WEBVTT - The Mark Moss Show Feb 18, 2022 0:00:00.040 --> 0:00:02.680 Hey, everyone, Welcome to another episode of The Mark Moss 0:00:02.759 --> 0:00:05.760 Show where we talk about bitcoin. We talk about the 0:00:05.840 --> 0:00:10.520 decentralized revolution that is happening right now. And you know, 0:00:10.560 --> 0:00:12.559 each and every week I'm trying to bring to you 0:00:12.640 --> 0:00:16.000 the latest information, the latest education, and some of the 0:00:16.040 --> 0:00:18.160 best and brightest people in the space, so you can 0:00:18.280 --> 0:00:22.119 understand exactly what is going on now. Hang on, hang on, 0:00:22.160 --> 0:00:24.840 hang on, hang on now. Don't dismiss it so easily. 0:00:24.880 --> 0:00:27.080 One of the biggest problems that I see with people 0:00:27.120 --> 0:00:31.040 today in bitcoin is that they think they understand it 0:00:31.080 --> 0:00:33.040 too quickly, or some people say they don't understand it 0:00:33.200 --> 0:00:35.959 it's too too difficult, and um, neither one of those 0:00:36.000 --> 0:00:39.159 are true. So bitcoin is a lot of things. It's 0:00:39.159 --> 0:00:41.120 a lot of things, and it's so new, it's so 0:00:41.240 --> 0:00:44.440 revolutionary that we don't even understand all the things it 0:00:44.520 --> 0:00:47.400 will become it is today, will become and the impact 0:00:47.440 --> 0:00:50.879 that it will make in the future. Imagine a few 0:00:50.960 --> 0:00:54.800 hundred years ago, sitting around table and uh, you know, 0:00:55.680 --> 0:00:59.720 we had just seen the invention of electricity, and what 0:00:59.760 --> 0:01:01.200 would how to do as humans as we try to 0:01:01.280 --> 0:01:03.520 understand what is this? What is this new technology? And 0:01:03.520 --> 0:01:06.840 so we try to Um, compare it to something that 0:01:06.880 --> 0:01:09.640 we know, so we can try to understand what it is. 0:01:09.680 --> 0:01:12.560 We might have said electricity was what is that. It's 0:01:12.600 --> 0:01:17.440 like a digital candle, right, it produced light. Previous before electricity, 0:01:17.720 --> 0:01:20.839 all light for all of humanity had come from fire, 0:01:21.560 --> 0:01:24.080 and now all of a sudden, we electricity. So what 0:01:24.160 --> 0:01:25.800 is electricity? I don't know what it is. Well, it's 0:01:25.840 --> 0:01:28.839 kind of like a digital candle, right, um. And people 0:01:28.920 --> 0:01:30.479 might say, well, why do we need that? That doesn't 0:01:30.480 --> 0:01:32.480 make any sense. Like a candle's way better. Look a 0:01:32.520 --> 0:01:33.920 candle is easy and I can pick it up, I 0:01:33.920 --> 0:01:36.080 can move it. It's portable, and look, I don't need 0:01:36.080 --> 0:01:37.880 all these wires and all this other stuff, right, like 0:01:37.959 --> 0:01:41.640 a candle's way better. Electricity stupid. It's a waste of 0:01:41.720 --> 0:01:43.560 it's a waste of time. It's a waste of money. 0:01:44.160 --> 0:01:48.240 Candles are better. Um. And you know, maybe that was 0:01:48.320 --> 0:01:53.200 true at that point, But what was electricity? While that 0:01:53.280 --> 0:01:57.440 might have been an application of the technology to produce light, 0:01:57.840 --> 0:02:02.400 the technology itself was so much more, and it became 0:02:02.520 --> 0:02:05.520 so much more. The fact that you're listening to me 0:02:05.720 --> 0:02:10.040 today right now is because that's what electricity is doing. 0:02:10.080 --> 0:02:13.360 So while the application of providing light at the time 0:02:13.520 --> 0:02:18.880 was the best application of electricity. That wasn't what defined electricity. 0:02:18.880 --> 0:02:23.240 Electricity was a new technology that has given us so 0:02:23.360 --> 0:02:25.160 much more. It has the light on me right now, 0:02:25.160 --> 0:02:27.200 and it's powering this microphone that I'm talking to you on, 0:02:27.440 --> 0:02:29.160 and it's powering the computers that are plugged in the 0:02:29.160 --> 0:02:31.880 walls that are sitting this transmission across time and space. 0:02:32.400 --> 0:02:36.880 And so electricity has multiple there's multiple applications of electricity, 0:02:37.120 --> 0:02:39.720 and I would think about the same about bitcoin. So 0:02:39.720 --> 0:02:42.240 we're trying to understand what bitcoin is as a new technology, 0:02:42.240 --> 0:02:46.880 as a technological revolution, and right now, maybe the best 0:02:46.919 --> 0:02:51.520 application for that is money, digital cash, right, store of value, 0:02:51.560 --> 0:02:56.320 et cetera. But that that technology, Bitcoin is a technological revolution. 0:02:56.320 --> 0:03:01.000 Bitcoin as a decentralized network can have lots of other applications. 0:03:01.040 --> 0:03:02.959 Let's let's look at another example. So like the Internet. 0:03:03.000 --> 0:03:07.360 For example, when the Internet first came out, the killer 0:03:07.440 --> 0:03:13.600 application for Internet was email, electronic mail, electronic messages. And 0:03:13.919 --> 0:03:15.880 at the time, what is this Internet thing. Well, it's 0:03:15.919 --> 0:03:17.919 kind of like a way we can communicate across. These 0:03:17.919 --> 0:03:20.320 message boards become messages up, we can send these electronic 0:03:20.320 --> 0:03:23.680 messages and it was it was that that was the 0:03:24.000 --> 0:03:28.959 that was an unapplication, a killer application for Internet. But 0:03:29.000 --> 0:03:33.080 of course Internet is so much more. The Internet technology, 0:03:33.360 --> 0:03:36.840 the Internet network has now allowed us to again do 0:03:36.880 --> 0:03:38.640 what I'm doing. I'm using the Internet to broadcast this 0:03:38.960 --> 0:03:41.280 um it allows you know, the differences of my personal 0:03:41.320 --> 0:03:44.400 website or Facebook personal website, by the way, is one 0:03:44.400 --> 0:03:48.760 Mark Moss dot com. But the website or Facebook or Netflix, 0:03:48.800 --> 0:03:54.880 which are all different applications using the Internet technology. All right, 0:03:54.960 --> 0:03:58.960 And so when bitcoin, what is it? It's a new network. 0:03:59.000 --> 0:04:01.640 It's a new network that transfers values. So the Internet 0:04:01.640 --> 0:04:06.800 transfers info, the Bitcoin network transfers value. And what what 0:04:06.880 --> 0:04:09.040 does that mean? What's the what's the application? Where the 0:04:09.040 --> 0:04:12.800 application is money storing value, et cetera. But it can 0:04:12.880 --> 0:04:15.560 become so much more. So that's why it's hard to understand. 0:04:15.680 --> 0:04:18.400 Now if we just look at money on its own, 0:04:18.960 --> 0:04:21.400 if it can if it can give us a better 0:04:21.480 --> 0:04:23.600 form of money, what does that even mean? Do we 0:04:23.640 --> 0:04:25.839 even have a problem with money? And so we have 0:04:25.920 --> 0:04:29.000 to even just dig into that piece. And so I 0:04:29.040 --> 0:04:31.039 guess what I'm trying to highlight to you is that 0:04:31.160 --> 0:04:34.279 there are some deep, deep, deep rabbit holes that we 0:04:34.320 --> 0:04:37.359 can dig into to try to understand what bitcoin is 0:04:37.360 --> 0:04:40.200 and ultimately try to understand where it's going, how it 0:04:40.200 --> 0:04:42.320 will impact our lives. And it's important for you to 0:04:42.400 --> 0:04:46.000 understand because this is the biggest revolution that we will 0:04:46.040 --> 0:04:48.720 ever see. It's the biggest opportunity that you'll ever see. 0:04:48.720 --> 0:04:50.800 And if you don't understand it, if you if you go, oh, 0:04:50.839 --> 0:04:52.320 I get, it's kind of like digital cash. I don't 0:04:52.320 --> 0:04:55.520 need digital cast. It's cash. It's worthless. It's not worth 0:04:55.600 --> 0:04:58.520 my time anymore. You're gonna be missing out. You're gonna 0:04:58.520 --> 0:04:59.920 be missing out really big. And I see a lot 0:04:59.920 --> 0:05:02.440 of people make that mistake where they think they understand 0:05:02.480 --> 0:05:05.240 it and then they dismiss it. I get, it's like 0:05:05.240 --> 0:05:07.080 digital cash. I don't care about digital cash. We don't 0:05:07.080 --> 0:05:09.719 need digital cash. Visa works good, Venmo works good. What 0:05:09.760 --> 0:05:12.000 do we need it for? Right. It's a very US 0:05:12.040 --> 0:05:16.400 centric frame of mind, by the way, um, and so 0:05:16.480 --> 0:05:19.159 people are easily to dismiss it, or the opposite. People say, 0:05:19.160 --> 0:05:21.200 like I said, it's too complicated, I don't understand it. 0:05:21.240 --> 0:05:23.520 And so it can be simple where let's just understand 0:05:23.520 --> 0:05:26.080 this one application today and then you can just kind 0:05:26.080 --> 0:05:27.320 of keep you in the back of your mind that 0:05:27.320 --> 0:05:30.800 there may be other applications in the future. Now, the 0:05:30.880 --> 0:05:34.200 killer app on bitcoin today is of course money, and 0:05:34.400 --> 0:05:38.320 most people don't even know what money is, which sounds 0:05:38.360 --> 0:05:42.120 kind of crazy, right, Um, do you know what money is? 0:05:42.480 --> 0:05:44.359 Think about that? I think about that question. Do you 0:05:44.360 --> 0:05:45.840 know what money is? Do you know what makes a 0:05:45.880 --> 0:05:50.040 good money a bad money? Most people probably never stopped 0:05:50.120 --> 0:05:52.919 to even think about that. So um, and if you 0:05:52.920 --> 0:05:55.360 don't understand what money is, then you don't understand how 0:05:55.480 --> 0:05:59.080 different types of money affect different things, and how manipulating 0:05:59.080 --> 0:06:03.039 the money call, there's other manipulations that may warrant or 0:06:03.080 --> 0:06:07.599 may produce unintended consequences. Now, what the heck am I 0:06:07.680 --> 0:06:10.039 even saying? Am I spinning in circles here? Well? Not really? 0:06:10.440 --> 0:06:14.600 So today I should say This week, um, depend on 0:06:14.640 --> 0:06:18.400 when you're listening to it. This week we saw the 0:06:18.400 --> 0:06:21.599 Federal Reserve, the government of the United States, the Bureau 0:06:21.600 --> 0:06:24.600 of Labor Statistics, the BLS put out a report on 0:06:24.760 --> 0:06:29.680 the CPI, which is the Consumer Price Index. And basically 0:06:29.760 --> 0:06:33.200 the Consumer Press Index is it measures inflation. And when 0:06:33.200 --> 0:06:35.640 they're measuring inflation, what they're trying to measure is what 0:06:35.800 --> 0:06:40.080 the prices of goods and services are. And so basically 0:06:40.080 --> 0:06:41.560 what they would do is if you went to the shop, 0:06:41.600 --> 0:06:44.080 if you went to the grocery store. Um, let's say 0:06:44.160 --> 0:06:47.480 in the eighties, so whatever, forty years ago, you went 0:06:47.520 --> 0:06:49.919 to the grocery store and you bought a basket of goods. 0:06:50.080 --> 0:06:51.960 So you put some steak in there, you put some 0:06:52.040 --> 0:06:54.120 milk in there, you put some cheese and some eggs, 0:06:54.160 --> 0:06:56.560 and you put some bread, and you put some whatever. Right, 0:06:57.240 --> 0:06:59.200 you bought that basket of goods, and then you went 0:06:59.240 --> 0:07:01.320 and checked out, and your receipt came out to a 0:07:01.440 --> 0:07:06.679 hundred bucks whatever, um. And then over time, how much 0:07:06.760 --> 0:07:12.440 does that that basket of good change? And so over time, uh, 0:07:12.560 --> 0:07:14.640 the price of steak and milk and cheese and eggs 0:07:14.680 --> 0:07:16.920 and bread all went up. And so they try to 0:07:16.960 --> 0:07:19.960 measure inflation based off of that basket of goods. That's 0:07:20.000 --> 0:07:23.600 CPI consumer price indexes. Now, some people try to make 0:07:23.640 --> 0:07:26.680 this a very academic argument, and they might tell you that, 0:07:27.760 --> 0:07:31.360 you know, we haven't had any inflation since two thoight, 0:07:31.560 --> 0:07:33.680 and I'm like, really, because all the stock indexes and 0:07:33.720 --> 0:07:36.080 gold and real estate are all up. Oh, well, Mark, 0:07:36.080 --> 0:07:39.440 you're talking about asset price inflation. I'm talking about consumer 0:07:39.480 --> 0:07:41.400 price inflation, and so they try to kind of get 0:07:41.440 --> 0:07:45.320 it very difficult for you to understand. Um. And that's ridiculous. Right, 0:07:45.760 --> 0:07:49.440 I'm a consumer. I bought a house. If the price 0:07:49.440 --> 0:07:51.800 of the houses went up, you're calling that asset price inflation. 0:07:51.880 --> 0:07:55.520 I call the consumer price inflation. It's pretty ridiculous. But anyway, 0:07:55.560 --> 0:07:58.760 we have this CPI basket. The BLS puts out and 0:07:59.000 --> 0:08:01.280 like I said, just this week they put out the 0:08:01.400 --> 0:08:06.400 new report and it is a record breaker, and and 0:08:06.520 --> 0:08:09.440 it broke the previous record that we had set last 0:08:09.480 --> 0:08:12.040 time it came around. So the previous cp I we 0:08:12.080 --> 0:08:15.480 call it a print. The CPI numbers were seven percent interest, 0:08:15.520 --> 0:08:19.600 which was a four decade long record that had been 0:08:19.640 --> 0:08:25.240 standing seven and we just broke it to seven point five. 0:08:26.080 --> 0:08:28.280 That's a big increase, a really big increase. Now, just 0:08:28.280 --> 0:08:31.560 to put this into perspective, they're saying that prices are 0:08:31.560 --> 0:08:34.760 going up by seven point five percent. What they're really saying, though, 0:08:35.240 --> 0:08:37.080 is not that prices are going up by seven point 0:08:37.080 --> 0:08:40.200 five percent. What they're really saying is that your dollar, 0:08:40.960 --> 0:08:45.360 the purchasing power of your money, has lost seven and 0:08:45.400 --> 0:08:49.840 a half percent of its purchasing power. So if you 0:08:49.920 --> 0:08:53.360 if you think about that, that means over two years 0:08:53.480 --> 0:08:57.600 you've lost fifteen percent. Over four years, you've lost over 0:08:57.960 --> 0:09:01.199 thirty percent of your purchase in power. So that means, 0:09:01.559 --> 0:09:04.440 you know, a dollar still worth a dollar, right, Well, 0:09:04.480 --> 0:09:06.040 a dollar is still worth a dollar, but that dollar 0:09:06.120 --> 0:09:07.840 doesn't buy you as many goods and services. So if 0:09:07.840 --> 0:09:11.160 you had a thousand dollars in the bank today, in 0:09:11.280 --> 0:09:14.160 four years from now, it only buys you about six 0:09:14.240 --> 0:09:16.520 or seven hundred dollars worth of goods that you could 0:09:16.520 --> 0:09:19.199 buy today. That's what that means. And so what that 0:09:19.240 --> 0:09:24.800 means is that when that inflation number goes up, your 0:09:24.920 --> 0:09:28.480 money literally has been stolen from you because you can't 0:09:28.480 --> 0:09:30.000 buy as many goods and services as you could have 0:09:30.040 --> 0:09:33.760 bought before. So homes, the value of my home went up, No, 0:09:34.080 --> 0:09:37.080 the value of your home didn't go up. The value 0:09:37.080 --> 0:09:39.440 of the dollar, the purchasing power of the dollar went down, 0:09:39.440 --> 0:09:42.880 and it just takes more dollars to buy that home today. 0:09:42.960 --> 0:09:46.600 And that's illustrated in this cp I report that happened. 0:09:46.880 --> 0:09:50.840 And like I said, it's a massive blowout report, seven 0:09:50.880 --> 0:09:53.480 and a half percent versus what the Fed was hoping 0:09:53.640 --> 0:09:59.400 and expecting of only being two percent. But what does 0:09:59.440 --> 0:10:01.840 that really mean to us? What does this mean to bitcoin? 0:10:01.880 --> 0:10:04.920 Why am I even talking about this on a Bitcoin conversation? Uh? 0:10:04.960 --> 0:10:08.319 And more importantly, what's the real number? Because I'm here 0:10:08.320 --> 0:10:10.199 to tell you that this is not cp I, It's 0:10:10.240 --> 0:10:14.080 more like cp LIE. It's a CPLI, it's a government 0:10:14.640 --> 0:10:18.560 manipulated statistics. I'm about a breakdown. What's really in this number, 0:10:18.559 --> 0:10:20.520 what's really driving it, Why the Fed isn't able to 0:10:20.520 --> 0:10:24.000 stop this, and of course, how Bitcoin fixes this, fix 0:10:24.040 --> 0:10:26.320 the money, fix the world. You're listening to the Mark 0:10:26.440 --> 0:10:28.319 mos Show. We're talking about bitcoin. We're talking about the 0:10:28.360 --> 0:10:31.960 decentralized revolution. We're talking about the CPI numbers that just 0:10:32.000 --> 0:10:34.480 came out, breaking all records, and how bitcoin can fix this. 0:10:34.559 --> 0:10:36.719 We're back with more. All right, welcome back. You are 0:10:36.800 --> 0:10:39.240 listening to the Mark mo Show. We're talking about bitcoin. 0:10:39.320 --> 0:10:43.400 We're talking about the decentralized revolution that is happening. You know, 0:10:43.600 --> 0:10:46.080 it's Uh, in my opinion, it's changing a lot of 0:10:46.080 --> 0:10:47.840 things in the world. Of course, I highlighted that in 0:10:47.880 --> 0:10:51.360 the first UM segment. Hopefully you did miss it. If 0:10:51.400 --> 0:10:54.480 you did, don't ever let that happen again, if you're 0:10:54.480 --> 0:10:56.840 not driving, pull your phone out right now. Put a 0:10:56.880 --> 0:10:59.360 reminder to join me on this channel at this time 0:10:59.440 --> 0:11:01.880 each every week, where I promise it will be the 0:11:01.920 --> 0:11:06.080 most important, the most educational, and the most profitable part 0:11:06.120 --> 0:11:08.760 of your week. Now, before the segment, I was talking 0:11:08.760 --> 0:11:11.560 about the c p I, the consumer price index number, 0:11:12.040 --> 0:11:16.559 the blowout number that just was released, breaking records again 0:11:17.120 --> 0:11:18.920 again and again and again. We broke a record at 0:11:18.920 --> 0:11:20.840 seven percent inflation. Now where it's seven and a half 0:11:20.840 --> 0:11:24.520 percent inflation. Food inflation is seven point three percent. It's 0:11:24.559 --> 0:11:30.120 the highest sense, which is amazing. Why is it doing that? Uh? 0:11:30.160 --> 0:11:32.440 And more importantly, what does it mean? And what does 0:11:32.559 --> 0:11:34.240 what does you have to do with bitcoin? Right? Well, 0:11:34.920 --> 0:11:36.520 I guess a couple of things. So the first thing 0:11:36.600 --> 0:11:39.480 is that um, First of all, trying to put a 0:11:39.480 --> 0:11:43.439 single number onto inflation like seven percent is ridiculous. It's 0:11:43.440 --> 0:11:47.720 absolutely ridiculous. You could not measure the volume of water 0:11:47.760 --> 0:11:51.360 in a bathtub with simple arithmetic. You can't measure the 0:11:51.360 --> 0:11:55.240 wind drag coefficient of a jet plane with simple arithmetic, 0:11:55.360 --> 0:11:59.360 nor can you measure the inflation of the economy with 0:11:59.520 --> 0:12:02.520 a seeing number or arithmetic. I mean, if you think 0:12:02.559 --> 0:12:05.400 about it, there's seven and a half billion people approximately 0:12:05.400 --> 0:12:07.280 in the world, hundreds of millions of people in the 0:12:07.320 --> 0:12:11.920 United States. There's trillions of inputs that go into prices, 0:12:12.200 --> 0:12:15.120 trillions of inputs that go into prices, and so they 0:12:15.280 --> 0:12:19.679 they're all different. What inflation really is is the increase 0:12:19.760 --> 0:12:22.280 in the money supply. So when the Federal Reserved, the 0:12:22.280 --> 0:12:25.959 Central Bank, the central banks of the world create more money, 0:12:26.000 --> 0:12:29.240 they increase, they inflate the monetary supply. Like a balloon. 0:12:29.720 --> 0:12:31.240 If I was going to have a balloon, and I 0:12:31.280 --> 0:12:34.400 would inflate a balloon, right, I would inflate it by 0:12:34.480 --> 0:12:37.600 putting more air into the balloon, increasing the volume of 0:12:37.600 --> 0:12:39.439 the air that inflates the balloon, and the same with 0:12:39.480 --> 0:12:43.400 the money monetor supply. Inflation is putting more money into 0:12:43.440 --> 0:12:46.920 the balloon, putting more money, inflating the volume of the money. 0:12:46.960 --> 0:12:51.000 That's what inflation is. The prices is the result of that. 0:12:51.679 --> 0:12:54.920 When I increase the monetary supply, the prices go all 0:12:54.960 --> 0:12:59.160 over the place. Now home on the lakefront Lake Travis 0:12:59.240 --> 0:13:01.000 outside of Austin in Texas. I have a buddy that 0:13:01.000 --> 0:13:02.640 bought a home for ten million dollars a year ago. 0:13:02.640 --> 0:13:05.079 Just hold it for five million dollars. That's a hundred 0:13:05.080 --> 0:13:09.000 and fifty percent increase in real estate there, but nationally 0:13:09.040 --> 0:13:13.400 it went up about thirty five percent, so average a 0:13:13.520 --> 0:13:15.680 hundred and fifty percent there. In some areas it probably 0:13:15.720 --> 0:13:18.280 went up ten percent or fifteen percent. So inflation is 0:13:18.280 --> 0:13:20.600 different to different people depending on where you're buying a home. 0:13:20.960 --> 0:13:23.760 If I'm trying to send my kids to college and 0:13:23.800 --> 0:13:26.760 by a home on Lake Travis, inflation is hitting me very, 0:13:26.840 --> 0:13:29.160 very hard. And if you live in your parents basement 0:13:29.200 --> 0:13:31.680 and you watch Netflix and eat Cheetos, you don't even 0:13:31.679 --> 0:13:34.600 notice inflation. Well maybe Netflix went up by a buck, right, 0:13:34.720 --> 0:13:36.920 you don't even notice it. And so inflation means a 0:13:36.960 --> 0:13:38.480 lot of different things to a lot of different people. 0:13:38.800 --> 0:13:41.240 You can't put a single number on it. But what 0:13:41.280 --> 0:13:43.920 you can put a single number on is the money supply. 0:13:44.120 --> 0:13:46.160 As they increase the monetary supply. And we know that 0:13:46.440 --> 0:13:48.319 the Central Bank of the United States, the Federal Reserve, 0:13:48.440 --> 0:13:51.920 increased the monetary supply by approximately thirty five percent in 0:13:51.960 --> 0:13:54.640 the last two years, and so if the monetary supply 0:13:54.640 --> 0:13:57.720 increased by then, it kind of makes sense why the 0:13:57.880 --> 0:14:00.640 average home price went up by thirty five percent and 0:14:01.000 --> 0:14:06.000 use cars are up by and steak is up and etcetera. Right, 0:14:06.200 --> 0:14:08.719 things like that, And what does this have to do 0:14:08.720 --> 0:14:12.040 with inflation, Well, that is the inflation. They're measuring consumer 0:14:12.120 --> 0:14:16.720 price inflation, which is the result, it's the outcome of 0:14:16.760 --> 0:14:19.240 printing all that money. And so the Federal Reserve now 0:14:19.320 --> 0:14:22.520 is saying they're going to combat They're going to fight inflation. 0:14:23.120 --> 0:14:26.640 What's funny because they're the ones that created it in 0:14:26.680 --> 0:14:29.200 the first place. They created the inflation. Now they're gonna 0:14:29.240 --> 0:14:31.160 fight it. And so they're gonna do that by doing 0:14:31.160 --> 0:14:35.080 two things, one injecting less money into the system and 0:14:35.120 --> 0:14:39.160 also to to um start sucking money out by raising 0:14:39.360 --> 0:14:43.200 interest rates. Supposedly that's what they're gonna do. Um. We 0:14:43.240 --> 0:14:45.200 don't know if they're actually gonna do that. I kind 0:14:45.200 --> 0:14:47.760 of think that it probably won't happen. Um, but they 0:14:47.840 --> 0:14:50.280 got to do something because inflation is raging and we 0:14:50.320 --> 0:14:54.200 are going into a election cycle this year for mid terms, 0:14:54.360 --> 0:14:57.960 and the uh, the incumbent party, which is the Democrat 0:14:58.000 --> 0:15:01.040 party right now. It doesn't matter if it was Republicans 0:15:01.080 --> 0:15:05.160 or Democrats, whoever, the incumbent party is, UH, we'll typically 0:15:05.200 --> 0:15:07.840 lose when we're in an economic environment like we have, 0:15:07.920 --> 0:15:09.800 so it doesn't matter which side it was holding power 0:15:09.880 --> 0:15:12.640 at the time, that side is pretty much guaranteed to losing. 0:15:12.680 --> 0:15:15.160 The Democrats know this, and if they don't do something 0:15:15.200 --> 0:15:17.720 to fight inflation, it's going to be game over for them. 0:15:17.720 --> 0:15:21.360 The problem is the way to stop inflation is the 0:15:21.360 --> 0:15:25.680 opposite of creating inflation, which means stop pumping the markets 0:15:25.760 --> 0:15:28.120 full of money. The problem with that is that if 0:15:28.120 --> 0:15:31.000 they do that, the next thing you know, it creates recession. 0:15:31.480 --> 0:15:34.040 You start, you put the money in, and it increases 0:15:34.040 --> 0:15:37.680 the economy. I can now take out loans for really cheap. 0:15:37.720 --> 0:15:40.400 I can buy more houses. I go buy ten houses. 0:15:40.560 --> 0:15:43.000 Now there's ten houses for home builders, and then there's 0:15:43.360 --> 0:15:46.920 ten companies to make home windows and floors and cabinets. 0:15:46.920 --> 0:15:48.880 And then I need landscapers. And those landscapers now have 0:15:48.880 --> 0:15:50.280 a new business, so they go buy new trucks. So 0:15:50.320 --> 0:15:52.960 now forwards making new trucks for those landscapers. And all 0:15:53.040 --> 0:15:55.440 that was created because they pumped in more money. But 0:15:55.520 --> 0:15:58.880 when they suck the money out, the opposite happens. I 0:15:58.920 --> 0:16:02.160 don't buy two ten homes. Now ten homebuilders don't have work. 0:16:02.360 --> 0:16:05.640 Those window manufacturers, flooring manufacturers, cabinet manufacturers don't have work. 0:16:05.760 --> 0:16:08.080 That landscaping company just bought all those new trucks now 0:16:08.120 --> 0:16:10.680 has no jobs to send those trucks on, and that 0:16:10.800 --> 0:16:14.240 leads to recession. So why am I talking about this 0:16:14.280 --> 0:16:18.000 on a bitcoin podcast Because all of these booms and 0:16:18.080 --> 0:16:21.720 bus are because the central banks put money in and 0:16:21.760 --> 0:16:24.400 then they take money out. They put money in and 0:16:24.400 --> 0:16:27.760 they take money out, and bitcoin takes away their ability. 0:16:27.840 --> 0:16:31.880 It takes away anybody's ability to create more money. So 0:16:32.000 --> 0:16:34.520 people think, well, the problem is that we just you know, 0:16:34.560 --> 0:16:36.600 the guys that run the central bank, and you know, 0:16:36.680 --> 0:16:39.160 if we if we replace the politicians, like let's just 0:16:39.160 --> 0:16:40.800 get rid of Trump and put in Biden. Let's just 0:16:40.800 --> 0:16:42.920 get rid of Biden and put in whoever. If we 0:16:42.960 --> 0:16:46.560 get better people, we won't have this problem anymore. But 0:16:46.600 --> 0:16:49.520 they're misunderstanding the problem. The problem is not the people 0:16:49.600 --> 0:16:54.080 who are there. The problem is people in general. It's 0:16:54.200 --> 0:16:56.800 humans in general. Since the beginning of time, humans have 0:16:56.840 --> 0:16:58.880 tried to get something for nothing. Since the beginning of time, 0:16:58.880 --> 0:17:02.160 people have tried to create gold from metal, it's called 0:17:02.480 --> 0:17:05.760 a right alchemy. Since the beginning of time, they've tried 0:17:05.760 --> 0:17:08.080 to figure out how to produce money from nothing. And now, 0:17:08.160 --> 0:17:10.360 of course the central banks have to have figured out 0:17:10.359 --> 0:17:12.399 a way to do that. It doesn't matter who is 0:17:12.440 --> 0:17:15.280 controlling that, they are going to do that. The only 0:17:15.320 --> 0:17:19.159 way to fix this problem is too As one of 0:17:19.200 --> 0:17:22.320 my favorite economists, F. A. Hyak, he famously said in 0:17:22.760 --> 0:17:25.960 eight there shall never be a sound money again, a 0:17:26.000 --> 0:17:28.439 sound money meeting something that can't just be inflated or 0:17:28.440 --> 0:17:30.800 created at will. There shall never be a sound money 0:17:30.840 --> 0:17:35.240 again until the thing is taken from the hands of 0:17:35.280 --> 0:17:38.399 the government. But it cannot be done by force, but 0:17:38.640 --> 0:17:44.200 rather by a sly roundabout way introducing something that cannot 0:17:44.280 --> 0:17:47.840 be stopped. And he said that in of course, it 0:17:47.960 --> 0:17:51.280 was prophetically talking about something like bitcoin, which takes away 0:17:51.320 --> 0:17:54.200 the ability not of the Biden administration, not of the 0:17:54.200 --> 0:17:58.560 Federal Reserve, but from anybody being able to create money. 0:17:58.600 --> 0:18:01.000 And if you take away is ability to create money, 0:18:01.320 --> 0:18:03.720 then you can end inflation. And why do we want 0:18:03.720 --> 0:18:08.120 to end inflation? Because inflation is stealing your wealth. Remember, 0:18:08.320 --> 0:18:10.240 your thousand dollars in the bank only buys you six 0:18:10.320 --> 0:18:12.240 or seven dollars worth of goods and services in a 0:18:12.240 --> 0:18:15.399 couple of years from now. They stole your purchasing power 0:18:15.440 --> 0:18:19.680 by enriching themselves and anyway, that's it man seven and 0:18:19.680 --> 0:18:24.879 a half percent inflation number, record breaking blowout. It continues 0:18:24.920 --> 0:18:27.240 to go higher, and that's that's a manipulated number. The 0:18:27.280 --> 0:18:30.560 reality is the money supply was increased by about thirty 0:18:31.240 --> 0:18:34.080 So that's the real number. And so that means that 0:18:34.119 --> 0:18:36.919 you need to make about thirty five percent more money 0:18:37.000 --> 0:18:38.840 this year to be in the same place you were 0:18:38.880 --> 0:18:40.520 last year. Did you get a thirty five percent raise? 0:18:40.560 --> 0:18:42.919 Because I hope you did. When we come back, I 0:18:42.960 --> 0:18:45.879 want to bring on somebody who's actually running in politics 0:18:45.960 --> 0:18:49.199 trying to bring some change with bitcoin to this um. 0:18:49.240 --> 0:18:51.040 You listen to the Mark ma Show. I'll be back 0:18:51.240 --> 0:18:54.080 with more in a second. Uh, talking about how we 0:18:54.119 --> 0:18:57.000 can fix this. So don't go away, all right, welcome back. 0:18:57.040 --> 0:18:59.120 You are listening to the Mark mo Show. We're talking 0:18:59.119 --> 0:19:02.920 about bitcoin. We're talking about the decentralized revolution that is happening. 0:19:03.760 --> 0:19:05.280 You know, there's a lot of things going on. One 0:19:05.320 --> 0:19:07.320 of the big things that I hear about bitcoin and 0:19:07.320 --> 0:19:10.480 cryptocurrencies a lot. One of the biggest objections I hear, 0:19:10.520 --> 0:19:12.200 and of course I did a whole series breaking down 0:19:12.240 --> 0:19:14.000 all these objections, but one of the big objections I 0:19:14.040 --> 0:19:16.679 hear is that, Ah, the government's are just gonna make 0:19:16.680 --> 0:19:19.800 it illegal. And I've talked about that at length. One 0:19:19.800 --> 0:19:21.520 of the things I've said, well, there's two things I 0:19:21.520 --> 0:19:24.160 would say that. One, I would say that I've made 0:19:24.320 --> 0:19:27.400 videos on I don't think they would do it even 0:19:27.440 --> 0:19:30.720 if they could, and I've explained why, financially and for 0:19:30.760 --> 0:19:33.199 the system, etcetera. But then I've also said that I 0:19:33.240 --> 0:19:35.520 think even if they wanted to, it would be very 0:19:35.520 --> 0:19:38.320 difficult for them because the level of entrenchment that's been 0:19:38.359 --> 0:19:41.880 made both in the financial system, the financial system being 0:19:41.920 --> 0:19:44.320 lobbies of the government, Um, they don't want to see that, 0:19:44.359 --> 0:19:47.359 but also the level of entrenchment of people inside the 0:19:47.400 --> 0:19:50.080 government that have seen the need for a bitcoin, have 0:19:50.119 --> 0:19:52.560 adopted it and so forth, and so UM. Joining me 0:19:52.600 --> 0:19:55.600 in the studio today, I have Erica Rhodes. She is 0:19:56.160 --> 0:19:59.040 running for Congress and the U. S. House of Representatives 0:19:59.080 --> 0:20:03.679 in California on the thirty second district, and Um, she's 0:20:04.040 --> 0:20:06.120 made a big splash, I would say for two reasons. 0:20:06.280 --> 0:20:10.160 One is that she's trying to unseat an incumbent, which 0:20:10.200 --> 0:20:12.240 is Brad Sherman. And Brad Sherman is someone that I've 0:20:12.280 --> 0:20:16.359 talked about at length. Um, he is a major opponent 0:20:16.600 --> 0:20:19.160 on your freedom to choose what you want as money, 0:20:19.160 --> 0:20:20.960 specifically on what you want to choose as the money 0:20:21.080 --> 0:20:25.040 being cryptocurrencies. UM. And also Erica is running one to 0:20:25.160 --> 0:20:27.639 unseat him, but to also on kind of like a 0:20:27.680 --> 0:20:30.760 pro bitcoin platform. So, Erica, thanks so much for joining 0:20:30.800 --> 0:20:33.360 me today. Thank you for having me. I'm really excited 0:20:33.440 --> 0:20:36.200 to talk with you. So. You know, I've been catching 0:20:36.280 --> 0:20:37.760 quite a bit of the content you've been doing. I 0:20:37.840 --> 0:20:39.760 was on the Twitter space as you did the other 0:20:39.840 --> 0:20:43.000