Latest / The Paul Barron Crypto Show / Michael Saylor in a Doomloop?🔥Strategy $STRC Collapse Crashing Bitcoin!?🚨

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Michael Saylor in a Doomloop?🔥Strategy $STRC Collapse Crashing Bitcoin!?🚨 · The Paul Barron Crypto Show

• 0:00
  Speaker 1: Strategy and stretch are in a doom loop. Today we're
• 0:02
  Speaker 1: going to be breaking that down for you. There is
• 0:04
  Speaker 1: a lot going on in the market. Let's just get
• 0:07
  Speaker 1: right into it. I do want to think, of course,
• 0:09
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• 0:38
  Speaker 1: Let's go over to a couple of points I want
• 0:40
  Speaker 1: to start with right here. COBEEC of course, brings up
• 0:44
  Speaker 1: even more salt in the wound, and that is the
• 0:46
  Speaker 1: US may PCE inflation. The FEDS preferred inflation metric right
• 0:51
  Speaker 1: now rises to four point one. This is the highest sense.
• 0:54
  Speaker 1: April twenty twenty three, the core PC inflation rose to
• 0:58
  Speaker 1: three point four and it's highest since October of twenty
• 1:02
  Speaker 1: twenty three. So when you look at what's going on
• 1:05
  Speaker 1: in the market, including with what's happening right now with
• 1:09
  Speaker 1: traditional stocks, Micron beats earnings, so you've got good.
• 1:13
  Speaker 2: Things happening, bad things happening.
• 1:15
  Speaker 1: Their revenue was forty one point four billion versus a
• 1:18
  Speaker 1: thirty six billion expected.
• 1:20
  Speaker 2: This was a huge win.
• 1:22
  Speaker 1: Of course, it's why we're seeing micro Micron up right
• 1:26
  Speaker 1: now on the day, and we'll probably continue to see
• 1:28
  Speaker 1: some movement here.
• 1:29
  Speaker 2: Remember Micron is the pix and.
• 1:31
  Speaker 1: Shovels, so to speak, for what's happening in the AI evolution,
• 1:36
  Speaker 1: but primarily it goes into the hardware. And speaking of hardware,
• 1:41
  Speaker 1: look what Apple is in the process of doing right now.
• 1:43
  Speaker 1: They are raising rates and in a big way for hardware.
• 1:48
  Speaker 1: And of course, I think everybody probably saw this coming.
• 1:51
  Speaker 1: MacBook NEOs, remember the five ninety nine, great price, six
• 1:55
  Speaker 1: ninety nine. Now MacBook Air remember that one thousand ninety
• 1:58
  Speaker 1: nine up twenty percent. That's an unbelievable price increase. We
• 2:03
  Speaker 1: have not seen these kind of price increases in hardware
• 2:06
  Speaker 1: tech in a while. Scott Melker kind of hits on
• 2:08
  Speaker 1: it right here. AI Boom no longer just boosting chip
• 2:11
  Speaker 1: stocks starting to increase the real price consumers pay. I
• 2:13
  Speaker 1: think this was an obvious thing. We've seen this coming,
• 2:16
  Speaker 1: We've talked about it quite a bit. Here's an interesting
• 2:19
  Speaker 1: chart right here. This is the inflation coming in at
• 2:23
  Speaker 1: the same time that the Nasdaq one hundred was reporting
• 2:27
  Speaker 1: went up a percent and then fell three and a
• 2:29
  Speaker 1: half before ten am.
• 2:31
  Speaker 2: On minimal news.
• 2:32
  Speaker 1: So I think this is another factor that people are
• 2:36
  Speaker 1: starting to get very skittish in the market.
• 2:38
  Speaker 2: S and p down.
• 2:40
  Speaker 1: We of course are seeing Bitcoin now under fifty nine
• 2:44
  Speaker 1: or right at fifty nine K, under sixty k, with
• 2:46
  Speaker 1: all of that kind of macro impact that we're seeing
• 2:50
  Speaker 1: in the markets, unstable on traditional finance, what's happening in
• 2:53
  Speaker 1: the Middle East, what's going on with clarity, I'll talk
• 2:56
  Speaker 1: about that in a minute. And then of course we're
• 2:58
  Speaker 1: getting inflation continue you and depressed. This is the worst
• 3:02
  Speaker 1: time to see the kind of issues that we're dealing
• 3:05
  Speaker 1: with with Stretch right now, and Stretch now below par
• 3:09
  Speaker 1: starts to affect strategy the stock in a very big way.
• 3:13
  Speaker 1: This is the doom loop that essentially puts it into
• 3:16
  Speaker 1: a very very precarious situation for Sailor and his team.
• 3:20
  Speaker 1: Being able to coordinate against this. Now there's a couple
• 3:23
  Speaker 1: of points that you want to make sure and understand.
• 3:25
  Speaker 1: The diluted shares that are outstanding. Look at how much
• 3:29
  Speaker 1: has grown, and it's only going to most likely get
• 3:32
  Speaker 1: worse as we continue to see this fall. I want
• 3:35
  Speaker 1: to go to a clip real quick and get into
• 3:37
  Speaker 1: some of where the market sees this effect starting to
• 3:43
  Speaker 1: happen and how we should address it.
• 3:44
  Speaker 2: Take a look.
• 3:45
  Speaker 3: This is an important development that appears to be unfolding.
• 3:49
  Speaker 3: It's basically the lowest level since twenty twenty four. Crypto
• 3:53
  Speaker 3: Quand CEO is basically saying, right now, it would probably
• 3:57
  Speaker 3: be better to preserve cash that you're able to pay
• 4:02
  Speaker 3: dividends on this preferred perpetual stock product SDRC, because you
• 4:08
  Speaker 3: have about you know, from going from seven years of
• 4:11
  Speaker 3: the ability in terms of their cash balance at strategy
• 4:14
  Speaker 3: in order to pay future dividends here has dwindled down
• 4:18
  Speaker 3: to what fourteen months. Kind of take your pedal off.
• 4:21
  Speaker 3: This bitcoin buying strategy is what you know, cyber crypto
• 4:24
  Speaker 3: Quan is saying, and therefore, just preserve that cash for
• 4:28
  Speaker 3: capital preservation and then when we get a recovery potentially
• 4:33
  Speaker 3: in bitcoin and the price of bitcoin, then that might
• 4:36
  Speaker 3: be the time buying bitcoin might have better price momentum
• 4:40
  Speaker 3: to the upside rather than trying to defend price levels
• 4:45
  Speaker 3: of bitcoin because it's dropped down here and strategies average
• 4:50
  Speaker 3: cost per bitcoin I believe is around seventy four k
• 4:54
  Speaker 3: or so. So this is going to be something to
• 4:56
  Speaker 3: monitor in the coming weeks.
• 4:58
  Speaker 1: All right, So something to monitor for sure. I think
• 5:00
  Speaker 1: the thing that he's getting at is if you're conserving cash,
• 5:04
  Speaker 1: that means you're.
• 5:05
  Speaker 2: Not buying bitcoin.
• 5:05
  Speaker 1: And this is one of the biggest contributors to bitcoin
• 5:09
  Speaker 1: right now. And that is what Strategy's overall plan is,
• 5:13
  Speaker 1: and that is to continue to add to the balance sheet,
• 5:15
  Speaker 1: continue that cycle of process. And remember we've had Strategy
• 5:19
  Speaker 1: on the show. We had fond Leon not too long ago,
• 5:22
  Speaker 1: and we reached out to them, just reached out and said, hey,
• 5:25
  Speaker 1: come in clear the air, let us know what's going on.
• 5:27
  Speaker 2: What's your plan.
• 5:28
  Speaker 1: We didn't really get a response, so hopefully we get
• 5:32
  Speaker 1: something from them in the future. The key though here
• 5:36
  Speaker 1: is the fud, and not only just the fud, but
• 5:39
  Speaker 1: it's the contagion that can take place. And if you
• 5:42
  Speaker 1: guys have been in crypto or in the stock market
• 5:44
  Speaker 1: for a very long time. You understand that this starts
• 5:48
  Speaker 1: to correlate a lot of confusion, and then things start
• 5:51
  Speaker 1: to get going and we see a contagion based on sentiment.
• 5:54
  Speaker 1: I want to go to a clip here to kind
• 5:56
  Speaker 1: of explain this. Take a look.
• 5:58
  Speaker 4: So they bought five hundred and twenty bits coin this
• 6:00
  Speaker 4: week thirty four point nine million dollars in an average
• 6:03
  Speaker 4: of sixty seven thousand, sixty eight. Shockingly, once again, that's
• 6:07
  Speaker 4: probably the highest price that bitcoin really traded at this week.
• 6:10
  Speaker 5: Stop selling MSCR, wait for the m NAB to go
• 6:13
  Speaker 5: to a two point five and I'm like, you think
• 6:16
  Speaker 5: that the company, like the market's gonna give them eighty
• 6:20
  Speaker 5: billion dollars in premium just because like a three point
• 6:23
  Speaker 5: four xm NAB. You got to think of when that happened.
• 6:25
  Speaker 5: That was when Trump just won the election, where we
• 6:28
  Speaker 5: were talking about a strategic bitcoin reserve.
• 6:30
  Speaker 6: Why would I give you credit for that pile of
• 6:32
  Speaker 6: bitcoin you're sitting on when you can't sell it, because
• 6:34
  Speaker 6: if you do sell it, you're going to scare the market.
• 6:35
  Speaker 6: The whole thing's going to go down. So it's not
• 6:37
  Speaker 6: really an asset. If you can't sell it anyway, right.
• 6:39
  Speaker 6: I think all of this is in the process of
• 6:41
  Speaker 6: breaking the spell of Michael Sailor. We saw this with
• 6:45
  Speaker 6: GBTC back in the day, where it traded at a
• 6:47
  Speaker 6: premium for a long time and then eventually ended up
• 6:49
  Speaker 6: at a deep discount.
• 6:51
  Speaker 7: Someone is burdening that cost right now, right, No, can
• 6:55
  Speaker 7: you explain that to me?
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  Speaker 8: It's not ten percent of venue, it's ten percent of
• 6:59
  Speaker 8: dollars and dollar is going this way for a hundred years.
• 7:04
  Speaker 8: I don't believe he will be able to deliver ten
• 7:07
  Speaker 8: percent in dollars. I'm absolutely sure about that. There is
• 7:11
  Speaker 8: no way he doesn't do it.
• 7:15
  Speaker 7: Like this is me killing ego entirely. I could be
• 7:18
  Speaker 7: missing something, uneducated, the dumbest person, and I'm totally open
• 7:22
  Speaker 7: to that. Do you agree that taking out of the
• 7:24
  Speaker 7: money securities and treating them as if their equity is probably, like,
• 7:29
  Speaker 7: it's not not the way to do it.
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  Speaker 2: Okay.
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  Speaker 1: One other thing when you look about the clip that
• 7:33
  Speaker 1: we just played is a lot of people have been
• 7:35
  Speaker 1: concerned about this, and in many people still asking the question,
• 7:39
  Speaker 1: is this a Ponzi scheme?
• 7:40
  Speaker 2: You know?
• 7:40
  Speaker 1: Those are the questions that everybody has been talking even
• 7:42
  Speaker 1: Austin Campbell, who was on that clip talking about this
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  Speaker 1: allure that Sailor maybe has been finally broken.
• 7:48
  Speaker 2: I don't know.
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  Speaker 1: But when you have the president of the company going
• 7:52
  Speaker 1: out just three days ago, this is three days ago.
• 7:55
  Speaker 1: I bought one million. That's finally he was just on
• 7:57
  Speaker 1: our show. You know, one million of stretch today. I
• 8:00
  Speaker 1: will hold it until it reaches part likely longer. So
• 8:04
  Speaker 1: this is three days before we start to see it
• 8:07
  Speaker 1: continue to accelerate its deepeg. I just don't know why
• 8:12
  Speaker 1: they would be doing these things. It just doesn't make
• 8:14
  Speaker 1: sense for a company that has had the chronic credibility
• 8:18
  Speaker 1: score that they've had over the last two to three years.
• 8:21
  Speaker 1: Speaking of that, I want to go into, is institutional
• 8:25
  Speaker 1: now starting to look at flowing out of these ETFs
• 8:28
  Speaker 1: and flowing out of these funds.
• 8:30
  Speaker 2: Take a look.
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  Speaker 9: How big of a factor do you think that is,
• 8:33
  Speaker 9: especially from your perspective talking to a lot of the
• 8:35
  Speaker 9: institutional players.
• 8:36
  Speaker 2: Institutions raise it.
• 8:37
  Speaker 10: It's not the primary one. I'd actually argue that they
• 8:40
  Speaker 10: have more concern about quantum than they do about strategy,
• 8:43
  Speaker 10: But strategy comes up. I don't think they're going to
• 8:45
  Speaker 10: blow up. I don't think they're going to buy another
• 8:47
  Speaker 10: eight hundred thousand bitcoin either. I just think that they
• 8:50
  Speaker 10: are going to like sort of be a part of
• 8:54
  Speaker 10: the ecosystem. In the same way GBDC is part of
• 8:56
  Speaker 10: an ecosystem and Mountcox's distributions are part of the ecosystem.
• 9:00
  Speaker 10: Those again, they tend to fade, not to explode.
• 9:03
  Speaker 2: I think that will be true here too. Brian, Are
• 9:05
  Speaker 2: you concerned.
• 9:06
  Speaker 3: I'm not concerned.
• 9:06
  Speaker 6: No, I'm actually not.
• 9:08
  Speaker 3: I mean, we do get questions about.
• 9:09
  Speaker 2: It, all right.
• 9:10
  Speaker 1: So they're getting questions about it. That means that it's
• 9:14
  Speaker 1: got to be coming from I think institutional and to
• 9:17
  Speaker 1: a certain extent, major market makers out there that are
• 9:21
  Speaker 1: looking at this. I would you listen. I know, Matt,
• 9:24
  Speaker 1: we've talked many times, been on the show. I just
• 9:26
  Speaker 1: don't know that that is the position right now. This
• 9:29
  Speaker 1: is a pretty serious issue right now, and it might
• 9:32
  Speaker 1: be just safer for many of you just to say, hey, listen,
• 9:35
  Speaker 1: I'm going to back away from this for a bit,
• 9:38
  Speaker 1: let the dust settle, and if it comes down, maybe
• 9:41
  Speaker 1: I lose a little bit of opportunity costs, but maybe
• 9:45
  Speaker 1: I secure my assets, whether it's into cash or something
• 9:48
  Speaker 1: that you feel comfortable with. But the point is is
• 9:50
  Speaker 1: that the market is definitely addressing it right now. Remember
• 9:54
  Speaker 1: there's a couple of other things that Hogan tweeted on.
• 9:57
  Speaker 1: This was way back in June of twenty and this
• 10:01
  Speaker 1: was in reference to what SBF was talking about, and
• 10:04
  Speaker 1: it was kind of the point of the tweet was
• 10:07
  Speaker 1: that we'd hit the bottom. This was like in June nineteen,
• 10:09
  Speaker 1: twenty twenty two. And if you go in and look
• 10:12
  Speaker 1: at the chart, and this is the kind of thing
• 10:14
  Speaker 1: that I'm worried about in terms of contagion. So what
• 10:17
  Speaker 1: we're seeing today is kind of like this June nineteenth.
• 10:20
  Speaker 1: Sure there's smoke right now in the market, meaning people
• 10:24
  Speaker 1: would say, hey, we've been through this enough now to
• 10:27
  Speaker 1: know where there's smoke, there is fire and you've got
• 10:29
  Speaker 1: to be able to get out of the building. If
• 10:31
  Speaker 1: you go back and look at the chart, this of
• 10:34
  Speaker 1: course goes into the kind of move that we saw
• 10:37
  Speaker 1: all the way back into June of twenty two. This
• 10:39
  Speaker 1: was the down area right there, this zone right there,
• 10:43
  Speaker 1: and that was what was perceived as the bottom, but
• 10:45
  Speaker 1: in reality this came in right here, which was in November.
• 10:49
  Speaker 1: And do you guys remember what happened in November of
• 10:53
  Speaker 1: twenty twenty two. I'll share that with you in a second.
• 10:56
  Speaker 1: But the other thing that of course plays into this
• 10:59
  Speaker 1: is and DeFi is one of the big exposures that
• 11:04
  Speaker 1: layers into this that I'm again I'm concerned about if
• 11:08
  Speaker 1: this continues to move down and stretch does not look
• 11:11
  Speaker 1: like it's slowing down. The question is does bitcoin slow down?
• 11:14
  Speaker 1: Do we see a fifty k bitcoin or below? That's
• 11:18
  Speaker 1: the real number. Remember bitcoin pulling back a little over
• 11:22
  Speaker 1: seventy percent on the last cycle. Right now, we're at
• 11:25
  Speaker 1: about fifty percent on the pullback from the one twenty
• 11:28
  Speaker 1: five high. This is I think this situation. Do we
• 11:31
  Speaker 1: see another twenty percent still on the table for bitcoin
• 11:35
  Speaker 1: to adjust? Other things that happened that happened during that
• 11:38
  Speaker 1: period of time, well, it was this tweet right here
• 11:41
  Speaker 1: on November sixth, twenty twenty two, and this was talking
• 11:45
  Speaker 1: about Binance's exit from ftx's equity. Binance received two point
• 11:50
  Speaker 1: one billion in cash and then due to the recent
• 11:52
  Speaker 1: revelations that have came to light, we have decided to
• 11:55
  Speaker 1: liquidate all of their FTT This is what caused the
• 11:58
  Speaker 1: contagion on. Of course, the FTX nightmare that ended up
• 12:03
  Speaker 1: playing into the market. Remember, it wasn't necessarily that FTX
• 12:08
  Speaker 1: was insolvent. That would be the fact. Those were the facts,
• 12:10
  Speaker 1: Those all came out. But I think it was the
• 12:12
  Speaker 1: sentiment that started the market in a waterfall and cascade downward.
• 12:18
  Speaker 2: That was the issue.
• 12:19
  Speaker 1: Even though FTX ended up, you know, recouping everything and
• 12:22
  Speaker 1: making everybody hole, the point at that time was the
• 12:25
  Speaker 1: market looked at it as though it was basically a
• 12:29
  Speaker 1: black swan. That's the concern I have right now. People
• 12:32
  Speaker 1: could be smarter now knowing that maybe this doesn't go
• 12:35
  Speaker 1: to a zero, Maybe this is going to get into
• 12:38
  Speaker 1: a little bit of a dire situation. Maybe there's a
• 12:41
  Speaker 1: legal way for strategy to exit out of stretch. I
• 12:45
  Speaker 1: don't know what that would be, but you know, maybe
• 12:48
  Speaker 1: just stop selling the asset. The preferred stock can get
• 12:51
  Speaker 1: into a situation where they start to wind down this
• 12:54
  Speaker 1: but uh, this is going to be a big deal
• 12:56
  Speaker 1: to watch right now. It is the thing that I
• 12:58
  Speaker 1: think is going to be hitting the market over a
• 13:01
  Speaker 1: short period of time. With all that being said, guys,
• 13:03
  Speaker 1: then I want to go into something. This was a
• 13:05
  Speaker 1: clip that we pulled from Twitter. It was a debate
• 13:09
  Speaker 1: and it had the Apex founders on it and some
• 13:11
  Speaker 1: analysts trying to figure out how to deal with this situation,
• 13:15
  Speaker 1: and they came up with some interesting statements.
• 13:17
  Speaker 4: Here.
• 13:18
  Speaker 2: Listen to this.
• 13:19
  Speaker 11: The premium comes back for a bit, they can run
• 13:22
  Speaker 11: the ATM to raise the cash you know they've got.
• 13:25
  Speaker 11: I think it's about ten months of cash one point
• 13:27
  Speaker 11: four billion relative to the one point seven. They can
• 13:29
  Speaker 11: also sell some bitcoin, so like the bitcoin market's very
• 13:33
  Speaker 11: liquid and can support this.
• 13:35
  Speaker 12: I think that they need to retire the preferred strategy,
• 13:38
  Speaker 12: but in the meantime, I don't think that's really viable.
• 13:40
  Speaker 12: I think the conservative thing to do right now is
• 13:43
  Speaker 12: the right thing if they just sold a huge chunk
• 13:46
  Speaker 12: of bitcoin right now, which is crazy to say, just
• 13:50
  Speaker 12: holding the bitcoin is not productive.
• 13:54
  Speaker 1: Both are saying that they should sell a chunk of bitcoin.
• 13:57
  Speaker 1: The only one thing that I think is wrong on
• 13:59
  Speaker 1: that is that the market can't handle that and it
• 14:02
  Speaker 1: will see this as a weakness in bitcoin. Peter Schiff
• 14:06
  Speaker 1: will start his barrage and I think we will see
• 14:08
  Speaker 1: bitcoin under fifty k.
• 14:11
  Speaker 2: So this will be the catalyst.
• 14:14
  Speaker 1: Remember this is all started from when Sailor just did
• 14:16
  Speaker 1: a little dabble into the market and we started to
• 14:19
  Speaker 1: see this trickle down effect. Now they go further into
• 14:22
  Speaker 1: this because this is where it gets weird on these
• 14:26
  Speaker 1: unbelievable statements that are being made about how and what
• 14:29
  Speaker 1: strategy was trying to do.
• 14:31
  Speaker 2: Take a look.
• 14:33
  Speaker 12: At what point, though, do you shift the narrative of
• 14:36
  Speaker 12: being able to call this a stable coin.
• 14:40
  Speaker 11: That's a very fair piece of criticism. We struggled with
• 14:45
  Speaker 11: how to brand ourselves. We talked to Sailor about it.
• 14:48
  Speaker 11: He was like, oh, call yourself a yield coin. I
• 14:52
  Speaker 11: was like, all right, well, no one knows what a
• 14:53
  Speaker 11: yield coin is. Everyone knows what stable coins are. So
• 14:56
  Speaker 11: we kind of went with, you know, divid in back
• 14:58
  Speaker 11: to stable coin. You know, in retrospect, maybe we should
• 15:00
  Speaker 11: have been more creative with, you know, the nomenclature. So
• 15:05
  Speaker 11: we've kind of pivoted now to dollar backed or sorry,
• 15:09
  Speaker 11: dividend back dollar.
• 15:10
  Speaker 12: I think it's again, it's tough calling it a dollar at.
• 15:15
  Speaker 11: All, you know. I would argue that they are a
• 15:19
  Speaker 11: company that is, you know, very transparent and kind of
• 15:23
  Speaker 11: in real time growing and defining a category and changing.
• 15:28
  Speaker 12: They're changing those different metrics and making them up as
• 15:32
  Speaker 12: the previous ones are breaking.
• 15:33
  Speaker 2: Yeah, you know, I'd say that's some fair criticism.
• 15:36
  Speaker 11: It's kind of the challenge, the double edged sword of
• 15:39
  Speaker 11: being overly transparent. The solution there, and maybe they should
• 15:43
  Speaker 11: do this is just stop being as transparent.
• 15:46
  Speaker 1: Not good statements there in the sense of stop being transparent.
• 15:49
  Speaker 1: I think that's I think you have to be obviously
• 15:51
  Speaker 1: as a publicly traded company. But the issue of the
• 15:54
  Speaker 1: yield coin stable coin debate is probably going to come
• 15:57
  Speaker 1: back and be a problem I think going forward, because
• 15:59
  Speaker 1: this is the biggest challenge I think is that put
• 16:02
  Speaker 1: a lot of people most likely at rest saying, oh,
• 16:05
  Speaker 1: it's a stablecoin, it's going to hold par This of
• 16:08
  Speaker 1: course is not the case that we're seeing right now.
• 16:10
  Speaker 1: And then, of course, now breaking today is that Strategy
• 16:14
  Speaker 1: is under investigation. This is the Rosen Law firm who's
• 16:16
  Speaker 1: opened up an investigation into Strategy and Stretch per odaily,
• 16:20
  Speaker 1: and this is talking about how investors may seek damages
• 16:24
  Speaker 1: over securities violations. So I don't know how this plays out, guys,
• 16:28
  Speaker 1: but there is one thing that is for sure. There's
• 16:32
  Speaker 1: only so much runway available in cash to pay those dividends.
• 16:36
  Speaker 1: At some point and if you can't get new money
• 16:40
  Speaker 1: on top of that bitcoin, at some point bitcoin will
• 16:42
  Speaker 1: have to be sold by strategy, and if that does occur,
• 16:45
  Speaker 1: the market will be a huge, huge impact. Let me
• 16:50
  Speaker 1: go to one more clip here. This is practice Capital saying, well,
• 16:54
  Speaker 1: maybe the obvious take a look.
• 16:55
  Speaker 9: It was an I'm pumping a prediction of the time
• 16:57
  Speaker 9: because micro Strategy was an old time high and I
• 17:00
  Speaker 9: was saying that he will do more damage to bitcoin
• 17:03
  Speaker 9: than FTX, and you know, ultimately, and it's been like
• 17:05
  Speaker 9: eighteen months, and I think people at the time they
• 17:08
  Speaker 9: were like vinning, you're crazy, this is nuts, like what
• 17:10
  Speaker 9: are you such a hater? And now they're like, oh, shoot,
• 17:13
  Speaker 9: maybe you were right like SDRC, but he also had
• 17:15
  Speaker 9: stdrd sdrk STRF and none of them worked right, But
• 17:19
  Speaker 9: he kept releasing new ones and new ones. But he
• 17:21
  Speaker 9: used to be teached the engineering work on this stuff, right,
• 17:24
  Speaker 9: you would admitted that like a week ago.
• 17:26
  Speaker 2: And so people are losing faith to him.
• 17:28
  Speaker 9: But the market is speaking and it's saying that SDRC
• 17:31
  Speaker 9: needs to trade a twenty percent discount to give a
• 17:33
  Speaker 9: fourteen point five percent effective yield. He cannot repag this
• 17:36
  Speaker 9: to one hundred bucks. I'll bet anyone that this almost
• 17:39
  Speaker 9: never gets to one hundred bucks ever again, Like it
• 17:41
  Speaker 9: just can't, right, It's the damage has been done. He
• 17:44
  Speaker 9: didn't you know, there's a chess move for this. It's
• 17:46
  Speaker 9: called zugzwang. It's like every move you make, you know,
• 17:48
  Speaker 9: is a losing move. You can't make a move yet
• 17:50
  Speaker 9: does he sacrifice MSDR?
• 17:52
  Speaker 10: I mean it looks like so far he has been
• 17:54
  Speaker 10: sacrificing MSTR.
• 17:56
  Speaker 9: He repurchased like one point five billion bucks worth of
• 17:58
  Speaker 9: dead for twenty twenty nine.
• 18:00
  Speaker 2: It was stupid.
• 18:01
  Speaker 9: I mean, he basically blew his runway and then he
• 18:03
  Speaker 9: basically put the price on the cost of doing that
• 18:06
  Speaker 9: on MSDR holders. And look at the price of MSDR
• 18:08
  Speaker 9: since he did that, it's just slid. I mean, it's
• 18:10
  Speaker 9: in free fold right now. You know we've seen this
• 18:12
  Speaker 9: with GVTC. That needs to be a discount. That needs
• 18:16
  Speaker 9: to two point nine and then the game is over, right,
• 18:18
  Speaker 9: So the marco's going to punish him. I think I
• 18:21
  Speaker 9: think you shouldn't see it. You shouldn't see MSDR trading
• 18:24
  Speaker 9: at anything above eighty bucks within the next week or so.
• 18:28
  Speaker 2: Maybe you in with the next day or two, so as.
• 18:31
  Speaker 1: You can see obviously this is the point that people
• 18:33
  Speaker 1: are getting at is maybe this was always destined to happen.
• 18:37
  Speaker 1: If you look at the stretched chart right now, this
• 18:39
  Speaker 1: is where it's wiking to down today, and that is
• 18:42
  Speaker 1: coming in sub seventy four. We're seeing a seventy three
• 18:46
  Speaker 1: on the low. Obviously, trading right now is seventy six.
• 18:49
  Speaker 1: But the point is is master right here also trading
• 18:54
  Speaker 1: sub ninety it's at eighty six thirty two. If this
• 18:56
  Speaker 1: does get into the eighty dollars range, which could happen
• 18:59
  Speaker 1: in the next few days, as we see, this is
• 19:02
  Speaker 1: a major major step backwards for crypto in general. But
• 19:07
  Speaker 1: then you have, of course another issue, guys, all brewing
• 19:11
  Speaker 1: in the background. If something does go awry here, what
• 19:16
  Speaker 1: would happen on the regulatory front. You've got, of course,
• 19:19
  Speaker 1: the issue of clarity playing out right now. Centers out
• 19:23
  Speaker 1: there trying to say, yes, we are about to get
• 19:25
  Speaker 1: this done. Over July fourth weekend, it's going to go
• 19:28
  Speaker 1: to the Senate floor. Timing could not be worse. And
• 19:32
  Speaker 1: if this does come together where we see a major issue,
• 19:36
  Speaker 1: then of course you're talking about clarity that could be
• 19:40
  Speaker 1: sidestepped for a very very long time. Those are the
• 19:43
  Speaker 1: kind of issues right now, guys. I'm just going to
• 19:45
  Speaker 1: break it to you straight as I can, because these
• 19:48
  Speaker 1: are really troubling times right now, and I think a
• 19:50
  Speaker 1: lot of people are still looking at this as a
• 19:53
  Speaker 1: kind of a it's going to come back.
• 19:54
  Speaker 2: It's going to come back.
• 19:55
  Speaker 1: Too many pressures coming from the macroside, coming from the
• 19:58
  Speaker 1: global economic side, coming from on the issues of inflation,
• 20:01
  Speaker 1: what we're dealing with with a FED. I think the
• 20:04
  Speaker 1: markets right now are in a very very precarious situation.
• 20:08
  Speaker 2: Stay tuned.
• 20:15
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• 20:18
  Speaker 1: comment down below, and also join our free private member group.
• 20:22
  Speaker 2: The link is in the description.