Latest / Simply Bitcoin / What Happens to Bitcoin When the Money Printer BREAKS? | Bitcoin Simply

Transcript

What Happens to Bitcoin When the Money Printer BREAKS? | Bitcoin Simply · Simply Bitcoin

• 0:00
  Could you imagine a world without the Federal Reserve?
• 0:02
  A world where Bitcoin wins? A Bitcoin OG and former corn
• 0:06
  based executive lays out exactly what this future would look
• 0:09
  like. So when Bitcoin wins, it ends
• 0:11
  the Fed. And what does that mean?
• 0:14
  When Bitcoin wins, the Fed loses control.
• 0:16
  What if we had a world with a predictable monetary policy?
• 0:19
  What if we had a world where home prices weren't up an
• 0:21
  average of 88% the last 10 years?
• 0:23
  What if we had a world where there were more billionaires
• 0:25
  from Bitcoin than Fiat? A world where the money printer
• 0:28
  runs out of ink and sovereign individuals reign?
• 0:31
  Today we're going to explore a legendary presentation
• 0:34
  predicting the end of the Fed and a world where Bitcoin wins.
• 0:37
  This is Dante Cook with Bitcoin. Simply, let's go.
• 0:43
  When Bitcoin wins, it ends the Fed.
• 0:46
  And what does that mean? When Bitcoin wins, the Fed loses
• 0:49
  control. the Fed is actually not just the central Bank of the
• 0:53
  United States, but it controls many other banks, central banks
• 0:56
  worldwide, from Japan to Canada to the UK.
• 1:00
  And that those then in turn control banking licenses.
• 1:03
  And they can freeze and seize funds.
• 1:05
  And of course they can print money.
• 1:07
  And Bitcoin exists outside. The Fed's.
• 1:10
  Video game OK, so the Fed can freeze and seize everything
• 1:14
  within this network of banks, but it can't freeze and seize.
• 1:17
  Bitcoin. It can't.
• 1:18
  Introduce 21 million plus more more than the 21 million
• 1:21
  Bitcoin. This was the opening line from
• 1:24
  Balaji's presentation in Bitcoin Asia and the implications of a
• 1:27
  world without a Fed can't be overstated.
• 1:30
  The key function of the Fed today is setting the global
• 1:32
  savings and borrowing rate for everyone globally.
• 1:35
  It's the tail that wags the dog for the global credit Fiat based
• 1:39
  system. As rates change, all prices tied
• 1:42
  to these rates change, which in turn drives all behavior in all
• 1:45
  markets. But this hasn't been anywhere
• 1:48
  near predictable over the past seven years.
• 1:50
  Look at this chart and tell me that these decisions were made
• 1:53
  rationally and based on data. Major changes in rates upward or
• 1:57
  downward predict a recession and depressions 100% of the time.
• 2:01
  And globally, people are tired of it.
• 2:03
  They're losing patience with this game that the Fed has been
• 2:06
  playing. Take a look at this chart from
• 2:08
  Tavi Costa. For the first time in 30 years,
• 2:10
  Central banks own more gold than they do U.S.
• 2:14
  Treasuries. This is an inconceivable chart
• 2:16
  for the world that most of us have grown up in and experienced
• 2:19
  where the full faith and credit of the United States government
• 2:22
  was enough. But people are losing faith in
• 2:24
  the government and their monetary policy.
• 2:27
  And when faith falls in the government and in currency, it
• 2:30
  goes fast. And when Bitcoin wins, it can
• 2:32
  win very fast. So when the.
• 2:34
  Faith in currency in Lebanon went to zero when the full faith
• 2:38
  in credit in the Lebanese # went to zero, Bitcoin was there and
• 2:42
  it just went vertical like this. OK, so Hodel.
• 2:47
  When people lose faith in the currency, the government's not
• 2:50
  going to have new tools. You can't teach an old dog new
• 2:53
  tricks. They're going to go back to the
• 2:54
  well and they're going to try to turn on the money printer.
• 2:56
  But what happens if there's no ink in the printer at all?
• 2:58
  When Bitcoin wins, the printer runs out of toner.
• 3:01
  OK, in 2010, there's this really unusually honest article called
• 3:07
  How to How to Spend 1.25 Trillion.
• 3:09
  And NPR, unusually, you know, uncommonly at the time, admitted
• 3:14
  that the Fed had a unique power. It could just print a trillion
• 3:17
  dollars out of thin air. Now, if you think about what it
• 3:19
  takes to make a trillion dollars, that's like selling
• 3:21
  $1000 iPhone to a billion people.
• 3:23
  That's a trillion in revenue. To make a trillion in profit is
• 3:27
  another thing entirely because your $1000 phone will have, I
• 3:30
  don't know, whatever $100, you know, cost, right, You'll have
• 3:33
  to discount it by the time you get to user 300 million loan 1
• 3:36
  billion. So to just print a trillion
• 3:39
  dollars out of nowhere is just this absolute gigantic seizure
• 3:42
  of wealth that's distributed across billions of people
• 3:45
  worldwide, not just 300 million Americans.
• 3:47
  So the entire money printer go Burr era just goes away?
• 3:50
  Completely. And the printer runs out of
• 3:52
  toner and and these governments actually need to work for a
• 3:55
  living. It's just a completely
• 3:56
  different. World.
• 3:57
  And this is what kicks off the exciting part of Balaji's
• 3:59
  presentation. A world where there's sovereign
• 4:01
  individuals, a world where there's more billionaires from
• 4:04
  Bitcoin than there are the existing Fiat system.
• 4:06
  The world will flip from Keynesians to Bitcoiners.
• 4:09
  Can you imagine a world where the people who are making the
• 4:12
  decisions believe in creating things, saving things, storing
• 4:15
  things, spending less than they make?
• 4:17
  What a novel concept. When Bitcoin wins Fiat
• 4:20
  billionaires get flipped. And what that means is, you
• 4:23
  know, several years ago with at Coinbase, we calculated that
• 4:27
  somewhere between 100,000 and $1 million per Bitcoin, half the
• 4:31
  world's billionaires become crypto.
• 4:33
  And that means all Fiat fortunes get diluted down because there's
• 4:37
  around 2000 something billionaires and around
• 4:40
  somewhere between 100,000 to $1,000,000 for Bitcoin, you have
• 4:43
  2000 something new crypto billionaires.
• 4:46
  So all wealth becomes crypto, all property becomes
• 4:50
  cryptography, and that means global wealth becomes crypto.
• 4:54
  And so that's what we call the billionaire flipping.
• 4:57
  And that's kind of already underway.
• 4:58
  And you're going to see that in the next few years.
• 5:00
  And that means genuinely risk tolerant capital because that is
• 5:05
  capital that accrues to individuals as opposed to, you
• 5:09
  know, things that are attached to the Western state or
• 5:11
  accumulated in nonprofits. It's really for those who are
• 5:15
  contrarian but right and bucking the system as opposed to those
• 5:18
  who are conforming to the system.
• 5:20
  If you believe that this world was far off, this world was
• 5:22
  actually predicted almost 30 years ago in 1997 in a book
• 5:27
  called The Sovereign Individual in a Digital World.
• 5:29
  As we move into this information age, people are going to be
• 5:32
  liberated through technology. They're going to be able to work
• 5:36
  where they want, use whatever currency they want, invest when,
• 5:39
  where and how they want. And the state is not going to
• 5:42
  like it. They're going to want to
• 5:43
  continue to keep their control over the people through
• 5:46
  inflation and through taxes. But when Bitcoin wins this
• 5:49
  unstoppable force, this is the type of individual that we will
• 5:52
  see. And one of the ways that you can
• 5:54
  become one of these individuals is by not getting rid of the
• 5:57
  asset that gives you sovereignty in the 1st place.
• 5:59
  One of the things that the wealthiest people in the world
• 6:01
  do is they never sell assets. They're held in their family for
• 6:04
  generation after generation after generation.
• 6:06
  Well, you can do the same by unlocking liquidity in your
• 6:10
  Bitcoin without selling your Bitcoin.
• 6:12
  If you've been faithfully stacking Bitcoin through
• 6:14
  watching show like this, then there's no reason for you to
• 6:17
  want to sell it. Lenin has been the leader in
• 6:19
  Bitcoin back loan since 2018. They foresaw a world where
• 6:23
  sovereign individuals would not want to sell their Bitcoin, and
• 6:26
  they've created an institutional grade lending product that
• 6:30
  allows you to unlock liquidity in your Bitcoin without selling
• 6:32
  it. You post your Bitcoin as
• 6:34
  collateral in a cold storage vault and they give you up to
• 6:37
  50% of loan to value of that Bitcoin that you passed in.
• 6:41
  So if you want a $5000 loan, you post $10,000 in Bitcoin
• 6:45
  collateral. The process is simple, smooth,
• 6:47
  fast and transparent. You can apply for a loan in less
• 6:50
  than in 2 minutes and get liquidity in your account in
• 6:52
  less than six hours. They're Bitcoin only, they're
• 6:55
  reputable, and the stats show they have over 1005 star
• 6:58
  customer reviews and have never lost a single cent or set of
• 7:01
  customer money. Loans start at just 12.4%, which
• 7:04
  is about half of what you could get with a credit card today.
• 7:07
  If you're a bitcoiner, it's a no brainer.
• 7:09
  Go to learn dot LED and dot AO slash.
• 7:11
  Simply one of the ways you can become a sovereign individual is
• 7:14
  by removing your keys from the custodians.
• 7:17
  Being a sovereign individual starts with you holding your
• 7:20
  asset sovereignly. Learn how to do this the right
• 7:22
  way with a coach from the Bitcoin Way.
• 7:25
  Members of the team will walk you through step by step how to
• 7:28
  hold your private keys privately, safely and securely,
• 7:31
  and how to do it confidently so that you and your family can
• 7:35
  ensure that your generational wealth is protected the right
• 7:37
  way. Schedule a free 30 minute
• 7:39
  consultation with their team at the bitcoinway.com/simply
• 7:42
  Bitcoin. OK, we keep talking about this
• 7:44
  inevitable future, about the future when Bitcoin wins, not if
• 7:48
  Bitcoin wins. Why do we have such confidence
• 7:50
  in this? Well, charts like these tell it
• 7:52
  all. The USM 2 money supply hit over
• 7:55
  $22 trillion for a record in July.
• 7:58
  And when more liquidity floods into the system, while the
• 8:00
  people that own the most assets tend to benefit the most,
• 8:03
  creating more and more inequality.
• 8:05
  And this is just the US money supply.
• 8:07
  This isn't even the global pot. Whereas we look at with M3 money
• 8:11
  supply more broadly, controversial figure Fred
• 8:13
  Krueger actually dropped some knowledge in this by talking
• 8:16
  about the quadrillion dollar opportunity that's flowing into
• 8:19
  Bitcoin. Thesis on Bitcoin from my
• 8:22
  perspective, from an institutional point of view is
• 8:27
  you've got $150 trillion of M3 out there, pure money.
• 8:33
  OK, that number is growing at 7% a year.
• 8:38
  That means it's doubling every 10 years.
• 8:41
  So if you add in the bonds, the bond market, and I used to be,
• 8:45
  you know, a bond arbitrage trader at Salomon Brothers,
• 8:47
  right? So that that market is now $130
• 8:51
  trillion, OK. So you add in a few other
• 8:56
  things, you get to roughly $300 trillion of paper out there.
• 8:59
  We're not talking about stocks. We're not talking about real
• 9:01
  estate where you can denominate it and there's like $300
• 9:04
  trillion worth of, you know, dollar, euro, yen and and yuan
• 9:15
  paper right now, $300 trillion. That's going to be $600 trillion
• 9:21
  in 10 years. It's going to be 1.2 quadrillion
• 9:24
  dollars in 20 years. And, and honestly, it's
• 9:29
  statistic that's just pure stats that, that it's going up, it's
• 9:32
  never going down. Those, those are the rates Now
• 9:36
  if you have a quadrillion dollars coming in of, of, of
• 9:40
  money just, and that's really just money.
• 9:42
  It's not like assets that have to be moved.
• 9:45
  Those also can be moved. But a quadrillion dollars of
• 9:48
  just pure money, some percentage of that money is going to find
• 9:53
  its way into Bitcoin. And prior to January 11th, 2024,
• 9:58
  there really wasn't a great way to invest in Bitcoin, right?
• 10:03
  First of all, it wasn't really legitimate.
• 10:06
  And you know, you didn't, it didn't have regulatory clarity
• 10:11
  really, you know, but then you had it's regular.
• 10:14
  It's, it's, it's, it's an asset that you can hold.
• 10:18
  It's not going to get you in trouble.
• 10:19
  It's not a security, it's not going to be deemed, you know,
• 10:22
  there's not going to be any legal repercussions.
• 10:25
  Black rocks behind it. So now you have a transformation
• 10:30
  of this kind of anarchist asset, you know, this screw the man
• 10:35
  asset to now being a, you know, an actual institutional asset.
• 10:41
  The unstoppable train of liquidity and capital growth is
• 10:44
  going to impact Bitcoin. It's going to flow from
• 10:46
  traditional assets like real estate, bonds and U.S.
• 10:49
  Treasuries and into this globally accessible sovereign
• 10:53
  asset. It's already happening and the
• 10:55
  signs are pointing us there. In the era of money printing and
• 10:58
  AI gold, Bitcoin and commodities are going to be the best
• 11:01
  performing assets and it's clear of those 3 assets which is going
• 11:05
  to be the winner. Just look at the charts.
• 11:07
  Don't overcomplicate the trade. It's simple.
• 11:09
  This is not to cook with Bitcoin Simply.
• 11:11
  And if you haven't already done so, subscribe to the channel.
• 11:14
  Oh, and before you go, don't miss the Mining Expo event of
• 11:17
  the year at the Mining Disrupt conference happening in Dallas,
• 11:19
  TX from November 11th through November 13th.
• 11:22
  Get your tickets and use the promo code Simply Bitcoin for
• 11:25
  20% off. We hope to see you there.
• 11:27
  We're out.