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I'd also like to comment on, you know, this recent Trump tweet,

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if you would want to call it, about 100 percent tariffs on the BRIC countries

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if they start a new currency.

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I find that really curious because, really, I think the biggest threat to the

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dollar being used as a reserve currency is Bitcoin, which we all hear,

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you know, Trump is a big supporter of.

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So it seems a little bit strange to tell them don't produce an alternative reserve

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currency when really Bitcoin is, you know,

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being talked about by many countries in the world as their alternative currency,

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some of them getting rid of gold and going into Bitcoin.

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So I'm a little curious on how that's going to play itself out once we hear all the details.

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Music.

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Welcome in to This Week in Bitcoin, episode 38.

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My name is Chris. Save this episode. All right?

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Set it aside. put it on your file server, put it in your Dropbox,

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whatever it is, because this is one of those episodes that's going to cover

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a major shift in the Overton window years before we're likely to see it happen.

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I don't know, three, four years, maybe. It's hard to really say.

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I suppose, yeah, maybe, maybe.

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But we'll get there. Right now, everyone thinks that Bitcoin is going to destroy the dollar.

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It's going to replace the reserve status of the dollar.

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It's going to become the new reserve currency of the world.

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Maybe one day, my friends. But I'll make the case not in our lifetime.

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I actually think Bitcoin is about to be used to entrench the dollar system for generations to come.

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Maybe not the dollar itself, but the dollar system. We're not there yet.

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But I think we could soon be there. And I'll explain how all of that might work soon.

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But before we get to there, let's start with Bitcoin itself.

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It's been a chop week, another chop week. And man, does market sentiment turn fast.

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Everyone is so bearish and sad. You know, it's just really, it's funny because

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it reminds me, and maybe I mentioned this last week on the show,

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of exactly like what it felt at 20,000. You know, we bounced against $20,000 for so long.

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And then when Bitcoin did finally break through, it felt like it was unstoppable.

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But I was doing a little bit of digging around and I found some historical data that supports this.

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It turns out Bitcoin has dipped at the start of every month for the last six

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months, every single time before it bounces back.

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And often it gets a major move up after all of the labor market in the US comes

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out, all the labor market data comes out, which begins releasing at the beginning

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of the month. We just got some of it today.

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It wasn't great. And then I think some of the last comes out on December 6th.

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And then typically Bitcoin starts to pick back up in momentum.

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So short term, we chop and we seem to have chopped at the beginning of every

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month for the last six months.

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But then when you look at that, you go, OK, that seems to be something that

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is just materialized. Once we see it, it generally stops repeating.

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Once people realize it's happening, it just sort of stops happening.

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So now that we know about it, it may not be a reoccurring trend,

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but it has been fascinating.

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But looking, so that's short term, but looking at even just the midterm,

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I think things are still very bullish for Bitcoin.

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And it's not just me. It's a crystal ball rubber over there, Tom Lee, too.

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Yeah, I think some of this could be, there's a lot of folks who don't want Bitcoin over $100,000,

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and some of it may be the exchanges themselves are concerned because there is

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a pretty low supply of Bitcoin available over the counter.

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So you have a supply shortage, and if Bitcoin makes a move above $100,000,

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I think there'd be a big chase.

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So I'm still confident Bitcoin's going to close much higher before year-end. Before year-end?

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Before year-end, yeah. So break $100,000 before the end of the year?

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Yeah, well above $100,000 before the year ends.

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It's just a matter of time. It's December 2nd. It's not that long, Tom.

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So it's going to do it in the next four weeks. Tom makes bold, short-term calls.

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You're nuts. And usually they come true on a roll. All right, Tom Lee, thank you.

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Yeah, that's why I play his clips, because usually he is right.

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So while we chop, a lot of talk about tariffs.

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People are terrified about tariffs. You know, apparently it's become like this

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new favorite toy in international politics.

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It started with President Trump during the campaign and he's continued it now.

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It's just, all right, you're pissing me off, tariff.

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Pissing me off, tariff. Next thing you know, somebody's on the plane or somebody's on the phone call.

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You know, it's sort of like an economic equivalent of a chess move.

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You can really kind of protect your pawns, which would be your domestic industries, and,

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But if you're not careful, you could end up at a checkmate with higher prices

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for everyone, if you'll excuse my analogy.

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So there is a tight line there, and that's why the market is, what's going to happen?

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Is this just the art of the deal? Or is this just what's going to happen?

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That's what the question is, right?

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And I'm personally not too worried about it. I'll get into why in a little bit.

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But I think there is a bigger question to be asked.

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You just heard it in the intro clip here. The biggest threat to the dollar,

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a lot of people think, is Bitcoin.

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Now, President Trump has made it very clear to the BRICS nations that if they

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develop their own currency for trade, he's going to apply a 100% tariff on them.

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So how do you square this? Because Trump's also pro-Bitcoin.

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And Bitcoin's supposed to be a threat for the dollar.

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I'd also like to comment, you know, this recent Trump tweet,

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if you would want to call it, about 100% tariffs on the BRIC countries if they start a new currency.

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I find that really curious because really, I think the biggest threat to the

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dollar being used as a reserve currency is Bitcoin.

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Well, maybe Jeremy, maybe Mr. Siegel from the Wharton School of Finance or whatever.

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I think what he's missing is the stablecoin connection.

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When Bitcoin pumps, stablecoins pump.

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And when stablecoins pump, they create demand for T-bills, which the U.S.

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Government likes quite a bit.

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Luke Grohman was on, I think it was Natalie Burnell's Coin Stories podcast,

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and he summed up some of this a little bit.

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I'll play just a couple of clips from that, and then I'll link to her entire

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podcast in the show notes.

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What I laid out for clients three weeks ago was sort of a thought process,

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is how I started to think about it.

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It changed the way I was thinking about this Bitcoin is the new oil comment from Trump, which is,

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if we go back in time to late 73, early 74, oil was rose in price by 400% from October 73 to April 74.

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And there is an interview that was given on CNN International by the former

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Saudi oil minister, Sheikh Yimani, in 2010,

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in which he said there was a

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meeting of Bilderberg Group at this Swedish island in late 73, October 73.

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Henry Kissinger attended and said, look, the price of oil is going up 400 percent. Get on board.

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And it happened. And again, this is not my words. These are the words of the

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former Saudi oil minister on CNN 14 years ago.

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He highlighted that. And the point of the U.S.

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Doing that was essentially to make the oil market big enough to back U.S.

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Deficits, to basically recycle the flows back into U.S.

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Debt to basically fix the U.S. fiscal problem post-Vietnam War and after we left the gold standard.

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It basically put us on an oil standard of sorts. So he's saying in this narrative that the U.S.

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Government recognized that they could use oil as a way to essentially back the

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dollar and create demand for the dollar.

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But they needed to develop the oil market and expand it first before it would

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be big enough and be liquid enough to achieve that.

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And I think he's making the analogy that that could be where Bitcoin is at today.

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And when I thought back to that interview by Sheikh Yimani,

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in light of the Treasury report, which was really the catalyst for the rethink,

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and then the Paul Ryan point, and then Trump's point in August where he said,

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hey, maybe we'll just pay off our debt with a little Bitcoin,

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which was a really odd comment.

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I started to wonder if Bitcoin is the new oil,

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that it's not that it is Bitcoin is going to be inflated like oil was so that

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it will inflate stable coins so that stable coins will buy a lot more treasury.

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Basically, Bitcoin going much, much higher.

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This Treasury report showed that stablecoin demand for T-bills would soar.

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And I'll have a link to this in the show notes.

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They talk about it kind of being a modest amount of T-bill demand right now,

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but how they could see it really kind of blowing up because all the incentives

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to make that happen line up.

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And often with money, it's just sort of like water that goes downhill.

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It just takes the easiest path possible.

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You know, whatever treats it the best, all the incentives to make that happen

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in each one of us kind of line up. We need a way to weaken the dollar while

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strengthening the dollar system.

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And you look at this and you go, gosh, this checks all the boxes.

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If we inflate the heck out of Bitcoin, you're going to increase stable coins.

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You're going to increase stable coin demand for T-bills.

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What that will do, because Bitcoin is a global asset, is it will draw in dollars

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from around the world into T-bills, into stable coins.

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But at the same time, the dollar will be collapsing against Bitcoin.

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And it will be ultimately get Bitcoin high enough to be pretty inflationary.

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Right. People are going to be, you know, and stimulative.

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So that's what I think Trump may have meant by Bitcoin is the new oil.

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That's that's my sort of working hypothesis. I'm waiting and looking for something

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that would refute that thus far in the new administration.

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I'm not seeing anything. I'm not seeing anything other than sort of,

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OK, I think I'm on to something here.

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What do you think of this theory? That perhaps they're playing 4D chess with

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the Bitcoin strategy and the idea and why they're careful about the language.

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It's a reserve, right? It's a strategic reserve, the Bitcoin strategic reserve.

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And why they'd be willing to convert gold into Bitcoin.

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It kind of adds up.

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Stable coins could be the best thing that happened to the U.S. government.

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It enables access to the U.S. dollar all around the world, where other countries

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are suffering inflation much worse, even in the best case scenario,

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generally worse than the United States.

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Not everywhere, but generally, especially in Western economies.

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It gives them access to the dollar in countries that maybe don't even have a

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relationship with the United States and a means to directly buy those dollars.

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In most countries, there is the dollar price and then there's like the blue market dollar price.

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They have different names but often if you

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go through an official exchange the government there rips

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you off so this also like

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in all these countries it creates demands for stable coins i'm not a big i don't

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use stable coins really i have one particular use case for stable coins and

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i'll tell you about it later in the episode just one one particular use case

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and i don't i don't because i am here in the united states i don't really need

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it but people outside the states Hell yeah.

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It creates demand for the dollar, which strengthens the dollar.

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And they do without even having to create a CBDC.

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It can be through these privatized companies that they have leverage over.

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So let's bring it back to tariffs, because I think people are really spooked

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about this. And I'm curious to know what you think of all this so far.

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But if you look at what Luke is saying here, the Bitcoin strategy will strengthen the dollar.

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Then you have the overall tariff strategy, which could really spook the market

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and, you know, definitely take some steam out of a bull run type situation.

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But overall, I myself, I don't find it to be very concerning.

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Watch the way the financial say this tactfully. I don't know if you watch the

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way the financial media industry covers tariffs.

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I mean, how can you call him pro-business, according to these people?

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All right, so let's go back to Tom Lee over here at CNBC. I cut this up for you.

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When he's pro-tariffs, because you would just think, you know,

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if you watch the coverage of tariffs.

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Yeah, I mean, to me, it's a reminder that it's good to carry a big stick.

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And I think tariffs have proven to be a good negotiating tool.

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I think we've seen some proactive actions by other countries.

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And in general, I don't think the new White House wants to pursue any policies

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that would hurt corporate profits.

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So I think ultimately whatever is accomplished is going to be pro-business. That's interesting.

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All right. I hope everybody's listening. I think Trump's biggest detractors

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are worried that he has no governor, that there's going to be no limiter on

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Trump, that there's nothing to stop Trump now.

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But I disagree. I think Trump has shown us before in his previous term and has

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already indicated it now that the markets are the biggest driver of Trump's behavior.

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And so I think that's where Tom is right, is that these tariffs will be used for negotiation.

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But if things get too sideways and the market really starts to take a dump,

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I bet Trump capitulates. That would be my suspicion. Before we leave Tom Lee

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altogether, though, did you catch that little bomb in an earlier clip that he

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just dropped in there that nobody picked up?

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Nobody around the table picked it up. There's two other hosts plus old Joe there

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asking questions, and Tom Lee just drops this bomb? Logical level, I would imagine.

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Yeah, I think some of this could be, there's a lot of folks who don't want Bitcoin over $100,000,

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and some of it may be the exchanges themselves are concerned because there is

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a pretty low supply of Bitcoin available over the counter.

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So you have a supply shortage, and if Bitcoin makes a move above $100,000,

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I think there'd be a big chase.

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So I'm still confident Bitcoin's going to... What does that mean?

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He's implying the exchanges are holding the price below $100,000. How would they do this?

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How could the exchanges do this? Is this by putting fake buy and sell orders

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in ahead of time and making it look like there's big buy and sell walls?

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How how is this accomplished?

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And why does nobody ask him?

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Bitcoin is is is like a huge part of BlackRock's ETF profile now and many others.

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And Tom Lee goes out there and says that the exchanges are manipulating the

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price and everybody just moves on. The hell's going on.

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Music.

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Well, I hate to say it, I really actually kind of do. The big story in Bitcoin

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this week remains micro strategy.

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And the reason why I hate to say it is because I think,

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Any time you pump somebody up, a single individual like Michael Saylor,

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it just means they have further to fall one day.

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And, you know, your heroes turn into villains type situation.

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And I just sort of part of me sort of braces as the community just sort of apes

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all in on micro strategy.

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And as a Bitcoiner, one of the things that I like about Bitcoin is that there

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is no third party risk to any one individual.

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And there is no Satoshi CEO who, if he dies, the entire strategy falls apart.

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Now, that said, I think Michael Saylor is probably a very healthy man.

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I think in the short term, he's really cooked something up pretty crazy.

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And MicroStrategy last week, or at least since we got together,

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acquired another 15,400 Bitcoin.

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They are trying to stack as much as possible before 100,000.

235
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They bought $1.5 billion at approximately $95,976 per coin. They now hold over 402,100 Bitcoin.

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They've spent a total of $23.4 billion on their Bitcoin strategy so far.

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He's stacking as fast as he possibly can.

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And that's why CNBC loves to talk to him. We bought it about 42 times since

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August of 2020 to today. From August.

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And at this point, the strategy is to issue stock or convertible debt of MicroStrategy

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and use that to buy Bitcoin.

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We're a Bitcoin treasury company, so we're securitizing Bitcoin.

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We're providing high performance equity. We're also providing convertible bonds.

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We've provided other kinds of bonds in the past. But primarily our job is to

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bridge the traditional capital markets that want bonds or they want fixed income

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or they want equity or they want options.

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And we plug that into the crypto economy and we use Bitcoin as the vehicle to do that.

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That, I thought, was one of his tightest and best explanations so far.

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You know what I mean? Just like this good, clear, this is what we're doing,

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this is why it's successful.

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However, of course, because these

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guys on CNBC, you'd think they don't understand traders' minds at all.

253
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The volatility conversation always comes up. Well, what about the volatility, Michael?

254
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What about the volatility can crash? and he

255
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addresses not only that but he seems to kind of leave

256
00:18:25,112 --> 00:18:28,932
him stunned for a moment with one of his zinger sailor

257
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analogies with microstrategy we're

258
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10x the volatility s&p how much of it do you want to trade so bitcoin is unique

259
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in the history of the capital markets it's the first scarcity commodity outperforming

260
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the s&p more volatility s&p that you can put on your balance Volatility at some

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time is not always a good thing. I mean, it's great when something's going higher.

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But do you don't think that there'll be a drop or a significant drop that comes

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along? Have we moved past that because of the regulatory changes that have taken place?

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I think it'll remain volatile because it's a 24-7, 365 global asset.

265
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You can panic sell it on Saturday night. You can enthusiastically buy it on Sunday morning.

266
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That's a feature. That's not a bug. You've lived through some of the swings.

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But do you think we won't see the downturns like we've seen in the past just

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because of the changes we've seen? I think it's going to surge through the roof,

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and then it's going to surge to 180 and crash to 140, and people will be freaking

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out about it again. But let me make this one analogy.

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Volatility is like fire, and some people run away from the fire.

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But Henry Ford put the fire into a carriage via an engine, created an entire

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industry, and he gave humanity wings.

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They didn't know what to say. I just had to leave the silence in there for a

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moment because they just weren't. I guess so. Yeah.

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Is that what he's doing? Is that what he's doing?

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Now, Michael Saylor has become pretty well known for pitching to the Microsoft

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board about adopting Bitcoin. I've covered it here on the show.

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And his three minute presentation is out. I'll put a link to it in the show

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notes. It's sailor in board pitch mode, which is the most low-key sailor you're ever going to hear.

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It's very odd. Not very good audio for the show.

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Sample for you here for a second, just so you get a taste of it.

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Microsoft can't afford to miss the next technology wave, and Bitcoin is that wave.

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Bitcoin represents the greatest digital transformation of the 21st century.

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It represents digital capital. The global wealth is distributed across assets

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that provide utility and others that preserve capital.

287
00:20:41,775 --> 00:20:45,735
Jerome Powell, as I'm recording today, just came out during an interview on

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CNBC and said that, quote, Bitcoin is a competitor with gold, not the U.S. dollar.

289
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You see, this is how they all see it. Micro strategy, the Treasury,

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Federal Reserve, apparently, the Federal Reserve chair, apparently.

291
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They all see it as like this great asset that doesn't compete with the dollar.

292
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And I think that's probably very likely.

293
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I could see Bitcoin being in price discovery for the rest of my lifetime.

294
00:21:12,115 --> 00:21:16,775
There's really no precedent. I mean, Bitcoin's been on a 14-year price discovery

295
00:21:16,775 --> 00:21:18,195
journey, and it's been quite volatile.

296
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So what's to say that's the stopping time? I mean, look at gold.

297
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It's been on a price discovery journey for like 2,000 years.

298
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So I wonder if maybe they are right for the short term, at least.

299
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I'm curious what you think.

300
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If we could see Bitcoin, in a way, initially strengthen these companies and

301
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strengthen the US dollar system. What Saylor argues is pretty reasonable.

302
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A lot of people are buying Microsoft stock because of the potential,

303
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the potential of AI, the potential of enterprise integration,

304
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the potential of the GitHub platform and developer tools.

305
00:21:56,675 --> 00:22:02,495
They're not really buying Microsoft because of what it has today or because of what assets it holds.

306
00:22:02,955 --> 00:22:07,355
Right now, Microsoft trades at 20 times forward expectations.

307
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So what you're, or I'll say it, 95% of the enterprise value of Microsoft is

308
00:22:14,535 --> 00:22:17,355
based on expectations is the best way to say it, right?

309
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And that means it has, it's very asset poor, it's expectation rich.

310
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Why don't you actually buy assets?

311
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And instead of being 95% on expectations, be 50% on expectations,

312
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de-risk the company, grow the enterprise value and feed the digital economy

313
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of the future. What was the response?

314
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The shareholder meeting is December 10th. We'll find out. What do you expect?

315
00:22:45,881 --> 00:22:50,121
Glazed eyes. I don't have any illusions that mega corporations are going to

316
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immediately embrace Bitcoin.

317
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But what I do think is it's going to become part of the conversation.

318
00:22:55,221 --> 00:23:00,901
And there are about 120 companies that are public that are starting to hold Bitcoin right now.

319
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There are a lot of Bitcoin standard companies like Mara, like Simler,

320
00:23:06,221 --> 00:23:11,281
like Metaplanet, like, you know, Rumble is getting into the business.

321
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And as they start to buy Bitcoin and issue fixed income securities and equity

322
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securities, you're going to see demand increase.

323
00:23:19,721 --> 00:23:23,141
Yeah, it would probably start with the smaller tech companies that are just

324
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naturally more volatile themselves. I think that makes sense.

325
00:23:25,861 --> 00:23:29,921
You know, I've seen it multiple times, but I think it was just as recently as

326
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three months ago, the former speaker of the House, Paul Ryan,

327
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said that the solution to the U.S.

328
00:23:36,181 --> 00:23:39,461
Debt crisis is stablecoins and increasing T-bill demand there.

329
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The incentives are likely to line up and i i guess i wonder you know if if the

330
00:23:45,681 --> 00:23:51,181
u.s government figures this out its short term seems quite bullish and i don't

331
00:23:51,181 --> 00:23:54,161
really have the fears that some people have about oh they're going to control

332
00:23:54,161 --> 00:23:55,761
bitcoin they're going to force a fork.

333
00:23:56,781 --> 00:23:59,681
I i think you're uh you're forgetting how

334
00:23:59,681 --> 00:24:02,641
brilliant satoshi was you know for the last

335
00:24:02,641 --> 00:24:05,521
13 or 14 years this thing has been freely

336
00:24:05,521 --> 00:24:09,301
distributed to the plebs to the people through mining

337
00:24:09,301 --> 00:24:12,041
through proof of work and the

338
00:24:12,041 --> 00:24:16,001
vast vast majority of the bitcoin supply is

339
00:24:16,001 --> 00:24:19,361
held by those plebs it's held by those people and black

340
00:24:19,361 --> 00:24:22,261
rock can buy up you know four or five percent of the supply one

341
00:24:22,261 --> 00:24:26,581
day the u.s government could buy up four or five percent of the supply one day

342
00:24:26,581 --> 00:24:31,201
but that doesn't that you know what that doesn't even that doesn't even that's

343
00:24:31,201 --> 00:24:36,101
not even a drop in the bucket compared to what the hodlers have you know river

344
00:24:36,101 --> 00:24:40,941
of course i'm a big fan of river they have some visuals out around this.

345
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And they also include the distribution to, I guess what I'm trying to say is

346
00:24:48,640 --> 00:24:51,500
they try to include the potential loss of Bitcoin.

347
00:24:51,880 --> 00:24:55,100
So they try to have a visualization they put out on December 3rd.

348
00:24:55,420 --> 00:24:57,220
I'll put a link in the show notes to this.

349
00:24:58,120 --> 00:25:02,940
And it tries to kind of, in one visual, try to show you the distribution of Bitcoin.

350
00:25:03,560 --> 00:25:07,220
And businesses hold about 836,000 Bitcoin right now.

351
00:25:07,980 --> 00:25:10,820
ETFs hold about 1.25 million in early December.

352
00:25:11,460 --> 00:25:16,740
Governments around the world, about 307,000. Of course, there's still about 1.2 million to be mined.

353
00:25:17,220 --> 00:25:25,280
And River estimates at least, you know, somewhere around almost 1.5 to 2 million Bitcoin lost.

354
00:25:25,740 --> 00:25:30,140
And you have Satoshi's stash too, which is almost a million coin.

355
00:25:31,220 --> 00:25:37,840
69.9% is held just among individuals. 14.69 million Bitcoin.

356
00:25:38,940 --> 00:25:44,180
ETFs hold 1.25 million. The people hold 14.7 million Bitcoin.

357
00:25:44,780 --> 00:25:49,520
So that's a pretty good buffer. You understand? That's a pretty good buffer.

358
00:25:49,640 --> 00:25:55,340
Satoshi was so brilliant, really very brilliant to think of this distribution mechanism.

359
00:25:55,560 --> 00:26:00,640
And then Wall Street laughed. They didn't take it seriously for too long to their detriment.

360
00:26:01,260 --> 00:26:05,780
And the fact that we are at the point where it's even being discussed as a way

361
00:26:05,780 --> 00:26:10,040
for Microsoft to de-risk themselves from essentially everybody betting on a

362
00:26:10,040 --> 00:26:13,840
promise, or that we're talking about how Bitcoin could be used as a strategy

363
00:26:13,840 --> 00:26:15,320
to strengthen the dollar system.

364
00:26:16,588 --> 00:26:22,868
Or that the federal chair Jerome Powell is on stage saying that Bitcoin is a competitor to gold.

365
00:26:23,248 --> 00:26:27,768
Or in the Federal Reserve itself, in terms of the system, what do you think of that idea?

366
00:26:28,028 --> 00:26:30,548
I don't think that's how people think about it. I mean, it's so,

367
00:26:31,248 --> 00:26:35,208
you know, people use Bitcoin as a speculative asset, right? It's like gold.

368
00:26:35,368 --> 00:26:37,688
It's just like gold only. It's virtual. It's digital.

369
00:26:38,348 --> 00:26:43,228
People are not using it as a form of payment or as a store of value. It's highly volatile.

370
00:26:43,468 --> 00:26:46,488
It's not a competitor for the dollar. It's really a competitor for gold.

371
00:26:46,668 --> 00:26:49,448
You know, it's that's really how I think of it.

372
00:26:49,708 --> 00:26:55,728
I love that in J-Pow's world, gold is a speculative asset, not the dollar,

373
00:26:55,868 --> 00:27:00,148
not the thing that loses value every single day and is always going down.

374
00:27:00,628 --> 00:27:05,208
But the thing that's always going up and has been always going up against the dollar.

375
00:27:05,748 --> 00:27:07,668
That's the speculative dangerous asset.

376
00:27:08,748 --> 00:27:14,748
But that even seemingly kind of, you know, crap sandwich there is a fundamental

377
00:27:14,748 --> 00:27:18,228
shift from it's nothing, it has no place in the marketplace,

378
00:27:18,748 --> 00:27:22,008
you know, that now, you know, it's as worthless as gold.

379
00:27:22,748 --> 00:27:27,088
OK. All right. Well, you know what? I'm going to take that from the Fed chair.

380
00:27:31,508 --> 00:27:34,808
So are you bullish for 2025? Boosting and tell me if you are,

381
00:27:34,928 --> 00:27:39,268
why are you bullish? Is it federal policy? Is it just the dynamics of the happening?

382
00:27:39,528 --> 00:27:43,348
Is it the ETFs? Why are you bullish in 2025?

383
00:27:44,328 --> 00:27:49,128
And if you're not bullish, what should we be prepared for? What is it that we're

384
00:27:49,128 --> 00:27:50,788
not looking out for? What are we not seeing?

385
00:27:51,288 --> 00:27:54,788
What is the threat to Bitcoin in 2025? Boost that in as well.

386
00:27:55,248 --> 00:27:58,488
I have a low-hanging fruit example for you, just something I've kind of been chewing on.

387
00:27:59,268 --> 00:28:02,268
A Coinbase hack in 2025 would be disastrous.

388
00:28:03,068 --> 00:28:08,308
Not only would people just be out probably a lot of funds, although I'm told

389
00:28:08,308 --> 00:28:12,308
that Coinbase only holds a small portion online, but imagine the backlash.

390
00:28:13,028 --> 00:28:15,748
People will claim digital assets are too hard to custody.

391
00:28:16,488 --> 00:28:20,128
Even Coinbase can't do it. You know, there'd be a lot of that.

392
00:28:20,788 --> 00:28:23,868
God only knows if there'd be some sort of, like, reaction in Congress.

393
00:28:24,788 --> 00:28:27,968
But I think it would dramatically halt the institutional momentum because so

394
00:28:27,968 --> 00:28:31,108
many of them are using Coinbase behind the scenes.

395
00:28:31,568 --> 00:28:35,468
I think it's a low risk, but it's an example of what I'm talking about here.

396
00:28:35,588 --> 00:28:40,088
Like what are the big risks in 2025 that we're not really paying attention to?

397
00:28:40,208 --> 00:28:45,088
Because so many of these macro narratives and conditions are coming together

398
00:28:45,088 --> 00:28:46,748
to be very bullish for Bitcoin.

399
00:28:47,388 --> 00:28:52,288
I think it's important we try to keep our eye on what could still get us. What could nip us?

400
00:28:52,448 --> 00:28:55,568
What might be that black swan? Boost in. tell me why you're bullish or.

401
00:28:55,440 --> 00:29:14,160
Music.

402
00:29:14,779 --> 00:29:18,659
All right. Well, coming up on the show, your boost. I have three huge environmental

403
00:29:18,659 --> 00:29:20,579
studies that I want to share with you.

404
00:29:21,079 --> 00:29:26,659
Some big, big updates this week. And I did it once again. I have two more final

405
00:29:26,659 --> 00:29:28,639
clips of the week, State of the Network and more.

406
00:29:28,979 --> 00:29:32,939
But first, I want to talk about some ways you can stack sats and support the show.

407
00:29:33,319 --> 00:29:37,439
Buy your sats on river. It's the best, as far as I know, the best way to stack in the US.

408
00:29:37,539 --> 00:29:42,159
I have no official relationship with them, But I think they have a brilliant

409
00:29:42,159 --> 00:29:43,879
system. They're Bitcoin only.

410
00:29:44,079 --> 00:29:47,099
They let you withdraw over Lightning. Beautiful interface for DCE.

411
00:29:47,439 --> 00:29:51,039
Nice web app and mobile apps available to you. That's River.

412
00:29:51,379 --> 00:29:54,319
They're great. They also let you give Bitcoin gift cards.

413
00:29:54,939 --> 00:29:57,899
When you go over to River and Stack Sats and use my link in the show notes,

414
00:29:58,059 --> 00:29:59,199
you support the show too.

415
00:29:59,739 --> 00:30:03,499
Another great option, if River hasn't worked for you or if you're in Canada,

416
00:30:03,999 --> 00:30:09,499
the Bitcoin well. They have amazing self-custody options, including Lightning support.

417
00:30:09,759 --> 00:30:12,539
And in Canada, they have stuff that I see nowhere else.

418
00:30:13,299 --> 00:30:16,039
That's the Bitcoin will. I'll put a link to that in the show notes.

419
00:30:16,119 --> 00:30:16,959
I have an affiliate to them now.

420
00:30:17,239 --> 00:30:21,439
The Bitcoin company, if you're ready to spend your sats, thebitcoincompany.com,

421
00:30:21,539 --> 00:30:23,439
use the promo code JUPITER.

422
00:30:23,759 --> 00:30:26,559
You don't even have to create an account over there. You can log in with Lightning,

423
00:30:27,159 --> 00:30:30,079
send sats over Lightning quickly into a gift card, and just go.

424
00:30:30,739 --> 00:30:34,859
If you're ready to pay your bills and stack sats, that's what I use the fold card for.

425
00:30:35,559 --> 00:30:38,839
I'll have a link to that, as well as my link to Salt Lending.

426
00:30:39,279 --> 00:30:42,539
That's how I get access to my Bitcoin value without selling it.

427
00:30:42,699 --> 00:30:45,499
And I'll tell you more about that. And we're going to have a good conversation

428
00:30:45,499 --> 00:30:46,479
in the booth around that too.

429
00:30:47,099 --> 00:30:49,519
So the links to all of that are at the top of the show notes.

430
00:30:50,000 --> 00:31:04,240
Music.

431
00:31:05,344 --> 00:31:09,764
And we do have some great boosts to get into, so strap it on because we're going

432
00:31:09,764 --> 00:31:12,124
to get into a good conversation this week.

433
00:31:12,264 --> 00:31:16,264
We're going to dive deep into the boost this week, as the Google machine might say.

434
00:31:17,724 --> 00:31:23,224
And our first boost comes from user 709936771.

435
00:31:23,524 --> 00:31:27,424
So I think you don't have your username set in Fountain, but you can absolutely

436
00:31:27,424 --> 00:31:31,684
boost me back or shoot me an email or something. and I will credit you because

437
00:31:31,684 --> 00:31:34,404
this is one hell of a baller boost.

438
00:31:34,584 --> 00:31:42,924
User 79 comes in with 500,000 sets. Hey, Rich Lobster! Hey.

439
00:31:39,920 --> 00:32:01,840
Music.

440
00:32:02,604 --> 00:32:06,604
Rich Lobster! User 79, thank you so much. Like I said, small boost or something,

441
00:32:06,764 --> 00:32:11,044
or a message, hit me up on Noster, let me know. I'll credit you.

442
00:32:11,864 --> 00:32:15,544
They write, this episode will age well. Keep up the amazing work,

443
00:32:15,684 --> 00:32:19,384
Chris. Well, thank you for that amazing value. You just made the episode right there, sir.

444
00:32:20,724 --> 00:32:23,504
You'll probably help make this one of our best episodes of the year,

445
00:32:23,944 --> 00:32:25,524
and that means a tremendous amount to me.

446
00:32:25,704 --> 00:32:28,224
I've been putting a ton of work in recently. Thank you, User 79.

447
00:32:28,224 --> 00:32:30,284
I really appreciate that boost.

448
00:32:32,369 --> 00:32:37,249
Now, Wine Eagle also comes in with a very generous 75,000 sats.

449
00:32:37,429 --> 00:32:41,349
I hoard that which your kind covet. Coming in hot with the booze.

450
00:32:41,429 --> 00:32:43,429
Wine Eagle writes, stay humble and stack those sats.

451
00:32:44,049 --> 00:32:47,549
Adjust for the podfather. Let's all brainstorm ways to get off of Hive.

452
00:32:48,549 --> 00:32:52,409
Oh, yeah. You know, I mean, I'm not opposed to working towards stuff like that.

453
00:32:52,809 --> 00:32:55,629
But there's a little bit more urgent stuff, I think, that they have to address

454
00:32:55,629 --> 00:32:58,429
with Albie custodial services going away.

455
00:32:58,989 --> 00:33:04,329
And that solution works now. I don't think it's necessarily a bad idea to work

456
00:33:04,329 --> 00:33:07,269
away from it, but I don't think it's the top problem right now.

457
00:33:07,429 --> 00:33:11,609
He says, I do see the irony of boosting against Hive using, although the boosts don't use Hive.

458
00:33:13,109 --> 00:33:17,129
Hive is really only used in just the notification that a new episode has come

459
00:33:17,129 --> 00:33:20,929
out. I'm still not convinced that these things need to be anything more than a privileged database.

460
00:33:21,509 --> 00:33:24,589
I think the idea around that was not to have a centralized database.

461
00:33:24,589 --> 00:33:30,089
So if the podcast index went down or that you couldn't censor through the index.

462
00:33:30,569 --> 00:33:34,449
The idea with Hive was to have it fully distributed in a way that left it uncensorable,

463
00:33:34,649 --> 00:33:39,549
and any podcast client or like a server running a Rust app or Go app that,

464
00:33:39,549 --> 00:33:43,769
you know, checks the chain could subscribe and pull the information out.

465
00:33:44,229 --> 00:33:46,829
You know, there's things out there like Nostra that offer similar things now,

466
00:33:46,909 --> 00:33:48,149
but that didn't exist a few years ago.

467
00:33:48,789 --> 00:33:54,489
And I think the number one priority is to make the boosting onboarding and the

468
00:33:54,489 --> 00:33:59,089
actual boosting experience even better and easier and solve for the Albi custodial

469
00:33:59,089 --> 00:34:00,429
services going away for listeners.

470
00:34:01,349 --> 00:34:04,289
That's like, got to do that in the next couple of weeks kind of priority.

471
00:34:05,129 --> 00:34:08,969
And anything I can do to help them with those transitions, I hope I can do it.

472
00:34:09,089 --> 00:34:09,889
But thank you, Wine Eagle.

473
00:34:10,029 --> 00:34:13,829
Thank you very much. And I think it's still something to keep on the radar. Appreciate that boost.

474
00:34:14,649 --> 00:34:16,709
Derivision Dingus came in with 20,000

475
00:34:16,709 --> 00:34:20,529
sats. Dingus, I'm looking up for all McDuck. That's almost a McDuck.

476
00:34:21,049 --> 00:34:24,469
Says, excellent episode as usual. I think you hit the nail on the head about

477
00:34:24,469 --> 00:34:27,089
Bitcoin loans. Oh, yeah, we're going to be talking about Bitcoin loans a little bit.

478
00:34:28,120 --> 00:34:33,920
I believe it's going to be a massive market, he writes. I need one myself, actually.

479
00:34:34,560 --> 00:34:38,420
Last year, I had some cash set aside to buy a car and went to some dealerships.

480
00:34:38,580 --> 00:34:41,800
But right before I pulled the trigger, Uncle Sam hit my wife and I with a massive

481
00:34:41,800 --> 00:34:43,600
tax bill. Oh, I've been there.

482
00:34:44,100 --> 00:34:46,360
As soon as things usually get straightened out, that's when I get hit by these

483
00:34:46,360 --> 00:34:49,080
incredible tax bills. It's really hard to be a small business owner.

484
00:34:50,100 --> 00:34:54,960
So that soaked up all the cash, of course. It was our first full year of living

485
00:34:54,960 --> 00:34:56,260
and working in Washington.

486
00:34:56,740 --> 00:34:59,780
And I guess my wife wasn't paying enough in taxes out of her paycheck.

487
00:35:00,060 --> 00:35:01,620
It wiped out my whole car fund.

488
00:35:02,140 --> 00:35:05,080
Luckily, I was listening to This Week in Bitcoin and stacking sets,

489
00:35:05,120 --> 00:35:08,400
so it didn't hurt as bad as it could have, but now I need one of those Bitcoin

490
00:35:08,400 --> 00:35:11,460
loans and I'm highly interested in the subject either way, so thanks for covering

491
00:35:11,460 --> 00:35:12,320
these important topics.

492
00:35:12,880 --> 00:35:16,200
Yeah, I think a lot of us are going to be looking at, hey, I stacked this.

493
00:35:16,320 --> 00:35:20,440
Even if you stacked at $50,000, right? Not to mention some people were stacking at $200.

494
00:35:21,440 --> 00:35:23,540
You want to get access to some of that value without selling.

495
00:35:23,840 --> 00:35:25,900
It is a risky thing, though. We're going to keep talking about that.

496
00:35:27,060 --> 00:35:32,860
Bobbypin came in with 10,000 sats. Hey, that's just over 9,000. It's over 9,000!

497
00:35:33,040 --> 00:35:36,220
I am programmed in multiple techniques. It took about three years of listening

498
00:35:36,220 --> 00:35:40,060
to you before I switched to Arch, about seven years before I really bought into

499
00:35:40,060 --> 00:35:45,960
Bitcoin, and now I'm excited to switch to Nix in 2028 and kick myself for not trying it sooner.

500
00:35:49,580 --> 00:35:53,380
All right. I like that you're honest with yourself about that.

501
00:35:57,000 --> 00:36:01,880
Thanks for all you've done. Keep at it. Thanks, Bobby Penn. That's really funny.

502
00:36:02,080 --> 00:36:03,440
It's good to hear from you too.

503
00:36:04,120 --> 00:36:06,180
One dull geek comes in with a row of sats.

504
00:36:07,080 --> 00:36:11,320
Oh, look at them go. I'm not sure I understand the risk profile of a Bitcoin-backed loan.

505
00:36:11,780 --> 00:36:16,420
If I collateralize at 2x my loan value, I think I risk losing all that 2x Bitcoin,

506
00:36:16,620 --> 00:36:19,940
where selling Bitcoin risks only 1x. Straight. Great.

507
00:36:20,860 --> 00:36:24,880
So I think you're, okay, so to explain this in another way so people are following,

508
00:36:25,420 --> 00:36:29,460
say you wanted to get $5,000 of a Bitcoin loan to go, you know,

509
00:36:29,840 --> 00:36:30,880
to fix something or whatever.

510
00:36:31,460 --> 00:36:34,460
They would want generally, although this depends on the platform,

511
00:36:34,800 --> 00:36:38,540
but generally they want half or more in collateral.

512
00:36:38,700 --> 00:36:41,980
So you put in $10,000 in Bitcoin, you get a $5,000 USD loan.

513
00:36:42,560 --> 00:36:49,460
So you want a $20,000 Bitcoin loan, then you got to put in $40,000 of Bitcoin. and I.

514
00:36:50,320 --> 00:36:55,860
When the price drops, they will margin call you to cover the difference there

515
00:36:55,860 --> 00:36:58,780
if you go below a threshold of collateralization.

516
00:36:59,600 --> 00:37:02,120
So that's where you will sell. And the downside there will be you'll sell at

517
00:37:02,120 --> 00:37:04,620
a slightly cheaper price than you might have sold at the top of the market.

518
00:37:05,180 --> 00:37:06,660
But you also might not have to sell at all.

519
00:37:07,380 --> 00:37:10,120
Of course, selling Bitcoin also risks the loss to the upside.

520
00:37:10,280 --> 00:37:13,660
I have essentially shorting Bitcoin, he writes, which could be a bigger than 2x risk. No kidding.

521
00:37:14,200 --> 00:37:17,900
I think it's very likely a bigger than 2x risk. I think the timing might be

522
00:37:17,900 --> 00:37:18,960
important to make the loan work.

523
00:37:19,600 --> 00:37:24,140
Drawing the loan at the top for a typical 50% or 80% dip would be pretty bad,

524
00:37:24,340 --> 00:37:26,840
whereas drawing at the bottom would be awesome.

525
00:37:27,260 --> 00:37:30,420
I feel pretty comfortable with my intelligence level, but I've never really

526
00:37:30,420 --> 00:37:32,840
felt really great about predicting things like that.

527
00:37:33,460 --> 00:37:38,780
I agree. I generally don't either. However, just because of everything I had

528
00:37:38,780 --> 00:37:40,900
been following on the show and everything I've been telling you guys,

529
00:37:41,040 --> 00:37:42,240
it's going to rip after the election.

530
00:37:42,980 --> 00:37:47,540
I just sort of, I think we got the loan, you know, just a little bit before

531
00:37:47,540 --> 00:37:50,380
the election because I figured that's when it would pump and then I could probably

532
00:37:50,380 --> 00:37:51,460
suffer a pretty big drawdown.

533
00:37:51,520 --> 00:37:56,340
I think with the loan I'm experimenting with right now, I don't get a margin

534
00:37:56,340 --> 00:37:58,400
call until Bitcoin drops to 35,000.

535
00:38:00,160 --> 00:38:04,220
So that's, I feel pretty good about, right? But you're right, I had to time that.

536
00:38:04,440 --> 00:38:07,380
But that's kind of, I mean, I'm not, this is not financial advice and I don't

537
00:38:07,380 --> 00:38:13,080
know really S about F, but you can listen and work out what I might be onto,

538
00:38:13,180 --> 00:38:18,040
what I might not be onto and kind of help build out your decision-making here. That's what I used.

539
00:38:18,540 --> 00:38:22,600
The same data I bring to you on the show is the data I used to decide when to take my loan out.

540
00:38:23,160 --> 00:38:26,860
So it is possible, but it's risky. But I feel like, and I know this is,

541
00:38:27,040 --> 00:38:31,160
and I think the thing I'm trying to communicate is I feel like it's less risky

542
00:38:31,160 --> 00:38:32,300
than selling your Bitcoin.

543
00:38:33,260 --> 00:38:36,980
It's less risky than selling your Bitcoin. Yes, you might end up selling it.

544
00:38:37,060 --> 00:38:39,440
Yes, you might have to sell at a price you don't want to sell it at.

545
00:38:40,220 --> 00:38:45,340
But you might also avoid ever having to sell it. And then you get access to the gains forever.

546
00:38:46,000 --> 00:38:50,120
So that's where I think like I'm wondering if that thought process checks out

547
00:38:50,120 --> 00:38:55,680
great boost thank you very much one dull geek not a dull question at all Joe

548
00:38:55,680 --> 00:38:58,600
Emili comes in with 11,101.

549
00:38:59,700 --> 00:39:06,480
That's not possible nothing can do that well he just did he just did and he just sends a number one,

550
00:39:07,308 --> 00:39:12,168
You know what? Number one right back at you. Thank you very much. Appreciate that boost.

551
00:39:12,688 --> 00:39:17,208
Some dude comes in with 10,101 sats. You's a boost.

552
00:39:17,588 --> 00:39:20,948
That's not a Jar Jar boost. My bad. Here, you get another one just for that.

553
00:39:21,328 --> 00:39:24,288
Sometimes my genius is, it's almost frightening. I know.

554
00:39:24,568 --> 00:39:29,388
I'm not happy with the swan fees, but River is not available in my state.

555
00:39:29,388 --> 00:39:34,828
I want a service that supports DCA and auto withdrawal, and I don't want a service that requires a phone.

556
00:39:35,508 --> 00:39:39,448
Any ideas? Well, some dude. I think you should definitely check out Bitcoin.

557
00:39:39,448 --> 00:39:42,788
Well, that's one of the reasons I added them to my affiliate list.

558
00:39:42,948 --> 00:39:45,528
I've been watching them for a while. I think they're a pretty solid company.

559
00:39:45,608 --> 00:39:49,368
I have some good news about them later in the show. Also factored into my decision.

560
00:39:50,688 --> 00:39:53,548
And you don't need a phone app. I think that's what you mean.

561
00:39:53,628 --> 00:39:56,728
I don't know. They're probably going to KYC you, right? Because any of these companies do.

562
00:39:57,188 --> 00:39:59,448
But I don't think they require you use a phone app.

563
00:40:00,488 --> 00:40:05,528
And they encourage you when you purchase the Bitcoin to immediately withdraw

564
00:40:05,528 --> 00:40:06,768
it to an external wallet.

565
00:40:06,888 --> 00:40:09,208
In fact, I think that's how the workflow, I don't even know,

566
00:40:09,328 --> 00:40:11,288
I mean, maybe there's a way to store, maybe you can build a wallet,

567
00:40:11,408 --> 00:40:15,668
but the workflow that I have on there is when you purchase, it goes immediately

568
00:40:15,668 --> 00:40:16,888
to an external wallet address.

569
00:40:17,468 --> 00:40:19,528
And there's a lot of ways you can do it. I have a Lightning address in there

570
00:40:19,528 --> 00:40:24,208
too. It'll take an LNURL compatible Lightning address, which is really sweet.

571
00:40:24,668 --> 00:40:27,948
And then the features set from there just goes even crazier up in Canada.

572
00:40:28,128 --> 00:40:29,988
But check out the Bitcoin wheel. Tell me what you think.

573
00:40:30,368 --> 00:40:32,908
Some dude, and I'd really like some feedback on that.

574
00:40:33,448 --> 00:40:36,328
Now, Mug Daddy comes in with a real Jar Jar boost, 5,000 sats.

575
00:40:36,428 --> 00:40:40,908
You're so boost. I made my wife listen to that Trudeau clip like three times.

576
00:40:42,348 --> 00:40:43,068
That's hilarious.

577
00:40:44,708 --> 00:40:49,708
Yes, I love it. I know. And he was so just cocksure of himself, too.

578
00:40:53,168 --> 00:40:55,828
Oh, Trudeau. I don't know if you saw that.

579
00:40:55,908 --> 00:40:58,248
Did you see the picture of him going around dinner at Trump?

580
00:40:58,248 --> 00:41:01,828
And first of all, there's like a kid photobombing it making a crazy face in the background.

581
00:41:02,088 --> 00:41:05,988
And then somebody photoshopped Trudeau's face out and put one of those South

582
00:41:05,988 --> 00:41:08,308
Park Canadian characters where their whole head just moves.

583
00:41:09,208 --> 00:41:14,768
Guess simple things please me i suppose anyways thank

584
00:41:14,768 --> 00:41:17,528
you very much for the boost and i'm i got i really like

585
00:41:17,528 --> 00:41:20,588
that you've played that for your wife a few times appreciate that

586
00:41:20,588 --> 00:41:28,188
thanks mug daddy north hodl comes in with 2 121 sats okay you need the whole

587
00:41:28,188 --> 00:41:34,388
audience on board with moscow time it's sats per dollar so 99.99 is 100k in

588
00:41:34,388 --> 00:41:39,108
value okay all right and then he sends me a link so I can edificate myself, I'm assuming.

589
00:41:39,648 --> 00:41:44,128
A link to Weapon X, as a matter of fact, where it's just a picture of Elon.

590
00:41:44,628 --> 00:41:49,088
I don't know what that's about. No, actually, it's an explanation of the term

591
00:41:49,088 --> 00:41:53,168
Moscow time, which became notable during a video call with Jack Dorsey,

592
00:41:53,528 --> 00:41:56,728
where he had a block clock showing 1952.

593
00:41:57,328 --> 00:42:02,128
Instead of thinking $1 equaled 1952 sats, people started speculating if he was

594
00:42:02,128 --> 00:42:06,728
in a different time zone because he, coincidentally, was in that time.

595
00:42:06,728 --> 00:42:09,248
It was 1952 in Moscow at that exact moment.

596
00:42:10,448 --> 00:42:15,728
That's a deep ref, man. Thanks for bringing me up to speed. That was a meme I was not familiar with.

597
00:42:16,308 --> 00:42:18,908
Appreciate the edimication, North, and thanks for the boost.

598
00:42:19,668 --> 00:42:22,308
BitCryptics here with 2,048 sats.

599
00:42:23,628 --> 00:42:27,848
BTC-backed loans for the win. I used your salt code. Thanks for sharing and

600
00:42:27,848 --> 00:42:31,368
add it to my referral co-chairing platform at rcx.bitcryptic.com.

601
00:42:31,448 --> 00:42:33,068
Well, are you asking?

602
00:42:33,908 --> 00:42:37,668
Absolutely, add it. Thank you. And thank you for using, yeah,

603
00:42:37,768 --> 00:42:40,528
I decided after the episode, yeah, I was going to do it. And I'll tell you why.

604
00:42:41,428 --> 00:42:45,348
Salt has two features, which I've never had to use, so I cannot actually vouch for them yet.

605
00:42:45,368 --> 00:42:50,168
But I read through all their documentation and they list them as current features.

606
00:42:50,288 --> 00:42:53,788
Number one, actually, so this isn't a feature, but it's something that they

607
00:42:53,788 --> 00:42:55,148
confirmed, their CEO confirmed.

608
00:42:55,748 --> 00:43:01,068
They're a Bitcoin company now they were, you know an everything coin company

609
00:43:01,068 --> 00:43:05,048
and they even had their own token for a bit the SALT token, now they still have

610
00:43:05,048 --> 00:43:07,808
to support that for historical reasons but they're really walking all that back

611
00:43:07,808 --> 00:43:09,448
and they're completely focusing on Bitcoin,

612
00:43:10,188 --> 00:43:14,628
that's why I started monitoring them about a year ago and that's usually my

613
00:43:14,628 --> 00:43:18,568
strat is I'll start watching and I'll follow them really closely,

614
00:43:18,728 --> 00:43:23,048
I'll try out the platform and then I'll watch all the news and then if they

615
00:43:23,048 --> 00:43:24,748
don't screw up for a while Well,

616
00:43:25,648 --> 00:43:29,828
you know, then I'll actually like create an actual account and actually start using it.

617
00:43:29,928 --> 00:43:33,768
And then if that goes okay, I'll start talking about it. That's where I'm at with salt right now.

618
00:43:34,848 --> 00:43:38,268
And the other thing that gave me some confidence, and I think this is an interesting

619
00:43:38,268 --> 00:43:42,348
feature, is, and this is my one use case for stable coins.

620
00:43:42,988 --> 00:43:47,028
If you hold stable coins on their platform, they will liquidate that before

621
00:43:47,028 --> 00:43:47,928
they liquidate your Bitcoin.

622
00:43:48,588 --> 00:43:55,408
So you can have, you know, you do you, but you can have $1,000 in stablecoins on the SALT platform.

623
00:43:56,068 --> 00:44:00,228
And if they need to do a margin call, they will liquidate your stablecoins before

624
00:44:00,228 --> 00:44:01,848
they touch your Bitcoin stash.

625
00:44:03,095 --> 00:44:06,795
Also have a feature and I do have that. I'm using that feature.

626
00:44:07,195 --> 00:44:10,415
So I have like a buffer there if there's a margin call.

627
00:44:10,895 --> 00:44:14,815
The other thing they've done that I've never witnessed because I haven't had

628
00:44:14,815 --> 00:44:19,875
this problem is if Bitcoin is crashing and it is about to wipe out,

629
00:44:20,075 --> 00:44:22,875
they have an auto convert to stablecoin feature.

630
00:44:23,595 --> 00:44:27,035
So they'll convert your holdings to stablecoins and hold them at that value.

631
00:44:27,535 --> 00:44:33,315
Keep them there. And then they let you swap back into Bitcoin once the price starts coming back up.

632
00:44:33,795 --> 00:44:37,455
And that's another way they can protect from having to do a big margin call.

633
00:44:37,875 --> 00:44:41,115
I don't know of any other platform that does that. And that's a pretty neat

634
00:44:41,115 --> 00:44:42,875
feature. Thankfully, I've never had to try it.

635
00:44:43,435 --> 00:44:46,675
But it does give me some confidence between being able to hold some stable coins.

636
00:44:46,835 --> 00:44:50,415
So unfortunately, it's only Ethereum network stable coins.

637
00:44:50,615 --> 00:44:53,275
If I could give them any feedback, it would be like, I don't know,

638
00:44:53,355 --> 00:44:55,135
like Liquid would be better, Tether on Liquid.

639
00:44:55,755 --> 00:45:00,795
So I'm doing USDC over the Ethereum network. So, you know, the gas fees are ridiculous.

640
00:45:00,795 --> 00:45:03,995
So you do like one large chunk transfer and just

641
00:45:03,995 --> 00:45:07,555
put it on the wallet over there and then you've got that margin buffer that's

642
00:45:07,555 --> 00:45:10,375
my strat we'll see how it goes and bit cryptic thank

643
00:45:10,375 --> 00:45:13,135
you very much for using the salt code or and link in the show notes

644
00:45:13,135 --> 00:45:18,295
i really appreciate it hey patar's back and he's here with a space balls boost

645
00:45:18,295 --> 00:45:24,955
so the combination is one two three four five hello mr patar says the concern

646
00:45:24,955 --> 00:45:30,215
with bitcoin backed loans is should the value of your collateral drop beyond

647
00:45:30,215 --> 00:45:32,375
a certain point, which Bitcoin is famous for doing,

648
00:45:32,635 --> 00:45:35,895
the bank may liquidate the collateral at a price which is much,

649
00:45:36,075 --> 00:45:41,955
much lower than that you just sold at the cycle top and paid the capital gains tax.

650
00:45:42,475 --> 00:45:46,755
Yes, I believe that is the big risk right there.

651
00:45:47,395 --> 00:45:56,575
And I think my solution to that is that stablecoin buffer I just talked about, but also the risk.

652
00:45:58,175 --> 00:46:04,135
The reverse risk of if I sold my Bitcoin today, well, OK, let me back up.

653
00:46:04,435 --> 00:46:08,815
If I sold the Bitcoin to cover all the car repairs we had to do when it was

654
00:46:08,815 --> 00:46:15,435
at $57,000, just days later, I would have missed out on a 30% gain.

655
00:46:17,085 --> 00:46:20,265
And that's at this point in time right now in Bitcoin's history,

656
00:46:20,785 --> 00:46:26,725
you know, coming up on 10 months after the happening, ETFs gobbling up,

657
00:46:27,225 --> 00:46:31,365
everybody aping into the micro strategy, Bitcoin treasury, strat,

658
00:46:32,525 --> 00:46:36,685
nation states talking about building reserves, Fed lowering rates,

659
00:46:37,305 --> 00:46:41,165
other Western banks lowering rates, M2 supply going up.

660
00:46:42,585 --> 00:46:45,825
Kind of seems like the right time to bet on something like this.

661
00:46:46,525 --> 00:46:49,185
But you're right i think that's is the risk is that

662
00:46:49,185 --> 00:46:53,005
it really crashes and they liquidate you real quick at

663
00:46:53,005 --> 00:46:55,845
a price that's redonk the reality is they give

664
00:46:55,845 --> 00:47:02,765
you like 24 48 hours to address the margin call well if bitcoin dipped 80 it's

665
00:47:02,765 --> 00:47:09,565
probably going to be up 30 40 within 48 hours 24 hours i mean my god how how

666
00:47:09,565 --> 00:47:15,805
hard would most of us ape in if bitcoin got down to around $10,000 or even $30,000.

667
00:47:16,785 --> 00:47:22,645
I'd turn that DCA up to 11, buddy, pump that thing right back up. I think we all would.

668
00:47:23,185 --> 00:47:25,885
So the risk is definitely there that you may end up having to sell your Bitcoin

669
00:47:25,885 --> 00:47:29,525
at a lower price than you would have if you just sold it and took the Gapal gains hit.

670
00:47:30,085 --> 00:47:32,365
But I think there's a higher risk that you'll miss out on gains,

671
00:47:32,485 --> 00:47:34,205
especially in 2024 and 2025.

672
00:47:34,885 --> 00:47:38,105
I don't know if that's always the case, though. So perhaps you have to be a

673
00:47:38,105 --> 00:47:42,125
little flexible with the strategy. There's times to be Bitcoin-backed loan on,

674
00:47:42,185 --> 00:47:44,525
and there's times to be Bitcoin-backed loan off.

675
00:47:44,965 --> 00:47:49,405
And then as we get into the future, it just makes sense to stack more sats.

676
00:47:49,885 --> 00:47:52,325
So that way you have more collateral, you have more leverage,

677
00:47:52,325 --> 00:47:54,305
you can take more optionality as you need it.

678
00:47:54,905 --> 00:47:58,025
If you just go all in on the ETFs, you don't really have that.

679
00:47:58,185 --> 00:47:59,785
You're stuck to that ecosystem, at least.

680
00:48:00,685 --> 00:48:04,345
Thanks, Patar. Really good to hear from you. Ace Ackerman's here with AeroaDucks.

681
00:48:06,085 --> 00:48:11,725
Hello, Ace. Keep the portion of your Bitcoin stash and incrementally sell into a likely blow-off top.

682
00:48:12,445 --> 00:48:16,145
Then you'll have some profits to buy again at the bottom before the next halving.

683
00:48:16,405 --> 00:48:19,465
Wait for Bitcoin lending industry to mature before taking out large loans on

684
00:48:19,465 --> 00:48:21,445
your Bitcoin. Do you do that, Ace?

685
00:48:22,811 --> 00:48:27,411
Anybody do that? Does anybody, you know, layer out as Bitcoin goes up?

686
00:48:28,051 --> 00:48:31,051
I have a hard time just ever selling any of my Bitcoin.

687
00:48:31,731 --> 00:48:35,591
That's my problem. I feel like there's always a bigger risk that I won't be

688
00:48:35,591 --> 00:48:37,311
able to get that same amount of stash back.

689
00:48:37,991 --> 00:48:40,851
But there is that part of my brain is like, man, if you just did this strategically,

690
00:48:41,031 --> 00:48:47,471
you know, if Bitcoin's at 98,000 and let's say it pumps up to 112 and then comes

691
00:48:47,471 --> 00:48:51,911
down to 72 and you sell it like around 100 and then you bought back in around

692
00:48:52,351 --> 00:48:54,691
That'd be great, but you just don't know if it's going to happen, my friend.

693
00:48:55,591 --> 00:49:00,191
I couldn't do it. I just stack those sats. Stay humble. That's what I do.

694
00:49:01,031 --> 00:49:04,231
I wish I was savvy enough to do the trading like that. I really do.

695
00:49:04,331 --> 00:49:07,771
I mean, if I was that savvy, I'd probably get into some sort of inverse ETF

696
00:49:07,771 --> 00:49:09,471
situation and really burn myself out.

697
00:49:11,151 --> 00:49:15,891
All right. Well, thanks, Ace. User 80 comes in with a row of ducks.

698
00:49:17,331 --> 00:49:20,751
Just discovered your stuff. We'll keep listening. Well, thank you.

699
00:49:21,471 --> 00:49:24,511
Nice to hear from you. Thanks for checking in right away. And if you get that

700
00:49:24,511 --> 00:49:27,871
username set in Fountain, boost back in and give me a shout out.

701
00:49:28,671 --> 00:49:35,631
Holder comes in with 4,747 sats. B-O-O-S-T. Greetings from Iceland.

702
00:49:36,251 --> 00:49:39,371
Wow. Well, that's awesome. Hello out there, Iceland.

703
00:49:40,111 --> 00:49:43,871
We just had parliamentary elections with 11 different parties,

704
00:49:44,111 --> 00:49:45,911
none of which even mentioned Bitcoin.

705
00:49:46,271 --> 00:49:51,451
We are still so early. Banks are Ponzi schemes run by morons.

706
00:49:51,611 --> 00:49:55,411
We are so early. I know that's a meme, but I got a clip I'm going to play,

707
00:49:55,531 --> 00:49:58,831
one of my final clips of the week, that puts that into perspective.

708
00:49:59,271 --> 00:50:00,931
It's not just a meme, it's a reality.

709
00:50:01,591 --> 00:50:05,211
That kind of insight also puts it into perspective, Holder, so thank you.

710
00:50:06,171 --> 00:50:09,371
Or Hodler. But wait until the clip at the end of the episode.

711
00:50:09,711 --> 00:50:11,251
It's really going to put it into perspective, too.

712
00:50:12,811 --> 00:50:17,991
Nakamado 6102 comes in with 2,101 sats. Nope, 2,100 sats.

713
00:50:18,751 --> 00:50:23,191
There you go. Thoughts on the BitKey wallet, which is made by Block,

714
00:50:23,391 --> 00:50:24,371
right? Jack Dorsey's company.

715
00:50:24,971 --> 00:50:27,171
I have been interested in BitKey.

716
00:50:27,251 --> 00:50:32,111
It does seem like a potential hardware wallet that normies could use.

717
00:50:32,611 --> 00:50:38,151
There's a lot of reliance on a mobile device and in the iCloud ecosystem on

718
00:50:38,151 --> 00:50:39,711
iCloud and the Google system on Google Drive.

719
00:50:39,851 --> 00:50:42,651
It does encrypt before it uploads to either one of those services, but that's there.

720
00:50:43,786 --> 00:50:48,326
I have decided to buy one for a family member who has a modest little stash

721
00:50:48,326 --> 00:50:52,266
and I'll be seeing them over the holiday and I'm going to help them set it up

722
00:50:52,266 --> 00:50:56,206
and then I'm going to observe and I'm going to see how it works for them and

723
00:50:56,206 --> 00:50:58,086
I'm going to see what happens when they have to switch phones.

724
00:50:58,606 --> 00:51:02,446
If they lose their phone, if they lose the wallet, I'll just kind of watch.

725
00:51:03,426 --> 00:51:07,746
And then I will develop a bit more of an opinion on BitKey then.

726
00:51:08,106 --> 00:51:10,626
I got it for a great deal. It was

727
00:51:10,626 --> 00:51:14,206
just added to Amazon right before Black Friday. I think it was like $80.

728
00:51:15,046 --> 00:51:18,706
And it seems like a pretty nice little package, especially for people that are

729
00:51:18,706 --> 00:51:21,186
very mobile-focused and a lot of the people in my family are.

730
00:51:21,846 --> 00:51:26,506
So that's kind of my thoughts on it right now, Nakamoto. But I find it to be

731
00:51:26,506 --> 00:51:31,426
very limiting compared to a cold card, right? You can't have multiple bitkeys.

732
00:51:31,926 --> 00:51:34,966
For example, you can only have one bitkey per app per phone.

733
00:51:35,546 --> 00:51:38,326
So if you wanted to have a business stash and a personal stash,

734
00:51:38,466 --> 00:51:41,806
you'd have to have two separate mobile devices, two separate apps, two separate bitkeys.

735
00:51:43,046 --> 00:51:47,366
There's not really any kind of multi-wallet functionality there and then there's

736
00:51:47,366 --> 00:51:50,946
not like as far as i know the ability to do like a watch wallet so you couldn't

737
00:51:50,946 --> 00:51:55,166
have a corporate wallet that's the main wallet and then you have people that

738
00:51:55,166 --> 00:51:56,826
have the ability to monitor transactions,

739
00:51:57,346 --> 00:52:00,746
or that's also that's also handy with parents and kids so i just don't think

740
00:52:00,746 --> 00:52:05,186
it has that kind of stuff which is really easy to set up in a sparrow cold card

741
00:52:05,186 --> 00:52:06,466
environment but then again Again,

742
00:52:06,626 --> 00:52:12,346
this is pointed squarely at people who would find Sparrow to be overwhelming

743
00:52:12,346 --> 00:52:13,486
and cold card to be scary.

744
00:52:13,886 --> 00:52:16,086
And for those people, I think it's a really good option. Or for people that

745
00:52:16,086 --> 00:52:20,086
just want a little bit extra polish on the experience, I think it could be really

746
00:52:20,086 --> 00:52:23,946
valuable to know judgment on their technical skills.

747
00:52:24,546 --> 00:52:27,226
Some people just like a really smooth experience. So I'm going to help them

748
00:52:27,226 --> 00:52:30,266
set it up over Christmas, and then I'll check in with them over time.

749
00:52:30,406 --> 00:52:33,426
And I'll follow up on the Biki Nakamoto. You just had great timing because I

750
00:52:33,426 --> 00:52:35,686
just bought that for them as a Christmas gift.

751
00:52:36,226 --> 00:52:39,806
All right. That brings us to the end of all the boosts at the 2000 cutoff.

752
00:52:40,006 --> 00:52:43,086
Thank you, everybody who does boost in. I really appreciate it.

753
00:52:44,006 --> 00:52:47,506
And I read all of them and save all of them, even the ones below the 2000 sat

754
00:52:47,506 --> 00:52:51,746
cutoff. But we do that for time. Now, let's sum it all up because I think this was a great week.

755
00:52:52,206 --> 00:52:55,746
We had 47 of you stream sats as you listen.

756
00:52:56,266 --> 00:52:58,626
That is awesome. Thank you, everybody.

757
00:52:59,606 --> 00:53:05,446
And collectively, you sat streamers stacked 65,981 sats.

758
00:53:06,186 --> 00:53:11,366
So when you combine that with the 20 folks who boosted in, the show this week,

759
00:53:11,506 --> 00:53:19,886
I think one of its best weeks in a while, stacked a grand total of 728,794 SAFs.

760
00:53:19,760 --> 00:53:34,800
Music.

761
00:53:36,209 --> 00:53:39,829
That's really a big thank you to user 79 who sent

762
00:53:39,829 --> 00:53:42,509
that very generous 500 000 sap boost here you know as a

763
00:53:42,509 --> 00:53:48,209
podcast network we're just quietly shifting to a bitcoin standard and we're

764
00:53:48,209 --> 00:53:52,509
not selling debt we don't have to have a public company that issues stock to

765
00:53:52,509 --> 00:53:56,649
do it we do it by creating content that our listeners love and want to support

766
00:53:56,649 --> 00:54:00,829
directly and then we take that and we're building a bitcoin treasury.

767
00:54:01,089 --> 00:54:06,369
So that way in the future, the network can be self-sustaining and not rely on advertising,

768
00:54:07,309 --> 00:54:12,649
only, only our audience, but without having to constantly beg or having to run,

769
00:54:12,669 --> 00:54:18,569
you know, like pledge months where we do nothing but pledge like they do on my local PBS station.

770
00:54:18,709 --> 00:54:22,189
Instead, we make good content, you reward good content.

771
00:54:22,389 --> 00:54:26,649
It's value for value. And we'll stack those sets And we will build a podcast

772
00:54:26,649 --> 00:54:32,189
network that will endure and remain independent and only accountable to its audience.

773
00:54:32,469 --> 00:54:35,649
It's a beautiful thing. And I really appreciate your support.

774
00:54:35,789 --> 00:54:37,969
Thank you, everybody, this week who made it a banger.

775
00:54:43,889 --> 00:54:49,189
If you'd like to boost the show, just get Fountain FM or get a new podcast app at podcastapps.com.

776
00:54:49,429 --> 00:54:52,709
Fountain FM and Strike are like a killer combo, and they make it really easy

777
00:54:52,709 --> 00:54:56,469
to get started to strike in your area. But really anything that's on the Lightning

778
00:54:56,469 --> 00:54:59,709
Network, like Bitcoin Well or River, you can top up Strike with that.

779
00:55:00,889 --> 00:55:03,029
Additionally, there's a whole bunch of other apps out there,

780
00:55:03,129 --> 00:55:05,929
including options that are completely self-hosted.

781
00:55:06,409 --> 00:55:09,149
And you might just want to go that route too. Check them out at PodcastApps.com.

782
00:55:09,040 --> 00:55:22,000
Music.

783
00:55:21,848 --> 00:55:28,068
Well, we have some really, really great news for Bitcoin in the environmentalism area.

784
00:55:29,208 --> 00:55:33,848
Three different studies have come out recently that show incredible results.

785
00:55:34,128 --> 00:55:38,388
A new paper shows that Bitcoin mining helps accelerate the UN's sustainable

786
00:55:38,388 --> 00:55:44,208
development goals and helps make uneconomical biorefineries profitable.

787
00:55:45,468 --> 00:55:49,368
The key findings say, quote, contrary to current public opinion,

788
00:55:49,548 --> 00:55:54,508
Bitcoin has the potential to positively contribute and even accelerate the United

789
00:55:54,508 --> 00:55:55,968
Nations Sustainable Development Goals.

790
00:55:56,068 --> 00:56:01,428
Over time, the integration of Bitcoin mining in biorefineries could transform

791
00:56:01,428 --> 00:56:04,848
the financial dynamics of the bio-based products market,

792
00:56:05,068 --> 00:56:09,108
making them more affordable and accessible whilst pushing towards sustainable

793
00:56:09,108 --> 00:56:11,388
development in energy transitions.

794
00:56:11,748 --> 00:56:17,068
And then another peer-reviewed study came out with evidence that when a solar

795
00:56:17,068 --> 00:56:23,468
farm uses Bitcoin mining, they achieve ROI on their solar investment twice as fast.

796
00:56:23,608 --> 00:56:28,328
I'll link to this in the show notes, peer-reviewed study, a dual approach to

797
00:56:28,328 --> 00:56:30,928
economic viability and environmental study is its name.

798
00:56:31,088 --> 00:56:37,608
And there is so much in this report. I'll tell you just the very tippity-top key findings.

799
00:56:38,872 --> 00:56:46,712
A 50 megawatt solar farm. Without Bitcoin mining, it takes 8.1 years to get a return on investment.

800
00:56:46,892 --> 00:56:49,712
So that's like, you don't want your solar panels to break down.

801
00:56:49,712 --> 00:56:53,852
You don't want to have issues like a big hailstorm or equipment failure,

802
00:56:53,852 --> 00:56:56,892
because that just extends that ROI time window.

803
00:56:57,012 --> 00:57:00,972
But without Bitcoin mining, 8.1 years to get a return on investment.

804
00:57:01,432 --> 00:57:06,292
With Bitcoin mining, 3.7 years, 3.7 years.

805
00:57:06,752 --> 00:57:10,372
It's research that's built on a lot of earlier research, which showed that Bitcoin

806
00:57:10,372 --> 00:57:14,292
money makes renewable operations more profitable, which then supports climate

807
00:57:14,292 --> 00:57:20,652
action and the renewable transition because these profits were then, the study shows this,

808
00:57:21,412 --> 00:57:25,532
the profits were reinvested into building more renewable capacity.

809
00:57:25,992 --> 00:57:29,812
They also looked at proof-of-stake coins. You don't get those benefits because

810
00:57:29,812 --> 00:57:31,012
they don't have the energy use.

811
00:57:31,472 --> 00:57:35,672
The data is just amazing on this one. And it shows you how Bitcoin's energy

812
00:57:35,672 --> 00:57:39,612
use can be a massive positive for building out renewable infrastructure.

813
00:57:39,872 --> 00:57:46,372
And then last, another peer-reviewed paper shows that Bitcoin mining is profitable

814
00:57:46,372 --> 00:57:49,552
in 96% of renewable installations.

815
00:57:50,132 --> 00:57:56,732
And that these profits are already, already contributing to the energy transition.

816
00:57:57,232 --> 00:58:00,972
Link again in the show notes. Again, peer-reviewed study.

817
00:58:01,512 --> 00:58:06,692
Bitcoin mining is profitable in 80 out of 83 renewable energy installations.

818
00:58:07,712 --> 00:58:12,632
That's huge. And the profits from this mining in power and energy transition in the US.

819
00:58:12,752 --> 00:58:15,072
The paper was published in the Journal of Cleaner Production,

820
00:58:15,072 --> 00:58:20,572
which I guess has a major impact factor of 9.7 in this industry. I don't even know.

821
00:58:21,392 --> 00:58:26,632
Here's the other thing. It's not just an outlier. It's the 13th of the last

822
00:58:26,632 --> 00:58:33,372
15 articles on Bitcoin and energy that showed Bitcoin has significant environmental benefits.

823
00:58:34,965 --> 00:58:40,645
A wave building here. The exact 180 is happening with Bitcoin and the environmental story.

824
00:58:40,845 --> 00:58:46,265
And it's not just here in the United States. It's all over the world, like in Bhutan.

825
00:58:46,845 --> 00:58:51,765
Now moving to Asia, Bhutan, the Himalayan kingdom known for prioritizing happiness

826
00:58:51,765 --> 00:58:57,305
over wealth, has quietly emerged as a major player in the cryptocurrency world.

827
00:58:57,505 --> 00:59:03,665
With $780 million worth of Bitcoin, which is nearly a third of its GDP,

828
00:59:04,285 --> 00:59:08,145
Bhutan has become the fourth largest government holder of Bitcoin.

829
00:59:08,505 --> 00:59:14,025
Now what's fueling the country's ambitions to become a leader in green crypto mining?

830
00:59:14,825 --> 00:59:18,745
Here's our report with answers. I think it's just fascinating. We can stop there.

831
00:59:18,885 --> 00:59:25,665
I think it's just, it's incredible to see that these different studies that

832
00:59:25,665 --> 00:59:30,325
show that it's not just good, but it's great for the renewable energy transition.

833
00:59:30,945 --> 00:59:35,085
And the people that push back on environmental grounds just don't know what they're talking about.

834
00:59:35,865 --> 00:59:39,705
And Patan's national Bitcoin holdings now reach one third of its GDP.

835
00:59:39,945 --> 00:59:45,305
And it's doing that by renewing it with, by mining it with renewable energy, I should say.

836
00:59:45,465 --> 00:59:48,185
I should say, but I can often barely say.

837
00:59:47,440 --> 00:59:57,520
Music.

838
00:59:58,965 --> 01:00:02,965
All right, some updates to get into this week. There's a lot going on.

839
01:00:03,065 --> 01:00:05,765
And one of the big ones is BlackRock, IBIT.

840
01:00:05,905 --> 01:00:11,805
Their SPA ETF surpassed 500,000 Bitcoin in assets under management.

841
01:00:12,265 --> 01:00:16,645
It's huge. This is a massive thing. And I wanted to play a little audio around

842
01:00:16,645 --> 01:00:24,285
this because this analyst for CNBC who focuses on ETFs, He predicts that 2025

843
01:00:24,285 --> 01:00:27,205
for Bitcoin isn't going to be about on-chain.

844
01:00:27,545 --> 01:00:31,505
Don't worry about your fees because none of the actions happen on-chain.

845
01:00:31,765 --> 01:00:34,985
The action is going to be in the ETFs for 2025.

846
01:00:35,485 --> 01:00:40,065
They're viable. What we've seen, though, is the institutionalization of Bitcoin

847
01:00:40,065 --> 01:00:43,725
as its own asset that is unique and disparate from crypto.

848
01:00:44,750 --> 01:00:49,230
Bitcoin by itself is not Ethereum and Solana or any of these other things. Bitcoin is unique.

849
01:00:49,510 --> 01:00:55,690
As such, I think what we're going to see in 2024, 2025 is the dynamic of Bitcoin,

850
01:00:55,870 --> 01:00:59,030
what it's worth, how it's trading, how volatile it is, is going to actually

851
01:00:59,030 --> 01:01:03,790
start being driven by exchange traded products and less by on-chain people trading crypto.

852
01:01:04,090 --> 01:01:07,390
We've already seen that. The volumes in Ibit are phenomenal.

853
01:01:07,870 --> 01:01:10,950
I mean, I don't know what they are off the top of my head, But I would not be

854
01:01:10,950 --> 01:01:14,590
surprised if there are days in which the complex of Bitcoin ETFs trades more

855
01:01:14,590 --> 01:01:16,950
notional than trades on chain directly.

856
01:01:17,230 --> 01:01:21,390
The volumes are insane. Really? Because of that, you have to expect more price

857
01:01:21,390 --> 01:01:24,630
discovery is going to move. You're talking about the volumes now, not assets in demand.

858
01:01:24,790 --> 01:01:27,510
I'm talking about the volumes, just the amount trading with the options running.

859
01:01:27,690 --> 01:01:29,710
I mean, I just talk. I'd love to hear your thoughts on that.

860
01:01:30,050 --> 01:01:34,390
With the options on Ibit now trading, that cracks open the asset class to all

861
01:01:34,390 --> 01:01:37,990
sorts of investment strategies that were basically impossible. Has volumes increased?

862
01:01:38,430 --> 01:01:42,450
By the way, folks, in case you don't know, the options on IBIT were trading

863
01:01:42,450 --> 01:01:44,550
just recently, what, two weeks ago? Yeah, just a couple weeks ago.

864
01:01:44,810 --> 01:01:46,430
Yeah, and they were very successful.

865
01:01:46,790 --> 01:01:50,890
Does options trading generally lead to more trading of the underlying?

866
01:01:50,990 --> 01:01:53,650
Absolutely, because people need to hedge out that delta. They need to hedge

867
01:01:53,650 --> 01:01:55,110
out the underlying security.

868
01:01:55,350 --> 01:01:57,710
The options dealers don't want to be long or short anything,

869
01:01:57,710 --> 01:02:02,870
so they're always going to be using the underlying as a way to get out or into those positions.

870
01:02:03,390 --> 01:02:07,230
IBIT's already extraordinarily liquid. They don't need to go to another asset

871
01:02:07,230 --> 01:02:09,530
class. They don't need to go on chain to get that exposure.

872
01:02:09,850 --> 01:02:14,410
Yeah, I wonder if this doesn't also cessate some people's shitcoin trading a little bit.

873
01:02:15,450 --> 01:02:21,790
I don't know if this is going to be a wide phenomenon, but I do think some Bitcoiners...

874
01:02:22,839 --> 01:02:26,499
Drawn into stacking ETF Bitcoin instead of actual Bitcoin.

875
01:02:26,679 --> 01:02:29,819
Because I sat down one evening and just looked at all of the math of it,

876
01:02:29,899 --> 01:02:31,179
and some of it does work out.

877
01:02:31,739 --> 01:02:37,599
And BlackRock's rep kind of puts it into words, I suppose. He didn't do a great job, but he tries.

878
01:02:38,139 --> 01:02:41,859
They're Bitcoin. We've had a tremendous amount of volume. I think part of it

879
01:02:41,859 --> 01:02:45,099
is a lot of people can really customize their risk, their income,

880
01:02:45,339 --> 01:02:46,999
their upside potential with these options.

881
01:02:47,219 --> 01:02:49,799
So if you think about people who maybe have made a lot of money in Bitcoin,

882
01:02:49,979 --> 01:02:51,859
they want to maybe protect some of those gains.

883
01:02:52,299 --> 01:02:55,259
People who are holding a lot of Bitcoin and not drawing any income from it.

884
01:02:55,359 --> 01:02:59,079
Maybe they want to sell covered coals on top of that to generate some income with that Bitcoin.

885
01:02:59,259 --> 01:03:02,799
So it just expands the ways that people can own this asset and have it play

886
01:03:02,799 --> 01:03:03,819
a role in their portfolio.

887
01:03:04,139 --> 01:03:09,419
So the options are being well received. The Bitcoin ETFs continue to pump like crazy.

888
01:03:10,819 --> 01:03:15,419
Officials are halting Bitmain units at U.S. ports, at least according to Blockspace

889
01:03:15,419 --> 01:03:18,599
Media. Officials have been halting the Antminer ASIC imports.

890
01:03:19,059 --> 01:03:24,079
Bitminer's latest Antminer S21 and T21 ASIC miner shipments are being held by U.S.

891
01:03:24,179 --> 01:03:28,779
Customs and Border Protection at various ports nationwide, including San Francisco

892
01:03:28,779 --> 01:03:34,659
and Detroit, following a request from the Federal Communications Commission, or the FCC.

893
01:03:35,359 --> 01:03:36,759
Seven U.S.-based Bitcoin mining

894
01:03:36,759 --> 01:03:41,159
companies reported that these delays have persisted for up to two months.

895
01:03:41,419 --> 01:03:45,219
Notably, other ASIC manufacturers like Microbit and Canon are not targeted.

896
01:03:45,879 --> 01:03:50,759
No BS Bitcoin is following that story albi with

897
01:03:50,759 --> 01:03:56,139
benefits introducing albi benefits it's a perk for those of us who have albi

898
01:03:56,139 --> 01:04:00,619
hub cloud subscriptions of course you get automated backups but also they're

899
01:04:00,619 --> 01:04:05,219
introducing a personalized lightning address so you're at get your username

900
01:04:05,219 --> 01:04:10,039
at gil your username at get albi.com which is actually.

901
01:04:11,038 --> 01:04:13,078
Time I think I've ever said that out loud, it's kind of hard to say.

902
01:04:13,538 --> 01:04:17,758
You can change it however you want, so maybe I will, because apparently it's tough.

903
01:04:18,058 --> 01:04:21,798
They're also offering priority support, dedicated onboarding sessions,

904
01:04:22,418 --> 01:04:27,398
special Discord channels, and other Albi benefits, such as access to deals with

905
01:04:27,398 --> 01:04:29,038
vendors such as SeedStore and others.

906
01:04:29,498 --> 01:04:34,058
It's a nice way to try to bring a little more value to that AlbiHub cloud subscription.

907
01:04:34,238 --> 01:04:38,438
Of course, you can run AlbiHub on your own node and pay no subscription,

908
01:04:38,438 --> 01:04:41,818
But if you don't want to have to run a node or run the hardware,

909
01:04:42,078 --> 01:04:43,078
you can use AlbiHub Cloud.

910
01:04:44,458 --> 01:04:48,678
Speaking of Albi, the Go app, the AlbiGo app, which if you have AlbiHub you

911
01:04:48,678 --> 01:04:50,078
need to be using, has been updated.

912
01:04:50,238 --> 01:04:56,338
1.7.2 now has LNURL withdrawal support. This is huge.

913
01:04:57,838 --> 01:04:59,278
Very, very grateful to see that.

914
01:05:00,898 --> 01:05:04,638
Also, Boostagram info in the transaction details. So if you're a podcaster getting

915
01:05:04,638 --> 01:05:08,798
Boostagrams, you can now read them in the AlbiGo app. enhanced QR code readability,

916
01:05:08,938 --> 01:05:09,878
a bunch of other stuff too.

917
01:05:10,518 --> 01:05:14,278
Improvements in LNURL redirects, validation of various amounts,

918
01:05:14,498 --> 01:05:16,118
onboarding, scrolling is even improved.

919
01:05:16,218 --> 01:05:19,018
Address book stuff a lot is improved there.

920
01:05:19,818 --> 01:05:23,238
And the Bitcoin Well. I told you there'd be some news for the Bitcoin Well.

921
01:05:23,338 --> 01:05:28,838
And one of the things that made me decide to become an affiliate, they are killing it.

922
01:05:29,038 --> 01:05:33,298
The Canadian publicly traded company, Bitcoin Well Inc., has officially adopted

923
01:05:33,298 --> 01:05:39,078
a treasury strategy with Bitcoin. and they are raising $2 million to buy more Bitcoin.

924
01:05:39,318 --> 01:05:49,878
They've already purchased 7.53 Bitcoin at an average Canadian dollar cost of $137,551 per coin.

925
01:05:50,398 --> 01:05:54,298
It's weird to talk about $137,000 Bitcoin prices, but that's what it is up in Canada.

926
01:05:55,178 --> 01:05:58,658
The Bitcoin well plans to keep adding Bitcoin to their corporate treasury,

927
01:05:58,878 --> 01:06:03,078
including using convertible debt offerings and stacking them sats.

928
01:06:03,258 --> 01:06:07,118
And I say good on them. They're a great company, and they should be taking advantage

929
01:06:07,118 --> 01:06:10,558
of an asset like Bitcoin. We'll have a link to the affiliate.

930
01:06:11,600 --> 01:06:21,680
Music.

931
01:06:23,386 --> 01:06:26,326
I've got two final clips of the week again. I know.

932
01:06:26,726 --> 01:06:30,426
I just think they go well together, you know, and it's like I want to play them

933
01:06:30,426 --> 01:06:33,846
back to back. They were from different places, but yet they go well together.

934
01:06:34,106 --> 01:06:41,766
The first one is James Lavish gives us some perspective on how far Bitcoin has to grow financially.

935
01:06:42,006 --> 01:06:46,146
We say we are early. Well, he's got some of the numbers that really sort of

936
01:06:46,146 --> 01:06:47,106
puts it into perspective.

937
01:06:47,506 --> 01:06:50,946
There are $900 trillion of global assets, investable assets.

938
01:06:50,946 --> 01:06:56,786
Bitcoin is currently 1.7 trillion of those, which is 0.02% of total assets.

939
01:06:57,406 --> 01:07:01,826
It's one-tenth the size of gold. So it has a long way to go here.

940
01:07:01,886 --> 01:07:09,366
But at $90,000, it's still only 0.2% of the entire investment universe.

941
01:07:10,106 --> 01:07:14,626
Now, remember, it's one-tenth the size of gold, but gold's been around for thousands of years.

942
01:07:14,786 --> 01:07:20,266
Bitcoin's been around for 15. This is tremendous momentum, but a huge amount

943
01:07:20,266 --> 01:07:25,486
of space here for it to start taking some allocations from those other areas.

944
01:07:25,666 --> 01:07:28,426
Where will it take allocations from? Well, the obvious one is gold.

945
01:07:29,538 --> 01:07:32,938
Second obvious one is equities. The third obvious one is bonds.

946
01:07:33,118 --> 01:07:36,098
And then the fourth obvious one is real estate. So it's going to kind of go

947
01:07:36,098 --> 01:07:39,978
in that order in my mind that investors are going to start realizing that,

948
01:07:40,158 --> 01:07:41,138
oh, this is digital gold.

949
01:07:41,618 --> 01:07:46,818
Oh, I should, instead of having my money in just equities and bonds,

950
01:07:46,878 --> 01:07:47,858
I should have some in Bitcoin.

951
01:07:48,278 --> 01:07:52,178
Oh, instead of having all of my money in real estate, and instead of looking

952
01:07:52,178 --> 01:07:54,958
for real estate investment opportunities, forget about your home,

953
01:07:54,958 --> 01:07:57,558
I should buy some Bitcoin instead. Why?

954
01:07:57,758 --> 01:07:59,798
Because it's liquid. It's trustworthy.

955
01:08:00,158 --> 01:08:04,258
It has a tremendous rate of return over the course of just four years.

956
01:08:04,438 --> 01:08:07,078
Every single four-year period, it has a rate of return.

957
01:08:07,478 --> 01:08:14,858
So that's another thing. And then just doing quick math on it, it's 0.2% right now.

958
01:08:14,998 --> 01:08:20,558
At 1% of the total global assets, Bitcoin's a $9 trillion asset and worth about

959
01:08:20,558 --> 01:08:28,978
$450,000 per coin. At 3%, it's worth $1.3 million per coin. So we have a long way to go.

960
01:08:29,118 --> 01:08:33,518
I don't know when we get to that million-dollar level. I expect it to be in

961
01:08:33,518 --> 01:08:34,998
the next seven years or so.

962
01:08:35,618 --> 01:08:39,878
Wild. Even 1%, 2%, 3%, it would just be beyond our wildest dreams.

963
01:08:40,718 --> 01:08:44,638
And when you hear about this and you hear about how institutional adoption and

964
01:08:44,638 --> 01:08:48,278
nation-state adoption is necessary, it's natural for people,

965
01:08:48,338 --> 01:08:51,118
especially people not familiar with Bitcoin's distribution, to get worried.

966
01:08:51,118 --> 01:08:53,958
Well, you can play this clip for them over and over again.

967
01:08:54,298 --> 01:08:58,198
So as this adoption takes place and has capped the $21 million,

968
01:08:58,558 --> 01:09:02,698
I think it's going to continue to grow as a reserve for the individual.

969
01:09:02,938 --> 01:09:06,958
And the first big group of shareholders actually in Apple were not institutions.

970
01:09:07,098 --> 01:09:11,158
It was the retail person that had a brokerage account at Merrill Lynch,

971
01:09:11,478 --> 01:09:15,438
bought an iPad, and turned around and said, I like it so much, I bought the stock.

972
01:09:15,838 --> 01:09:19,498
Now the top 10 shareholders show up as being institutional names,

973
01:09:19,498 --> 01:09:23,618
like Warren Buffett having a big position. But before then, it was predominantly retail.

974
01:09:23,898 --> 01:09:27,538
That's what's been driving the adoption process of Bitcoin.

975
01:09:27,760 --> 01:09:39,440
Music.

976
01:09:40,490 --> 01:09:43,670
Well, it's time to take a look at the state of the network.

977
01:09:44,510 --> 01:09:51,130
As we record, Bitcoin is sitting at $98,320. It pumped hard today.

978
01:09:51,850 --> 01:09:56,110
Wow. I think when I woke up, we were around 94, 95. I don't know.

979
01:09:57,190 --> 01:10:03,670
Still, though, 1.4 off, 1.4% off, 1.3% off now of our all-time high.

980
01:10:04,250 --> 01:10:07,650
Sats per dollar is incredible. 1,016 sats per dollar.

981
01:10:08,450 --> 01:10:13,550
Amazing to watch that tick down. It's my favorite stat right there. Sats per dollar, 1,016.

982
01:10:14,550 --> 01:10:21,470
There are, presently, 20,909 nodes reachable on the network,

983
01:10:21,630 --> 01:10:24,730
an all-time high since we've been watching. That is great to see.

984
01:10:25,190 --> 01:10:33,510
Our all-time high date was November 22nd, 2024, at $99,740.

985
01:10:34,530 --> 01:10:41,730
So we're almost there, 12 days since then. Bitcoin network churns and hashes right along.

986
01:10:41,850 --> 01:10:44,130
Difficulty is up. Nodes are up.

987
01:10:45,050 --> 01:10:50,070
Price is just 1% off all-time high. Yep. State of the network is very strong.

988
01:10:51,650 --> 01:10:54,790
Thank you so much for joining me on this week's episode of This Week in Bitcoin.

989
01:10:55,170 --> 01:11:00,570
I'll have links to what I talked about at thisweekinbitcoin.show. This was episode 38.

990
01:11:01,150 --> 01:11:04,050
Boost it and tell me what you'd like to hear on the show if I missed something

991
01:11:04,050 --> 01:11:06,770
or if you've got a different take on what I talked about. And remember,

992
01:11:06,950 --> 01:11:09,710
I want to know what you're bullish for in 2025.

993
01:11:10,610 --> 01:11:14,790
And if you're not bullish, what are you seeing that we're not seeing?

994
01:11:14,950 --> 01:11:18,750
What's that big threat lurking out there? Also, please consider sharing the

995
01:11:18,750 --> 01:11:20,690
show with somebody who's Bitcoin curious.

996
01:11:20,950 --> 01:11:26,450
Maybe help them stay on the Bitcoin path and not wind up playing with Salooner or something like that.

997
01:11:26,910 --> 01:11:32,230
Just send them my way. Oh, also, thank you everybody who's been boosting the artist. We did it again.

998
01:11:32,670 --> 01:11:38,050
Again, Be The Wheel was number one on the value for value charts last week after the episode came out.

999
01:11:38,170 --> 01:11:41,430
So that's really awesome. I have another value for value track for you.

1000
01:11:41,630 --> 01:11:44,930
When you boost during the music, 90% of the sats go to the artist.

1001
01:11:45,190 --> 01:11:47,390
Thank you so much for joining me. I leave you with.

1002
01:11:47,280 --> 01:14:12,322
Music.