it did last year to drive there.
53:52
Right from gasps. Okay, then you get to the
53:55
grocery store and your groceries are 30 to 45 percent more
53:59
expensive that that that impact sheet, right?
54:02
So that feels like super inflation.
54:07
May be the hyperinflation because not completely out of
54:09
control but the start of it is how do you how do you real that
54:13
back in which Niko you just you just pointed out that, okay, you
54:17
raise rates you then you trash the economy and your GDP.
54:22
He goes It goes down. When know you're going to take
54:25
it. We're in stagflation already
54:27
because it already is going down, that's a problem.
54:30
So you know so you can't you don't want to crash the economy.
54:34
You don't you don't want to raise rates.
54:35
So so quickly that you crash the stock markets and the the
54:40
capital markets, because the capital markets are so
54:42
intricately connected to our economy, you can't, we cannot
54:48
kill that the financial economy of this country.
54:52
Or else we do collapse, right? So, the FED I kind of, I mean, I
54:57
was, I picture the FED is as a Teenage driver, you know, they
55:01
come off the line really hot right?
55:04
And sometimes it come off the line so hot that they kind of
55:08
swerve out of control. Okay.
55:10
We did that clearly we came off the line really hot, we kept on
55:15
the pedal and we're swerving out of control with all the
55:19
printing. And now you know you're you You
55:22
don't tap the brakes when you're a teenage driver you slam on
55:27
them, right? And so you hope that you don't
55:30
get into an accident slamming on the brakes.
55:34
If we raise rates 75 B basis points, in this next meeting,
55:39
that's a slamming of the breaks. Especially as you see that we
55:44
just had a negative GDP print, right.
55:46
So what's their choice? Well, do they raise rates?
55:50
50 basis points like the fetish Reactionary.
55:54
You know, they there's signal everything that they're going to
55:57
do in order to tame the markets and the what does that do?
56:03
The markets lower all the multiples of companies come
56:06
down, their borrowing power decreases.
56:09
All right, so that causes a contraction of the economy and
56:13
the financial instruments of this nation and so if if you
56:17
have that contraction it does control inflation as Long as
56:23
inflation is due to those kinds of pressures.
56:27
But when you print out of control right and the inflation
56:33
is because you've got BlackRock and Berkshire.
56:37
Hathaway buying buying tens of millions of homes across this
56:41
nation and sitting on trillions of dollars there, you know, the
56:47
the huge institutions you just saw today that the reverse repo
56:52
Endo exchange one point nine trillion dollars.
56:56
So what does that mean? One point nine trillion dollars
57:00
is in the system that doesn't have a home?
57:02
It's just cash. It's the there's so much money
57:07
in the system still that it's sitting on the sidelines and
57:11
they don't know what to do with it because it's too scary to buy
57:15
treasuries right now. So, what the what do they do?
57:19
They give it to the FED in the overnight window, okay?
57:22
And Yet they get a nominal rate of return on that and then they
57:26
get it back the next day or 48 hours later, but instead of
57:30
going out my that's that's massive liquidity in the system.
57:34
Okay, so back to your point, Nico, how do you deal with that?
57:38
Like, what do you do with that part?
57:40
It's in the system. What do you do, right?
57:43
So you've got, if you're, if you're the fed, you have to
57:49
somehow there it is. You have to somehow You're out a
57:54
way to slow the economy, without crashing.
58:00
Good luck. Good, absolute drink.
58:03
I agree. Phil hit it, hit it.
58:04
Closing down. Just, I just wanted to quickly
58:07
say, as you're talking about the the FED reverse repo window when
58:10
Nico and I first started reporting on it about, I feel
58:14
like it's eight months ago to a year, I could be wrong because
58:16
Bitcoin screws up our time. The plans were first talking
58:20
about a number that was like 8:00. 294 billion and and people
58:24
were saying it was a record going, and it was a record at
58:26
the time. Yes, it was a record and we're
58:29
saying to herself or like what happens when this goes over a
58:30
trillion? When does this stop?
58:33
Remember remember reaction filled.
58:34
So, we had. So, we had a finance Guy, come
58:36
on the show, and explain it to us, because I noticed I was
58:39
like, Phil, we need someone to explain this to us, and they
58:42
were explaining the reverse repo thing, and we were like, no,
58:44
because it was worth, it was worse, right?
58:46
So Trump tried to slow the purchases of bonds, right?
58:50
And they caused the repo Market crisis.
58:52
Right now, we're in the reverse repo Market, whatever.
58:58
So, and when this person was explaining to us, Phil, and I
59:00
were like, what the fuck is? This is crazy.
59:03
This is some Fiat stuff, you know?
59:05
So yeah, it is not magic. You need a real magic, it's one
59:10
hand in one pocket going into the other.
59:12
Yeah, Ministry Megaman, 30-minute the ministry of magic.
59:16
That just created a Ministry of truth but yeah, it is.
59:21
Absolute clown world. Buy yourself some Bitcoin
59:24
opt-out we not we might not be able to explain it as
59:27
beautifully as James but we definitely do cover it very
59:31
quickly. But anyways, father wasn't open
59:33
source, software release today. When I tell everybody about it
59:35
software releases brought to you by Cipher safe, check them out.
59:40
Seifer safe dot IO, don't do the paper.
59:43
Don't do the tattoo. These are bad ideas, store your
59:47
seed in the Cipher wheel or the all new Cipher grid.
59:51
They both come with A distant wire, but the grid comes with a
59:55
punch tool. All right?
59:56
We've got, this is an interesting piece of software
59:59
relating to lightning, right? It's not just like an update to,
1:00:02
you know, to the normal washing say the normal, but the wallets
1:00:05
and stuff like that that we normally cover.
1:00:06
This is a software release called block tank.
1:00:09
And what they do block tank LSP is a set of software tools, that
1:00:13
businesses apps web platforms, or bitcoiners can use to
1:00:17
monetize the lightning network connections and automatically.
1:00:22
Image Channel liquidity. Anyways, a link to that will be
1:00:26
down below in the show notes. It sounds really cool.
1:00:28
I definitely have to check it out.
1:00:30
Don't forget to check us out on our Audio.
1:00:32
Only platforms Apple. Podcasts Spotify, and anchor,
1:00:37
and if you want to stream my SATs, check us out on Fountain
1:00:40
dot f m--. You could stream a SATs with
1:00:42
Breeze. Awesome.
1:00:43
Thank you for all right guys. Before we going to give a very
1:00:45
quick, shout out to our clothing.
1:00:47
Sponsor represent LTD.com filling night where the hoodies
1:00:51
every single day. They just came out with Bitcoin
1:00:54
merch, and you can take advantage of the link down below
1:00:56
to get 10% off anything off the rep, hard, Dock comscore Store.
1:01:00
I also want to give a very special shout-out to our
1:01:03
awesome, guess, you'll get more follow on Twitter at James
1:01:07
lavish, definitely go subscribe to his sub stack.
1:01:11
He explains a lot of his stuff in his writings guys.
1:01:14
I was a show of you enjoyed the show, I know what to do smashed.
1:01:16
And of course, you're going to continue here in the Bitcoin.
1:01:19
Use from the Polly Platt perspective in the catastrophic
1:01:22
fails. Definitely consider subscribing
1:01:24
to Simply Bitcoin and we'll see you on Monday guys for a brand
1:01:27
new episode. I'm going to partially quote
1:01:29
Nico on this one. Opt out of the ministry of magic
1:01:33
money.