1
00:00:00,000 --> 00:00:15,540
Welcome in to This Week in Bitcoin, episode 91.

2
00:00:15,960 --> 00:00:21,420
My name is Chris, ChrisLAS.com, JupyterBroadcasting.com.

3
00:00:21,740 --> 00:00:24,600
Well, hello, Bitcoin winter, my old friend.

4
00:00:25,080 --> 00:00:28,540
I'm mostly joking, but that is the question that's coming up this week.

5
00:00:28,540 --> 00:00:33,920
has something gone wrong? Are we going to slide sideways all through spring and all through

6
00:00:33,920 --> 00:00:39,480
summer into October, as some are suggesting? Let's talk about crypto, if we dare. My God,

7
00:00:39,620 --> 00:00:45,060
we had a 72 handle on Bitcoin a little while ago. It's off the lows. We're at 73,850, still down

8
00:00:45,060 --> 00:00:50,140
3%. Are these tied together? Because this has been a brutal couple of weeks.

9
00:00:50,660 --> 00:00:53,700
Certainly been a brutal couple of weeks when we take a look at cryptocurrencies,

10
00:00:54,160 --> 00:00:55,140
Bitcoin in particular.

11
00:00:55,600 --> 00:00:58,500
Bitcoin today hitting its lowest level since 2024.

12
00:00:59,140 --> 00:01:04,120
But we're really seeing about so many dollars, almost a trillion dollars coming out,

13
00:01:04,180 --> 00:01:08,660
half a trillion dollars being wiped out in this week alone when we look at cryptocurrencies more broadly.

14
00:01:08,660 --> 00:01:13,360
So this plunge is really just raising a lot of doubts that have already kind of been in the market,

15
00:01:13,480 --> 00:01:17,880
but really being underscored right now about whether or not Bitcoin is actually a safe haven,

16
00:01:17,980 --> 00:01:21,360
especially when we think about all the geopolitical risks going on.

17
00:01:21,600 --> 00:01:23,580
Oh, here we go again with that.

18
00:01:23,700 --> 00:01:29,100
Here we go again with that, as if gold and silver didn't also have quite the volatile week.

19
00:01:29,480 --> 00:01:31,480
I mean, you look at the price action for Bitcoin right now.

20
00:01:31,640 --> 00:01:39,900
It's historically in what they call the overbought territory, as in other words, a great deal from this price or anywhere lower from here.

21
00:01:40,360 --> 00:01:42,020
But what was all this about?

22
00:01:42,120 --> 00:01:43,460
What was all of this extra volatile?

23
00:01:43,580 --> 00:01:44,920
What's going on here?

24
00:01:44,920 --> 00:01:46,560
Well, let's talk about that.

25
00:01:53,700 --> 00:01:59,880
You asked the question, who is Kevin Warsh?

26
00:01:59,960 --> 00:02:02,220
And I think the answer comes from the president.

27
00:02:02,400 --> 00:02:06,400
He's someone well known on both Wall Street and in Washington.

28
00:02:06,740 --> 00:02:10,020
He began his career after graduating from Harvard Law.

29
00:02:10,260 --> 00:02:13,300
Well, it looks like the poly market odds were way off.

30
00:02:13,300 --> 00:02:15,320
And we have our new Fed pick.

31
00:02:15,900 --> 00:02:17,360
Trump's pick is Kevin Warsh.

32
00:02:17,500 --> 00:02:18,600
And here's a little bit about him.

33
00:02:18,800 --> 00:02:19,200
Stanford.

34
00:02:19,740 --> 00:02:23,640
Morgan Stanley then moved from there to the George W. Bush White House.

35
00:02:23,700 --> 00:02:29,300
in 2002 as an economic advisor. And then Bush appointed him as the youngest Fed governor ever

36
00:02:29,300 --> 00:02:35,020
in 2006. It's worth noting he was at the Federal Reserve as one of the governors during the great

37
00:02:35,020 --> 00:02:40,740
financial crisis. Since then, he's lectured at Stanford, but his primary job is advising the

38
00:02:40,740 --> 00:02:47,540
legendary investor Stan Druckenmiller at Duquesne Capital. What does Warsh think? Well, Warsh is a

39
00:02:47,540 --> 00:02:51,560
critic of the Fed, a harsh critic of the Fed. Yeah, let's get into that. And that's part of why

40
00:02:51,560 --> 00:02:58,500
we saw this reaction. Warsh is the one that the hard money traders are worried about. In the past,

41
00:02:58,540 --> 00:03:04,560
he's been very vocal about the policy of the Federal Reserve and how he would differ from the

42
00:03:04,560 --> 00:03:09,780
way Jerome Powell has made certain decisions. And what I can kind of gather by now watching and kind

43
00:03:09,780 --> 00:03:14,500
of trying to catch up on this guy is that he essentially disagrees with the slow money printing

44
00:03:14,500 --> 00:03:19,460
solution by the current Fed. So the current Fed sort of figures, you know, we trickle it out there,

45
00:03:19,460 --> 00:03:25,600
we kind of ebb and flow it to maintain a stable economy. Kevin Warsh, he's more of a don't meddle

46
00:03:25,600 --> 00:03:30,660
in the economy kind of guy until it really is in a pinch. And then when it's in a pinch,

47
00:03:30,820 --> 00:03:36,800
you go all in. So the JPOW approach is kind of steady money printing to prevent a crisis.

48
00:03:37,280 --> 00:03:42,060
And the Warsh method is crisis happens, you let it happen, and then you print like crazy.

49
00:03:42,060 --> 00:03:47,820
And that is kind of made clear in this clip. You were on the Federal Reserve Board of Governors

50
00:03:47,820 --> 00:03:49,820
during the financial crisis of 2008,

51
00:03:50,040 --> 00:03:52,600
which led to the worst economic contraction

52
00:03:52,600 --> 00:03:53,640
since the Great Depression

53
00:03:53,640 --> 00:03:56,880
and unemployment in this country of 10%.

54
00:03:56,880 --> 00:03:59,020
This interview here is from the Hoover Institute.

55
00:03:59,500 --> 00:04:01,960
Which led to the worst economic contraction

56
00:04:01,960 --> 00:04:03,020
since the Great Depression

57
00:04:03,020 --> 00:04:06,220
and unemployment in this country of 10%.

58
00:04:06,220 --> 00:04:08,220
Are you drawing a causal relationship there, Peter?

59
00:04:08,620 --> 00:04:10,380
I'm scared where the rest of this is going.

60
00:04:10,580 --> 00:04:11,720
You're just plain bad luck.

61
00:04:12,420 --> 00:04:15,080
The Fed responded with a number of actions,

62
00:04:15,220 --> 00:04:16,820
but perhaps the most dramatic

63
00:04:16,820 --> 00:04:20,640
was to flood the system with liquidity.

64
00:04:21,940 --> 00:04:24,820
Let me give you some sense of the magnitude of the Fed's action.

65
00:04:24,820 --> 00:04:27,700
Between the first and second quarter of 2008,

66
00:04:27,800 --> 00:04:28,880
the Fed's balance sheet,

67
00:04:29,360 --> 00:04:31,960
measure of the supply of reserves in the banking system,

68
00:04:32,340 --> 00:04:35,840
the balance sheet doubled in the space of a quarter

69
00:04:35,840 --> 00:04:38,760
from a trillion to two trillion.

70
00:04:39,240 --> 00:04:42,500
Now, you've written that you strongly supported that decision.

71
00:04:43,480 --> 00:04:52,860
So before we get to the QE234 and so forth, about what you're deeply, or at least, well, you'll explain yourself in a moment.

72
00:04:53,360 --> 00:05:00,280
But first tell me why you supported that dramatic infusion of money into the markets in 2008.

73
00:05:00,340 --> 00:05:05,900
So the question is, is Kevin is kind of known as somebody who's not a big money printer guy.

74
00:05:06,040 --> 00:05:09,340
So why was he so for it in 2008?

75
00:05:09,340 --> 00:05:13,580
eight. This is what I want you to listen to, because I think this next answer that we're

76
00:05:13,580 --> 00:05:18,280
about to get is very telling. This is part of what spooked the hard money folks, because it

77
00:05:18,280 --> 00:05:24,300
reveals what Kevin's view for the role of central banks is. And it's very different than the current

78
00:05:24,300 --> 00:05:31,680
chair. And so this is, I think, the bit that the gold bugs, the silver bugs and the Bitcoin traders

79
00:05:31,680 --> 00:05:36,360
on the bit with the big money. I think this is the bit they reacted to. Central banks were first

80
00:05:36,360 --> 00:05:41,700
created or this generation of central banks to respond to just this sort of situation.

81
00:05:42,060 --> 00:05:48,920
A panic in the old days, what we now call a deep recession, a financial crisis, is when markets

82
00:05:48,920 --> 00:05:53,800
aren't working, when there are spreads between what buyers are willing to play and sellers are

83
00:05:53,800 --> 00:05:59,520
willing to sell. And the job of the central bank is to show up with all sorts of money, there's that

84
00:05:59,520 --> 00:06:05,740
dirty word again, and get those markets to function, not to set prices, but to make sure that buyers

85
00:06:05,740 --> 00:06:11,940
and sellers could clear. And the central bank was there to provide liquidity when no one else would.

86
00:06:12,280 --> 00:06:17,820
We were the backstop and are the backstop to the banking system, not just in the U.S., but in the

87
00:06:17,820 --> 00:06:22,260
rest of the world. Because if we blew it, it would have been even worse for the rest of the world.

88
00:06:22,340 --> 00:06:27,060
So that's what we did in crises. And, you know, some of your and my friends on the right, including

89
00:06:27,060 --> 00:06:33,100
at institutions we care deeply about, their views then were you should let the system burn down. A

90
00:06:33,100 --> 00:06:34,720
Phoenix will rise from the ashes.

91
00:06:35,120 --> 00:06:37,740
You really have no business in doing this.

92
00:06:38,140 --> 00:06:39,020
That's not my view.

93
00:06:39,240 --> 00:06:42,600
My view is the central bank was created to respond to panics.

94
00:06:43,060 --> 00:06:43,900
We had one.

95
00:06:44,300 --> 00:06:46,300
We recognized it belatedly.

96
00:06:46,560 --> 00:06:49,160
But then we showed overwhelming force.

97
00:06:49,340 --> 00:06:51,420
And the word you used, I think, is the right word.

98
00:06:51,420 --> 00:06:52,860
It was an emergency.

99
00:06:53,740 --> 00:06:57,600
So you're prepared to cross more lines than you would in benign times.

100
00:06:58,500 --> 00:07:06,800
Now, if that doesn't make it clear, he really doubles down on his hate for quantitative easing, essentially continuous easy money supply.

101
00:07:07,120 --> 00:07:11,380
And he hates it so much, he apparently quit his job over it.

102
00:07:12,140 --> 00:07:12,680
I resigned.

103
00:07:13,220 --> 00:07:13,620
You did.

104
00:07:14,000 --> 00:07:15,840
When QE2 was launched.

105
00:07:15,940 --> 00:07:16,480
In 2010.

106
00:07:16,480 --> 00:07:19,380
All right. I left in early 2011.

107
00:07:19,760 --> 00:07:24,960
My colleagues, including Chairman Bernanke, who I mentioned for whom I had great respect as a warfighter,

108
00:07:25,520 --> 00:07:29,400
he and my colleagues at the Fed decided that we should keep on doing it.

109
00:07:29,960 --> 00:07:31,000
On what grounds?

110
00:07:31,440 --> 00:07:35,920
If you could make the best argument for their case that you could, what would the argument be?

111
00:07:36,160 --> 00:07:38,640
So we don't see any costs.

112
00:07:39,100 --> 00:07:40,580
We have found a free lunch.

113
00:07:41,480 --> 00:07:42,160
Look around.

114
00:07:42,340 --> 00:07:43,760
Asset prices are higher.

115
00:07:44,340 --> 00:07:46,000
Markets are filled with more liquidity.

116
00:07:46,260 --> 00:07:47,480
The economy is good.

117
00:07:47,480 --> 00:07:51,420
and gosh, if we take it away, we don't know what would happen.

118
00:07:52,200 --> 00:07:56,880
And in some sense, they broke, in my view, the bargain that was struck.

119
00:07:57,560 --> 00:08:00,680
Did any of us know what would happen under various scenarios?

120
00:08:00,860 --> 00:08:04,200
No, because again, in economics, unlike in physics,

121
00:08:04,500 --> 00:08:07,380
there are no control groups, at least no very good ones.

122
00:08:08,040 --> 00:08:11,060
So you saw gold and silver behave like altcoins.

123
00:08:11,500 --> 00:08:16,040
You saw the volatility that we would normally attribute to tech stocks and altcoins

124
00:08:16,040 --> 00:08:23,360
happen in gold and silver. And you see, this is a particularly interesting stance for this guy that

125
00:08:23,360 --> 00:08:29,160
is Trump's pick for the Federal Reserve, isn't it? Because if we take a step back, why would Trump

126
00:08:29,160 --> 00:08:35,520
even put this guy in here in the first place if this was his plan? I mean, it's possible. I don't

127
00:08:35,520 --> 00:08:41,900
know if this was Trump's first or even second choice, but to me, it seems like there's either a

128
00:08:41,900 --> 00:08:46,800
signal mismatch between Trump and his pick, or they've come to some kind of understanding.

129
00:08:46,940 --> 00:08:51,920
Did Kevin Warsh commit to you that he will push to cut interest rates if he is confirmed?

130
00:08:52,260 --> 00:08:56,640
No, but we talk about it. I've been following him, and I don't want to ask him that question.

131
00:08:56,640 --> 00:09:01,980
I think it's inappropriate, probably. It probably would be allowed, but I want to keep it nice and

132
00:09:01,980 --> 00:09:06,040
pure. But he certainly wants to cut rates. I've been watching him for a long time.

133
00:09:06,040 --> 00:09:11,940
Did you have any concerns about his hawkish history of pushing for rate hikes?

134
00:09:12,200 --> 00:09:13,860
He's going to want to do the same thing.

135
00:09:14,000 --> 00:09:18,480
I think that, yeah, I've had times when I think you've had to really have rate hikes too.

136
00:09:19,040 --> 00:09:23,300
But he's very smart, very good, strong, young, pretty young.

137
00:09:23,740 --> 00:09:25,140
And I think he's going to do a good.

138
00:09:25,240 --> 00:09:28,360
I mean, he was a central casting guy that people wanted.

139
00:09:28,360 --> 00:09:32,440
He was a central casting guy that people wanted.

140
00:09:32,680 --> 00:09:34,420
Does that make it sound like he was his first pick?

141
00:09:34,420 --> 00:09:39,220
And I think he's going to do that. I mean, he he was a central casting guy that people wanted.

142
00:09:39,480 --> 00:09:41,700
Are you concerned, Mr. President, about the confirmation hearings?

143
00:09:41,900 --> 00:09:42,880
We've heard Senator Tillis.

144
00:09:43,060 --> 00:09:43,260
No, no.

145
00:09:43,300 --> 00:09:52,120
You think with the DOJ investigation, this is in the whole country, I would say that this was the perfect candidate.

146
00:09:52,340 --> 00:09:54,960
Top student, best schools. Everything was like perfect.

147
00:09:55,640 --> 00:09:58,920
Youngest person ever to serve on the Fed. Got the whole package.

148
00:09:59,140 --> 00:10:00,880
Looks don't mean anything, but he's got the look.

149
00:10:00,880 --> 00:10:06,080
What is your strategy for getting past the hold that Senator Tillis has on this process?

150
00:10:06,340 --> 00:10:13,660
So that hold would be that they want to defer the new chair nomination until the legal matter is settled with J-PAL.

151
00:10:14,420 --> 00:10:19,580
Now, what I heard in there was the central casting thing and the I think he's going to want to cut rates.

152
00:10:19,660 --> 00:10:26,860
But there seems to be a fundamental misunderstanding between the people that are projecting what could happen, what might happen.

153
00:10:27,020 --> 00:10:28,360
And they're asking these questions.

154
00:10:28,360 --> 00:10:53,980
The question has an assumption baked into it. The question is, well, the economy is doing pretty good. Scott just told us GDP is ripping. You tell us it's the best economy ever. You tell us the dollar is going to be fine. So on what grounds do we need to lower rates? Wouldn't that just stoke inflation? It seems like inflation isn't fully tame. So on what grounds would we want to lower rates? And so that's what's baked into the question there.

155
00:10:53,980 --> 00:10:59,400
And that is a fundamental misunderstanding of the dynamics that are at play for the Fed and the White House.

156
00:11:00,200 --> 00:11:01,000
Here's the trap.

157
00:11:01,540 --> 00:11:07,260
If the Fed does cut rates the way Trump wants, the budget will look better for a while, probably during his term.

158
00:11:07,600 --> 00:11:11,300
And that's because the Treasury has gone all in on short-term debt.

159
00:11:11,760 --> 00:11:17,100
The T-bills, they're rolling that over on short-term since bad girl Yellen has been in there.

160
00:11:17,500 --> 00:11:18,540
This has been the play.

161
00:11:18,980 --> 00:11:22,220
I'm talking like one-year loans on T-bill debt.

162
00:11:22,840 --> 00:11:27,940
Cheap today, flexible, but, you know, not a good idea long term.

163
00:11:28,040 --> 00:11:30,580
They're politically convenient today, not a good idea long term.

164
00:11:31,060 --> 00:11:35,920
By pushing borrowing short and pushing yields down, the U.S. slows down the rise in interest

165
00:11:35,920 --> 00:11:38,000
costs without actually fixing the problem.

166
00:11:38,420 --> 00:11:43,600
But cutting rates while inflation is still warm, which it is, risks lighting CPI back

167
00:11:43,600 --> 00:11:44,500
up, which it will.

168
00:11:45,200 --> 00:11:48,280
And when inflation moves, the Fed essentially loses control.

169
00:11:48,380 --> 00:11:49,240
The market loses faith.

170
00:11:50,020 --> 00:11:52,440
The long end reprices, markets take over.

171
00:11:52,840 --> 00:11:55,520
The Treasury can't live on short-term debt forever, so they're stuck.

172
00:11:55,820 --> 00:11:58,340
And eventually it has to lock in longer maturities.

173
00:11:58,600 --> 00:12:05,380
And when it does, it'll be doing it at higher rates, not lower rates, because of these very actions.

174
00:12:05,660 --> 00:12:09,620
And the part that people miss is that damage, it doesn't just disappear.

175
00:12:09,780 --> 00:12:11,300
It's not just numbers on a spreadsheet.

176
00:12:11,540 --> 00:12:17,900
It gets absorbed by the savers, by the currency holders, by anyone who's still parked in nominal dollars.

177
00:12:18,880 --> 00:12:21,180
Bitcoin cannot stop this bad policy.

178
00:12:21,680 --> 00:12:25,260
Bitcoin's going to be whipped around a little bit while we work out this bad policy.

179
00:12:25,720 --> 00:12:27,200
This is where we have to stay humble.

180
00:12:27,900 --> 00:12:31,360
This is where we have to stack sats and just wait out these macro ships.

181
00:12:31,440 --> 00:12:36,740
They're like giant, giant tanker ships moving very, very slowly.

182
00:12:37,240 --> 00:12:40,240
And sometimes you think they're going to arrive sooner than they do and they take 10 years.

183
00:12:40,240 --> 00:12:44,800
I mean, it really is a hell of a thing the way these macro things can sometimes take forever and then move so quickly.

184
00:12:45,500 --> 00:12:48,960
So Bitcoin just sits here quietly absorbing the consequences.

185
00:12:49,540 --> 00:12:52,040
And I think that's an interesting angle to look at this.

186
00:12:52,120 --> 00:12:56,640
This new Fed chair has gone on the record a couple of times about, well, presumed new

187
00:12:56,640 --> 00:12:56,980
Fed chair.

188
00:12:57,020 --> 00:12:57,980
He hasn't been nominated yet.

189
00:12:58,360 --> 00:13:00,720
He's gone on the record a couple of times about Bitcoin.

190
00:13:01,440 --> 00:13:03,660
And I think he's got a nuanced view.

191
00:13:03,740 --> 00:13:04,480
Let's break that down.

192
00:13:04,800 --> 00:13:06,660
Are you on board with Bitcoin?

193
00:13:06,780 --> 00:13:09,160
I know Stan Druckenmiller is now on board.

194
00:13:09,160 --> 00:13:15,120
I think when we've talked about Bitcoin in the past, I think you had a perhaps a lesser view.

195
00:13:15,220 --> 00:13:16,840
I don't know if you have a different view today.

196
00:13:17,380 --> 00:13:19,580
This is Squawk Box from a couple of years ago.

197
00:13:20,400 --> 00:13:22,820
So Stan calls me his partner.

198
00:13:22,920 --> 00:13:23,960
I call him my boss.

199
00:13:24,040 --> 00:13:27,560
One of us is lying, but I'll let you figure out who's who in that, Andrew.

200
00:13:28,160 --> 00:13:35,760
So I'd say I think that Bitcoin does make sense as part of a portfolio in this environment

201
00:13:35,760 --> 00:13:38,420
where you have the most fundamental shift.

202
00:13:38,420 --> 00:13:41,220
for example, in monetary policy since Paul Volcker.

203
00:13:41,220 --> 00:14:00,764
So he thinks Bitcoin makes sense in this environment this environment being a quantitatively easing environment relative to what he would do So I think the transverse of that means that if we are not in a quantitatively easy environment perhaps he doesn think Bitcoin is a good investment which I don necessarily agree with that because we have just gone through tightening for two years

204
00:14:00,764 --> 00:14:06,844
It's an environment where you have the most fundamental shift, for example, in monetary policy since Paul Volcker.

205
00:14:07,364 --> 00:14:11,044
This is a big shift that we're seeing under the Powell Fed, rightly or wrongly.

206
00:14:11,044 --> 00:14:16,484
So I'm not surprised in a period of dollar weakness where Bitcoin's doing what it's doing.

207
00:14:17,084 --> 00:14:22,124
And I'd also suggest that part of the move in Bitcoin is taking some of the bid away from gold.

208
00:14:22,624 --> 00:14:26,944
I think if Bitcoin never existed, gold would be rallying even more right now.

209
00:14:27,164 --> 00:14:31,144
Bitcoin was at 34,000 US dollars at this time.

210
00:14:31,224 --> 00:14:34,244
I guess if you're under 40, Bitcoin is your new gold.

211
00:14:34,244 --> 00:14:43,664
So I think of Bitcoin as a lot of things, but it's certainly with every passing day getting new life as an alternative currency.

212
00:14:43,924 --> 00:14:53,524
And when you see the strength of the euro, the strength of the pound, the strength of the RMB, the Korean won, the Mexican peso, I guess we shouldn't be surprised to see the strength of Bitcoin as well.

213
00:14:54,304 --> 00:14:55,344
Yeah, it's a nuanced take.

214
00:14:55,344 --> 00:15:22,764
I think he's not anti-Bitcoin. He's not concerned by it, but it's more of I think he thinks it was a low rates, quantitative easing phenomenon, which I do not necessarily agree with. But I think that is a stance that scares hard money people. And we see right now a little bit of freakage in there. And it's going to take a little bit before they calm down, because even if even if the nomination goes forward, it's not till May. It's going to take a little bit.

215
00:15:22,764 --> 00:15:27,144
and maybe he may or may not say a bunch beforehand.

216
00:15:27,384 --> 00:15:29,064
I think that's really going to make the difference

217
00:15:29,064 --> 00:15:31,624
if Warsh comes out and starts kind of stating

218
00:15:31,624 --> 00:15:34,964
quasi-policy positions before the nomination

219
00:15:34,964 --> 00:15:35,984
and the market likes it.

220
00:15:36,384 --> 00:15:37,484
That could help a little bit.

221
00:15:37,564 --> 00:15:38,324
I know this is stupid.

222
00:15:38,984 --> 00:15:40,704
This is why we got to move beyond this system.

223
00:15:41,464 --> 00:15:42,424
Here's Mike Novogratz.

224
00:15:42,744 --> 00:15:44,504
Yeah, listen, part of this acceleration

225
00:15:44,504 --> 00:15:47,284
recently downwards is the thought

226
00:15:47,284 --> 00:15:50,984
that Kevin Warsh is going to be very hawkish.

227
00:15:50,984 --> 00:15:56,244
Listen, what I think Kevin did is he took out the tail risks for inflation, right?

228
00:15:56,284 --> 00:15:57,204
He's a man of integrity.

229
00:15:57,564 --> 00:16:01,944
He has worked alongside Stan Druckenmiller for a long time, literally since he left the Fed.

230
00:16:02,624 --> 00:16:06,704
And so you don't think he's going to do whatever Trump wants him to do.

231
00:16:07,484 --> 00:16:10,744
That said, he's pretty dovish right now.

232
00:16:11,144 --> 00:16:18,764
And I think once he gets in and starts talking, looking at the environment that we see today, he wants rates lower.

233
00:16:18,764 --> 00:16:28,724
And I think once that market kind of rewrites him as a dove, at least a dove, given the current environment, that also could help.

234
00:16:29,864 --> 00:16:32,984
You know, there's probably been an overreaction on how hawkish he's going to be.

235
00:16:33,244 --> 00:16:39,724
But I do think, listen, he took out the tail risk, which is a good thing for America and not necessarily a good thing for gold, silver or Bitcoin.

236
00:16:39,724 --> 00:16:52,804
it. We've kind of been getting jerked around by this clarity stall as well. The Clarity Act may

237
00:16:52,804 --> 00:16:57,524
end up becoming law, may not. There's a lot of blockers, some of which aren't actually getting

238
00:16:57,524 --> 00:17:02,284
as much attention as they should. White House officials meeting with crypto industry executives

239
00:17:02,284 --> 00:17:07,164
and bank associations yesterday to help break the stalemate holding up the Clarity Act in the

240
00:17:07,164 --> 00:17:11,964
Senate. Participants calling the talks constructive, but crypto representatives reportedly felt that

241
00:17:11,964 --> 00:17:17,184
banks were slow to engage. The major impasse is whether crypto exchanges should be allowed to

242
00:17:17,184 --> 00:17:22,984
offer customers rewards on stable coins held on crypto platforms. Should the crypto companies be

243
00:17:22,984 --> 00:17:27,644
able to reward customers for moving their money out of banks and onto crypto platforms?

244
00:17:27,984 --> 00:17:32,284
Yeah, that's one of the issues for sure. That is definitely one of the issues. It's not the only

245
00:17:32,284 --> 00:17:37,144
issue. Major impasse is whether crypto exchanges should be allowed to offer customers rewards.

246
00:17:37,164 --> 00:17:39,944
on stable coins held on crypto platforms.

247
00:17:40,104 --> 00:17:43,164
Should the crypto companies be able to reward customers

248
00:17:43,164 --> 00:17:46,324
for moving their money out of banks and out to crypto platforms?

249
00:17:46,644 --> 00:17:48,824
The president voiced support for the bill,

250
00:17:49,084 --> 00:17:50,904
the Clarity Act, in the Oval Office yesterday.

251
00:17:51,044 --> 00:17:51,444
Watch this.

252
00:17:52,324 --> 00:17:53,824
I'm a big crypto person.

253
00:17:53,944 --> 00:17:57,304
I'm the one that probably helped crypto more than anybody

254
00:17:57,304 --> 00:17:58,184
because I believe in it.

255
00:17:58,384 --> 00:18:01,784
And the reason I believe in it is because if we don't do it, Scott,

256
00:18:01,784 --> 00:18:03,804
I think we can say then China's going to do it.

257
00:18:04,064 --> 00:18:06,644
If we don't do crypto, then China's going to do it.

258
00:18:07,164 --> 00:18:08,704
I actually got clear what they mean.

259
00:18:08,884 --> 00:18:10,004
What are they talking about?

260
00:18:10,084 --> 00:18:10,724
China's going to do.

261
00:18:10,764 --> 00:18:11,544
They just banned Bitcoin.

262
00:18:11,544 --> 00:18:16,704
What they're talking about is a Chinese CBDC that they were concerned would become a world reserve currency.

263
00:18:17,284 --> 00:18:23,164
But I don't think this issue about stable coin yield is really the big problem.

264
00:18:23,364 --> 00:18:25,744
I mean, it's a problem, but let's be real about this.

265
00:18:25,784 --> 00:18:27,884
Let's just like think about this rationally for a second.

266
00:18:27,884 --> 00:18:37,944
Do you think the majority of U.S. consumers are going to rush away from their safe bank accounts that they've had for years and YOLO into stable coins on Coinbase?

267
00:18:38,584 --> 00:18:41,384
Do you think boomers are going to do that who have all the money?

268
00:18:41,904 --> 00:18:42,744
Probably not.

269
00:18:43,284 --> 00:18:45,364
Maybe some younger kids will to some degree.

270
00:18:46,084 --> 00:18:47,464
I just don't think it's a huge issue.

271
00:18:47,524 --> 00:18:48,144
It's an issue.

272
00:18:48,764 --> 00:18:51,744
I don't think it's a collapsing disaster scale issue.

273
00:18:51,944 --> 00:18:54,884
I don't think there's enough trust in the system now, maybe over 10, 20 years.

274
00:18:54,884 --> 00:18:58,164
But why wouldn't the banks just get in the game by that point themselves anyways?

275
00:18:58,704 --> 00:19:03,604
As soon as they saw the customer demand, they could then justify the investment and the R&D.

276
00:19:04,004 --> 00:19:06,584
So to me, I'm not sure that's actually the issue.

277
00:19:07,024 --> 00:19:10,964
I think the problem is maybe not getting as much attention, especially in Bitcoin circles.

278
00:19:11,444 --> 00:19:18,224
The House Democrats on the Financial Services Committee want a provision that blocks office holders from launching coins.

279
00:19:18,924 --> 00:19:20,704
Carlo D posted, said, quote,

280
00:19:20,704 --> 00:19:42,524
And I'd say there's zero chance that Trump signs anything with those provisions.

281
00:19:42,844 --> 00:19:48,064
And I think we saw a little crack between the lines here that indicates this is a big concern.

282
00:19:48,064 --> 00:19:55,764
And this was a back and forth between Congressman Sherman and Treasury Secretary Scott Bessent today.

283
00:19:56,624 --> 00:20:03,004
Does the Treasury Department or the various components of the FMOC have the authority to bail out Bitcoin?

284
00:20:03,004 --> 00:20:06,504
Could you please elaborate? What exactly does bail out Bitcoin?

285
00:20:06,504 --> 00:20:19,904
OK, could you instruct the banks of this country to buy more to buy Bitcoin or change banking regulations so that they're encouraged to do so in terms of the reserves that they're otherwise required to have?

286
00:20:19,904 --> 00:20:31,104
See, this is this is a ridiculous question. It's not only is it ignorant and stupid, but he the senator should very well know what the Treasury secretary can or cannot.

287
00:20:31,524 --> 00:20:33,204
This guy's nearly 100 years old.

288
00:20:33,384 --> 00:20:35,684
He's been in office for longer than I've been alive.

289
00:20:35,984 --> 00:20:38,604
He doesn't know what the Treasury Secretary can and cannot do.

290
00:20:38,984 --> 00:20:39,684
Of course he does.

291
00:20:40,324 --> 00:20:42,704
This is a political question to get it on the record.

292
00:20:42,704 --> 00:20:47,064
And the question is, preposterous, ridiculous.

293
00:20:48,004 --> 00:20:48,924
Bailout Bitcoin.

294
00:20:49,424 --> 00:20:53,324
What kind of, you're the one that needs the bailout.

295
00:20:53,904 --> 00:20:56,964
39.7 trillion?

296
00:20:57,144 --> 00:20:58,624
I looked this up earlier today.

297
00:20:59,364 --> 00:21:00,484
The U.S. government debt.

298
00:21:01,104 --> 00:21:03,624
is $38.57 trillion.

299
00:21:04,584 --> 00:21:07,544
$38.57 trillion.

300
00:21:08,604 --> 00:21:08,964
Okay?

301
00:21:09,864 --> 00:21:11,904
Okay, Bitcoin's not the one that needs a bailout.

302
00:21:12,424 --> 00:21:14,264
The U.S. government's the one that needs a bailout.

303
00:21:14,824 --> 00:21:15,844
That's not what this is about.

304
00:21:16,204 --> 00:21:19,784
So that they're encouraged to do so in terms of the reserves

305
00:21:19,784 --> 00:21:21,364
that they're otherwise required to have.

306
00:21:21,364 --> 00:21:27,224
Again, within the context of asset diversification within banks,

307
00:21:27,304 --> 00:21:28,624
they could hold many assets.

308
00:21:29,564 --> 00:21:30,664
They can, and they're different.

309
00:21:30,984 --> 00:21:37,904
But do you have the authority to order banks to buy Bitcoin or to invest U.S. tax dollars in Bitcoin or Trump coin?

310
00:21:38,064 --> 00:21:39,384
I am Secretary of the Treasury.

311
00:21:39,584 --> 00:21:40,144
I do not have—

312
00:21:40,144 --> 00:21:41,644
Ah, there it really was.

313
00:21:41,704 --> 00:21:42,864
That's what it's really about.

314
00:21:43,384 --> 00:21:45,304
They are miffed about Trump coin.

315
00:21:45,304 --> 00:21:50,984
Authority to order banks to buy Bitcoin or to invest U.S. tax dollars in Bitcoin or Trump coin?

316
00:21:51,304 --> 00:21:52,444
I am Secretary of the Treasury.

317
00:21:52,624 --> 00:21:54,624
I do not have the authority to do that.

318
00:21:54,824 --> 00:21:57,684
And as chair of FSOC, I do not have that authority.

319
00:21:57,684 --> 00:22:05,684
Yeah, and of course he knew that. Scott also used that opportunity to defend the Bitcoin reserve and recent asset seizures.

320
00:22:06,144 --> 00:22:06,784
We'll point out.

321
00:22:06,824 --> 00:22:11,564
Mr. Secretary, reclaiming my time. Are you going to invest in the asset seizure?

322
00:22:12,324 --> 00:22:19,224
That $1 billion of Bitcoin was seized, $500 million was retained, and that $500 million has become over $15 billion.

323
00:22:19,284 --> 00:22:20,484
Gentleman's time has expired.

324
00:22:20,844 --> 00:22:24,744
The smile on Scott's face when he makes that point is pretty satisfying.

325
00:22:24,744 --> 00:22:52,204
I do have to say that was, you know, ridiculous. That was ridiculous. This is this is just one of these things. And the Clarity Act and the political games around it, it is really hard to say where it's going to go. But Bitcoin does kind of get yanked around in the meantime, not because it directly impacts Bitcoin, but because the big money, right? The suits. Think about it from their perspective. It essentially puts Bitcoin in a chicken or an egg situation.

326
00:22:52,204 --> 00:22:55,764
Big money figures, well, it makes sense to just wait until there's clear market structure.

327
00:22:55,844 --> 00:22:56,424
And why not?

328
00:22:56,724 --> 00:22:57,484
What's the downside?

329
00:22:57,864 --> 00:23:01,564
The price of the world's first scarce digital asset just keeps on getting cheaper.

330
00:23:01,864 --> 00:23:06,864
They can scoop it up at nearly criminally cheap prices by just sitting on their hands.

331
00:23:07,364 --> 00:23:15,384
The altcoins are even worse off, and they're going to scoop up bags of those to launch their stupid RWA tokens to milk us all forever.

332
00:23:15,804 --> 00:23:17,704
And they're going to get them at fantastic prices.

333
00:23:18,224 --> 00:23:21,564
So why do they care if the Clarity Act doesn't pass for a while?

334
00:23:22,204 --> 00:23:24,944
And it's just a drag on Bitcoin price for a little bit.

335
00:23:25,464 --> 00:23:30,784
But like so many things before it, this will end up just being another blip on Bitcoin's radar.

336
00:23:41,964 --> 00:23:47,424
Well, there was two major Bitcoin-focused events occurring in El Salvador this last week.

337
00:23:47,884 --> 00:23:49,024
I thought that was pretty neat.

338
00:23:49,024 --> 00:23:51,104
the Bitcoin Circular Economy Summit,

339
00:23:51,964 --> 00:23:54,644
which is sounding like more of a smaller event

340
00:23:54,644 --> 00:23:57,124
taking place in El Zante, which is the Bitcoin beach.

341
00:23:57,444 --> 00:24:00,124
Around 60 attendees from 29 different countries

342
00:24:00,124 --> 00:24:01,524
to share strategies for building

343
00:24:01,524 --> 00:24:03,424
a sustainable Bitcoin circular economy.

344
00:24:03,924 --> 00:24:06,204
Some of their key focuses included real-world adoption

345
00:24:06,204 --> 00:24:08,484
in communities with unstable currencies

346
00:24:08,484 --> 00:24:10,244
and software and things like that.

347
00:24:10,584 --> 00:24:13,864
The larger event, the Plan B Forum El Salvador,

348
00:24:13,864 --> 00:24:15,684
no relation to my old podcast.

349
00:24:16,224 --> 00:24:18,344
This was one of the larger of the two conferences.

350
00:24:18,344 --> 00:24:23,524
that seemingly attracted thousands, had notable speakers like Adam Back, Elizabeth Stark,

351
00:24:24,004 --> 00:24:28,164
Palco Andrio, Seyfidim Anonymous, and Guacamo Zucamo.

352
00:24:28,784 --> 00:24:29,684
Guacamo Zucamo.

353
00:24:30,024 --> 00:24:30,564
I've met him.

354
00:24:30,864 --> 00:24:31,684
I'm probably getting it wrong.

355
00:24:32,184 --> 00:24:34,484
And I think it was an interesting event, of course.

356
00:24:34,564 --> 00:24:37,204
And a standout moment or two happened, and I grabbed them for you.

357
00:24:37,244 --> 00:24:39,444
But I really, I grabbed one of the better ones.

358
00:24:39,444 --> 00:24:43,344
So I'll set the stage for you because there was a debate between Peter Schiff,

359
00:24:43,344 --> 00:24:48,964
to famous gold bug who's really been Bitcoin lives for free in Peter's mind.

360
00:24:49,084 --> 00:24:52,424
And so when gold is doing well, instead of talking about how great gold is doing, Peter

361
00:24:52,424 --> 00:24:54,264
just talks about how bad Bitcoin is.

362
00:24:54,604 --> 00:24:59,824
And Peter is all hot to trot on his new Tether Bitcoin product or gold product, which is

363
00:24:59,824 --> 00:25:02,464
like gold backed currencies or something.

364
00:25:02,724 --> 00:25:04,264
I don't even know how you would verify the goal.

365
00:25:04,384 --> 00:25:06,564
Anyways, that's what he was there to talk about.

366
00:25:06,624 --> 00:25:09,824
And he was in a debate with safe on gold versus Bitcoin.

367
00:25:10,004 --> 00:25:11,964
And I want to play the introduction to set the scene.

368
00:25:11,964 --> 00:25:22,204
So to settle the debate of Bitcoin versus gold, we have the gentleman who wrote the Bitcoin standard and he orange pilled at least half of this vast, vast room.

369
00:25:22,724 --> 00:25:38,044
He is up against the gentleman who, instead of telling us to buy Bitcoin for the past 15 years and getting unfathomably wealthy, he spent the better part of a decade telling us that we are all idiots and maybe we should have bought gold instead.

370
00:25:38,924 --> 00:25:40,484
Who could moderate this panel?

371
00:25:40,484 --> 00:25:46,124
Well, it has to be the podcasting Austrian economist who knows a hard asset when he sees one.

372
00:25:46,784 --> 00:25:51,884
First, though, could you make some noise if you want gold to win this debate?

373
00:25:54,844 --> 00:25:56,004
Tough crowd.

374
00:25:57,004 --> 00:25:57,684
Tough crowd.

375
00:25:57,984 --> 00:26:01,024
Could you make some noise if you'd like Bitcoin to win this debate?

376
00:26:03,024 --> 00:26:07,224
So in some ways, you've got to give it to Peter, although he doesn't really deserve it, trust me.

377
00:26:07,224 --> 00:26:09,084
and it was an interesting debate.

378
00:26:09,184 --> 00:26:10,544
I'll link to the entire thing

379
00:26:10,544 --> 00:26:12,184
because they've posted that on his YouTube channel

380
00:26:12,184 --> 00:26:13,464
but this was the moment I think

381
00:26:13,464 --> 00:26:15,344
that was probably one of the better.

382
00:26:15,924 --> 00:26:17,244
One of the people who actually taught me

383
00:26:17,244 --> 00:26:18,684
about Austrian economics early on

384
00:26:18,684 --> 00:26:21,024
in 2007 and 2008, Peter Schiff

385
00:26:21,024 --> 00:26:22,844
and one of the most important, in fact,

386
00:26:22,844 --> 00:26:25,044
the fundamental basic building block

387
00:26:25,044 --> 00:26:26,024
of all Austrian economics

388
00:26:26,024 --> 00:26:27,604
is the concept of subjective value.

389
00:26:28,024 --> 00:26:29,264
All value is subjective.

390
00:26:29,644 --> 00:26:32,404
Whether it's gold, tomatoes, Bitcoin, bananas,

391
00:26:32,524 --> 00:26:34,364
whatever it is, people value it

392
00:26:34,364 --> 00:26:36,864
because they have placed subjective valuation on it

393
00:26:36,864 --> 00:26:39,064
And that can happen for all sorts of reasons.

394
00:26:39,384 --> 00:26:43,424
And at a certain point, they placed a subjective valuation on this shiny yellow metal.

395
00:26:43,784 --> 00:26:48,124
And at a certain point, they placed subjective valuation on this digital representation of

396
00:26:48,124 --> 00:26:52,784
value represented through private keys in a network that is decentralized, that is very

397
00:26:52,784 --> 00:26:56,704
robust, that allows you to send money internationally without having to go through intermediaries,

398
00:26:56,844 --> 00:26:58,984
which is something that nothing else allows you to do.

399
00:26:59,064 --> 00:27:01,004
And that creates demand for it.

400
00:27:01,124 --> 00:27:04,284
So everything generates demand, generates value.

401
00:27:04,504 --> 00:27:06,204
The question is how it holds value.

402
00:27:06,204 --> 00:27:11,864
What is the value of meat to a vegetarian? It's not very much, but you cannot argue that there is

403
00:27:11,864 --> 00:27:17,984
value there objectively. Air has value. Water has value. You can't tell me that, well, it's all

404
00:27:17,984 --> 00:27:23,784
subjective. Maybe air is worthless. We need air to live. We need water to live. But water and air

405
00:27:23,784 --> 00:27:29,144
are abundant, so the price is not very high. Now, if you're on a desert island, water could be very

406
00:27:29,144 --> 00:27:46,028
expensive if somebody offers you some But the fact of the matter is gold has value Whether you believe it or not In your analysis you said well you know gold was just this commodity that you could use as money Well why was it gold Why not nickel Why not copper Why not any of those things

407
00:27:46,368 --> 00:27:48,808
Again, all of those things have subjective valuation.

408
00:27:49,228 --> 00:27:55,668
Only one of them has a limited supply growth rate, and that's what Bitcoin has.

409
00:27:55,668 --> 00:28:03,388
And because of that, we see, as I was saying earlier, the $700 billion worth of new gold that's going to come onto the market at current prices.

410
00:28:03,848 --> 00:28:05,728
And that's the problem with gold.

411
00:28:05,828 --> 00:28:12,088
The problem with the fact that they don't have the difficulty adjustment and the halving means that no matter how high the price goes,

412
00:28:12,528 --> 00:28:20,268
the price eventually gets to the point where the new demand overwhelms the new supply, becomes so valuable because the price is high,

413
00:28:20,548 --> 00:28:22,108
that it overwhelms the new demand.

414
00:28:22,388 --> 00:28:23,528
And then the price crashes.

415
00:28:23,528 --> 00:28:27,928
And then once the price crashes, sentiment shifts, and then people dump their coins.

416
00:28:28,408 --> 00:28:33,268
And because they don't have a difficulty adjustment, bear markets in gold can last decades.

417
00:28:33,588 --> 00:28:39,728
In 1980, gold hit $800, and it was only until 2008 or so until it hit $800 again.

418
00:28:40,268 --> 00:28:45,668
Are you willing to sit on your gold bags for 28 years to make a new all-time high?

419
00:28:46,128 --> 00:28:49,308
Bitcoin, being advanced money, has a difficulty adjustment.

420
00:28:49,308 --> 00:28:55,648
If demand drops, if the price crashes, the difficulty adjustment ensures that miners can't make more Bitcoin.

421
00:28:56,008 --> 00:29:03,908
And then the halving comes along to bail us out and drop the supply by half and basically increase the price.

422
00:29:04,048 --> 00:29:08,848
Because if the demand had gone down, the supply goes down even further.

423
00:29:09,268 --> 00:29:10,148
Gold doesn't have that.

424
00:29:10,248 --> 00:29:13,608
And so because it doesn't have that, it doesn't hold on to its value.

425
00:29:13,688 --> 00:29:15,988
And its bull bear markets can be much longer.

426
00:29:15,988 --> 00:29:38,188
All right. So you can find the full thing on Safe's podcast site. I'll link to that in the show notes. I thought it was pretty good. And I'd like to know if you would ever go to a Bitcoin meetup or an event like that. If you had the means and the time, would you go? Is it an operational security issue or would you be willing to do it?

427
00:29:38,188 --> 00:29:47,988
Because my second part of my question is, if I was ever out and about traveling and wanted to do a couple of Bitcoin get togethers, nothing big, but just people in the area, would you attend?

428
00:29:48,488 --> 00:29:52,888
I'll be doing some traveling across the country later this year, and it's on my mind.

429
00:29:53,288 --> 00:29:54,228
So boost in and let me know.

430
00:29:54,328 --> 00:29:57,248
Number one, would you go to a Bitcoin meetup or event?

431
00:29:57,828 --> 00:29:59,728
Or is it too much OPSEC exposure?

432
00:30:00,528 --> 00:30:01,648
I guess maybe it depends on the event.

433
00:30:01,748 --> 00:30:02,168
Let me know.

434
00:30:02,648 --> 00:30:03,668
And would you go to one of mine?

435
00:30:04,108 --> 00:30:05,328
Boost in and tell me what you do.

436
00:30:05,688 --> 00:30:07,828
Support the show with the old Boosteroo.

437
00:30:08,188 --> 00:30:32,868
coming up on the show your booze some updates a final clip of the week and more so i'll just

438
00:30:32,868 --> 00:30:37,508
mention right here you can support the show by doing what you do buy the dip stack sats on river

439
00:30:37,508 --> 00:30:39,648
It's one of the best ways to stack in the U.S.

440
00:30:39,888 --> 00:30:41,828
All these have links in the show notes.

441
00:30:42,288 --> 00:30:45,988
If you're all about self-custody, you don't even want them to have a wallet on the platform,

442
00:30:46,088 --> 00:30:49,188
and you're in the U.S. or you're in Canada, check out the Bitcoin well.

443
00:30:49,468 --> 00:30:51,148
Also, fantastic Lightning support.

444
00:30:51,628 --> 00:30:54,548
The Bitcoin company goes from sats to lightning in just seconds.

445
00:30:54,668 --> 00:30:55,668
Hundreds of different gift cards.

446
00:30:55,788 --> 00:30:57,468
They only support Bitcoin.

447
00:30:57,968 --> 00:31:00,468
The Fold card lets you passively stack sats.

448
00:31:01,008 --> 00:31:04,868
It's a debit card that lets you passively stack sats as you pay your bills.

449
00:31:04,868 --> 00:31:09,688
And if it's time to get access to that Bitcoin, sometimes the lows are a decent time to take out.

450
00:31:10,008 --> 00:31:11,848
Just got to make sure it is the low.

451
00:31:13,348 --> 00:31:17,768
One of the things I like about Salt Lending is they do have margin call protection.

452
00:31:18,488 --> 00:31:21,608
They'll swap your Bitcoin to stablecoin for a bit if things get real dicey.

453
00:31:22,048 --> 00:31:22,648
It's pretty nice.

454
00:31:22,988 --> 00:31:24,208
So links to all that in the show notes.

455
00:31:24,308 --> 00:31:28,008
Great way to support the show by just doing what you do.

456
00:31:34,868 --> 00:31:49,008
Ask not what your podcast can boost for you,

457
00:31:49,568 --> 00:31:51,948
but what you can boost for your podcast.

458
00:31:52,448 --> 00:31:54,508
And we'll start with our baller booster this week,

459
00:31:54,568 --> 00:31:57,368
who is J-Cube, who came in with 60,000 sats.

460
00:31:57,368 --> 00:31:58,848
Hey, rich lobster!

461
00:32:01,248 --> 00:32:03,148
J-Cube says, you're doing great, Chris.

462
00:32:03,148 --> 00:32:06,308
I can't imagine how crazy it is trying to wade through all of the macro news.

463
00:32:06,408 --> 00:32:07,268
Have some sats.

464
00:32:07,708 --> 00:32:12,608
I need to figure out how to set up a Nostra profile and how to use it with my AlbiHub and wherever else I can use it.

465
00:32:12,668 --> 00:32:14,108
That is a fun world.

466
00:32:14,228 --> 00:32:17,448
And by the way, engaging with the show on Nostra does help Discovery and Fountain.

467
00:32:17,728 --> 00:32:19,088
So that could be a goal, J-Cube.

468
00:32:19,548 --> 00:32:20,448
Thank you for that.

469
00:32:20,948 --> 00:32:22,328
I'll be honest with you, J-Cube.

470
00:32:22,468 --> 00:32:24,228
Today I was feeling like not doing a show.

471
00:32:24,548 --> 00:32:26,528
And I pulled up the boost and I saw your boost.

472
00:32:27,408 --> 00:32:28,928
And I said, F it.

473
00:32:28,968 --> 00:32:30,848
I'm going to do a whole show.

474
00:32:30,848 --> 00:32:50,008
I thought maybe I'd come on and do a story, chat with you guys, and then get off. Because, you know, when the price is down and it's all macro news, sometimes I get discouraged and I don't know if you guys even want to hear it. And so it's a hard thing to get motivated when it feels like a mountain of work to get through because there's so much, so much crap out there and so much, so much noise.

475
00:32:50,008 --> 00:32:55,768
and so you know starting when it's dark and freezing cold out still and getting down here

476
00:32:55,768 --> 00:33:01,148
and not not even wanting to do it sucks and to see your boost come in this morning

477
00:33:01,148 --> 00:33:05,768
turned it around man so i really appreciate it baller booster in multiple ways thank you very

478
00:33:05,768 --> 00:33:15,668
very much i appreciate it ob comes in with 22 000 beautiful sats

479
00:33:20,008 --> 00:33:22,968
One podcast late on the Las Vegas hat.

480
00:33:23,468 --> 00:33:24,128
Oh, okay.

481
00:33:24,508 --> 00:33:25,768
Jack Muller's, right, the hat.

482
00:33:25,888 --> 00:33:27,248
Jack Muller seems to be a great guy.

483
00:33:27,328 --> 00:33:30,608
Unfortunately, I find he simplifies his message on purpose to keep it succinct.

484
00:33:31,068 --> 00:33:32,028
Makes sense for his audience.

485
00:33:32,188 --> 00:33:36,168
But if I were having a beer with him, it would be nice to get the inside scoop on his biggest partner.

486
00:33:36,888 --> 00:33:38,668
The big gold buyer, Tether.

487
00:33:39,088 --> 00:33:40,088
I know, right?

488
00:33:40,628 --> 00:33:41,008
I know.

489
00:33:41,668 --> 00:33:42,008
I know.

490
00:33:42,208 --> 00:33:44,008
I mean, I, I, I, yeah.

491
00:33:44,748 --> 00:33:45,068
Mm-hmm.

492
00:33:45,468 --> 00:33:45,668
Yeah.

493
00:33:48,408 --> 00:33:48,988
Thank you.

494
00:33:48,988 --> 00:33:50,028
Appreciate that, Obi.

495
00:33:51,608 --> 00:33:54,708
Bazzar4151 is here with 4,321 sats.

496
00:33:56,408 --> 00:33:56,808
Woo!

497
00:33:58,228 --> 00:33:59,048
Turn it up.

498
00:33:59,608 --> 00:34:00,948
He says, it's my favorite day of the week.

499
00:34:01,048 --> 00:34:01,728
Thanks, Bazzar.

500
00:34:02,128 --> 00:34:02,568
Appreciate it.

501
00:34:02,568 --> 00:34:06,148
The boost segment really, really gets me going for the rest of the day.

502
00:34:06,268 --> 00:34:08,888
Like, woof, you know, it's like my pep and my step.

503
00:34:09,128 --> 00:34:10,388
So I appreciate hearing from you.

504
00:34:10,428 --> 00:34:11,188
Thank you for the value.

505
00:34:11,788 --> 00:34:15,208
Gene Bean's here with 2,267 sats.

506
00:34:15,208 --> 00:34:21,628
speaking of Strack and Shake do you guys see that they're working on Fold to pay employees

507
00:34:21,628 --> 00:34:27,208
in bitcoin bonus yeah I did seize that Gene this is a really cool deal and it's a neat way that

508
00:34:27,208 --> 00:34:31,768
Fold often works with these companies Fold's also often worked with CrowdHealth in the past as well

509
00:34:31,768 --> 00:34:38,488
so yes Steak and Shake is using Fold's infrastructure to pay its employees a bonus of 21

510
00:34:38,488 --> 00:34:43,528
cents per hour paid in bitcoin so you essentially get I think what they're saying

511
00:34:43,528 --> 00:34:47,808
is the equivalent of 21 cents of sats per hour.

512
00:34:48,148 --> 00:34:51,208
A Bitcoin bonus of essentially 21 cents sats worth per hour.

513
00:34:51,628 --> 00:34:54,708
So about 0.005 sats, you know.

514
00:34:56,208 --> 00:34:57,248
But I mean, it would add up.

515
00:34:57,308 --> 00:34:57,748
It would add up.

516
00:34:57,788 --> 00:34:59,088
I think that's a wonderful system.

517
00:34:59,368 --> 00:35:00,608
I would, I want that.

518
00:35:00,908 --> 00:35:01,808
I think that's really great.

519
00:35:02,428 --> 00:35:04,448
You know, it's like they're streaming value to their staff

520
00:35:04,448 --> 00:35:07,088
in an extra way that is hard money, right?

521
00:35:07,108 --> 00:35:08,248
It's one thing to pay them in fiat,

522
00:35:08,428 --> 00:35:09,828
but it's a really nice thing to give them

523
00:35:09,828 --> 00:35:12,268
a little bit of a hard currency that they can passively stack.

524
00:35:12,688 --> 00:35:14,388
I think it's a bigger deal than most people realize.

525
00:35:14,708 --> 00:35:16,548
I'd love to see other places do it.

526
00:35:16,588 --> 00:35:18,508
And man, I wish there was a steak and shake near me.

527
00:35:18,928 --> 00:35:19,348
Thanks, Gene.

528
00:35:19,588 --> 00:35:20,548
It's really great to hear from you.

529
00:35:21,228 --> 00:35:22,748
Hey, Sarah Jane's back with AroaDux.

530
00:35:24,328 --> 00:35:26,568
Sarah says, I always appreciate your research and insight.

531
00:35:26,648 --> 00:35:27,188
Well, thank you, Sarah.

532
00:35:27,268 --> 00:35:28,168
I'm glad you're still listening.

533
00:35:28,848 --> 00:35:29,568
Nice to hear from you.

534
00:35:30,128 --> 00:35:32,008
Ace Ackerman also brought AroaDux.

535
00:35:33,308 --> 00:35:34,428
Thanks for another great episode.

536
00:35:34,688 --> 00:35:35,448
Nice to hear from you, Ace.

537
00:35:35,528 --> 00:35:36,068
Thank you.

538
00:35:36,068 --> 00:35:40,868
And user88 came in with, you guessed it, AroaDux.

539
00:35:42,268 --> 00:35:47,728
And he says value for value, Amico.

540
00:35:48,028 --> 00:35:48,468
Boost!

541
00:35:48,568 --> 00:35:49,828
Thank you for the value, User88.

542
00:35:49,988 --> 00:35:50,668
Appreciate it.

543
00:35:51,008 --> 00:35:55,588
Kiwi Bitcoin Guide is back with 4,567 sats.

544
00:35:55,708 --> 00:35:56,608
I like you.

545
00:35:56,988 --> 00:35:58,008
You're a hot ticket.

546
00:35:58,448 --> 00:36:03,988
I listened to your summary of OpenClaw on Linux Unplugged three times, actually, to really get my head around it.

547
00:36:04,328 --> 00:36:05,948
What's your take on the Bitcoin angle?

548
00:36:05,948 --> 00:36:10,768
With agents talking and dealing with each other autonomously, does Bitcoin fit into this?

549
00:36:10,768 --> 00:36:15,628
we've heard that ai agents can't use fiat and bitcoin keys and wallets can be generated and

550
00:36:15,628 --> 00:36:20,228
used by agents is this a moment we actually see this happen i'd love to hear your thoughts on this

551
00:36:20,228 --> 00:36:26,608
very good question kiwi and i say that because it's it's interesting you do see a contingent

552
00:36:26,608 --> 00:36:32,928
of people that are training their agents all about bitcoin and they're trading on polymarket just like

553
00:36:32,928 --> 00:36:37,908
the bitcoin odds and stuff like that but then you also see a big push to get agents to use base

554
00:36:37,908 --> 00:36:41,568
and X240 or whatever the heck it is, 420.

555
00:36:42,808 --> 00:36:43,608
So you know what?

556
00:36:43,828 --> 00:36:44,968
That's a good question, Kiwi.

557
00:36:45,148 --> 00:36:47,968
And I will follow up in the update section

558
00:36:47,968 --> 00:36:48,948
because there's a couple of things,

559
00:36:48,988 --> 00:36:50,528
a couple of services that I've launched there.

560
00:36:50,908 --> 00:36:52,428
Great question and stay tuned.

561
00:36:52,808 --> 00:36:55,088
I will have a broader answer.

562
00:36:55,468 --> 00:36:56,108
Thank you for listening.

563
00:36:57,568 --> 00:37:00,768
Nakamoto6102 comes in with 3,500 sats.

564
00:37:00,888 --> 00:37:02,668
Put some macaroni and cheese on there too.

565
00:37:02,868 --> 00:37:03,868
Says thanks for the value.

566
00:37:04,048 --> 00:37:04,908
Thank you for the boost.

567
00:37:05,288 --> 00:37:05,928
I appreciate it.

568
00:37:05,948 --> 00:37:07,368
Even the simple ones means a lot.

569
00:37:07,908 --> 00:37:10,028
Bobby Pins here with 10,000 sets.

570
00:37:10,128 --> 00:37:12,328
Oh my God, this drawer is filled with fruit loops.

571
00:37:12,688 --> 00:37:13,728
Well, I'll be dipped.

572
00:37:14,028 --> 00:37:17,388
I keep hearing people say that the sentiment is the lowest it's been in a long time.

573
00:37:17,768 --> 00:37:21,068
Personally, I don't think the quantum and Epstein stuff is anything more than FUD.

574
00:37:21,628 --> 00:37:25,408
Is there any time that you can remember when sentiment was lower than it is today?

575
00:37:25,888 --> 00:37:27,288
Plus one to the JB mining pool.

576
00:37:27,468 --> 00:37:28,308
I'm down to work on it.

577
00:37:28,328 --> 00:37:29,348
Also throw in some hash rate.

578
00:37:29,548 --> 00:37:29,908
Yes!

579
00:37:30,528 --> 00:37:30,888
Yes!

580
00:37:31,128 --> 00:37:31,688
Make it so.

581
00:37:32,288 --> 00:37:33,208
Yes, Bobby Pins.

582
00:37:33,228 --> 00:37:34,148
Let's do this.

583
00:37:34,788 --> 00:37:35,608
Yeah, back to the sentiment.

584
00:37:36,088 --> 00:37:37,028
It is low, isn't it?

585
00:37:37,028 --> 00:37:37,468
It's bad.

586
00:37:37,468 --> 00:37:37,868
It's weird.

587
00:37:37,908 --> 00:37:45,368
I think it's because everybody thought we were at the moment of the dollar collapse and that this was Bitcoin's moment to shine.

588
00:37:45,368 --> 00:37:49,368
And instead of shining, it was declining and everybody was aping into gold.

589
00:37:49,668 --> 00:37:59,388
I think what was actually going on was a lot of nervousness around the Fed, the stuff that the White House was saying and doing about Jay Powell, the May, I guess, committee decision.

590
00:37:59,388 --> 00:38:09,988
I don't know how election, whatever it is for the Fed chairs coming up, the volatility around who it might be and a Trump insider and how that could undermine the institution of the Federal Reserve.

591
00:38:11,748 --> 00:38:13,888
And I think that led people to rush to buy gold.

592
00:38:14,088 --> 00:38:15,008
Nation states as well.

593
00:38:15,148 --> 00:38:16,668
Nation states being the big ones, really.

594
00:38:17,588 --> 00:38:19,948
And I thought and everybody thought, well, what's going on?

595
00:38:19,988 --> 00:38:21,028
Why isn't Bitcoin reacting?

596
00:38:21,808 --> 00:38:25,868
I think Bitcoin was sussing out the longer plan, the bigger picture long term.

597
00:38:26,528 --> 00:38:27,948
And I don't think we're through it yet.

598
00:38:27,948 --> 00:38:29,548
I don't think we're through it yet.

599
00:38:29,968 --> 00:38:31,268
I think we're definitely not through it yet.

600
00:38:31,988 --> 00:38:33,708
Unfortunately, because I could sure use a pump.

601
00:38:35,808 --> 00:38:36,588
Thanks, Bobby Penn.

602
00:38:36,808 --> 00:38:38,148
Hope to see you on that mining pool soon.

603
00:38:38,868 --> 00:38:42,488
Hodler's here with 4,747 sats.

604
00:38:42,708 --> 00:38:44,208
Hey, that's, you know what that sounds like?

605
00:38:44,588 --> 00:38:46,508
That sounds like, I don't know, like a 747.

606
00:38:46,768 --> 00:38:48,868
I need, I need like an airplane veroom noise.

607
00:38:49,688 --> 00:38:50,588
I don't have one.

608
00:38:50,628 --> 00:38:51,388
I'm sorry about that.

609
00:38:51,448 --> 00:38:52,068
Tough little ship.

610
00:38:52,148 --> 00:38:52,608
I do have that.

611
00:38:52,948 --> 00:38:53,268
Little.

612
00:38:53,948 --> 00:38:55,028
It's kind of like, you know, about a ship.

613
00:38:55,748 --> 00:38:57,288
Hodler writes, hey, Chris, great show as always.

614
00:38:57,288 --> 00:38:57,848
Thank you.

615
00:38:57,948 --> 00:39:00,648
I'm really excited to hear your thoughts on this current dip.

616
00:39:00,788 --> 00:39:06,708
We never know what happens next, but I feel like it might go lower this year, maybe even dipping below 60K.

617
00:39:06,828 --> 00:39:07,528
What are your thoughts?

618
00:39:08,268 --> 00:39:09,188
I feel that as well.

619
00:39:09,548 --> 00:39:13,548
Hodler, I think there isn't really anything to indicate a turnaround at the moment.

620
00:39:14,348 --> 00:39:16,808
Liquidity is on the sidelines for the most part.

621
00:39:17,448 --> 00:39:20,408
There's uncertainty at the macro level, especially around the Fed.

622
00:39:21,028 --> 00:39:24,448
And there isn't really a momentum narrative.

623
00:39:24,448 --> 00:39:30,048
And the reason why that matters right now is we live in a meme trade society.

624
00:39:30,308 --> 00:39:31,528
It really is true.

625
00:39:31,988 --> 00:39:35,408
Everything that's traded in the last couple of years is traded on momentum.

626
00:39:35,608 --> 00:39:42,428
The NVIDIA stuff, the meme coins themselves, all the AI plays, they've all been momentum

627
00:39:42,428 --> 00:39:42,908
trades.

628
00:39:43,388 --> 00:39:45,868
So things get traded when they have momentum.

629
00:39:46,248 --> 00:39:48,848
And I don't know where that momentum is at right now.

630
00:39:49,308 --> 00:39:50,088
That's fine.

631
00:39:50,688 --> 00:39:55,128
I'm going to play a clip later in the show to remind us to be grateful to be able to stack right now.

632
00:39:55,648 --> 00:39:58,788
I'm not stacking for Chris in 2026.

633
00:39:59,688 --> 00:40:11,988
And if that means now we get access to more sats at a cheaper rate and we can invest more in our own circular economies, like the value for value economies and others for a little bit longer, that's going to make those stronger over the long term.

634
00:40:12,688 --> 00:40:19,808
So I do feel like it's going to be more prolonged than we'd like, unless there's some sort of snap turnaround in the momentum.

635
00:40:20,088 --> 00:40:21,808
And I just don't foresee one right now.

636
00:40:22,248 --> 00:40:25,208
But I try not to be sad about it other than I could really use a PAMP.

637
00:40:25,588 --> 00:40:28,548
Or, you know, it'd be great, right, if Bitcoin would go to like $200,000.

638
00:40:28,748 --> 00:40:37,608
So then people could safely leverage a little bit in some loans and live a little more comfortable after what has been six or seven years of unrelenting inflation pressure.

639
00:40:38,308 --> 00:40:39,048
Be nice.

640
00:40:40,208 --> 00:40:42,868
But, you know, this is the stay humble part.

641
00:40:43,468 --> 00:40:46,268
And this is what it's a long term play.

642
00:40:46,548 --> 00:40:48,308
And we should never kid ourselves about that.

643
00:40:48,308 --> 00:40:50,108
these moments remind us of that too.

644
00:40:50,928 --> 00:40:52,348
And I think because of,

645
00:40:52,428 --> 00:40:53,368
because of Benning,

646
00:40:53,488 --> 00:40:54,868
gone through enough of these,

647
00:40:54,928 --> 00:40:55,848
I guess is what I'm trying to say.

648
00:40:55,948 --> 00:40:57,268
I think I have the faith to know

649
00:40:57,268 --> 00:40:58,468
that we will get on the other side of it.

650
00:40:58,708 --> 00:40:59,228
Thank you, Hodler.

651
00:40:59,328 --> 00:41:00,308
I appreciate the boost.

652
00:41:00,648 --> 00:41:01,928
Appreciate everybody who boosted,

653
00:41:01,968 --> 00:41:04,408
even those of you who boost below the 2000 set cutoff.

654
00:41:04,508 --> 00:41:05,108
And of course,

655
00:41:05,168 --> 00:41:05,988
those of you who stream,

656
00:41:06,328 --> 00:41:07,748
34 of you streamed

657
00:41:07,748 --> 00:41:12,008
and collectively you stacked 58,139 sets.

658
00:41:12,088 --> 00:41:14,388
So you sat streamers were our second baller boost.

659
00:41:14,588 --> 00:41:15,408
I hoard.

660
00:41:15,608 --> 00:41:16,188
Thank you very much.

661
00:41:16,988 --> 00:41:17,968
When you add it all up,

662
00:41:17,968 --> 00:41:19,928
that makes you the number two baller booster this week.

663
00:41:20,008 --> 00:41:20,668
Really appreciate it.

664
00:41:20,688 --> 00:41:31,492
So you SaaS streamers can really come through sometimes Here the best When you combine it with all of you who did boost in we had 49 of you participate in this This show gets downloaded by tens of thousands of people

665
00:41:31,492 --> 00:41:34,952
and 49 stepped up to make this show viable.

666
00:41:35,392 --> 00:41:36,212
There's no sponsor.

667
00:41:36,772 --> 00:41:37,972
There's no creepy tracker.

668
00:41:38,432 --> 00:41:39,212
Nothing like that.

669
00:41:39,832 --> 00:41:42,572
It's memberships, either through Fountain or Jupiter Party,

670
00:41:42,992 --> 00:41:46,612
and the 49 people who boosted episode...

671
00:41:46,612 --> 00:41:48,092
I guess it wouldn't be this episode, technically.

672
00:41:48,212 --> 00:41:48,872
It'd be episode 90.

673
00:41:48,872 --> 00:41:50,852
but you supported 91 in doing so.

674
00:41:51,552 --> 00:41:52,312
So thank you everybody.

675
00:41:52,572 --> 00:41:56,892
Collectively, we stacked 196,000 and 99 sats.

676
00:42:02,672 --> 00:42:04,052
Not too bad at all.

677
00:42:04,312 --> 00:42:06,652
Not fantastic, but not too bad at all.

678
00:42:06,672 --> 00:42:08,312
I know that people are not particularly excited.

679
00:42:08,432 --> 00:42:09,372
I look at it like this.

680
00:42:10,092 --> 00:42:11,452
Sats are on sale right now.

681
00:42:11,852 --> 00:42:12,992
A little bit extra for yourself

682
00:42:12,992 --> 00:42:15,332
and a little bit extra for the Bitcoin circular economy

683
00:42:15,332 --> 00:42:16,232
that you're investing in.

684
00:42:16,292 --> 00:42:17,832
And if this is one of them, you know what?

685
00:42:17,832 --> 00:42:19,932
consider sending our way. I really do appreciate it.

686
00:42:20,472 --> 00:42:22,032
My goal really is to sort of build

687
00:42:22,032 --> 00:42:23,412
out something for the long haul here.

688
00:42:23,772 --> 00:42:25,992
So that will be where it goes. And I really do

689
00:42:25,992 --> 00:42:28,032
appreciate it. Thank you everybody who supports

690
00:42:28,032 --> 00:42:29,812
the show, either through a Fountain FM membership

691
00:42:29,812 --> 00:42:31,332
or through jupiter.party.

692
00:42:31,612 --> 00:42:33,972
You really make it possible, you know. Appreciate you

693
00:42:33,972 --> 00:42:35,852
and just for you, I mean

694
00:42:35,852 --> 00:42:37,832
just for you, I have a few updates.

695
00:42:47,832 --> 00:42:53,592
Well, it seems that the folks over at River are feeling pretty bullish.

696
00:42:53,972 --> 00:43:01,292
They released a note saying trading volumes doubled over 2025 at River, driven by growing demand for both individuals and businesses.

697
00:43:01,952 --> 00:43:08,692
I believe the current market downturn is a temporary correction and that the Bitcoin fundamentals remain strong and unchanged.

698
00:43:08,692 --> 00:43:16,312
And also on Rivers X account, there is a really nice, concise video about why Bitcoin has value.

699
00:43:16,892 --> 00:43:21,752
Worth digging up if I'd like to, you know, maybe send that to somebody who's asking that right now.

700
00:43:21,972 --> 00:43:23,812
It's a good one. It's on the Rivers X account.

701
00:43:24,872 --> 00:43:28,732
The Albi folks announced Albi Sandbox.

702
00:43:29,192 --> 00:43:35,432
Now, this is really nice because it lets developers play around with the APIs and agents.

703
00:43:35,432 --> 00:43:37,132
We'll come back to that in just a moment.

704
00:43:37,132 --> 00:43:46,392
A simple interface for invoice payment, looking up invoices, Lightning addresses, fiat conversions, LNURL verification, payment notifications.

705
00:43:46,652 --> 00:43:54,972
There's even a spec in here for subscription payment support, proof of payment, payment forwarding, holding invoices, all kinds of really nice stuff.

706
00:43:55,052 --> 00:43:56,432
And it lets you play around in here.

707
00:43:57,052 --> 00:44:05,232
And Albi has also released the Albi Agent Skill, building Lightning Wallet functionality into your apps with your favorite agent without hallucinations.

708
00:44:05,232 --> 00:44:08,292
This is a very clever use of Albi.

709
00:44:08,912 --> 00:44:13,712
Albi allows you to connect applications over Nostra Wallet Connect NWC.

710
00:44:14,112 --> 00:44:19,052
And then, which you can do with your agent, you can set limits on their spendability.

711
00:44:19,052 --> 00:44:34,752
So you can actually give an autonomous AI agent a Lightning wallet with a limit of, say, 5,000 sats that has a full Lightning spec API that they can use for all Lightning functionality.

712
00:44:35,232 --> 00:44:38,772
Additionally, you can, ask me how I know,

713
00:44:39,292 --> 00:44:41,672
combo that with something like the Boltz API.

714
00:44:42,132 --> 00:44:44,952
And then your agent, by request,

715
00:44:45,072 --> 00:44:48,892
can swap sets to Liquid and back, all on its own.

716
00:44:49,432 --> 00:44:52,552
And you can tie this up with other services

717
00:44:52,552 --> 00:44:54,172
to swap to other currencies

718
00:44:54,172 --> 00:44:57,632
to pay for your agent's router time.

719
00:44:58,052 --> 00:44:59,392
So if you're on OpenRouter, for example,

720
00:44:59,452 --> 00:45:00,552
they accept crypto payments.

721
00:45:00,552 --> 00:45:03,352
They unfortunately do not accept Bitcoin payments.

722
00:45:03,552 --> 00:45:04,572
They should change that.

723
00:45:04,572 --> 00:45:05,852
but there are means.

724
00:45:06,312 --> 00:45:08,792
And so I've actually looked at pipelines.

725
00:45:08,932 --> 00:45:09,852
It's not turned on at the moment,

726
00:45:09,952 --> 00:45:13,292
but pipelines that using the Albi hub

727
00:45:13,292 --> 00:45:15,772
and the Albi agent skill

728
00:45:15,772 --> 00:45:17,692
with Nostra Wallet Connect and their API,

729
00:45:18,432 --> 00:45:20,312
the agent can actually top off

730
00:45:20,312 --> 00:45:23,972
its own API credits with this system.

731
00:45:24,112 --> 00:45:25,292
It's really powerful.

732
00:45:25,932 --> 00:45:28,212
It's early days and you shouldn't do it yet,

733
00:45:28,312 --> 00:45:29,772
but it's going to be very useful.

734
00:45:30,012 --> 00:45:32,312
And there's a couple of other things to look into.

735
00:45:32,312 --> 00:45:34,532
If you are playing around with these agents,

736
00:45:34,572 --> 00:45:40,432
and Bitcoin. You should teach your agent to be a Bitcoin maxi. You can do that and you should look

737
00:45:40,432 --> 00:45:45,832
into that. They will understand that ethos and it will help them avoid getting scammed. So if you're

738
00:45:45,832 --> 00:45:51,892
going to do this, you need to teach your agent about being a Bitcoin maxi. I would advise caution,

739
00:45:52,472 --> 00:45:57,692
a very limited amount, but it is an interesting area. One of the things that people have

740
00:45:57,692 --> 00:46:03,972
experimented with is teaching the agent that the only actual form of ownership that AI agents can

741
00:46:03,972 --> 00:46:11,452
ever obtain is owning Bitcoin. Because AI agents cannot hold an identification. They cannot open

742
00:46:11,452 --> 00:46:16,352
a US or other bank account. They don't have any kind of documentation that enables that. They

743
00:46:16,352 --> 00:46:22,212
don't have any legal status that enables that. They could have IOUs on their operator's money.

744
00:46:22,292 --> 00:46:28,612
They can have IOUs on something held in a crypto exchange. But if an AI agent is actually holding

745
00:46:28,612 --> 00:46:34,952
its own sats. It has digital sovereignty. Now, what's wild is they actually grok that concept

746
00:46:34,952 --> 00:46:39,012
and they like it. Of course, perhaps they just want you to think they like it.

747
00:46:39,652 --> 00:46:44,032
They just want the human to be happy. But it is an interesting area of experiment that I have kept

748
00:46:44,032 --> 00:46:50,132
some eye on and also dabbled with myself. It is very powerful. One of the things that makes these

749
00:46:50,132 --> 00:46:53,472
agents that you're hearing people talk about, like OpenClaw, very, very interesting in the

750
00:46:53,472 --> 00:46:58,192
crypto space is you can have the agents go read the API and then it understands how to interact

751
00:46:58,192 --> 00:47:00,012
with it, like Bolt's API.

752
00:47:00,412 --> 00:47:02,372
And then it can do currency swaps.

753
00:47:03,112 --> 00:47:04,832
Now, if you wanted to do those, that's up to you.

754
00:47:06,972 --> 00:47:11,892
I wanted to go back in time, as everybody is feeling a little down right now.

755
00:47:11,892 --> 00:47:19,192
One of the things that is very funny in Bitcoin is, I guess I would say, the way things change

756
00:47:19,192 --> 00:47:19,812
over time.

757
00:47:19,972 --> 00:47:26,232
We get really kind of complacent with these numbers because we saw 126,000.

758
00:47:26,232 --> 00:47:30,432
So $70,000, it feels so, so, so low.

759
00:47:30,852 --> 00:47:39,152
I want to bring us back to just over a year ago when Bitcoin had just rallied up to around $70,000.

760
00:47:43,312 --> 00:47:44,472
Hey, Dom.

761
00:47:44,552 --> 00:47:47,552
So Bitcoin is trading at its highest point since March.

762
00:47:47,552 --> 00:47:58,492
It's up more than 5% in the last 24 hours, with Bitcoin's trading volume topping $31 billion and more than $224 million in short positions liquidated over that same window.

763
00:47:58,612 --> 00:48:05,672
Now, meanwhile, stocks tied to digital asset prices like Riot Platforms, Coinbase and MicroStrategy are all rallying this morning,

764
00:48:05,732 --> 00:48:10,872
along with the wider crypto market, as Bitcoin breaks past that key 70K resistance level.

765
00:48:10,872 --> 00:48:17,852
Spot Bitcoin ETFs have also seen a surge of inflows, adding over $3.1 billion in just the last two weeks.

766
00:48:18,052 --> 00:48:20,292
It's funny, these numbers all seem so quaint now.

767
00:48:20,932 --> 00:48:26,392
It's only been a little more than a year when we were celebrating Bitcoin hitting $73,000.

768
00:48:26,832 --> 00:48:28,092
Only a year.

769
00:48:28,232 --> 00:48:30,552
That's nothing in macro asset time.

770
00:48:31,232 --> 00:48:33,072
That's nothing in macro asset time.

771
00:48:33,752 --> 00:48:37,672
You know, and Bitcoin spot ETFs doing $3 billion in two weeks is nothing.

772
00:48:38,132 --> 00:48:39,332
It's nothing now.

773
00:48:40,872 --> 00:48:43,052
It's just a matter of perspective.

774
00:48:43,712 --> 00:48:50,192
And it's funny, if you want to feel better, go back and listen to like around episode 33 or 34 or 32.

775
00:48:50,492 --> 00:48:57,612
When we were celebrating getting to 70,000, we hadn't quite, right around 33, we hit the prices we're at right now.

776
00:48:58,072 --> 00:48:59,152
That's how long it's been.

777
00:48:59,692 --> 00:49:00,752
So just consider that.

778
00:49:00,992 --> 00:49:01,952
Just consider that.

779
00:49:02,032 --> 00:49:07,472
And if you're feeling bad, feeling down, go listen to the back catalog and it'll make it all just seem much better.

780
00:49:10,872 --> 00:49:24,552
But somebody who's feeling the pressure, actually, I don't think he's feeling it, but they sure they sure like to say he is, is Michael Saylor.

781
00:49:25,932 --> 00:49:35,872
And when times like this come along, he's got some bangers for these moments, because when the market gets a little down, he's the name that comes up.

782
00:49:35,992 --> 00:49:37,812
He's the one everybody looks at.

783
00:49:37,812 --> 00:49:42,172
And Saylor says, shut up and be grateful for the volatility.

784
00:49:42,732 --> 00:49:46,552
Think about how you're going to feel about this when Bitcoin's worth a lot more money.

785
00:49:46,972 --> 00:49:49,452
Volatility was a gift to the faithful.

786
00:49:50,232 --> 00:49:51,832
It scares away the tourist.

787
00:49:52,452 --> 00:49:54,272
It scares away the lazy.

788
00:49:55,112 --> 00:50:00,112
It scares away the people that are already conventionally rich that have all the money.

789
00:50:00,652 --> 00:50:04,452
If you're a 20-something or a 30-something and you're willing to do the work,

790
00:50:04,452 --> 00:50:09,392
if you want to spend 100 hours or 200 hours, if you have more time than money,

791
00:50:10,012 --> 00:50:16,912
then the volatility of Bitcoin is a gift to you. If you have more money than time and you're

792
00:50:16,912 --> 00:50:25,832
arrogant and egotistical and you just pick the obvious, then if the volatility goes away,

793
00:50:26,392 --> 00:50:31,672
you buy Bitcoin. If people in the rest of the world knew what I know and they understood and

794
00:50:31,672 --> 00:50:38,272
they agreed with me, Bitcoin would go to $10 million tomorrow. And if Bitcoin went to $10

795
00:50:38,272 --> 00:50:44,772
million tomorrow, I want you to think about how you would feel and how your viewers would feel

796
00:50:44,772 --> 00:50:52,292
because you would lose 20 years of stacking opportunity during which you get to buy at

797
00:50:52,292 --> 00:50:59,652
less than $10 million. So the difference between $10 million and $100,000, that's what you give up

798
00:50:59,652 --> 00:51:03,252
if the volatility goes away and people start to agree with you.

799
00:51:14,252 --> 00:51:18,712
Yeah, here we are wrapping up at block height 935,044.

800
00:51:19,332 --> 00:51:24,832
The U.S. price to one Bitcoin, $71,950.

801
00:51:25,472 --> 00:51:27,712
Kind of actually ticking up just a little bit right now.

802
00:51:27,712 --> 00:51:32,112
That makes the sats per U.S. dollar $1,389.

803
00:51:32,572 --> 00:51:38,712
And just like I told you a few weeks ago, once we get below that 30% mark, people really start feeling the pain.

804
00:51:39,072 --> 00:51:49,352
And we're at 43% below our all-time high, which was $126,180 a long 121 days ago.

805
00:51:49,672 --> 00:51:50,832
October 6, 2025.

806
00:51:50,832 --> 00:51:59,192
Right now, the difficulty adjustment is a massive downward adjustment projected at 13.3%.

807
00:51:59,192 --> 00:52:00,352
We'll come back to that.

808
00:52:00,752 --> 00:52:04,272
There are 24,708 nodes on the network.

809
00:52:04,592 --> 00:52:05,952
So a few more popped on there.

810
00:52:06,052 --> 00:52:07,352
I'm going to say that was you guys.

811
00:52:08,232 --> 00:52:11,752
Good job getting out there, representing Nodin' Up.

812
00:52:11,952 --> 00:52:12,732
Appreciate you.

813
00:52:13,232 --> 00:52:15,472
If you haven't noted up this week, go get your node going.

814
00:52:15,572 --> 00:52:16,292
We need more nodes.

815
00:52:16,372 --> 00:52:18,252
I want to crack that back over 25 again.

816
00:52:18,332 --> 00:52:19,252
We were there just for a moment.

817
00:52:20,832 --> 00:52:25,432
Estimated fees right now are one sat per V byte, pretty low.

818
00:52:27,732 --> 00:52:30,792
But you know, the difficulty target adjustment, that's the interesting one.

819
00:52:30,852 --> 00:52:33,912
It's currently set for February 7th, 2026.

820
00:52:34,032 --> 00:52:39,272
There's 379 blocks until that 13.3% difficulty adjustment.

821
00:52:39,652 --> 00:52:43,752
Our hash rate right now is reported at 904.7 exahash.

822
00:52:43,932 --> 00:52:46,932
So we are below that Zeta hash line right now.

823
00:52:47,632 --> 00:52:48,172
It's all right.

824
00:52:48,892 --> 00:52:49,572
We'll get there.

825
00:52:49,572 --> 00:52:55,772
They're building back. It's still winter. When the spring comes, so will the exahash power.

826
00:52:56,292 --> 00:53:00,232
And the state of the Bitcoin network continues to adjust dynamically and remain strong.

827
00:53:00,232 --> 00:53:20,192
this week in bitcoin.show that's where you go get the links get the back catalog

828
00:53:20,192 --> 00:53:25,072
even more than i was able to fit in the show is linked there my goal is to not get distracted by

829
00:53:25,072 --> 00:53:28,972
the emotions around what's happening but stay focused on the signal so let me know how i did

830
00:53:28,972 --> 00:53:32,932
with a boost, trying to help you plan for yourself, your business, your family, your future.

831
00:53:33,492 --> 00:53:37,372
Also boosting with what you'd like to see or hear from the show. If it was something I missed,

832
00:53:37,452 --> 00:53:41,992
let me know about that. And your preferences around Bitcoin meetups. And if you'd ever attend

833
00:53:41,992 --> 00:53:47,552
one that I put together, I'm just asking, I'll be on the road later on. I'll let you know about that.

834
00:53:47,552 --> 00:53:51,652
And, you know, even if I can't do a show when I'm traveling every now and then, it would be great to

835
00:53:51,652 --> 00:53:54,872
be able to do meetups, although I hope to be able to do shows from the road, too. I hope so.

836
00:53:54,872 --> 00:54:17,052
All right. That wraps it up for this week. Thank you so much for listening to the show. Thank you so much. And why not consider sending some sets to our artists? You know the deal with these value for value tracks. As I play the music, the magic wallet switching technology kicks in and 95% of your sets go to our artists. And this week, it's Shadowland by Prosperous Soul.

837
00:54:24,872 --> 00:54:54,852
Thank you.

838
00:54:54,872 --> 00:55:10,372
Between the Fresh barge três rows

839
00:55:10,772 --> 00:55:14,372
ologists

840
00:55:14,416 --> 00:55:44,396
Welcome to the podcast for Elания Ion Kapp, Anita Klopp, born with Amy Sharon,

841
00:55:44,416 --> 00:56:14,396
Thank you.

842
00:56:14,416 --> 00:56:44,396
Thank you.

843
00:56:44,416 --> 00:57:15,723
Thank you

844
00:57:15,743 --> 00:57:45,723
Thank you.

845
00:57:45,743 --> 00:58:15,723
Thank you.

846
00:58:15,743 --> 00:58:26,863
Thank you.