← Rich Dad Radio Show: In-Your-Face Advice on Investing, Personal Finance, & Starting a Business
Rich Dad Radio Show: In-Your-Face Advice on Investing, Personal Finance, & Starting a Business
4 Experts Reveal the Future of Money & Wealth
00:28:12
What does the future of money, silver, and Bitcoin look like? In this special compilation episode of the Rich Dad Show, Robert Kiyosaki sits down with four brilliant financial experts—Robert Breedlove, Peter Krauth, Anthony Pompliano, and Mark Moss—to...
Loading summary
Transcript92 lines
- [00:00]
Robert Kiyosaki
People are driven by the search for better. But when it comes to hiring, the best way to search for a candidate isn't to search at all. Don't search match with Indeed. The hiring process can be slow and overwhelming. Simplify hiring with Indeed. Indeed is your matching and hiring platform with over 350 million global monthly visitors, according to Indeed Data, and a matching engine that helps you find quality candidates fast. Ditch the busywork. Use Indeed for scheduling, screening and messaging so you can connect with candidates faster. Join more than 3.5 million businesses worldwide that use Indeed to hire great talent fast. Listeners of this show will get a $75 sponsored job credit to get your jobs More visibility@ Indeed.com podKatz13 that's Indeed.com P O D K A T Z13 terms and conditions app. People are driven by the search for better, but when it comes to hiring, the best way to search for a candidate isn't to search at all. Don't search match with Indeed. The hiring process can be slow and overwhelming. Simplify hiring with Indeed. Indeed is your matching and hiring platform with over 350 million global monthly visitors, according to Indeed Data and a matching engine that helps you find quality candidates fast. Ditch the busywork. Use Indeed for scheduling, screening and messaging so you can connect with candidates faster. Join more than 3.5 million businesses worldwide that use Indeed to hire great talent fast. Listeners of this show will get a $75 sponsored job credit to get your jobs More visibility@ Indeed.com podKatz13 that's Indeed.com P O D K A T Z13 terms and conditions app.
- [01:59]
Anthony Pompliano
Thank you for listening to this special edition of the Rich Dad Radio Show.
- [02:04]
Robert Kiyosaki
This is the Rich Dad Radio show, the good news and bad news about money.
- [02:10]
Robert Breedlove
Here's Robert Kiyosaki.
- [02:12]
Robert Kiyosaki
So we're going to talk about Robert Breedlove's favorite subject. Well, one of his favorite subjects is money or crypto or the finance or treasury and what's going on in the whole money show. It's a big show. Robert welcome to the Rich dad show again.
- [02:29]
Anthony Pompliano
Robert, thank you for having me. It is wonderful to be back.
- [02:32]
Robert Kiyosaki
So could you explain why you're so enthusiastic about Bitcoin? Because you get younger than me. Things like the halving and now that's an etf. What does it mean to you?
- [02:45]
Anthony Pompliano
Yeah, I mean you opened this show talking about the good news on money and I would argue that there is no good news on money other than bitcoin. And you also mentioned that you don't think you have enough bitcoin And I would say, welcome to the club. There's not a bitcoiner alive that doesn't think they don't have enough bitcoin. We all want more because it is basically the ultimate form of ownership or the ultimate form of money that has ever existed. And then to your other point, we have this idea in bitcoin that everyone gets bitcoin at the price they deserve. So it's very complicated. It's hard to understand. You need to understand a little bit about a lot of things to really start to get your head around bitcoin. And, you know, just take all this with a grain of salt and a dose of humility. Even those that have their head around bitcoin still don't fully understand it. Like, once you start to understand how the technology works, the implications are truly staggering and profound and hard to think through. But so what is it? I mean, if private property is the power for an owner to control an asset independent of anyone else's actions.
- [03:59]
Robert Kiyosaki
Right.
- [03:59]
Anthony Pompliano
That you can fully control an asset, then bitcoin is the strongest form of private property that human beings have ever had.
- [04:09]
Robert Kiyosaki
And the reason I want to go into it is because we were talking before we came on with Jeff Booth, there's a whole nother dimension to bitcoin, I never realized.
- [04:19]
Yes.
- [04:20]
And the thing I'm. The thing I'm excited about is young guys like you who are already, you know, I'm so old, I even know what. I don't know what the web is, but you guys grew up in it. And from what I understand is young guys like you are going to take bitcoin to a whole nother level. And I think that's what the old guys like me are saying. The government's going to come after you guys.
- [04:46]
Anthony Pompliano
Yeah. And that's what bitcoin's designed for. This is money wrapped in military grade encryption designed to be unstoppable. So there's no conceivable way to stop it. And to Jeff Booth's point about bitcoin being much bigger than money, it's true. I think we're going to re architect the Internet on top of bitcoin. One of the things bitcoin does is by being an unstoppable money, you can actually send messages on bitcoin that are equally unstoppable. So it's going to be through bitcoin and the higher layer protocols we build on it that we will have true free speech in the digital age. It will be the end of digital monopolies and Censorship by virtue of having an unstoppable communications protocol built on top of bitcoin. That's one of the most exciting dimensions of it.
- [05:34]
Robert Kiyosaki
Oh, what is having. Explain that to me.
- [05:37]
Anthony Pompliano
Every four years the bitcoin algorithm cuts that new supply, that newly produced bitcoin in half. So every 10 minutes. Right now it's six and a quarter Bitcoin are produced every 10 minutes. I think it's about May this year. It's sort of a probabilistic date. Around May 2024, that amount of newly issued Bitcoin every 10 minutes will go down by 50%. So to three and a quarter Bitcoin every 10 minutes. What this does is it cuts the natural selling pressure on bitcoin by half. So bitcoin miners are typically having to sell this bitcoin that they are awarded to cover their operational and capital expenditures. However, when the newly issued bitcoin is cut in half, that selling pressure is reduced by half. So if you hold demand constant, this is the magic of bitcoin, price number go up technology, as we say, every four years, the natural selling pressure is reduced by half. So if demand is constant, this puts upward pressure on the price and we tend to see new all time high bitcoin prices roughly 500 days after the having. So expect to see a new bitcoin all time high price roughly 500 days after May 2024.
- [06:53]
Robert Kiyosaki
Our guest today is Anthony Pompliano, Pop as they call him. And he is one of my go to guys, when I need to know something, I call the younger guys. Now I don't call old guys about bitcoin. So. And Anthony, you were also in the army or something?
- [07:10]
Anthony Pompliano
I, I was in the army.
- [07:12]
Robert Kiyosaki
What, what, what, what did you do in the army?
- [07:14]
Anthony Pompliano
I started out as a combat engineer and finished up as a sergeant in the infantry.
- [07:19]
Robert Kiyosaki
Good for you. And so Anthony Pompliano is one of those people I go to. And so Anthony, welcome to the Rich dad radio show.
- [07:26]
Anthony Pompliano
Thank you so much for having me. I learned from you for years and you've been incredibly kind to me, so.
- [07:30]
Robert Kiyosaki
Happy to help out and the people I turn to and I ask for information on why bitco. So I have lots of gold, I own gold mines, I have lots of silver, I own silver mines and I own like I said, 65 Bitcoin. And I understand the advantages of gold, silver, bitcoin, they all have their advantages, but bitcoin is probably the least understood. So Anthony, why are you so bullish on bitcoin?
- [08:00]
Anthony Pompliano
Well, if you think of what makes gold. Let's start there first. What makes it valuable? It's this idea that it has sound money principles. To your point, it's outside of the system and no one can create more of it, right? And that's really attractive and it's done incredibly well since 1971 because outside the system and no one can create more of it. Bitcoin is the exact same thing, but rather than being in an analog version, it's in digital version. There's a software that has been written that allows for a finite supply. 21 million bitcoin, it's outside of the system and no one can create more. And so one of the reasons why I'm probably the most bullish on bitcoin is in my career, anytime that you saw something that was the digital version. And so same thing here is I think that bitcoin eventually, because it is digital, but it has those same properties as gold, people around the world will have easier access to it, they'll eventually continue to buy it. And because you have a finite supply asset, you have increasing demand, the price of that asset has to go up to accommodate everyone.
- [08:59]
Robert Kiyosaki
But anyway, what is happening with all these other guys who are creating their own bitcoin? I mean, you know, I mean I, I, I don't know their names, but I just stay with bitcoin. But I don't go outside of that, which is maybe stupid. But do you look at other coins?
- [09:16]
Anthony Pompliano
If you kind of think of the traditional financial markets, you have money, right? So you have dollars, you have euros, you have yen, you have pesos, et cetera. I would even put gold in there, right? But things that are trying to hold monetary value either as a store value or a medium of exchange, and then you have tons and tons of companies and these technology companies or non technology companies are all competing with each other. But in your day to day life, you are a monetary maximalist. And what I mean by that is if you live in the United States, you get paid in dollars, you save in dollars, you pay your taxes in dollars, right? And you spend dollars. I don't in the United States sit and hold Mexican pesos or hold euros or anything else. But if I lived in Mexico, I'd be using Mexican pesos, right? I wouldn't be worried about dollars or other things. So you become a maximalist, only using one currency to save and to spend. I think that's what happens in the digital world as well. You're going to have one currency, you're going to use that one currency, right? So let's say bitcoin becomes that store of wealth and the thing you want to spend, but nobody I know has 100% of their wealth all in a single currency with no other assets. Right? They have a stock they may have, you know, oil or some other commodity or whatever. And so the rest of the cryptocurrencies, they're not trying to be money, they're trying to be technology platforms. And so just like Amazon, Google and Facebook all compete with each other, many of these other cryptocurrency tokens are doing the exact same thing. And so what I tell people is my version of kind of the future is that bitcoin ends up being the big winner when it comes to a currency and will store value. Think of it as just digital gold. And then all of these other tokens, they're going to be hyper competitive. There'll be major winners and major losers. And so if you want to go and try to understand the technology and predict who's going to be the winner, who's going to be the loser, you can go do that just like you can in the stock market. But if you're simply just looking for a store of value, bitcoin will kind of be the thing that'll serve that purpose for you.
- [11:08]
Robert Kiyosaki
That makes more sense. Well, thank, thanks for that. We're going to talk to Anthony about this bitcoin etf and I'm, I'm excited about it. I think. Well, I didn't expect that to come along, but I think it's going to make me even richer.
- [11:22]
Anthony Pompliano
But now that these ETFs are coming to the market, they're provided by BlackRock, by Fidelity, et cetera. And one of the things people have to kind of think through is you're not actually buying bitcoin when you buy the etf. You're buying exposure to the price of bitcoin. But it's different than bitcoin. And so usually what I tell people is if you want to own bitcoin and make sure no one can take it from you, you can actually withdraw it into something called self custody. Think about going to the ATM and taking the money out and putting it in your wallet. You own it, you got it in your pocket, right? No one, no one, unless somebody comes and hits you over the head with a hammer, is going to get that cash from you. Same thing with Bitcoin is you can basically take self custody. What most people, though, they're worried about it, they're scared, right? They don't know how to do it and so if you don't want to spend the time to learn, then you've got to either go and use something like a coinbase or you've got to go and look at these ETFs. But just understand that you don't actually own Bitcoin. You simply are getting price exposure to Bitcoin when you buy the etf.
- [12:17]
Robert Kiyosaki
So would you buy an etf, Bitcoin etf?
- [12:20]
Anthony Pompliano
So I have in my retirement account exposure to one of the ETFs and you know it's in my retirement account getting self custody of retirement funds. There's a whole bunch of complexity there. So definitely in that situation it makes sense just buy the ETF in my non retirement account. No, I'm buying actual bitcoin. I want to hold the bitcoin, right. I want custody over that, those assets. And so I think what you really got to do is just kind of ask yourself what am I trying to accomplish here? How comfortable am I in terms of self custody? And each person will make that individual decision for themselves.
- [12:53]
Robert Kiyosaki
Well, let me, let me, you can shoot my theory full of shit, my full of holes if you want. But my theory is when you go to an ETF it raises the price of bitcoin because there's a fixed amount, 21 million. But when it went to ETF, you opened up demand. I mean you made every mom and pop, you know, who may have a thousand bucks in their wallet or they may have a retirement account, every retirement account around the world, it opened that up to supply demand. But when you went to the ETF, the demand went through the roof. So that's why people are calling for $300,000 bitcoin, $500,000 bitcoin. And I, you know, I bit the hook, hook line and sinking, you don't chase shiny objects. But when I heard the ETF was coming in, I mean it's not much but a little 65 coins. If it goes to let's say 100,000, that's pretty good money, you know what I mean?
- [13:48]
Anthony Pompliano
Yeah, I think that definitely the ETF will increase demand. One of the interesting things is there was a lot of financial advisors, a lot of asset managers that they were kind of curious about bitcoin and they were trying to learn about it. But they had this overhang. The regulators hadn't really kind of approved it yet. There was no, you know, way to buy it via an etf. Now that that's been removed. My guess is that not all, but many financial advisors, they'll say you know, let's go put 1% of our kind of clients assets in this ETF. Let's go buy a little bit into the portfolio. It seems to have done really well over the last 15 years. I think it'll still do well, but I'm not going to go take 100% of my client's assets and put it into it. Well, even though it's only, let's call 1%, that is still an increase in demand. That's pretty meaningful for an asset that today is about $900 billion. And so I do expect the ETF to open access, as you said, increase kind of capital flowing into the asset class. And ultimately over the long run, it will help to push the price higher.
- [14:49]
Karim Rahimtullah
Imagine this. You're an art expert. A wealthy acquaintance offers you his grandfather's entire collection for $200,000. You discover it's filled with priceless masterpieces. One painting alone is worth 1.2 million. Now, an almost identical situation just happened in the gold mining world. A major mining company sold off an unproven piece of land in British Columbia for just $200,000. The buyer, a little known gold company that saw potential where others didn't. What they discovered is astonishing. The largest undeveloped gold deposit in the world, 47.3 million ounces. At today's prices, that's a staggering $118 billion worth of gold. Here's the kicker. This company's stock is severely undervalued. You can buy shares for a fraction of what an ounce of gold costs. It's like buying gold at a massive discount. Gold and value investing expert Karim Rahimtullah is breaking down this opportunity today. Click now to uncover this once in a lifetime, lifetime opportunity in the gold market before it goes mainstream. To learn more, check out my favorite goldstock.com that's my favorite goldstock.com Donald Trump.
- [16:05]
Robert Breedlove
Returned to office and Republicans take control of the House and Senate. It's huge news. But the challenges we face as a nation are still here. In four years of chaos, the dollar has lost value. Inflation run rapid, interest rates through the roof, and wars rage across the globe. Trump has inherited an economy that's a total mess and the burden to rebuild is huge. This isn't going to get fixed overnight. Especially with the ongoing assaults of the dollar from brics nations and our growing national debt. Your savings are still vulnerable. Gambling with your wealth is not an option. If we've learned anything is that we need to take action and protect what we've worked so hard to earn. That's why? We partner with Allegiance Gold, a company we trust to help you protect your financial future. Gold and silver are time tested ways to hedge against economic chaos. They're not just investments, they're peace of mind for your wealth. When you start your investment with Allegiance Gold today, you'll get free silver as part of their exclusive offer. Just mention Robert sent you and they'll take care of you. Don't sit on the sidelines at today. Secure your wealth. Go to protectwithrobert.com or call 8443-ROBERT that's 844-376-2378. Let them help you get started for techwithrobert.com.
- [17:28]
Robert Kiyosaki
I'm excited about this guest simply because, you know, we've suffered long and hard together. And this is Peter Kraut.
- [17:36]
Peter Kraut
That's right.
- [17:37]
Robert Kiyosaki
And he's the author of the book the Great Silver Bull. Is that correct, Peter?
- [17:41]
Peter Kraut
It is. That's correct.
- [17:43]
Robert Kiyosaki
And I've been a silver nut for I don't know how long because this here is a 1964 Kennedy half dollar. And in 1964, I was 17 years old and I picked up the half dollar and I looked at it and it had copper around it. And I said, what the heck are they doing? So this is the last of the pure silver American coins. It's the Kennedy half dollar. Today, this 50 cent piece is worth about $12. Okay, so what America did was we violated Gresham's law. And Gresham's law is a very important law in the world of money. And Gresham's law states when fake money enters a system, real money goes into hiding. So what happened in 64? I started saving these. I used to caddy. So I was growing up in Hawaii and I'd go up to the golf course and I'd caddy for one bag for nine holes, two bags for two bucks, you know, and I, if I got $4, I went 18 holes and all that stuff and I go to the bank and I take my dollar and then I would pull out the real silver coins. I, I change it for coins. And I saved a whole bag of silver coins. When I was 17, something inside me, nobody told me there was nobody guiding me. I just knew there's something wrong with fake money. At Gresham's Law states, fake money entered the system. So Peter Kraut here is my hero. Because for years I'd be on Lair Capital, Peter saying, buy silver, buy silver, buy silver. And silver, I think was about five or six dollars an ounce at that time. My friends keep telling me, well, when's it going to take off? When's it going to take off? You know, gold went up. S and P went up. That Magnificent Seven, which is Apple, Amazon, all took off. And what the hell is wrong with silver? So I'm very happy to hear my friend Peter Kraut here, the author of the Great Silver Bull, because he and I are both bulls on silver. All right, everybody wants to know one thing. You know, when the hell is silver going to take off? You know, I mean, because, you know.
- [19:55]
Everybody knows it's manipulated.
- [19:57]
You know, they sell, you know, was it. Who's it, JP Morgan and those guys, almost a billion dollars?
- [20:03]
So my question is, you know, I.
- [20:05]
Started buying silver when it was 10 cents, right? And. And you can buy a silver eagle, US eagle for about $35, right? Meanwhile, gold is pushing 2000. And the reason I like silver is because it's an industrial metal as well.
- [20:25]
As a precious metal.
- [20:27]
And silver's used in solar and batteries and all this. So it's a lot more useful than gold. So, Peter, everybody like me, silver is like the Rodney Dangerfield of the precious metal business. We got no respect. So every time I tell. And I used to sell for a layer of capital saying, buy silver, and now I'm living to eat my words.
- [20:50]
Because everybody's going, well, when's it going to take off? When's it going to take off?
- [20:53]
But, Peter, why. Why has the price of silver been so suppressed?
- [20:58]
I think it's a good thing.
- [20:59]
Karim Rahimtullah
Yeah.
- [21:00]
Robert Kiyosaki
Why hasn't it taken off with solar and with batteries from EVs?
- [21:05]
Peter Kraut
Well, I'm glad that you asked because in fact, I've been looking into this very carefully in the last couple of months, and the conclusion I've come to is that there are what we call sec, what I call secondary supplies. So you've got supplies that come from mining, you've got supplies that come from recycling, and then you've got supplies sitting on the futures exchanges, and you've also got privately held silver. So I believe what's happening is that. And the reason I say this is because I've looked at the research and the charts, and if you look at the comex, the Shanghai and the lbma.
- [21:48]
Robert Kiyosaki
Peter, Peter, be careful using jargon.
- [21:51]
What does COMEX mean?
- [21:52]
Peter Kraut
You're right. So that's the. That's the New York Futures Exchange, where you can buy and sell contracts to trade silver with leverage if you want. Now, there's a little bit of silver on the exchange.
- [22:05]
Robert Kiyosaki
It's like the stock market for silver.
- [22:08]
Peter Kraut
Exactly, exactly. So you've got the equivalent in Shanghai and you've got the equivalent in London. What we've seen is that over the last three years, all three of those have seen. Now, this is just their overall silver holdings have come down by about 30 to 40% across the board. If you look at what they have called registered silver. Now, registered silver at those exchanges is what's available for delivery. So all of it's not available for delivery, but the registered silver is available for delivery. That's down about 70%.
- [22:43]
Robert Kiyosaki
Wait, wait, so what you're saying there's.
- [22:45]
Some silver that's in storage and there's some silver ready for sale.
- [22:50]
Peter Kraut
Right.
- [22:51]
Robert Kiyosaki
You gotta keep it simple for the.
- [22:52]
Rich dad audience here.
- [22:54]
Peter Kraut
All right, all right, Exactly. So for me, seeing that these inventories have come down so much over the last three years, says to me that the big buyers, especially in big industrial users like you mentioned before, for solar panels, they are buying these contracts and they're waiting for them to mature and then they're taking delivery. And so for me to see those inventories being drawn down, and I have all the charts for it, that says to me that you've got big players coming in and are taking delivery from those from those markets.
- [23:31]
Robert Kiyosaki
Who are the big players?
- [23:33]
Peter Kraut
The big players are industrial users, and we're talking about large solar panel manufacturers. You probably also have large electronics manufacturers. I like to say we're never more than about a few feet or a yard away from silver. As you know, Robert, it's everywhere. It's in your cell phone, your microphone, your tablet, your keyboard, your computer. It's all around you all the time.
- [24:00]
Robert Kiyosaki
So how come the price isn't going up then?
- [24:03]
Why does it stay flat?
- [24:06]
Peter Kraut
So I believe that what I was saying earlier is the explanation for that. And that could go on for a little while longer. In other words, right. The demand is being met from these secondary supplies. And so as long as that can go on, and I think that we may have a year, maybe a couple of years left of that at most, that's going to probably keep the silver price relatively level. Now, that doesn't mean. And we've seen it before, you know as much as I do, Robert, we've seen it before when there's this fomo, or fear of missing out, people will pile into silver, following gold, usually, and it just absolutely explodes and goes crazy. Now, we've seen it a few times in the past. Silver does tend to kind of move sideways. And then when this huge fear of Missing out comes in and they see gold. Let's say 2,500 silver at $35 is going to look like one heck of a bargain. Next to go like 2500. So that just drives so much investment demand and the silver price will spike.
- [25:12]
Robert Kiyosaki
Yeah, when the panic hits, you're going.
- [25:14]
To wish you had bought more of it.
- [25:16]
But I've been buying for so many years.
- [25:22]
People are driven by the search for better. But when it comes to hiring, the best way to search for a candidate isn't to search at all. Don't search. Match with Indeed. The hiring process can be slow and overwhelming. Simplify hiring with Indeed. Indeed is your matching and hiring platform with over 350 million global monthly visitors, according to Indeed Data. And a matching engine that helps you find quality candidates fast. Ditch the busywork. Use Indeed for scheduling, screening, and messaging so you can connect with candidates faster. Join more than 3.5 million businesses worldwide that use Indeed to hire great talent fast. Listeners of this show will get a $75 sponsored job credit to get your jobs more visibility@ Indeed.com podKatz13 that's Indeed.com P O D K A T Z 13. Terms and conditions apply.
- [26:23]
Mark Moss
Today we have a longtime friend of rich dad Mark Moss. And one of the best things about my job is I get to talk to smart people. And when it comes to crypto, you know, I'm as. PEOPLE LAUGH Guys my age have no idea what crypto means. And given that I'm the old guy. Mark, keep it simple. What, what does this all mean to you and the future of Bitcoin per se?
- [26:48]
The next six months is pretty unclear. The next two years seems a lot more clear. Five years, even more clear, et cetera. I would say that, Mark, that was.
- [26:57]
Well said because the way it was designed is only 21 million. Right, so you said that supply, demand, or scarcity is increasing.
- [27:05]
Right?
- [27:06]
So that's why it's clearer the farther out it goes versus the US dollar. If we can print 10 million today, they'll print 20 million tomorrow. You know, so that's the problem with cash.
- [27:18]
So, so let me, let me work backwards. I think in 50 years from now or less, less than 50 years, Bitcoin is worth 43 million per coin. Per coin.
- [27:29]
And what's. How you, how do you compute that?
- [27:32]
Yeah, let's get to that. So, so the way that you would look at, say, a Silicon Valley investment, if I was pitching you on uber, you know, 15, 20 years ago in Silicon Valley, I'd say, hey, Robert, I have this way to call a ride from your phone and you're like, I like a taxi. I'm yeah, like a taxi, but it's better. It's more convenient. It's Uber. You're like, okay, Mark, how much is it worth? I say 100 million. You're like, what? Where'd you get a hundred million? Well, Robert, the taxi industry is this big. The limo industry is this big. The van share is this big. If I get 5 or 10% of those, I get to 100 million. So that's sort of the way that you look at the, the markets is disrupting. So bitcoin is going to be a lot of things more than what we know. But we do know today it's competing as a store of value, so it's competing against value itself. So what are the store of value assets? Gold. We have about 14 trillion. Goldman Sachs, JP Morgan, they've put out guidance that it will overtake gold at some point. That's about 14 trillion. We know that also rich people store their wealth in cars, fine art stocks, collectibles, things like that. And that's about 25 trillion right there. We know that people store their wealth not in dollars, but in the stock market. 120 trillion there. We know that people store their wealth, their value in real estate. There's about 350 trillion there. We know that people store their wealth in bonds. There's 300 trillion there. We know people store their wealth, some of them in fiat, about 120 trillion there. And we know people store them in offshore bank accounts. There's about 30 to 40 trillion there. If we add that up, we get to about $900 trillion.
- [29:01]
Right. And now if we, if I could. One of the things that I've had to adjust to is thinking in dollars versus Bitcoin. And that's. That took a long time because they just print more dollars. That's right. I mean, where our debt to GDP ratio now is 135, they're printing a trillion dollars every 90 days.
- [29:23]
It's insane.
- [29:24]
It's nuts. So, I mean, you know, how do you measure dollars and cents and all this stuff? That's, that's why, that's why I'm in bitcoin, because it's 21 million. That's it.
- [29:34]
And to really put this home, Robert, for your listeners, if I were to buy a stock, let's say I invested into your business and I bought, let's call it whatever, 10%. I own 10% of your company. As you continue to raise money, a Lot of times I get diluted. So I don't own 10% anymore. I own 5%, 1% if you think about it, right? Nobody wants money. We want the wealth, the goods and services. And so really, it's all the money in the world divided by all the goods, goods and services of the world. But if I own, let's say, 1% of the US dollar ledger, I own 1% of the dollars in circulation, I own 1% of the wealth. But as they print more dollars, I get diluted. I own less and less as the ledger. But bitcoin changes that. Because let's say that I could own 1% of the bitcoin ledger, then the bitcoin divided by the assets in the world, I never get diluted. As the assets of the world grow, I continue to always own 1%. So it's pretty revolutionary that way.
- [30:31]
But what, and what I say is, as bitcoin goes up in purchasing power, as a dollar comes down, that's how I see the whole thing. I'm going so in rich, dad, poor, I said savers were losers. But Sale says, what do you call somebody who saves Fiat or US Dollars? He says, poor, poor, because people are saving Fiat. They don't understand bitcoin or crypto yet, you know?
- [31:00]
So I think, I think what I think is it's $900 trillion. I think that Bitcoin can easily capture 10% of that market in the next five or six years. That brings it to about a $200 trillion valuation. That would be $10 million per Bitcoin. But what happens is money is evolutionary. So it starts as like, oh, look at this cool rock or feather, it's a collectible, as it could eventually evolve to become a store of value, fine art, cars, etc. If it has the right money attributes, portable, divisible, durable, etcetera, it could go to a medium of exchange and then the final stage would be a unit of account. And I believe that in less than 50 years, Bitcoin will be what we call the unit of account. Instead of measuring things in dollars that are changing all the time, or euros or yen or yuan, I think bitcoin will become the unit of account. So then we take the 900 trillion divided by the 21 million gives us $43 million per bitcoin.
- [31:55]
That's a big call. When I talk to people about getting your money out of cash, I say silver today is about 30 bucks, let's say an ounce. And am I correct in saying this? I think everybody, just like everybody, can afford an ounce of silver. Everybody can afford a satoshi. Or am I off base there?
- [32:14]
No, you're exactly right. So the easy way to think of this is a dollar US$1 is divided by 100 cents, right? A dollar 100 cents a penny is the smallest unit of account that we have in the US dollar system. The Bitcoin is divided by 100 million sats. So instead of cents, they're sats, or 100 million.
- [32:35]
Wow.
- [32:36]
So right now, one sat, which is short for satoshi, is worth a fraction of a penny. When bitcoin gets to $1 million per bitcoin, one sat will be worth one US penny.
- [32:50]
Wow.
- [32:51]
And so right now, yes, you can buy a penny worth of bitcoin. You can buy 10 cents worth of bitcoin, just like you don't have to buy a 400 ounce bar of gold. You can buy an ounce of gold. You can buy a gram of gold. You could buy a fraction of a gram of gold. And so you can buy $0.05 or $0.10 or $10 worth of Bitcoin, which is actually really revolutionary, Robert, because for the first time in history, no matter where you live in the world, you have the ability to buy property. You can buy actual property for $2 or $5, which is pretty revolutionary. So at $1 million per Bitcoin, it will be one penny per Satoshi, and that'll be the smallest unit count. Now, that would put Bitcoin at $21 trillion, which is about double what gold is today. And at that rate, there would be enough bitcoin in the world for everybody.
- [33:42]
Robert Kiyosaki
This podcast is a presentation of Rich Dad Media Network.