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How Michael Saylor Made Bitcoin Wall Street’s New Collateral | Bitcoin Simply · Simply Bitcoin

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  Michael Saylor just did what nobody thought was possible,
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  break the barrier and get Wall Street's blessing for Bitcoin.
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  For the first time ever, a major credit rating agency just rated
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  a Bitcoin treasury company in strategy.
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  In doing so, it unlocks a monsoon of capital from pension
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  sovereigns, countries who can now buy Bitcoin through
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  traditional means and capital flows.
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  And on the same day we see Larry Fink talking about Bitcoin in
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  roundtables with the wealthiest people in the world, important
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  political figures like Eric Trump are also backing it.
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  And this came from the efforts of one man telling people to
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  sell their livers and kidneys to buy Bitcoin.
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  We were staying. At the patio in Mar a Lago,
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  Michael and I and we were kind of geeking outgoing down this
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  this rabbit hole. And he goes, Eric, you know, you
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  need to take this property and Mar a Lago has no debt on it.
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  You need to take this property, you need to mortgage it right
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  now and you need to go out and buy Bitcoin.
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  By the way, he was dead serious, right?
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  He's the guy that goes out and says, you know, you know, sell
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  your liver and kidney and buy Bitcoin.
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  And by the way, he's probably also.
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  Because of the work of people like Michael Saylor, Bitcoin is
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  no longer in outsider asset. It's an asset for the insiders.
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  It's becoming the foundation of global credit.
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  This is the beginning of the financial flipping.
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  In 20 years, we won't recognize the system that we are living in
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  today. Bitcoin is going to become the
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  monetary standard of the world over the next two decades, and
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  my grandkids will transact in SAT's, not dollars.
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  The dollar will be gone. Bitcoin is the Somali pirate of
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  the financial system. Look at me.
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  Sure. Look at me, sure.
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  I'm the captain now. Bitcoin is the captain now, and
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  Wall Street is finally realizing what's going on.
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  It is becoming the collateral for the next monetary system.
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  We've got a lot to cover today. This is Dante Cook with Bitcoin.
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  Simply, let's go SP Global assigned MicroStrategy.
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  My bad strategy AB minus credit rating marking the first time in
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  history that a Bitcoin treasury company is rated by a Wall
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  Street agency. Sounds boring, but it's not.
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  It's the equivalent of discovering financial fire.
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  This now makes Bitcoin a mainstream asset in the eyes of
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  not just people like BlackRock and institutions, but creditors
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  all across the globe. The most interesting remarks
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  from the credit analysts when reading the report of the credit
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  rating, the B minus credit rating that they gave to
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  strategy, is that when they're actually looking at its credit
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  rating, they're deducting the value of their Bitcoin assets.
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  They're saying the company has negative total adjusted capital,
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  which makes no sense considering they have over $70 billion worth
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  of Bitcoin on their balance sheet with over a 50% profit.
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  Nonetheless, this is a massive milestone.
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  And why is this such a big deal? Well, we can hear about it from
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  MicroStrategy CEO Fong Lee himself in a conversation that
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  he had with Natalie Brunel a few months ago.
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  Are these instruments going to get rated by the credit rating
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  agencies and is that important? It is important because there
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  are, there are large pools of institutional capital, insurance
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  funds, pension funds, etcetera, who are required to invest in
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  their, their bigger pools of capital into rated securities,
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  right? And so they, they, they can take
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  a small pool capital like 5% and put it into underrated security
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  and accounts against them in some ways their balance sheet,
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  but they're big pool is capital required rating.
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  They for the most part, would love to have the types of
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  returns that are fixed income securities provide, but to do
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  so, they need to investment rated security, some cases
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  investment grade, some cases junk, some cases in between,
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  right. And so we're working through a
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  process with with a big agencies to get rated.
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  I think the agencies are interested in it.
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  You know, they move a little slow, they move a little slow
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  and they don't know what to compare it to, but they're doing
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  their work. They're smart folks at these
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  agencies who are going through the process and doing the work.
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  And and I think you know, step one is to get a rating and Step
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  2 at some future point in time is to improve that rating by
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  proving one, how Bitcoin can be very good collateral and two,
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  showing our instruments over time performing and paying out
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  right. And so we're like what we did in
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  2020 would Bitcoin on a balance sheet of a public company.
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  We're doing that now really this year, a Bitcoin and preferred
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  instruments and getting them rated.
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  Step one, check they got a credit rating.
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  Step 2, prove that Bitcoin is pristine collateral and Step 3,
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  now MicroStrategy has to step up and perform.
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  They have to make do and pay out on their preferred credit
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  instruments that they put on into the market over the past
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  several months. They're paving the way for a
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  whole new path for institutions to adopt Bitcoin just like they
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  did in 2020. And because of that, ripple
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  effects have gone across the globe.
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  So much so that people like Larry Fink are now talking about
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  Bitcoin in the roundtables of the wealthiest people in the
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  world here. If you, if you believe that
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  countries are going to continue to debase their currency, If you
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  believe that there's going to be global rise of insecurity,
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  owning crypto assets or gold are assets of fear.
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  You own these assets because you're frightened of the
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  debasement of your, your assets. You're, you're worried about
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  your financial security, you're worried about your physical
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  security. And, and, and between crypto
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  assets and gold they're put in, they believe, you know, there's
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  a strong belief that is a good hedge against optimism.
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  The same man who called Bitcoin a scam is not pitching it to
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  heads of state. When Fink blesses Bitcoin and
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  crypto at large, it's regulation ready.
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  And just like Larry Fink, Wall Street went from mocking Bitcoin
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  to monetizing it. First they laugh at you, then
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  they copy you. But here's the interesting thing
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  that he said. If you believe that countries
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  will continue to debase their currency, then gold and crypto
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  are a good investment. They're a hedge against
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  optimism. We're clearly central banks
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  across the globe are betting that countries will continue to
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  debase their dollar, so much so that gold holdings from central
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  bankers are about to cross their dollar reserve holdings.
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  SP Global said that Bitcoin is a material weakness on strategies
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  balance sheet, but that's actually dollars.
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  Dollars are the weakness and the wealthiest people in the world
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  understand this. And Eric Trump gives us a
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  preview into exactly what they're thinking and how the
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  tide is shifted from Bitcoin being a risk asset to an asset
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  that the insiders just buy. Insiders like sovereign wealth
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  funds and nations. Why should government be buying
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  Bitcoin? Because it's the single greatest
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  performing asset over the last decade, increasing in value 70%
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  a year, year over year, every year, like Germany a couple
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  years ago. There's a great article, you'd
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  probably, you might know the exact numbers, but Germany had
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  like 30,000 Bitcoin or something along those lines.
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  And they, they sold it right away.
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  They monetized it into, you know, their currency and, and it
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  was like the worst investment ever made by a government.
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  And, and by the way, that's a pretty damn low bar, as you
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  know, right? The government should definitely
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  have have certain crypto assets on their, on their balance
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  sheet, mainly, mainly Bitcoin and actually the United States
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  government does, right. You have a lot of forfeitures
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  and, and, and they've taken a, a great stance saying that we're
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  not selling any of it. You have a lot of countries
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  around the world that are actively buying.
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  If you go to, you know, the UAE, if you, if you go to a lot of
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  countries, they are actively putting that in their
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  treasuries. And you look at the Fortune 500
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  companies, they are actively hoarding Bitcoin.
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  The biggest families, the biggest companies, you know,
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  countries, sovereign wealth funds and individuals are all
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  hoarding Bitcoin, right? It's, it's why it's been as
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  explosive as it is. And it's funny, people are like,
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  oh, well, Bitcoins down by 3% now.
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  It's like this time last year Bitcoin was at like 55,000 or
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  60,000 roughly. It's had unbelievable explosive
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  growth. Germany selling Bitcoin was a
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  single worst decision that a country's probably ever made.
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  Their position of 50,000 Bitcoin that they sold around 60K per
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  Bitcoin, well, it's cost them about 3 1/2 billion dollars.
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  And like the German government, people that continue to play old
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  games, well, they get old prizes.
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  The strategies of the world are going to be the new leaders.
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  Listen to Andrew Hahn speak about the fact that the SP 500
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  is going to look completely different in 20-30 years than it
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  does today, and it's going to to be led by the companies that
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  adopted Bitcoin strategy now. I think that we're going to see
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  a big rotation in terms of the the, the household names of
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  corporate finance over the course of the next probably 15
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  to 30 years. And the only companies in the
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  S&P 500 that will stay in the S&P 530 years from now are going
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  to be those companies which over the course of the next 5 to 10
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  years add Bitcoin to their balance sheet and embrace
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  digital capital. The ones that fail to make this
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  transition are going to fall out of the echelon where they've
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  become very accustomed. The ones that do make the
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  transition will be able to take advantage of all of their market
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  position, their manufacturing facilities, their product
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  offerings, their research and development and grow them
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  stronger. And many new companies will
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  enter into those ranks, and they'll become tomorrow's
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  household names. More capital, more companies,
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  more countries are flowing into Bitcoin, which is de risking the
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  asset at large. And it's also assigning a
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  premium to the companies in countries and people that have
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  gotten in first and have started to accumulate major positions.
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  And that's going to make it pristine collateral, an asset
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  that's held by more and more people when the volatility
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  decreases and it's not sold as often.
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  Russell Okung has a great perspective on this.
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  He tweeted the other day there's never been a better time to be a
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  banker because when they write loans against Bitcoin or against
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  Bitcoin as the collateral, you can write longer loans and watch
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  the risk shrink. You don't need a central bank to
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  set the rates of what you will apply to the loan itself.
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  And it's because the asset itself, Bitcoin, ensures the
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  credit. Bitcoin is restoring honest
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  banking and it's restoring a free market capitalistic system
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  that isn't based upon trust me bro.
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  And that's exactly why we have backed Lenin, who's been the
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  leaders in this revolution in terms of Bitcoin.
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  Since 2018. They've issued over $9 billion
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  worth of loans to 10s of thousands of customers all
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  across the globe. And they just published their
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  proof of reserves. It's their 10th and it just
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  dropped the longest running for any digital lender.
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  They have over $836 million worth of loans with an you get a
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  42.68 loan to value and it's 100% collateralized, meaning
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  that your Bitcoin is where they say it is and it's actually
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  healthier than the 50% loan to value, which means if you want a
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  $1000 Fiat loan, which gets into your account in less than six
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  hours, well, you post $2000 of Bitcoin collateral.
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  There's no credit checks and the process takes just a few minutes
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  go to learn dot letting dot AO slash simply to get started with
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  the most pristine collateral that even Wall Street is
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  adopting. And our second sponsor is the
• 11:04
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• 11:08
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• 11:10
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• 11:15
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• 11:17
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• 11:21
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• 11:24
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• 11:27
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• 11:29
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• 11:32
  consultation at the bitcoinway.com/simply Bitcoin.
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  Sometimes we don't give people their flowers until they're
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  gone. And although I don't own any
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  Bitcoin, treasury company stocks or shares, I have to give credit
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  for Michael Saylor for single handedly educating and blazing a
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  trail where no one else would go.
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  What he's done has been nothing short of extraordinary.
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  I do believe that he will go down as one of the greats in
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  corporate history. I mean, Michael Saylor has been
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  an incredible force over the course of the last five years.
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  And I think that his work at MicroStrategy now strategy will
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  be right up there with the the greats of corporate history, you
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  know, John Rockefeller and Du Pont and Steve Jobs.
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  I mean, he's going to be right up there.
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  When I listen to this clip from Jack, I think about the ripple
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  effects that the impact that people like him and Michael
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  Saylor are having on the world. What a single person can do to
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  spread the message of hope to people through their media
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  channels, through their influence, and help people to
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  understand that there is a better way for us to store our
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  time in our energy and a better reason and purpose for why we
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  should do that. Do you understand the concept of
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  time and energy and contributions to society Then a
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  fancy car isn't ever worth the Bitcoin that I've worked to
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  acquire. And so I only trade in exchange
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  my Bitcoin for experiences for people I love, to be honest.
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  I mean, how? How beautiful is it?
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  How beautiful of an idea, I guess is it that, you know, we
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  can make the world a better place for the people that we
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  care about the most? And so Bitcoin taught me that.
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  It really lowered my time preference and taught me the
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  value of things. I think it's it's really
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  impossible to value things if there's an infinite amount of
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  dollars. I like to draw this similarity
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  to the promise of death. This is going to get potentially
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  a little weird or dark, but you know, it's the promise of we
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  invite. That I invite that.
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  It's, it's the promise of death that allows us to value our
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  life. If I was never going to die and
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  I knew that then I'd go to the gym in 1000 years, I'd think to
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  get married in 10,000 years. I would never care to value
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  today. And that's very similar to the
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  dollar. If there's infinite amounts of
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  dollars and we're going to roll this debt over forever, then how
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  do I value my paycheck right now?
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  And so I think what death means to life, Bitcoin means to money
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  and to value. So Bitcoin gave me that finite
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  promise that allows me to value the time and energy that I spent
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  right now. And it's not worth expending A
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  tremendous amount of my time and energy on a yellow car that goes
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  really fast. In the same way that knowing
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  that I'm going to die, it's, it's not, it's not worth ever
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  wasting a day, a week, a year. We have to understand that the
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  reason that we want to preserve our energy is that we're all
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  humans, we're fragile and we could die any day at any moment.
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  And it's 100% guarantee that we will die.
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  It's a mathematical certainty like bitcoins code.
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  And so the message is like Michael Saylor, get up and do
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  something. Be productive with your life.
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  Go build something. Go be part of something in the
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  future. Make your days count.
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  Let's live our lives in light of a bigger mission and a bigger
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  purpose. And that's what I want to call
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  you to do today in light of this monumental announcement from
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  Michael Saylor and strategy becoming the first credit rated
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  Bitcoin treasury company. It's a testament to the impact
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  that a single person can have on an entire industry in the world.
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  Go make your mark on the world. Leave in a better place than you
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  found it because you will die one day.
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  What are you storing your time and your energy and your wealth
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  into? Is it going to preserve it or is
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  it going to waste it? Don't waste your time, your
• 15:16
  energy or your capital. This is down to cook with
• 15:18
  Bitcoin simply and if you haven't already bought your
• 15:20
  tickets down to the Bitcoin mining Expo of the year
• 15:23
  happening in Dallas, TX from November 11th through November
• 15:26
  13th will do so and use the promo code simply Bitcoin for
• 15:29
  20% off your tickets. This is Dante Coke with Bitcoin.
• 15:32
  Simply happy stacking and go make today count route.