← Bitcoin News Alerts | Daily BTC Macro Signal
Bitcoin News Alerts | Daily BTC Macro Signal
2256: The Nakamoto Heist: 99% Collapse Inside the Bitcoin Power Struggle
00:32:48
Loading summary
Transcript13 lines
- [00:01]
A
Ever notice how ads always pop up at the worst moments when the killer's identity is about to be revealed during that perfect meditation flow On Amazon Music we believe in keeping you in the moment. That's why we've got millions of ad free podcast episodes so you can stay completely immersed in every story, every reveal, every breath. Download the Amazon Music app and start listening to your favorite podcasts ad free included with Prime. We're lost. I'm going to pull over and ask that man for directions.
- [00:38]
B
Hi there.
- [00:39]
A
We're looking to get to the campground.
- [00:41]
C
Well, you're going to take a left at the old oak tree end of this here road. No, I'm just kidding. Let me get my phone out.
- [00:47]
A
How are you getting a signal out here?
- [00:48]
C
T Mobile and US Cellular decided to merge, so the network out here is huge. We're getting the same great signal as the city and saving a boatload with all the benefits. Oh, and a five year price guarantee. Okay, here's those directions.
- [01:00]
A
Actually, can you point us in the direction of a T Mobile store?
- [01:03]
B
America's best network just got bigger. Switch to T Mobile today and get built in benefits the other guys leave out. Plus our five year price guarantee. And now T Mobile is available in US Cellular stores. Best Mobile network based on analysis by Oogle of speed test intelligence data 2H2025 bigger network the combination of T mobiles and US cellular network footprints will enhance the T Mobile network's coverage price guarantee on talk text and data exclusions like taxes and fees apply ctobile.com for details. Welcome Bitcoin fam to the number one Bitcoin pod. Bitcoin still trading sideways. We're just above 66,000 at the time of the live. I'll be breaking down the latest TA. We'll also discuss ECB Target in 2027 digital Euro pilot as provider selection begins in the first quarter of 2026. Also, Bitcoin ETFs log 105 million of outflows as the mystery IBIT buyers surface. Also, Abu Dhabi's sovereign wealth fund bought the bitcoin dip. We're talking sovereign wealth funds in the Middle east which hold over a half a billion dollars. I'll be breaking it down for you. Also, Wells Fargo sees yolo trade driving 150 billion in Bitcoin and risk assets. Also I got a prediction for you. A bitcoin hitting 150,000 this year before the end of the year. And our big the Nakamoto heist how David bailey used a 99% stock collapse to buy his own empire. We'll also be taking a look at the overall crypto market. All this plus so much more right here in today's show. Today is Pot episode 2,256. I'm your host JV. Fed Chair Nipinator is still at the animal hospital. I pick them up tomorrow. Keep them in your prayers please. I got my fingers crossed. He reignites with me here for tomorrow's episode. So I appreciate all the prayers, all the love, all the wishes, all the comments. Thank you. Nip appreciates the Support. Today is February 18, 2026. I'm your host JV. Bitcoin's hovering just above 66,000 at the time of the live as the trading sideways actually. Action Jackson continues but kicking it off with our market watch as we do each and every day. Pulling up coin360. Sad to say, everything correcting today in the red. Bitcoin down 2%. Ether down almost 3%. XRP down almost 4%. Just losses across the board. Checking out coinmark cap.com also crypto market cap been on the decline. It's only 2.31 trillion for today. Bitcoin specific market cap 1.324 trillion. Checking out top 100 crypto gainers past 24 hours. We got Trump's WLFI leading the back up 15% on the day follow by Cosmos up 7% and Kite up almost 7%. Then very modest gains as the bulk of the market is cracking. And in the red as you can see as I scroll down from all the top 100 ish coins and checking out the crypto greed and fear index we're back at an 8. Extreme fear I believe it was a 5 or 6 is the new bottom which we hit last week. The new cycle low I should say yesterday was 10. Last week on 11 and then last month of 44. In fear and checking out the time chain calendar today is block height 937,281 and you can now exchange one fiat monopoly dollar for over 1500 SATs. You get 1510 to be exact. So you know precisely what to do. You pick up the SATs, put down those gats and pick up some bitcoin caps for my man Sergio over@bitcoincast.net Next up we'll do a little live chart Action Jackson satisfaction for the Broskis. Of course. This is the one hour chart. Not looking pretty. Not even gonna you. As you can see we're currently dropping big red candles here. Being printed, we stopped the carnage at 66 with a little relief green candle but the way things are looking I'm not so confident we're gonna bounce out of this trajectory. I don't know it could obviously a lot of things can happen but I don't like the fact we lost momentum. Sub 70000 I feel like 70000 is the critical line in the sand right now to gain some bullish momentum but it's like we keep trying to get back above it. We test it, we get there. We were even 71 last week and then we insta drop right down. It's like Bitty's wearing a pair of cement shoes at the Epstein island. It's crazy Checking out the four hour they get any better. Big red candle, little green relief candle just printed. We'll see, we'll monitor this. Checking out the daily daily I like the daily chart because every candle represents a day and it's just easy to visualize how we're doing and you can see today red candle yesterday red candle day before that itty bitty green candle almost non existent prior to that another red candle. So yeah we've been correcting for this week unfortunately I believe we had a bullish Friday Saturday and then a bearish Sunday, Monday, Tuesday, Wednesday. And here we are checking out the weekly also not looking pretty. We keep making new lower lows 1, 2, 3, 4, 5 consecutive red candles on the weekly even though we're midweek right now on a Wednesday. Hump Wednesday that is. Why is it hump day by the way? Do you just supposed to hump on a Wednesday? I never. No one ever explained that to me. I just ran with it. Someone please explain checking out the monthly you're going to notice very similar to the weekly 1, 2, 3, 4 five consecutive red candles. It was an October, November, December, January and obviously we're in a Feb bear will march bear continuing to end put a bow on first quarter of the new year. I don't know. You let me know and I'll read those comments out loud but first we're going to entertain some bearish price action Jackson unfortunately but it's because there's a lot of bears bearishness I should say in the market Bitcoin 2024 buyer stead the price as traders see 52,000 next week or so which would be new lows as we continue correcting in the latest edition of the week on chain glass node said the bitcoin price was in the dense demand zone. Bitcoin Treads water around 45% below its October 2025 all time high Buyers from the long before that event are holding up the market. Their importance has become much more noticeable since Bitcoin dropped below the true market mean price near ADGs. Quoting glass node A closer inspection of price behavior since the breakdown below the true market mean indicates downside pressure has largely been absorbed within a dense demand zone between 60 and 69,000. This cluster was primarily established during the H first half of 2024 consolidation phase where investors accumulated within a prolonged range and have since held their positions for over a year. Researchers reference the seven month consolidation structure that characterized much of 2024 in which itself placed the all time highs of 69,000 from November of 2021. Quoting them here the positioning of this cohort near break even levels appears to have moderated incremental cell pressure contributing to the development of another sideway structure since late January of 2026. The defense of the 60 to 69 range suggests the that the medium term holders remain resilient, allowing the market to transition from impulsive decline into range bound absorption. Now the presence of hudder resilience comes at a crucial time as market participants still expect new macro lows to come next. Bitcoin traders have little faith in the current range holding a support with 50,000 now a popular target. Expect a quick bounce to reset the indicators then straight back down. I still believe 52 to 53 is coming in the next week or so.
- [08:51]
C
Hi, this is Joe from Vanta. In today's digital world, compliance regulations are changing constantly and earning customer trust has never mattered more. Vanta helps companies get compliant fast and stay secure with the most advanced AI automation and continuous monitoring out there. So whether you're a startup going for your first SoC2 or ISO 27001 or a growing enterprise managing vendor risk, Vanta makes it quick, easy and scalable. And I'm not just saying that because I work here. Get started@vanta.com well, the holidays have come.
- [09:21]
B
And gone once again, but if you've forgotten to get that special someone in your life a gift, well, Mint Mobile is extending their holiday offer of half off unlimited wireless. So here's the idea. You get it now, you call it an early present for next year. What do you have to lose? Give it a try@mintmobile.com Switch limited time.
- [09:40]
A
50 off regular price for new customers. Upfront payment required 45 for 3 months, $90 for 6 months or 180 for 12 month plan taxes and fees. Extra speeds may slow after 50 gigabytes per month when network is busy.
- [09:49]
B
See Terms forecast the analysts Roman I want to know if you agree or disagree with that perspective. Another chart here on the screen suggests that the indicator reset would affect the RSI and the moving average convergence divergence, better known as the MacD on the 4 hour frames European Central Bank Target 2027 Digital Euro Pilot as provider selection will begin in the first quarter of 2026 the European Yep, ECB is moving closer to a pilot for the digital euro with executive board member Piero outlining plans to begin selecting payment service providers in early 2026 ahead of the 12 month test scheduled for the second half of 2027. He said the executive Committee meeting of the Italian Banking Association. He said the pilot would involve a limited number of payment service providers, merchants and euro staff. Selection of participating providers expected to start the first quarter of 2026. He also said the digital euro, which FYI Satan's currency, you probably know it from a better term central bank digital currency. That's basically what this digital Euro sounds like. Just FYI the polar opposite. A CBDC or a digital Euro. Bitcoin. Bitcoin, Bitcoin. Just keep that in mind. But anyway, pilot could give the PSPS an early start European Union licensed PSPS will be at the core of the euro distribution for participating PSPs. The pilot offers an early readiness advantage ahead of the potential broader rollout including hands on experience with onboarding, settlement and liquidity management. Now stable coins are not the only threat to the banks, according to this guy says the digital European or Euro pilot is intended to protect domestic European payment projects such as Italy's Banco Mat card network and Spain's Bison peer to peer system. He says banks could lose their role in payments not just because of the stable coins, but also due to the other private solutions. Now Zero Hedge points out 61 of all card payments in Europe are processed by the international card schemes, while 13 EU countries solely reliant on international schemes like Visa, MasterCard, Apple Pay for electronic payment processing. The cap on the fee that merchants will pay on the digital euro network will be lower than what the international payment networks normally charge, but higher than what the domestic payment scheme normally the cheapest charge. I mean who's excited about a digital euro? Nobody. But they're going to force you guys to use it obviously for those in Europe and we'll have our own digital dollar version probably test piloting I would assume. Same time. I do not trust it. What can go wrong? Everything. Show me who controls the money supply. I'll show you who controls the world and don't make me go down that rabbit hole right now. But there you go, yo. Next story. Bitcoin ETFs log 105 million of outflows of the mystery IBIT Buyer services. That's right. Spot big one ETFs posted 100. Oh, I think the mystery is going to be the Middle east sovereign wealth funds, which is actually Next story. The Abu Dhabi I'm just connecting the dots here in my head, but I didn't get there yet. Let's see. Total trading volume of Spot Big on E test just fell below down nearly 80% from the record 15 billion February 5, reflecting a continued slowdown of trading activity. The outflows come as another round of institutions report their Bitcoin ETF holdings for the fourth quarter of 2025 with Jane street ranking as the second largest buyer. The Black Rocks ibit in Q4 buying Twitter at 76 million Q4 also saw a new IBIT entrant, a little known Hong Kong company called La La Roar, which acquired 436 million of the ETF in a single purchase reported by the usfc. So good. So Abu Dhabi is not the mystery buyer. We're talking Hong Kong a Chinaman, okay? A potential sign of the Chinese institutions moving into Biddy According to the Bitwise investment advisor Jeff park, newly disclosed position in IBIT could be an early indication of the institutional Chinese capital entering the btc, park said had no public footprint, no website, no press. The only available info is a filer's name Zhang Hu, the Chinese equivalent of a John Smith. What do we do with that? And while park, no relation to Peter Parker, Spider man speculated that the investment may be linked to the capital flight. Some commentators question why the company would choose to buy the biddy through the ETF rather than directly. Now beyond La Roar and Jane street, several institutions made significant moves with the IBIT Q4 2025 Wise Asset Management added 2.8 million shares while 59 North Capital increased their position by 2.6 million shares. 100 million USD acquisition Abu Dhabi Sovereign Wealth Fund Buys the Bitty Dip that's right, there's actually two Abu Dhabi linked investment vehicles disclose sizable additions of iBit. BlackRock's Bitcoin ETF and a new US filing signaled at the least part of the region's sovereign capital use the late 2025 Dr. Scale the regulated Bitcoin exposure. Rather than step away, we're talking Mub Adala Investment Company. They own 12.7 million shares of IBIT worth $630 million as of December 31, 2025, according to the latest Form 13F information table filed on February 17. That's a sharp step up from the 8.7 million IBIT shares it disclosed in the prior quarter filing, which valued the position at 567 million at the time of the report, a 46% increase in share count quarter over quarter. That makes it 50 cent, you know, a se. A separate February 17 filing shows AI Warda Investment reported 8.2 million shares Vid Valed at 408 million December 31, combined with two filings putting ABU Dhabi linked exposure through Ibid at just under 21 million shares at the year end, well over a billion dollars. The setup matters because Ibid has become the cleanest institutional pluming for bitcoin exposure in the US markets. Quarterly 13F tables don't show when a fund bought only what it held at quarter end, but they do show who is comfortable wearing the exposure on a regulated rapper and who is still scaling it. The timing also lines up with The Black Rock CEO Mr. Fink has been describing the sovereign participation in bitcoin more broadly speaking at the New York Times Deal Book Summit, Fink framed the buying as methodical rather than momentum Dr. There are a number of sovereign funds that are standing by. They are adding incrementally 120 GS and at 100 GS I know they bought more at 80,000, says Larry. That quote is doing a lot of work in the current market narrative because it suggests sovereign demand isn't just a headline event. It's a laddered allocation process that can keep showing up even times of stress like these, even if the public only sees it later through the filings. So just note, the big money is always accumulating Bitcoin, as we're pointing out here, through Abu Dhabi's, you know, sovereign funds, talking half billion dollar positions like it ain't no thing but a chicky wing. There's also a subtle but important distinction and what filings imply about the process. They are not disclosures of direct bitcoin custody. You got to keep that in mind. They're disclosures of the ETF shares, which are basically paper bitcoin held alongside traditional equities and other liquid instruments inside a standard report and framework. In practice, the choice compresses operational friction. Custody execution rails governance overhead into a familiar package, which can be a deci or be decisive for large allocators that move more slowly but do move in significant size. Next story of the day, Wells Fargo sees a Yellow trade. You only live once driving 150,000 into Bitcoin and risk assets. The doing US tax filers may see the bigger refunds 2026 compared to the previous year, a Development One Wall street strategist said may boost the risk appetite for the digital assets and tech stocks preferred amongst retail investors. CNBC analyst Quan said that coming refund may help bring back the so called yellow trade YOLO. With as much as 150 billion potentially flowing into equities and BTC by the end of March next month. Send it Quan said the extra cash would be most visible among higher income customers. I just want to point out remember the movie Jerry Maguire. I used to love that film as a kid. Remember Quan? Quan represented the money and say show me the money, show me the Quan. I just want to throw that out there. But anyway, speculation picks up bigger savings. We expect a yellow to return. Let me know if you're expecting yellow to return. I want Bolo to return. And you might remember Bolo from Enter the Dragon. He was the Chinese man with the biggest pectorals you've ever seen. You know it was like a staple for kung fu movies. Bring back Bolo is all I'm saying. Yo yolo. But anyways, Quan said some of that liquidity can move into Bitcoin into stocks popular with retail traders including the Robin Hood and the Boeing. The Boing, the doing, yeah, whatever. 150 billion estimate is how much that total the bank expects could go to digital assets but had not received a response back to the inquiry. Some of the taxpayer funds may flow into bitcoin digital assets important to consider higher inflation consumer spending compared to the novid pandemic Research analyst crypto intelligence platform Nansen shared. If sentiment starts to come around and the retail sees positive upwards momentum at the crypto assets, I see that as increasing the likelihood of the funds flowing in this direction. Conversely, retail investors may opt for other assets with higher momentum and social stickiness. The larger tax returns are due to the passage of Trump's biggest beautiful bill, which included numerous favorable provisions for the 2025 tax filing. Trump signed the One Big Beautiful Bill act into law July 4, 2025 saying it would cut as much as 1.6 trillion in federal spending. Smart money bets on crypto market downside as the whales quietly accumulate. And again the whales are a smart money. You can follow the whales or you can follow the quails. I have two more stories. These are feature stories. We're going to do a deep dive into this Nakamoto. Heist but stay tuned. That's going to be last. I saved the best for last. And I'll give you the perspective from Simon Dixon as well as Max Kaiser, who I think is he's referencing here. I'm guessing shout out to the high priest. But first, a prediction. Bullish about time. Bitcoin for 150G's before the end of the year yo bear market is all I'm saying. So yeah, bitcoin currently trading for less than 70 GS it might seem inconceivable that it may be more than double the value to hit the price of 150 for the year. That's exactly what some of the Wall street firms are now predicting. Wall street baby. So, so what are some of the catalysts that can send the biddy soaring this year? Let's take a closer look, shall we? Will AI create the world's first trillionaire? Well you know, I'm gonna assume Mr. Emailing Epstein on Christmas Day at 5am back on 2012, Elon will absolutely be the first trillionaire he was associated with. Epstein only makes sense in my mind and he's already past 800 billion so his money will just naturally go up. He'll probably cross it. I don't know. Who's closer? Nobody. Because Elon on paper is the richest though we know the Rothschilds control the world. But that's another topic, another conversation. JV Market sentiment right now according to the Crypto Green Affair index is back under a 10. The lower this goes, our price action is suppressed with the silver lining. When we're in extreme fear, the more likely of a relief rally and maybe we break out of this hell hole we call the bear market. But we shall see. You can interpret the ultra low reading in one of two ways. It could be a clear red flag. Something is deeply wrong with the biddy not or external optimists. It could be a sign of total investor capitulation and can't get any worse. It is. Yeah, it can't get any worse than this, can it? Broskis, Let me know. Money on the sidelines Another way to think about the current bitcoin situation is in terms of money on the side lines. In other words, there's money just waiting to flow into bitcoin. That's a fact. Just look at the money in the world. Gold market cap just broke 40 trillion. Bitcoin mark cap today is 1 trillion. All that gold money is going to flow into bitcoin. What about all real estate money? What about all the other money? Total market 900 trillion. Bitcoin's 1% of that. It's kind of crazy to think about that, but that's my perspective. One way to quantify this is looking at how much money is currently sitting in the stables. Essentially digital dollars. And there's a lot. That's why these stablecoin companies are being birthed left and right. Even the Trumpster has his own stable USD 1 the metric that many investors are focused on right now compared to the market cap to tether the world's largest stable to the total market cap of the crypto market. If this metric is just 810 of that range, then money is waiting patiently. That's right. The only reason one holds money in stable coins is they think the prices of their favorite crypto like bitcoin is going to go lower. They park it there to avoid the realized gain common sense. Right. They don't want to trade their bitcoin now for dollars and get taxed and be so they transition it to a stable. They let the market correct do what it do. They buy back on the low. You know all, all good. Higher bitcoin allocation. Another factor could send a bitcoin higher is a higher allocation of the crypto to the institutional investors. What if instead of 1% tiny allocation recommendation they go full 10, 20%? That's when things get interesting and you start talking multi million dollar Bitcoin price. But even at a 1% allocation, that's trillions like the Titanic flowing into the bitcoin and ironic bringing up the Titanic. There's a conspiracy that JP Morgan Chase the bankster sank that because his competition was on the boat. But that's the topic of another conversation. Let's get to the video strategic reserve. Don't forget about the bitty strategic reserve which was created last March to hold the US government's bitcoin. Instead of selling that in the past, if the Trump admin moves ahead with the aggressive bitcoin buying for the reserve, which many are skeptical about right now, some are now imploring the US treasury to do, then the price bitcoin could skyrocket. Or what if they say these gold reserves and what if they actually existed in Fort Knox in which they probably don't according to the epine files, they don't. What if they just trade the gold and put it in the precious little bitty? Then what? But then again we haven't audited Fort Knox in 50 years and I'm very skeptical. I believe Epstein with the emails more so than the US government official narrative story. But that's just me. So is this realistic? Jv, let me tell you the truth. Here's the dealio. If the four year cycle as we know it is still intact, which many are leaning towards at this current moment, considering we've had five consecutive bear months in a row and we corrected Whatever 50 to 60%, many would say 150 is unrealistic. We're not going to return to an all time high surpassing the firmament until we achieve the current 126. You know, the 126 three. We're not going to get a breakout above until the next year the having. This is a typical cycle. If things remain the same, which would not be till 2028, more than likely April would be the having. And we may see a new all time high pre having like we experienced for the first time this cycle. Or maybe right after. Which is what his history has always shown us. So that is one scenario. You know, maybe we pump this year and surprise people. The cycle changes. And for the first time ever, extended cycle theory in place. No more four year cycle. But how would that be invalidated is if for this entire year we do not break out above the current firmament and then the following year 2027, we don't break out above the current top achieved in October of 2025. That would invalidate the extended cycle theory. But we don't know until this cycle plays out. So right now it's just speculation. So if we do have an extended cycle, very realistic, that 150 target I shared with you earlier, in fact that would be considered conservative. We can realistically go to 300,000. Just realistically if that played out now, if we are in the original four year cycle and things are always the same, it just is what it is, then you know, we're going to be paralyzed within this trading range probably for a long time. And we probably won't hit the low of the cycle if this scenario plays out until another year. Because typically It's I think 12 to 18 months to hit the bottom when you keep experiencing lower lows. And maybe we freak some people out. Oh, we're back at 80. You know, everyone 100x long. We're going to the moon bear cement shoes back to 50 lower low. Just letting you know the scenarios that can play out. Nobody knows. It's all speculation, you know. All right, fam. Now for our feature story of the day. The Nakamoto Heist. How David Bailey used a 99 stock collapse to buy his own empire. But first I'm going to give you some perspective from some influencers I respect, starting with Simon Dixon from this thread he wrote it don't get much worse than this. I remember when David Bailey was fighting against Barry Silbert for doing exactly what he just did to his shareholders. As I've always said, bitcoin wrapped in the financial industrial complex is a scam, throw up emoji. Bitcoin itself. Custody is the resistance and that's the key word right there or key phrase Bitcoin in self. Custody is the resistance. And I'm also going to give you a perspective from Max Kaiser. I don't know if it has any relation to this story, but I have a feeling it does. He wrote, beware of orange washers who talk a good bitcoin game, then lure you into a coin casino. So let's dive into this and shout out to the high priest, Max Kaiser. Now credit goes to Justin Belcher. He did this deep dive article. Honestly don't know if we'll be able to read it all, but I'll give you some of the highlights and you know, make up your own mind on what we cover here. But here's what it says. This morning, Bailey used a public company that has lost 99 of its value to buy two private companies he founded out of 4x the stock price with no shareholder vote required. The amazing part, the extraction was locked in before retail investors ever bought a single share. To understand how that's possible, you got to start at the beginning. May of 2025, a zombie corp called Kindly MD announced the merger with Nakamoto Holdings, a Bitcoin treasury vehicle founded by David Bailey. You may recognize him. He's the founder of Bitcoin magazine. He's also the connection to Trump. I believe I've heard this before, speaking on stage and all that because I guess he's friends with the Trump family. But long story short, the stock exploded from $2 to over $30 in days. Retail investors piled in. The bitcoin influencers celebrated. Yay. Bailey compared himself to the Morgans, the Medicis and the Rothschilds. Can't make this up, but here's a clip with the proof of work. We're not going to play that. Just, you know, you can check this out. You check my timeline later. I shared it earlier. Nine months later, the stock trades at $0.29. It lost 99% of its value and Bailey just used it to buy his own companies. Now let's discuss the pump, the mechanics. Elegant. Kindly MD was a micro cap nobody really cared about. Traded on the Nasdaq, Nakamoto holdings merged into it backed by 510 million in a pipe financing and 200 million in convertible notes. On paper, this was the birth of the bitcoin treasury juggernaut. And all of the new ilk of bitcoin influencers fell all over each other. To tell you why you should buy Naka ultimately to own more Bitcoin versus just telling you to self custody the biddy. I'll say this. Fed Chair Nipinator JV have never recommended buying NACA or any bitcoin wrapper. And the only thing we suggest not financial advice is self custody bitcoin. Because only properly self custody bitcoin is unconfiscatable. If you know, you know. If you don't know, you don't know shit anyways. Within days, naca hit a 23x multiple to net asset value. For context, that means the speculators were paying $23 for every dollar of Bitcoin the company actually held. Was insane, sailor. Strategy has never come close to that kind of premium. The difference is strategy had years of operating history, a software business generating real revenue and the CEO who didn't structure the deal to enrich himself on the back end. So the information asymmetry was baked into the structure from day one. In June, Bailey raised another 51 million. And also at $5 per share. A second second tier of investors entered the fraction of what the retail was paying. But still far above the 112 floor. They would be destroyed. Bailey celebrated the raise by saying it closed under 72 hours. Investors demand was incredibly strong. Now let's get to the dump. By September, Naka had already collapsed 96%. Every PIP investor received shares at A$12 could finally sell after the merger close in August. And sell they did. Bailey's response was remarkable for a public company CEO. He told shareholders who came looking for a trade to exit. And guess what? They did? They exited. The stock kept falling through the dollar past 50 cent below 30 cent. Company holding roughly 5700. Bitcoin worth over 500 million now carried a market cap of under 300 million. The market was pricing Nakamoto at less than the Bitcoin on the balance sheet. Which tells you everything about how investors value, the management team and corporate structure wrapped the bitcoin. And I mean again, this thing goes on and on here. It breaks down the debt spiral. I think we could bypass that and get see whatever catches my eye here. But very detailed article here. The accounting disaster. We'll skip past that. We all Know, you know, the. The. Basically, the Nakamoto Holding Co. Losing 99 of its value is not a good look. And especially during a correction like this. Let's get to the heist because this is the interesting part, right? Which brings us here. Nakamoto announced definitive merger agreements to acquire Bitcoin Inc. And UTXO Management. Bitcoin Inc. Owns Bitcoin magazine and runs the Bitcoin conference. I you not the big bitcoin conference hosted this year in Vegas. Last year in Vegas, Same. Same company. UTXO managed the Bitcoin Focus hedge fund. Bailey is the chairman and CEO of Nakamoto the buyer. He is the founder of Bitcoin Inc. And the UTXO the sellers. Seems a little odd, right? He's the buyer, the seller and the CEO who approves the terms. But weeks before the acquisition, he quietly handed the CEO title to Brandon Green. Creating the thinnest possible membrane between himself and the entity he was about to purchase with shareholder equity. This morning's deal, this actually I believe happened yesterday. Is financed entirely with Nakamoto stock price at A$12. Holy. Their call option embedded in the original marketing services agreement. NACA's desperate, desperately trying to reclaim 29 cents. Do you think it'll ever. You know, recover? Let me know. Bailey's company is receiving shares valid at nearly four times the current market price. Bitcoin Inc. I should say BTC Inc. And UTXO security holders will receive 363 million shares valuing the deal. 107 million based on the market price. But the shares were being issued at A$12. Which means the deal was structured when NACA was flying. And the terms were just never adjusted as the stock collapsed. Which. Another red flag. Forget the price and fiction on the contract. What matters is 363 million new shares entered the float. Existing shareholders are being diluted by that number. Regardless of whether the paperwork says 112 or 29 cents. The 112 label is a courtesy to the seller. The dilution is real. So basically it sounds like all their shareholders just got no additional shareholder approvals required. Because the call option was baked into the original merger doc that shareholders voted on when Naka was in the twenties. And thirty dollar range retail investors who approved those terms had no idea they were authorizing the future acquisition of Bailey's private businesses at a locked in premium while the stock doesn't disintegrated beneath them. And again, this thing goes on and on. It's very detailed. Lots of receipts, lots of videos. And then shows you Exit liquidity. Bailey raised 710 million from the 200 investors across six continents. He promised them the Morgans, the Medishis, the Rothchilds, the financial dynasty built on the bitty. He told them Nakamoto would bring bitcoin to the center of the global capital markets. He said their names would echo through history. But he delivered a 99% loss. Which leads me to one of my favorite quotes. I got 99 problems. Bitty ain't one hit me. But there you go, yo. I know it's pretty up. Be careful. Be careful. The drifter selling you the bitty rappers. But there you go. Hopefully you enjoyed that breakdown. Let me know. Those hard elites made a bad name for the pizza. I know now you can never say you're eating pizza and not be looked out. Strange. If I announce, yo, I just ordered a cheese pizza, they'd be like, oh, JV's down with the Epstein pizza gate. JV pizza gate up right? They destroyed a good thing, an innocent thing. I used to love pizza. And what do you think of Dave Portnoy now? He's been doing pizza Reviews for like 20 years. It's disgusting. Portnoy ordering cheese pies every day, doing reviews. Despicable. And don't forget to check out bitcoinnewsalerts.net for the full premium experience with video and to participate in the live stream along with the Q A. And I look forward to seeing you on tomorrow's episode. Hoddle.
- [35:21]
D
Marketing is hard, but I'll tell you a little secret. It doesn't have to be. Let me point something out. You're listening to a podcast right now, and it's great. You love the host. You seek it out and download it. You listen to it while driving, working out, cooking, even going to the bathroom. Podcasts are a pretty close companion. And this is a podcast ad. Did I get your attention? You can reach great listeners like yourself with podcast advertising from Libsyn Ads. Choose from hundreds of top podcasts offering host endorsements, or run a pre produced ad like this one across thousands of shows. To reach your target audience in their favorite podcasts with Libsyn Ads, go to libsynads. Com. That's L, I B S Y N Ads. Com. Today.