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Welcome in to This Week in Bitcoin, episode 111.

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My name is Chris, chrislas.com, jupiterbroadcasting.com.

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Well, it seems I have to be the bearer of bad news this week.

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Pack it up, everybody.

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Bitcoin's historic, meteoric rise over the last decade.

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Just a blip.

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Just an anomaly.

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The debasement trade was wrong all along.

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The gold bugs, they've had it wrong all along.

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The dollar is back and the dollar is king.

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Woo!

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Okay, what am I talking about?

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Well, I guess everyone watched a different FOMC meeting with Kevin Warsh when he first came out and said hello to the world.

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Because I saw a new Fed chair who wouldn't commit to anything and then kind of signed off with a nod that the Fed wouldn't be getting in the way of any growth.

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Everyone else, they saw a fiscal hawk, somebody who's going to be tough with rates.

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Someone who's going to hike them over the next year and someone who's going to save the value of the dollar.

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Now, I don't know about any of that, but what all that comes from is these big old fancy, intelligent, rich investors.

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They are looking at all of this and they've decided, well, the debasement trade is dead.

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It's the hard assets are no longer needed.

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And I'm not making this up.

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This probably sounds like I'm making it up.

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They're saying inflation is licked and they're the ones saying the king dollar is back.

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The economy is so strong.

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You don't need a hard asset.

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Yeah, well, the markets are telling us that inflation is going to come way, way down. I mean,

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not only are oil prices way down, Larry, but we also look at gold. I mean, gold has fallen sharply.

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If you look at cryptos, they've fallen sharply. This is the era of king dollar. And I'm really

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very serious. And the reason for all of this happening, I think, is we do have a good economy,

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but we have a really, really great Fed chairman who's going to be in that position for a long,

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long time and you're going to get stable prices. Just imagine, Larry, if you knew that the dollar

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was going to be worth the exact same amount it is today, two years, five years, 10 years, 20 years

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from now. That is laughable. I mean, even five years is ludicrous. 20 years? That's worth the

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exact same amount it is today. Two years, five years, 10 years, 20 years from now. What do you

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think would happen to the stock market, to interest rates, all of that. I think we're in a position now

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for a really very strong anti-inflation environment with strong growth and great capital markets.

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Have you heard Kevin Warsh on the dollar? Has he said much on the dollar?

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Not since he got into office, but in the past, he's been very strong on the idea that he thinks

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we should preserve dollar leadership in the world. And I think that's absolutely what he's going to

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do. I do think we're going to get price stability. I think actually what we're going to see is a lot

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of the inflation that we've had in the last two or three months get completely reversed and we're

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going to see deflation, we may actually see the CPI go negative for a month or two because gas

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prices are coming down so rapidly. All right. So there you have it. I mean, King dollar,

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inflation is licked. We're going to have negative CPI. Now, what are they basing this on? Well,

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Well, I mean, Kevin Warsh has been in the job for like, what, two weeks, three weeks.

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M2 money supply is actually at an all time high, i.e. all of the Western governments are printing money aggressively.

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The truth is the dollar has been getting stronger recently.

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So I think that's making them feel a little bullish.

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And Wall Street suspects it might stay that way for a while.

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They're betting the dollar is going to keep dominating for a while.

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And I guess I can understand why.

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I mean, if they're turning on CNBC and they see your buddy, Treasury Secretary Scott Besant, and he's up there saying the Trump administration, we're going to take that deal we made with the Saudis back in the 70s and we're going to take that whole thing on world tour.

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Dollar dominance is essential in everything President Trump is doing here.

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If you look, the new Venezuela is going to is invoicing in dollars.

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They're coming back on to the dollar system.

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They've been sanctioned.

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They were not allowed to translate or to transact in dollars.

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And now the dollar is going to be the centerpiece of their trade.

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They were selling discounted oil to China and not getting dollars.

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We're seeing in the Iranian negotiations, the Iranians will be invoicing in dollars.

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So everything we are doing is pushing the dollar back.

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It's never left as the centerpiece for the global currency system, but we're reinforcing it.

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I would anticipate when the Russia-Ukraine conflict ends that Russia will want to come back in the dollar system because, again, the dollar, it's our liquidity.

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It's our capital markets.

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It's the depth and breadth.

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Everyone wants to be here.

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And I think many times the great, great thing about the United States is we we course correct when we go too far one way or the other.

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And I think we should not be shy about flexing where we have advantages and where we have advantages, share with our allies and push back on those who are not aligned with us.

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Hoorah. Hoorah. Now, I guess I should give these guys some credit.

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I mean, they're rich. They sit at a position of privilege where they can kind of see where things are going. But, I mean, it really comes down to they're looking at what Besant is saying. They're looking at recent dollar dominance and they're overanalyzing dots on a plot. So here's your buddy, Stephen Moran. He's now out of the Fed. And he kind of explains where this is coming from, why the market has decided that the Fed's going to hike rates three times, why they have decided that inflation is licked.

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Iron Stephen, first of all, congratulations on the transition. So all the headlines that Worsed

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as a hawk and, you know, it's in, you know, all of the experts said he was hawkish. And

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I thought it was mostly, you know, maybe the economic projections, you know, the inflation

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adjustments, and maybe that was hawkish, but I didn't think he was hawkish. In fact, on the

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contrary, I thought he was setting himself up to maybe be more accommodative next year after they

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remake the Fed. Sure. So first of all, thank you for having me back. It's great to see you again.

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I think that Chairman Warsh went out of his way to say as little as possible. You know,

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I think he went out of his way to say, I'm not going to give you any guidance. I'm not going to

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tell you what I'm going to do. I'm not going to tell you what I'm thinking. I think at the end of

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the day, what's going to happen is he's going to do what he thinks the data and critically the

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forecast require for achieving the Fed's mandates. Now, I think maybe what happened is that in the

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absence of the chairman giving his own view or the committee's view about what's going to happen in

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the future, the market and a lot of the narratives ran with the dots. They ran with the projections

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the Fed put down. I think it's important to understand, in my view, those dots were already

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stale before the ink was dry in June. And the reason is that as someone who's written down

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projections, who's written on my own dots, you're not a day trader on geopolitical headlines.

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And those dots were stale in March when the war had just broken out because we didn't know,

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is the war going to be over in a week? Is it going to be over in two weeks? Is oil going to

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be back to, you know, $60 a barrel like that. We didn't know it was going to take, you know,

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several months to wrap this thing up. And so you don't want to respond to a geopolitical headline

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until you have an idea about what the length of time is. It's not like, you know, jobs.

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You can't put a dot with an asterisk next to it?

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You can't put a dot with, no, you can't. And so the dots in March were stale. And I think the dots

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in June were stale for the exact same reason, but in the other direction.

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And the market is over-indexing on those dots, which, I mean, that's not new.

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We'll get to that, but I want to first bring this back to Bitcoin before we explain why that's an issue.

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So why does this impact Bitcoin?

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And why does when the dollar go up, does Bitcoin always seem to suffer?

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Well the answer is it depends a bit But here Jeff Ross explaining how it does impact Bitcoin on a recent BTC Sessions podcast I think the tell for everything has been the price action of the dollar since Wors started speaking it right

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I think when he started, it was below 100, sitting at like 99.60 something.

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Now it's up to the Dixie is up to 101.63 as we record.

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That's a big move for the dollar.

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Like currencies rarely move like that, especially the dollar.

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So the markets are taking seriously what's going on.

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This is a typical risk-off day where all risk assets, they reach a correlation of one, as we like to say.

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This only happens in these kind of deflationary busts.

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Now, this is just a one-day sample.

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I'm not saying we're starting a massive deflationary bust, but this is what happens.

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People crowd into the dollar, and they sell everything.

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They sell their stocks.

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They sell their Bitcoin.

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They sell their gold.

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They sell their silver. They sell everything else. And so we're seeing a lot of that happen right now.

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So that's very interesting. So I agree with Joe. I'm very much looking forward to seeing how the world changes here.

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And it's always interesting. Every day there's some new interesting news piece.

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I also agree that, you know, we've gone from the saying that was popular after the GFC was don't fight the Fed.

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I think that's no longer the case. It's now don't fight the fiscal stimulus or don't fight the federal government.

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And that's just how it is. People are like, well, why isn't Bitcoin going up? Why are AI stocks going up and Bitcoin's going down, blah, blah, blah? It's because there's a limited amount of dollars, right? And those dollars are being shunted in very specific places. They're being shunted into AI and into energy and into rare earth type things, which means that there's a posity of capital for these other things like Bitcoin. And so Bitcoin's just kind of left on the sidelines right now.

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Now, Jeff said something there that I think we need to zoom in on.

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So I believe that everyone is running back an old playbook.

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They're being misled isn't really the right word.

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They just they haven't adapted to the new reality.

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They see that Kevin Warsh is kind of playing hard to get.

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They see the dots on the plot suggest there might be more rate hikes, not cuts, but hikes this year.

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so investors are doing what they have done for 56 years there's that market phrase he just said

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don't fight the fed that's been rolling for 56 years now it was coined in 1970 it was shorthand

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uh for just wisdom that was hard learned in the market you end up losing if you fight the fed and

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that has been true until recently thanks to a process that started in 2008 during the great

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financial crisis started, and we've all seen it, and it accelerated significantly during

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the COVID-19 pandemic.

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And it changed the dynamics of who's in charge of the market.

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I think Lynn's kind of famous.

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She's always said there's no stopping this train.

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Here's Lynn Alden.

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I think the market still doesn't fully appreciate because the market is so trained to think

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that the solution to inflation is always higher rates.

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That's kind of the main lesson from the 70s,

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or at least that's the biggest takeaway

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from the 70s, early 80s.

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But that was in an era

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where most of that money creation was from bank lending.

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And interest rates are a very powerful tool

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for curtailing and sometimes accelerating bank lending.

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But when you're in fiscal dominance,

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when fiscal deficits in a given year

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are bigger than net new bank loan creation,

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interest rates don't do quite as much for that.

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Because every time they raise interest rates,

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while they could put some downward pressure on bank lending,

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they actually blow out the fiscal deficit even more.

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And so they're in a very,

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it's a challenging position to be in if you're the Fed.

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Because as the chairman pointed out,

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their current level is already restrictive on housing.

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And yet we still have above target inflation.

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and it's because it's not really bank lending.

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Yeah, so I'm not so convinced

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inflation is solved in the long term.

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First, it's not obvious to me

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that we're done fighting Iran.

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So energy prices could shoot back up again.

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Second, we're so overcooked on debt.

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Over the next 12 months,

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about 8 trillion in treasuries has to roll over.

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The average coupon on that debt is around 3.3%.

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I looked this up this morning.

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The one-year treasury is sitting at 4%-ish.

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So it sounds like small numbers, right?

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Yeah, it's small numbers.

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But you have to apply it to $8 trillion.

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$8 trillion has to roll over.

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So rolling that stack at today's one-year rate adds roughly, you ready for this?

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$49 billion additional dollars in annual interest payments.

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If they don't even, not a hike, if they just keep the rates.

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we're going to pay an additional 50 bill on that eight trill that we have to roll over in a year.

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That's that's massive. And that's before the interest burden from all the ongoing

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two trillion annual deficit that we just seem to be stacking up routinely. That's just adding up

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every single year. So that's why I think this multiple rate hikes theory kind of breaks down

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because they just really can't. But, you know, they're stuck in this 56 year pattern. Like in

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the 80s, Volcker was famous for crushing inflation by going with double digit rates.

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But the debt to GDP ratio had been inflated down from roughly 100 percent to 30 percent.

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So they were dealing with a much different debt scenario back then.

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They could inflate away the debt. There's so much debt to inflate away now and just can't

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get to it fast enough. It's going to take them forever. And right now, the narrative around

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artificial intelligence is that it's going to be a productivity boom and that it's going to be

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deflationary as a result of that. However, they're also trying to come in with a new narrative that

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it's not going to take jobs. So it's hard to really measure where the productivity is exactly

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going to come from other than just perhaps increased efficiency of individuals in the

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corporate workplace. But right now it's a deflationary narrative around AI. But I could

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easily see that switching to an inflationary narrative around AI. I mean, we've been seeing

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the impact on memory prices and memories in everything that's built these days, especially

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a lot of the things that are coming onto market. So there's that. There's also it is raising base

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power costs for a lot of people. Here's Cleveland Fed's president talking about this very issue.

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When I'm out in the district talking to businesses, what I hear are inflation pressures,

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yes, coming from energy and coming from some of the supply chain disruptions with the closed

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straight-up-form moves, but I also hear about pressures coming more broadly from the AI data

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center build-up. I'm hearing about pressures from insurance. I'm hearing about electricity pressures.

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And so to me, what I see is a more broad-based picture of inflation pressure.

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That, to me, sounds like maybe something's brewing in the background that could cause

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inflationary pressures. So I believe a few things to be true. The market is buying the same old

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Fed stick that we've always seen my entire lifetime from them. I don't think inflation

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is licked because I think it's baked into the system with the level of debt that we have.

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I think you can have temporary ebbs and flows, but I think it's systematically just baked

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into the pie, as they say, or the cake, i.e. the debasement trade continues because the

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math says it will.

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Now, perhaps it's running at a discount right now and it doesn't look like a great trade

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at the moment, but the math says it is a good trade.

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Larry Lippard, he's seen some things.

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You know, he wrote that recent book about the big print, and he kind of brings all of

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this together for us their whole job is to inflate the economy but make everybody think they're not

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inflating the economy i mean it's like i say to be a good chairman you got to be a professional liar

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and so um so they want everybody's inflation expectations to be anchored but in turn they

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want to inflate because they know that inflation is what leads to growth and it's also what allows

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them to service the debt and so so what happened is he came in and he decided in the first meeting

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do a couple of interesting things one he changed the rules of the game he decided okay we're going

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to skip all this forward guidance i'm not going to tell you what i'm going to do um the the press

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release was amazing or press conference was amazing in terms of lack of content i mean he said i have no idea what i going to do and i not going to tell even if i did i not going to tell you i you I mean he refused to offer a dot plot for future Fed rates himself He let everyone else do it but he wouldn do it

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Then he said that he was going to form a five task force,

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and the two that I thought were most important were the one that was going to address the Fed communication policy going forward.

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But really the most important was he's going to form a task force on how they measure inflation.

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I thought, oh, that's interesting.

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so what he's going to now be able to do is say look i got all these people together and we've

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decided the inflation measures are overstated inflation is actually much lower than we think

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and therefore it's not just me i've got a task force that backs me up and we can cut inflation

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you know we can cut rates and so so i think that's where they're headed but but you know i'm getting

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ahead of myself here but but that said some things on the tape this morning that would support that

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he's at several instances said you know he thinks that we could have a lower interest rates and a

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strong dollar well why would even say something about lower interest rates if that's not where

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they're going uh he just said that this morning so um so i think what's going on is is they're

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kind of doing a rope-a-dope they're trying to you know beat the sound money trade up as much as

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possible which is why you know since since the press conference last week you know precious

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metals have gotten hit hard and bitcoin has gotten hit hard it's now below 60 000 as we speak it's

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I think in the 58, 59 area.

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And so my view is they could both go a bit lower

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until the market becomes aware of the fact that he's bluffing.

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And that he really, there's,

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I think the odds of the Fed raising the rates this year is zero.

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And the market thinks the odds of them raising rates this year is 100%.

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So one of us is right and one of us is wrong.

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Now, if they do raise rates,

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then it is possible that what I'm talking about,

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sound money and debasement insurance, won't be as valuable.

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but my view is i don't think they can raise rates i just don't think they can i think that

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with the interest rates where they are today we've got 1.3 trillion in government interest expense

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they've been protecting the long end of the bond market by selling bills in order to buy bonds so

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to hold the 10 year below five it's squirted up to four seven it's now back into the four four

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four five range um and so they're they're basically trying to rope a dope us and get us to believe

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that those of us who are in this debasement trade are wrong.

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And I think we're not wrong.

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We're wrong short term, obviously, because our stuff's not working.

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But in the longer scheme, we're not wrong at all because this goes back to what I talked

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about in my book, and I've talked about many other times, what I call Stein's Law, that

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something can't go on forever, it will have to end.

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And the thing which cannot go on forever is that debt cannot grow faster than GDP.

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And Basant has thought, well, we're going to have real great growth.

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and it's going to be non-inflationary, but that's going to be extremely hard to do.

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Productivity will help. Don't get me wrong. AI is a good thing, and it will add productivity to

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the economy. But we're so far gone on this whole debt curve that I don't see how we can possibly

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have a productivity boom that gets us out of this trap that we're in. I think that we're in the trap,

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and ultimately, they're going to have to grow the money supply to support the debt.

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All right. Well, besides the greatly exaggerated death of the debasement trade, the other thing that's putting a lot of pressure on Bitcoin is the situation with Michael Saylor and strategy.

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And boy, are the knives out. This has been going on for a few weeks, and I haven't really felt the need to cover it in the show until it's kind of become newsworthy.

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It's become newsworthy now because not only are the plebs that bought the stock instead of buying the spot, they're absolutely pissed off.

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I mean, you should see sailors replies on social media.

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But some of sailors biggest haters in the industry are also coming out kind of pouncing right now.

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And Peter Schiff is a great example of one of these.

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He says it's a matter of time before strategy blows up.

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It's officially now in the death spiral, and it's only going to get worse because Bitcoin

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is going to blow up.

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This was the week where the death spiral kicked into a much higher gear.

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The more Bitcoin goes down, the more stretch goes down, the more strategy goes down, the

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more losses investors have, which means the more investors who file lawsuits and the lawsuits

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are for more and more money.

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you're going to have tens of billions of dollars that strategy is going to owe investors in these

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class action lawsuits. I mean, you get crickets now at CNBC. I think they got some liability.

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I think they're going to get sued. I think the financial journalists that enabled this,

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that should have known better, they legitimized this scam. They're probably going to get sued too.

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I'm not sure why Schiff doesn't have some responsibility for pumping gold right into

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a slide and then continuing to pump into that slide. But whatever. I guess it's a bit different.

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But, you know, I do think there's something here that strategy has to respond to. So we're seeing

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them do that this week. And here's the news. The whole will they won't they collapse has really

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been the main topic on Bitcoin social media and kind of in the Bloomberg and CNBC circles,

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despite what Schiff says. And I think quietly. Some large buyers are actually waiting to see

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what happens here. You know, they don't really know the mechanics, but they've heard the rumors

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that perhaps strategy is about to blow up or they've heard Schiff say that it's a death spiral

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and they have the patience. So while stretch has been under par for weeks and the Bitcoin

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holdings for strategy are underwater by tens of billions of dollars, you know, a standard bear

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market, it seems that strategy has decided to make it official that they will have a program to sell

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1.2 billion or depending on how you read it, $2 billion worth of Bitcoin.

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So Monique, there's really a lot to digest here, but maybe we can start with strategy.

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What is the biggest shift in their, well, strategy?

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Yes, so strategy, they are doing quite a pivot.

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The company had always been focused since it changed to becoming a Bitcoin treasury company in 2020 to buying Bitcoin and holding it.

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That was their main goal.

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But now we're seeing that they're saying that they're going to look more into selling Bitcoin.

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We saw earlier this month they made their first Bitcoin sales in years and now they're expected to do more.

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They're saying they could sell up to over a billion dollars of Bitcoin to fund their reserves.

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They're also going to be looking at buying back some of their preferred shares as well as some of their common shares.

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And this is largely due to the fact of those pressures that we have seen on their share price recently, as well as the pressures in the broader crypto space that have been weighing on Bitcoin.

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Strategy is a leveraged play on the cryptocurrency.

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So when Bitcoin performs well, strategy outperforms.

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When Bitcoin declines, strategy underperforms.

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You don't say.

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You know, this is interesting, and it would be downward pressure on price, blah, blah, blah, short term.

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I think it's notable, just mentioning maybe here, that nobody's really observed that there's an upside to sailor selling.

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I mean, just 10 minutes ago, everybody was freaking out about he had too much supply.

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OK, well, here we go. We're seeing a free market dynamic play out. A whale is going to sell some coins. Those coins are going to get distributed to the rest of the market. Is that is that not a good thing for Bitcoin long term? Doesn't that address some of the concerns? If he has to peel off one percent eventually, I mean, even he's not going to, but I think that actually be a good thing.

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um in the one area where there's some question especially you know by people that don't really

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follow too closely is there's a belief that if sailors backing off on bitcoin purchases and even

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going into some sales well that's going to hurt because during the bear market micro strategy has

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been a large buyer somebody been stepping in and buying a lot of bitcoin when there's not been a

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lot of other buyers. The plebs are sitting it out, you know, and Saylor's been buying more than

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it's been getting mined so far. I mean, I suspect strategy is going to be just fine.

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And I don't think them not buying for a bit is going to to really tank the price necessarily,

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because I don't suspect we're going to see a massive collapse. If if what Saylor says is true.

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Take a listen to Saylor This is from a couple of days ago He says they have like 30 years to figure this out Like if Bitcoin stalls for like a serious period of time and you are required to pay out the dividends on a monthly basis or now by monthly basis

316
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by weekly basis actually what is the risk for for you with strc and like at some point the

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00:26:13,538 --> 00:26:17,878
bitcoin is not providing the yield that you're looking for if it stays sideways for a long

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period of time and what is the purpose for like an average microsoft let me break that down yeah

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go ahead if bitcoin stalls for the next 40 years like for for the rest of your life then somewhere

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30 35 years from now yeah we'll run out of money so we have about 30 30 to 40 years of dividend

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coverage. So if Bitcoin stalls, which means goes up 0% a year for 40 years, then sometime in 35

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years or something, by the way, if we do nothing, if we do nothing for 35 years and a Bitcoin stalls,

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then in 35 years, we wouldn't be able to pay the dividend. We wouldn't do nothing, right? We would

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refinance or adjust. And so practically speaking, probably we have 40 to 50 years of Bitcoin stalls.

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We have on our web, by the way, we publish that number, the years of dividends, right?

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And the cash and the Bitcoin coverage.

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We also calculate Bitcoin break-even AR.

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If Bitcoin appreciates about 3% a year, and this number is updated every 15 seconds on

329
00:27:30,338 --> 00:27:37,458
the website, if it appreciates 3% a year, we can pay the dividends forever without selling

330
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a single share of common stock.

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So the machine finances itself forever, indefinitely at 3%.

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It finances itself for the rest of your life, or about 35 or 40 years, at 0%.

333
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If Bitcoin appreciates at our stochastic cost of capital, like our probabilistic cost of capital over the next 20 or 30 years, call that somewhere between 8% and 10%, then the equity outperforms Bitcoin.

334
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So the equity is actually a screaming home run.

335
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If Bitcoin is 10, our equity will probably be 15 or something.

336
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And if Bitcoin goes to 15%, our equity would be 20, 25 because we're amplified.

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He seems pretty confident to me.

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I don't know if it's true or not.

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So the question is, does the price maintain without sailor buying for a while?

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My gut says it could.

341
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My gut says it could.

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The ETFs, however, the ETFs are another story that Bitcoiners just don't really talk about much.

343
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So, James, Bitcoin ETFs are seeing record outflows.

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Strategy is pulling back.

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What do you make of that combo and how dangerous is that?

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Yeah, I mean, these are the two things that were the buyers over the preceding months from April through October, at least the biggest known buyers.

347
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But you've got to also realize when they were buying, if you look at the on-chain data, we saw a lot of what people refer to whales, the real big holders, private holders of Bitcoin.

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you can see that a wallet's on chain and they were selling. So obviously, it's something to

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pay attention to. This month is pretty bad. We're actually at $4.3 billion with the outflows that

350
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we saw yesterday that weren't included in that report yet. So it's not looking good. But again,

351
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you got to take a step back and look at what this is, right? At the peak through October,

352
00:29:21,318 --> 00:29:26,838
these things have taken about $63 billion. They took in $30 billion from last April through

353
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October. So they took in a ton of money. Yes, they're seeing outflows, but it's not like

354
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everything is running for the exits. It doesn't look good right now, but time will tell.

355
00:29:34,118 --> 00:29:49,078
Yeah. So I looked at the latest data here and latest data shows cumulative net inflows into U.S. spot Bitcoin ETFs still exceed 52 billion since the 2024 launch with a AUM around 82 billion.

356
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So that's their total, even after this year's outflows and June rebalancing pressures, which was a thing that we just went through.

357
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But, you know, it kind of makes sense to me because the ETFs are the one of the easiest cells in the Bitcoin space.

358
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If you're already in a brokerage account or whatnot, it's pretty easy to sell an ETF and buy some SpaceX stock or something like that.

359
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So I'm not surprised to see a fair amount of outflows there.

360
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I think the ETFs will always be prone to that in bear markets because it's easy to swap in.

361
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And then when Bitcoin starts ripping again, you're going to see people just swap into the ETF.

362
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They're trading.

363
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They're doing the degen thing.

364
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So watching to see what happens to Sailor and to see if there's a related Bitcoin sale, you know, the smart money will use this time to wait.

365
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to let these things play out.

366
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They're in no rush.

367
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And they can get the plumbing set up in the meantime

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while these things sort of work themselves out

369
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either through some sort of blow up

370
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or through just time capitulation.

371
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And I'm not just making this up.

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This seems to be the implication

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from Coinbase's John D'Agostino.

374
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He's in charge of keeping the nation-sized customers happy.

375
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And he says they're still seeing strong demand.

376
00:31:00,358 --> 00:31:06,258
We've seen over 40 countries commit to buying Bitcoin in some fashion for their national balance sheets or other.

377
00:31:06,678 --> 00:31:11,778
So I'm seeing every day a deluge of new institutional investors that are interested in the asset class.

378
00:31:11,878 --> 00:31:15,038
So I appreciate for folks who don't have that perspective.

379
00:31:15,038 --> 00:31:17,938
They're looking for some grand gesture or grand event.

380
00:31:18,518 --> 00:31:25,878
But for those of us who have the luxury of being on the inside, all we're seeing is steady growth, even if the headlines don't match that.

381
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all right so here's my question for the week um can you follow what sailor's saying

382
00:31:33,238 --> 00:31:39,258
i i mean i'll be honest sometimes he tends to lose me but i would wager that he built whatever he has

383
00:31:39,258 --> 00:31:45,358
with the idea that a bear market could be a thing or three right so what do you think do you think

384
00:31:45,358 --> 00:31:51,398
sailor is going to blow up um it could the per could the person that has been helping bitcoin

385
00:31:51,398 --> 00:31:53,778
grow to new heights become the disease?

386
00:31:54,298 --> 00:31:55,498
It could be possible.

387
00:31:56,098 --> 00:31:57,078
I mean, when I hear him talk,

388
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I sometimes think it just sounds like

389
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a bunch of gibberish.

390
00:32:02,418 --> 00:32:03,998
And it's some of the same gibberish

391
00:32:03,998 --> 00:32:04,918
that sounded like he was saying

392
00:32:04,918 --> 00:32:05,898
during the dot-com boom.

393
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So there is that nervousness to it.

394
00:32:07,838 --> 00:32:08,898
At the same time,

395
00:32:09,418 --> 00:32:11,818
when things were going good,

396
00:32:11,858 --> 00:32:13,418
there seemed to be a clear market fit

397
00:32:13,418 --> 00:32:14,718
for the product he was creating.

398
00:32:15,778 --> 00:32:16,978
So let me know what you think.

399
00:32:17,078 --> 00:32:18,598
Send a boost on the sailor stuff

400
00:32:18,598 --> 00:32:19,658
and all of that.

401
00:32:19,658 --> 00:32:21,698
And we'll talk about it next week.

402
00:32:40,598 --> 00:32:42,938
Well, there's still a lot coming up on the show.

403
00:32:43,058 --> 00:32:46,338
Lots of updates, final clips and all of that.

404
00:32:46,418 --> 00:32:49,258
So I just want to mention you can support the show by doing what you do.

405
00:32:49,258 --> 00:32:52,958
If you want to start stacking sats with River, use my link in the show notes.

406
00:32:53,438 --> 00:32:55,558
One of the best ways to stack sats in the U.S.

407
00:32:55,738 --> 00:32:56,738
Help us both out there.

408
00:32:57,158 --> 00:32:59,738
Now, if you're all about self-custody, check out the Bitcoin well,

409
00:32:59,858 --> 00:33:01,998
an amazing automatic self-custody platform.

410
00:33:02,458 --> 00:33:03,558
They don't even have a wallet for you.

411
00:33:03,658 --> 00:33:05,518
You host it all with your own self-custody setup.

412
00:33:06,038 --> 00:33:09,898
If you want to spend some of your sats and go from Lightning to gift card in just moments,

413
00:33:10,378 --> 00:33:11,518
go with the Bitcoin company.

414
00:33:11,798 --> 00:33:14,678
That's the only thing they do is Bitcoin, and you can log in with the Lightning Network.

415
00:33:15,118 --> 00:33:17,518
If you want to passively stack sats while you're paying your bills

416
00:33:17,518 --> 00:33:18,678
and doing your everyday purchases,

417
00:33:19,138 --> 00:33:20,658
that's where the Fold Card comes in.

418
00:33:21,158 --> 00:33:22,638
A lot of happy customers in the community,

419
00:33:22,778 --> 00:33:23,518
including myself.

420
00:33:24,318 --> 00:33:25,538
The Fold Card is pretty neat.

421
00:33:25,638 --> 00:33:26,538
Link to that in the show notes.

422
00:33:26,698 --> 00:33:27,698
Last but not least,

423
00:33:27,798 --> 00:33:29,418
if you want to get access to some liquidity

424
00:33:29,418 --> 00:33:31,478
without having to sell your Bitcoin,

425
00:33:31,858 --> 00:33:32,798
you should check out Salt Lending.

426
00:33:33,818 --> 00:33:35,418
Great, great rates.

427
00:33:35,798 --> 00:33:37,178
They help you with liquidations,

428
00:33:37,338 --> 00:33:38,878
prevent that, all that kind of stuff.

429
00:33:39,218 --> 00:33:39,938
I think it's pretty good.

430
00:33:39,978 --> 00:33:41,218
And they don't get enough attention these days.

431
00:33:41,298 --> 00:33:42,138
They've been around for a while.

432
00:33:42,998 --> 00:33:44,498
They've survived multiple bear markets.

433
00:33:44,578 --> 00:33:45,618
So that's Salt Lending.

434
00:33:45,618 --> 00:33:50,118
All of those links are in the show notes, and you can just support the show by doing what you do.

435
00:33:58,638 --> 00:33:59,438
Boost and great.

436
00:33:59,798 --> 00:34:01,398
Well, it is time for some boost.

437
00:34:01,498 --> 00:34:02,878
You can support the show with the boost.

438
00:34:03,378 --> 00:34:08,858
And producer Jeff comes in with a row of McDuck's 22,222 Satoshis.

439
00:34:08,918 --> 00:34:10,598
This old duck still got it.

440
00:34:10,998 --> 00:34:14,318
When the price was at its peak, we were all wishing for a sale.

441
00:34:14,318 --> 00:34:16,978
I, for one, am taking advantage of the extended SAT sale.

442
00:34:16,978 --> 00:34:21,218
There is a summer of SAT sale or a SAT sale summer for the past tense, I suppose.

443
00:34:22,658 --> 00:34:26,518
Also, why are all the BIP 110 folk trying to rehash the block size war?

444
00:34:26,658 --> 00:34:27,838
Network is strong. Keep stacking.

445
00:34:28,938 --> 00:34:33,658
You know, we're going to get into BIP 110 more here in the booth, so maybe I should save it, PJ.

446
00:34:33,704 --> 00:34:36,784
but I would like to know

447
00:34:36,784 --> 00:34:37,624
why we're not just letting

448
00:34:37,624 --> 00:34:38,624
the economics play out.

449
00:34:39,284 --> 00:34:40,284
Why aren't we just trusting

450
00:34:40,284 --> 00:34:41,704
the economic incentive system

451
00:34:41,704 --> 00:34:42,704
that Satoshi created?

452
00:34:43,384 --> 00:34:44,504
That would be a question I'd have.

453
00:34:44,844 --> 00:34:45,364
Thank you, PJ.

454
00:34:46,144 --> 00:34:49,164
OB's here with 21,000 sats.

455
00:34:51,304 --> 00:34:53,224
The Simply Sessions guys are great.

456
00:34:53,584 --> 00:34:54,464
It was the Doombard clip

457
00:34:54,464 --> 00:34:55,204
I was referring to,

458
00:34:55,264 --> 00:34:55,804
the green chicken.

459
00:34:56,004 --> 00:34:56,964
That guy's very smart.

460
00:34:57,784 --> 00:34:58,924
Good sub-stack subscription.

461
00:34:59,144 --> 00:34:59,604
Oh, is it?

462
00:34:59,844 --> 00:35:01,064
OB, I've been wondering about that.

463
00:35:01,964 --> 00:35:02,424
Good to know.

464
00:35:02,424 --> 00:35:03,804
Thank you very much.

465
00:35:04,244 --> 00:35:05,324
Appreciate hearing from you.

466
00:35:07,064 --> 00:35:08,524
Sats over bits.

467
00:35:08,664 --> 00:35:09,164
I like it.

468
00:35:09,204 --> 00:35:11,064
He's here with 8,000 satoshis.

469
00:35:14,464 --> 00:35:16,864
Well, I couldn't agree more with your take on Bip 110.

470
00:35:17,024 --> 00:35:21,424
The number one thing that would make me question my Bitcoin thesis is if a minority group could

471
00:35:21,424 --> 00:35:22,724
force its will on the majority.

472
00:35:23,384 --> 00:35:24,384
Core messed up big time.

473
00:35:24,824 --> 00:35:28,984
But I'll take JPEGs on chain over setting the precedent that a small, angry minority can

474
00:35:28,984 --> 00:35:31,344
push through a massive consensus change.

475
00:35:31,344 --> 00:35:37,484
yeah that's where i'm at man that's where i'm at i'm like let's just i'll take the jpegs maybe we

476
00:35:37,484 --> 00:35:41,964
can circle back on that issue you know but let's not just have a small group completely change

477
00:35:41,964 --> 00:35:47,824
consensus nailed it thank you sir i appreciate the boost gene bean's here with erodics sending

478
00:35:47,824 --> 00:35:52,264
that value to our artists as he loves the song thank you very much gene bean appreciate you

479
00:35:52,264 --> 00:35:59,884
nice to hear from you too oppie 1984 is here with 4 000 satoshers i don't understand what the heck

480
00:35:59,884 --> 00:36:00,944
is going on here.

481
00:36:01,244 --> 00:36:03,004
I installed Notts on my Start9

482
00:36:03,004 --> 00:36:04,224
when core issues started

483
00:36:04,224 --> 00:36:05,644
as a bit of a protest.

484
00:36:06,004 --> 00:36:06,964
I uninstalled Notts

485
00:36:06,964 --> 00:36:08,384
due to the BIP-110 proposal

486
00:36:08,384 --> 00:36:09,044
once I understood

487
00:36:09,044 --> 00:36:10,044
the issues around it.

488
00:36:10,304 --> 00:36:11,384
Not crazy about the Start9

489
00:36:11,384 --> 00:36:12,404
dev stance on Notts,

490
00:36:12,624 --> 00:36:13,264
but I'll wait and see.

491
00:36:13,484 --> 00:36:13,784
By the way,

492
00:36:13,864 --> 00:36:14,504
thanks for the web boost.

493
00:36:14,724 --> 00:36:15,464
This is really handy.

494
00:36:15,724 --> 00:36:16,664
Oh, I'm glad you like it, Oppie.

495
00:36:17,184 --> 00:36:17,964
Nice to hear from you.

496
00:36:18,404 --> 00:36:19,184
Thanks for boosting in.

497
00:36:19,884 --> 00:36:20,864
Let's hear it, good buddy.

498
00:36:21,064 --> 00:36:21,964
Well, Mike Newman's here

499
00:36:21,964 --> 00:36:23,944
with 7,777 sats.

500
00:36:23,944 --> 00:36:38,644
if bip 110 succeeds does it change my fundamental trust in bitcoin sadly yes if core uh if core

501
00:36:38,644 --> 00:36:44,304
weathers a bit hopefully we'll have learns it'll learn something and others won't go down that path

502
00:36:44,304 --> 00:36:49,344
again so what does that mean mike if it's going to change your thesis and trust in bitcoin what

503
00:36:49,344 --> 00:36:54,744
does that mean? Do you stop stacking? Do you just kind of tune out from Bitcoin and see where it goes?

504
00:36:55,564 --> 00:37:01,644
Or do we try to get active? Like, where does that, that's what I've been wondering, Mike.

505
00:37:01,984 --> 00:37:06,684
I'd like to hear your thoughts on that. Philip is back with 9,000 Satoshers.

506
00:37:08,184 --> 00:37:12,484
Hi, Chris. Thanks for the show and your reliability. A five-year bear market for me

507
00:37:12,484 --> 00:37:16,884
would mean a change in my time preference. My basic strategy doesn't change, only how long it

508
00:37:16,884 --> 00:37:24,044
takes to enact with gender uh and which generate which generation benefits more uh if it is a

509
00:37:24,044 --> 00:37:28,664
fascinating question in general though i how long to hodl and when to spend just how long do you want

510
00:37:28,664 --> 00:37:33,124
to defer your general your gratification at the end of the day seems to be a balance between your

511
00:37:33,124 --> 00:37:38,604
own personal financial situation and survival i think and then it got cut off i agree that's what

512
00:37:38,604 --> 00:37:45,704
makes it so personal like sometimes it's worth selling even in a in a bad market um but you know

513
00:37:45,704 --> 00:37:52,764
for me, the number that's always been in my head is eight to 10 years. And I think that should work

514
00:37:52,764 --> 00:37:56,384
out okay. But we'll see. Philip, it's always really good. Always really good to hear from you.

515
00:37:56,784 --> 00:38:01,984
Thanks for boosting it. Shugsy's here with a Spaceballs boost. That's one, two, three,

516
00:38:02,084 --> 00:38:07,864
four, five Satoshis. So the combination is one, two, three, four, five. All right. The name rhymes

517
00:38:07,864 --> 00:38:11,304
with Bugsy. I love your insights. Your state of the network toward the end of each episode has

518
00:38:11,304 --> 00:38:17,044
always been strong so far but from your perspective uh would a neutral just okay or even a poor

519
00:38:17,044 --> 00:38:21,744
decline bad state of the network actually look like it's that's my little joke at the end because

520
00:38:21,744 --> 00:38:27,424
it's always strong you know you got me you got me it's just a little joke between me and you what

521
00:38:27,424 --> 00:38:35,824
would it take um a sustained probably fundamental collapse in hash rate and or a massive drop in

522
00:38:35,824 --> 00:38:37,504
nodes, I think, would be a concern.

523
00:38:38,984 --> 00:38:40,064
But even a temporary

524
00:38:40,064 --> 00:38:41,864
drop in hash rate, to me, would just seem like a

525
00:38:41,864 --> 00:38:43,984
redistribution of hash rate. It wouldn't actually be that

526
00:38:43,984 --> 00:38:44,944
bad long-term.

527
00:38:45,964 --> 00:38:47,984
But short-term. Yeah, I

528
00:38:47,984 --> 00:38:49,664
suppose. Maybe. Thanks, Shugsy.

529
00:38:49,764 --> 00:38:50,544
Appreciate the boost.

530
00:38:51,584 --> 00:38:52,504
That's a good question.

531
00:38:53,764 --> 00:38:55,584
Debitcoiners is here, .eu, with

532
00:38:55,584 --> 00:38:57,564
7,500 sats.

533
00:38:58,104 --> 00:38:59,904
The heck? With just the thumbs.

534
00:38:59,904 --> 00:39:01,324
I like it. Thank you, sir. Appreciate

535
00:39:01,324 --> 00:39:02,464
the value.

536
00:39:04,024 --> 00:39:05,464
Yep. Yep.

537
00:39:05,824 --> 00:39:06,484
Mm-hmm.

538
00:39:06,544 --> 00:39:09,184
Our next boost comes from Paranoid Coder.

539
00:39:09,644 --> 00:39:11,464
Those in a nickel will get you a cup of coffee.

540
00:39:11,944 --> 00:39:12,904
2,000 sets.

541
00:39:13,224 --> 00:39:15,764
I invest an equal amount into equities as I do into Bitcoin,

542
00:39:15,884 --> 00:39:17,344
and I don't see that ever changing.

543
00:39:17,664 --> 00:39:20,024
I could probably have a lot more money if I was all in on Bitcoin,

544
00:39:20,584 --> 00:39:22,764
but it makes weathering the bear markets a breeze

545
00:39:22,764 --> 00:39:24,924
and never had me second-guessing my life savings.

546
00:39:25,324 --> 00:39:26,224
Yeah, I suppose Paranoid Coder,

547
00:39:26,324 --> 00:39:28,344
especially if you can be in something that's going up,

548
00:39:28,524 --> 00:39:30,184
like an AI stock or an energy stock,

549
00:39:30,724 --> 00:39:32,964
at least you feel a little bit better that that's going up

550
00:39:32,964 --> 00:39:35,044
while the Bitcoin's going down and vice versa.

551
00:39:35,044 --> 00:39:42,444
However, the maxi in me thinks, plan for the long term and just put as much into Bitcoin as you can.

552
00:39:42,884 --> 00:39:44,884
So, two different paths there, Paranoid.

553
00:39:45,224 --> 00:39:46,044
But I like it.

554
00:39:46,184 --> 00:39:47,564
And, you know, different strokes.

555
00:39:47,904 --> 00:39:48,424
Thanks for the value.

556
00:39:49,544 --> 00:39:51,264
Love down baby long.

557
00:39:51,484 --> 00:39:52,564
I think I got that right.

558
00:39:52,684 --> 00:39:54,644
Comes in with 2,000 sats.

559
00:39:55,804 --> 00:39:58,304
You know what the most valuable asset you have or ever have?

560
00:39:58,684 --> 00:39:59,124
Your time.

561
00:39:59,564 --> 00:40:01,904
It's the hardest money that was ever made or will be.

562
00:40:02,264 --> 00:40:03,864
You're guaranteed to have a finite amount.

563
00:40:03,864 --> 00:40:06,844
Tomorrow is not guaranteed, and you have no way to know your balance.

564
00:40:06,964 --> 00:40:08,044
Attention is how we spend it.

565
00:40:08,144 --> 00:40:11,604
I find you, Chris and Twib, and the Bitcoin Dad, and so many other Jupiter shows over the

566
00:40:11,604 --> 00:40:13,364
year have brought me so much value for my time.

567
00:40:13,844 --> 00:40:16,084
I have drastically reduced consumption across the board.

568
00:40:16,505 --> 00:40:18,524
Twib is one of my very few shows I listen to.

569
00:40:19,584 --> 00:40:22,384
Wow, love, thank you very much, and I'm glad I could bring you some value.

570
00:40:23,024 --> 00:40:23,904
We're all in on that.

571
00:40:24,044 --> 00:40:24,524
Oh, I'm in.

572
00:40:24,624 --> 00:40:25,944
Yeah, appreciate that.

573
00:40:26,304 --> 00:40:29,384
Ed Broughton's back with AroaDux, 2,200 Satoshis.

574
00:40:30,704 --> 00:40:31,664
Thanks for the BIP coverage.

575
00:40:31,664 --> 00:40:35,184
I migrated my node back to core after learning about knots through the podcast.

576
00:40:35,564 --> 00:40:36,444
And the web boost is cool.

577
00:40:36,744 --> 00:40:37,464
Keep up the good work.

578
00:40:37,864 --> 00:40:38,444
Thank you.

579
00:40:39,164 --> 00:40:40,164
Appreciate it very much, Ed.

580
00:40:41,104 --> 00:40:42,644
Ace Alkerman's here with AroaDux.

581
00:40:43,864 --> 00:40:45,164
BTC bummer boost.

582
00:40:45,324 --> 00:40:48,364
This is my third bear market and maybe the worst one yet.

583
00:40:48,884 --> 00:40:51,824
Sentiment is extremely low with no clear reason for hope in sight.

584
00:40:52,104 --> 00:40:53,384
We need some good news fast.

585
00:40:53,764 --> 00:40:54,564
You never know, Ace.

586
00:40:55,024 --> 00:40:56,604
That's one of the fun things about Bitcoin.

587
00:40:57,704 --> 00:41:01,164
Suppose if the four-year cycle is true, we could be bottoming out soon.

588
00:41:01,664 --> 00:41:03,664
if the four-year cycle is true.

589
00:41:03,784 --> 00:41:04,724
So there's a little hope for you.

590
00:41:05,084 --> 00:41:09,224
Hey, Kiwi Bitcoin guides here with 4,567 sats.

591
00:41:09,324 --> 00:41:11,344
Yeah, I got answers and I want some questions.

592
00:41:11,824 --> 00:41:13,804
How do you handle the updates on your nodes?

593
00:41:13,904 --> 00:41:15,944
I often have updates to run on Ubuntu

594
00:41:15,944 --> 00:41:18,604
and many of my other services on my Bitcoin and L&D nodes.

595
00:41:18,964 --> 00:41:20,784
I know you're running agents for a lot of things.

596
00:41:20,904 --> 00:41:22,824
You gave them access to your nodes for full updates.

597
00:41:22,944 --> 00:41:25,224
Sounds risky, especially on an L&D node.

598
00:41:25,284 --> 00:41:27,304
So I wanted to hear how you approach managing your updates.

599
00:41:27,864 --> 00:41:29,184
Kiwi, this is going to be a disappointing answer.

600
00:41:29,184 --> 00:41:38,204
uh the reality is is that uh i do let my agents do updates often um even on my lnd node and they

601
00:41:38,204 --> 00:41:45,964
are particularly good at it but i am using nix os which is not like ubuntu in such that

602
00:41:45,964 --> 00:41:52,564
if the agent makes a mistake with the update or a mistake with the configuration or there's a

603
00:41:52,564 --> 00:41:59,464
dependency issue or something like that, Nix will not build. So the Nix OS system acts as like a

604
00:41:59,464 --> 00:42:04,244
safety check against the agent's work. And Nix fails to build sort of like, you know, a compiler

605
00:42:04,244 --> 00:42:09,604
fails to compile when there's a mistake in the code. And so then the agent gets a clear response,

606
00:42:09,604 --> 00:42:14,804
well, clear to it, on what the issue is, and then can resolve the config issue, resolve the

607
00:42:14,804 --> 00:42:19,744
dependency issue, resolve whatever it might be, and attempt another build. And then when that build

608
00:42:19,744 --> 00:42:25,224
is successful, I do what's called a boot switch. So then I create a new boot image and I continue

609
00:42:25,224 --> 00:42:29,684
to run the old image until I'm ready. And, you know, maybe it's good timing. And then I reboot

610
00:42:29,684 --> 00:42:34,844
into that new image. And if there's any problems that have been created, I just reboot back into

611
00:42:34,844 --> 00:42:42,324
the old image. I would never do that on an Ubuntu or a straight up Fedora system or Red Hat system

612
00:42:42,324 --> 00:42:47,704
because I have seen agents wreck those systems because they don't have that safety level,

613
00:42:47,704 --> 00:42:52,384
this build process and so unfortunately

614
00:42:54,604 --> 00:42:58,444
economy I mean you could deploy with Nix on a bunch of you don't have to switch to Nix OS and

615
00:42:58,444 --> 00:43:01,984
that might be worth looking at actually because unfortunately without that it's a bit riskier

616
00:43:01,984 --> 00:43:19,271
and so I don have great advice for you and I do think that people that spent the time learning and investing in Nix OS are now stacking that with AI because the two because NixOS provides the deterministic system level software management level So you have an

617
00:43:19,271 --> 00:43:25,751
undeterministic LLM executing the work and a deterministic system is verifying the work.

618
00:43:26,371 --> 00:43:30,591
It's just a great combination. And so that's why I like it. And then I also have a series of

619
00:43:30,591 --> 00:43:34,471
wrappers and whatnot to make sure it can only do safe stuff, but you could check out the Clanker

620
00:43:34,471 --> 00:43:41,311
therapy stream for more on that. Thank you, Kiwi. Appreciate it. Orange Mart's here with 5,000 sats.

621
00:43:41,451 --> 00:43:45,871
The traders love the vol. No message, just value. Appreciate that. And J-Cube,

622
00:43:46,291 --> 00:43:51,171
I believe they are our baller booster with $50 in fiat fun coupons.

623
00:43:54,851 --> 00:43:58,671
Right now, the only thing that would make me lose faith in Bitcoin would be BIP 110.

624
00:43:59,591 --> 00:44:03,451
Feels like a violation. Definitely triggers strong emotions when I think about it. I know,

625
00:44:03,451 --> 00:44:08,331
right shake cube it's interesting it does feel and it feels also because they're doing them and

626
00:44:08,331 --> 00:44:15,051
they they're doing the feel good story emotional play and they're kind of making it political and

627
00:44:15,051 --> 00:44:21,331
they're kind of making it about statements and virtue signaling um and it's the irony is there

628
00:44:21,331 --> 00:44:28,411
is apparently can't confirm or deny but apparently a couple of different groups that are preparing to

629
00:44:28,411 --> 00:44:33,891
just spam the hell out of the BIP-110 network once it goes live in August, because there's still

630
00:44:33,891 --> 00:44:39,551
lots of ways to spam the network, even after BIP-110. And they're assembling their systems

631
00:44:39,551 --> 00:44:45,171
right now, is what I have been informed of. I don't know if it's true or not, but, you know,

632
00:44:45,391 --> 00:44:48,831
it gets just the whole thing from top to bottom when you think it's not even going to stop the

633
00:44:48,831 --> 00:44:53,831
spam and how it consolidates power with such a small group of people. It's absolutely crazy.

634
00:44:53,831 --> 00:44:58,871
Like I had no problem with knots as just an alternative to core. But if knots was the only

635
00:44:58,871 --> 00:45:04,051
implementation, that's a really, really scary world for Bitcoin. And I just do not know how

636
00:45:04,051 --> 00:45:08,711
the BIP1 tenors are not wrapping their head around the centralization that creates. Above everything

637
00:45:08,711 --> 00:45:13,831
else, the consensus changes and a minority group making changes, all of that. If knots became the

638
00:45:13,831 --> 00:45:20,611
primary node implementation, Bitcoin is effectively centralized at the node layer. And I just don't

639
00:45:20,611 --> 00:45:27,151
know how the bippers live with that. It seems absolutely so risky to me. Thank you, JQ. Appreciate

640
00:45:27,151 --> 00:45:32,831
the boost. You know how I like to get on that topic, apparently, I guess. Silk Anders here with

641
00:45:32,831 --> 00:45:39,451
$5 in Fiat Fund coupons. Bip 110 is a waste of energy. It makes no sense at all. The eCash fork,

642
00:45:39,531 --> 00:45:43,071
on the other hand, is going to be pretty interesting to follow. Finally getting to test some sidechains

643
00:45:43,071 --> 00:45:48,271
on Bitcoin, and I think that's exciting. All right. OK. Well, keep us posted, sir. You can be our,

644
00:45:48,271 --> 00:45:49,871
if you don't mind, our correspondent.

645
00:45:50,531 --> 00:45:52,511
Gene Bean's here with $2 in fiat

646
00:45:52,511 --> 00:45:53,231
bond coupons.

647
00:45:54,111 --> 00:45:56,031
Great show. To answer your question, I think

648
00:45:56,031 --> 00:45:58,471
BIP110 getting rammed

649
00:45:58,471 --> 00:46:00,431
through might make me reconsider

650
00:46:00,431 --> 00:46:01,691
the hardness of Bitcoin.

651
00:46:02,211 --> 00:46:04,371
It's a relief that things are looking like that's not going to be

652
00:46:04,371 --> 00:46:06,191
the case. Yeah, it is a relief.

653
00:46:07,171 --> 00:46:08,351
Yeah, Gene Bean, there's going to be

654
00:46:08,351 --> 00:46:10,191
some soul searching, I think, if it

655
00:46:10,191 --> 00:46:11,351
does manage to work out.

656
00:46:12,171 --> 00:46:14,391
Mechanic and Luke are still very, very,

657
00:46:14,391 --> 00:46:16,431
very confident on social media

658
00:46:16,431 --> 00:46:18,231
that it will work out.

659
00:46:18,271 --> 00:46:24,171
ah we got a member boost from your inner child oh my god this drawer is filled with fruit lobes

660
00:46:24,171 --> 00:46:29,251
as long as people continue to accept sats for interactions be it on podcast music or frisco

661
00:46:29,251 --> 00:46:34,911
melts it's take and shake bitcoin won't die even at three cents a bitcoin is more valuable than

662
00:46:34,911 --> 00:46:40,451
fiat or gold a sat equivalent of a tom of an atom of gold i like that thinking and i felt that way

663
00:46:40,451 --> 00:46:44,651
for a long time it either goes to zero or it's it's success it's a peer-to-peer open source

664
00:46:44,651 --> 00:46:50,791
technology. Right. So I love it. I love the sentiment. I have a similar sentiment that we're

665
00:46:50,791 --> 00:46:54,291
going to get to later in the show, but that's it for this week for everybody that boosted in above

666
00:46:54,291 --> 00:47:00,051
the 2000 set cutoff for the free member boost. We also had 26 of you stream sats. Thank you very,

667
00:47:00,051 --> 00:47:05,491
very much, everybody. And collectively, you stacked 33,227 sats.

668
00:47:05,491 --> 00:47:15,311
that's not too bad at all so bringing it all together including our fiat fun coupons converted

669
00:47:15,311 --> 00:47:20,331
to sats at the current market rate the total for this week's episode of this week in bitcoin our

670
00:47:20,331 --> 00:47:27,591
total support is 282,090 satoshis not too bad at all of course a current rate that's not a great

671
00:47:27,591 --> 00:47:34,631
hourly for about 18 or so hours of work but it may be in the future and we're stacking for the future

672
00:47:34,631 --> 00:47:36,171
So thank you, everybody who supported us.

673
00:47:36,591 --> 00:47:41,271
You can boost for free as a member or go to boost.jupiterbroadcasting.com and boost with fiat or sats.

674
00:47:41,631 --> 00:47:42,531
Lots of ways to do it.

675
00:47:42,771 --> 00:47:49,971
And of course, those podcasting to-do apps like Fountain, still a great way to support via membership or a boost.

676
00:47:52,071 --> 00:47:54,871
And with that, it's time for something special.

677
00:48:04,631 --> 00:48:10,631
All right. I got a story I want to share with you. I'm going to leave it towards the end of the show.

678
00:48:10,771 --> 00:48:15,571
I think it's a nice thing to wrap up on because we have a little bit of news we need to update on first.

679
00:48:15,611 --> 00:48:18,331
So let's eat our veggies and then we'll get to the steak.

680
00:48:18,331 --> 00:48:24,611
And I want to start, yes, with a quick update on the Clarity Act because things are not looking good.

681
00:48:25,091 --> 00:48:34,271
Polymarket odds of the act being signed into law have dropped to 39 percent this week after news of Trump's profit in crypto went public.

682
00:48:34,631 --> 00:48:41,551
So here's the story. The Office of the Government Ethics released President Trump's annual financial disclosure report yesterday.

683
00:48:41,751 --> 00:48:47,191
It revealed that the president pulled in at least two billion dollars in 2025.

684
00:48:47,751 --> 00:48:55,751
His crypto related income in 2025 included about five hundred fifteen million dollars from the sale of tokens from the World Liberty,

685
00:48:55,891 --> 00:49:02,251
from World Liberty Financial and another sixty five million from sales of equity in World Liberty's holding company.

686
00:49:02,251 --> 00:49:08,071
He also received $635 million in royalties from Celebration Coins.

687
00:49:08,191 --> 00:49:15,851
It wasn't immediately clear what those coins are, though Bloomberg is reporting that the royalties are related to Mr. Trump's meme coin business.

688
00:49:15,951 --> 00:49:20,251
Now, he earned more than $86 million in legal settlements as well.

689
00:49:20,351 --> 00:49:26,711
Those included the $24.5 million from Meta, $16 million apiece from Paramount and Disney.

690
00:49:26,711 --> 00:49:29,031
and President Trump's biggest stock holdings

691
00:49:29,031 --> 00:49:33,951
include Amazon, Meta, NVIDIA, and Tesla.

692
00:49:34,631 --> 00:49:36,271
Man, whoever's doing the trading for the president,

693
00:49:36,871 --> 00:49:37,971
they're killing it.

694
00:49:38,511 --> 00:49:41,031
There's something like extra salty in the woundy

695
00:49:41,031 --> 00:49:45,071
about my bag being 50-something percent down

696
00:49:45,071 --> 00:49:46,971
and Trump just cashing out like crazy.

697
00:49:47,391 --> 00:49:50,171
And make no mistake about this.

698
00:49:50,691 --> 00:49:53,431
This is being framed as a crypto story.

699
00:49:53,911 --> 00:49:54,711
Around the world,

700
00:49:54,711 --> 00:50:09,791
Just do a search for Trump crypto. They're not talking about politicians doing certain kinds of trades. It's a Trump crypto story. The media is laser focused on the crypto aspect of the story. And that is really bad timing for the Clarity Act.

701
00:50:09,791 --> 00:50:16,771
You learned some new information about President Trump's finances yesterday in his 2025 financial disclosure.

702
00:50:17,151 --> 00:50:20,291
And it was a good year for the president's cryptocurrency ventures.

703
00:50:20,751 --> 00:50:25,611
Take a look at this. He made more than $1.4 billion from crypto last year.

704
00:50:25,731 --> 00:50:38,671
It includes $635 million in royalties from a meme coin launched days before he took office and more than $500 million in token sales from his family's company, World Liberty Financial.

705
00:50:38,671 --> 00:50:56,691
Now, note he made more than $2 billion, but they laser focus on the crypto aspect. And I can kind of understand it probably sells some headlines. The issue is, is that the timing of that. I mean, the timing of that is is absolutely crazy.

706
00:50:56,691 --> 00:51:03,551
It could not have been worse because the sticky issue with the Clarity Act that they still have yet to resolve hasn't got as much attention.

707
00:51:04,231 --> 00:51:10,431
But it's the ethics issues, i.e., the Democrats have a problem with the Trump family making money on crypto.

708
00:51:10,991 --> 00:51:16,331
I grabbed this clip I'm about to play for you before Trump's income came out and things were already looking dicey.

709
00:51:16,691 --> 00:51:25,011
Yeah, without a doubt, it was great to speak with Mike Schwab's managing director of legislative and regulatory affairs.

710
00:51:25,531 --> 00:51:28,911
He told me that the desire from Congress is still there.

711
00:51:29,031 --> 00:51:32,751
There really is a push, but there are issues that remain.

712
00:51:33,091 --> 00:51:38,371
Particularly, there are some ethics concerns related to the Trump family and their crypto holdings.

713
00:51:38,851 --> 00:51:44,491
And the July 4th to the August recess, that time period is essentially now or never.

714
00:51:44,491 --> 00:51:55,857
If we don get something done then I don think we going to see any progress until I mean 2028 or 2029 And right now the White House may have other legislative priorities

715
00:51:56,537 --> 00:52:01,817
So never, never is what the answer is there.

716
00:52:02,337 --> 00:52:07,677
Anyways, I can't believe it, but Mike Novogratz seems to be making sense this week.

717
00:52:07,677 --> 00:52:08,777
So moving right along.

718
00:52:09,637 --> 00:52:10,937
Two weeks in a row.

719
00:52:11,137 --> 00:52:14,277
Have you wondered how it's possible?

720
00:52:14,277 --> 00:52:16,277
I mean, you know, he once had a Luna tattoo.

721
00:52:16,537 --> 00:52:19,517
OK, I mean, he bought Bitcoin early, so I got to give credit there.

722
00:52:19,637 --> 00:52:21,477
He was early on Bitcoin, but he got a Luna tattoo.

723
00:52:22,177 --> 00:52:26,377
But yet he seems to have had clarity of a different kind.

724
00:52:26,877 --> 00:52:32,077
And I love this because you probably noticed a lot of people, most of us are struggling

725
00:52:32,077 --> 00:52:32,897
in the middle class.

726
00:52:33,317 --> 00:52:35,197
It's been really tough over the last five years.

727
00:52:35,417 --> 00:52:36,737
Things only gotten more expensive.

728
00:52:37,417 --> 00:52:44,237
And at the same time, premium brands and experiences like cruises and Disney and whatnot, they

729
00:52:44,237 --> 00:52:49,197
seem to be doing better than ever after having an initial hit. The premium experiences of cars and

730
00:52:49,197 --> 00:52:53,857
all of this are doing better. There's a jewelry store that opened by the studio, and I thought

731
00:52:53,857 --> 00:52:57,757
there's no way it's going to get any business. They have boomers there every single day buying

732
00:52:57,757 --> 00:53:05,217
jewelry, every single day. Well, why is it? How is it that so many people can be struggling,

733
00:53:05,417 --> 00:53:10,097
that credit card delinquencies can be at nearly an all-time historical high because people can't

734
00:53:10,097 --> 00:53:15,037
pay their credit card bills and that car payment delinquencies are at a historical all-time high.

735
00:53:15,497 --> 00:53:20,117
People can't pay their car payment bills, and yet premium brands continue to exist.

736
00:53:20,537 --> 00:53:22,997
Well, old Mike here, he breaks down the math on that.

737
00:53:23,497 --> 00:53:31,157
So the top third is 115 or, yeah, 116 million Americans. So let's even go to the top 20%,

738
00:53:31,157 --> 00:53:39,397
right? 75 million Americans. That's a lot of wealthy people. It's bigger than any other

739
00:53:39,397 --> 00:53:47,017
country's wealth, just our 75. And so if it's a Taylor Swift concert, there are not enough tickets

740
00:53:47,017 --> 00:53:54,437
to go around, even in that 75 million seats at Disney, seats at good restaurants in New York.

741
00:53:55,137 --> 00:54:00,917
And so while it always feels okay at that real top, very few of us talk to people,

742
00:54:01,057 --> 00:54:06,177
if you're a Wall Streeter, that are in that bottom third regularly. And so like Disneyland,

743
00:54:06,177 --> 00:54:11,977
what are you talking about Disneyland? And that's, I think, why America keeps lurching for some

744
00:54:11,977 --> 00:54:16,757
solution, you know, populist left, populist right, is that American dream of, of course,

745
00:54:16,797 --> 00:54:20,497
I get to take my kids. Every parent wants to take their kids to Disneyland for a weekend.

746
00:54:21,057 --> 00:54:25,277
Every parent in America, I mean, maybe after they do it, they won't say that they wanted to, but,

747
00:54:25,937 --> 00:54:32,637
and so we've got to get back to a place where part of the American package is, you know,

748
00:54:32,637 --> 00:54:36,817
you get a good two week, you know, you had to go two different one week vacations. You got to go to

749
00:54:36,817 --> 00:54:40,337
take your kids to dinner every once in a while. You get a kid, just send your kids to a decent

750
00:54:40,337 --> 00:54:50,497
school like that. What's available to the bulk, that other 65%. And I think partly because we have

751
00:54:50,497 --> 00:54:56,717
so many people doing okay. And so many people doing super well, it can easily always feel okay.

752
00:54:57,397 --> 00:54:57,537
Right?

753
00:54:57,637 --> 00:54:58,517
Disneyland felt great.

754
00:54:59,997 --> 00:55:00,397
Wrong baron.

755
00:55:00,437 --> 00:55:03,317
I guess my lesson I learned is it's the wrong baron.

756
00:55:03,757 --> 00:55:07,577
I think this is probably true not just in the States.

757
00:55:08,277 --> 00:55:11,057
I think it's true all over the world right now, especially in the West.

758
00:55:12,117 --> 00:55:15,437
And I just thought, you know, because there's enough of them, even just here in the States.

759
00:55:15,497 --> 00:55:17,757
There's about 75 million of them that are doing great.

760
00:55:18,597 --> 00:55:20,077
And that's all it really takes.

761
00:55:20,077 --> 00:55:22,277
I mean, there's only so many seats at the Taylor Swift concert.

762
00:55:22,997 --> 00:55:23,517
All right.

763
00:55:23,557 --> 00:55:25,857
So there's a trend that I've been keeping an eye on this last year.

764
00:55:25,857 --> 00:55:26,977
We've been talking about it here.

765
00:55:27,717 --> 00:55:31,537
It's these public Bitcoin mining companies that have pivoted to AI compute hosting.

766
00:55:31,657 --> 00:55:34,117
So we've seen a decline in the hash rate as a result of this.

767
00:55:34,117 --> 00:55:40,117
Like your core scientific, Iron and others, that have been pivoting away from pivoting, as they say.

768
00:55:40,177 --> 00:55:42,137
They love to pivot from Bitcoin mining.

769
00:55:42,657 --> 00:55:49,557
So Alex Thorne, he's a managing director and head of firmware research at Galaxy Digital, also a company that's pivoted to AI.

770
00:55:50,117 --> 00:55:54,797
And he talks about the recent pivot and the economics behind it.

771
00:55:54,797 --> 00:56:22,077
I guess, you know, if our miners are all going to become AI data centers, then, you know, like ours has. We are a big data center firm now and no longer a Bitcoin miner to my chagrin, you know, because it's dear to my heart. Although there's a lot of fascinating research. And of course, those in the business know this, but the per dollar like revenue from compute is substantially higher than the per dollar revenue from Bitcoin mining, even down at these, you know, even down at this hash rate.

772
00:56:22,077 --> 00:56:27,457
And Bitcoin miners having a there's a big story this year, by the way, that no one's really covering a lot.

773
00:56:27,517 --> 00:56:29,157
But like, go look at Bitcoin hash rate.

774
00:56:29,177 --> 00:56:31,477
It's down substantially from the top.

775
00:56:31,557 --> 00:56:39,437
The downward difficulty adjustment that we recently had, I think, last week was, I think, the 10th biggest single downward difficulty adjustment in Bitcoin history.

776
00:56:40,257 --> 00:56:43,177
Miners down at these prices getting squeezed for sure.

777
00:56:43,697 --> 00:56:45,177
That was on the Wolf of Wall Street's channel.

778
00:56:45,177 --> 00:56:49,817
So the economics may be about to shift back on that there, Alex.

779
00:56:49,817 --> 00:56:52,757
things have changed as of today.

780
00:56:53,857 --> 00:56:57,797
Meta announced that they are getting in on the AI compute game.

781
00:56:58,057 --> 00:57:00,057
Meantime, Meta shares are jumping today on news.

782
00:57:00,137 --> 00:57:01,677
It'll build out a new cloud business.

783
00:57:02,017 --> 00:57:03,817
Let's get back to Julia Boorstin, who has more.

784
00:57:04,017 --> 00:57:04,237
Hey, Julia.

785
00:57:05,517 --> 00:57:06,197
That's right.

786
00:57:06,437 --> 00:57:11,937
Sources close the situation confirmed to CNBC that Meta is working on building a cloud

787
00:57:11,937 --> 00:57:14,417
infrastructure business to sell AI compute.

788
00:57:14,417 --> 00:57:19,217
Now, this shouldn't be a surprise to anyone because Mark Zuckerberg first talked about

789
00:57:19,217 --> 00:57:25,537
this last October and then again at the company's annual shareholder meeting in May. Then he said,

790
00:57:25,537 --> 00:57:31,057
quote, it's definitely on the table almost every week. There are different companies that come to

791
00:57:31,057 --> 00:57:38,057
us from outside asking us to both stand up an API service or asking if we have compute that they

792
00:57:38,057 --> 00:57:43,897
could buy at us at some premium to what we've bought it at. Now, if we get to a point where we

793
00:57:43,897 --> 00:57:49,637
feel that we have overbuilt, then that is an option that we have. And that is partially what

794
00:57:49,637 --> 00:57:54,437
gives us confidence in investing and building this out. I'm not sure how much I buy that they're

795
00:57:54,437 --> 00:57:58,997
having people knock on their door all the time and that they have overcapacity since they were

796
00:57:58,997 --> 00:58:03,277
just buying capacity from other companies. But it's an interesting story because

797
00:58:03,277 --> 00:58:09,357
Iron is down about 5% as of right now in the news. They took it harder earlier. Core Scientific is

798
00:58:09,357 --> 00:58:17,637
down 7.35% as of now. CleanSpark is down 4%, and Galaxy Digital was down 5.6% on the news as

799
00:58:17,637 --> 00:58:24,117
recovering some. Meta, however, up 10% on the news. So the public Bitcoin mining companies that have

800
00:58:24,117 --> 00:58:29,557
pivoted to AI compute are all down. Some of them were down massively, like 10% at some point,

801
00:58:30,457 --> 00:58:37,257
while Meta rocketing up. And Meta is one of the first quote-unquote AI players that is signaling

802
00:58:37,257 --> 00:58:39,177
to the market that they're going for value.

803
00:58:39,677 --> 00:58:41,197
I talked about what that could mean last week,

804
00:58:41,257 --> 00:58:42,477
so make sure you check that out.

805
00:58:42,837 --> 00:58:44,697
So now you have XAI and Meta

806
00:58:44,697 --> 00:58:47,597
that are in this game of selling extra compute.

807
00:58:47,877 --> 00:58:49,417
And the narrative that they're pushing

808
00:58:49,417 --> 00:58:52,117
is that they're building AWS 2.0.

809
00:58:52,657 --> 00:58:55,317
So something tells me that the industry

810
00:58:55,317 --> 00:58:58,177
will happily turn their nose up at these Bitcoin miners

811
00:58:58,177 --> 00:59:01,037
once their buddies over at Meta and XAI

812
00:59:01,037 --> 00:59:03,257
and others have built their AWS 2.0.

813
00:59:04,157 --> 00:59:04,557
I don't know.

814
00:59:04,557 --> 00:59:09,137
Maybe Galaxy Digital and others can pick up their ASICs for cheap now.

815
00:59:09,557 --> 00:59:11,177
So maybe there's a positive side.

816
00:59:21,977 --> 00:59:27,837
Speaking of mining, a few weeks ago, I told you about a short documentary that I watched.

817
00:59:27,917 --> 00:59:28,597
I liked a lot.

818
00:59:28,597 --> 00:59:38,637
It was about a test farm that was using Bitcoin and mining Bitcoin to generate heat and whatnot for their greenhouses and other uses on the farm.

819
00:59:39,237 --> 00:59:42,337
And this is the kind of Bitcoin mining that gets me personally excited.

820
00:59:42,477 --> 00:59:51,057
Not the irons and the Galaxy Digitals, but you and me using Bitcoin to heat our homes, to heat a garden, these types of things.

821
00:59:51,117 --> 00:59:52,357
I think that's just brilliant.

822
00:59:52,417 --> 00:59:55,757
If you're already going to be using the power, why not mine a little Bitcoin?

823
00:59:56,377 --> 01:00:01,457
Now, at first, I didn't bother clipping this documentary because I figured it was pretty good and it would make the rounds without my help.

824
01:00:01,537 --> 01:00:05,297
But I really haven't seen it get as much attention as I thought it should over the last couple of weeks.

825
01:00:05,577 --> 01:00:08,777
So I wanted to highlight a few moments that I like that I think you're going to like, too.

826
01:00:09,637 --> 01:00:12,697
And I'll link to the entire thing. It's not that long in the show notes.

827
01:00:13,137 --> 01:00:19,097
So to set it up, this is a family farm that's 400 meters or just over 1300 feet up on a mountain.

828
01:00:19,237 --> 01:00:22,817
So they're trying to farm produce on a mountain.

829
01:00:22,817 --> 01:00:38,623
So obviously they need greenhouses and they need to keep things warm and comfortable for the plants Welcome to the world Do you know that daddy mining Bitcoin He will This is the smallest greenhouse that Fred and Daniela manage The larger Bitcoin miner greenhouse

830
01:00:38,623 --> 01:00:43,063
was recently damaged by a storm. We'll come to that later. They grow and sell succulents,

831
01:00:43,323 --> 01:00:48,223
herbs, aloe vera, and what they refer to as the organic treasures of Madeira. For that,

832
01:00:48,383 --> 01:00:52,423
they've got to keep the greenhouse warm. We've had to take off our coats because it's so warm

833
01:00:52,423 --> 01:00:58,903
here yeah do you know what the temperature is right now uh 25 25 yeah and that's because of

834
01:00:58,903 --> 01:01:06,743
the sun or the sun helps but it's not enough to keep the heat okay at this time of the year so we

835
01:01:06,743 --> 01:01:12,903
also have the miner down here oh i hear that sound i know that's yeah it's down there oh no way so

836
01:01:12,903 --> 01:01:19,783
this entire greenhouse this gorgeous greenhouse with all of this different vegetation it's heated

837
01:01:19,783 --> 01:01:24,823
by a bitcoin miner it's just behind me there get a couple of bitcoin miners in the greenhouse

838
01:01:24,823 --> 01:01:29,303
and away you go so i'm currently holding the microphone to my mouth just here and what i'm

839
01:01:29,303 --> 01:01:33,543
going to do is i'm going to then hold it over the miners so you get a sense of how it sounds

840
01:01:35,703 --> 01:01:42,263
how do you control it how do you control the power i have the schedule on my phone so i can

841
01:01:42,263 --> 01:01:48,423
basically shut it down just like that just like that and now i can turn it off again and now you

842
01:01:48,423 --> 01:01:54,583
can hear it going. It's still warm air. So how many miners are in this greenhouse? In this one,

843
01:01:54,583 --> 01:02:00,183
we have one. On the bottom one, we had two. And we're trying to move to the second stage of the

844
01:02:00,183 --> 01:02:05,143
project, which is increasing our solar panel because we don't have enough solar production

845
01:02:05,143 --> 01:02:10,743
to cover the three or four miners. So what's really surprising about this is that it's just

846
01:02:10,743 --> 01:02:16,343
a pilot project. There's only two miners heating this gigantic greenhouse. But in the future,

847
01:02:16,343 --> 01:02:24,423
Fred wants five warehouses, five greenhouses just like this, which means Bitcoin miners in all of them, which means more energy demand.

848
01:02:24,923 --> 01:02:32,383
Yeah. And since he's powering the entire thing by solar, that means he's going to need more solar, which is how cool is this?

849
01:02:33,083 --> 01:02:40,723
Fred's next move is a 45 meter solar carport that will take him from four kilowatts to 100 kilowatts of solar production.

850
01:02:40,723 --> 01:02:44,803
That powers more miners, which heats more greenhouses, which grows more herbs.

851
01:02:44,803 --> 01:02:49,303
and the real unlock is using that same minor heat to dehydrate those herbs.

852
01:02:49,303 --> 01:02:52,003
So what's this space?

853
01:02:52,003 --> 01:02:56,603
This is currently the warehouse where we're storing the stuff for the rebuild.

854
01:02:56,603 --> 01:02:58,183
So Bitcoin mining for herbs?

855
01:02:58,183 --> 01:03:00,223
This here is going to be the dehydrator.

856
01:03:00,223 --> 01:03:02,483
Yeah, so like herbs are going to come in,

857
01:03:02,483 --> 01:03:06,163
they're going to leave dehydrated and ready to be eaten or cooked with.

858
01:03:06,163 --> 01:03:09,923
Herbs arrive, they are washed, then they go to the cold room

859
01:03:09,923 --> 01:03:14,783
and then they go to the dehydrator where they are dehydrated and then packaged.

860
01:03:14,783 --> 01:03:18,043
Okay, and the dehydration is done by Bitcoin miners.

861
01:03:18,143 --> 01:03:19,003
Yeah, exactly.

862
01:03:19,023 --> 01:03:19,603
Which is possible.

863
01:03:19,823 --> 01:03:20,283
Yeah, yeah, yeah.

864
01:03:20,283 --> 01:03:23,023
We already did that with chilies, with herbs.

865
01:03:23,703 --> 01:03:24,143
Nice.

866
01:03:24,523 --> 01:03:27,503
How come I never thought of dehydrating with a Bitcoin miner?

867
01:03:28,303 --> 01:03:29,663
What a great use case for that.

868
01:03:30,123 --> 01:03:32,603
So I'm loving this.

869
01:03:32,663 --> 01:03:34,443
I'll play you the last couple of clips to wrap it up

870
01:03:34,443 --> 01:03:38,363
because I think one of the neat things that they're able to do as a farm,

871
01:03:38,503 --> 01:03:40,143
because their energy is covered by solar,

872
01:03:40,763 --> 01:03:42,603
is they're able to stack what they mine.

873
01:03:42,603 --> 01:03:49,983
So basically, while they're growing succulents and vegetation, while they're farming those things, they're also farming Bitcoin.

874
01:03:50,183 --> 01:03:55,143
And what do you do with the Bitcoin that you mine? How long have you been mining first, just on this project?

875
01:03:55,283 --> 01:03:59,063
On this project since 2019, because we don't sell the Bitcoin.

876
01:03:59,403 --> 01:04:00,783
Oh, you model all the Bitcoin that you mine?

877
01:04:00,823 --> 01:04:01,803
Yeah, yeah, all of it.

878
01:04:03,023 --> 01:04:04,003
You look quite happy.

879
01:04:04,083 --> 01:04:10,983
Yeah, yeah, all of it, all of it. We haven't sold a penny, a satoshi of the miners.

880
01:04:10,983 --> 01:04:19,803
Wow. So we pay the electricity from the revenue of the business and keep the Bitcoin instead of selling the Bitcoin for the electricity and keeping the euros.

881
01:04:20,283 --> 01:04:21,943
So this nursery has a Bitcoin treasury.

882
01:04:22,343 --> 01:04:23,383
Yeah, it's basically that.

883
01:04:23,683 --> 01:04:24,983
Yeah, I think that's great.

884
01:04:25,663 --> 01:04:33,703
The documentary also quickly touches on Fred's philosophy about holding Bitcoin through the ebbs and the downs and the ups and all of that.

885
01:04:34,123 --> 01:04:38,003
And I think what we should call this is the farmer's approach to hodling.

886
01:04:38,323 --> 01:04:40,483
We keep it, as you were saying, like a treasury.

887
01:04:40,483 --> 01:04:45,083
And if you compare the savings you made in Bitcoin to the savings you made with Euros,

888
01:04:45,083 --> 01:04:47,363
would it have been better to save in Euros or in Bitcoin?

889
01:04:47,363 --> 01:04:48,803
Oh, in Bitcoin.

890
01:04:48,803 --> 01:04:51,483
But what about the Bitcoin price volatility?

891
01:04:51,483 --> 01:04:53,483
Well, Fred compares it to farming.

892
01:04:53,483 --> 01:04:55,963
In nature and in agriculture, you're kind of used to it.

893
01:04:55,963 --> 01:04:57,523
You have the seasons.

894
01:04:57,523 --> 01:05:01,843
You have good years, you have bad years, and you just have to deal with it.

895
01:05:01,843 --> 01:05:05,803
Nothing is assured, nothing is certain, it's not like a factor.

896
01:05:05,803 --> 01:05:11,803
In farming, you might have a thousand units and the next day, due to a storm, due to something,

897
01:05:11,803 --> 01:05:14,243
you don't have them anymore.

898
01:05:14,243 --> 01:05:15,963
And Bitcoin is a bit like that.

899
01:05:15,963 --> 01:05:22,943
You can have a lot of euros in terms of comparison and then the next day it can crash and you

900
01:05:22,943 --> 01:05:24,263
don't have those euros.

901
01:05:24,263 --> 01:05:31,183
And we got used to it with the fiat system of having like a steady, which is not steady,

902
01:05:31,183 --> 01:05:32,863
it's just a steady decline.

903
01:05:32,863 --> 01:05:38,103
It's not a natural, but farming is a natural cycle with the seasons, with everything.

904
01:05:38,103 --> 01:05:40,863
Okay, Bitcoin mining and farming are quite similar in that regard.

905
01:05:40,863 --> 01:05:41,363
Yeah.

906
01:05:41,363 --> 01:05:45,063
You have these different cycles and you have the ups and the downs and it's outside of your control.

907
01:05:45,063 --> 01:05:46,063
Yeah.

908
01:05:46,063 --> 01:05:51,863
We all want to go to the moon, but if you want to ride the rocket, you got to be prepared to pull the G's.

909
01:06:02,863 --> 01:06:05,383
All right, let's check in on the state of the network.

910
01:06:05,503 --> 01:06:09,803
I'm wrapping up at block height 956,251.

911
01:06:10,323 --> 01:06:14,303
Current price to U.S. dollar is 60,100 Bitcoin.

912
01:06:14,823 --> 01:06:17,883
100, you know, 61,100 dollars to one Bitcoin.

913
01:06:18,003 --> 01:06:18,903
That's what I'm trying to say.

914
01:06:19,343 --> 01:06:23,443
That puts our sats per U.S. dollar at 1,664.

915
01:06:23,583 --> 01:06:25,443
Price is actually kind of tipping up right now.

916
01:06:25,923 --> 01:06:26,483
Just a little bit.

917
01:06:26,623 --> 01:06:32,363
Our decline from our all-time high is sitting at 52.4%, 267 days ago.

918
01:06:32,863 --> 01:06:37,423
The estimated difficulty adjustment is a minor downward adjustment of 1.1%,

919
01:06:37,423 --> 01:06:43,263
and the reachable nodes on the network is a strong and healthy 26,685.

920
01:06:43,703 --> 01:06:51,083
We're up 2.9% in the last 24 hours, and we are at 0.6% for the last seven days since the last episode.

921
01:06:51,563 --> 01:06:54,283
0.6% up, though. I mean, at least it's up.

922
01:06:54,903 --> 01:06:56,123
I'll take it, I guess.

923
01:06:56,483 --> 01:07:01,023
You know, like I always say, and it's true, the state of the network is strong.

924
01:07:02,863 --> 01:07:22,183
If you made it this far, why not check out the links this week in Bitcoin.show.

925
01:07:22,383 --> 01:07:23,563
More information there.

926
01:07:23,783 --> 01:07:28,203
My goal is to get a show for you that doesn't get too distracted by the emotions or the politics,

927
01:07:28,343 --> 01:07:32,723
but focuses on the signal from those events, the second order effects, the stuff that you can plan on,

928
01:07:32,863 --> 01:07:36,563
For yourself, your friends, your family, your future, whatever it might be.

929
01:07:37,003 --> 01:07:38,503
So let me know how I did with a boost.

930
01:07:38,823 --> 01:07:41,923
What you think about sailors, latest claims, about 30 years of runway.

931
01:07:42,883 --> 01:07:44,463
Your BIP 110 thoughts, all of it.

932
01:07:44,623 --> 01:07:45,023
Boost it in.

933
01:07:45,123 --> 01:07:47,623
Support the show, boost.jupiterbroadcasting.com.

934
01:07:48,283 --> 01:07:49,223
You know I want to hear it.

935
01:07:49,563 --> 01:07:52,463
Now, I am going to wrap up with a value for value clip like I do.

936
01:07:52,463 --> 01:07:57,003
So if you boost in while the music's playing, 95% of the sats will go to the artist.

937
01:07:57,003 --> 01:08:07,343
Now, this track is described as a cacophony of contrasting genres, voices and instruments headed by a fiery songwriter, Mishkin Fitzgerald.

938
01:08:07,583 --> 01:08:12,083
So here you go. Here is Legs Broken by Mishkin Fitzgerald.

939
01:08:12,243 --> 01:08:15,383
Go, go, Mishkin. Mishkin, go.

940
01:08:27,003 --> 01:08:34,823
This one goes out to the thief and all that bloody drew

941
01:08:34,823 --> 01:08:38,543
Every night I make a score, I named it after you

942
01:08:38,543 --> 01:08:42,543
I'm sharpening these knives with raspies, arrows of my hate

943
01:08:42,543 --> 01:08:46,143
I'm carving up my convictions, the fate was never shaken

944
01:08:46,143 --> 01:08:49,963
I lie awake upon these nails imagining a rose

945
01:08:49,963 --> 01:08:53,903
Wrap it tight around the neck and twist them to be judged

946
01:08:53,903 --> 01:08:57,683
My friends all know that I was taught to turn the other cheek

947
01:08:57,683 --> 01:09:01,583
But even Christ led Judas to his faithful ring and king

948
01:09:01,583 --> 01:09:05,563
How you gonna get there in the dark, my friend?

949
01:09:05,803 --> 01:09:07,363
How you gonna walk there?

950
01:09:07,409 --> 01:09:13,229
With your legs broken, how are you gonna walk this train a night and a day?

951
01:09:13,429 --> 01:09:16,109
When everyone in town knows that you're poison.

952
01:09:17,309 --> 01:09:20,789
Son of Cain, your veins are filled with anger and distrust.

953
01:09:21,169 --> 01:09:24,469
A petty child, you held your rock and left me in the dust.

954
01:09:24,889 --> 01:09:28,349
My able heart is crawling from the grave up through the soil.

955
01:09:28,729 --> 01:09:32,169
This river floods to red as burn, I'll make these oceans boil.

956
01:09:32,569 --> 01:09:36,169
I'll follow you through deserts dry and far as eyes can see.

957
01:09:36,169 --> 01:09:39,749
With vengeance as my mistress, she gives nothing for you, please

958
01:09:39,749 --> 01:09:43,789
You leave your trailer boys to pray for all your green mites

959
01:09:43,789 --> 01:09:47,489
Well, I don't need a snake to pull you from your paradise

960
01:09:47,489 --> 01:09:51,589
How you gonna get there in the dark, my friend?

961
01:09:51,989 --> 01:09:54,989
How you gonna walk there with your neck broken?

962
01:09:55,669 --> 01:09:59,149
How you gonna walk the streets at night again?

963
01:09:59,149 --> 01:10:02,229
When everyone in town knows that you're poison

964
01:10:02,229 --> 01:10:20,549
Now your silver's all been spent

965
01:10:20,549 --> 01:10:22,409
Your fortress turns to dust

966
01:10:22,409 --> 01:10:24,029
You're seeking out some shelter

967
01:10:24,029 --> 01:10:37,392
But there no one you can trust The path behind is jaded From the bridges set aflame Or even your own shadow casts the colour of your shame As the sun is setting on your empire of defeat

968
01:10:37,392 --> 01:10:41,392
The moon is rising up to make my ritual complete

969
01:10:41,392 --> 01:10:45,192
As day is drawing to and close and I draw back my ball

970
01:10:45,192 --> 01:10:48,832
I strike you back to where you came nine circles down below

971
01:10:48,832 --> 01:10:52,892
Are you gonna get there in the dark my friend?

972
01:10:52,892 --> 01:10:56,352
How you gonna walk there with your legs broken?

973
01:10:57,012 --> 01:11:00,332
How you gonna walk the streets at night again?

974
01:11:00,772 --> 01:11:03,632
When everyone in town knows that you're poisoned

975
01:11:03,632 --> 01:11:08,072
How you gonna get there in the dark, my friend?

976
01:11:08,552 --> 01:11:11,672
How you gonna walk there with your legs broken?

977
01:11:12,352 --> 01:11:16,072
The devil wouldn't even bother to spill your blood

978
01:11:16,072 --> 01:11:19,012
But everyone in town knows that I would

979
01:11:19,012 --> 01:11:23,492
Hefty is the weight that you have cast upon this stone

980
01:11:23,492 --> 01:11:27,252
I find it hard to carry it but I am not alone

981
01:11:27,252 --> 01:11:31,292
I've always found forgiveness is the pathway back to sight

982
01:11:31,292 --> 01:11:35,032
But seeing your depravity has left me dull and blind

983
01:11:35,032 --> 01:11:38,892
One day I'll take a hammer to your coffin where I'll cry

984
01:11:38,892 --> 01:11:42,812
I'll open up your secrets to the world from which you hide

985
01:11:42,812 --> 01:11:46,492
And though I know that I should leave your life up to the fate

986
01:11:46,492 --> 01:11:49,312
The only thing your heart needs is a steak.