The Wolf Of All Streets — Podcast Summary

Podcast: The Wolf Of All Streets
Episode: Crypto’s First Mega Empire? Tether | CryptoTownHall
Host: Scott Melker
Date: September 24, 2025

Episode Overview

This episode dives deep into the breaking news around Tether's rumored $500 billion valuation and its implications for the broader crypto market. The conversation spirals into broader debates about stablecoins, political influences on crypto in the US, institutional adoption, market cycles, and the future of the financial system with Tether, Circle, and Coinbase as central characters. As always, the panel blends market cynicism, technical nuance, and irreverent banter, all capped by a sponsored segment pitching decentralized AI infrastructure (Pi3).

Key Discussion Points & Insights

1. Market Drama and the “Massive News” Culture

• Scott and Dave riff on the hype-driven culture around "big news" and how actual market movement is often disconnected from the headlines.
  • [00:33, Dave]: “Things that we think are important in the global scheme of things in the big picture rarely move markets in the short run, and things that move markets in the short run will ultimately be irrelevant in the long run.”
  • The panel lampoons the expectation that every scheduled discussion must unveil earth-shattering information.

2. Crypto and US Politics — A Partisan Divide

• Substantial focus on how US politics (especially within the Democratic party) impact crypto, with multiple guests lamenting the dominance of older politicians and the persistent anti-crypto stance in federal circles.
  • [02:00, Dave]: “The next administration could undo things... understanding how important it is to turn the tide and make crypto bipartisan eventually. Right now it’s extremely partisan...”
  • [07:52, Scott]: “It’s not left versus right. It’s old versus young.” — referencing Richie Torres.
  • Austin, Gary, and others echo frustration with outdated regulation and highlight the missed opportunity to bring disillusioned youth into political engagement through crypto.

3. Tether’s Mega Valuation – Reality or Hype?

• The main topic: Is Tether worth $500 billion? Why would they raise $20 billion in cash? Does the business justify the asking price?
  • [10:29, Scott]: “This would make Tether effectively the largest big name private company in the world, right? Bigger than OpenAI and SpaceX.”
  • [11:00, Austin]: Two rationales for the valuation: “Either interest rates go way higher forever, or Tether’s basically going to destroy every bank in the world and take over...”
  • The panel debates Tether vs Circle—business models, regulatory arbitrage, margins, and global reach.

4. Stablecoin Wars: Tether vs Circle (and Coinbase)

• Exploration of the competitive landscape:
  • [17:16, Gary]: “Tether has built overseas… much bigger network adoption… But they didn’t have to do it under the constraints that Circle did…”
  • Tether’s first-mover advantage gives it massive distribution, especially in non-US markets, while Circle has pursued regulatory compliance.
  • The looming possibility of exchanges like Coinbase and Circle blurring lines with banking, and what it would mean if any gain FedWire or full banking access.

5. Investment Perspectives & Market Dynamics

• Reflections on where the “story” money flows in both crypto and traditional equities.
  • [21:45, Dave]: “The money will flow to where the story is. That’s true in crypto too, but… we’re talking about a much bigger pool of money in the US market.”
  • [23:39, Scott]: Bitcoin and market sentiment analysis, emphasizing oversold conditions and the possibility of a major bounce.
• Warnings about meme asset trading and market irrationality, touching on trades pumped by tweets (like FTT bouncing on a SBF "GM" tweet).
  • [26:57, Dave]: “I cited this as proof of the degeneracy… of the crypto community…”

6. The Macro Picture: Recession vs Asset Inflation

• Skepticism about government policy and the sustainability of asset bubbles.
  • [29:28, Scott]: Quoting Matt Hogan: “It’s clear that governments have made recessions illegal.”
  • Discussion about yield chasing, the Mag 7, and why money continues moving into growth (and risk) assets.

7. Bitcoin Mining, AI, and Narrative Investing

• Brief but notable focus on public mining companies (like Iron and Semler), their meteoric runs, and the intersection of AI and bitcoin mining as the next narrative phase.
• Speculation that the “Mag 7” big techs may soon hold bitcoin or get into mining.
  • [40:22, David]: “Between now and the end of the year, one of the Mag 7 companies is going to get into bitcoin mining.”

Notable Quotes & Memorable Moments

• [00:33, Dave]: “The first thing anyone should know about news is it is almost impossible to make money with a human being hovering over a keyboard on news.”
• [03:21, Dave]: “Don’t underestimate the importance nationally of having youth injected into politics – youth that understands technology.”
• [10:29, Scott]: “This would make Tether… bigger than OpenAI and SpaceX.”
• [11:00, Austin]: “To be worth $500 billion… you need to believe either interest rates go way higher forever, or Tether’s going to destroy every bank in the world.”
• [17:16, Gary]: “We’re witnessing a battle between Circle and Tether for global dominance... If one of these major players actually gets access to FedWire and gets treated like a full-fledged bank, then I could see this being total disaggregation of banking...”
• [26:57, Dave]: “I cited this as proof of the degeneracy… of the crypto community… Oh, my effing God.”
• [29:28, Scott — quoting Matt Hogan]: “It’s clear that governments have made recessions illegal.”
• [32:05, Dave]: “If the answer is yes (to real growth), invest in everything that benefits from real growth. If the answer is no, then buy bitcoin, put it in self-custody, get your tin hat, make sure you stock up on canned goods…”
• [41:22, Dave]: “The obvious choice here is that Nvidia puts bitcoin on its balance sheet while it sells all this equipment and machines to the people that make bitcoin.”

Timestamps for Key Segments

• 00:00 - 04:50: Introductions, meta-commentary on market-moving news and the crypto hype cycle.
• 04:58 - 09:53: US politics and crypto — generational and partisan divides, Democratic party's position, and missed opportunities.
• 10:18 - 17:12: Tether’s $500B valuation explored, comparison with financial giants, and Circle’s struggle for profit in a declining interest rate environment.
• 17:12 - 19:03: Tether vs Circle (and Coinbase), stablecoin network effects, global regulatory arbitrage.
• 19:03 - 23:39: Market structure, the flow of “story money”, and behavioral cycles.
• 23:39 - 29:28: Bitcoin, crypto market technicals, meme trading, and broader equity parallels.
• 29:28 - 32:05: Macroeconomics — asset inflation, recession “ban”, and big picture consequences.
• 32:05 - 42:35: Bitcoin mining, AI synergy, predictions around big tech entering Bitcoin/AI crossovers.
• 43:01 - End: Sponsored segment — Pi3 decentralized AI network: vision, tokenomics, and Q&A.

Sponsored Segment: Pi3 Decentralized AI Network

Overview:

Pradeep Gol, CEO of Pi3, presents the pitch for Pi3—a decentralized, domain-specific AI network aimed at edge compute, privacy, and professional use-cases (healthcare, finance, law, sports management, etc.).

Highlights:

• Pi3’s Model:
  • Compact, powerful nodes (Power Nodes) for decentralized compute.
  • Focus on B2B, B2C, B2G, not consumer SaaS.
  • Tokenomics: no pre-allocations, no SAFTs; emissions only for node operators, with deflationary mechanics via token burns.
• Security & Compliance:
  • Each node uses “cabinets”—encrypted storage for data privacy (HIPAA, PCI compliant).
  • Decentralization supports compliance and eliminates central points of failure.
• Growth Plan:
  • Cap of 3,141 nodes for scarcity (a nod to Pi), aiming to drive revenue via high-value, domain-specific models (e.g., pediatric health, NFL contract management).
  • Goal: Generate >$1B in annual revenue within 2-3 years.

Notable Pi3 Quotes:

• [43:32, Pradeep Gol]: “AI is here… very much centralized… Pi3 is trying to flip that model and merge Deepin, DeFi, and AI together.”
• [48:18, Pradeep Gol]: “Each address has a guaranteed three-year emissions of tokens… we can only have a finite number of token earners…”
• [51:17, Pradeep Gol]: “The token economics are deflationary in three different ways… no flood of supply ahead of demand… 5% of every revenue dollar gets burnt.”
• [62:41, Pradeep Gol]: “Our job is to drive demand to the network with very high value transactions which then flow back to the node operator and we take a piece of that like the app store.”

Episode Tone & Takeaways

• Cynical, irreverent, and deeply knowledgeable. Regulars mix market wisdom and snark, particularly when discussing market irrationality and the spectacle of hype vs reality.
• Big themes: Markets are driven by narrative, power is shifting generationally in politics and business, and the crypto world remains as wild and unpredictable as ever.
• Key takeaway: Whether Tether deserves a $500B+ valuation is up for debate, but the institutional appetite for "the next financial system" is real, and the lines between banks and crypto are blurring faster than most realize.
• Sponsored message: The race is on for decentralized, compliant AI—Pi3 aims to deliver it.

For listeners who missed the episode: This summary delivers the core debates, provides context for the drama around Tether and stablecoins, and flags both the market’s current irrational exuberance and the looming structural changes that could define the future of crypto and finance.