WEBVTT - How to Start Investing in Bitcoin & Crypto: Everything You Need to Know! Step-by-Step Guide 0:00:01.360 --> 0:00:03.640 This episode is brought to you by P and C Bank. 0:00:04.000 --> 0:00:06.760 A lot of people think podcasts about work are boring, 0:00:07.000 --> 0:00:10.840 and sure they definitely can be, but understanding a professionals 0:00:10.920 --> 0:00:14.160 routine shows us how they achieve their success little by little, 0:00:14.560 --> 0:00:18.200 day after day. It's like banking with P and C Bank. 0:00:18.680 --> 0:00:21.480 It might seem boring to safe plan and make calculated 0:00:21.480 --> 0:00:24.599 decisions with your bank, but keeping your money boring is 0:00:24.640 --> 0:00:27.960 what helps you live or more happily fulfilled life. P 0:00:28.080 --> 0:00:32.879 and C Bank Brilliantly Boring since eighteen sixty five. 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Let's Square handle the back end so you 0:01:47.760 --> 0:01:49.400 can keep pushing your vision forward. 0:01:53.920 --> 0:01:54.120 Yeah. 0:01:54.160 --> 0:01:57.440 Yeah, we bat, we bat, we bet, we live. 0:01:57.680 --> 0:01:58.240 Let's get it. 0:01:58.400 --> 0:02:00.520 What's going on, folks? Happy? 0:02:02.320 --> 0:02:04.960 It is a chilea day here in the northeast shot 0:02:05.080 --> 0:02:06.600 everybody everywhere in the world. 0:02:07.360 --> 0:02:08.600 It could have been anywhere in the world. 0:02:08.600 --> 0:02:10.880 But you're here with us tonight, man, and you're in 0:02:10.960 --> 0:02:15.600 for an absolute treat. Bitcoin is a talk of the town. 0:02:16.200 --> 0:02:18.320 That's a fact. That's a fact. 0:02:19.720 --> 0:02:21.799 So much stuff going on, and you know, we've we've 0:02:21.840 --> 0:02:24.840 done this a few times, but we'll do it again. 0:02:25.160 --> 0:02:26.880 I think this is actually the third time where we 0:02:26.960 --> 0:02:29.160 kind of had this conversation. I know we did it 0:02:29.240 --> 0:02:31.760 during the pandemic with Justin and I believe we did 0:02:31.760 --> 0:02:32.440 it one other time. 0:02:32.480 --> 0:02:34.000 We've talked about crypto. 0:02:33.639 --> 0:02:36.840 A lot, but we have like actual boot camp as 0:02:36.840 --> 0:02:38.960 far as like explaining it, breaking it down. 0:02:39.280 --> 0:02:42.360 Yeah, so this is a time to do it again. 0:02:42.440 --> 0:02:44.720 You know, every two years, it seems like we have 0:02:44.800 --> 0:02:46.920 this conversation because that's when the boat run happens. But 0:02:47.280 --> 0:02:51.160 so many people are interested in cryptocurrency, specifically bitcoin, and 0:02:51.440 --> 0:02:52.239 it's intimidating. 0:02:52.520 --> 0:02:53.480 I put it on Instagram. 0:02:53.520 --> 0:02:57.280 A three percent of Americans still are not invested in 0:02:57.360 --> 0:03:01.040 any form of cryptocurrency ever, So today we're going to 0:03:01.120 --> 0:03:06.040 go over the ins and outs everything you need to 0:03:06.080 --> 0:03:08.160 know so you can make an informed decision if you 0:03:08.200 --> 0:03:11.520 want to start to actually put some money into crypto. 0:03:11.680 --> 0:03:12.560 Yeah, that's a fact. 0:03:13.160 --> 0:03:15.320 The more that we see it run up, the more 0:03:15.360 --> 0:03:18.360 people are interested. That starts coming up on every news feed. 0:03:18.960 --> 0:03:21.079 Your parents are talking about it, your grandparents are talking 0:03:21.120 --> 0:03:22.079 about it, your kids. 0:03:21.840 --> 0:03:23.440 Want to know about it. But most people don't have 0:03:23.480 --> 0:03:25.680 the education. And so it's funny. 0:03:26.000 --> 0:03:28.280 I found I read some comments today like y'all finally 0:03:28.280 --> 0:03:29.560 want to talk about it now that it's up a 0:03:29.560 --> 0:03:31.440 little nd over one hundred thousand. 0:03:32.000 --> 0:03:34.640 I'm like young and you haven't been here since the beginning. 0:03:35.000 --> 0:03:35.920 We actually spoke. 0:03:35.720 --> 0:03:37.480 About it in one of our early episodes with with 0:03:38.360 --> 0:03:44.160 our Fitzitzpatrick was it Fitzpatrick Charleston Patrick. Yeah, so that 0:03:44.280 --> 0:03:48.160 was early on Green Table, Shotgun Mice. We were talking 0:03:48.160 --> 0:03:51.200 about cryptocurrency even back then. This is twenty nineteen. So 0:03:51.520 --> 0:03:54.560 if you're a newcomer, go back and do a little homework. 0:03:54.600 --> 0:03:56.960 But tonight we're gonna give y'all is this is one 0:03:57.000 --> 0:03:59.160 of the ones where you're gonna get all the information 0:03:59.200 --> 0:04:02.600 that you need to know to making forum decisions going forward. So, 0:04:02.640 --> 0:04:05.160 like we said, whenever I tell you what to invest in, 0:04:05.160 --> 0:04:06.880 we're gonna give you all the information that you can 0:04:06.920 --> 0:04:10.240 make an intelligence intelligent decision. And tonight is one of 0:04:10.240 --> 0:04:14.440 those ones where intelligence will be displayed at a high level. 0:04:14.560 --> 0:04:18.279 All right, all right, so let's let it marin. They 0:04:18.400 --> 0:04:21.640 hit the light button and share. So we're going to 0:04:21.720 --> 0:04:25.719 bring our good friend up, Caleb Silver, who is the 0:04:25.839 --> 0:04:26.560 editor in chief. 0:04:26.600 --> 0:04:29.000 Oh, here you go. What's going on? 0:04:29.040 --> 0:04:37.599 My brother? What's going on that you see that? You 0:04:37.640 --> 0:04:38.960 see that shirt? Good? 0:04:39.080 --> 0:04:40.440 The good e y l Polo. 0:04:42.200 --> 0:04:44.960 They don't make these anymore. These are special limited. 0:04:45.240 --> 0:04:46.880 Very rare. That's very rare. 0:04:47.040 --> 0:04:51.440 Actually stitched Caleb, somebody who we connected with years ago 0:04:51.960 --> 0:04:54.080 and just a brilliant mind as far as in the 0:04:54.080 --> 0:04:57.599 world of finance editor in chief and Investorpedia site that 0:04:57.920 --> 0:05:00.960 I've been using for years even before or Elisia. It's 0:05:01.000 --> 0:05:04.719 a encyclopedia for anything financially related. So if you have questions, 0:05:04.760 --> 0:05:07.919 like you could ask it what's the blockchain, what's crypto, 0:05:08.080 --> 0:05:13.039 what's e ETF and uh, Investorpedia has all answers. And 0:05:13.120 --> 0:05:17.080 we connected with with Caleb and then we did an 0:05:17.080 --> 0:05:22.120 episode and then we had him on Market Mondays, and 0:05:22.240 --> 0:05:25.159 we had them in London and we did invest Fast Europe. 0:05:25.200 --> 0:05:27.320 Then we had him at invest Fest a few times. So, 0:05:27.800 --> 0:05:30.200 I mean, he's done so many different things as far 0:05:30.240 --> 0:05:34.080 as in person events and then also it's just been 0:05:34.120 --> 0:05:36.800 a great resource. He's been able to connect us with 0:05:36.880 --> 0:05:41.480 a lot of great people, a lot of you know, 0:05:41.839 --> 0:05:46.440 high regard people you know, come through his uh, his network. 0:05:46.960 --> 0:05:50.320 So he's he's been somebody that we've definitely you know, 0:05:50.720 --> 0:05:53.640 utilized him as a resource and appreciate him for sure. 0:05:54.080 --> 0:05:57.280 So when we wanted to have this conversation. I wanted 0:05:57.320 --> 0:05:59.039 to just keep it very neutral and I want to 0:05:59.080 --> 0:06:04.600 have you know, a sway towards one coin or try 0:06:04.640 --> 0:06:08.200 to get people to invest like we really this is 0:06:08.680 --> 0:06:12.400 purely for informational purposes only we're not trying to actually, 0:06:12.560 --> 0:06:16.480 you know, pump a meme coin. We're not trying to 0:06:16.520 --> 0:06:19.480 sell you anything. We're just trying to give you some information. 0:06:19.560 --> 0:06:22.760 So he was the perfect person because you know that's 0:06:23.720 --> 0:06:27.920 right up his alley. So here he is here, he is. 0:06:28.600 --> 0:06:31.119 Thank you for joining us. Appreciate it. 0:06:30.279 --> 0:06:32.599 It is an honor to be here. You guys have 0:06:32.680 --> 0:06:36.359 done so much for financial education and for spreading the 0:06:36.360 --> 0:06:38.880 good word, fighting the good fight out there more than 0:06:38.880 --> 0:06:41.080 anybody I know, and it's really an honor to contribute 0:06:41.080 --> 0:06:42.960 to the platform. I always feel blessed to be able 0:06:42.960 --> 0:06:45.080 to join you and your audience, and so thanks for 0:06:45.120 --> 0:06:47.520 having me. And this is pure education. This is what 0:06:47.640 --> 0:06:49.640 I'm good at. I am not great at picking the 0:06:49.640 --> 0:06:52.159 next great meme coin. I'm terrible at that, but I 0:06:52.200 --> 0:06:54.159 am really good at trying to understand it. Because I 0:06:54.200 --> 0:06:57.480 want to be an educated investor no matter what I do, 0:06:57.600 --> 0:07:00.120 and this is an area where we all need more 0:07:00.160 --> 0:07:03.840 and more education because the hype machine is in full effect. 0:07:03.880 --> 0:07:05.880 You say, you're not here to pump coins. They don't 0:07:05.920 --> 0:07:08.800 need your help. Those coins are being plenty on their own, 0:07:08.800 --> 0:07:11.240 plenty of hot air under this market. But there's a 0:07:11.280 --> 0:07:13.320 lot to learn and a lot to understand. So I 0:07:13.400 --> 0:07:16.560 appreciate you sharing the platform and letting me bring some 0:07:16.560 --> 0:07:18.880 some of the resources that I've used at investi Pedia 0:07:18.920 --> 0:07:21.480 in other places to get a better understanding of this myself, 0:07:21.480 --> 0:07:23.840 because I'm an investor in the space, but I am 0:07:24.080 --> 0:07:26.400 by no means an expert. But I do think I 0:07:26.440 --> 0:07:29.000 have a general understanding of it. I'm excited to share 0:07:29.040 --> 0:07:30.920 it with your audience. Thank you. 0:07:31.160 --> 0:07:31.760 That's a fact. 0:07:31.800 --> 0:07:35.480 So yeah, I mean, you know the stages set cryptocurrency. 0:07:36.120 --> 0:07:40.040 You know, our first experience with cryptocurrency was twenty seventeen, 0:07:41.640 --> 0:07:44.920 and we had a collective group of guys then. 0:07:46.840 --> 0:07:47.840 Just invested in crypto. 0:07:47.880 --> 0:07:50.680 Everybody kind of invested in, you know, different amounts of money, 0:07:50.720 --> 0:07:54.280 but at that time it Hey, that's why I just 0:07:54.280 --> 0:07:56.480 think it's kind of works in cycles, because at that 0:07:56.560 --> 0:08:01.080 time bitcoin was going crazy. And I remember me personally 0:08:01.080 --> 0:08:03.280 when I first purchased bitcoin, it was five thousand dollars, 0:08:03.920 --> 0:08:08.240 and I remember talking to my dad and he just 0:08:08.240 --> 0:08:10.520 didn't understand it. He's like, why would you pay five 0:08:10.560 --> 0:08:14.480 thousand dollars for something that's not even real, like five 0:08:14.520 --> 0:08:20.800 thousand dollars five thousand dollars for bitcoin, Like that's that 0:08:20.840 --> 0:08:23.760 doesn't even doesn't even make any sense, Like you can't 0:08:23.760 --> 0:08:24.480 even comprehend. 0:08:26.120 --> 0:08:28.360 Yeah, that would only get you twenty percent of a 0:08:28.360 --> 0:08:29.040 bitcoin today. 0:08:29.520 --> 0:08:32.040 Yeah, yeah, yeah, that was That was the time, and 0:08:32.240 --> 0:08:34.000 at the time, I remember, I still remember that. I 0:08:34.040 --> 0:08:36.600 remember when you purchased it. It was three things you 0:08:36.600 --> 0:08:40.880 could buy. It was like light coin, ethereum, and bitcoin. 0:08:41.040 --> 0:08:41.720 I bought them off. 0:08:42.200 --> 0:08:43.960 Yeah, everybody was like, well, love, just buy them all. 0:08:44.000 --> 0:08:46.360 We weren't really understanding of it. We saw that run 0:08:46.480 --> 0:08:49.040 up up to seventeen thousand. It was like, this is 0:08:49.080 --> 0:08:50.920 the game changing. I remember saying it's to a lot 0:08:50.920 --> 0:08:54.480 of people. We don't want to get left on the 0:08:54.520 --> 0:08:57.480 dock when this ship leaves, right, this is the airport. 0:08:57.559 --> 0:08:59.400 We don't want to get left at the terminal when 0:08:59.400 --> 0:09:02.480 this plane takes off, because it's gonna take off and slowly. 0:09:03.240 --> 0:09:06.600 People were like, uh, kind of hesitant, kind of has 0:09:06.600 --> 0:09:09.960 a tant And now I mean this this the ships. 0:09:09.679 --> 0:09:11.320 Has it's leaving the dot. 0:09:11.840 --> 0:09:13.800 Uh, So we got to make sure that we have 0:09:13.920 --> 0:09:16.839 enough information that we're on this journey called bitcoin and 0:09:16.880 --> 0:09:18.559 cryptocurrency and as a whole. 0:09:19.400 --> 0:09:21.320 Yeah, so a long story short. 0:09:21.360 --> 0:09:23.679 Obviously it's come a long way since then, from five 0:09:23.720 --> 0:09:26.000 thousand dollars to one hundred, one hundred and one thousand dollars. 0:09:26.000 --> 0:09:29.400 So let's let's go through this journey. 0:09:29.440 --> 0:09:32.720 If we can hit the like button please and share. 0:09:33.040 --> 0:09:35.840 But Hyler, but I know you you have some slides 0:09:35.880 --> 0:09:37.760 and we're really gonna go full fledged education with this. 0:09:37.800 --> 0:09:39.320 So what we're gonna do is we're gonna go through 0:09:39.320 --> 0:09:41.439 some slides and then we'll ask some questions and then 0:09:41.480 --> 0:09:43.520 we'll ask we'll take some questions from the audience and 0:09:43.600 --> 0:09:45.920 people interested in the audience that have questions. 0:09:46.960 --> 0:09:49.480 So yeah, I'll let you. I'll let you queue it up. 0:09:49.480 --> 0:09:49.599 You know. 0:09:49.640 --> 0:09:50.240 I guess you want to. 0:09:50.240 --> 0:09:52.840 Start with this, you know, introduction, then from what bitcoin 0:09:52.880 --> 0:09:53.800 and then just take it from there. 0:09:54.040 --> 0:09:56.040 Cool, all right, let me make sure I can I 0:09:56.040 --> 0:09:56.920 can move this all right? 0:09:56.920 --> 0:09:57.079 Cool? 0:09:57.120 --> 0:09:58.920 I can move them around? Well? Again, thank you for 0:09:58.960 --> 0:10:01.320 having me investi Peda. It has been around for a minute. 0:10:01.360 --> 0:10:03.560 We were founded in nineteen ninety nine. We're twenty five 0:10:03.640 --> 0:10:06.720 years old, celebrated our twenty fifth anniversary this year, and 0:10:06.720 --> 0:10:12.240 we've been educating investors about money, about investing, about personal finance, 0:10:12.280 --> 0:10:14.800 about all the aspects of how to live with money 0:10:14.800 --> 0:10:16.959 in your life, but especially about investing in wealth building 0:10:17.000 --> 0:10:19.040 for a very long time. We are a free site. 0:10:19.120 --> 0:10:21.240 Come on, come all. If you search something up on 0:10:21.280 --> 0:10:24.840 the internet, like any of these terms, bitcoin, blockchain, proof 0:10:24.840 --> 0:10:26.720 of workproof of stake, you're going to see our results 0:10:26.760 --> 0:10:29.199 near the top because we've been doing this for a minute. 0:10:29.280 --> 0:10:32.600 So we are delighted to be here, and I'm delighted 0:10:32.600 --> 0:10:34.960 to represent as the editor in chief. I've been a 0:10:35.000 --> 0:10:37.960 business journalist for thirty years, so i am not, as 0:10:38.000 --> 0:10:40.160 I said, a crypto expert, a trading expert. What I 0:10:40.200 --> 0:10:43.440 am good at is learning these ecosystems and then sharing 0:10:43.480 --> 0:10:46.120 that information. So if you like what you hear, if 0:10:46.160 --> 0:10:48.160 you want to hear more, follow us on invested Pedia, 0:10:48.240 --> 0:10:50.440 follow me if you want. I do a lot of 0:10:50.480 --> 0:10:54.079 this stuff, a lot of the front facing social education 0:10:54.200 --> 0:10:57.080 stuff for investor Pedia, and I'm on TV and on 0:10:57.120 --> 0:10:59.040 the radio, and I've been privileged to be on your 0:10:59.080 --> 0:11:01.640 stage a few times as well, So let's get after 0:11:01.679 --> 0:11:03.360 it everything and are most of the things I'm going 0:11:03.400 --> 0:11:07.160 to talk about today I got from our guides on 0:11:07.280 --> 0:11:10.200 bitcoin and cryptocurrency at investi Pedia, but I also grab 0:11:10.240 --> 0:11:13.280 some resources from some other places. So if you're very 0:11:13.320 --> 0:11:15.480 new to this for the first time and I'm talking 0:11:15.520 --> 0:11:17.720 too fast or I'm saying things that go over your head, 0:11:17.800 --> 0:11:19.560 hey throw it in the chat and say what does 0:11:19.600 --> 0:11:22.120 that mean? B Scan this code so you have it 0:11:22.160 --> 0:11:24.440 so you can look at our guide. It's pretty robust 0:11:24.720 --> 0:11:28.240 on all things crypto, but especially bitcoin, which is sort 0:11:28.240 --> 0:11:32.480 of the king of the coins in the cryptocurrency patch, 0:11:32.559 --> 0:11:34.520 so to speak. So scan that, scan it now, scan 0:11:34.559 --> 0:11:36.800 it later. But this is all free and easy stuff 0:11:36.840 --> 0:11:40.520 to digest. If I go through something that you don't understand, 0:11:40.559 --> 0:11:42.840 so I recommend you do that. Let's talk about bitcoin 0:11:42.920 --> 0:11:45.600 itself again, the king of the coins, and guys interrupt 0:11:45.600 --> 0:11:47.800 me as you see fit. But this is a cryptocurrency, 0:11:47.880 --> 0:11:51.520 virtual money. Some people call it digital gold. But it 0:11:51.600 --> 0:11:54.840 was created about fourteen years ago to be outside the 0:11:54.880 --> 0:11:58.600 control of anyone person or group, so banks and governments 0:11:58.600 --> 0:12:01.440 aren't needed to produce it, to regulated or oversee it. 0:12:01.640 --> 0:12:03.920 And think about when it was formed and the ashes 0:12:03.960 --> 0:12:07.880 of the Great Financial Crisis right Occupy Wall Street was 0:12:07.880 --> 0:12:09.839 happening at the time. There was a lot of backlash 0:12:09.840 --> 0:12:13.320 against banks too big to fail, a system that was 0:12:13.360 --> 0:12:17.800 broken based upon mortgages that shouldn't have been carved up 0:12:17.840 --> 0:12:19.640 and sold. Right, There was this lack of trust in 0:12:19.679 --> 0:12:22.440 the financial system. So bitcoin was born out of that, 0:12:22.520 --> 0:12:24.719 along with a lot of other technologies, but this was 0:12:24.760 --> 0:12:27.760 the big one again when it was born. It was 0:12:27.800 --> 0:12:31.320 born as a as a digital currency, but it was 0:12:31.440 --> 0:12:36.160 really a software program and a problem solved by a 0:12:36.360 --> 0:12:40.280 mysterious figure. Whether this person is an actual person, a 0:12:40.320 --> 0:12:43.840 group of people, a consortium, a man, a woman, an alien, 0:12:43.920 --> 0:12:45.520 we have no idea, but they go by the name 0:12:45.559 --> 0:12:49.600 of Sutashi Nakamoto, right, the creator of the bitcoin currency, 0:12:49.880 --> 0:12:54.200 who basically created this idea for this digital currency. Through 0:12:54.200 --> 0:12:55.920 this white paper and scan the code if you want 0:12:55.920 --> 0:12:57.839 to geek out and read it. It gets very dense, 0:12:57.960 --> 0:13:01.480 very fast. But they they created it for a reason, 0:13:01.520 --> 0:13:03.920 to create this currency that lived on a blockchain, a 0:13:03.960 --> 0:13:07.800 digital ledger, away from government oversight, away from the big 0:13:07.840 --> 0:13:10.440 bad banking institutions. So if you really want to get 0:13:10.480 --> 0:13:12.120 into it, you can read about Sutoshi, or you can 0:13:12.160 --> 0:13:14.760 read the white paper itself. I've only made it through 0:13:14.800 --> 0:13:17.240 a few pages and it really knocks me out because 0:13:17.320 --> 0:13:19.840 I'm just not that smart. But people that love to 0:13:19.840 --> 0:13:22.400 geek out on computer programming really are into the white 0:13:22.400 --> 0:13:23.880 paper and it makes a lot of sense for them. 0:13:23.880 --> 0:13:28.959 But he created this idea for bitcoin to be this coin, 0:13:29.080 --> 0:13:32.320 this currency that traded on the blockchain. You've probably heard 0:13:32.360 --> 0:13:35.280 this name a lot, the blockchain. What is the blockchain? Well, 0:13:35.280 --> 0:13:37.559 the blockchain is like a digital ledger. If you think 0:13:37.600 --> 0:13:39.760 about you know, if you yet ran a small business 0:13:39.880 --> 0:13:41.719 years ago, or you had parents that did it, and 0:13:41.920 --> 0:13:45.080 they had the accounting sheet, the assets and liabilities, and 0:13:45.120 --> 0:13:47.880 every transaction was recorded on a real ledger, on a 0:13:47.880 --> 0:13:50.080 real piece of paper. This is a digital ledger, but 0:13:50.120 --> 0:13:54.040 it's wide open to everybody, so all records are transparent 0:13:54.360 --> 0:13:57.080 and it's impossible to alter. The blockchain. It is a 0:13:57.160 --> 0:14:02.280 digital record of transactions, of work, of insurance. It's used 0:14:02.320 --> 0:14:04.520 in a lot of different ways right now. And if 0:14:04.520 --> 0:14:07.640 you think about the way cryptocurrencies in the blockchain are related, 0:14:08.040 --> 0:14:11.199 think of the blockchain like the highway right right, the 0:14:11.280 --> 0:14:13.480 highways built out there for all of us to get around, 0:14:13.760 --> 0:14:18.079 and then the cryptocurrencies and the tokens are the vehicles 0:14:18.240 --> 0:14:22.320 on that highway. So this is the underlying structure of 0:14:23.440 --> 0:14:26.480 all of these cryptocurrencies. They're on this open blockchain where 0:14:26.480 --> 0:14:28.320 we can see everything, and you're going to hear a 0:14:28.360 --> 0:14:32.080 lot if you haven't already about centralized versus decentralized versus 0:14:32.080 --> 0:14:35.920 distributed networks. This is only important so you get it conceptually. 0:14:36.880 --> 0:14:39.160 But when you think about a centralized network, think about 0:14:39.200 --> 0:14:42.240 like our banking system. Right, there's your bank, could be 0:14:42.280 --> 0:14:46.000 city bank, could be chased, could be any bank of America, right, 0:14:46.240 --> 0:14:50.200 but all banks are part of banking networks. Right. There 0:14:50.240 --> 0:14:52.840 may be individual retail banks or chains of banks. But 0:14:52.880 --> 0:14:55.520 in the middle of it all is the central bank, right, 0:14:55.560 --> 0:14:58.480 the Federal Reserve. The Federal Reserve is the central bank 0:14:58.480 --> 0:15:01.760 of the United States, and then our twelve regional central banks, 0:15:01.920 --> 0:15:04.840 and then all banks have to work within their net, 0:15:05.040 --> 0:15:09.040 within their rules. Right, So that's a centralized network right 0:15:09.120 --> 0:15:11.160 in the middle. You got the big circle in the middle, 0:15:11.200 --> 0:15:13.160 like a solar system and all the things running around it. 0:15:13.200 --> 0:15:15.960 Our solar system is a centralized network if you think 0:15:15.960 --> 0:15:19.640 of it that way. A decentralized network is what blockchain 0:15:19.840 --> 0:15:23.600 is right. This is where it's open to everybody. Everybody 0:15:23.600 --> 0:15:26.040 can see what's going on. There is no one person 0:15:26.120 --> 0:15:29.840 or thing or entity and control of a decentralized network, 0:15:29.880 --> 0:15:32.760 and that is the promise of the blockchain and ultimately 0:15:32.840 --> 0:15:36.520 all the cryptocurrencies that are trading on it, that live 0:15:36.640 --> 0:15:39.760 on it, or that are programmed into the software of it. 0:15:40.040 --> 0:15:44.320 And then there's distributed networks. Think like your cell phone company, right, 0:15:44.320 --> 0:15:47.119 their cell phone towers and their cell phone companies everywhere, 0:15:47.240 --> 0:15:49.200 but they're distributed all over the place. So you have 0:15:49.280 --> 0:15:51.600 your Sprint tower over here, and you have your AT 0:15:51.640 --> 0:15:54.000 and T tower over here. That's a distributed network. But 0:15:54.040 --> 0:15:57.600 for the purposes of understanding cryptocurrency and the blockchain, it's 0:15:57.640 --> 0:15:59.800 really a decentralized network that you have to get your 0:15:59.800 --> 0:16:04.160 mind around. Super important to understand what that is. So guys, 0:16:04.160 --> 0:16:06.000 interrupted any time, but just so we can get through 0:16:06.040 --> 0:16:07.920 some of these basis, because we're going to refer to 0:16:07.960 --> 0:16:10.920 some of these words. Where's the blockchain being used today 0:16:10.960 --> 0:16:13.240 in twenty twenty four and really for the past five 0:16:13.320 --> 0:16:15.880 or six years. Well, one of the big reasons that 0:16:16.000 --> 0:16:19.040 bitcoin was created and the blockchain became such a big thing, 0:16:19.240 --> 0:16:22.400 especially in the wake of the Great Financial Crisis was 0:16:22.440 --> 0:16:26.000 the ability to transfer money to people, either the unbanked 0:16:26.080 --> 0:16:28.680 or the people that did not trust banks anymore that 0:16:28.800 --> 0:16:32.560 wanted to just transfer funds. Right now, globally there's money 0:16:32.560 --> 0:16:34.960 being transferred from one country to another. People here are 0:16:34.960 --> 0:16:38.000 transferred back home to where their families are. Money transfer 0:16:38.080 --> 0:16:40.240 has been a huge business, but you think about the 0:16:40.280 --> 0:16:43.760 fees and the friction in a money transfer. If you're 0:16:43.760 --> 0:16:47.160 transferring one hundred bucks, you know, to you know you're 0:16:47.200 --> 0:16:49.560 at in Jamaica, You're probably going to pay fifteen bucks 0:16:49.640 --> 0:16:51.840 on that for a money transfer fee, and there's multiple 0:16:51.920 --> 0:16:53.840 layers or friction that it has to go through. So 0:16:53.880 --> 0:16:56.200 the blockchain is used to sort of eliminate that, and 0:16:56.240 --> 0:16:59.600 you can transfer bitcoin without paying a fee. Smart contracts 0:16:59.600 --> 0:17:01.880 that's where the blockchains being used as well. Think about 0:17:01.920 --> 0:17:05.600 insurance or real estate. How many, you know, stacks of 0:17:05.640 --> 0:17:07.760 papers do we sign and fill out? And how many 0:17:07.800 --> 0:17:10.920 files are there for one real estate transaction there are 0:17:11.480 --> 0:17:13.159 hundreds of them. If you've ever bought a house or 0:17:13.160 --> 0:17:15.320 a piece of property, you'll sign your name fifty or 0:17:15.320 --> 0:17:18.080 sixty times and the PaperWorks all over the place. A 0:17:18.119 --> 0:17:20.359 smart contract is on the blockchain. Everybody can see it. 0:17:20.400 --> 0:17:22.159 They open it up like a digital file, Internet of 0:17:22.200 --> 0:17:25.360 things very similar. You know, refrigerator knows when you're out 0:17:25.359 --> 0:17:27.840 of milk, it's already placing the order for you. 0:17:27.960 --> 0:17:28.080 Right. 0:17:28.119 --> 0:17:32.080 This is blockchain less friction, sort of the digital world 0:17:32.480 --> 0:17:36.000 connecting to itself. And then there's things like healthcare where 0:17:36.000 --> 0:17:39.199 we're using blockchain logistics. Non fungible tokens you may have 0:17:39.240 --> 0:17:41.840 heard of, right, Those live on a blockchain and you 0:17:41.920 --> 0:17:45.760 trade those through through digital currencies like ethereum. Even the 0:17:45.800 --> 0:17:48.960 government uses blockchain, and in the media we use blockchain 0:17:49.000 --> 0:17:52.360 as well for file storage coming through files. Right, it's 0:17:52.400 --> 0:17:55.520 already in use. So if you think about this infrastructure, 0:17:55.520 --> 0:17:57.520 I think of it like a highway. It's already out 0:17:57.560 --> 0:18:00.000 there and it's been out there for a number of years. 0:18:00.000 --> 0:18:02.880 And I mentioned the fact that the blockchain is the highway. 0:18:03.400 --> 0:18:06.000 But then the coins and the tokens are the vehicles 0:18:06.040 --> 0:18:08.639 that trade on that highway and they serve different purposes. 0:18:08.880 --> 0:18:12.680 So bitcoin is a coin obviously you know the name, right, 0:18:12.720 --> 0:18:15.639 But then there are the things like tokens. Utility tokens 0:18:15.640 --> 0:18:18.760 are dow tokens. Bitcoin is a digital currency similar to 0:18:18.800 --> 0:18:22.320 a physical currency. But in the case of bitcoin, it's 0:18:22.359 --> 0:18:25.000 not backed by anything, right, it's not a store of 0:18:25.080 --> 0:18:27.879 value for something like gold. You can't base its value 0:18:27.880 --> 0:18:30.399 off of you know, what it would trade in for gold. 0:18:30.480 --> 0:18:34.280 But it does have a numer It does have a 0:18:34.359 --> 0:18:38.679 number of a fee a dollar amount associated with it 0:18:38.720 --> 0:18:40.760 that we'll talk about in a minute. But they operate 0:18:40.840 --> 0:18:43.160 on their own blockchain with their own protocols. You can 0:18:43.240 --> 0:18:45.639 use them as a source of payments. Bitcoin is the 0:18:45.720 --> 0:18:48.119 big one, and Ethereum you've probably heard of that as well. 0:18:48.320 --> 0:18:51.000 In coins, we talk about smart coins and we talk 0:18:51.040 --> 0:18:53.840 about sort of dumb coins. Bitcoin's kind of a dumb coin, 0:18:53.960 --> 0:18:56.280 not that it's a dumb technology. You just can't do 0:18:56.720 --> 0:18:59.520 much with it, but collect it, trade it. Now you 0:18:59.520 --> 0:19:02.159 can purchase things with it. Ethereum is a little bit smarter. 0:19:02.440 --> 0:19:05.359 Tokens are a whole different thing. They don't necessarily operate 0:19:05.400 --> 0:19:08.600 on their own blockchain. You can use them for payments 0:19:08.640 --> 0:19:11.320 and for signing digital agreements. So think about that real 0:19:11.440 --> 0:19:14.960 estate purchase, right, you may use tokens in a digital 0:19:15.000 --> 0:19:18.399 blockchain world to complete or parts of that purchase or 0:19:18.440 --> 0:19:19.399 part of that paperwork. 0:19:19.560 --> 0:19:19.679 Right. 0:19:19.720 --> 0:19:25.919 They're more useful, but they're not like a digital currency, right, really. 0:19:25.840 --> 0:19:29.040 Quick because a lot of people when they hear crypto currency, 0:19:29.040 --> 0:19:31.600 they hear bitcoin to hear blockchain, they think that they're 0:19:31.640 --> 0:19:33.800