← The Wolf Of All Streets
Loading summary
Transcript206 lines
- [00:00]
A
We saw yet another major setback for Bitcoin as global markets have trillions of dollars in value wiped out. Of course we have potential global conflict in Iran, among many other things happening around the globe, making people scared. The fear index and crypto below 5 unprecedented levels of fear and uncertainty around the world. And obviously bitcoin is not immune. Trading down as low as into Russia roughly the 62,000. We're going to discuss all of that and more here with Andrew and Tillman. Let's go.
- [00:37]
B
Let's do, Let's do.
- [00:52]
A
Good morning everybody and welcome to the show. I'm sorry that you just had to suffer through one of my least inspired and just trash intros I've ever done. That was bad. It felt bad. I'm gonna be honest guys, that one felt bad.
- [01:06]
C
It was actually pretty bad. I was gonna say something, but you, you preempted it.
- [01:10]
A
But the problem is like I, I'm under pressure because I'm trying so hard to get Lacroix back and you know, they're on the hook and yeah, whatever,
- [01:23]
B
you're making it better. You're rising like a diamond being formed under pressure. I see it.
- [01:29]
A
I, I thought I was. Then it went bad there right in the middle. It was feeling good and then I was like, what do I say? Really? And let's first let, let's talk about just the insanity of, of markets at the moment, just to set the picture. So obviously markets were down bad yesterday, but it was basically down bad because like one research firm wrote, wrote a think piece about the future of AI. It's like 2028 and you're. Everybody hates you and your life is left. It was a country song and it basically eliminated gajillions of dollars. Right? So we had anthropic basically can do COBOL code now. So IBM goes down 30 billion in market cap in like five minutes. These five paragraphs here it is wiped 100 billion in market cap across credit card stocks because basically Citrini Research was like agents are going to go for free transactions. Your credit card 2028. You heard it here first, right? In a second. The entire stock market is dumping. It just shows how nuts. The reaction to the smallest takes on the future of AI software stocks are now underperforming the NASDAQ by the largest margin this century. I mean it is just nuts out there, people, and I get it, but they say markets hate uncertainty. Have you ever remembered a time when things felt less certain than right now?
- [02:51]
C
Well, it's, it's, there's never Been a time where we've been more tethered to information than we, than we are right now. So everything seems like, oh no, what's next? And oh, by the way, even after yesterday, the S and p is about 2% off. It's all time high.
- [03:08]
A
Yeah, but it's all.
- [03:10]
C
I'm high 2%. Right. And by the way, nobody, 99% of the world had never heard of Citrine until yesterday. Yeah, but 99, nobody had heard of them, right? Nobody. So I, I think there's, there may be a version of this that starts to shift and says, yes, AI is meaningful. Yes, AI is going to do a lot of things that are good. Some of them may be a little bit bad, but innovation is generally good. And there is, there's going to be a world. Josh Brown has put out a couple pieces in the last week talking about the fact that, you know, I've been through some of these cycles before where it seems like life changing, world changing. Everything is, you know, everything that you're used to is going to go to zero and then that never happens, right? That there's, there's still foundational things that have to exist for people to live their lives. And so, yeah, 20, 28, you know, the world's gonna come to an end. That's maybe a bit, a smidge hyperbolic. Let's, let's peel back a little bit and you know, tomorrow is, is, is gonna happen. We're still, we've still got to eat, breathe, buy stuff, exist, all those.
- [04:31]
B
Well, it never happens as quickly as panicking enough.
- [04:34]
A
You are not panicking enough. We need to panic.
- [04:37]
B
It never happens as quickly as we think it should or would. But I will tell you, I have a little bit of a difference of opinion. I think AI is incredibly deflationary. I think it's good. I think it's going to change every business that's on the face of the earth. That's the truth. And some of the businesses that are the largest legacy providers of things that are going to be replaced, I mean, it's no different than Blockbuster and Netflix. You know, you could try to fight that, but Blockbuster, the second Netflix created streaming, was a brand. That's it. With, with whatever cash and real estate and net assets they basically had, the business was dead. The business had, had become extinct overnight. That's going to happen to a lot of, of, of providers, service providers, software providers, all sorts of providers everywhere on the globe. And so to, to fight it is, is the naive part is like that we should be pressing into the headlines should read, we've discovered something so disruptive that it's so big that all of the losses that we're going to incur from the traditional old system are going to pale in comparison to what we are going to create on the other side of this tunnel. I mean, look, look, it's not like all these things cratered for no reason. They cratered under this thesis that AI is going to materially change their business model. Ding, ding, ding. We have a winner. It is and you better get ready for it. And I'm excited about it. No different than I'm excited about how crypto is going to change the financial system and completely flip it on its head.
- [06:31]
A
That's what this says. And it's obvious and we've all been saying it. But the bull case for AI revolution is abundance.
- [06:37]
B
Yeah. So
- [06:40]
C
a real world analogy of this, I think that also gets into assets and prices. Right. So Expedia, which again is, you know, search for better prices, which clearly AI is disrupting as we speak. Right. If you go looking for the best plane ticket, do a better job than Expedia does.
- [07:01]
B
Well, listen, the biggest name that we don't want to talk about is Google because I haven't used Google in a year.
- [07:08]
C
But at the same time, you know, Expedia is down like 23 so far this year, but Delta Airlines is up five and a half percent.
- [07:16]
A
Why?
- [07:17]
C
Because no matter what you use to figure out the price, you still got to get on a plane to go somewhere. Right. AI isn't going to disrupt the creation of, you know, a plane that has.
- [07:30]
B
Well, Andrew, to your point, AI may create margins in your life and create a side business that you couldn't otherwise manage whereby which you're taking 10 times the flights that you. Otherwise there's catalysts that are a lot larger than what we suffer. From a cost perspective, I think it's
- [07:49]
A
going to be awesome when everything comes back to in person.
- [07:52]
B
I agree. I think that's going to be the most valuable time humans spend going forward and we're actually going to realize it.
- [07:58]
A
Listen, I am sure that the three of us will be replaced by our AI avatars in like three months and we'll be laughing at our own show that we're not actually doing. That's probably true, but like first of all with the AI agent stuff, everybody's terrified of the cloud now because of the privacy. So we're literally seeing like people building computer farms that are like the server farms of old going back from the cloud, putting everything in their office. Now if you actually want to have a conversation with someone to be sure that you're having a conversation with that person, you get everybody in the office, you have a conversation because nobody thinks everything's anything is secure anymore. And there's going to be a thirst for like these. This. As much as I joke about it, maybe I'm wrong. Maybe people are going to want to watch AI entertainers. Crypto banter already has an AI dude. He's pretty good doing shows, Jax. But I think it's going to basically just create this renaissance of human to human contact and innovation and getting back to building things together. I think it's great.
- [08:58]
C
Well, remember Facebook changed its name to Meta and already tried this three plus years ago and everyone hated it. Everyone hated the idea that we're gonna, we're gonna jetpack our way 15 years from now and everybody's just an avatar and interacting with other avatars sitting with a thing on our face. And that's now we may get there, you know, we may get there 25 years from now.
- [09:24]
B
Well, I would argue there's always gonna be a beauty in being using both worlds, right? There's. You're never going to create a world in the meta that's going to completely displace your physical body and unless you wire yourself into the goo tube, you know, like in the Matrix, I mean, and you know, more power to you if that's what you want. But I don't, I don't think there's going to be a lot of people signing up for that voluntarily.
- [09:54]
A
I used to watch YouTube. Are we live on YouTube right now?
- [10:00]
B
I don't know.
- [10:03]
A
Feels like we are.
- [10:04]
C
I mean, quickly pivot from YouTube.
- [10:08]
A
I was so dumb. Like you think about the. I'm just thinking about the Meta rebrand. By the way, we have two stories about Meta today just incidentally, but like they, their best example of it was like your legless little Wii Sports guy running around having meetings with other Wii Bowlers like we tennis guys. And then you could buy a mansion in the sandbox for like $2 million next to Snoop because they rebranded to Meta and the metaverse is entirely gone. AI is going to be different, by the way. I don't know if you saw these stories, but I'm just going to bring them up because we're talking about Meta. But we have breaking. Meta has agreed to a deal with AMD to buy over 100 billion worth of AI computing power, potentially 10% stake in the country company. So that's obviously up but then on the flip side, according to internal document meta is adding facial recognition, a feature called impact to smart glasses undercover of an already dynamic political environment. We mean may never be anonymous to any stranger in a crowd again. Imagine you're walking around these glasses. So it's like that's Scott Melker, his glasses.
- [11:13]
B
Listen. It's going to be feeding you data like you wouldn't believe. It's going to change everything and it will make human to human contact and trust that much scarcer of a commodity than it already is, which is a sad thing but at the same time it will consolidate into, you know, something that's pure
- [11:37]
C
to that point. You know, two weeks ago we were all in New York and we were all face to face and the authentic authenticity of all of that is, feels more elevated than it did two years ago. Right. Like, like that has a feeling of this is important, these conversations matter, relationship building. It has additional value than it had before simply because of, you know, what we're going through right now. And I, I don't think that's going to change. I think that will be even more value valuable on a, on a go forward basis. So yeah, I mean lean in, lean into both of it and we'll see where we are in a decade.
- [12:22]
B
Well, that's a great segue into kind of the, the doom and gloom of the Bitcoin network and why everybody's complaining about price. But when you go to those types of conferences, you see a room full of builders and they weren't the builders of old. Like they weren't guys in their basements. You know, they're teams of billion plus dollar market that are spending enormous amounts of money on R and D, on infrastructure, build out, on user experience, on all the things that matter to the industry and you walk away going, there is no way this is bearish. I mean this, this is stuff that takes years to develop and it's things that break down walls of access, of barriers that have been in place for an exceptionally long time. You know, Brian Armstrong had a tweet yesterday that I think made a pretty good, you know, set of waves. And it's about this, it's about access, right? It's about tearing down these barriers that have kept, you know, the, the, the common person from participating in some of these arenas and, and being able to make money with their money, which is a very important concept that's not taught in, in, you know, traditional education. But you look at Bitcoin and the development side, you look at the big money, the Larry Finks of the world and how much they're investing and whether they are buyers at this dip or whether they all buyers. Then you look at the hash rate, which is my favorite thing to look at. You know, to me, Bitcoin is just very simply a network, right? Networks have value. Why? Well, because they transmit information to end points. The more end points, the more valuable the network. That's. It's just that simple. To me, it's, you know, and if you measured Amazon that way, Facebook that way, all the networks, you'd see the value exchange grow proportionate to that hash rate.
- [14:23]
A
Hash rate's awesome. It's not everything else about bitcoin right now.
- [14:28]
B
No, no, I know, but we're over 1 zeta hash for the second time in history, which is the largest.
- [14:37]
A
You made a gazillion dollars today.
- [14:42]
B
Listen, this was one of the things. This is a nerd point, but you just proved my point. Having one zeta hash worth of computational power on an Jones is, is something that we've had to invent a word to describe. That's how important it is to humanity. We've created the largest network to where now we're having to literally create or use terminology that has never been used before. Because it's that big, it's important and it's continuing to grow. And that's the value, that's the value indicator that I think is correlated to upward trajectory of price.
- [15:20]
C
There are, there are bear market bottom signs everywhere. Everywhere. I mean, every day there's multiple bear market bottom signs. So my, my favorite tweet yesterday, and I quoted, said, bitcoin is dead at 13, Bitcoin is dead at 3K. Bitcoin is dead at 16K. Bitcoin is dead at 64K. And then the line, the funeral keeps getting more expensive to attend and, and you know, as per. That's so well said for people that have lived through cycles. Wait a minute. What's fear and greed at? Is it. Is it?
- [15:58]
A
Yeah, but it's up big. It's up 60 from five.
- [16:01]
C
Yeah, it was at five. Five was the lowest ever.
- [16:04]
A
Yes, and it stayed that. Dave Weisberger pointed this out yesterday, said, hey, go down to like the, you know, the one year or whatever. And yeah, we're like, we're breaking to new lows. And I went to the max and it was like the. Even in 2022 was nine, eight. Oh, there was a six in here.
- [16:18]
C
Yeah, yeah. When, when basically FTX, when everything blew up like in 2022, half of the companies in bitcoin crypto just died.
- [16:29]
B
And, well, and, and the fear of which domino was next, like ftx, it was just.
- [16:34]
C
Yeah, correct. So my point about there being, you know, bare market bottoms everywhere. That's the point. We got the five and we were, we got to five, by the way, when we were in the 70s. Literally in the 70s. Right. And we're now down at 64. And somehow sentiment's gone up like you said, by 60.
- [16:53]
A
Killing it yesterday. We were at five though. It's just. Yeah. Which is weird. Maybe they just haven't recalculated breath at 62. At 62, 000. Those bottom signals. It's crazy to me. Right? And listen. Exactly. But we're actually even getting like the actual bottom signals. Wait, I mean, I'm, I'm cooking through a few tweets here. We have a lot of World Liberty Financial fud in a moment, but this one, like, we're back to the actual 22 stuff. Terraform Estate sues Jane street over trades tied to 2022 market collapse. Like, if you guys remember, obviously Jane Street Jump, I think actually already got in trouble for this market manipulation and insider trading during Luna. But now Jane Street, AKA where SBF started. Right? And here you go. They nuked a whole protocol and sent a dude to prison who had a newborn. Plus people literally committed suicide due to this crash. Welcome to the markets. And this from Zero Hedge. And there it is. Jane street was behind the 2022 Crypto Winter, destroying terraform by first to pegging the token and destroying the ecosystem, then pretending it would rescue terra while effectively it was soaking up what little value remained. If you want bottom signals, we're literally Back to the 2022 bottom signals. Recirculating.
- [18:01]
C
Yeah. Yeah, so, so, you know, lawyers suing old and dead companies whose founder is currently still in prison. I mean, yeah, I mean there, there can't be a bigger bottom signal at that. By the way, how many articles have come out in the past two weeks questioning what does bitcoin really even stand for? There's nothing about it that, that seems to be true or, or gives it value anymore. Everything's gone. What are we even doing here? Those, those are again, flashing red light bottom signals. And that doesn't mean that we, we stop at 62 and we, we go up from here. It just simply means that these are great entries, folks. Like the, the, these, you know, over the next three to six months, you
- [18:49]
B
know, you know what? I, I, I will say this though. The, I can't remember how many millions, but I think it was like 500 million, almost a billion dollars worth of leveraged longs were liquidated on Sunday. As long as people keep buying bitcoin with huge amounts of leverage, get ready to get volatility. That. So like if, if you're picking bottoms, you know, this is a saying that has been, you know, ringing in my ears since a young boy, which is like don't try to catch the, you know, don't try to time the exact bottom. Be prudent about your capital allocation. And I think that's what we're seeing with the treasury companies right now is like none of them were prudent in their capital allocation.
- [19:39]
A
What do you mean?
- [19:40]
B
Michael Saylor is the only one that's getting to keep, he's driving his average cost down by re, you know, raising more money down here and he's being effective in that. But that's, that's, yeah, he's still way down, but I'm just saying he's, he's at least adding to the stack and, and, and has a capital lever to pull to get more bitcoin purchased. So he's lowering his cost basis.
- [20:05]
C
By the way, I know we're mainly bitcoin centric on this show, but can we take a minute to, to, I think what Tom Lee's done with Ethereum, right. So basically, Tom Lee, it sounds like, you know, hey, he's just copy and sailor. Well, that's not the worst idea in the world. Right. But Tom Lee almost every week is announcing additional purchases of Ethereum and it seems like that may be the other digital asset treasury company that survives. Right. I mean it's, it's. I know he's, I know he's down. Right, but listen, they keep adding sometimes multiple times a week and it's not small amounts of Ethereum, Right. It's, it's meaningful amounts of Ethereum every time they do it. By the way, that is clear bear market hair. Poof for.
- [20:58]
B
Yeah, I mean we couldn't get more. If that isn't a bottom signal, I don't know what is. I don't, I, I agree with you just from a simple like, you know, sometimes from an investment perspective you just bet the jockey and he's a hell of a jockey and I wouldn't bet, bet against them. I'm sure wouldn't, I wouldn't be shorting whatever he's involved in, I'll say that.
- [21:18]
C
But he is going about it in again, a very Sailor esque way that instead of. Right, so she got a huge Amount of capital influx. And what, what did he not do? He did not do the dumb thing that most of the other treasury companies did. Just hit. I'm buying $700 million of Ethereum right now. Right. He's continuing to be.
- [21:41]
B
Well, he's more Wall street exposed, I think. If you look at really the people who Smash bought, you know, it reminds me of an old saying Coach Mac Brown used to tell us. You know, people dance with the girl who brung them and, you know, a lot of, A lot of those guys have been smashed by in their whole existence in Bitcoin, and it's paid off exceptionally well for them. I don't, I don't fault them for that. But when you're in traditional markets, the question isn't about return anymore. That's not the first priority. First priority is risk. And to understand this, it takes decades of Wall street experience.
- [22:24]
A
I was going to do this earlier, and it just, it doesn't land anymore. But I took the time searching for a South park meme. So now I want to share it anyways. But this is going to be my live look at Michael Saylor and Tom Lee right now. But it just didn't land. Like, I knew it wasn't gonna land, but I still, I. That's what it made me think of. I didn't hear no bell, like, it ain't over yet until the fat lady sings. You know, people are declaring them dead. Those are bottom signals, like, going to zero. The sailor's dead.
- [22:53]
C
It's probably a better meme for like Naka stock.
- [22:56]
B
I. I really want you to envision
- [22:59]
A
that's pretty, pretty bad.
- [23:00]
C
Yeah.
- [23:01]
B
Do you guys remember when bitcoin, the crash to 3,500?
- [23:06]
A
God, when it went from six to 3,500, it was like, six forever, four forever.
- [23:11]
B
We were like four, four. And then it was like 50% down in a day. Well, I will tell you though, what would you give to back the truck up at 3500 again?
- [23:25]
A
Story about that day?
- [23:27]
B
No.
- [23:28]
A
So I didn't profit as much of as I maybe could have. But we were at 6,000 for God knows how many months, a long time. And the day before it dropped, I was sitting there and I was like, I'm just gonna put some stink bids like they'll never hit. But like, I've been sitting here waiting forever, like, why not? I didn't think 6 was gonna break. I put in bids at like 4039, 38. 12 hours later, like, I, I wake up, you know, like, it was like six o' clock at night and I wake up and price is 6,000. And I go about my day and then I like, you know, an hour later I check the news. It's like bitcoin crashed to under 4,000. And I look and I filled on all this stuff and it happened in that 12 hour period. I had no idea. I sold half of it immediately.
- [24:15]
B
You're a genius.
- [24:16]
A
I'm like on Bitcoin in 12 hours on Bitcoin, like some meme coin. But yeah, like it proves, you know I could have completely missed it. It was a blip. I wouldn't miss it with your software and I wouldn't miss it very. Being very lucky on a, on a stink bid. But I'll never forget that day because it was like the greatest bitcoin trade of my life. That happened while I was sleeping. That I did nothing but.
- [24:39]
B
Well, I'm no, I'm no market predictor but wouldn't surprise me if we see a really large sweeping event and a parabolic candle up like that. It's happened so many times in our history. That was one example of it. But it's happened literally. I can name five or six off the top of my head. It, it's like the, you know that juicing machine that can get. Just grinds it to the absolute pulp. Well that's what they like to do with the liquidity, the leveraged liquidity in market. So as long as people keep low and loading leverage trades on there, the volatility is going to sweep that liquidity and that allows them to continue to accumulate. That is what a rounding bottom is. And then once they have their position, they let it rip. And I think we're in that stage. Who knows how long it's going to take though. I mean it's anybody's guess but this is when you start DCA in and when you are aggressive and you're holding
- [25:39]
A
the other half for the record, still holding the other half.
- [25:42]
B
Good for you.
- [25:43]
A
$3,000 Bitcoin, that was a thing and not such distant past.
- [25:49]
B
Well, we could. What if we see a candle down to 49? It'd be the same thing.
- [25:55]
A
What I need is though, because I'm obviously software based, I needed to stay there for a second. Just close the candle down there. We can't get that like one hour wick where it's all the way up and we, and we close back up. By the way, like talk about more bottom signals because this is fun.
- [26:09]
B
You can set up a one minute candle if you want.
- [26:13]
A
You know I should do that. No, we should do that. Like if it's like you get a 10, like 10 minute drop, I'm going to put that in. Can we do that?
- [26:20]
B
Yeah, yeah, you can.
- [26:21]
C
Yeah.
- [26:21]
A
Because like what if we get one of those like flash wick 15% on some exchange and it just happens in one hour and then it goes, yeah, we should do that. Yeah.
- [26:29]
B
You may not get filled because it may not stay down there long enough. But that's no, no, no harm, no foul in trying.
- [26:35]
A
One minute. So here, I don't know that this announces major insider trading investigation dropping February 26th. I don't know if that's at all related. I mean this is crypto that could be literally any entity, period. But USD 1 nearly depegs. Eric Trump allegedly deleted some World Liberty Financial tweets. There's people online saying he deleted all his tweets. Andrew, you're like, he deleted two World Liberty Financial then claims it was a coordinated attack and they've been hacked. And then Eric Trump posts about world life and then we've got, as we go through it, just quick, he's deleting all crypto. That's not true.
- [27:13]
C
This is peak crypto Twitter, right? Yeah. So we have no idea what Zach XBT is going to actually announce. Words like nearly and allegedly. Or maybe, maybe, possibly, maybe, possibly something could happen. Like it's, you know, it's the only thing we need for this story to really work is somehow for Bitboy to be involved. That would be.
- [27:40]
A
He's not in jail anymore. I heard, I thought that apparently he's making videos and stuff.
- [27:44]
C
He is for a while. Then I think he, he, he, he went back into, into the can. No, I mean again, bottom signals. Right. So the most interesting thing in the world of crypto Twitter now is something that nobody has any idea what's even happening. It, it is what it is. It's like, you know, crypto Twitter has always been a version of junior high slash.
- [28:11]
B
You know, the title of that article should be Grasping for straws. I mean it's just like, you know, what are we even talking about? It's just noise. It's the definition of noise, not signal.
- [28:24]
C
Yeah, it's typical also of just, you know, news in general these days. You know, you can come up with a juicy headline that includes nearly and allegedly. And then everything around it sounds like the worst thing you've ever heard. And then four weeks later none of it is true. But you know, it's like the rumor that makes its way around the World before the truth actually shows up. You know, half the world is still going to believe that rumor. And so it is what it is. It sucks, but it's it, it is what it is. And so people found it interesting or compelling. And, and then again, you know, we had across Twitter, you know, half of Twitter talking about I miss Gary Gensler. Like, are you serious?
- [29:11]
A
He's a good guy.
- [29:12]
C
Are you serious? You know, half of the company. No, it wasn't. That was that, that was the real deal. Like people like, hey, it was actually better. Why was it better? Because he was, because he was driving
- [29:29]
B
a Lambo and had a nice piece and shade.
- [29:32]
C
That's bad token. So that meant bitcoin could thrive. Like that was the thesis. Right. It's so stupid. Yeah.
- [29:41]
A
See that bit boy owes Kevin o' Leary a couple million bucks.
- [29:44]
C
Yeah. You know, defamation, just a few like buy bit links and he'll be good to go on that 2 million.
- [29:52]
A
I don't know, man. I don't. He might have trouble.
- [29:56]
C
Yeah.
- [29:56]
B
You know what? I, I think what we are experiencing right now are the growing pains of utility based value. We have been in a speculative like hyper speculative market for so long that it's, it's been funny money. You know, the pump funds, the ICOs, the NFTs, all the crazy exchange listings and just the, the, the chasing our tails. Most people have gotten wrecked through those things. That has been the juicing of the lemon, the orange. You know, we're at a stage now where we have trillions of dollars of tradfi capital that is letting all of that hype deflate into consolidated accumulation. And you know, that, that is, that should be pointing us to a lot of hope for the future, not a lot of desperation and despair. Now granted, if you're looking in the rear view mirror, we all have wounds to lick. Like I can, I know personally the, a lot of the three. If you've been in this game, you've taken licks, you have scars, you, you know what volatility can do both sides and, and so you know, you can either sit there and cry over all the lost opportunity that you've had or you can go, you know, that was one of the most incredible educations that I could have ever purchased better than a master's degree. But like I am so far ahead of the game as it pertains to understanding where the world is headed and that is priceless because you're able to now navigate the waters and be a thought leader in the space, not as a fake thought Leader, but somebody who's actually, you know, been here long enough to survive those wounds. And that, That's. That's a positive thing. Larry's gonna get his own wounds just like sailors gotten his wounds. Y' all remember in the Bitcoin conference, 20, 21, or maybe I can't remember which one, but where everybody was like, when it hits 17, 000 sailors bust, he's gonna be homeless under a bridge in Miami. He can't even afford a plane ticket home from the conference. That's what the joke was. And, you know, it's. It's just history repeating itself over and over and over again. Just new. New audiences have never seen the. The ending before.
- [32:27]
C
So this is why I. I enjoy, you know, spending meaningful time with Tillman Holloway, because you get that sort of thoughtful, you know, response to. To meaningful narratives, but you also get goob tube, you know what I mean?
- [32:47]
A
For your think tank buddy, if there's
- [32:50]
B
one scene that has stuck in my head from a movie, it's that Matrix YouTube thing.
- [32:55]
C
Yeah.
- [32:56]
B
You know, we're all in the honeycomb together just thinking we're l. Great lives and. No, we're just getting wrapped in our YouTubes.
- [33:06]
A
Yeah. Even I'm in shock right now. New flavor YouTube. So. Yeah. But there's something I've been excited about, which is that after all this boring price action, we finally started buying again.
- [33:34]
C
Yeah.
- [33:34]
B
Yeah.
- [33:35]
A
I'm sure you guys noticed, being that it's, you know, algorithms you built, but it actually is great because it was not buying kind of up in 68, 69 while we were sideways, and now I'm buying down in 63.62. I also, I'm going to be honest, I have some manual bids myself down here. Shocker. Sorry.
- [33:55]
B
Let me guess. You go off script during your podcast too?
- [33:59]
C
No.
- [34:01]
A
Call me. No. Yeah, but I mean, I'm loving buying down here. But the arch. The algorithms have been triggering again. I think yesterday, the six hour hit on bitcoin, my daily hit on Solana, I turned off the 6 and 12 on Solana because it just kind of became noisy for me. And bitcoin daily definitely hit yesterday.
- [34:23]
B
Yeah. Anytime we see these huge drops depending upon what you are trying to achieve in your settings, you know, most of these strategies have a position that will be triggered at the close of the candle and the. The parameters being met. And so you have a lot of short time frames, but also long time frames. So when we have massive drops in the market, it triggers across pretty much every time frame. A buy and that's, that's a really great way to aggressively buy the dips because there's sometimes where candles will wick down and you'll get a piece of the action because you have a four hour candle that has a trigger event and let's say the price closes at the four hour level triggers that event, but it doesn't close on the 12 hour.
- [35:13]
A
Right.
- [35:13]
B
Well, the 12 hour won't trigger. So you, it is, you know, if you really are wanting to buy the very tippy dips, then that's.
- [35:20]
A
There were times when it was like one time, I can remember it was like Sunday at 7:00pm so you know, it's the weekly close. I think on ETH, Solana and Bitcoin I had the 6 hour, 12 hour daily and weekly trigger all of them. It was like 12 buys.
- [35:38]
B
Well, what's really fun is when you have the 12 cells in one candle because then it's, you know, you, you have these fluctuations in capital placement and that's what you're really wanting to do. You're wanting to allocate capital across a smooth cost curve, but take advantage of yield harvesting along the way when volatility presents itself.
- [36:00]
A
Yeah, but I mean, we're just buying. I look forward to a time when, you know, when we're starting to really crank those sales on some of the altcoins, when we're ripping.
- [36:11]
B
Yeah, it's a lot of fun. Everybody loves those times obviously too. But I will tell you, you know, the. You make your money on the buys. That's, that's, you know, ask anybody why. Let's describe that. I want to go into that a little bit because as a young man I heard it all the time, but I didn't really understand it. You make money on the buys because you should be buying when everyone's puking up their position for cheap.
- [36:41]
C
Why?
- [36:42]
B
Because cash flow is king. And when people have liquidity crisis, they're willing to sell things for pennies on the dollar to get the liquidity they need to keep the most important things in their life afloat. That's when you get deep, deep discounts. So buying cheap is where you make your money, not selling high, because selling high is most of the time a very selective number of buyers and it's hard to fill at the very top of those peaks. So should be dcaing out of your position. I tell people, you know, if from a mathematical perspective, you should be pulling profits off the entire curve up proportionate to what your risk tolerance. Tolerance is if you're a Very risk adverse person. And Bitcoin's doubled in price like it has over the last, you know, three years. I don't blame you for harvesting a lot of profits at 125 or 1, 100 or 109 or 89 or whatever it is because you played that game well. Time to reset and play another leg of the race and I think we're about to have a fun one.
- [37:55]
A
You know what I'm going to do? I'm going to run a whole nother portfolio with arch public instead. What started at 100 is now many multiples and now I'm going to Launch one on OkX.
- [38:09]
C
Yeah.
- [38:10]
A
Other things with more volatility on altcoins that they have that I don't have on the other side, dollars.
- [38:16]
B
I think the future of tokenized equities is going to make a massive, massive. It's gonna, it's gonna spur on a lot of trading in our space. It's gonna bring a lot of excitement, it's gonna bring a lot of arbitrage opportunities. We're already planning a huge software suite, you know, focused on that as a launch. It's gonna, it's gonna really bring the markets together in a way that we've never seen in our whole life. Think about it, you're, you're going to see instead of it being the New York Stock Exchange, the comax, you know, all of the different markets you're going to have now this unification, this bridge that's literally allowing you to play across every market. You could, you know, go play in the Japanese markets, in the London markets, you know, instantly through tokens. That's huge. That is crazy huge.
- [39:09]
C
So we, our data and research team just put together a, you know, bear market case study yesterday and finished it off. And let me give you some statistics from the previous cycle high. So 2021 until yesterday if you would have bought and held bitcoin during that period, you would have made a net buy and hold number of 8%. Eight. Not great. Okay, you know, keg around that, probably not that awesome. If you would have used our Oracle protocol which you know, fairly focuses on, you know, evaluating lows, evaluating dips, evaluating opportunity in tough markets, you would have made 189from 2021 highs until today. And if in, you know, 2021 highs, what was that? 69, 70.
- [40:03]
A
And we're at, it's running the Oracle on what time frame? Like just the standard.
- [40:09]
C
You can go, you can go look at the case study on our, on our website. But yeah, but each of the case
- [40:17]
B
studies has snapshots of all the settings that you can 1.
- [40:21]
A
Winning. Winning the bear market.
- [40:24]
C
Yeah, it is a, it is. A point being is what does bitcoin offer besides number go up? Bitcoin offers volatility. Volatility remains a feature, not a flaw. And well, you're looking at it there.
- [40:43]
B
If you harvest it.
- [40:45]
C
Yeah, right.
- [40:46]
B
It's like me saying to you, wind is a feature, not a flaw. But if you live in Kansas with no wind turbines, it's a flaw. I promise, if you live in Kansas and you stack wind turbines on your farm, it's a feature. You know, it's, it's depending upon whether you have the equipment to harvest it or not. That's literally the.
- [41:05]
C
Yeah.
- [41:06]
B
Or, or the skill. I mean, if you want to sit in front of your computer all day, measure, you know, volatility parameters and try to time the, the, you know, the bottoms of candles, a lot of people do that, but it's, it's, it's a highly taxing endeavor. Highly taxing.
- [41:27]
A
Crazy.
- [41:27]
C
This crypto only example, your questions, Scott, like what are the settings? Whenever we do a case study, by the way, we put the settings in the case study. Like, there it is. Like when you have questions, the case study itself will answer those questions.
- [41:41]
A
Yeah, that's why I went there because you obviously weren't going to tell me. But then only example is actually kind of crazy because you don't even have cash on the sidelines and you're still making money. Money.
- [41:53]
C
That's correct. So we were very intentional with this case study to make it just about, hey, you, you got a stack of bitcoin. So what happens with that bitcoin, by the way? You end up with, you know, meaningful amounts of more bitcoin, you know, plus 1.5 BTC over that time period, no additional cash required. So you get a 180 plus percent return over that time period versus 8 and you end up with more bitcoin. Like, you know, like I said, this is why I enjoy hanging out with Tillman Holloway. There's a big brain that also says things like goop tube, you know, here.
- [42:31]
B
Well, I, I want to touch on something that this case study came about because a customer of ours said, I don't want to do the arbitrage. I want to just buy and hold. And I said, well, what percentage of your capital do you want to keep free for more buying opportunities, buying the dips? None. I want to be 100% allocated in my capital. And I said, listen, I know that sounds from a BTC purist perspective, like the right answer. But you never having dry powder available for the dips. You're missing out on huge discounts. Do you see that? And. And the opportunity cost of not having that dry powder available is more than the losses of you incur, potentially incurring by having that capital place. The only event that you'll be right is if bitcoin goes to 500k tomorrow. If it doesn't, there's going to be a lot of choppiness between now and 500k that you can take advantage of if you keep dry powder. So it's a, it's a mind shift. You know, it's. It's like you have to start thinking about the volatility as being this great immediate discount that you can achieve on something that you think has the same value prior to the discount being on offered. And so you take advantage of that and that becomes your buying curve. Because that allows you to appropriate capital very effectively on the curve, thus reducing the volatility risk and at the same time giving you profit targets that are across the entire curve. So that when the volatility happens to the upside, you're able to capitalize and take profits on those trades, which is the objective. Don't go broke. Broke making money on trades.
- [44:32]
A
Right. No one ever went broke taking profit.
- [44:35]
B
Correct. That's the saying I was looking for. Thank you.
- [44:42]
A
Seriously, can we launch Goobtube? I feel like we have an AI agent. Spin that up in five minutes.
- [44:48]
C
Of course. Yeah, that's right. Put it into Grok and it'll happen immediately.
- [44:53]
A
Know what Goobtube is going to be? I have ideas.
- [44:55]
B
It's all. It's a. It's an AI agent YouTube where you're not allowed to be on it unless
- [45:01]
A
you're for its Reddit. So you have to be in the goob.
- [45:05]
B
You have to be in the goob to be in the tube.
- [45:09]
C
By the way, speaking of speaking the
- [45:12]
B
green goob in the. In the. You know, just goo.
- [45:15]
A
Where's the bee come from?
- [45:16]
C
Yeah, where's the b. See, that's what I'm telling you. The genius involved here is sometimes, I'm
- [45:24]
A
Gonna be honest, YouTube is more like YouTube than
- [45:30]
B
I think I said YouTube at the beginning. We need to go to edit and figure that out. And I think you guys might have, you know.
- [45:39]
C
Because it's funnier.
- [45:40]
B
Yeah, I think, I think I like.
- [45:47]
C
I would the. Under the guise of. Of rumors versus truth. You remember how like three weeks ago the world was Coming to an end because supposedly AI agents had created a chat group that they were all in like molten or whatever the thing was.
- [46:04]
B
What color shirt are you wearing? I'm not wearing a shirt. I'm an AI agent.
- [46:10]
C
That was all fake. The whole thing was fake. But again, more than half the world believes that that actually happened. It was, was just like, you know, people in different parts of the world acting like that was a real thing, like the whole thing was fake.
- [46:25]
B
You know what it tells you though? It tells you that media is, is con. In. Is consolidating our frequency. Right? We, we're. We're on the same frequency globally. And people have figured out that if you can manipulate that frequency, even a little blip, it's worth.
- [46:44]
C
We don't even know actually.
- [46:47]
A
Nobody knows what it means. I'm sorry, I just saw that.
- [46:55]
B
You tell us what the show is about.
- [46:58]
A
What would you like to be about? Teletar. AI.
- [47:04]
C
That's great.
- [47:05]
A
I don't know what to do. I think we're done. Should we talk about the funds? We had some time. Yeah.
- [47:12]
B
Yes. Speaking of prudent ways to buy bitcoin, we, you know, we started a fund. Accredited investors only. We'd love to talk to you about it. If you meet the credential requirements. It's about buying bitcoin with earned capital. So if you've heard about what Steak and shake has done with where they are taking net profits from restaurants and they're buying bitcoin. I came from, you know, the mining space. I love the idea of incrementally earning bitcoin. That's something powerful to me. I think it. Once you do it, even at the smallest level, even if you're at the ninth digit behind the decimal and you see every day your bitcoin account growing a little bit, there's something very intoxicating about that. And you can't do that as a retail person, you know, in the mining space anymore. It's pretty rough. You're losing money from electrical costs in most cases, but you can. If you own a small business and you make money every month, you just appropriate some of your net profits into buying bitcoin. So the fund is looking at doing that at scale across quick service, restaurants, commercial properties. And there's a lot of advantages from a tax perspective in a real estate estate vehicle like this 1031 exchange, accelerated appreciation under the big beautiful bill. All of these, you know, advantages. But it has this bitcoin accelerator to it where we're appropriating, you know, 50% of net profits of these of quick service restaurants into our Bitcoin Treasury. Very unique model. It's one that's not predicated on borrowing money or issuing paper so that we can buy more Bitcoin because we think that's how the treasury companies have gotten in trouble. And it's also predicated on the fact that buying on a healthy cost curve is the way to eliminate risk in a highly volatile market. And there's nothing more incremental than buying every time somebody fills up a soda and putting, you know, cents per dollar into a Treasury application. We think Bitcoin has presented the characteristics of being the best savings account that you can possibly store your value in. And we think that this is going to highlight those features exceptionally well. So if you're interested, reach out to us. We'd love to continue a conversation, get you in the data room, let you see all the projections and, and PPM and all that stuff.
- [49:53]
A
Highly recommend. You might get to talk to Tillman1 on the YouTube and we really go viral.
- [50:05]
B
No, gotta be a blockchain based YouTube called Good Tube. That's what we're. That's the next build.
- [50:15]
C
That's what this show is about.
- [50:20]
A
Days.
- [50:22]
C
Yeah. Well done. Like this show has reached.
- [50:29]
A
No. Well, I mean when someone hits you with the. What's this show about? And you don't know if it's sarcasm, you know, maybe he just signed on, was like, hey,
- [50:43]
B
he's been listening for 30 seconds.
- [50:47]
A
Anyone in the chat can help. And then all of a sudden it's just like Goobtube and invest in our fund, but also AI taking over the world. Crypto Bitcoin.
- [50:57]
B
I heard Larry Fink was tuning in, so at least we've got him as a listener. He's very interested in the YouTube.
- [51:04]
A
I'm gonna definitely go watch some Larry king videos on YouTube when we're done.
- [51:13]
C
Sure.
- [51:13]
A
You guys have become the Seinfeld of YouTube.
- [51:18]
B
That is.
- [51:19]
C
Listen, I, I take that as a. That's an honor right there. Yeah. Seinfeld is, is the absolute pinnacle of, of, of TV and cinema.
- [51:29]
B
It really is.
- [51:30]
A
Yeah.
- [51:32]
B
Yeah. I don't want to know that either. That will hurt my ego because I think I have an idea, but I do not put it in the chat. I'm not, I'm not gonna look. Okay.
- [51:40]
A
You're Elaine. Oh, man.
- [51:51]
C
Again, just because it's recent, right. That the best, you know, 90 seconds is we've got to pick up wine on the way to the party and George is like, why, why do we Got to pick up wine. They invited us and we have to bring a gift. Why? Because we're adults.
- [52:08]
B
Chocolate?
- [52:09]
C
Vodka. Well, I don't drink wine. What do you drink? Pepsi. I drink Pepsi. Put a Pepsi.
- [52:21]
A
I'm never gonna make a show like that.
- [52:23]
C
Society is very complicated. It's, you know, it is what it is.
- [52:27]
B
If I could delete all of the TV and movie scenes from your head and inject it with useful information you might be the next Elon Musk or Bill Gate.
- [52:36]
C
Useful information. Very, very useful. Very, very useful. Yes.
- [52:41]
A
I mean, there's people still here watching, so.
- [52:47]
C
They're hanging. They are hanging on our every word. If YouTube is going to be real, they want to. That. That means. That means. That means that. You know who is definitely Newman? He's definitely Newman. Mike McGlone is definitely Newman. Right? Hello, Newman.
- [53:21]
A
All right, we're leaving. Because now. Now it's gonna be like, who is such and such? And then they're gonna be offended and then gonna. We're gonna get the email and I'm gonna get sued.
- [53:31]
C
George Stands up is as epic as it's ever been.
- [53:36]
B
I'll take Elaine. Elaine. I'll take that on. That's. That's.
- [53:39]
C
Well, you dance like Elaine. I've seen you dance before. I. You. You definitely dance like Elaine. A little bit Herky jerky there.
- [53:46]
B
All right, listen. Dancing is not an asset to my life. It has never proven to be, nor will it ever become.
- [53:56]
A
And a Kramer. None of us even get the honor of being Jerry Seinfeld. No. 3. One Kramers enter, one Kramer leave.
- [54:10]
B
As long as I'm not putty. That's. I don't want to be putty. That's not a good one to be.
- [54:16]
C
Seinfeld was so far ahead of the curve. Putty was raw dogging flight. You know, back in 1996. Right. She's like, he's just gonna stare. He's gonna sit there. Yeah, that's right.
- [54:29]
B
Thought he was Elaine's boyfriend, the mechanic. That was just.
- [54:34]
C
Aren't you gonna read? No,
- [54:38]
B
she's gonna stare.
- [54:39]
A
Yeah, I'm just gonna stare at the. The people leaving.
- [54:43]
C
Vegetable lasagna. We.
- [54:45]
A
Listen. We're doing. We're doing our Tuesdays of service for next week. Seinfeld. That's what. This is how we wrap it up.
- [54:59]
B
We thought we touched on a lot of important topics. We can have fun too. Very early in the morning, if it's not fun and I'm not laughing, I'm falling asleep. So I'm glad this is a good show.
- [55:12]
A
Fine. Fine. Well, that's all we got for you. We will be back next Tuesday to talk about God knows what, but it's gonna be great. And I'll be back tomorrow with somebody that's far less entertaining than this. We hope to do that, though. It's gonna be great. Bye, guys.
- [55:26]
B
Let's go. Let's do.