Hey everyone, thanks for joining. This is True North episode. I think it's, well, it's called
High Power Digital Money. I forget the name. But it's super exciting to be here. The rest
of the crew is off in Abu Dhabi. We are all at home holding down the fort doing data analysis
for you while there's a lot going on in the market. So super excited to be here. Really
excited to talk. We have a nice slide deck. We have got some really thoughtful topics to
try to weather this mini bear market. Let's do the presentation from Tim, the quick 30 seconds,
and then we'll take it back over here. Ladies and gentlemen, what you're about to hear
may be amazing, but it is not financial advice. It's for informational and...
Oh, Jeff's not here. Purpose is only. Back to you, Dan.
So guys, what are we going to talk about today? High Power Digital Money is the name of the
episode. As of right now, I think there's been really, really big developments in the Bitcoin
credit market. Obviously, the macro landscape is changing every week, it feels like. And then on
top of that, we've got new Bitcoin treasury companies floundering, trying to catch their
breath as to their stocks are getting hammered because they have so many shares outstanding.
So what do you guys think? Sounds great. Let's get rolling.
Heck yeah. Yeah. We'll jump right into the presentation. Maybe we give-
Let's jump in the presentation. No time to waste.
No time to waste. Let's just go into it. Let's see what happens.
All right. Guys, I first want to remind everyone that True North World's coming up.
We have a discount code that is True North.
Hey, Dan, can you go to full screen or slide mode?
Thank you. I get so excited whenever we get the presentation open.
So True North, capital T, North for Strategy World discount code.
That is in Las Vegas this year.
And the exact dates are, I think, Tuesday, February 24th through –
do you guys know the exact dates?
I think it's through the 26th.
So it's a two- or three-day conference.
That's Strategy World.
Our event is held before that, which you can sign up for here on this Luma link.
Right now there's already plenty of people subscribed and going,
and we're really excited to have people show up and support
and just talk after what has been kind of an eventful year, I think.
Yeah, last year was amazing.
I loved hanging out with everybody,
and it was such a close personal experience.
Yeah, I think this year is what really separates the people
that have the conviction and the people that don't.
Last year in Orlando, the MSCR True North,
I think we had about 150 people signed up for it, including the sponsors.
so there was about somewhere around 130 people that showed up it was a great event and then we
went straight into strategy world with this if look if you don't want to go to strategy world
because it's too expensive then this is the event to go to because this is much less expensive so
the first 50 tickets are 210 and if you're driving distance to vegas this is the event to go to to
talk to people and then you'll you'll you'll probably see a lot of other people out there for
for true north if you don't sorry for mstr world if you don't want to go to that then you could
you know just have a nice nice few days and then head back home i think that's really the way to do
it um simply because you know you get to see not only us but i don't think we're really big like
there are people that come to this event to network to talk to the other people that come
to these events right so i think like we learn as much from you guys and people who join us
as as they do from us so i'm super excited it's going to be more of a flat format more conference
layouts. It's going to be kind of structured after Bitcoin first in the way that it's more of
an open discussion as opposed to a stage and sort of listening format. It's more interactive. So I
think it's going to be really, really good this year. And it's at the Wynn Hotel. I mean, it's
a pretty nice place. So I would recommend showing up. Weather's kind of cool in Vegas and probably
relatively lower priced and doing it at the high season. So look forward to seeing everybody there.
Awesome, guys.
So today the agenda is we're going to go over the two-year cycle, which is Grains' new theory.
We get the macro, are we in a structural bull market?
Then we're going to talk about strategy mechanics, USD reserve, common MSTR, and some of the
PREF-specific metrics because these things are really starting to build their own liquidity
profiles each and every single PREF.
And they're very different, right?
You look at the volume on strike relative to MSTR, relative to stride.
It's all over the map.
And I think it's only going to be an expanding landscape as people start trading these things all over the place.
So, Grant, I'll let you take it from here.
Thanks.
So, hey, I want to do a little bit of a trend analysis.
And this is not about drawing lines on a chart.
All the lines that are on the chart on the left-hand side are drawn by the chart itself.
The red line and yellow lines there are just explaining to what we're talking about.
So on the left chart, we have Bitcoin.
It's a one-day chart.
And you can tell by the upper left-hand corner, it says BTC USD, a plus signal, and then it
says D. And so the D symbolizes it's a one-day chart.
So each candle, a candle's in the lower right-hand corner, and the candle shows you whether it's
red or green.
The difference in a candle is if the candle is green, that means from the open price and
the close price, the price went up. Therefore, it's green. If it went down, the open was high
and the close is lower. On the top and bottom, those are called wicks. So that's just think of
it literally as a candle and figuratively. And the wick is that difference between the close
and the high. So when you look at the chart on the left, if you go back to April 7, 2025,
which was this year, the 50-day and the 200-moving-day average crossed over. That's the light
blue line crosses over the yellow line. That's what we call is a death cross. And people are like,
oh my God, that sounds horrible. Well, the opposite of a death cross is a golden cross.
And that took place on May 22nd. So basically five weeks later, we were out of that death cross
in a golden cross. But the interesting part is if you look down at the bottom,
you could see you have RSI in the very bottom. And the RSI is a relative strength indicator.
And that turned over and began to go back up. And the same thing with MACD right above it.
Dan, you're real close in March.
So now if we look where we are today, so we did have a death cross and that death cross
was on November 18th.
And you could tell it was a death cross because the 50 day moving average in the upper left
hand corner is 109, 653 and 110, a little bit over to the right, to the left hand corner,
left, right there.
It's in yellow text.
Keep on going.
Yellow text, got it.
Yellow text.
So the, because the blue number is lower than the yellow number, that means we entered
into a death cross. Now you're like, oh my God, that's terrible. Death crosses sound terrible.
And this is my two-year theory. If you look what's happened on the bottom, it shows there
that we're having higher lows. And the other part is the MACD and the RSI have both bottomed out.
And those are both beginning to trend back up. So those indicators, because the 50-day moving
average is over 50 days and MACD is over 12 days. So it's more responsive. That's the 12 and the 26
and the RSI is over 14 days. So it's a much shorter average that, and these are the default
settings. I don't change any of these settings. And so what it's showing you is that the market
is recovering on Bitcoin. Now this just assumes that, you know, everything goes well. Does this
make sense? Any questions on this? Grant, I think it's a really, really good kind of technical
overview of where we are. I know we sold off today after the FOMOC. If we bottom here above,
you know, 85, that's still in keeping with a higher low. So. Yeah. And so, and so this is how
I look at it. So this is a daily chart. We go to the next one to a weekly chart. So I, you don't
change any of the other metrics. Now on the weekly chart, you have higher lows and higher highs on
the weekly. So we had this big sell off after the past four or five weeks. And basically that light
blue line now is the 50-week moving average and the 200-week moving average. And it dipped down
very, very little. So this is showing the weekly chart. And again, this dip, while it is below the
50-week, you'd rather see that as a floor or a resistance where it doesn't go below that.
Obviously, it dropped below it for a variety of reasons, which we've talked about on previous
episodes. The whole Binance thing that happened, just the sell-off, the FUD around MSCI and
so forth. So there's a lot of things that hit Bitcoin that caused it to drop. Now, if we go to
the next one more chart, next one. Okay. So this becomes interesting. And this is where we talk
about having conviction. So we can look at daily candles. We can look at one minute candles,
five minute candles, 10 minute candles, whatever you want. You can look at any timeframe you want
from one minute, and this is up to yearly. So now we're looking at monthly and yearly. So if you
look at the monthly chart on the left, the December is green. And what happens is the month
of November was horrible. It's like, oh my God, almost all of the dip happened in one month.
And is it a big dip? Sure. Did we have a death cross on the daily? Yeah. But when you look at
the shorter timeframes, it's recovering. Now, if you look at it on the yearly chart,
but let me say, sorry, on the monthly,
the MACD is still bearish
and the RSI is hopeful and trying to trend up.
But on the weekly and daily charts,
those have already gone up
because this is looking at each one in a monthly increment.
On the yearly chart,
I think this tells everything that's going on.
And if you look what happened,
2022 was this red candle.
It was terrible, right?
The whole year was just red.
It was miserable for a full year.
And then you have 2023, it was green and it almost retook what happened in 2023.
What happened in January of 2024?
Spot Bitcoin ETFs were approved, right?
And then what happened later in the year, there was a red sweep and it changed the president
and the administration and everybody was looking forward to this mega year of 2025.
So that's why you can see that 2024 is this huge green year for Bitcoin.
If you look now in 2025, you have these two giant wicks.
There's almost no body.
So typically in a candle, when the body is real big, right, versus the wicks, the little piece on the top, the body means that you have, it's solid trend.
When you have a big wick, that means it's indecision.
I think that we've hit the bottom.
I think that our cycles now are the two-year cycle.
And what's the two-year cycle?
by a strange coincidence,
the halving happened to align up
with U.S. presidential elections.
I do not think it was by design.
There's nobody that was controlling it.
For whatever reason, it worked out that way.
And so from that perspective,
I think that the cycle,
we had this four-year cycle.
I think now we're going to have a two-year cycle
around the midterms in the U.S.
And we're going to talk about macro,
why the U.S. is important.
And so from this perspective,
I think that every two years, you're going to have six months bull cycle, six months sideways,
or another six months sideways, which ends up being 2025. And then we go back into another
bull cycle. If you're positive about 2026, then I think that when you look at the WIC that you see
on the right, I think it's going to be a positive year. Well, let's go to macro. Let's go to the
key indicators in the next couple of slides. That was a great overview, Grant. I agree.
let's hop in here Grant
yeah so what was missing
so originally this group started out as
MSTR True North now it's Bitcoin True North
so this slide was put out over here
the revised assumptions and corresponding results for 2025
what was missing from this slide was the over under
this slide said what happens if Bitcoin's at 85,000
or 110,000
and what I wanted to calculate was
what's the price of Bitcoin have to be for strategy for the full year to have positive EPS,
earnings per share. So that's at 97K. If Bitcoin's at 97K, the full year, meaning that the
positive months of Q2 and Q3 will outweigh negative in Q4 and negative in Q1. So for the
full year, EPS will be positive. Now, if Bitcoin's above 110K, Q4 is positive. And let's just say
it's 111K. Then you'd have $19 per share for the full year of EPS. So the over under is 97,000.
If we can all cross our fingers and buy Bitcoin, not giving any financial advice, not telling
anybody to buy anything, but if Bitcoin's above 97,000, then strategy for the full year, we'll
have positive EPS numbers. And I think that's really great for the industry as a whole.
I talked about the Santa Claus rally. Why is there a Santa Claus rally? Typically,
people do tax loss harvesting. They'll start in that in Thanksgiving. They'll be done with it by
the second two weeks in December. In California, most major areas, I haven't verified this for all
of California, property taxes are due today, December 10th. So if you needed to sell stocks
to go pay your property taxes, you had to do that a couple of days ago. So that selling is now over,
right? Because you have to pay for your property taxes today. Some people have incorporated into
their payments, but if you didn't, you had to pay your property taxes. So I think the year-end
selling is done. And this is the so-called Santa Claus rally, which tends to happen quite frequently,
about 75% of the time. So I'm bullish. Let's go to the next slide. I'll take any questions as you
guys are going through this. So I did two surveys and I love doing surveys because when people talk
about something, you know, you have qualitative responses. Is this person believable? Do you know
how many followers that they have? Do they have no followers? Do they know what they're talking
about? But a survey is quantitative. So I said, basically, how many Bitcoin all-time highs will
happen in 2026. Well, since the number is 16% saying none, that means 84% of the people say
there'll be some form of all-time high of Bitcoin in 2026, right? And the amount of numbers of them
is what you see there because you can only have one high per day, right? If it retakes the all-time
high multiple times in one day, you only count it once. So anyway, so that's the way that I look at
it, that the people that are in this space think that Bitcoin will hit an all-time high in 2026,
84% of the people.
The other part comes back is,
and we're going to talk about macro in a few minutes,
is it going to be a big all-time high?
And that's when we talk about macro.
So I asked the question, Lynn Alden is awesome.
Everybody that's into Bitcoin should know about Lynn Alden.
She's fantastic.
And she wrote her macro newsletter.
You could read it.
It's free.
And she basically said it's more gradual.
Larry Lepard's awesome.
He's a great guy.
I've met him before.
Really nice guy.
He follows me.
And he wrote the book, The Big Print.
So basically, I did a survey and said, in 2026, Bitcoin, gold, and hard assets, is it
going to be a gradual print, which Lynn Alden said, or is it going to be a big print?
And basically, 44% of the people said it's a gradual print, had 163 votes.
Big print for Larry was about 18%.
In the middle, somewhere between those two ranges was another 11%.
27% and then 27% said both and the timing matters.
And what I think that means when we go through the macro you see why I think some people say that I think the year could start off slower and then go faster What will cause it to go faster Powell being replaced and confirmed in June
So it could start off slow and then it could go faster.
You guys have any input on this?
We're ready to go to the other sections, but any comments?
Yeah, I mean, I don't know if we're going to do two-year cycles, four-year cycles,
whether a four-year cycle is even like a legit thing or not or a coincidence.
but I think it's pretty certain that if volatility, you know, should be increasing just with the way
that they're going to have to print, whether it's gradual or, or big. And so, you know,
it could also be that people were assuming the four-year cycle and then front running some exits.
and so we got the bear sooner and then we'll just get the next bull sooner so this is totally
plausible just that the fact that bitcoin can do whatever the hell it wants to do
and um and with you know up and down volatility we can also get more frequent volatility
there's no reason why we have to stick to four-year cycles great point so i i completely agree
and the zerp environment was much different than the current interest rate environment we're in
And that's something people need to remember.
I'd argue if we didn't go, there wasn't this, you know, infinite QE during 2020 and 2021,
plus a push to ZERP, you know, in a five-month period of time,
we wouldn't have seen a Bitcoin price expansion the way we did.
And similarly, the correction wouldn't have been as significant.
And some people were calling that the cycle was over last December.
And whether they were right or wrong or, you know, accidentally right remains to be seen.
But, you know, you know, maybe we just diamond hands through the bear market already.
And 2026 will be an up year.
That'll be nice.
Yeah.
I mean, the way I look at this, look, the Bitcoin, the spot Bitcoin ETFs will be out for two full years in January.
I don't see how you could have two and a half million Bitcoin inside the Bitcoin treasuries and the Bitcoin ETFs.
Right.
I think that if both of those things didn't happen, Bitcoin treasuries and the spot Bitcoin ETFs being approved, I don't know if we would have had a lot of demand to really push higher than what happened in the last cycle.
I think we would have hit like 100,000 and then we'd be trading at 40,000.
But since the Bitcoin, spot Bitcoin ETF got approved two years ago, been live for two years, and obviously strategy has just acquired 660,000 Bitcoins on their own.
And they seem to be buying about a billion per month, right?
If they're going to add another 12 billion next year, I'm just making that number up.
But it seems like it's totally plausible that they can add anywhere from eight to $12 billion
worth of Bitcoin next year.
How many coins that equals depends upon the price.
But I think that's the part where I don't see how the price can stay low forever.
Eventually, there's going to be a supply crunch.
And I think we're going to see that play out.
I agree.
Yeah.
So if you want to be with us, go ahead.
Here, we're plugging our event again.
If you guys missed the link, we don't make money on this.
This is just to cover operational expenses.
This is right before Strategy World.
You can choose to either go to Strategy World and our event or just our event.
It may be more applicable as there's less kind of BI component and it's more close-knit.
You'll be part of the discussion.
Every single person that's there will be part of the discussion.
It will be a very flat format.
So looking forward to that again.
Now we're going to jump into the macro. So again, the format is we looked at the general kind of
Bitcoin market technicals. We're going into the macro now and we'll talk about the FOMOC meeting.
And then finally, we'll talk about strategy mechanics. So again, after the meeting today,
the Fed meeting, we saw that the target rate was lowered 25 basis points. Again,
it was almost expected going into the meeting. No surprises there. However, some of the dovish
rhetoric was quite reassuring. So growth projections for real GDP will revise upward
to a median of 2.3% from 1.9 in September. Unemployment, job revisions were negative
over the last six months. And the peak unemployment rate is expected in late 25 and an improvement
into 26, citing an expectation of around a 4.3, 4.4% unemployment. Again, right now,
this is kind of the stagflation narrative, which is really just the flow through of productivity
from AI. That is a kind of a teetering labor market plus kind of sustained high inflation rates.
PC forecasts were lowered, right? So the general outlook is more favorable with a 2% target by
2027. Where they're getting this deflation, they're citing increased productivity as Powell
said, a result of computers being used more since COVID, which is kind of a nonsensical term,
in my opinion. Obviously, a lot of that deflation is going to be in the form of AI. And they believe
that tariff inflation is, in fact, transitory and a one-time pass-through to the consumer.
So it's a bunch of nonsense and gobbledygook all kind of mixed together. But they're essentially
giving out dovish guidance into 26 and setting the stage, although there's only two expectations
of rate cuts through 26 right now. I think with HACCP coming in, we'll talk more about that later,
there could be significant lowering of the Fed funds rate over the next 12 months.
Before you go to the next slide. So the one that I'm the most interested in here is inflation.
And I did it on my channel. The title was deflation is coming. Inflation is coming. And
And the reason why I say that is because there are going to be some insane advancements.
You know, Grains talked about AI and all of these things.
And it's going to deliver tons of productivity, which is going to drive deflation.
But, you know, Bitcoin mining is an infinite bid on lower energy prices.
So those are coming down.
You know, we got frickin Elon is going to build us a couple of billion robots.
There's going to be like robot farms on Mars and shit.
So there's just tons of innovations.
We're going to be like making food with yeast fermentation.
There's just going to be tons and tons of deflationary technologies.
And the system has to hide it.
It cannot allow deflation, you know, the inflation rate to go negative.
So if we get 10% to 15% deflation rates, they're going to have to print a metric ton of dollars in order to drive inflation to mask the deflation.
So this 2%, I mean, everybody knows they cook the books.
So there's just tons of money printing that has to happen in order to mask this.
Debasement, right?
Debasement.
Exactly.
M2 money supply continuing on its upward trajectory.
That's a 7% CAGR since 1970.
Don't forget it.
I think it's one of the main driving factors of S&P growth and the fact that investing sometimes is more just financial protection.
Labor market deterioration.
Obviously, we don't have government data, and it's coming out next week.
As Green will go into a little bit more detail, government shutdown may occur January 30th, 2026.
Green, you want to quickly touch on that real quick?
Yeah, so we keep on getting these continuing resolutions.
So they have to agree on a budget.
They don't agree on a budget.
It just continues what's already in there.
So we could have another government shutdown start after January 30th.
They keep on assigning these stopgap spending bills and people are like, oh, well, everything
is fixed.
No, it's not fixed.
The other part, which we'll talk about is a big, beautiful bill, which was signed off,
allows the U.S. federal debt to go to $41 trillion.
And we'll talk about that in a minute.
But there could be another government shutdown as soon as February of next year.
And then we'll be back in the same space again,
Dems and Republicans fighting over this.
And there's nothing they have to sign off on this
because they have to pay the bills.
There's no way around it.
Yeah, employment sitting at 4.4% in September.
private data showed a sector-wide employment decline of 32,000 first night of a month since
spring of 2023. So jobs data looks weak. Again, jobless claims remain near three-year lows,
yet layoffs reach 1.17 million through November. So actual employment's declining, and the Act 60
mandates make such that mass layoffs, which we'll see here, won't flow through into employment
until spring of 2026. So there is a real scenario in which the employment picture is even worse
than expected. You can see across the mag seven companies and really software companies, 14,000
corporate roles cut explicitly due to AI process automation at Amazon, Intel, 22% of the workforce
slash because of AI, Salesforce, obviously having trouble in terms of their stock price,
Really, it's something Visser says a lot. Code no longer has a moat. 4,000 rolls slashed, and again, Accenture, multiple tranches of layoffs.
K-shaped economy, we can see the Kobe IC letter. The picture is very bleak for software and for legacy software and for the average entry-level employee.
Consumer credit's surging. People are paying their debt with more debt. The K-shaped economy continues.
It's a debt expansionary cycle.
This is something we're seeing from the government all the way to the credit card consumer.
You guys want to jump in here real quick?
Yeah, I mean, these numbers aren't looking good.
And this is one of the things that you see with bad news means that two things.
They have to print money because they can't tax more.
The U.S. government has two choices.
Congress has a choice.
They can raise taxes.
That's not going to happen, right?
in order to, if they raise taxes, they'd be able to balance the budget, right? But nobody wants to
raise taxes. You won't get reelected. Okay. You could cut spending. They tried doing that and
that's incredibly difficult. And the problem that we'll get to is the interest on the outstanding
debt is the second, let's go back for one second and we'll go to the next slide. So that's the
other problem. So the people that have asset holders, whether it's hard assets, Bitcoin,
mag seven stocks falls into there. You want to say precious metals? Sure. It's basically a hard
asset that you can also view it as, as anything that's growing faster than the debasement rate
and the inflation rate. So if inflation is three and a half percent and debasement six and a half
percent, you know, if you make in 10% a year, you're breaking even based with a degradation
of money. That's a term that I use. If you're making 20% a year and you're on your returns of
your investments, then you're really only making 10% a year covering up the M2 printing
and the inflation rate. So this is the case-shaped economy, the people that own assets. And the only
way you can own assets is living way below your means, being cashflow positive, and then buying
those assets. And that's what we've been down here talking about for 47 episodes. Let's go to the
next slide. Real quick. That slide is kind of the only one that really scares me because it looks
like we're creating a credit bubble here. And it does make sense. Like when inflation is just
growing, it's totally logical. And you don't even have to be like high time preference. You can be
low time preference. It's just totally logical to borrow and pay it back with deflated dollars later.
But if you were, it wouldn't make me feel so bad if people were buying Bitcoin on their credit
cards right but if you're buying groceries on your credit cards and you're just getting poorer
because you're not you know you don't own bitcoin i this this just scares me for most people i mean
i know everybody here's a bitcoiner but um this just kind of reinforces why it's absolutely
necessary it leads into this idea is like is the consumer going to stop spending when these
credit levels hit like some sort of terminal rate and what we've seen is the consumer hasn't
been weakening over time, even with increased debt balances. So I think it's going to end in
some form of transfer payments if people want to get reelected, forgiveness of student loans,
50-year mortgages, you name it. That's how I think the government is, the in-power incumbents
are going to continue to get reelected. MAG7 tells the same story. MAG7's entire market cap,
so that being the top tech companies in the US, between 20 and 22 trillion. This is a quote from
grain of salt and I'll let him elaborate. If the US didn't have the MAG7, we would be Europe,
says grain of salt. But look at these numbers, right? The portion of the total US stock market
that is the MAG7, these seven winners, which have generated the entirety of the investment returns
over the past 10 years. And then that compared to the entire worldwide equity market, like
there is a bubble in big tech or it's not a bubble, it's a concentration of value.
Yeah. So, um, I look, I know that people are from Europe and they're watching this and, and,
and when I was in Europe and I was there with Dan, um, it was awesome. We went to, uh, uh,
Bitcoin Prague. And what we realized was when I was there, I was like, wow, the people are
beautiful. The food was great. They're dressed great. And we stayed at nice downtown in Prague.
It was absolutely beautiful city. Uh, and then Tad Smith was with us and he, and, and he basically
made the comments like it's not what it seems. And I'm like, what does that mean? And so basically,
if Germany was a US state, it would be 45th in the US in per capita GDP. And I was like,
oh my God, I did a whole pod on this talking about it. The top countries in Europe would end up being
45 and lower in the US. And most of them are below Mississippi. And so what happens is I was like,
I knew this going back, and that was way back.
Was that September, October we were there, Dan, in Prague?
So then this got posted recently on the right-hand side.
And I know that I'm taking a crack here at the EU,
but the EU makes more from finding the U.S. tech stocks
than it does from taxing all of their public European tech companies.
Think about that.
I ran this through perplexity to verify, is this correct?
And it came back that it verified that this is a correct statistic.
So the fining, they fine these companies, and the fines are more than the taxes.
I'm like, that's crazy.
That's crazy.
Absolutely insanity.
And by the way, and look, I live in the US.
I'll crap on the US for a minute.
If the U.S. didn't have the MAG-7, if we didn't have it, we would be screwed.
And that would reverberate through our economy that we would not be the reserve currency.
So the MAG-7s make up a third.
It's $20 to $22 trillion.
The U.S. equity mark cap's about $60.
The worldwide equity is about $100 trillion.
So if those were in different countries, the U.S. would not be the superpower that it is,
or maybe that's a dated term.
and that's where we would be. So in the US, we have Silicon Valley. That's where I based my
career on to start these companies. And for every company that makes it, there's more like a thousand
companies that fail miserably, right? And people work there for years. So that's why people come
to Silicon Valley for that shot, the one in a thousand shot that you work at the right company,
you get there at the right time, you get enough shares, you don't get diluted, and then things
are awesome But that this K economy that even exists here in Silicon Valley Keep on going And we talked about a little bit continuing on this AI power projections for data centers I don want to get into this too much
You can see margin compression across hyperscalers is a real risk.
CapEx reallocation and regional economic divergence with the creation of data centers in these sort of rural communities, all part of the AI story.
And it makes it such that the investment picture for AI is very uncertain moving forward.
I mean, I heard on a podcast today, you can't invest directly in electricity.
You can't just go buy a bunch of electricity, but you can invest in data centers.
But will it be in the right location?
Will it be servicing the correct GPUs?
Will the GPUs be retired or obsolete once, you know, local devices and local models with more and more parameters, fewer and fewer parameters and they're more efficient can run locally on your device?
Like there are a lot of factors.
So I think a monetary debasement hedge and native internet currency, high powered money is a really solid sort of benchmark and protection mechanism moving forward.
Now we'll get into the monetary policy side of things and why both the AI, the deflationary force is at odds with the actual incentives of politicians to continue moving government and monetary policy forward.
Yeah, so I was working with Dan on this slide.
This is really important here for monetary policy.
If you look basically through about year 2000, there's a dotted line on the top.
And that basically shows that the federal surplus or deficit was basically zero.
And we had a surplus right before 2000, probably due to the internet bubble.
And Clinton was in office.
And then since then, you could see that we've had a deficit during COVID of almost negative $3 trillion in the lower right-hand corner of the top one, a little bit higher right there in 2020.
And that's where you had this negative.
Now, the problem that's happened here is the federal government current expenditures of interest payments, that's not going away.
And the reason why those interest payments are not going away is because of M2.
And I think it's on the next slide.
The problem is the U.S. debt that we have.
And it's over here on the left-hand side.
The total federal debt just continues to rise.
So as of right now, there's $38 trillion in federal debt.
And the interest payments on that's our number two expense.
So people love to vilify Jerome Powell, the money printer, Jerome Powell.
He's the fake and the Fed and the Fed and Congress.
If you have a deficit and you've acquired $38 trillion in debt, Powell has to print, right?
You have to print because you have to make up, you have to pay those interest payments.
The problem here is the debt ceiling is allowed to go to $41 trillion.
And Charlie Biello, he calculated this based upon the Treasury notes.
Basically, we're up $2.2 trillion since July 3rd of this year.
So when I had calculated this, I thought we'd go to June of 2027 on $41 trillion.
But if this, if you're, if 2.2 trillion, basically in six months, if you multiply it by two, we hit 41 trillion by September of next year, not 2027.
That's the big print, right?
So look, these are the numbers and people vilify Jerome Powell all the time.
The money printer go burr.
The problem is, is that we don't collect enough in taxes to cover our expenditures.
And our choice is either raise taxes or cut the expenditures.
And neither of those are being done for whatever reasons you want to think of.
So what that said is the only thing people want to know, does that money, does that printing
flow into Bitcoin?
And my view is, like I said, beginning, 84% of the people that follow me, you know, based
upon statistics were saying that they think Bitcoin hits an all-time high next year.
I think they're right. I think Bitcoin hits an all-time high next year. I don't think we'd go
into an 18-month crypto winter. I think we're living the crypto winter right now, and I think
it'll be over by December 31st. That's my view. Yeah, this is just another reason why rates have
to come down, because they can't pay the interest payments on these. It just has to go down.
Right. And they switched from long term to short term and the refinancing. I mean, the numbers are, I think it's in your next slide. It's absurd what they refinance weekly. And we'll see those numbers starting to show up next week. Powell talked about it.
Yeah. Just a little bit of info on Kevin Hassett, who has an 80, I think here is 74% chance on Polymarket that he'll be the next Fed chair nominee by Trump. And again, I agree with this is Besson's vision for Fed reform. I agree with his vision, mission creep and institutional blow threaten the central bank's independence.
I look forward to the president deciding who's going to be the next federal reserve chair.
I think that he and Secretary Besant will do that ably.
So, you know, Kevin Hassett is a large opponent of digital assets, of Bitcoin, and of being Trump's right-hand ban in taking interest rates lower, much, much lower, even the long end of the curve via some sort of quantitative easing function.
I mean, Trump made his money with cheap debt in the real estate markets.
There's no reason he doesn't want that continued for all Americans or for all wealthy Americans.
We saw new CFTC guidelines around using Bitcoin and Ethereum and USDC as collateral for customers.
So prior to this new regulation, you couldn't use these sorts of collaterals to trade on derivatives exchanges in the US.
Now you're able to post Bitcoin, Ethereum as USDC, and it's treated as sufficient collateral.
So this is just another theme in what is really a whole series of positive developments across the board for Bitcoin and USDC stable coins as collateral, which is pretty much the largest unlock for these markets.
If these are in fact digital assets, digital capital, durable, hard money, then they need to be treated as such.
And so as these regulations start to come online, more and more capital will flow into these assets as the lending abilities and just financial services that are developing around them become more and more mature.
So I think this, again, is just foundation for a long term favorable kind of Bitcoin environment.
This alleviates some sell pressure, right?
Like people don't have to move off their Bitcoin stack.
Yeah, exactly.
They don't have to move off their Bitcoin stack.
they can the bitcoin essentially becomes more of a settlement layer like the bitcoin's worth
something you can't use bitcoin as a tobacco derivatives trading it's not worth anything
yeah yeah so so let me chime in on here on something that changed from the old days till now
so originally back in the old days prior to prior to tether you would post this collateral
bitcoin or ethereum whatever for what you're trading in so what you used to have was these
massive short squeezes that would go up and it would be awesome. For freaking four days,
I'd be Superman because the price would shoot up due to a short squeeze. And then you'd have long
liquidations. And the reason why this happened is that if you post Bitcoin as collateral and the
market goes up, you have more collateral because the price goes up and therefore your Bitcoin goes
up and you could take more leverage, right? More nominal leverage because your Bitcoin went up in
price, right? So you have more equity, but it also worked in the flip side. All of a sudden,
if the market was shifting, goes down. Now your Bitcoin has smaller and smaller equity value
and you get more and more liquidated. So you see here, you have three different choices,
Bitcoin, Ether, and USDC. What changed was about in 2021 and so forth was that many exchanges
started accepting stablecoin as your collateral.
And what happened is because it's pegged basically at a dollar, as the price goes up, your collateral
really doesn't go up along with it, right?
It stays about the same.
So I think that this is great new regulations.
I think this is great for the industry that's being treated as collateral.
We saw the same thing with banks being able to use Bitcoin as collateral also.
So I think that this is good news for the industry.
I agree. I totally agree, Grain. All great points. Again, if anyone missed the links for our event or for Strategy World, please attend. Talk to us, hang out with us, and hang out with each other. More importantly, a lot of high-profile people or low-profile, high-important people come to these events, and I think you'll benefit more from who you meet there than meeting us, per se.
So now we're going to pivot this convo directly into strategy.
We're going to focus on some of the mechanics, some of the prefs, and how all this macro plays into what we believe is to be an extremely exciting and relevant equity in the emerging kind of digital assets economy, the bank of the future, the financial services provider, really what can be the leader in digital credit over the next 10 years, let's say.
Yeah, I'm excited for this one because I had to run my mouth in the chats last week where you guys had all the fun talking about the reserve.
Yeah. I mean, the reserve is a big deal. And who's it for? It's for two sets of people, right? One, it's for the ratings agencies. And two, it's for the institutional investors who are trying to figure out how are they going to pay these dividends, right? Which we know they can just borrow money against their Bitcoin stacks to pay the dividends. They can raise capital via ATM. They can raise capital via other preferreds. You know, Graham, like, doesn't Apple use borrowed money to pay their dividends and their interest?
Yeah, it's with most of the Mag7.
They borrow money because it's cheaper for them to borrow money.
They can keep the cash dividends on the cash in their account, borrow money, and they can
use it to pay dividends and to buy back stock.
So it's financial engineering.
There's nothing wrong with it.
They've been doing it for a better part of 10, 15 years.
And that's how this goes.
So from my view, I think that this was awesome that Strategy did this, that they have a BTC
reserve and then they have the BTC reserve dwarfs the dividends. And then they obviously have $1.44
billion in dividends. I think we're missing that slide, but this slide just shows the BTC reserves.
So I think this is awesome. Exactly. I totally agree. Next slide. Yeah. Next slide. Totally agree.
$1.44 billion USD reserve. It's essentially, it answers people's questions as to how this is
going to get paid. Not even, and then, so it's really interesting the term of events, right?
This was raised by ATM two weeks ago.
Last week, they raised a similar amount, just shy of a billion, in MSDR common ATM used to buy Bitcoin.
So the liquidity in their stock is still extremely, extremely high.
It's used the hedging mechanism for spot Bitcoin, as Tom Lee's touting.
But for all those reasons, there isn't a real systemic problem.
But we just know as the pressure coming out of line and as they were sold the discount, fortunately, the gravity was towards 1MNAV.
But the stock is extremely healthy, its liquidity profile, that being.
Right here. This is just an absolute flex, the perspective on this.
So before they bought Bitcoin, it took strategy 20 years to come up with half a billion.
And the other week, they pressed the easy button and generated 1.44 billion in cash over a trading holiday.
That's the power of permanent capital.
absolutely absolutely and albeit via dilution uh but nevertheless it would still you know
effective and accretive so long as that underlying digital capital is appreciating faster than the usd
is decaying yeah i'm gonna get to it but it is important that they did it now i think when it
is above one m nav because now they don't have to resort to paying the preferred dividends if they
go below 1MNAV because they've already generated the cash and they can just go ahead and pay
the dividends, you know, with the cash that they generated above 1MNAV.
So it's just kind of like a no brainer that they did.
I mean, initially I hated it.
I'm like, okay, you know, melting ice cube, you're never supposed to hold cash.
But it solved so many problems.
It solved this problem.
It solved the problem of, you know, the rating agencies telling them that they can't generate
cash.
It's like, okay, you know, the rating agencies were like, I double dogged Dairy
you to generate some cash. And the strategy was like, okay, be right back, hold my Bitcoin.
They just immediately just materialized it out of thin air. So they demonstrated that they can
get cash anytime they want. Yeah, I wanted to chime in. Alec made a comment in the comment
section that when a traditional company, and Saylor has talked about this many times,
when they buy back the shares, that's surrendering the capital back to the shareholders.
And this is the part about financial engineering that as soon as you say this back to somebody,
they think they're sharp and you say, well, wait a second, a company's got 60, 80,
$100 billion in cash. And what they're going to do is they're going to buy back their own shares.
Now, why do they do that? Immediately, it's accretive. Why is it accretive? It reduces
is the flow to shares. Oh my God, that sounds like Bitcoin. We have a fixed supply. And what
they're trying to do with your typical Mag7 company is let's buy back shares. And what they're trying
to do is constrict that supply in order to force the price to go up. Oh my God, that's exactly what
we keep on saying with Bitcoin. Let's buy Bitcoin, put it into long-term holders that are not going
to trade it. Therefore, the effective supply is smaller. The trading supply is smaller. Therefore,
the price goes up. Now, the interesting part about buying back your own shares, it's immediately
accretive because it reduces the shares outstanding, right? And so what happens with this is that
they're okay with this, but the fact that strategy is not sitting on that cash, sitting there waiting
to do this, right? And they're not borrowing money to do it. As soon as you say it to a really smart
person, oh, well, they borrowed money to buy back their own shares. And that cash is not being used
to buy other businesses. It's not being used to invent new technologies or hire new people.
We just saw they're getting rid of people. So it sounds like to me that the typical MAG7 does a lot
of financial engineering and people are okay with it. I'm okay with it. But with this, with Bitcoin,
it shows a Bitcoin treasury company that they acquired cash. I think this was a great idea
and it helps them to feel great. They put this up on the website, how many months they have of
of dividends.
Saylor retweeted a Fong interview that happened today.
And, you know, so if Bitcoin was to drop down to 50%,
50% where it is today,
they would be able to pay the dividends until 2060.
2060.
If it stayed this flat,
they could pay the dividends to 2100 the year.
And then if Bitcoin goes up by one and a half percent,
they could pay it, you know, in perpetuity.
and people be like, well, these are perpetual, but it should be forever.
As soon as you say to that person, whoever they are,
well, tell me how long can a company pay their bonds?
Do they ever tell you that they could pay their bonds for how many years in the future?
No, they don't.
And that's the part where people will call out strategy all the time.
And you have these old analysts on there.
And it like give me another company They tell you how much coverage do they have You have it right there This was the one I was talking about They have 21 months of dividend coverage right now And it took them one day to raise it took them sorry it took them three four days to raise it
Exactly. No, you're totally right.
For one year's worth of dividends.
The transparency is off the charts. Exactly. It's insane.
Right. Wait a second. They raised 21 months of dividends and they did that in,
I think they did it in five or seven days. So for-
It was in one trading week.
Yeah, one trading week and 21 months is a shade over 630 days.
Wow.
I think that's pretty freaking amazing.
It's amazing.
It's absolutely amazing.
And then you can see the 10Q here showing the exact capital raise, $928 million.
Just shy of a billion.
You can see the Stride stock ATM was used as well.
So this is just a massive development.
And Stride has been seeing some incredible volume or increases in volume.
And we'll go over that in a little bit.
Obviously, this is a strategy capital structure.
So for anyone that's not familiar, this is sort of a size weighted construction of all their different products that sit senior in the capital stack.
So right now, this represents about 30% of their total Bitcoin assets.
The liquidation preference and the outstanding liabilities cover, again, about 27% of their total asset base.
That is Bitcoin.
And you can see these are the converts and blue and the preps and red strife, stretch, stream, strike, STRD, stride and stretches by far the largest and that will continue moving forward.
So, again, that's the capital structure, very kind of even between preps and converts.
And, you know, these converts will roll off, fingers crossed.
They do so in an accretive manner with the price of Bitcoin and MSTR going up.
And then we'll see the press kind of dominate the capital structure as they never have to be refinanced and they don't carry direct term risk that could, in fact, reduce Bitcoin per share in the short term.
More so on stride.
This is just a total analysis of stride specifically on other weeks.
We'll go over different preps.
The training volume is up significantly.
This is just a snapshot from the other day.
You can see its training volume was about double its average.
Here's the volume on these little candlesticks below the price.
So someone bought these extremely high dividend, effective dividend rates, right?
Stride was trading about 65.
Your effective dividend rate was over 15%.
Someone was very excited and was an avid purchaser there.
That coupled with the cash reserve means these dividends will get paid.
Everything barring some sort of complete collapse in the price of Bitcoin.
So the volume is starting to reflect that in this high yield kind of non-cumulative preferred equity.
that's all we have for the presentation i'm going to close it down i think we're just going to
talk a little bit more before we sign off here for the evening
yeah i quickly took a um i guess we can pivot real quick so strategy did leave a rebuttal for the msci
um fud i guess about you know maybe getting excluded and so i'll just i'll just run through
and summarize it real quick.
They basically said that digital asset treasuries
are operating companies.
They're not investment funds
and should not be treated that way.
The 50% rule is arbitrary and discriminatory.
They don't do it for oil companies, gold miners, et cetera.
Also, it would be basically very hard to manage.
In IT, we always hated putting anything in
because now we had to maintain it.
And they would just have to,
MSCI would have to monitor volatility, accounting changes, all kinds of different things.
They said that it injects subjective policy judgments into the indexing.
MSCI is supposed to be neutral, and this clearly screams favoritism.
And then the last point is that it contradicts the U.S. policy and stifles innovation.
Basically, the administration is moving in the complete opposite direction.
So it's kind of like, look, get on board with where the economy is going.
I agree with that.
Yeah.
Look, for MSCI to say this, you know, this is the type of thing where you work at a company and then let's say this did happen.
You look forward to that, you look through to this, and then you see what happens years later and you're like, wow.
And why would I say something like that?
You know, why do people change their minds?
Sometimes they just get rid of the CEO.
I think the best example of this is Vanguard.
Vanguard said they would never allow spot Bitcoin ETFs to be at Vanguard.
And there was the videos, those were all circulating last week because they changed their mind.
Now, did the CEO change his mind?
No, they got a new CEO.
That's what happened, right?
It's like, did the company change their mind?
Yeah, because they got a new CEO.
What I can tell you is you don't want to, do I think CEOs make mistakes?
Sure.
Do I think that sometimes CEOs will double down on the wrong thing?
Yeah, that happens all the time.
But at some point, you have to determine is what you're doing in the best interest of your company or your policy or where the future is going.
Somebody tells me that they don't see a robot.
I've been talking about this for a year.
Waymos, driverless, it's 250,000 rides per month in San Francisco.
Nobody driving it.
It is a robot car, right?
Now, if somebody lives where they've never seen that, they have no idea what I'm talking
about, right?
But this has been going on for two and a half years now.
It's not like this started yesterday.
250,000 rides per month.
And I want to tell you guys, the guys driving the Ubers and the Lyfts, they're pissed off.
They're like, hey, I came here to America.
Now, they would get rid of me in a second for a self-driving car.
So what am I saying about this?
is that the plan works until you realize that the world changed.
And if you just don't see it, the world changed.
You're a dinosaur or a Luddite.
And so I don't want to call out MSCI,
but they're not thinking about how the world changed.
Why should we buy sovereign bonds?
Nobody wanted...
I am unaware of a gold treasury company.
I guess maybe a gold...
Right?
But all of a sudden, right?
They didn't buy it.
But for Bitcoin, it makes sense, right?
And so from that perspective, it was like, wow, I think that's the key takeaway.
The world changed.
Absolutely agree.
I mean, I think that's pretty much the outlook.
People, I think, are a little over-indexed on fear here with regards to Bitcoin.
It's hard to imagine it ever going up again.
I do feel that as well.
I get it.
But if anyone remembers the deep bear of 2022 and 2023, I mean, it was essentially a two-year period of time where you just sat there and be like, yep.
I guess this thing's just never going to go up. But if you're a good disciplined investor,
you just sat on your hands because you believed in the thesis and then you were rewarded by a
triple in six months. And so that's how unfortunately or unfortunately this asset behaves.
And you may just have to sit on your hands for another three months and watch a triple
over a six month timeframe. And that's how you got to hold this thing.
Yeah, and those USD reserves, I know it seems like an arbitrary, like, okay, 21 months for the memes.
But that's not an accident, you know, because that basically spans probably the longest bear market that Bitcoin has ever had.
So, you know, the USD reserve is enough, you know, had to have been tailored to span any kind of like extended bear market that they could foresee in the future.
Yeah, the two-year cycle.
yeah and i think this i think this now becomes a conversation um play when they go talk when when
sailor or fong or andrew go and they go talk to large institutional investors and they're like
you only have 1.44 billion dollars in cash they could just say okay if we increase it to 2 billion
two and a quarter two and a half billion how much of our prefs will you buy right yeah it's a
conversation starter. They just go out there and they just say, we've got one point. Great. Are you
going to buy a billion dollars of our preps if we increase this? Okay, then we'll go do it.
Because they know that that leads to that adoption. Will you buy 2 billion? And I think that's the
part where they've opened this up to hold cash on the balance sheet. And this gives them that
optionality. I think this was a big change that happened. I think Stretch was. And we'll see how
this plays out. I'm bullish for next year. I believe that the Santa Claus rally has already
started. And I think that we will find out the news tomorrow on Thursday. We'll see if the Fed
starts buying tomorrow. Yeah, Green, you're exactly right on that point about, hey, how much are you
going to buy? Because they already know that the ratings agency, if they get a bump there,
that's going to expose them to more of the money. And it just reminds me a little bit of
I saw Jeff Booth interview last week and he had actually just spoken with Bukele and he asked him
about, you know, Hey, why did you take this money from the IMF? Cause that made a lot of Bitcoiners
mad. Like, Hey, you're, you know, you're cooperating. And Bukele's thing, he said, look,
I wanted the cheese. Like, I know it's a mousetrap. He's like, but I wanted, I had to get
my hands on the cheese. And he said, as long as my citizens are, you know, stacking sats and
self-custiding their Bitcoin, he's like, I know nothing else matters. And so I think that's kind
of the same situation that the strategy's in right now. It's like, they want the cheese, right? They
want people to buy more of these prefs, but they have to like jump through this hoop for the ratings
agencies. They got to jump through these hoops for the, you know, to get into the indexes. And as
long as they say Bitcoin focused, they can get the cheese and then, you know, Bitcoin just imposes
its will on the world and, you know, they end up being the winners in the long run.
Totally agree. Should we do final thoughts here, guys?
Absolutely.
Awesome. Green, you want to go first?
Sure. Look, the U.S. federal debt, it's not going away. In fact, based upon the numbers we showed
you today, it's growing faster than the projections. If it grows at $2 trillion every six months,
we will hit the federal debt limit right around election time. And they thought that that number
would be six months after the elections. And if that happens, right, because they're just not,
they're printing too fast, then that will become a problem. So the new guy that comes in
will have to lower interest rates to slow it down
because that's the expense that goes out
to pay the monthly interest expense.
So they got to lower interest rates.
Nothing is going to change that.
The only thing that's going to happen
is whether this is gradual or it's gradual than sudden.
And that's the difference between the gradual,
Lynn Alden, and the big print, Larry.
I think it starts off slow and then it's going to run away.
And I think you're going to end up
with two types of people in the world.
People that bet on Bitcoin, strategy, a couple other Bitcoin treasury companies that rock
it up in value, and that bet on AI and the MAG7 stocks.
Those people will look towards everything and be like, oh, this was bound to happen.
I had to protect myself.
There'll be other people that saw this, but just didn't have the money to do it.
And that's horrifying.
That's really terrible.
But my takeaway is if you know this is happening, you can do the best you can to prepare yourself.
And for those people, that's why we do these spaces, because I want everybody to have a bright future.
But if you don't know what's going on, it's really difficult to do that.
So that's my takeaway.
Quote Lynn Alden, nothing stops this train and they're going to print.
And either you're going to have Bitcoin or AI related.
If a robot's going to take your job, you better have Bitcoin to make up for it.
Absolutely.
I think that's well said, Grant.
Soleil?
Yeah, so I guess I want to talk to the 1XMNAV bears real quick.
And, you know, they'll say,
strategy is trending towards 1XMNAV.
And I'm like, yeah, no shit.
Like every company is trending towards 1XMNAV.
And that includes all the companies that don't have any Bitcoin.
So they're going to zero.
The only companies that will exist in 50 years
are companies that have gotten rid of their cash treasuries and are on a Bitcoin standard.
So what's the game then at that point, if we take a time machine into the future?
You have to have Bitcoin.
So the only thing that matters is getting as much of it as you possibly can.
So, you know, there's a small variable attached to that, which, you know, if you've got positive
cash flow, you know, it's going to be 1xMNav plus positive cash flow.
but just like anybody who you know puts five percent or ten percent of their portfolio into
bitcoin a cycle later it's twenty percent or fifty percent or whatever and just by no fault
of your own and the same thing is going to happen to these bitcoin treasury companies every single
company that starts stacking sats is going to realize that the bitcoin is going to grow faster
than their positive cash flow so get all the cheese you can that's that's just basically the
endgame. I totally agree. I think well said. I mean, obviously, price action is underwhelming
at times. But it's important to remember that this is more than a macro asset. It's a technological
innovation when it comes to money. You've got the PayPal founder working on, what is it called,
LightSpark, different Lightning payment applications. Stablecoins are absolutely
exploding in third world markets and emerging markets. And then you have this new digital credit
industry, you know, kind of moving and bringing broader adoption into the commodity that is
Bitcoin. So as an internet native settlement layer, I think Bitcoin's in a really strong position.
Don't expect, you know, crazy price growth as the assets market cap continues to expand,
but expect really, really strong performance with much lower risk than we'd seen in the past.
This thing is going to be structurally important to the new financial ecosystem, and it won't be going anywhere.
If Tether has, you know, 5% of its reserves in Bitcoin, and then at some point 10%, 30% of its reserves in Bitcoin, things really change.
It just becomes a structural financial layer.
So I'm really excited for the future.
Awesome, guys.
Hey, Dan, one last thing.
David Marcus last year was at Strategy World.
I, he presented, he was awesome.
I spoke to him afterwards.
And so he was there.
I don't know if he's there this year.
I would tell people if you do go, if you, sorry, yes, he was at Strategy World.
If you go to Bitcoin True or Inside event at Strategy World, or if you go to Strategy
World, you obviously you'll meet all of us at our event.
But for Strategy World, if you look at the speakers there, if you are a little bit persistent,
can meet and talk to that person directly.
They do not
turn you away, in my case.
You want to meet Michael Saylor, come to
Strategy World.
I'm sure if you're there for a couple days,
you'll probably get to talk to him more than once or
twice.
You guys have been there with him, right?
You guys have talked to him multiple times.
I would say come to that event,
Wynn Hotel,
in February of next year. I look forward to seeing you.
Awesome, guys. Until next
week, everybody. Thanks again for watching.
I know this was a lot of technical information.
We'll be back on Sound of the Riffing next week.
Talk soon.
Bye.