WEBVTT - Bitcoin Price Has Been Dumping For Weeks Now...But Have We Found The Botttom? 0:00:00.040 --> 0:00:02.280 Hello, and welcome to another episode of The Markma Show, 0:00:02.680 --> 0:00:05.800 where we talk about the decentralized revolution each and every week, 0:00:05.840 --> 0:00:10.800 talking about bitcoin, cryptocurrencies and the way the world is changing. Now. 0:00:10.880 --> 0:00:12.600 I try to keep you up to date with the 0:00:12.720 --> 0:00:15.440 education so you can see the world in the right way. 0:00:15.480 --> 0:00:18.200 There's a lot of noise out there. We're looking for 0:00:18.200 --> 0:00:20.760 the signal. We gotta kind of pull back the covers 0:00:20.800 --> 0:00:22.200 on this and so I try to help you with that, 0:00:22.560 --> 0:00:25.480 bring bring you some of the latest breaking news around 0:00:25.920 --> 0:00:27.800 around the world so you can stay up to date 0:00:27.840 --> 0:00:29.159 on what's going on, and of course bring to you 0:00:29.200 --> 0:00:32.159 some some interesting guests so you can listen to and 0:00:32.760 --> 0:00:34.760 right now, you know, we're gonna talk about some of 0:00:34.760 --> 0:00:37.240 these big news stories so we can kind of understand 0:00:37.280 --> 0:00:38.720 what's going on in the world today. I think it's 0:00:38.800 --> 0:00:42.879 um there's a lot going on. And lately what's been 0:00:42.920 --> 0:00:45.720 going on is the markets have been crashing. The stock 0:00:45.760 --> 0:00:48.120 markets have been crashing, the real estate markets are softening up, 0:00:48.120 --> 0:00:50.720 but the cryptocurrency markets. Bitcoin has been crashing, and the 0:00:50.720 --> 0:00:54.560 crypto markets have been crashing, and uh, you know, it's 0:00:54.560 --> 0:00:57.680 interesting going through what we call a bear market. When 0:00:57.680 --> 0:01:00.720 the markets dropped this fast UM in the bitcoin space, 0:01:00.720 --> 0:01:03.000 in the cryptocurrency space. It happens, you know, every couple 0:01:03.000 --> 0:01:05.959 of years you go through this, this bitcoin bear market 0:01:06.040 --> 0:01:09.759 there or this winter as they call it. And it's 0:01:10.000 --> 0:01:13.920 been you know, I guess maybe just the second time 0:01:13.959 --> 0:01:17.000 I've been through it, and uh, it doesn't get an easier. 0:01:17.040 --> 0:01:19.839 But I want to give you some stories that will 0:01:19.880 --> 0:01:22.200 help you through with this. All right, so let's talk. 0:01:22.280 --> 0:01:24.160 Let's take a look and see what has been going on. 0:01:24.280 --> 0:01:27.880 So UM obviously no surprise, the price of bitcoin is 0:01:28.080 --> 0:01:32.480 way down. We know that UM from the November high 0:01:32.520 --> 0:01:36.920 that it's set. We are down approximately as of right now, 0:01:36.959 --> 0:01:41.760 about sixty seven percent off of the high, which is 0:01:41.760 --> 0:01:45.399 not good. It's it's pretty far down. However, if you 0:01:45.480 --> 0:01:49.280 put that into UM comparison, it's not good compared to 0:01:49.400 --> 0:01:52.720 what right, That's always a question you want to ask yourself. Well, 0:01:52.760 --> 0:01:55.960 we know that the NASDAC, for example, which has all 0:01:56.000 --> 0:02:00.440 the tech stocks, the Nasdaq index has bump up in 0:02:00.480 --> 0:02:03.960 the last few days. We're down about thirty percent just 0:02:04.040 --> 0:02:07.080 on the on the index, so sixty seven percent on 0:02:07.120 --> 0:02:10.720 bitcoin on the text docks. However, that doesn't really tell 0:02:10.760 --> 0:02:12.400 the picture, right if we dig into the NASDAC. We 0:02:12.440 --> 0:02:15.160 can see that half of the Nasdaq is down more 0:02:15.800 --> 0:02:18.480 than most of it's down even more than Bitcoin. And 0:02:18.480 --> 0:02:20.639 most of the big names that you know and love, 0:02:20.760 --> 0:02:26.279 the zooms, the shopifies, the paypals, they're down seventy eighty 0:02:26.320 --> 0:02:29.320 percent or more. So Bitcoin has done pretty good. But 0:02:30.320 --> 0:02:32.840 what is going to happen with it from here? That's 0:02:32.880 --> 0:02:34.520 a good question, and we'll dig into some of the 0:02:34.560 --> 0:02:36.520 stories this week to try to figure that out. So 0:02:36.560 --> 0:02:38.960 we can see that bitcoin is one of the last 0:02:39.000 --> 0:02:42.760 free markets that we have. So it trades seven it 0:02:42.800 --> 0:02:46.880 trades very liquid and uh, it's not uh and so 0:02:46.880 --> 0:02:49.760 so trades pretty freely. That doesn't mean it's not manipulated. 0:02:50.360 --> 0:02:53.160 So because it's such a small market, it was up 0:02:53.200 --> 0:02:55.359 to about a trillion dollars at one point. It's down 0:02:55.400 --> 0:02:58.480 to about four hundred billion today, which which is a 0:02:58.480 --> 0:03:00.639 lot of money. But when you're a front hedge fund 0:03:00.680 --> 0:03:03.200 on Wall Street, you throw around hundreds of billions at 0:03:03.240 --> 0:03:06.200 a time. So four billion isn't that big in the 0:03:06.240 --> 0:03:10.200 grand scheme of things compared to the overall market, stock markets, etcetera. 0:03:10.639 --> 0:03:13.800 And so it moves, you know, it moves pretty easily. 0:03:14.360 --> 0:03:17.240 It's very thinly traded, meaning there's not a liquidity there. 0:03:17.760 --> 0:03:20.440 And so because of that, if you had enough liquidity, 0:03:20.760 --> 0:03:22.799 you could move the market. So what do I mean 0:03:22.800 --> 0:03:24.799 by that, Well, we can see that the market cap, 0:03:24.840 --> 0:03:28.079 like I said, it's about four hundred million, but there's 0:03:28.120 --> 0:03:35.800 about um let's see, there's about twenty five billion dollars 0:03:35.840 --> 0:03:40.480 a day that's being traded in bitcoin. And so if 0:03:40.520 --> 0:03:43.520 you were to overwhelm the market with you know, a 0:03:43.560 --> 0:03:45.800 few hundred million dollars, you could you could really affect 0:03:45.840 --> 0:03:47.880 the market one way or another. And so what we saw, 0:03:47.920 --> 0:03:49.520 and I've been covering this for weeks now, we saw 0:03:50.520 --> 0:03:55.880 this cascading, this domino effect of D five defy, decentralized 0:03:55.880 --> 0:04:00.840 finance and c FI centralized finance, UM platform arms, companies, 0:04:00.840 --> 0:04:03.160 et cetera, starting to collapse. And what happened is is 0:04:03.200 --> 0:04:04.960 when one went down. We started with Tera Luna. We 0:04:05.040 --> 0:04:07.200 talked about that at length. When that went down, it 0:04:07.320 --> 0:04:09.920 started to create liquidation, to start liquidating people. That's what 0:04:09.920 --> 0:04:12.160 happens when you use too much leverage, and we have 0:04:12.240 --> 0:04:15.240 too much leverage across all of the markets, from real 0:04:15.360 --> 0:04:19.039 estate to stocks and cryptocurrencies as well. And as those 0:04:19.080 --> 0:04:22.719 people's leverage were leveraged up and the price started going down. 0:04:22.960 --> 0:04:25.760 They started getting margin calls meaning hey, you better post 0:04:25.800 --> 0:04:28.599 more collateral, we're gonna liquidate your position. And as those 0:04:28.640 --> 0:04:32.359 positions got sold into the market, it was more selling. 0:04:32.520 --> 0:04:34.520 More selling brought the price down even more, which then 0:04:34.600 --> 0:04:36.920 caused even more liquidations. When it brought the price down 0:04:36.920 --> 0:04:39.400 even more, which caused more liquidations than you understand how 0:04:39.400 --> 0:04:41.600 it works, It's like a going down a set of stairs. 0:04:42.120 --> 0:04:44.920 And so then we started seeing um Tara Luna go down, 0:04:44.960 --> 0:04:46.800 and then it started to drag down other ones. So 0:04:46.839 --> 0:04:49.200 then we saw like Celsius go down, and then it 0:04:49.240 --> 0:04:52.160 brought down voyager Um. They had to file for bankruptcy 0:04:52.160 --> 0:04:54.359 over the last week, and it started bringing all of 0:04:54.400 --> 0:04:57.200 these down. But it looks like we've kind of hit 0:04:57.279 --> 0:05:00.360 the bottom with all of these big liquidations, and so 0:05:00.440 --> 0:05:04.240 we've seen f t X step in and basically backstop this. 0:05:04.320 --> 0:05:06.400 And it's kind of similar. And I used the when 0:05:06.440 --> 0:05:08.560 we talked about Terry Lune, I talked about like the 0:05:08.600 --> 0:05:11.480 free banking era, and so before the Federal Reserve of 0:05:11.480 --> 0:05:13.479 the United States in the late eighteen hundreds, we had 0:05:13.480 --> 0:05:16.279 an era known as free banking where banks could pop up, 0:05:16.279 --> 0:05:18.400 they could create their own currency. But these banks have 0:05:18.520 --> 0:05:20.239 out of business all the time. So the Federal Reserve 0:05:20.360 --> 0:05:24.240 was created, UM for what they tell us is to 0:05:24.240 --> 0:05:27.080 to backstop the banks, to protect the banks, to make 0:05:27.120 --> 0:05:28.560 sure that the banks don't out of business. They would 0:05:28.560 --> 0:05:30.360 be what's called the lender of last resort. They would 0:05:30.360 --> 0:05:33.160 come in and and buy them up or or prop 0:05:33.240 --> 0:05:35.479 them up. And what we've kind of seen now is 0:05:35.480 --> 0:05:37.880 we're seeing all these c FI and defy protocols and 0:05:37.920 --> 0:05:41.640 platforms going down, and f t X has now stepped 0:05:41.640 --> 0:05:45.880 in to start shoring these up to backstop these companies. 0:05:46.320 --> 0:05:48.599 And so they've agreed to buy a block five. I 0:05:48.600 --> 0:05:52.880 believe they've backstopped Voyager as well, and we're seeing f 0:05:53.000 --> 0:05:55.400 t X now really Sam Bankman freed Alamy to come 0:05:55.400 --> 0:05:57.080 in and kind of back stop this almost kind of 0:05:57.080 --> 0:05:59.800 take this Federal Reserve position. UM. And I don't want 0:05:59.800 --> 0:06:01.760 to get super deep into that, but UM, what I 0:06:01.760 --> 0:06:03.560 do want to just cover is that it looks like 0:06:03.640 --> 0:06:06.760 we've seen, um probably the worst of it at this point, 0:06:07.120 --> 0:06:09.160 meaning that we probably don't have any more of these 0:06:09.160 --> 0:06:12.760 giant liquidations in front of us, because I don't see 0:06:12.800 --> 0:06:16.080 how they would put in, you know, hundreds of millions 0:06:16.080 --> 0:06:19.520 of dollars to just let it go away disappear. Now 0:06:19.600 --> 0:06:21.599 they're sitting on billions of dollars. If they need to 0:06:21.640 --> 0:06:23.560 proping putting more money, they'll put in more money and 0:06:23.560 --> 0:06:25.360 they're not going to let it go down now. So 0:06:25.440 --> 0:06:29.320 I think that damage is done. So markets stopped going 0:06:29.440 --> 0:06:33.040 down when there's no more sellers, pretty simple. And so 0:06:33.120 --> 0:06:36.359 you had all these liquidations. These forced sellers continue to 0:06:36.360 --> 0:06:38.279 sell and sell and sell, pushing the price down, which 0:06:38.279 --> 0:06:40.240 caused more liquidations. I talked to you through that. But 0:06:40.320 --> 0:06:43.120 now who are the sellers? Well, we saw more of 0:06:43.160 --> 0:06:44.800 the last week or two. And what am I talking 0:06:44.800 --> 0:06:48.320 about that? Well, now the bitcoin miners are forced to 0:06:48.320 --> 0:06:50.800 start liquidating their bitcoin as a matter of fact, that 0:06:50.800 --> 0:06:52.719 they've been dumping it, and it would be a better word. 0:06:53.640 --> 0:06:55.560 And we can see a bunch of these big bitcoin 0:06:55.560 --> 0:06:59.520 mining companies, publicly traded ones have been dumping their their bitcoin. 0:06:59.600 --> 0:07:02.320 We can see argo Blockchain was the latest crypto mining 0:07:02.360 --> 0:07:05.640 firm to dump bitcoin. It's sold fifteen point six million 0:07:05.760 --> 0:07:08.720 in bitcoin. It's the second crypto minor this week to 0:07:08.760 --> 0:07:11.600 announce it sold more coin than it mined last month. 0:07:11.680 --> 0:07:14.680 So they they typically they would be mining bitcoin, but 0:07:14.680 --> 0:07:16.320 they wouldn't sell it all. They would keep some of it. 0:07:16.800 --> 0:07:19.120 But argo had to sell all of the coins they 0:07:19.160 --> 0:07:21.720 mind last month, and they had to dip into some 0:07:21.760 --> 0:07:24.400 of their savings of the reserve and start selling that 0:07:24.440 --> 0:07:27.680 as well. UM in June they had sold six hundred 0:07:27.680 --> 0:07:31.880 and thirty seven bitcoin, which pushed the price down. UM 0:07:32.000 --> 0:07:35.120 they had mined a hundred and seventy nine, so they 0:07:35.160 --> 0:07:38.200 mined a hundred and seventy nine, but they sold sixty seven, 0:07:38.240 --> 0:07:40.280 so that was big. But they're not the only ones 0:07:40.360 --> 0:07:44.400 doing that. Another crypto minor called core Scientific dumped a 0:07:44.560 --> 0:07:49.160 hundred and sixty five million dollars worth of bitcoin to 0:07:49.280 --> 0:07:51.680 get more liquidity, so they had to sell over seven 0:07:51.680 --> 0:07:56.280 thousand bitcoin to cover costs. Now they say that they 0:07:56.320 --> 0:07:59.120 sold seventy two bitcoin at an average price of twenty 0:07:59.160 --> 0:08:02.600 three thou dollars, leaving ud on their books, so they've 0:08:02.640 --> 0:08:04.800 got rid of seven thousand. They still have almost two 0:08:04.840 --> 0:08:08.120 thousand left, so they could potentially sell more, but they've 0:08:08.120 --> 0:08:10.680 sold the majority of it. They said they're not having 0:08:10.680 --> 0:08:13.200 a tough time. They're gonna be okay. They still expect 0:08:13.240 --> 0:08:17.480 to bring on seventy thousand new bitcoin mining computers in 0:08:17.520 --> 0:08:19.720 the next six months. They've already paid ninety US at 0:08:19.800 --> 0:08:21.960 the cost for these, so those should be good. But 0:08:22.080 --> 0:08:24.160 we see this going on and on and on. Here's 0:08:24.480 --> 0:08:26.880 this says here in the last two weeks of June, 0:08:27.640 --> 0:08:30.200 many large bitcoin wallets have emerged. Over the past two weeks, 0:08:30.400 --> 0:08:33.440 a number of addresses holding ten to ten thousand bitcoin 0:08:33.480 --> 0:08:37.280 appeared on the network while bitcoin was going down, and 0:08:37.640 --> 0:08:42.320 uh they popped up to absorb more than eighteen thousand 0:08:42.360 --> 0:08:46.600 bitcoin worth three seventy two million dollars was put onto 0:08:46.640 --> 0:08:49.880 the market by these bitcoin miners and it all got absorbed. 0:08:50.280 --> 0:08:52.560 And so it looks like all of the big selling 0:08:52.679 --> 0:08:55.840 is done. Now. Individuals can still sell. Some of these 0:08:55.840 --> 0:08:57.960 miners still have some bitcoin they could still sell, but 0:08:58.000 --> 0:09:00.920 the majority of it is done. And even more importantly, 0:09:01.520 --> 0:09:05.120 all these big whales showed up and gobbled it all up. 0:09:05.760 --> 0:09:08.800 So it's bullish. It looks like maybe we found the bottom. 0:09:08.840 --> 0:09:11.200 Of course, we'd never know until we're looking backwards on it. 0:09:11.600 --> 0:09:13.720 But based off of what we can see, based off 0:09:13.760 --> 0:09:16.720 of the liquidations, based off the mining sales, maybe we 0:09:16.760 --> 0:09:18.800 have you're listening to the Mark Mos show talking about 0:09:18.800 --> 0:09:22.079 bitcoin cryptocurrencies and the decentralized revolution. I got a lot 0:09:22.120 --> 0:09:23.600 more to cover in a minute when I come back, 0:09:23.640 --> 0:09:26.400 So don't go away. I'll be right back, all right, 0:09:26.440 --> 0:09:28.959 Welcome back. You're listening to the Mark Mo Show. We're 0:09:29.000 --> 0:09:31.480 talking about the decentralized revolution. Look at the way the 0:09:31.480 --> 0:09:35.480 world is changing. Of course, the catalyst being bitcoin cryptocurrencies, 0:09:35.800 --> 0:09:38.280 and uh, we've been talking about bitcoin and what's going 0:09:38.320 --> 0:09:40.440 on with the price, what's happening with the liquidations, what's 0:09:40.480 --> 0:09:43.600 pushing the price down. There is a lot of stuff 0:09:43.640 --> 0:09:47.920 going on, but it looks like we might have about 0:09:48.040 --> 0:09:50.760 found the bottom of it. We know that markets stopped 0:09:50.760 --> 0:09:54.400 going down when there's no more sellers now. Um, there 0:09:54.440 --> 0:09:56.800 was a lot of big companies that went down, and 0:09:56.840 --> 0:09:59.880 so we talked about Terry Luna that's gone. But sell 0:10:00.000 --> 0:10:02.800 Seius is one of the biggest ones and they halted 0:10:02.960 --> 0:10:06.720 withdraws and a lot of people have money locked up 0:10:06.760 --> 0:10:08.400 on that platform that they may or may not be 0:10:08.440 --> 0:10:09.960 able to get off, and a lot of people are 0:10:09.960 --> 0:10:13.360 hopeful that they'll get their money off. Ah, there's a 0:10:13.440 --> 0:10:16.360 chance depends on where your money is in which account, 0:10:16.360 --> 0:10:18.440 if it's in a lending account, or if it's in 0:10:18.480 --> 0:10:21.920 a holding account. Um, it depends on what they're they're 0:10:21.920 --> 0:10:23.880 going through, like a bankruptcy now, so it depends on 0:10:23.920 --> 0:10:26.960 how they decided to negotiate this out. Um. Will depend 0:10:27.000 --> 0:10:29.160 on if you get some and how much you get. 0:10:29.360 --> 0:10:31.679 So there's a lot of factors there. But first thing 0:10:31.720 --> 0:10:33.600 they had to do is they had to survive to 0:10:33.720 --> 0:10:37.440 even get to the point where they can negotiate that down. Now. Um, 0:10:37.480 --> 0:10:39.439 we talked about market stoff going down when there's no 0:10:39.480 --> 0:10:43.120 more sellers, and these big liquidations have been happening to 0:10:43.160 --> 0:10:46.520 have been basically forcing the cell of thousands and thousands 0:10:46.520 --> 0:10:49.400 and thousands of bitcoin, dumping them onto the market. And 0:10:49.440 --> 0:10:51.760 it was a little bit scary for me because what's 0:10:51.760 --> 0:10:54.400 been happening, and I've been talking about this extensively, um, 0:10:54.520 --> 0:10:56.480 is that we have these big Wall Street funds and 0:10:56.520 --> 0:10:59.480 they're hunting these pegs to break them so they can 0:10:59.520 --> 0:11:01.040 make some money. Now, it happens all the time, It's 0:11:01.040 --> 0:11:02.920 been happening for a long time. They do it outside 0:11:02.920 --> 0:11:06.080 of cryptocurrency as well. I mean just think game stop, right, um. 0:11:06.080 --> 0:11:08.760 And so they they purpose they try to break these pegs. 0:11:08.760 --> 0:11:11.360 That's how George Soros got famously rich, made a billion 0:11:11.360 --> 0:11:13.520 dollars in one day by breaking the peg of the 0:11:13.520 --> 0:11:16.000 Bank of England. And so they'll throw around their weight, 0:11:16.000 --> 0:11:17.880 they'll throw around their money to try to break these things. 0:11:18.440 --> 0:11:21.320 And they may or may not have something to do 0:11:21.360 --> 0:11:23.840 with Celsius. I'm going down having to halt with their draws. 0:11:24.120 --> 0:11:27.640 But we could see because with bitcoin and blockchain, we 0:11:27.679 --> 0:11:30.400 can see these most of these addresses, and we can 0:11:30.400 --> 0:11:32.520 see where the wallets are um and how many coins 0:11:32.520 --> 0:11:35.000 they hold in et cetera. And we could see based 0:11:35.000 --> 0:11:38.480 off of these decentralized protocols, these defied lending protocols, that 0:11:38.520 --> 0:11:40.079 they had a liquidation price. I want to say it 0:11:40.120 --> 0:11:42.480 was around like eighteen thousand dollars and I Bitcoin got 0:11:42.480 --> 0:11:45.600 to about eighteen thousand dollars, then Celsius would be liquidated. 0:11:46.520 --> 0:11:48.319 And that means two things. One that would push the 0:11:48.360 --> 0:11:50.760 price of bitcoin down even more. And to uh, if 0:11:50.760 --> 0:11:52.760 they got liquidated, anybody that had money on Celsius that 0:11:52.760 --> 0:11:55.679 was trapped, that were hoping to get some back wouldn't 0:11:55.920 --> 0:11:58.360 wouldn't get it, but they but they were able to 0:11:58.480 --> 0:12:01.800 get money to continue to pay this this loan down. 0:12:01.840 --> 0:12:05.320 They took out a decentralized finance loan on a on 0:12:05.360 --> 0:12:08.000 a protocol called maker dow and so the way it 0:12:08.040 --> 0:12:10.480 works on a decentralized protocol is that you have to 0:12:10.600 --> 0:12:13.800 overcollateralize the loan. And so if I want to borrow 0:12:14.440 --> 0:12:17.959 UM fifty dollars, I have to give them a hundred 0:12:17.960 --> 0:12:22.400 dollars or more of collateral and so in order for UM. 0:12:22.440 --> 0:12:25.320 If that gets liquidated, then Celsius would lose all of 0:12:25.360 --> 0:12:27.880 that collateral they had on the exchange. But they've been 0:12:27.920 --> 0:12:29.880 able to continue to get more money. And I don't 0:12:29.880 --> 0:12:31.880 know where they've been getting money from, but it says 0:12:31.880 --> 0:12:34.640 here that Celsius Network was able to pay down the 0:12:34.800 --> 0:12:39.440 remaining forty one million of its debt on the defied 0:12:39.440 --> 0:12:42.959 platform on the Maker down platform, which freed up four 0:12:43.080 --> 0:12:47.319 hundred and forty million dollars worth of collateral, which is 0:12:47.360 --> 0:12:50.840 a pretty good move for for Celsius, and it's good 0:12:50.880 --> 0:12:54.640 if you have money trapped on the Celsius platform. Um, 0:12:54.720 --> 0:12:57.240 we can see here. It says that the on chain data, 0:12:57.320 --> 0:12:58.839 so that's how we can see what's happening here. We 0:12:58.840 --> 0:13:00.560 can see all this on chain data. It's one of 0:13:00.559 --> 0:13:03.200 the benefits of the bitcoin and the blockchain technology is 0:13:03.240 --> 0:13:05.120 that we can see all that data, and so it 0:13:05.160 --> 0:13:08.080 adds transparency, which in my opinion is a good thing. 0:13:08.400 --> 0:13:11.320 Um when you have things like stocks and equities and 0:13:11.360 --> 0:13:14.000 things like that, you have no idea what's going on there, 0:13:14.320 --> 0:13:16.960 but at least the blockchain we can see that data. 0:13:17.000 --> 0:13:19.000 So on Chaine data shows that a wallet linked to 0:13:19.080 --> 0:13:22.040 Celsius repaid the remaining forty one point two million of 0:13:22.080 --> 0:13:25.360 the loan in die, which is the currency that maker 0:13:25.400 --> 0:13:29.000 now uses, which is the says the maker's protocol stable coin. 0:13:29.480 --> 0:13:34.600 That prompted the maker protocol to release nio. So about 0:13:34.600 --> 0:13:39.280 twenty two thousand bitcoin two thousand bitcoin. Imagine there was 0:13:39.280 --> 0:13:41.840 twenty two thousand bitcoin being dumped into the market. If 0:13:41.840 --> 0:13:44.959 that was liquidated, that wouldn't be good for the overall 0:13:44.960 --> 0:13:47.080 cryptocurrency market. It wouldn't be good for Bitcoin, It certainly 0:13:47.120 --> 0:13:48.920 wouldn't be good for Celsius, and it certainly wouldn't be 0:13:48.960 --> 0:13:50.760 good for anybody that has money trapped on Celsius that 0:13:50.800 --> 0:13:54.120 are hoping to get that out. So that took that away. 0:13:54.200 --> 0:13:56.880 Remember twenty bitcoin where a danger of being liquidated in 0:13:56.880 --> 0:13:59.679 the market. It says that works out to about four 0:13:59.720 --> 0:14:02.400 hundred forty eight millions. Since the bitcoin was recently traded 0:14:02.400 --> 0:14:05.640 in about twenty four hundred, which at the time of 0:14:05.640 --> 0:14:07.880 this recording were up a little bit higher than that. 0:14:07.880 --> 0:14:11.800 We're over one right now. We can see here that 0:14:11.800 --> 0:14:14.800 fund strat analyst UM told Coin Desk the collateral that 0:14:14.880 --> 0:14:18.520 Celsius freed up can be sold on centralized exchanges or 0:14:18.640 --> 0:14:21.480 or via over the counter to meet credited demands and 0:14:21.600 --> 0:14:25.000 customer with draws. So now they have that money, and 0:14:25.040 --> 0:14:28.640 now maybe they could start letting some customers get withdraws. Now. 0:14:28.680 --> 0:14:30.680 I don't think they can, because I believe now they're 0:14:30.720 --> 0:14:34.400 kind of in this receivership or this reorganization or restructuring, 0:14:34.640 --> 0:14:35.880 or they're going to have to wait for like a 0:14:35.880 --> 0:14:38.760 formal plan and orderly plan to start giving money back. 0:14:39.160 --> 0:14:41.600 But hopefully there's some hope if you have money on 0:14:41.680 --> 0:14:44.760 Celsius that you might actually get some back. Could be pennies, 0:14:45.200 --> 0:14:48.720 could be none. UM, don't hold your breath, but there 0:14:48.800 --> 0:14:51.200 is a little bit of hope. It says. The cell 0:14:51.360 --> 0:14:53.800 which is their native token on the Celsius platform, spiked 0:14:54.320 --> 0:14:55.960 within minutes on the news, but it's still done eight 0:14:56.080 --> 0:14:59.000 one on the year UM, and it says the loans 0:14:59.000 --> 0:15:03.200 on decentralized the platforms such as Maker are generally overcollateralized. 0:15:03.320 --> 0:15:05.200 So it goes back to if you want to borrow 0:15:05.200 --> 0:15:06.880 fifty bucks, you have to put up about a hundred 0:15:06.880 --> 0:15:09.080 bucks or more me and that the borrow has to 0:15:09.120 --> 0:15:11.400 put up more assets and value as a backing of 0:15:11.440 --> 0:15:14.720 the loan than the value of the loan itself. Repaying 0:15:14.760 --> 0:15:16.920 the loan made sense for Celsius because it could get 0:15:16.920 --> 0:15:19.160 a grip of the valuable collateral by paying back a 0:15:19.280 --> 0:15:21.760 fraction of its value. So they paid back the forty 0:15:21.800 --> 0:15:25.560 million and they got four d forty million of collateral back. 0:15:26.920 --> 0:15:32.240 So big news for Celsius. Now, it doesn't mean we're 0:15:32.240 --> 0:15:35.360 out of the woods, but I think it is good 0:15:35.400 --> 0:15:39.040 news nevertheless, But I would say that I hope this 0:15:39.120 --> 0:15:41.840 is a wake up call for everybody. Now. I put 0:15:41.840 --> 0:15:43.640 out a tweet I think it was I don't know 0:15:43.680 --> 0:15:45.880 about a week ago, and I said something to the 0:15:45.880 --> 0:15:50.320 effect of, um, the age of personal responsibility is going 0:15:50.400 --> 0:15:54.000 to snap back and hard, and what do I mean 0:15:54.000 --> 0:15:56.880 by that? So you know, I feel really bad for 0:15:56.920 --> 0:15:59.680 anybody who's lost any money. I don't wish that upon anybody, 0:15:59.800 --> 0:16:01.480 not even my enemies, which I don't think I have 0:16:01.520 --> 0:16:03.920 any enemies. Hopefully I don't try not to, but I 0:16:03.960 --> 0:16:08.240 don't wish anybody to lose money, so I feel bad 0:16:08.280 --> 0:16:11.960 for them. But at the same time, you should never 0:16:12.080 --> 0:16:15.320 be loaning money to somebody that you don't know what 0:16:15.440 --> 0:16:18.120 the risk is of them paying you back. You shouldn't 0:16:18.160 --> 0:16:21.280 do that. So if you put money onto Celsius, you 0:16:21.360 --> 0:16:24.840 should have known there was risk there, And if you didn't, 0:16:24.880 --> 0:16:26.840 then why would you put money there If you didn't 0:16:26.880 --> 0:16:28.680 know there was risk. So right off the bat, you 0:16:28.680 --> 0:16:31.000 shouldn't have put money there. Then you if you did 0:16:31.040 --> 0:16:32.320 and you knew there was risk, you should have been 0:16:32.320 --> 0:16:34.440 paying attention to that. Now, maybe you believed, like a 0:16:34.480 --> 0:16:37.400 lot of people, that they had overcollateralized all their loans 0:16:37.640 --> 0:16:39.000 and so that there was really no risk of them 0:16:39.000 --> 0:16:41.120 not paying you back because if other people didn't pay 0:16:41.160 --> 0:16:43.440 them back, they had they had the collateral right. But 0:16:43.480 --> 0:16:45.880 then you saw in the news that um, they lost 0:16:45.920 --> 0:16:49.320 money on Badger Dow. What the heck were they doing 0:16:49.360 --> 0:16:52.680 invested into something as risky as a Badger Dow, And 0:16:52.720 --> 0:16:54.840 so that should have told you like, oh, shoot, they're 0:16:54.840 --> 0:16:56.960 doing things that are pretty risky. I should maybe be 0:16:57.040 --> 0:16:59.480 aware of that and and not just to pick on 0:16:59.520 --> 0:17:01.280 Celsius to Could it be block fire, could be voyage, 0:17:01.320 --> 0:17:03.480 or it could be any of these things. First of all, 0:17:03.520 --> 0:17:06.480 they're offering to pay you eight ten interest. Maybe that's 0:17:06.520 --> 0:17:09.119 too good to be true. Second of all, you know 0:17:09.200 --> 0:17:10.919 that's gonna have risk. That's the only way they can 0:17:10.920 --> 0:17:12.639 pay you back if there was risk. Third of all, 0:17:12.640 --> 0:17:15.439 you should be paying attention to that. And when you 0:17:15.480 --> 0:17:18.040 saw some of these risky signs, you should have done 0:17:18.080 --> 0:17:22.160 something to remove that risk that you were facing. Now again, 0:17:22.240 --> 0:17:24.119 I don't I'm not trying to wave my finger and 0:17:24.160 --> 0:17:26.359 say I told you so. Um, certainly not saying that 0:17:26.400 --> 0:17:28.520 at all. What I'm saying is that it's time for 0:17:28.600 --> 0:17:31.040 you to step up and take responsibility for yourself. And 0:17:31.080 --> 0:17:34.000 whether you got caught in one of these or didn't, 0:17:34.520 --> 0:17:38.000 you should please use this. We either when are we learn? 0:17:38.280 --> 0:17:40.280 We either win. If I lose, I at least I learned, 0:17:40.280 --> 0:17:42.879 so at least learned from this. Learned that there's no 0:17:42.960 --> 0:17:46.440 such thing as risk free returns. There's always risk. Understand 0:17:47.160 --> 0:17:50.960 how to quantify that risk, take the proper steps to 0:17:51.480 --> 0:17:55.199 limit that risk, and become responsible for yourself because no 0:17:55.200 --> 0:17:56.600 one's coming to save you. You're listening to the Mark 0:17:56.640 --> 0:18:00.760 Ball Show. We're talking about the decentralized revolution, talking about bitcoin, potocurrencies, 0:18:01.280 --> 0:18:03.160 and trying to make sense of the news that's going 0:18:03.160 --> 0:18:05.080 on today so we can understand where things are going 0:18:05.080 --> 0:18:07.200 in the near future. I'll be back with a lot 0:18:07.240 --> 0:18:09.080 more and a second, so don't go away. I'll be 0:18:09.160 --> 0:18:11.560 right back. All right, Welcome back. You are listening to 0:18:11.600 --> 0:18:15.199 the Markma Show. We're talking about the decentralized revolution, the 0:18:15.240 --> 0:18:17.400 world as it's changing right before our very eyes. Of course, 0:18:17.440 --> 0:18:21.399 it's being led by technologies like bitcoin and cryptocurrencies, and 0:18:21.400 --> 0:18:24.520 so we talked about that and we watch the world 0:18:24.600 --> 0:18:27.440 as it unfolds so we can navigate it. Now. One 0:18:27.480 --> 0:18:30.280 thing that's important to think about when you're talking about 0:18:30.320 --> 0:18:35.800 new technologies like bitcoin. Now, bitcoin isn't just a new technology. 0:18:35.880 --> 0:18:39.360 Bitcoin is a technological revolution. There's a there's a difference. 0:18:39.760 --> 0:18:42.720 A new technology is something cool and it's an improvement 0:18:43.160 --> 0:18:46.600 and it extends markets. So like an iPhone was cool. 0:18:46.640 --> 0:18:48.359 We took a computer and the phone, we put them together. 0:18:48.600 --> 0:18:50.199 Now that's cool, and I love the iPhone, don't get 0:18:50.240 --> 0:18:53.040 me wrong. A technological revolution is different in a way 0:18:53.080 --> 0:18:55.760 that it changes the course of humanity and it drives 0:18:55.800 --> 0:18:58.520 financial markets. There's only been five. I believe bitcoin is 0:18:58.560 --> 0:19:02.320 the sixth technological evolution. They come about every fifty years. 0:19:02.359 --> 0:19:05.560 But whenever you're looking at new technologies and especially technological revolutions, 0:19:06.200 --> 0:19:08.720 it's important to understand how to look at them properly. 0:19:09.880 --> 0:19:11.960 And um, one of the things that I mean by 0:19:12.000 --> 0:19:15.000 that is the wrong way to look at them is 0:19:15.000 --> 0:19:18.080 by looking at the price. The price is the least 0:19:18.160 --> 0:19:21.159 interesting thing and the least accurate thing to take a 0:19:21.160 --> 0:19:24.720 look at. So UM, I like to use the story 0:19:24.760 --> 0:19:26.360 over and over. If you tune in every week, then 0:19:26.440 --> 0:19:28.000