What's up freaks? This rip of RHR was brought to you by our good friends at CoinKite.
They produce the Cold Card Q, my favorite hardware wallet. It's got two secure enclaves,
it's got a full screen, full keyboard here. As you can see, if you're watching, if you can't
watch, just imagine something that looks like a BlackBerry. It allows you to create private
public key pairs offline in an airgat fashion. Never have to connect the Cold Card Q to an
internet device you can sign transactions and pspts remotely in the most secure fashion if you're a
bitcoin power user and you're looking for the best security go pick up a cold card queue and go to
coin kite.com find the cold card queue there i think you go to cold card.com as well use the code
rh for five percent off step up your security get a cold card queue it was also brought to you by
our good friends at stack work if you're looking for a great way to make kyc free sets stack work
has bounties go to stackwork.ai find their bounties page and contribute to the bounties
you can make bitcoin kyc free for completing the bounties if you're a developer looking to scoop up
some easy sets go check out the bounties contribute to them and stack some sets stackwork.ai
stuff freaks this rip was brought to you by our good friends at obscura obscura is the first vpn
that can't log your activity by design.
Instead of empty promises,
Obscura fully embraces the Bitcoin
or don't trust verify mantra.
They can't log your traffic,
even if they tried.
Obscura believes that user data is toxic waste.
In addition to private payments via lightning,
you can sign up with an account
without having to give any personal
identifying information.
It's a beautiful thing.
It's the VPN I use every day.
It's incredibly fast.
You can go on streaming sites with it.
They don't say, hey, you've got a VPN.
It just works.
Go to Obscura.net,
use the code RHR25 for 25% off
in annual subscription. This is an incredible deal. Obscura.net RHR 25 for 25% off in annual
subscription. You've had a dynamic where money has become freer than free.
When you talk about a Fed just gone nuts, all the central banks going nuts.
So it's all acting like safe haven. I believe that in a world where central bankers are tripping
over themselves to devalue their currency, Bitcoin wins. In the world of fiat currencies,
Bitcoin is the victor. I mean, that's part of the bull case for Bitcoin.
If you're not paying attention, you probably should be.
Hey, guys. Early morning, Rep, we wanted to get it out of the way because this is the last one.
Bitcoin's dying.
It's dying right in front of us.
The last rabbit hole recap ever.
The rest in peace, Rip.
It's been fun.
Do you know what the title of today's rip is, Marty?
No, I have no idea.
Stay humble, stack gold.
Hey.
We're a gold podcast now.
I mean, we got to continue, right?
If Bitcoin's going to die, we've got to pivot.
We're hard money.
Some are from the state.
Monetarist.
I guess gold's the next best thing.
I like how
Logan completely faded this time,
even though Squawk Box is one of the most popular financial podcasts in the world
and airs at this time every fucking day.
Yeah.
we're competing with
Uncle Joe Kernan right now
everybody's watching Squawk Box
come over here
they're going to be so confused why their numbers
are down today
we're taking them out
Joe, Joe will be our third
member, third host
in a few weeks
in all seriousness
Matt is drinking a beer
we've been talking about it
He's in Switzerland for the Plan B conference.
Speaking of conferences, I had a parent-teacher conferences this morning,
and so we had to do a 7.30 a.m. Eastern rip.
Yeah, I'm in Switzerland for Tether's annual event in Lugano.
And, I mean, we can just – I think there's zero list
because I'm fucking jet-lagged and exhausted, and Marty's also exhausted.
so we're just going to be riffing today.
But I think we can start it off with the fact
that Tether made their first commitment to OpenSats,
$250,000 for free and open source devs.
As always with OpenSats, that's 100% pass-through.
It's already in Bitcoin, in our multi-sig,
and 100% of it will go to open source developers.
So I'm incredibly grateful for their support.
and I hope it's the beginning of a long relationship
in terms of them supporting the open source ecosystem
that we all very much rely on.
If you want to join Tether in this endeavor,
you can go to opensats.org slash donate.
We recently added monthly credit card donations
so you can just set and forget $20, $50 a month.
We'll auto stack that into Bitcoin for devs.
If you want to see less corporate pressure on developers,
the way we do that is having 50,000 plebs all give $20 a month in Bitcoin to developers.
Then I can stop flying around the world for free, trying to get people to,
when I say for free, I don't get paid. I spend a lot of money doing it.
Try and get donations for open source developers.
Congrats. Tether coming in.
Are you ready for the Tether conspiracy theories
if they haven't started already?
Dude, all the conspiracy theories, bring them my way.
It just means we got more funding for open source developers
than more conspiracy theories.
This donation caught the eye of another billionaire,
Jack Dorsey, friend of the show.
He was curious why only 250K.
I'm not putting you on the spot.
I mean, you literally just put me on the spot.
First of all, I saw that along with everyone else.
The only difference is I probably got it in a million different private messages,
screenshots of it, while other people probably saw it on Twitter.
Look, I'm glad that there's multiple billionaires around the world
excited about supporting open source development.
And it'd be interesting to see who comes out on top.
The more the merrier.
pit them against each other.
And to be clear,
I thought someone asked Jack
how much did he donate. Well, he donated
$31 million.
That's public information.
He actually does a really good job with his
non-profit arm,
Start Small, where there's literally
an Excel document that lists how much
he's donated to which organizations,
all public information.
And what was
nice about that donation is it was
stacked a Bitcoin to our multi-sig.
So it's the gift that keeps giving.
That was like around $40,000 Bitcoin.
So just, that was all rolled into Bitcoin multi-sig
for the devs.
Bitcoin $40,000.
To the people...
Seems like forever ago.
Yeah, go on.
Look, and to the people that maybe question
who OpenSats is funding,
it's literally all public.
You can go to opensats.org slash transparency.
We list every grant we've ever given over 300 grants.
I think we're at 328 or something.
328 grants.
They have to send us,
they send us quarterly reports that we reviewed to make sure that whatever
they said they're going to do,
they're doing not a single one has worked on changing Bitcoin soft forks or
anything like that.
we have a soft policy just not to fund that.
We do support some core developers,
but it's definitely a smaller subset
of the greater ecosystem that we support.
If you have a favorite open source wallet,
we're probably supporting it.
If you have a favorite Nostrad client,
we're probably supporting it.
A lot of the security fixes,
bug testing, vulnerability testing,
stuff like that, we're supporting.
BTC Pay Server, we're the largest supporter of.
all public information.
Me and the rest of the volunteer board
are very dedicated to making Bitcoin
the best money in the world.
We already believe it's the best money in the world.
We think it can be even more robust
and better for everybody.
And we're mission focused on that.
So if you're aligned with that mission,
consider supporting us in any way you can.
It really does go a long way.
It really does.
You guys are doing an incredible job.
shout out to Tether and Palo
I was being pedantic there
by pulling up the Jack tweet but it's just great to see
Palo
no one should be
giving them shit about this I'm very grateful for the support
I think more companies should support
and it's been a long grind
there's very few that will
and I will say
that Tether just was
immediately 100% we're in let's do it
there is
no
back and forth. I was like, we could really use your support.
They asked where's a good place to start. I said
$250 is a great place to start. They said yes. Boom, done. Ship press release.
Send us the Bitcoin. Done. Easy peasy. No strings attached.
I'll tell people to go fuck themselves before they can ever attach strings
to donations. I think my track record proves
for itself on that. There's a long list of sponsors that are no longer
sponsors anymore.
Well, speaking of
donations going off
the tip of the tongue here
since we don't have a list, I think a natural
progression into the next topic
would be a
free and open source project that we supported
at 1031 that you've supported at OpenSats
and others like HRF have
supported. It looks like there was a hackathon.
Was it a BTC++ or a
TabConf?
I believe it was TabConf.
I think it was BTC++
BTC++.
Tapcom's going on right now.
So it was BTC++.
Because they saw Nifty take partial credit for it.
Yeah, I think it was Callie and Adam Soltis.
They did the hackathon.
There was another guy that's only on Noster.
Low profile, I think is his name.
Okay, low profile.
I saw Adam Soltis in one of the demos,
so maybe that's why I assumed it was him.
But Callie, low profile, many others.
maybe others, did a hackathon to implement Cashew into Signal.
And there's been a growing campaign over the last few days
to convince the Signal Foundation.
I've seen Meredith Whitaker get tagged in a lot of tweets
to implement Bitcoin.
Did she respond, though?
I haven't seen her respond yet.
But the idea is that you'd put a Cashew wallet
or e-cash wallet within Signal
to align private communications with private money.
This seems like a great alignment for those who are unaware.
The Signal Foundation launched a shitcoin, I believe in 2021,
called MobileCoin. It didn't really go anywhere.
Wait, wait, wait. They didn't launch the shitcoin.
The founder of Signal, Moxie, launched the shitcoin
and then Signal integrated the shitcoins.
that okay slight loose loose loose separation there between the founder of uh signal and then
they kicked him out and then they kicked him out so let's be a little bit easy on signal
in that regard yes but from what i can tell
talking to some people working on this uh ecash stuff it seems like signals a bit
averse. They're reputationally
aware of the
fuck up that mobile coin was and
they've been apprehensive
to add
cryptocurrencies or a digital
wallet to the app after the mobile
coin debacle. But
hey, time heals all wounds.
You need good products
to implement into
Signal that align with the private
communication. We've been talking
about it for years and we're very bullish
Shoney Cashmint's, particularly
both the protocols, Fetty Mint and Cashew.
It seems like Cashew's having rapid development.
No.
This looks really clean.
I didn't realize that
they would have a full
website, like propaganda website.
The UI of
this implementation looks
incredibly sleek.
The website's great. Is it
SignalForBitcoin.com or .org?
Maybe BitcoinForSignal.
No, it's Signal4Bitcoin.
I think it's .org.
Or is it Bitcoin4Signal?
Am I wrong?
I think it's Bitcoin4Signal.
Let me find Bitcoin4Signal.org.
Yeah, that's what it is.
Bitcoin4Signal.org.
Great domain name.
You know, I mean, I think Cashew could be a really good fit here.
I think Bitcoin and Signal needs to happen.
I think there's a question if it should be Cashew
or if it should be maybe Spark or ARK or something like that.
I think Signal is the gold standard for a successful Freedom Tech project.
They have about 100 million users.
For comparison's sake, against the slave techs that they're competing against,
WhatsApp has like 3 to 5 billion users.
So there's a very small subset of that.
But if you look at any Freedom Tech project,
having 100 million users is an absolute massive success and growing.
So the question is, if you throw them into a custodial cashew mint type of situation,
there's some friction there.
Which mint do they choose?
So far, all the successful cashew projects, and I love cashew,
have been basically using mini-bits.
It's like the quiet secret is just like, just choose mini-bits as your Mint.
So we don't have any large establishments, so it might be a little bit premature.
I think in an ideal situation, actually, Signal is running their own Mint.
But maybe they don want the heat of running a private Bitcoin service which I respect and I understand that
So in that situation, maybe like an ARK or a Spark makes more sense.
Or even like a Phoenix wallet type setup.
I think Phoenix has an interesting setup.
I actually recently was testing out BullBitcoin.
They released their new self-custody wallet.
Me and Francis are going to rip for dispatch in person.
in Lugano, which I'm pretty excited about.
So I was testing out ahead of that.
And they use Liquid on the back end.
So at rest, everything stays in Liquid.
And then you do both swaps to pay and receive on Lightning or on-chain.
And the wallet handles the UX really well.
If it's an on-chain address or if it's a Lightning invoice,
it just automatically does the swap.
The user doesn't even realize it's happening.
maybe that makes sense
there's a bunch of different ways they can go
I do like
that the domain is
specifically Bitcoin for Signal
I would like to see Bitcoin in Signal
I don't know necessarily
if Cashew is the best option for it
Cashew is easy to work with
it's lightweight
but it comes with a trade-off
that users have to choose mints
and someone has to run the mint
someone has to run the mint
Who will run the mints?
Who will build the roads?
The nice thing about using cashew
is it means that Signal can also add gold sending,
which is important for the longevity of this podcast.
If Signal is allowing people to send gold between each other,
we can just have a mint that holds bars of gold.
And then they can just use the cashew protocol
to send them on Signal between each other.
We have that going for us.
Eat reds of gold.
yeah there you go look and pull up what why you brought up bull bitcoin i thought this was really
cool i mean francis is really working on this i saw him earlier this year and he was demoing the
wallet to me it seems like they made a lot of progress but he tweeted this out and basically
to combat the fud that no bitcoin's not private nobody uses it and he sent this tweet out earlier
this week i bought coffee with bull wallet how much should i pay tell me anything about merchant
identity other clients wallet info transaction history where's the money now where did it get
these coins from what's my balance what's my cost basis who has the kyc info um and if you go to
mempool.space on their liquid explorer you see here that these are confidential transactions and
um i think it's a really creative way to to bring privacy to bitcoin and underappreciated way to do
it via liquid yeah you have a you get with liquid swaps you get a decent amount of privacy
just embedded in it.
Not as good as cashew,
but very good privacy.
I was talking to one of the activists
at the Global Bitcoin Summit last week
that we hosted a Bitcoin park in Nashville.
And they use liquid to send to their people.
They use Aqua Wallet,
which also uses liquid swaps
to send Bitcoin to people on the ground.
and it gives them a decent level of plausible deniability and privacy
while having really good UX.
I will say for the last decade, there's been multiple false starts
where I get super hyped on Liquid and then it never happens.
But maybe this time is different.
It feels like this time is different.
This is the most optimistic I've ever seen you about Liquid.
On Liquid?
No, there's plenty of times.
If you go back in Dispatch history, there's whole episodes
where I'm like, this is the moment.
We're doing it.
Liquid's going to happen.
So just like a quick primer on Liquid for the peeps.
It was led by Blockstream.
It's a federated side chain.
So you can think of it like a multi-sig,
a big multi-sig run by corporations.
I think the only individual that's involved is Wiz.
So there is some trust.
There's a trust set up there.
You can't permissionlessly get out of Liquid.
You have to rely on swaps.
But it is denominated in Bitcoin
and you get confidential transactions.
So you get a decent amount of privacy.
So you can imagine it looks just like if you go to liquid.network,
it looks like the regular Bitcoin block explorer,
except that you can't see amounts.
And when you can't see amounts,
it really starts to add significant privacy to the probability analysis that's
used to transact, to, to attract transactions, which is awesome.
So the, the way, the way bull Bitcoin wallet is doing it.
And you can go to wallet.bullbitcoin.com.
It's available on iPhone and Android.
It just works really well.
The biggest...
From a user point of view, the biggest trade-off is
you basically can't receive and send transactions under 1,000 sets.
Because you have to do the swap.
And between the liquid fee and the swap fee, it just eats it up.
So the wallet won't let you do that.
That's the big trade-off.
that's a dollar.
So if you're doing a transaction over a dollar,
that works really well.
That's good UX too.
Just like not let people do that.
So they don't...
And it's cool too,
like how they show it in the wallet
is so like you have one seed phrase
that stores both
or you can do a cloud backup
and then you have a secure Bitcoin wallet
and then you have an instant payments wallet.
The secure Bitcoin is on chain.
So you can swap to on-chain where you have a large amount
and you don't want to be stuck in liquid.
And then the instant payments is doing liquid with lightning swaps.
And I think that's just a good way for people to think about it.
It's like, okay, I got my instant payments
and I got my secure payments, my secure savings.
This is something that Zeus has been doing with Cashew,
where they have self-custody lightning coupled with the Cashew wallet
and the Cashew wallet is for smaller amounts.
But just that framing.
And so by the way, for Signal too,
I think that could be interesting, right?
Where you use cashier for small amounts
and then you build in an on-chain wallet at the same time.
I like the combination, right?
Where you have the instant payments and secure Bitcoin.
And I think that's how we should frame it
because young people have no idea
what the difference between a checking and savings account is.
So that metaphor falls flat.
But secure versus instant makes sense to me.
Yeah, and I like that verbiage
better than sending lightning on Bitcoin
or sending on-chain Bitcoin.
Just make it secure, instant.
And if you go to the wallet.bullbitcoin.com website,
it looks like on their sort of demo UI,
they have Cold Card Q watch signer.
So it looks like you can load up a hardware wallet expub
and use it as a signer.
Yeah.
So their wallet works even better
if you're in a country that supports bull Bitcoin
because you can set it to automatically send your stacking,
your DCA can automatically send to your wallet
and then it can automatically,
once it hits a certain amount, switch to a cold card,
which is why they have that feature.
So you can just be constantly getting these liquid payments
and then once it hits a certain threshold,
it just automatically goes to cold storage,
all self-custody, which is pretty dope.
UX. It's the Valhalla of UX.
Full Bitcoin
is not available in the US yet.
Most of our listeners are in the US. I'm a proud
American, so I've never been
able to use it.
That's pretty cool. I think
that's a cool feature.
It really is. Shout out to Francis
and the team. We've said it many
times throughout the years on this podcast.
Underappreciated.
Grinding for well over a decade now
at this point.
You know what I didn't realize?
Francis posted
a bit of
history that I never knew
which was Bull Bitcoin was originally
called Bitcoin Outlet and they had
the most basic WordPress
branding and then Madex
switched them to Bull Bitcoin and gave them the best
branding in the space. I knew Madex was
heavily involved in the branding aspect
but I didn't realize how bad it was before he
joined. So also a huge
shout out to Madex
madex.art. Check them out.
Great way to
switch to a gold standard
from a Bitcoin standard.
Best artists in the space.
If you need them.
Shout out to everybody.
I'm trying to think on the Bitcoin side,
what happened this week. Obviously, the price is crashing.
The price is crashing.
I think it's...
So we had the great apocalypse
the day after last RHR.
Do you have any thoughts on the great apocalypse?
Oh, yeah.
The insane flash crash where all the shit corners got liquidated?
All the shit corners got liquidated.
Some insiders made a lot of money.
I mean, I think this goes back to, I saw a thread.
I don't know if it was ever confirmed, but it seems plausible enough.
back up
almost exactly
seven days ago, minus
six hours or whatever.
They waited until RHR ended.
Yeah, they did.
Prices around
$117,000,
$118,000, fell swiftly to
$108,000, currently sitting at
$105,604.
I think we're still
feeling ramifications of this, but
Donald Trump came out.
China's not cooperating. 100% tariffs on the rare earth metals.
We don't like the way G's positioning. Markets absolutely tank.
And Bitcoin and broader crypto markets tanked.
The hardest. I believe, what was it?
$19.5 billion.
He waited until after the market closed on Friday. So we were the only thing traded.
Yes. No, I thought it was...
No, this started at like 9.30.
No, it was post-market close on Friday.
Was it post-market?
Check is Truth Social.
Yeah, scroll through all the ads,
they added to Truth Social and checked.
But it was right after markets closed on Friday.
We were the only things trading.
So maybe why we fell so hard.
But there were some trades positioned earlier in the morning.
That's what I'm referencing.
People put on heavy shorts in the morning.
The price started falling a little bit throughout the day.
Yeah, and some of the DEXs where we could see the trades, right?
The centralized exchanges, you can't see the trades,
but I guess the big one is Hyperliquid.
Is that on Solana or some shit?
But it's a DEX, and you can see the trades,
and someone took a huge fucking short
30 minutes before the Truth Social post went up.
Yeah.
Ed is listening.
Shout out to Ed, who's at the Canadian Bitcoin conference right now.
He's saying markets were open.
What time was it?
Ed, what time was it?
And he also says we cannot be live at the same time as Becky Quick.
We can't take her views.
But Becky.
Was there?
Becky, if Becky supports open stats, we won't do it again.
Becky Quick.
What time was it?
If it was a half an hour before it closed, then it's just semantics.
It was around 10 or 11 a.m.
I knew it was.
I don't think so.
Okay, I'm going to check.
You check.
I don't even know.
I have to check his actual fucking website, right?
Because I can't search when did Donald Trump tank the market.
Regardless of when it happens, the dynamic.
I guess I could check the Bitcoin price.
Bitcoin crypto trades 24-7, 365.
The effects of that tariff post were felt very acutely
in the Bitcoin and broader crypto markets,
more acutely in the crypto markets.
reportedly
$19.5 billion of
leverage longs were taken out
in
probably more than that
well that's what I was going to say
reportedly $19.5 billion was the number
that people were
you see Boomtown
you see Boomtown in the YouTube chat
the announcement of 100% tariffs
on China was 4pm Eastern time
his post
he had a post about China a little bit
he had earlier than that in the day
but the 100% tariffs was the one that really dropped us off the cliff.
Like all the cross liquidations and shit happened.
That's 4 p.m. Eastern time.
That's literally close the markets.
Yeah.
So crypto markets fell.
19.5 billion publicly stated,
but many are surmising that it was much bigger than that.
Finance's API went down.
They were offline for 30 minutes,
Coinbase was offline.
33 minutes.
And just chaos.
Highlighted a few things.
Number one, if you're going to make an announcement,
write a market close, what markets can you trade?
Bitcoin and crypto, they're going to react first.
Number two, shitcoins are completely illiquid,
being propped up by, for lack of a better term,
insiders trying to basically position these things as legitimate when in reality their
liquidity is extremely thin. And we saw that on Friday. I believe some of them were down 80
to 90% within minutes. Many people got completely wiped out. I believe there was
the stat out there more than 1 million people
trading on Hyperliquid
and other DEXs like that
got completely wiped out but
Matt's shaking his head
I mean bullish that there's
a million people trading on Hyperliquid
I don't think there's that many people but okay
many people
many people are saying many people
so I guess
a lot of people had like cross margin
right where they were like
they got liquid like the shit coins
literally went to zero.
They scam wick to zero.
And then their Bitcoin and ETH positions
got liquidated because that was
part of their margin for the other...
Once again, you should just stay on
both tax odds. If you were just holding self-custody
Bitcoin,
it was a 10% drop,
15% drop to prices we're
seeing today.
I would say I'm not surprised
we're seeing the prices we're seeing today because a lot
of people got absolutely wrecked.
And the last thing they had left was Bitcoin
that was self-custodied.
So now they're selling their liquid asset.
Now they're trying to cover the hole that they had.
And so of course we're getting driven lower on that.
It is what it is.
DGENs use Bitcoin as a store of value as well.
So when they need liquidity, they sell Bitcoin
because everything else is worthless and they can sell it Yeah So we down on 105 approaching 106 right now
Oh, nice.
We got Karner in the chat, in the YouTube chat.
Hyperliquid is a custom L2.
It's not on Solana.
Whatever the fuck that means.
I don't know.
But it's the most popular DEX right now, I think.
I keep seeing people talk about it.
Yeah.
And Trading Tool Crypto saying unified trading account on Binance.
were forced liquidated because of
USDE Oracle pricing.
So there's some problem with
Binance's Oracle. They've come out
since and they've issued
how would you call this?
What would you call it? They've issued
reparations.
Reparations.
The traders on their platform.
Literally nothing.
There was no problem. Then people are like, there was obviously a problem.
They're like, okay, here's 300.
Did you see the
one DeFi protocol was giving people
$5 KFC gift cards.
I did not see that.
I forget what the name of the protocol was,
but are you fucking kidding me?
You lose your life savings?
Well, first of all, it's kind of your fault
that you lost your life savings.
But then you give them a $5 KFC gift card.
It's like the biggest slap in the face.
Yeah, Binance, on the Bitcoin side,
I think what was relevant is Ellen Markets
apparently is very heavily dependent on Binance.
So Ellen Markets was down for 33 minutes.
And I don't know if you saw the tweet they sent out.
Logan, if you go to their Twitter...
I got it.
The tweet they sent out was morbid as fuck.
I wouldn't be surprised if people just got absolutely wrecked on Ellen Markets.
But yeah, this is like...
We didn't come up with Stay Humble Stack Sats on our own.
What happened was we weren't humble and we got wrecked over and over again.
And that's where the lifestyle comes from.
Bitcoin is a game of survival.
You either stay humble or you get humbled.
That's the rules of the game.
We've got the Dago Hobbler.
Shout out from Delco.
Shout out to all the Delco people in the room.
That's where I'm from.
Logan, click in on the quoted tweet.
Dear Ellen Market users,
we're seeing all your messages and concerns and the support it.
regarding the liquidations that occurred on October 10th.
We will do our best to address them.
We need some time for this.
You will hear about it this week.
The problem was that Binance crashed
and it affected our services during 3 minutes and 30 seconds
in total between...
No, 30 minutes.
33 minutes.
They said it weird.
They said 30 minutes and 3 minutes,
which is fucking 33 minutes.
33 minutes between
8.57 and 11.20 UTC.
On October 10th, we did our best to resolve the situation ASAP.
We were pretending to do so best.
And if you go out of the quote tweet, they have a longer sort of explanation,
which I'm not going to read on air, but yeah.
Trusted third parties are security holes, not only in your custody model,
but dependencies.
If you're building a company, it's something you have to be aware of.
I think learn a hard lesson.
That's the thing, trading on leverage.
To your point, Matt, stay humble, stack sats.
Everybody's feeling happy.
Everybody thought, like, hey, fall rip.
Uptober's here.
Get your lever longs on.
We're going to Valhalla.
And then Bitcoin does an incredible job of humbling anybody who thinks they know what's going to happen.
Bitcoin loves to do this.
It loves to catch people off sides.
and ruin their lives if they're not being humble.
That happened last week.
And this gets to the question, is there manipulation?
I saw people in the YouTube chat asking about it.
Manipulation is a very loose term.
If you're buying and selling, you are manipulating the order book to a certain way.
So I don't like to think that manipulation is a good...
I think manipulation is a hot house at the end of the day.
Well, we, I mean, I think it was actually a really press pression episode last week because we were talking about insider trading on poly market.
And the number one prediction market in the world is actually Bitcoin USD.
And, and also, you know, to a lesser extent, all the other shitcoin markets, right?
In practice, Bitcoin markets are the freest market we've ever seen in humanity.
They trade 24-7, 365 on markets around the globe.
And when you have free markets without regulation,
I think there's real questions around,
is insider trading really a thing or is it just something
that gets traded into the price of Bitcoin?
It's just what it is.
You got to take away the bumpers and just realize that most of the time we're just putting Band-Aid on a pig when we're saying there's all these insider trading regulations.
Now, if you have a fiduciary responsibility to shareholders, that's one thing.
And fraud is another.
Like fraud is a crime.
but if you're pricing in knowledge
that you have on a global
liquid
money
is that really
manipulation? Is that really insider trading?
I would argue it isn't. I would argue
that just doesn't even exist.
It's just participants
pricing in their knowledge on
a free market.
So
sample stacks ass about it.
Yeah. Well and that's
I'm tying the knot in this whole Friday, October massacre,
Friday, October 10th crypto massacre.
I mean, it seems pretty clear that there's somebody
within the Trump administration circle who got out
and got word that the tariffs were coming
and went and put a big leverage short on the market,
made hundreds of millions of dollars.
And I think people have traced it back to like a wallet
associated with World Liberty Fi.
And I want to bring this up to say like,
Donald Trump, just get your sons in order.
This is the biggest foot gun.
I think this could come back to bite him in the ass if it comes out
that World Liberty Five was a part of this
or loosely associated with that big, profitable short.
And it's just not a good look.
I mean, look, I think in that situation,
you're breaking your fiduciary responsibility
as the President of the United States
if insiders are trading something ahead of time.
I think if you're a participant of the market, though,
it really doesn't matter if someone did that two minutes before
versus after the tweet went out.
The market was going to crash in that direction regardless.
I think hopefully we're getting to a place
where a single individual can't crash global markets.
That is insane that that even is a thing.
I think as Bitcoin matures, I've become less of a thing.
Um, but, but yeah, like I, I think like as the American people, like if it, if it does get traced back to the fact that the president's family was trading on information of a truth social post going out, that was obviously going to tank the market and they knew it.
So that's why they shorted it in the first place.
Um, there should be repercussions on that side.
Um, but, but also like if, if you have free markets, like you're not going to be able to stop that.
You can have repercussions after the fact due to certain fiduciary responsibilities, but you're never going to be able to stop it preemptively.
This is a brave new world.
And to be frank, it's better for humanity that we exist in this proper free market world than a couple corrupt gatekeepers pretending like the system is fair and equitable.
Free markets are the most fair and equitable thing because you don't have any gatekeepers.
You don't have anyone who can stop you from trading at will whenever you want.
Yeah.
To your point, though, I tweeted this out earlier this week.
Love them or hate them.
You have to admit that Trump's influence on global markets is unprecedented.
The scale of his influence is insane.
The last 72 hours made that abundantly clear.
Not ideal, but undeniably impressive.
I sent that out Sunday night when he flip-flopped and said,
hey, Xi had a bad day.
We're getting back to the table.
All systems are go again.
Well, he waited until right before markets were going to open again.
Yeah.
I mean, it's become very predictable.
You do something, market close Friday, and then Sunday you come out.
It's called the taco.
Trump always cops out or chickens out.
Trump always chickens out.
So that's a taco moment we had last week.
But things have progressed.
It seems like they've spread beyond Bitcoin and crypto markets.
Logan, if you would pull up the newsletter, I mean, that was the big discussion yesterday.
Obviously, the price of gold, we haven't mentioned it yet.
We've alluded to it, but the price of gold has been screaming this week.
It's actually coming down from its run right now.
But it reached, let me see here.
It hit $4,350, $60 at some point.
Late last night, currently sitting at $4,308.
It's on this generational run.
If you zoom out, look at the chart.
Over 50 years.
I think we're still outperforming them over a year basis, over a two-year basis.
I don't think on a year.
I think we are not year to date, but we are on a year.
61%.
Let me add a bit quick.
I set up a trading view account.
I'm addicted to it now.
No, so Wicked posted this on Nostra.
One year, we're up 81%,
and gold is up 52%.
That was four days ago, but still
they haven't caught up in the meantime.
As of right now,
gold's up 60.27%.
Bitcoin's only up 56.87%.
So they've crossed that.
On the one year?
Yeah, on the one year.
On the one year?
Yeah.
Okay, well, anyway, we're neck and neck with them.
Like everyone, like it was always a long game.
And the fact that the fact that gold market cap is up so much,
like if we were to,
if we were to make up what gold has done over the last year,
it's like a five X on Bitcoin.
So I think the future is bright jokes aside.
Like now would probably be the worst time for you to convert your Bitcoin
into gold.
Unless it's made X, go to made X.
out art to convert
into a nice gold chain
for gold.
Joe Contori tweeted this out yesterday. Gold has
added 1.76 Bitcoin market
caps in the past four weeks, which
is pretty crazy to think.
And this gets to...
200,000 Bitcoin.
Yeah, and I wrote
a newsletter about this and a tweet
about and a note on Noster about this
last night. People are like, why isn't Bitcoin pumping?
I'm going to call it...
You're not on X anymore.
but a whale panda who allegedly years whale panda's new name is it's whale pussy it's on a
whale pussy from now on because he's the most butthurt like person i've ever seen particularly
about bitcoin in relation to gold like it's not it's like like you just said they're neck and neck
over the last year over the last five years if you zoom out even further bitcoin's up like 600
gold's up 130 bitcoin's doing fine and as it pertains to what's happening with gold i had
Vince Lancey on, I think I mentioned this last week when we were recording RHR, but that episode
dropped on Monday. And I think his explanation of what the thesis about what's happening is pretty
compelling in the sense of like China and the BRICS nations for 15 years been preparing to create an
alternative settlement network to SWIFT. And Vince said, particularly post 2008 with the bailouts,
apparently China came to the US and said, hey, we're not comfortable with these bailouts we own.
a huge amount of U.S. treasuries and the fact that you're printing this money and bailing out banks
and stuffing the money with liquidity doesn't make us comfortable as treasury holders. And
Vince said, like, from that moment on, China started looking for alternatives. And if you
look at the charts of China's central bank gold accumulation, it really picked up in 2010.
And so they've been accumulating gold for 2010. We talked about it about a month ago,
the gold on warrant at the Shanghai gold exchange has increased exponentially over the last six
months. And that's a signal that like, hey, we're going to use the gold for settlement. And I think
post 2022 with the freezing of the Russian treasury assets, other brick nations are like, okay,
we get what you've been saying, China. Maybe we should look at these alternatives. And so it seems
pretty clear, at least
the most
thesis with the most teeth is
that China and BRICS nations
are setting up this
alternative settlement network using gold
and trading yuan.
China buys oil from Saudi Arabia.
They pay in yuan.
Saudi Arabia takes that yuan,
immediately converts it to gold, brings it back.
They've set up this vault network
across the BRIC nations as well.
And many people are saying,
why isn't it Bitcoin? Why isn't it Bitcoin? Well, it's like,
because Bitcoin doesn't have the liquidity profile to support all this.
So it would make sense that these countries would fall back to gold.
It's now $30 trillion market cap.
If you want to settle these big trades.
Gold is lindy.
Very lindy.
People are familiar with it.
They've already got a bunch of it.
And so I think let gold have its moment.
Let our gold bugs have a moment.
We're philosophically aligned on sound money.
But the point is, Bitcoin, it's liquidity profile.
I support it for that.
The countries are not going to buy into it.
And I think this is what's happening right now.
China is basically saying we have this settlement network
and they're forcing every other country to get in a bid up the price of gold.
How long will it last?
I don't know.
Gold is a shitcoin.
It's the best shitcoin compared to everything else out there besides Bitcoin.
It's going to take years.
It's going to take decades for Bitcoin to eat away.
at gold's first mover advantage.
It's been moving for thousands of years.
We will get there.
I think Bitcoin will continue to outperform gold
on any time scale that really matters.
Two years, five years, 10 years, 20 years,
Bitcoin's going to outperform.
I think people complaining about Bitcoin
not having upward momentum
while we're sitting over 100K
in basically a silent depression.
should find some perspective Bitcoin is doing fucking great We in a really solid position As Marty said stop being a pussy
I see SoapMiner, Zap does 21,000 sats.
I will say the Noster homies
and the ride or die chat
seem to be less Zap friendly in the mornings.
They zap more in afternoons, I guess.
You know, they're just too tired to send zaps.
was Soap Miner's app, 21,000 sacks.
He said, poured a cup of coffee,
found out that you're all wrong.
Good morning.
And he also asked why I'm drinking beer
at eight in the morning.
You know, there's not only one time zone in the world.
I'm sitting in a bar in Switzerland
because our HR must always happen every week
and we're here for you guys.
So even when I'm jet lagged,
even when I'm traveling,
even before Marty's parent-teacher conference,
we make sure the show must go on
and we're here for you.
It does.
With that, we've got a few other zaps, Sven, Zap, 21,000 sats.
The price drop clearly shows that your freedom is your responsibility,
not anyone else's.
For all you German folks out there,
check out my podcast about taking responsibility for your own life.
Search on dein Wernthuhrtung on your favorite podcast app.
Stay humble, stack sats.
For all you German folks out there,
check out my podcast about taking responsibility for your own life.
Search dein Wernthuhrtung on your favorite podcast.
baron on your favorite podcast up yes stay humble stack sats and then we had one up above from lake
surfer check out foise on nostril for chicago meetup on sunday october 19th we read that out
before we forget let's just get the fountain boost and i want to wrap up with what's going on
in the banking world here in the united states because i think it's important to bring up
For context, because it looks like we are approaching another liquidity crunch in the banking system.
If we go back last week, one boost over 21,000 sats.
Stimmy, 21,000 sats.
Governments are literally willing to incinerate the entire planet by continuing to stockpile nuclear weapons.
And Silicon Valley tech bros think they'll just let market forces and AI casually deflate the Fiat Ponzi on which it all rests?
Good point. Good point.
And Oscar, Mary, I'm just going to read his because it's interesting.
And he's the founder of Fountain and has helped us out by setting up our hosting on Fountain.
If you're a podcaster and want to host, host on Fountain.
Very interesting discussion on the dynamics of prediction markets slash polymarket.
hadn't heard this perspective before.
Inside trading.
Love it.
It's good for the market.
It's something that I've been fascinated with for a while.
And it's cool to see prediction markets
finally having their day and becoming mainstream.
I'm very excited about it.
It's important to say humble, Stacksats,
but I also enjoy a little degeneracy
betting on outcomes in the world with Freedom Money.
I think it's fucking awesome.
and the best way to stay up to date.
I see the commoners app does 21,000 sets.
He says stay humble stack sets as always the easiest way to participate in
our Nostra enabled live stream is by downloading the Primal app in your
favorite app store or going to primal.net on web.
I will say we have a lot of big updates coming on Primal and I'm very excited
about.
But one that we weren't able to ship before this episode is a big update to
the streaming client.
A lot of little fixes.
Marty's been testing it out with us.
It's going to be great.
It's going to be awesome.
But one update we did ship this week
is you can finally remove reposts.
You accidentally repost something
you didn't want to repost.
You just press it again
and it removes it from your feed.
Really just trying to knock out
all the little things.
But that was a big one for me
because there was a single repost that I did
that really fucked up with my OCD
on the RHR feed,
which I was finally able to remove.
so we have that going for us
I'm pretty excited about that
it's fun to say
Marty your attempt at the pronunciation
was not even close but I appreciate your
I don't speak German
I'm sorry
yeah you have to give us it phonetically
and we're still going to fuck it up
Dine
Weren Torgan
I don't know
I'm going to forget it but
I can hear my kids running
I can hear
my mother-in-law coming to watch the kids.
Let's get to the banking stuff.
Son, I'm live on air.
Do you want to say hi to the freaks?
Out there.
I'll be right out.
Yeah.
Not on camera.
The banking stuff.
Look, I'm going to pull up the Ben from last night.
For the first time in a while,
this standing repo facility is being tapped yesterday and the day before collectively for
$15 billion. This chart here is showing the spread between the SOFR rate and the Fed's fund rate.
That's spiking to levels not seen since the COVID crisis. Obviously, the Fed has been engaged in
quantitative tightening for the better part of three years. And it seems like repo's dried up,
reverse repo. Nobody's giving out money there because the cost of capital isn't appeasing
enough and people are going to the standing repo facility. So they're basically going to JP Morgan
saying, hey, I will pay you this much to get your reserves because I need them that bad.
And so rates are spiking behind the scenes. On top of that, yesterday we saw a rollover
in regional bank stock prices. So it looks like this may be affecting the regional banks.
And the stock prices were falling yesterday because it became apparent that the Tricolor auto lender debacle that happened a month or two ago was not isolated for those who are unaware.
Tricolor was giving out subprime loans to illegal immigrants.
And with the immigration policy, all of them had to go home and they can't pay their loans.
And that created a systemic credit crisis for the lenders associated with Tricolor.
That seems to be spreading. J.P. Morgan and a couple of other banks have had to write down loans of over nine figures on their books. And it seems like the tricolor subprime underwriting practice was not isolated to them.
There are many other regional banks out there that had due diligence processes that were sort of lacking rigor, if you will.
And it seems like there is an emerging credit liquidity crisis in the banking system.
And so something to pay attention to in the weeks ahead.
It'll be very interesting to see what happens today when markets open in just over an hour.
because 2023,
try to put yourself back in that timeline early 2023.
Remember how chaotic that was.
A great time to stack sats and move it to cold storage.
What are you laughing at over there?
No, I just said to my wife before we ripped
that it was just crazy that we were starting two hours
before markets opened.
And then also, it's just insane that markets opened
at 9.30 Eastern time.
It's just like so antiquated.
It's such antiquated bullshit.
Like you should lose 20% of your net worth while you sleep.
That's the future.
That's how it's supposed to be.
So it's just hard for me to grapple with the fact
that we're going to end this episode about an hour before markets open.
We'll see what happens.
Judging by the Bitcoin price,
my guess is markets are going to get fucking whacked.
and also
huge shout out to all the influencers
that decided to join the board of their favorite
treasury companies because you
guys are all getting fucking wrecked right
now
maybe not the best career decision
I hope you can sleep with them and look at your
kids in the face in 10
years
but yeah that's what I was
laughing at
it's not looking good out there
Micro strategies down below.
Yeah.
I saw what Metaplanet
finally went under 1M now.
Had a good run.
Back to basics.
Back to basics, freaks.
Stay humble.
Stack sats.
It's chaos out there.
You could have a liquidity crunch.
If there is a liquidity crunch,
they're going to come in with so much stimulus.
that way you could see that.
They're going to print like crazy.
No, I've never been more bullish on Bitcoin.
I will say that...
I do wonder that if I had...
Maybe it's my fault.
Because if I hadn't deleted my Twitter
and I still reminded people to stay humble
and stack stats every morning,
maybe we wouldn't have gotten into this place.
But anyway, here we are.
Everyone needs to take personal responsibility
for themselves.
try and think long term.
Now make quick decisions
that they'll regret later.
I'm talking about quick decisions that they'll regret later.
When Bitcoin was at about
$110,000, you might see
my child Band-Aid I have on here.
I bought a
Swiss-made knife.
A Swiss-made knife because I'm in Switzerland.
A clutch
very sharp.
Immediately cut myself.
But, uh...
How did you immediately cut it?
Store of value.
No, no.
The knife accidentally opened
and then I grazed against it
and just cut myself
because I like holding it on my belt.
But I bought it with Bitcoin,
which is cool.
Oh, yeah.
Can you spend Bitcoin all over the place there?
Yeah, I mean, Lugano is the...
Lugano is
the richest Bitcoin circular economy in the world.
You can go into Gucci and spend Bitcoin.
I feel like all the other circular economies are in the developing world.
Except for Lugano.
Yeah.
What was I going to say?
Oh, Square.
We saw their first point of sale system.
Oh, that was huge.
in the wild. Huge shout out to Miles and Jack
and the rest of the team over there.
I feel like
it's all coming together.
They're actually making it happen. Talking about
the treasury companies, while they were doing that,
Block was quietly
making a Bitcoin juggernaut,
a vertically integrated, full-stack Bitcoin
business. And they are building a treasury
too. They're just creating cash flows
and profits that they've been funneling into
Bitcoin. Which is how it should be.
right like that's what i'm most bullish on is companies i mean if anything they're a little
bit bearish i think they're taking 10 of their profits and stacking into bitcoin like it should
probably be closer to 90 and like maybe there's a happy medium somewhere between 10 and 90
so they're a little bit on the low end but i mean that's that's the dream right the dream is
profitable, efficient, productive businesses
stacking to Bitcoin treasuries. And we see that
on the private sector all the time with 1031. And
Strike is our best example of that. Strike has been profitable for the last
five quarters. And they just keep stacking to their Bitcoin treasury
for the long haul. I think they run
90%, 95% Bitcoin reserves. And they have a little bit of
float on the dollar sign.
Yeah.
It's a beautiful thing. I want to put it in the public ether
because he agreed behind the scenes.
Miles, somebody I've been trying to get on the
pod, I've let him know, like, hey, you're ready.
TFTC rip. It seems like
he's ready. We're going to be ripping.
Beginning of next month.
That's going to be an awesome rip.
Hopefully that's a three-hour conspiracy-fueled
episode. You can start the first half an hour.
The first half an hour can just be like what
Block is doing on the Bitcoin side and then just
get him going and it'll be a fucking
an amazing episode. I want to hear about
the Nazis under the ice caps.
But
he's a good friend.
I have this one beef tallow
burger place that does beef
tallow fries that uses square terminals
and I'm incredibly excited to pay with
Bitcoin there. It's going to be fucking
awesome. So I'm pretty
excited about that.
Never read the line.
I am as well. I think
they made a beautiful thing.
4 million merchants. And that's the thing I wrote.
end of the newsletter people are freaking out bitcoin prices down uh many people are having
existential crisis out there like oh was i right what's going on back to basics bitcoin is free to
money it is a peer-to-peer distributed cash system with geographically distributed hash rate that is
using an immense amount of energy to secure the network we have people building out tech we talked
earlier about bitcoin for signal what the cashew protocol is doing to bring bitcoin payments to
signal and who knows that ultimately is what they they choose or if they ever implement anything if
it's cashew or whatever we've got square making it easy for merchants to sweep cash flows into
bitcoin and to accept bitcoin as payment we've got a number you mentioned strike strikes making it
easy to get on and off bitcoin if you want to get off uh you can use your bitcoin lend against uh
you lend against your bitcoin to get cash the product services are getting better and i ended
the newsletter is like i if you're bearish on bitcoin right now ask yourself these questions
um do you think governments are ever going to print more money do you think governments are
ever going to freeze people's bank accounts and stop them from sending money again? Do you think
censorship is going to rise? Do you think people are going to get tired of paying credit card
companies 4% for fees? If the answer is yes to any of those questions, then there are going to
be more Bitcoiners in the world and adoption is going to increase. Bitcoin is far superior
across all those facets. It's scarce. It's divisible. You can send it over the internet
relatively cheaply. And there is extreme value in those properties and people will recognize that.
Bitcoin's not that. My answer is yes to all those questions. Onward, stay humble,
sex ads. Peace and love, freaks.
Thank you.