1 00:00:00,040 --> 00:00:03,320 Speaker 1: The Coin Bureau podcast is a production of I heart radio, 2 00:00:03,680 --> 00:00:05,400 Speaker 1: and I think a big theme of the coming few 3 00:00:05,440 --> 00:00:08,920 Speaker 1: years really is how do these how do these crypto projects, decentralize? 4 00:00:08,920 --> 00:00:13,600 Speaker 1: How do you put decentralization into action, because I think 5 00:00:13,640 --> 00:00:15,480 Speaker 1: that's one of the you know, that's one of the 6 00:00:15,520 --> 00:00:18,960 Speaker 1: only ways that these that these projects, can keep themselves 7 00:00:18,960 --> 00:00:35,120 Speaker 1: safe from from regulations. Welcome everyone to the Coin Bureau podcast. 8 00:00:35,320 --> 00:00:39,560 Speaker 1: My name is guy and this gentleman's name is Mad 9 00:00:39,640 --> 00:00:44,360 Speaker 1: Mike Mooch the third. Welcome back, Mad Mike moned the third. 10 00:00:44,760 --> 00:00:47,840 Speaker 1: It's good to see you. Sir. I am still here 11 00:00:47,960 --> 00:00:51,600 Speaker 1: in Sunny Dubai, where it is thirty eight degrees Celsius, 12 00:00:51,760 --> 00:00:55,320 Speaker 1: a very mild thirty eight degree Celsius by by Dubai standards, 13 00:00:55,800 --> 00:00:58,840 Speaker 1: and you are back in your man Cave in London. 14 00:00:58,920 --> 00:01:01,960 Speaker 1: How is how is London? What's the mood like? What's 15 00:01:02,200 --> 00:01:05,360 Speaker 1: what's the old weather like? It's it's the same, you know. 16 00:01:05,440 --> 00:01:09,200 Speaker 1: We've got some sunshine but freezing cold temperatures. The Queen 17 00:01:09,280 --> 00:01:13,720 Speaker 1: is still dead. No undertaker, sort of last minute sort 18 00:01:13,720 --> 00:01:17,840 Speaker 1: of resurrection. We're all getting on with life and it's 19 00:01:17,840 --> 00:01:20,280 Speaker 1: all going okay. I mean things are pretty much the same, 20 00:01:21,120 --> 00:01:25,160 Speaker 1: unlike maybe the world of Crypto, with some big changes 21 00:01:25,200 --> 00:01:30,240 Speaker 1: have happened. But an absolutely beautiful segue. I really admire that. 22 00:01:30,240 --> 00:01:34,759 Speaker 1: That's wonderful. Yeah, a lot has yeah, things are very 23 00:01:34,760 --> 00:01:37,720 Speaker 1: different from the last time we spoke. Obviously, last week 24 00:01:37,720 --> 00:01:40,160 Speaker 1: we did our episode, are kind of on the hoof 25 00:01:40,160 --> 00:01:44,920 Speaker 1: episode where we looked ahead to the merge, to ethereums merge, 26 00:01:45,319 --> 00:01:48,520 Speaker 1: and this week we're going to look back on ethereums 27 00:01:48,560 --> 00:01:51,360 Speaker 1: merge and and see kind of what the landscape is. 28 00:01:51,480 --> 00:01:54,440 Speaker 1: What's changed, what's going on, what do we need to 29 00:01:54,440 --> 00:01:58,000 Speaker 1: be aware of and, I think crucially as well, what 30 00:01:58,000 --> 00:02:01,440 Speaker 1: what might be around the corner? Yeah, well, that's that's 31 00:02:01,480 --> 00:02:04,240 Speaker 1: what everyone wants to know and we can pontificate on 32 00:02:04,280 --> 00:02:08,720 Speaker 1: that and I'm sure people will take advice, but not 33 00:02:09,200 --> 00:02:15,240 Speaker 1: financial advice exactly, exactly, because of course it isn't financial advice, Um, 34 00:02:15,760 --> 00:02:20,280 Speaker 1: which is, yeah, which is something everyone should remember. Um. So, yeah, 35 00:02:20,360 --> 00:02:22,680 Speaker 1: I've I've kind of I made some notes about what 36 00:02:22,720 --> 00:02:24,240 Speaker 1: I was going to talk about and I've kind of 37 00:02:24,280 --> 00:02:27,320 Speaker 1: divided it up. Part one I'm just going to call 38 00:02:27,360 --> 00:02:30,920 Speaker 1: the bad news, because I'm afraid there is a little 39 00:02:30,960 --> 00:02:33,960 Speaker 1: bit of bad news. Um, and but don't worry, anyone 40 00:02:34,000 --> 00:02:37,639 Speaker 1: listening the good news. Part two is the good news 41 00:02:38,120 --> 00:02:41,760 Speaker 1: and then part three is sort of any other business. 42 00:02:41,840 --> 00:02:44,120 Speaker 1: So well, let's just start. Let's let's get on with 43 00:02:44,160 --> 00:02:46,280 Speaker 1: the bad news, shall we? Well, in fact, we can 44 00:02:46,280 --> 00:02:49,480 Speaker 1: start with some good news, which most people will probably 45 00:02:49,520 --> 00:02:51,400 Speaker 1: be aware of if they've been paying any sort of 46 00:02:51,400 --> 00:02:56,480 Speaker 1: attention to crypto over the last well, since since last Thursday. Basically, 47 00:02:56,639 --> 00:03:01,880 Speaker 1: the merge all went to plan and nothing, nothing went wrong. 48 00:03:01,919 --> 00:03:05,440 Speaker 1: And so far nothing, nothing really has gone wrong with 49 00:03:05,600 --> 00:03:10,480 Speaker 1: ethereum itself, which is which is great. Um, no portals 50 00:03:10,480 --> 00:03:12,760 Speaker 1: to the other world have been opened or anything like that, 51 00:03:13,680 --> 00:03:16,760 Speaker 1: certainly certainly not that fatalk or any of the other 52 00:03:16,800 --> 00:03:19,880 Speaker 1: devs are admitting to. I don't think they opened up 53 00:03:19,919 --> 00:03:24,760 Speaker 1: a gate of Hell beneath beneath the ethereum foundation or 54 00:03:24,760 --> 00:03:27,079 Speaker 1: anything like that. But but I mean, you know, they may. 55 00:03:27,200 --> 00:03:30,840 Speaker 1: They may just be keeping that one under wraps. So 56 00:03:30,919 --> 00:03:36,160 Speaker 1: that's not the bad news. So yeah, and it was. 57 00:03:36,440 --> 00:03:38,240 Speaker 1: I don't I'm I I don't know if you were 58 00:03:38,240 --> 00:03:40,960 Speaker 1: sort of paying attention at the time, Mikey. Obviously I 59 00:03:41,000 --> 00:03:43,360 Speaker 1: was kind of glued to my laptop. I was watching 60 00:03:43,400 --> 00:03:48,520 Speaker 1: it via a live stream from the ethereum foundation, and 61 00:03:49,240 --> 00:03:51,280 Speaker 1: I mean talk about Geek Central. It was. It was 62 00:03:51,320 --> 00:03:53,640 Speaker 1: absolutely wonderful. It was a great thing to watch. It 63 00:03:53,680 --> 00:03:56,960 Speaker 1: was it was kind of weird because, you know, everyone's 64 00:03:57,080 --> 00:03:58,640 Speaker 1: there's there's quite a lot. There were quite a lot 65 00:03:58,640 --> 00:04:03,440 Speaker 1: of devs on the on the Stream. Vitilt himself cropped 66 00:04:03,520 --> 00:04:06,760 Speaker 1: up a couple of times, which was really cool. And Yeah, 67 00:04:06,800 --> 00:04:09,120 Speaker 1: all of a sudden the block was the block was 68 00:04:09,160 --> 00:04:11,960 Speaker 1: pushed and, you know, the block was created, the code 69 00:04:12,040 --> 00:04:15,160 Speaker 1: was pushed and we would switch to proof of stake. 70 00:04:15,240 --> 00:04:18,880 Speaker 1: It was and they had some little pandas appear, because 71 00:04:18,920 --> 00:04:22,680 Speaker 1: the Etherean community are very fond of pandas. Yeah, so 72 00:04:22,960 --> 00:04:25,640 Speaker 1: it all went it all went smoothly and you could 73 00:04:25,640 --> 00:04:28,200 Speaker 1: really sense watching the stream. You know, you could really 74 00:04:28,200 --> 00:04:32,559 Speaker 1: sense the relief kind of flooding through all these people 75 00:04:32,600 --> 00:04:36,159 Speaker 1: because they, yeah, they looked very tired. They'd obviously been, 76 00:04:36,320 --> 00:04:40,200 Speaker 1: you know, working really, really hard for days, weeks, months, 77 00:04:40,320 --> 00:04:42,520 Speaker 1: years on end really to to kind of get this, 78 00:04:42,680 --> 00:04:45,600 Speaker 1: get this thing over the line. And Yeah, it was 79 00:04:45,760 --> 00:04:49,119 Speaker 1: it was impossible not to feel sort of really really 80 00:04:49,120 --> 00:04:52,360 Speaker 1: happy for them because, yeah, they deserved it. It was 81 00:04:52,800 --> 00:04:56,719 Speaker 1: it was a really monumental effort and yeah, it's. And 82 00:04:56,760 --> 00:04:59,880 Speaker 1: there was this kind of brief sort of surge of 83 00:05:00,040 --> 00:05:03,880 Speaker 1: optimism in the crypto markets, which we haven't seen really since, 84 00:05:04,320 --> 00:05:07,159 Speaker 1: since the bullmarket ended, and I was kind of keeping 85 00:05:07,200 --> 00:05:10,159 Speaker 1: half an eye on prices, you know, I was trying 86 00:05:10,200 --> 00:05:12,680 Speaker 1: to get work done, but I slipped into that bad 87 00:05:12,720 --> 00:05:15,440 Speaker 1: habit that so many of us crypto people have, sort 88 00:05:15,440 --> 00:05:20,640 Speaker 1: of refreshing the price charts every two minutes or so. Um, well, 89 00:05:20,680 --> 00:05:23,320 Speaker 1: we've all been there. But it was it was exciting 90 00:05:23,320 --> 00:05:26,279 Speaker 1: to see. I mean I I didn't expect it to last, 91 00:05:26,920 --> 00:05:28,760 Speaker 1: but it was. It was kind of good to see 92 00:05:28,760 --> 00:05:32,360 Speaker 1: this little sort of relief rally and obviously the price 93 00:05:32,839 --> 00:05:35,000 Speaker 1: started shooting up as well as, you know, kind of 94 00:05:35,040 --> 00:05:37,920 Speaker 1: crypt the market in general. It was it made a nice, 95 00:05:38,080 --> 00:05:42,360 Speaker 1: nice change from sort of recent weeks. Um, however, that 96 00:05:42,360 --> 00:05:47,080 Speaker 1: that relief rally didn't last all that lot. It was 97 00:05:47,279 --> 00:05:49,719 Speaker 1: it was, you know, two or three hours or so, 98 00:05:50,120 --> 00:05:54,120 Speaker 1: maybe not even that. And Yeah, things started, things started 99 00:05:54,160 --> 00:05:57,760 Speaker 1: tumbling back downward and it was obviously, you know, what 100 00:05:57,760 --> 00:06:00,599 Speaker 1: what those in in investment circles call a kind of 101 00:06:00,600 --> 00:06:02,640 Speaker 1: sell the news event. You know, you buy the rumor 102 00:06:03,400 --> 00:06:06,240 Speaker 1: and then you sell the news, and I think the 103 00:06:06,279 --> 00:06:09,400 Speaker 1: ethereum merge may go down as one of the classics 104 00:06:09,440 --> 00:06:14,360 Speaker 1: sell the news events in Crypto. Um, because, yeah, it's 105 00:06:14,400 --> 00:06:16,600 Speaker 1: it's kind of looking at it's, you know, looking at 106 00:06:16,640 --> 00:06:19,359 Speaker 1: it a few days onwards, it seems now like the 107 00:06:19,480 --> 00:06:22,120 Speaker 1: merge was kind of a bit of a short break 108 00:06:22,160 --> 00:06:25,760 Speaker 1: from reality and then, you know, after a couple of hours, 109 00:06:26,200 --> 00:06:29,920 Speaker 1: reality sort of sidled back into the room and went right. 110 00:06:31,200 --> 00:06:34,320 Speaker 1: Probably just raising a point before, seconds before you do, 111 00:06:34,440 --> 00:06:37,760 Speaker 1: but didn't as soon as the merge happened. Proof of 112 00:06:37,839 --> 00:06:42,080 Speaker 1: steak get basically hinted that it was going to be 113 00:06:42,120 --> 00:06:46,520 Speaker 1: anything that does that is going to be a security. Now. Yeah, yeah, absolutely, yeah, 114 00:06:46,520 --> 00:06:50,279 Speaker 1: I was. Yeah, you're on the ball today, sir. Yeah, 115 00:06:50,320 --> 00:06:52,919 Speaker 1: because at the same time that the merge was happening, 116 00:06:53,480 --> 00:06:56,280 Speaker 1: the Chairman of the SEC, Gary Gensler, who's sort of, 117 00:06:56,760 --> 00:07:00,400 Speaker 1: I guess, Krypto's biggest bogey man at the moment, he 118 00:07:00,560 --> 00:07:06,040 Speaker 1: was actually testifying in Washington and here he said, you know, 119 00:07:06,120 --> 00:07:09,520 Speaker 1: he he pretty much said that he and, Um, you know, 120 00:07:09,560 --> 00:07:13,240 Speaker 1: the SEC, by extension, believe that the proof of state 121 00:07:13,240 --> 00:07:18,440 Speaker 1: cryptocurrencies could be designated as securities. And the timing on 122 00:07:18,520 --> 00:07:23,320 Speaker 1: that is that malicious. It's hard to imagine otherwise, I think. 123 00:07:23,360 --> 00:07:25,000 Speaker 1: I mean it may just be it may just be 124 00:07:25,040 --> 00:07:27,400 Speaker 1: a coincidence. There seems to have been quite quite a 125 00:07:27,440 --> 00:07:30,640 Speaker 1: few coincidences kind of knocking around the crypto space at 126 00:07:30,640 --> 00:07:34,679 Speaker 1: the moment. But this, this seemed to be this seemed 127 00:07:34,680 --> 00:07:37,880 Speaker 1: to be a curious coincidence perhaps, but yeah, it could 128 00:07:37,920 --> 00:07:42,520 Speaker 1: it could well have been deliberate, um, but yeah, so 129 00:07:42,680 --> 00:07:45,160 Speaker 1: that was that kind of that kind of hit the 130 00:07:45,160 --> 00:07:46,880 Speaker 1: markets a little bit. I'll talk about that in a 131 00:07:46,920 --> 00:07:51,520 Speaker 1: moment because actually the what was more consequential had actually 132 00:07:51,520 --> 00:07:55,760 Speaker 1: taken place the day before, because on the Wednesday, um, 133 00:07:55,880 --> 00:07:58,440 Speaker 1: so less than kind of twenty four hours before before 134 00:07:58,480 --> 00:08:02,320 Speaker 1: the merge was due, the latest inflation figures, the consumer 135 00:08:02,360 --> 00:08:06,440 Speaker 1: price index, the CPI, came out in the US, and 136 00:08:07,160 --> 00:08:10,000 Speaker 1: it wasn't all that good. It was it was it 137 00:08:10,080 --> 00:08:14,480 Speaker 1: showed eight point three percent inflation over in the states. Now, 138 00:08:14,520 --> 00:08:17,520 Speaker 1: this is actually this was actually down a couple of 139 00:08:17,520 --> 00:08:20,600 Speaker 1: points from the previous months. So these were the inflation 140 00:08:20,640 --> 00:08:24,920 Speaker 1: figures for August. So they were slightly lower than the 141 00:08:24,920 --> 00:08:28,760 Speaker 1: inflation figures have been for July, which does kind of 142 00:08:28,800 --> 00:08:33,360 Speaker 1: suggest that inflation, you know, maybe starting to go down 143 00:08:33,520 --> 00:08:36,560 Speaker 1: a little bit. But you know, everyone was kind of 144 00:08:36,679 --> 00:08:38,880 Speaker 1: everyone was kind of hoping that they'd be a lot 145 00:08:38,920 --> 00:08:42,600 Speaker 1: lower than that. So that, if you like, you know, 146 00:08:42,679 --> 00:08:45,400 Speaker 1: before the merge it even happened, that the sort of 147 00:08:45,400 --> 00:08:48,840 Speaker 1: wider world that you know, the global macro landscape, had 148 00:08:48,920 --> 00:08:51,640 Speaker 1: sort of, you know, poked its head round the door 149 00:08:51,679 --> 00:08:54,480 Speaker 1: and sort of said, you know, I'm still here, things 150 00:08:54,520 --> 00:09:03,520 Speaker 1: are still really worry we're all still fucked M it. Exactly, yeah, exactly. Um. So, yeah, 151 00:09:03,520 --> 00:09:06,800 Speaker 1: so that kind of that really dampened enthusiasm in the 152 00:09:06,840 --> 00:09:09,680 Speaker 1: markets that that kind of took any winds that there 153 00:09:09,800 --> 00:09:12,679 Speaker 1: was out of the sales. And I should also point 154 00:09:12,679 --> 00:09:16,320 Speaker 1: out that that that the core CPI, which is the 155 00:09:16,360 --> 00:09:20,400 Speaker 1: same measure but excludes energy and food, that actually went 156 00:09:20,520 --> 00:09:24,440 Speaker 1: up by over half a percentum. Yeah, and that is 157 00:09:24,559 --> 00:09:28,400 Speaker 1: that is not good news at all. So basically, inflation 158 00:09:28,559 --> 00:09:31,959 Speaker 1: in the US, in in case anyone had missed it, 159 00:09:32,000 --> 00:09:35,560 Speaker 1: is still really, really high. And this means that the 160 00:09:35,600 --> 00:09:40,000 Speaker 1: Federal Reserve, which meets, we're recording this on Tuesday, so 161 00:09:40,040 --> 00:09:45,800 Speaker 1: the Federal Reserve will meet tomorrow, on Wednesday one. This 162 00:09:45,880 --> 00:09:48,920 Speaker 1: is going to be their first meeting since there, since 163 00:09:48,960 --> 00:09:51,000 Speaker 1: they all went off on their on their summer break, 164 00:09:52,000 --> 00:09:57,640 Speaker 1: and they are going to hike interest rates again. And Yeah, previously, 165 00:09:57,720 --> 00:10:00,440 Speaker 1: you know, a few weeks ago, the EXPECTA Asian was 166 00:10:00,480 --> 00:10:03,120 Speaker 1: that they probably hike it by hike them by half 167 00:10:03,120 --> 00:10:07,120 Speaker 1: a percent, fifty basis points. Actually, it now looks much 168 00:10:07,120 --> 00:10:09,240 Speaker 1: more likely that they're going to hike it by three 169 00:10:09,320 --> 00:10:13,640 Speaker 1: quarters of a percent, seventy five basis points. So, yeah, 170 00:10:14,040 --> 00:10:18,000 Speaker 1: you know, it's interest rates are going to have another big, 171 00:10:18,320 --> 00:10:22,600 Speaker 1: big pump. And actually there is, you know, a more 172 00:10:22,679 --> 00:10:26,560 Speaker 1: than there's about a kind of eighteen chance at the 173 00:10:26,600 --> 00:10:29,520 Speaker 1: moment as we record this, that they could actually hike 174 00:10:29,559 --> 00:10:33,240 Speaker 1: it a full one percent. That doesn't seem to be 175 00:10:33,320 --> 00:10:35,880 Speaker 1: off the table now. If they hiked rates a full 176 00:10:35,960 --> 00:10:40,880 Speaker 1: one percent, yeah, that would not be markets, especially Crypto, 177 00:10:40,920 --> 00:10:43,840 Speaker 1: but you know, kind of all markets would really, you know, 178 00:10:44,120 --> 00:10:49,120 Speaker 1: would really soil, soil the sheets, because a one percent 179 00:10:49,400 --> 00:10:53,199 Speaker 1: rate hike would be the largest in forty years, which 180 00:10:53,280 --> 00:10:59,240 Speaker 1: is a pretty, yeah, pretty sobering thought really. So, yeah, 181 00:10:59,360 --> 00:11:03,520 Speaker 1: it really Um basically the kind of the the outlook 182 00:11:03,520 --> 00:11:06,360 Speaker 1: at the moment, what everyone's kind of looking towards is 183 00:11:06,600 --> 00:11:08,640 Speaker 1: that we're that we are going to see a big 184 00:11:08,679 --> 00:11:12,679 Speaker 1: old drop across all markets, and some people are actually 185 00:11:12,720 --> 00:11:15,240 Speaker 1: predicting that it could be even worse than the drop 186 00:11:15,320 --> 00:11:17,840 Speaker 1: that we saw in two thousand and eight, after the 187 00:11:18,800 --> 00:11:24,160 Speaker 1: after the finite, in the wake of the financial crisis. So, yeah, 188 00:11:24,280 --> 00:11:29,800 Speaker 1: it's it's not too cheerful from that perspective. I'm afraid 189 00:11:30,240 --> 00:11:32,480 Speaker 1: a lot of people are, you know, are really kind 190 00:11:32,480 --> 00:11:37,480 Speaker 1: of bracing themselves for for more pain. Well, I'm enjoying 191 00:11:37,480 --> 00:11:41,120 Speaker 1: these sessions each week where where we we, we, we 192 00:11:41,559 --> 00:11:45,280 Speaker 1: call each other, you tell us how life is going 193 00:11:45,320 --> 00:11:49,120 Speaker 1: to be even worse. Uh, and then and then we we, 194 00:11:49,120 --> 00:11:51,200 Speaker 1: we sign off on a sort of cheery note and 195 00:11:51,240 --> 00:11:56,800 Speaker 1: then it gets worse next week again. So great for 196 00:11:56,920 --> 00:12:03,600 Speaker 1: next week when when the sun is extinguished. So yeah, 197 00:12:03,600 --> 00:12:06,840 Speaker 1: so the giant meteorite heading towards that. That has kind 198 00:12:06,880 --> 00:12:09,800 Speaker 1: of really that has really got that sped up worried. 199 00:12:11,480 --> 00:12:14,840 Speaker 1: Now due Wednesday. Yeah, we've now got a definite date 200 00:12:14,880 --> 00:12:17,880 Speaker 1: for that. That's impact. I mean. Is this? Is this? 201 00:12:18,760 --> 00:12:21,480 Speaker 1: Is this not just reminiscent of the of the eighties? Wasn't? 202 00:12:21,640 --> 00:12:24,440 Speaker 1: Didn't we have se interest rates or something like that 203 00:12:24,480 --> 00:12:26,760 Speaker 1: in the eighties or something like that? Yeah, back in 204 00:12:26,760 --> 00:12:32,680 Speaker 1: the seventies. Yeah, yeah, so that was that's kind of 205 00:12:32,720 --> 00:12:35,000 Speaker 1: fame and that that era is getting talked about a 206 00:12:35,040 --> 00:12:38,000 Speaker 1: lot at the moment, obviously because, you know, we're seeing 207 00:12:38,000 --> 00:12:41,000 Speaker 1: we're starting to see comparable levels of inflation. And actually, 208 00:12:41,080 --> 00:12:44,120 Speaker 1: back in the back in the seventies, the the chairman 209 00:12:44,200 --> 00:12:47,400 Speaker 1: of the Federal Reserve was a chap called Paul Volca, 210 00:12:48,040 --> 00:12:51,000 Speaker 1: and his name is cropping up a lot in, you know, 211 00:12:51,120 --> 00:12:53,320 Speaker 1: in the kind of financial, financial media at the moment 212 00:12:53,320 --> 00:12:58,400 Speaker 1: because he hyped rates to around tw to to get 213 00:12:58,440 --> 00:13:01,880 Speaker 1: that inflation under control. Um, now, for context, we're we're 214 00:13:01,920 --> 00:13:04,720 Speaker 1: not we're we're sort of, you know, pushing towards the 215 00:13:04,760 --> 00:13:07,199 Speaker 1: three percent level. We're we're kind of hovering around there 216 00:13:07,240 --> 00:13:12,120 Speaker 1: at the moment. So there's there's lots of upside for 217 00:13:12,120 --> 00:13:17,160 Speaker 1: for interest rates. Unfortunately, Um, it remains to be seen whether, 218 00:13:17,320 --> 00:13:20,760 Speaker 1: you know, whether we'll whether we'll get anywhere near that figure. 219 00:13:20,800 --> 00:13:23,200 Speaker 1: I think things will have to get really pretty bad 220 00:13:24,040 --> 00:13:26,120 Speaker 1: for rates to go that high. But I mean, you know, 221 00:13:26,400 --> 00:13:29,559 Speaker 1: the Fed and other central banks have, you know, our 222 00:13:29,720 --> 00:13:32,320 Speaker 1: hiking rates a lot now. I think I think there's 223 00:13:32,360 --> 00:13:35,440 Speaker 1: due to be another one in the UK, maybe even tomorrow, 224 00:13:35,480 --> 00:13:38,439 Speaker 1: at the same time that the Fed is is hiking rates. 225 00:13:39,040 --> 00:13:43,040 Speaker 1: The the European Central Bank the ECB there hiking rates now. 226 00:13:43,120 --> 00:13:45,280 Speaker 1: You know, the higher interest rates are just going to 227 00:13:45,400 --> 00:13:49,200 Speaker 1: be a thing for you know, for the next few, 228 00:13:50,360 --> 00:13:54,400 Speaker 1: possibly years. So that's that's something too. That's something to 229 00:13:54,440 --> 00:13:59,280 Speaker 1: look forward to. Um. Yeah, so kind of already ahead 230 00:13:59,280 --> 00:14:02,760 Speaker 1: of the merge, there were there were concerns, there were 231 00:14:02,800 --> 00:14:05,000 Speaker 1: you know, there were things weighing on the market. So 232 00:14:05,160 --> 00:14:07,679 Speaker 1: the merge came, it was a success. The market's kind 233 00:14:07,679 --> 00:14:10,000 Speaker 1: of pumped a little bit in, you know, as if 234 00:14:10,000 --> 00:14:13,720 Speaker 1: to kind of acknowledge that, and then they started crashing again, 235 00:14:13,920 --> 00:14:16,280 Speaker 1: and I mean they are still crashing. Let's just have 236 00:14:16,320 --> 00:14:19,400 Speaker 1: a quick look at the child. Like yesterday seems to 237 00:14:19,400 --> 00:14:20,680 Speaker 1: be a bit of a dip and it's gone up 238 00:14:20,680 --> 00:14:24,760 Speaker 1: a little bit today. Um, that's my scientific look at it. 239 00:14:25,840 --> 00:14:29,800 Speaker 1: That's your technical analysis done. Yeah, it is up a 240 00:14:29,800 --> 00:14:34,080 Speaker 1: little bit today. Yeah, that's true. Bitcoin, Bitcoin and Etherorum 241 00:14:34,120 --> 00:14:36,920 Speaker 1: are both up over three percent today, but I mean 242 00:14:36,920 --> 00:14:44,400 Speaker 1: they're both still, oh yeah, yeah, massively down, especially especially etherorum. 243 00:14:44,400 --> 00:14:51,800 Speaker 1: ethereums down over on the week. Yeah, exactly. So, yeah, Bitcoin, 244 00:14:52,480 --> 00:14:55,720 Speaker 1: Bitcoin is below twenty k which is you know that 245 00:14:55,840 --> 00:14:58,560 Speaker 1: that's a that's a twenty K is is a fairly 246 00:14:58,600 --> 00:15:02,480 Speaker 1: sort of strong psychology call support level for for Bitcoin 247 00:15:02,600 --> 00:15:05,400 Speaker 1: ethereum is kind of around thirteen and a half K 248 00:15:05,520 --> 00:15:08,240 Speaker 1: as we record this Um, but I think there's a 249 00:15:08,240 --> 00:15:12,360 Speaker 1: lot more. There's a lot more downside for both which 250 00:15:12,400 --> 00:15:14,960 Speaker 1: will which we'll talk about a little later on. I 251 00:15:14,960 --> 00:15:17,480 Speaker 1: think another thing worth pointing out so that you know 252 00:15:17,560 --> 00:15:20,560 Speaker 1: we're now sort of moving post events, post merge. So 253 00:15:21,040 --> 00:15:25,000 Speaker 1: there was a lot of expectation that institutions would kind 254 00:15:25,000 --> 00:15:28,400 Speaker 1: of start piling into ethereum, you know, buying up eas 255 00:15:28,560 --> 00:15:31,240 Speaker 1: once it's once it got, you know, whence it went 256 00:15:31,320 --> 00:15:35,800 Speaker 1: green and its electricity consumption dropped. And Yeah, that that 257 00:15:35,840 --> 00:15:38,840 Speaker 1: did not happen. Um. Now I think there are I 258 00:15:38,880 --> 00:15:40,640 Speaker 1: think there are probably a few reasons for this. I 259 00:15:40,640 --> 00:15:45,400 Speaker 1: think possibly it's it's a case institutions are sort of like, well, 260 00:15:45,600 --> 00:15:47,480 Speaker 1: I think we're just going to wait a little longer 261 00:15:48,040 --> 00:15:51,720 Speaker 1: and see that everything really is okay, because I think 262 00:15:51,760 --> 00:15:55,600 Speaker 1: that's I think that's a wise moved, really very imprudent, 263 00:15:55,880 --> 00:15:59,520 Speaker 1: I think. I think also it's just kind of representative 264 00:15:59,560 --> 00:16:03,320 Speaker 1: of what's going on again in the wider markets. If, if, if, if, 265 00:16:03,320 --> 00:16:05,600 Speaker 1: interest rates are going up in markets are about to tank, 266 00:16:05,640 --> 00:16:11,240 Speaker 1: people are not investing exactly. Yeah, exactly. It's it's it's 267 00:16:11,280 --> 00:16:13,840 Speaker 1: a time, I think, to be very much sitting on 268 00:16:13,880 --> 00:16:17,400 Speaker 1: the sidelines and waiting to get a better picture of 269 00:16:17,400 --> 00:16:20,000 Speaker 1: of where markets are going. Because, yeah, I think everyone, 270 00:16:20,040 --> 00:16:23,280 Speaker 1: as I said earlier, so many people, are expecting a 271 00:16:23,320 --> 00:16:26,920 Speaker 1: big old crash across the board. So, yeah, why would you? 272 00:16:27,040 --> 00:16:28,880 Speaker 1: Why would you be investing now? Why would you be 273 00:16:28,880 --> 00:16:30,480 Speaker 1: buying up stuff now if you think it's going to 274 00:16:30,520 --> 00:16:36,680 Speaker 1: be much, much cheaper in a few yeah, exactly. So 275 00:16:36,800 --> 00:16:39,040 Speaker 1: I think they're doing that. There is a kind of 276 00:16:39,120 --> 00:16:43,240 Speaker 1: general trend towards just holding mostly dollars at the moment 277 00:16:44,120 --> 00:16:47,280 Speaker 1: because risky, risky investments just aren't too popular when when 278 00:16:47,320 --> 00:16:51,080 Speaker 1: interest rates are high, people, people want to have cash 279 00:16:51,120 --> 00:16:53,360 Speaker 1: on hand in order to pay down debts and things 280 00:16:53,400 --> 00:16:56,000 Speaker 1: like that. So yeah, there's that. There's been a lot 281 00:16:56,000 --> 00:16:58,240 Speaker 1: of selling going on in order to get into dollars 282 00:16:59,160 --> 00:17:02,560 Speaker 1: and also, yeah, not much buying. So so that's something 283 00:17:02,600 --> 00:17:05,959 Speaker 1: I think you know that kind of that expectation was 284 00:17:05,960 --> 00:17:10,080 Speaker 1: was snuffed out pretty quickly, and I think also there's 285 00:17:10,119 --> 00:17:13,600 Speaker 1: a there's a sense that the institutions are waiting for 286 00:17:13,720 --> 00:17:16,320 Speaker 1: some regulatory clarity as well, and this is tied into 287 00:17:16,320 --> 00:17:18,280 Speaker 1: what you were saying, you know, about at the at 288 00:17:18,280 --> 00:17:21,639 Speaker 1: the very time the merge was happening, the chairman of 289 00:17:21,680 --> 00:17:25,040 Speaker 1: the SEC was making these comments that he believes could 290 00:17:25,040 --> 00:17:27,600 Speaker 1: be a security. And again, I think if you were 291 00:17:27,960 --> 00:17:30,520 Speaker 1: if you were a, you know, a large institution or 292 00:17:30,680 --> 00:17:33,159 Speaker 1: or any kind of investor, you would want to have 293 00:17:33,200 --> 00:17:37,119 Speaker 1: a better idea of what the regulatory landscape is going 294 00:17:37,160 --> 00:17:39,280 Speaker 1: to look like, because you don't want to buy, you know, 295 00:17:39,520 --> 00:17:42,199 Speaker 1: buy up an asset and then find that you've unwittingly 296 00:17:42,240 --> 00:17:45,440 Speaker 1: bought an unregistered security or something like that. That would 297 00:17:45,680 --> 00:17:50,160 Speaker 1: that would not be good. So yeah, those, uh, those 298 00:17:50,160 --> 00:17:53,199 Speaker 1: are those are some of the reasons why why, you know, 299 00:17:53,280 --> 00:17:56,639 Speaker 1: ethereum hasn't done so well post merge and again, the 300 00:17:56,720 --> 00:18:00,399 Speaker 1: kind of wider crypto market as well. And Yeah, the 301 00:18:00,400 --> 00:18:03,040 Speaker 1: the the SEC thing is quite worrying and in fact 302 00:18:03,080 --> 00:18:05,320 Speaker 1: we've had a bit of a we've had another development 303 00:18:05,320 --> 00:18:07,520 Speaker 1: on that front just in the past twenty four hours 304 00:18:07,560 --> 00:18:10,760 Speaker 1: or so. News just breaking. Yeah, this is very much 305 00:18:10,840 --> 00:18:14,080 Speaker 1: the news coming in over the wires. So yeah, so 306 00:18:14,119 --> 00:18:17,240 Speaker 1: first of all, obviously, yeah, Gary Ginster, the SEC chairman, 307 00:18:17,480 --> 00:18:20,880 Speaker 1: he views as a security because he argues that there 308 00:18:20,960 --> 00:18:24,560 Speaker 1: is an identifiable person or entity behind it driving the 309 00:18:24,560 --> 00:18:27,320 Speaker 1: expectation of profit, and this is this is key to 310 00:18:27,440 --> 00:18:31,840 Speaker 1: how the SEC evaluates whether an asset is a security 311 00:18:31,960 --> 00:18:34,359 Speaker 1: or not, and it's it's this thing, the how we test, 312 00:18:34,400 --> 00:18:36,320 Speaker 1: which I think I might have talked about before. But 313 00:18:36,880 --> 00:18:39,320 Speaker 1: there's a fourth criterion on it which says that an 314 00:18:39,320 --> 00:18:42,840 Speaker 1: asset is a security if there is an identifiable third 315 00:18:42,920 --> 00:18:47,160 Speaker 1: party driving the expectation of profit. So if you were, 316 00:18:47,280 --> 00:18:48,960 Speaker 1: you know, if you were buying a stock, if you're 317 00:18:49,000 --> 00:18:52,879 Speaker 1: buying a stock in Tesla, say, then that third party is, 318 00:18:53,040 --> 00:18:55,800 Speaker 1: you know, Tesla the company, or you know, Elon Musk 319 00:18:56,000 --> 00:18:58,160 Speaker 1: or you know anything like that. It's pretty easy to identify. 320 00:18:58,240 --> 00:19:03,240 Speaker 1: Now the argument with ethereum has been that it's, quote unquote, 321 00:19:03,280 --> 00:19:06,800 Speaker 1: sufficiently decentralized. This is what a former SEC officials said 322 00:19:06,800 --> 00:19:11,520 Speaker 1: about ethereum a few years ago and we've kind of 323 00:19:11,560 --> 00:19:16,080 Speaker 1: assumed since then that would be safe from a security 324 00:19:16,600 --> 00:19:19,280 Speaker 1: securities classification. But that doesn't seem to be the case 325 00:19:19,320 --> 00:19:22,640 Speaker 1: and I think Um Gary Ginsler's argument is that. Well, 326 00:19:23,080 --> 00:19:26,639 Speaker 1: someone like fatal, I say, or the ethereum foundation or 327 00:19:26,840 --> 00:19:30,320 Speaker 1: the ETHEREUM DEV team, you know, these are these, to him, 328 00:19:30,480 --> 00:19:34,919 Speaker 1: are identifiable third parties driving the expectation of profit. And also, 329 00:19:35,200 --> 00:19:38,080 Speaker 1: surely if they if they hold a lot of e, 330 00:19:39,760 --> 00:19:42,280 Speaker 1: then it's not decentralized. Do you know what I mean? 331 00:19:42,320 --> 00:19:44,440 Speaker 1: Like that's the whole the whole proof of steak thing 332 00:19:44,520 --> 00:19:47,879 Speaker 1: is it's kind of okay, cool, those who've got the 333 00:19:47,920 --> 00:19:50,359 Speaker 1: cash have got the power and can be leaned on 334 00:19:50,400 --> 00:19:55,760 Speaker 1: and can be influential. Yeah, yeah, there are certainly a 335 00:19:55,760 --> 00:20:00,359 Speaker 1: lot of a lot of centralization concerns around around ethereum is. Actually, 336 00:20:00,359 --> 00:20:02,600 Speaker 1: now that it's that it's moved to proof of stake, 337 00:20:02,920 --> 00:20:05,800 Speaker 1: what's for Tarlic and crude? I thought they were kind 338 00:20:05,800 --> 00:20:11,240 Speaker 1: of pushing to be less less of a focal point around. How? How? 339 00:20:11,359 --> 00:20:14,520 Speaker 1: How is that happening? Well, this is I mean this 340 00:20:14,560 --> 00:20:17,800 Speaker 1: is something that's common with a lot of crypto projects 341 00:20:17,800 --> 00:20:20,320 Speaker 1: now and you know, some, some have woken up to 342 00:20:20,359 --> 00:20:23,960 Speaker 1: it pretty pretty Um, you know, in a big way, 343 00:20:24,000 --> 00:20:27,480 Speaker 1: like Polka dot's a good example. So the guy who 344 00:20:27,560 --> 00:20:30,080 Speaker 1: the guy who founded polka dot, Gavin Wood, who was 345 00:20:30,080 --> 00:20:32,400 Speaker 1: one of the founders of ethereum as well. He has 346 00:20:32,440 --> 00:20:35,920 Speaker 1: basically spent most of his time over the past year 347 00:20:36,000 --> 00:20:40,040 Speaker 1: or so trying to decentralize Polka dot more because he has, 348 00:20:40,240 --> 00:20:42,199 Speaker 1: you know, he has very much read the way the 349 00:20:42,200 --> 00:20:45,520 Speaker 1: wind is blowing. Um. So yeah, I mean it's it's 350 00:20:45,520 --> 00:20:48,560 Speaker 1: a difficult thing because how do you disassociate yourself? How 351 00:20:48,600 --> 00:20:52,040 Speaker 1: do you as as say that the potemic figure of 352 00:20:52,040 --> 00:20:55,240 Speaker 1: the project, like well, Gavin Wood is still polka dot really, 353 00:20:55,520 --> 00:20:58,320 Speaker 1: and vitarlk certainly is for ethereum. How do you kind 354 00:20:58,320 --> 00:21:00,919 Speaker 1: of distance yourself from it and and how do you 355 00:21:01,200 --> 00:21:05,880 Speaker 1: argue that you don't have any kind of influence on 356 00:21:05,880 --> 00:21:08,160 Speaker 1: on the price of ether or the price of DART 357 00:21:08,240 --> 00:21:11,680 Speaker 1: or whatever it might be? Um. And it's I think 358 00:21:11,720 --> 00:21:14,080 Speaker 1: it's a difficult thing to do. You know, vital it 359 00:21:14,160 --> 00:21:16,800 Speaker 1: can argue. He's like, well, you know, I can't. I 360 00:21:16,840 --> 00:21:19,280 Speaker 1: can't push code on my own, I can't decide on 361 00:21:19,680 --> 00:21:22,320 Speaker 1: particular updates or anything like that. You know, it has 362 00:21:22,359 --> 00:21:24,879 Speaker 1: to be it has to be a decision taken among 363 00:21:24,920 --> 00:21:28,480 Speaker 1: the entire team. Um. But I mean you could still 364 00:21:28,560 --> 00:21:31,400 Speaker 1: argue that Vitali could just, you know, he could take 365 00:21:31,480 --> 00:21:34,480 Speaker 1: to twitter and and and move the markets because that, 366 00:21:34,560 --> 00:21:36,160 Speaker 1: you know, people listen to him like that. So it's 367 00:21:36,400 --> 00:21:38,320 Speaker 1: it's a difficult thing and there's lots of stuff going 368 00:21:38,320 --> 00:21:42,360 Speaker 1: on behind the scenes. You know, if Um, ethereum. Sort 369 00:21:42,400 --> 00:21:45,639 Speaker 1: of most crypto projects, I sort of you know, have 370 00:21:45,680 --> 00:21:50,800 Speaker 1: a nonprofit, usually based in Switzerland, that sort of coordinates 371 00:21:50,800 --> 00:21:55,119 Speaker 1: their development, quote unquote. So's it's just a testament to 372 00:21:55,119 --> 00:22:02,159 Speaker 1: to the for D chess of yeah, like like, unless 373 00:22:02,200 --> 00:22:05,520 Speaker 1: that was just a coincidence, but he kind of knew right, 374 00:22:05,760 --> 00:22:10,159 Speaker 1: I can't be the figurehead for this and just vanished 375 00:22:10,720 --> 00:22:15,240 Speaker 1: well before, like decade before any of this was really 376 00:22:15,640 --> 00:22:22,200 Speaker 1: coming to come into a head. Yeah, it's very true. 377 00:22:22,200 --> 00:22:25,160 Speaker 1: I think that is you know that. That's my personal 378 00:22:25,200 --> 00:22:29,080 Speaker 1: theory on it, that whoever Satoshi is or was, took 379 00:22:29,119 --> 00:22:32,840 Speaker 1: themselves yeah, realized that that you know, this, this this thing, 380 00:22:32,960 --> 00:22:37,600 Speaker 1: can't work if there is an identifiable person, you know, 381 00:22:37,840 --> 00:22:39,760 Speaker 1: at the heart of it, if you like, which is 382 00:22:39,760 --> 00:22:42,600 Speaker 1: why they you know, they've they've disappeared. I mean you 383 00:22:42,640 --> 00:22:45,520 Speaker 1: could argue that perhaps they're they're dead, but I for 384 00:22:45,600 --> 00:22:47,679 Speaker 1: one thing that, yeah, that that is that is probably 385 00:22:47,680 --> 00:22:50,760 Speaker 1: the most likely explanation. They've kind of removed themselves from 386 00:22:50,760 --> 00:22:53,960 Speaker 1: the stage for this very reason, you know, in order 387 00:22:54,000 --> 00:22:57,120 Speaker 1: that the project, you know, in this case Bitcoin, has 388 00:22:57,160 --> 00:22:59,040 Speaker 1: a life of its own. Can't be can you know, 389 00:22:59,600 --> 00:23:04,480 Speaker 1: decent realizes itself. And Yeah, that the difficulty is, how 390 00:23:04,520 --> 00:23:07,800 Speaker 1: does something like ethereum and all these other crypto projects, 391 00:23:07,800 --> 00:23:10,960 Speaker 1: particularly ones that are proof of steak, how do they 392 00:23:10,960 --> 00:23:13,960 Speaker 1: move towards decentralization? It's a it's a very good question. 393 00:23:14,000 --> 00:23:16,440 Speaker 1: There are and you know, we don't have, we don't 394 00:23:16,480 --> 00:23:18,520 Speaker 1: have all the answers to that yet, which and I 395 00:23:18,520 --> 00:23:20,480 Speaker 1: think that's going to be a big theme of the 396 00:23:20,560 --> 00:23:23,080 Speaker 1: coming I say year, I mean I think a big 397 00:23:23,119 --> 00:23:25,080 Speaker 1: theme of the coming few years really is how do 398 00:23:25,160 --> 00:23:27,959 Speaker 1: these how do these crypto projects, decentralize? How do you 399 00:23:27,960 --> 00:23:32,760 Speaker 1: put decentralization into action, because I think that's one of 400 00:23:32,800 --> 00:23:34,800 Speaker 1: the you know, that's one of the only ways that 401 00:23:34,840 --> 00:23:42,160 Speaker 1: these that these projects, can keep themselves safe from from regulations. Yeah, Um, 402 00:23:42,200 --> 00:23:45,440 Speaker 1: so it's it's it's an exciting but kind of scary 403 00:23:45,480 --> 00:23:49,239 Speaker 1: time for Ethereum, especially from the point of view of 404 00:23:49,280 --> 00:23:51,959 Speaker 1: what regulators make of it as well. And then, Um, 405 00:23:52,119 --> 00:23:54,520 Speaker 1: I so I alluded earlier to this news that are 406 00:23:54,560 --> 00:23:56,600 Speaker 1: kind of just come through. So this is pretty crazy. 407 00:23:56,720 --> 00:23:58,560 Speaker 1: I'm gonna I'm going to give you a little bit 408 00:23:58,560 --> 00:24:01,040 Speaker 1: of background and then the quote here. So the SEC 409 00:24:01,840 --> 00:24:06,399 Speaker 1: um sort of yesterday, yesterday evening in the US, I 410 00:24:06,440 --> 00:24:11,439 Speaker 1: think yesterday afternoon. Um, they have charged a kind of 411 00:24:11,440 --> 00:24:16,720 Speaker 1: Crypto influencer called Ian Bellina. They've charged him with promoting 412 00:24:16,880 --> 00:24:19,679 Speaker 1: unregistered I C O S. now, this goes back. I 413 00:24:19,720 --> 00:24:23,760 Speaker 1: think this is from about five years ago or something. Um, 414 00:24:23,920 --> 00:24:28,239 Speaker 1: and there's this crazy line in in the filing. I'm 415 00:24:28,240 --> 00:24:30,040 Speaker 1: going to quote it here. So this is what the 416 00:24:30,160 --> 00:24:32,160 Speaker 1: SEC said and just kind of just kind of bear 417 00:24:32,200 --> 00:24:35,000 Speaker 1: this in mind. So this is referring to. Sorry, this 418 00:24:35,080 --> 00:24:38,600 Speaker 1: is referring to an investment pool that Ian Berllina started 419 00:24:38,680 --> 00:24:42,800 Speaker 1: for for a particular I C O quote. The US 420 00:24:42,880 --> 00:24:48,000 Speaker 1: based investors in Bellina's pool irrevocably committed to the transaction when, 421 00:24:48,440 --> 00:24:53,080 Speaker 1: from within the United States, they sent their contributions to 422 00:24:53,440 --> 00:24:59,400 Speaker 1: Berlina's pool. At that point, their contributions were validated by 423 00:24:59,400 --> 00:25:03,080 Speaker 1: a network work of nodes on the ethereum blockchain which 424 00:25:03,119 --> 00:25:06,960 Speaker 1: are clustered more densely in the United States than in 425 00:25:07,080 --> 00:25:12,919 Speaker 1: any other country. As a result, those transactions took place 426 00:25:13,320 --> 00:25:20,040 Speaker 1: in the United States. Okay, that's a that's an interesting 427 00:25:20,160 --> 00:25:23,359 Speaker 1: take on it. If they're, you know, how do they 428 00:25:23,400 --> 00:25:27,920 Speaker 1: how can they prove where those nodes were Um based? 429 00:25:29,000 --> 00:25:32,960 Speaker 1: You can look online. There are various resources online where 430 00:25:33,040 --> 00:25:36,960 Speaker 1: you can where, you can see where where nodes are clustered. 431 00:25:37,040 --> 00:25:41,240 Speaker 1: So it's it's fairly you know, it's it's fairly easily 432 00:25:41,280 --> 00:25:46,280 Speaker 1: obtainable information. Um, but I mean this, this is, you know, 433 00:25:46,480 --> 00:25:50,719 Speaker 1: enormous kind of overreach, I think, by the SEC. It's like, well, most, 434 00:25:51,200 --> 00:25:53,440 Speaker 1: you know, the majority of ethereum nodes are in the 435 00:25:53,520 --> 00:25:59,919 Speaker 1: United States. Therefore ethereum is American. That is that is 436 00:26:00,160 --> 00:26:03,639 Speaker 1: pretty that is a pretty large imaginative leap. And is 437 00:26:03,640 --> 00:26:09,480 Speaker 1: that something that's going to be the contested in court? Oh, yeah, yeah, 438 00:26:09,520 --> 00:26:12,280 Speaker 1: I think Ian Bellina has already as already sort of, 439 00:26:12,359 --> 00:26:16,400 Speaker 1: you know, hit back and, you know, denied the claims. 440 00:26:16,400 --> 00:26:18,560 Speaker 1: Obviously it's a bit crazy. It's a crazy thing to 441 00:26:18,560 --> 00:26:23,240 Speaker 1: see really because, yeah, it's, as I say, it does 442 00:26:23,320 --> 00:26:25,600 Speaker 1: kind of smack of overreach. This is something that, you know, 443 00:26:25,640 --> 00:26:28,400 Speaker 1: Ian Bellina's lawyers, I think we'll will kind of hone 444 00:26:28,440 --> 00:26:30,840 Speaker 1: in on when they you know, if if the case, 445 00:26:31,000 --> 00:26:33,239 Speaker 1: if the case comes to court, that that's something that 446 00:26:33,280 --> 00:26:35,840 Speaker 1: they'll that they will push back against. But I mean, yeah, 447 00:26:35,880 --> 00:26:39,520 Speaker 1: the the implications that are crazy. So I mean let's say, 448 00:26:39,680 --> 00:26:42,280 Speaker 1: you know, according to the SEC, then let's say you 449 00:26:42,359 --> 00:26:46,880 Speaker 1: and I, let's say I sent you, any transaction from 450 00:26:46,920 --> 00:26:49,520 Speaker 1: here in Dubai over there to where you are in London. 451 00:26:50,440 --> 00:26:54,119 Speaker 1: You know, because not involving, you know, any U S 452 00:26:54,240 --> 00:26:57,920 Speaker 1: entities at all, but in the secs terms, oh well, 453 00:26:57,960 --> 00:27:00,639 Speaker 1: because you know most of the validator on the network 454 00:27:00,680 --> 00:27:05,280 Speaker 1: or American, you know that transaction falls within our jurisdiction 455 00:27:05,600 --> 00:27:08,360 Speaker 1: and because Mad Mike Mooch is on the U S 456 00:27:08,359 --> 00:27:12,119 Speaker 1: sanctions list, I have, I have potentially committed a crime 457 00:27:12,160 --> 00:27:17,520 Speaker 1: by by interacting with you. You know, I'm I'm violating sanctions. Um, yeah, 458 00:27:17,560 --> 00:27:19,240 Speaker 1: I mean that's a you know, it's a bit of 459 00:27:19,280 --> 00:27:22,359 Speaker 1: a bit of a far fetched example. Or no, but 460 00:27:22,400 --> 00:27:24,359 Speaker 1: it's kind of I kind of get it. It's kind 461 00:27:24,400 --> 00:27:28,480 Speaker 1: of I don't get it, but I understand the point 462 00:27:28,560 --> 00:27:31,120 Speaker 1: you're making. It's kind of like, okay, cool. Well, if, if, 463 00:27:31,200 --> 00:27:35,960 Speaker 1: if you're gambling, if if you are, if you're playing 464 00:27:36,000 --> 00:27:44,040 Speaker 1: online poker and the servers that the poker game is 465 00:27:44,080 --> 00:27:47,560 Speaker 1: going through are based in America, does that mean you're 466 00:27:47,560 --> 00:27:54,119 Speaker 1: gambling in America? No, surely not? Yeah, no, it's very true. 467 00:27:54,200 --> 00:27:57,320 Speaker 1: It's very true. It's Um, it's it's a pretty as 468 00:27:57,359 --> 00:28:00,280 Speaker 1: you say, it's a pretty bold claim for the SEC 469 00:28:00,480 --> 00:28:03,280 Speaker 1: to make and I personally I don't think it will 470 00:28:03,280 --> 00:28:06,720 Speaker 1: stand up, personally, but I mean don't show the extent 471 00:28:06,800 --> 00:28:09,679 Speaker 1: towards to which the SEC seems to be, you know, 472 00:28:09,720 --> 00:28:13,600 Speaker 1: going for Crypto. And one of the reasons I think 473 00:28:13,600 --> 00:28:16,359 Speaker 1: it's doing this is because this is something I've kind 474 00:28:16,359 --> 00:28:19,520 Speaker 1: of speculated about a few times. But we're coming towards 475 00:28:19,600 --> 00:28:21,879 Speaker 1: the end of September and this is also going to 476 00:28:21,920 --> 00:28:26,240 Speaker 1: be the end of the SEC's fiscal year and me 477 00:28:26,400 --> 00:28:29,119 Speaker 1: and a few few colleagues here at Coinbureau we've kind 478 00:28:29,119 --> 00:28:32,439 Speaker 1: of been speculating now that that we can expect to 479 00:28:32,520 --> 00:28:36,840 Speaker 1: see a lot of a lot of action taken by 480 00:28:36,840 --> 00:28:39,400 Speaker 1: the SEC. Yeah, to try and to try and justify 481 00:28:39,480 --> 00:28:42,800 Speaker 1: a bigger budget, in the same way that, you know, 482 00:28:42,840 --> 00:28:44,960 Speaker 1: councils always dig up the road towards the end of 483 00:28:44,960 --> 00:28:47,320 Speaker 1: the taxia so they spend their entire budget and then 484 00:28:47,360 --> 00:28:50,680 Speaker 1: they can argue that they need a bigger one for, 485 00:28:51,480 --> 00:28:53,960 Speaker 1: you know, for the next fiscal year. This is this 486 00:28:54,080 --> 00:28:56,520 Speaker 1: is something I think the sec is kind of doing 487 00:28:56,560 --> 00:28:58,760 Speaker 1: something similar. It's saying, look, you know, we've got all 488 00:28:58,840 --> 00:29:02,920 Speaker 1: these actions out against various entities in the crypto space, 489 00:29:03,600 --> 00:29:07,040 Speaker 1: but we're going to need more money to fight them all, etcetera, etcetera, etcetera. 490 00:29:07,240 --> 00:29:13,000 Speaker 1: So yeah, so that's that's a concern certainly. Another thing 491 00:29:13,040 --> 00:29:14,920 Speaker 1: that I think, you know, it's going to a kind 492 00:29:14,920 --> 00:29:18,080 Speaker 1: of way on on the crypto market in general over 493 00:29:18,080 --> 00:29:22,520 Speaker 1: thecoming you know, over thecoming weeks and months, Um, and 494 00:29:22,800 --> 00:29:25,040 Speaker 1: just too quickly before we before we take a quick 495 00:29:25,080 --> 00:29:27,360 Speaker 1: break and move on to some good news, because I 496 00:29:27,360 --> 00:29:29,160 Speaker 1: think it's I think we probably need to get in 497 00:29:29,240 --> 00:29:33,400 Speaker 1: that sepreaction. Um, there are yeah, going back to these 498 00:29:33,640 --> 00:29:37,000 Speaker 1: concerns around centralization, you know, they haven't gone away. So 499 00:29:37,560 --> 00:29:41,200 Speaker 1: a good example is the of the first one thousand 500 00:29:41,280 --> 00:29:45,800 Speaker 1: blocks validated after the merge, four and twenty of those, 501 00:29:46,840 --> 00:29:51,920 Speaker 1: in other words, were validated by, we're validated by coin 502 00:29:52,000 --> 00:29:58,160 Speaker 1: base and Lido Finance, so just two large validator entities. Obviously, 503 00:29:58,320 --> 00:30:02,920 Speaker 1: coin base is bay in the United States. Lido finance 504 00:30:03,160 --> 00:30:06,840 Speaker 1: is a Dow, a decentralized autonomous organization. It's not based 505 00:30:06,840 --> 00:30:09,640 Speaker 1: in the United States, but a lot of the vcs 506 00:30:10,000 --> 00:30:13,480 Speaker 1: who hold the LD O token, you know, who hold 507 00:30:13,640 --> 00:30:16,520 Speaker 1: voting power within the Dow, they are based in the 508 00:30:16,600 --> 00:30:21,320 Speaker 1: United States. So you could argue that, you know, of 509 00:30:21,360 --> 00:30:26,200 Speaker 1: those first thousand blocks were validated by entities answerable to 510 00:30:26,800 --> 00:30:32,680 Speaker 1: US authorities, you know, subject to your US jurisdiction, which 511 00:30:32,680 --> 00:30:37,360 Speaker 1: again is pretty worrying and especially worrying when you factor 512 00:30:37,400 --> 00:30:41,400 Speaker 1: in these kind of continued concerns around protocol level censorship. 513 00:30:41,440 --> 00:30:44,240 Speaker 1: You know that we saw when we when we talked 514 00:30:44,240 --> 00:30:49,200 Speaker 1: about the tornado cash sanctions and things like that. Yeah, Hmmm, 515 00:30:49,760 --> 00:30:52,200 Speaker 1: how do they do this? Can they just can they 516 00:30:52,240 --> 00:30:57,360 Speaker 1: move to Mexico? That could be an option. That could 517 00:30:57,360 --> 00:30:59,480 Speaker 1: be an option. Coin Base has actually said that it's 518 00:30:59,480 --> 00:31:02,280 Speaker 1: going to, you know, it's going to fight this in court, 519 00:31:02,400 --> 00:31:04,880 Speaker 1: which is, you know, which is pretty pretty good going 520 00:31:04,920 --> 00:31:08,400 Speaker 1: by coin base. Um. And actually, Brian Armstrong, the coin 521 00:31:08,440 --> 00:31:11,560 Speaker 1: based CEO, said, you know, around the time the tornado 522 00:31:11,560 --> 00:31:14,840 Speaker 1: cash sanctions were kind of kicking off, he said that, 523 00:31:14,880 --> 00:31:17,440 Speaker 1: you know, he would prefer coin base sort of not to, 524 00:31:17,680 --> 00:31:20,040 Speaker 1: you know, not to to validate on the network if 525 00:31:20,040 --> 00:31:23,280 Speaker 1: it meant if doing so meant that they had to know, 526 00:31:23,360 --> 00:31:28,080 Speaker 1: censor transactions. Um. But I mean remember, you know, validating 527 00:31:28,160 --> 00:31:30,480 Speaker 1: on ethereum. If you're if you're a big validator, that's 528 00:31:30,480 --> 00:31:33,360 Speaker 1: that that's a lucrative business that, you know, you can earn. 529 00:31:33,440 --> 00:31:36,200 Speaker 1: You can earn good rewards for that, so we don't 530 00:31:36,240 --> 00:31:38,800 Speaker 1: have to see. Because they're public, they're probably gonna need 531 00:31:38,880 --> 00:31:45,440 Speaker 1: to to to, you know, be mindful of their shareholders, exactly. Yeah, 532 00:31:45,480 --> 00:31:49,520 Speaker 1: they they really have to step into line because, you know, okay, 533 00:31:49,600 --> 00:31:54,040 Speaker 1: however much you believe in decentralization, however much you want to, 534 00:31:54,400 --> 00:31:57,040 Speaker 1: you know, you don't want to enact protocol level censorship 535 00:31:57,920 --> 00:32:00,239 Speaker 1: if you you know, if if you're based in the 536 00:32:00,320 --> 00:32:04,000 Speaker 1: US and doing so means you're violating sanctions. As I 537 00:32:04,040 --> 00:32:07,120 Speaker 1: said in a previous episode, that's thirty years in jail 538 00:32:07,360 --> 00:32:10,560 Speaker 1: or a ten million dollar fine, or possibly both, and 539 00:32:10,720 --> 00:32:13,800 Speaker 1: no one is going to risk that. You know, however 540 00:32:14,160 --> 00:32:17,360 Speaker 1: however much they they may, you know, they may believe 541 00:32:17,400 --> 00:32:20,760 Speaker 1: in decentralization or what have you, no one is going 542 00:32:20,800 --> 00:32:23,720 Speaker 1: to is going to willingly violate sanctions unless they're crazy. 543 00:32:24,480 --> 00:32:28,440 Speaker 1: So yeah, it's it's it's there's a lot of there's 544 00:32:28,440 --> 00:32:31,760 Speaker 1: a lot of headwinds facing ethereum at the moment. There 545 00:32:31,800 --> 00:32:34,680 Speaker 1: are a lot of challenges to overcome in the coming 546 00:32:34,720 --> 00:32:37,080 Speaker 1: months and and this is this is the case for 547 00:32:37,120 --> 00:32:40,520 Speaker 1: ethereum and you know, especially with all the kind of 548 00:32:41,040 --> 00:32:43,440 Speaker 1: action that we're seeing from the SEC and others, it's 549 00:32:43,480 --> 00:32:47,040 Speaker 1: a case for the whole crypto market as well. So really, 550 00:32:47,120 --> 00:32:49,080 Speaker 1: I think, going back to that what I was saying 551 00:32:49,120 --> 00:32:53,840 Speaker 1: about an upcoming crash, I think we can definitely expect 552 00:32:54,160 --> 00:32:59,560 Speaker 1: lower lows from here. Okay, so just just be aware 553 00:32:59,560 --> 00:33:02,640 Speaker 1: of that, my you. On that positive note, shall we 554 00:33:02,640 --> 00:33:20,120 Speaker 1: take a quick break? Welcome back everyone, to part two 555 00:33:20,280 --> 00:33:24,240 Speaker 1: and the good news. Finally, some good news. Mikey, I 556 00:33:24,240 --> 00:33:25,920 Speaker 1: know you were, I know you were sort of you 557 00:33:25,960 --> 00:33:28,000 Speaker 1: were worrying whether there was going to be any good news, 558 00:33:28,040 --> 00:33:30,560 Speaker 1: whether I just dangled good news in front of you 559 00:33:30,600 --> 00:33:32,920 Speaker 1: to try and keep you interested, whilst I just hit 560 00:33:33,000 --> 00:33:36,320 Speaker 1: you repeatedly over the head with bad news. I've got 561 00:33:36,320 --> 00:33:42,840 Speaker 1: the Good News Air Horn. There we go, good news coming. 562 00:33:43,560 --> 00:33:45,760 Speaker 1: It's been too long. It's been too long. Yeah, there 563 00:33:45,800 --> 00:33:47,400 Speaker 1: is good news. There's lots of there's lots of good 564 00:33:47,400 --> 00:33:52,480 Speaker 1: news around the merge, for instance. Let's start well, first 565 00:33:52,520 --> 00:33:56,920 Speaker 1: of all, is going to become a more attractive investment 566 00:33:57,200 --> 00:34:02,080 Speaker 1: in the long term. Keywords long and term, because well, 567 00:34:02,160 --> 00:34:04,240 Speaker 1: let's let's look at the headline thing, if you like. 568 00:34:04,560 --> 00:34:09,920 Speaker 1: Ethereums electricity use is now absolutely minimal. Um Not, and 569 00:34:09,960 --> 00:34:12,800 Speaker 1: this is a crazy statistic, I think so. Not only 570 00:34:12,840 --> 00:34:19,400 Speaker 1: did ETHEREUM's energy. Energy used declined by Um, but the 571 00:34:19,480 --> 00:34:24,879 Speaker 1: merge apparently reduced global electricity consumption by zero point two, 572 00:34:26,400 --> 00:34:31,000 Speaker 1: which is yeah, I think that's nuts. Really, that is crazy. 573 00:34:31,280 --> 00:34:33,799 Speaker 1: It did make me think as well. Are there many 574 00:34:33,840 --> 00:34:37,880 Speaker 1: other industries out there that have addressed their carbon footprint 575 00:34:38,120 --> 00:34:43,240 Speaker 1: to the same extent that Crypto has? I mean, you know, people, people, 576 00:34:43,840 --> 00:34:45,640 Speaker 1: you know. It's a it's a stick that people use 577 00:34:45,719 --> 00:34:48,080 Speaker 1: to beat crypto. We're saying, oh well, it uses all 578 00:34:48,120 --> 00:34:51,399 Speaker 1: this energy and stuff like that. The cryptosector can now 579 00:34:51,480 --> 00:34:55,040 Speaker 1: turn around and say, well, we've just we've just reduced 580 00:34:55,040 --> 00:34:58,719 Speaker 1: our energy used by this much. What's your industry done? 581 00:34:58,920 --> 00:35:03,160 Speaker 1: I mean, it made in that we're all violating security sanctions, 582 00:35:03,200 --> 00:35:11,960 Speaker 1: but we have reduced energy by we're all going to prison, 583 00:35:12,080 --> 00:35:17,480 Speaker 1: but at least the air in the exercise yard will 584 00:35:17,480 --> 00:35:24,960 Speaker 1: be nice. No, no, it's, it is, it's, it's it's 585 00:35:25,040 --> 00:35:27,279 Speaker 1: very good, it's very noble and it's kind of and 586 00:35:27,320 --> 00:35:31,840 Speaker 1: it's it's the way we should be going if possible, while, 587 00:35:32,320 --> 00:35:36,880 Speaker 1: you know, keeping the integrity of of the project. So 588 00:35:37,960 --> 00:35:40,879 Speaker 1: it is great. It will. It is a long term view. 589 00:35:40,920 --> 00:35:45,239 Speaker 1: I think you know, the nerds over ethereum have been 590 00:35:45,239 --> 00:35:48,239 Speaker 1: thinking about this, have been concerned about this, have got 591 00:35:48,239 --> 00:35:51,759 Speaker 1: a plan where only fifty of the way there now. 592 00:35:51,840 --> 00:35:56,080 Speaker 1: Is that right? Yeah, yeah, that was that was metallic statistic. 593 00:35:56,120 --> 00:36:02,399 Speaker 1: Ethereum is now apparently complete. Okay. So, and I think 594 00:36:02,400 --> 00:36:04,280 Speaker 1: that's kind of good news in a way as well, 595 00:36:04,320 --> 00:36:07,160 Speaker 1: because I think a lot of people may have been 596 00:36:07,239 --> 00:36:09,239 Speaker 1: sort of looking at the merge and going, well, this 597 00:36:09,320 --> 00:36:12,640 Speaker 1: will be, you know, the final transition and it will use, 598 00:36:12,960 --> 00:36:17,640 Speaker 1: you know, a negligible amount of electricity and everything we 599 00:36:17,680 --> 00:36:21,480 Speaker 1: find and no, we're we've still got a long way 600 00:36:21,480 --> 00:36:23,160 Speaker 1: to go and in a way I think that is 601 00:36:23,320 --> 00:36:25,839 Speaker 1: that is a good thing, because there's still a lot 602 00:36:25,840 --> 00:36:28,359 Speaker 1: of work to be done on ethereum. It looks like 603 00:36:28,400 --> 00:36:31,320 Speaker 1: the team are, you know, now very much focused on 604 00:36:31,320 --> 00:36:34,279 Speaker 1: on those upcoming stages, which obviously we we talked a 605 00:36:34,280 --> 00:36:37,000 Speaker 1: bit about last week. You know that the verge, surge, 606 00:36:37,360 --> 00:36:40,560 Speaker 1: your favorite, the purge, and then the SPLURG as well, 607 00:36:41,320 --> 00:36:44,719 Speaker 1: which we'll talk about a little later on. But yeah, 608 00:36:44,719 --> 00:36:48,239 Speaker 1: I mean this, this energy reduction of Ethereum, I think 609 00:36:48,320 --> 00:36:50,880 Speaker 1: is is a wonderful thing and for, you know, a 610 00:36:50,960 --> 00:36:52,520 Speaker 1: number of reasons. I think one of the one of 611 00:36:52,560 --> 00:36:55,000 Speaker 1: the things that occurred to me was that the argument 612 00:36:55,080 --> 00:36:57,760 Speaker 1: that N F T S are bad for the planet 613 00:36:58,080 --> 00:37:03,480 Speaker 1: has kind of evaporated like that, which I think that 614 00:37:03,520 --> 00:37:05,840 Speaker 1: could open up a lot of a lot of adoption. 615 00:37:05,920 --> 00:37:08,880 Speaker 1: I think a lot of artists, musicians, you know, are 616 00:37:08,920 --> 00:37:11,640 Speaker 1: the others who are likely, you know, who have a 617 00:37:11,800 --> 00:37:13,919 Speaker 1: have a use for N F T s. They are 618 00:37:13,960 --> 00:37:16,239 Speaker 1: going to be able to do that in good conscience now. 619 00:37:16,320 --> 00:37:18,000 Speaker 1: So that could be. That could but I think the 620 00:37:18,120 --> 00:37:22,319 Speaker 1: long term good for the for the network. Yeah, no, 621 00:37:22,560 --> 00:37:28,160 Speaker 1: for sure. Yeah, and obviously the the the energy used reduction. 622 00:37:28,239 --> 00:37:32,040 Speaker 1: That means that E S G focused firms, they each 623 00:37:32,160 --> 00:37:35,600 Speaker 1: is a much, much more attractive proposition for them now 624 00:37:35,960 --> 00:37:38,760 Speaker 1: because you know, they're very much they're very much bound 625 00:37:38,840 --> 00:37:42,399 Speaker 1: by these E S G concerns. So that gives them, 626 00:37:42,600 --> 00:37:45,320 Speaker 1: you know, that gives them an excuse, or or perhaps 627 00:37:45,400 --> 00:37:48,120 Speaker 1: you could say one less excuse. Not It removes a 628 00:37:48,239 --> 00:37:51,920 Speaker 1: barrier to investment from from them. So you know, it's 629 00:37:51,920 --> 00:37:56,479 Speaker 1: it's Um it's attractive, more attractive proposition, which is which 630 00:37:56,520 --> 00:37:58,640 Speaker 1: is good, because you want more money in it, you 631 00:37:58,719 --> 00:38:04,440 Speaker 1: want more more people adopting it and more technology to 632 00:38:04,520 --> 00:38:08,840 Speaker 1: be driven by it. Damn Straight, damn straight, and I 633 00:38:08,880 --> 00:38:12,719 Speaker 1: think you know again from an institutional perspective, I think 634 00:38:13,200 --> 00:38:17,160 Speaker 1: obviously these these guys do lots of due diligence, you know, 635 00:38:17,200 --> 00:38:19,160 Speaker 1: they look into the project, they look at the people 636 00:38:19,200 --> 00:38:21,480 Speaker 1: behind the project and stuff, and I think the fact 637 00:38:21,560 --> 00:38:24,680 Speaker 1: that the ethereum team managed to pull off this merge, 638 00:38:24,719 --> 00:38:27,080 Speaker 1: which really was a big, big deal, you know, and 639 00:38:27,120 --> 00:38:29,359 Speaker 1: it was a difficult thing to have done, I think 640 00:38:29,360 --> 00:38:32,319 Speaker 1: that investors doing their their due diligence will be able 641 00:38:32,360 --> 00:38:35,360 Speaker 1: to look at that team and go these guys clearly 642 00:38:35,600 --> 00:38:38,600 Speaker 1: know what they're doing. You know, okay, they look like 643 00:38:38,800 --> 00:38:43,960 Speaker 1: they could use a wash and a new wardrobe. I 644 00:38:43,960 --> 00:38:46,480 Speaker 1: think that's what you want in a nerd. Like if 645 00:38:46,520 --> 00:38:51,320 Speaker 1: a nerd is is too well kept, they're not really 646 00:38:51,320 --> 00:38:54,480 Speaker 1: in nerve. They need to have some sort of hot 647 00:38:54,560 --> 00:39:00,080 Speaker 1: source on their top. Um, flagrant disregard for for the 648 00:39:00,080 --> 00:39:04,200 Speaker 1: their health. B M I. UH, closer to to to 649 00:39:04,200 --> 00:39:09,160 Speaker 1: to their age. Uh. And and you know, a receding hairline. 650 00:39:09,440 --> 00:39:12,839 Speaker 1: That that's does the tell tell signs of someone who 651 00:39:12,880 --> 00:39:15,880 Speaker 1: cares about a project because they have no care about 652 00:39:15,920 --> 00:39:18,359 Speaker 1: anything else in their life. Very true. That is that. 653 00:39:18,360 --> 00:39:22,520 Speaker 1: That is a good investment philosophy. So yeah, I think again, 654 00:39:22,640 --> 00:39:25,440 Speaker 1: long term this is this is going. All these factors 655 00:39:25,440 --> 00:39:28,040 Speaker 1: are going to make a much more, much more attractive 656 00:39:28,120 --> 00:39:32,360 Speaker 1: asset for for when those institutional investors do actually decide 657 00:39:32,640 --> 00:39:35,480 Speaker 1: to ape in, which obviously they didn't in the in 658 00:39:35,520 --> 00:39:39,600 Speaker 1: the immediate aftermath of the merch and yeah, going back 659 00:39:39,600 --> 00:39:43,080 Speaker 1: to what you were saying, as more people join the network, 660 00:39:43,120 --> 00:39:46,360 Speaker 1: as more people invest in ease, as the ethereum network 661 00:39:46,440 --> 00:39:50,439 Speaker 1: gets used more, because hopefully more people are minting and 662 00:39:50,680 --> 00:39:53,200 Speaker 1: transacting n f t s and things like that, that 663 00:39:53,280 --> 00:39:58,360 Speaker 1: means that as the network gets busier, more e is 664 00:39:58,440 --> 00:40:02,719 Speaker 1: burned in transaction ease and that means that itself could 665 00:40:02,880 --> 00:40:08,360 Speaker 1: become deflationary with enough network activity. And this, as you know, 666 00:40:08,480 --> 00:40:11,600 Speaker 1: just as an investment case, that is a is a 667 00:40:11,680 --> 00:40:16,440 Speaker 1: huge deal because if the if the supply is decreasing 668 00:40:16,719 --> 00:40:19,640 Speaker 1: but the demand is increasing, the price goes up. That's 669 00:40:19,800 --> 00:40:22,479 Speaker 1: that's what basically that's what economics one, Oh one, says. 670 00:40:22,560 --> 00:40:27,279 Speaker 1: Now you can actually look at this on ultrasound dot money. Issuance. 671 00:40:27,440 --> 00:40:31,680 Speaker 1: It's it hasn't gone deflationary yet, but it has slowed 672 00:40:31,760 --> 00:40:35,920 Speaker 1: to zero point to one percent since the merge. So 673 00:40:37,080 --> 00:40:41,520 Speaker 1: issuance is is very much on the decline. And Yeah, 674 00:40:41,600 --> 00:40:45,799 Speaker 1: I think with enough, with enough activity will become deflationary 675 00:40:45,880 --> 00:40:49,960 Speaker 1: due to those due to those fee burns. So yeah, 676 00:40:50,040 --> 00:40:52,800 Speaker 1: there's also and then we've got these these other upgrades 677 00:40:53,000 --> 00:40:55,799 Speaker 1: coming up, verge, surge, purge and splurge, that these are 678 00:40:55,800 --> 00:40:58,239 Speaker 1: going to help further decentralize the network. They're going to 679 00:40:58,320 --> 00:41:02,000 Speaker 1: make it faster and cheaper to you is Um. They're 680 00:41:02,000 --> 00:41:04,440 Speaker 1: going to make it easier to become a validator as well, 681 00:41:04,520 --> 00:41:06,160 Speaker 1: and this means that, you know, we could see some 682 00:41:06,239 --> 00:41:09,319 Speaker 1: of these, some more of these investors decided to become validators. 683 00:41:09,320 --> 00:41:13,400 Speaker 1: That would help further decentralize the network. Ideally, will have 684 00:41:14,080 --> 00:41:18,760 Speaker 1: more people joining as validators from outside the United States 685 00:41:18,760 --> 00:41:24,240 Speaker 1: so that becomes less regulatory capture from Yah, regulatory capture 686 00:41:24,239 --> 00:41:28,520 Speaker 1: by the SEC becomes less of an issue. So yeah, 687 00:41:28,560 --> 00:41:31,960 Speaker 1: the next kind of big upgrades is the Shanghai upgrade, 688 00:41:32,000 --> 00:41:36,120 Speaker 1: which is set for some time in early three now. 689 00:41:36,120 --> 00:41:38,160 Speaker 1: There's going to be some quite technical stuff going on 690 00:41:38,200 --> 00:41:43,400 Speaker 1: with that, but it should allow some eth stakers to withdraw, 691 00:41:43,600 --> 00:41:47,480 Speaker 1: so some validators will be able to unstake there if 692 00:41:47,480 --> 00:41:50,360 Speaker 1: they want to. It should also make some improvements to 693 00:41:50,400 --> 00:41:54,239 Speaker 1: gas prices as well. Now this ties into another bit 694 00:41:54,280 --> 00:41:57,600 Speaker 1: of good news around the merge, because there was a 695 00:41:57,640 --> 00:41:59,120 Speaker 1: lot of concern. Now, this was a bit of a 696 00:41:59,160 --> 00:42:02,919 Speaker 1: misconception that suddenly, after the merge, people would be able 697 00:42:02,960 --> 00:42:05,280 Speaker 1: to unstake their eath and there would be a flood 698 00:42:05,320 --> 00:42:09,319 Speaker 1: of hitting the market and that would not only tank 699 00:42:09,360 --> 00:42:12,560 Speaker 1: the price of eight but compromise the security of the network. Now, 700 00:42:13,120 --> 00:42:16,400 Speaker 1: this didn't happen because that's not what the merge was about. 701 00:42:17,440 --> 00:42:22,120 Speaker 1: But after the Shanghai upgrade next year you will be 702 00:42:22,560 --> 00:42:27,040 Speaker 1: some some validators will be able to unstake. But fortunately 703 00:42:27,640 --> 00:42:31,560 Speaker 1: the ethereum depths of have anticipated this. So withdrawals of 704 00:42:31,560 --> 00:42:35,280 Speaker 1: steak teth are going to be staggered. So they can 705 00:42:35,320 --> 00:42:37,600 Speaker 1: you know, they can only be done at a at 706 00:42:37,600 --> 00:42:41,000 Speaker 1: a fairly slow pace. So we're not going to see 707 00:42:41,080 --> 00:42:44,680 Speaker 1: a kind of mass dumping of steak teeth onto the market, 708 00:42:44,760 --> 00:42:48,640 Speaker 1: which would not be not be good for ethereum Um. 709 00:42:48,760 --> 00:42:51,759 Speaker 1: And I also think that you know that there was 710 00:42:51,880 --> 00:42:55,799 Speaker 1: there was some data released recently that showed a lot 711 00:42:55,840 --> 00:43:00,640 Speaker 1: of steak teeth was bought at around the SEV dollar mark. Now, 712 00:43:00,719 --> 00:43:02,960 Speaker 1: if we take a look at those prices again, you 713 00:43:03,000 --> 00:43:07,239 Speaker 1: know currently hovering around marks. So that would mean that 714 00:43:07,320 --> 00:43:10,239 Speaker 1: any validators who did want to to unstake and sell. 715 00:43:10,960 --> 00:43:15,319 Speaker 1: They're currently underwater anyway. So you you'd have to ask 716 00:43:15,400 --> 00:43:17,200 Speaker 1: like why they would do that. And you know, if 717 00:43:17,239 --> 00:43:19,799 Speaker 1: you're a validator, you you know that you're locking up 718 00:43:20,280 --> 00:43:24,319 Speaker 1: your eath for for a long, long time. So I 719 00:43:24,360 --> 00:43:27,720 Speaker 1: think these concerns that some validators might dump their onto 720 00:43:27,719 --> 00:43:29,640 Speaker 1: the market as soon as they can, I think those 721 00:43:29,680 --> 00:43:32,360 Speaker 1: are kind of unfounded. I'm sure we I'm sure we 722 00:43:32,440 --> 00:43:35,279 Speaker 1: will see a bit of selling, but I don't think 723 00:43:35,320 --> 00:43:38,360 Speaker 1: it will be anything, anything near enough to to crash 724 00:43:38,400 --> 00:43:42,360 Speaker 1: the price or or really have any noticeable effect on 725 00:43:42,760 --> 00:43:46,920 Speaker 1: eath security either. Well, that's good. I mean, I I 726 00:43:47,320 --> 00:43:50,200 Speaker 1: it seemed to me as an ignoramers from the outside, 727 00:43:50,239 --> 00:43:53,399 Speaker 1: that being if you've got some eath, unless you're day 728 00:43:53,440 --> 00:43:58,360 Speaker 1: trading with it, Um, you, if you, if you stake it, 729 00:43:58,480 --> 00:44:03,399 Speaker 1: it's just kind of a way of making it make 730 00:44:03,440 --> 00:44:06,520 Speaker 1: money for your own money, for you, yeah, passive income. 731 00:44:07,160 --> 00:44:09,880 Speaker 1: So it's kind of it's for those savers. It's kind 732 00:44:09,920 --> 00:44:12,640 Speaker 1: of stick it there, forget about it. It can. It 733 00:44:12,680 --> 00:44:14,680 Speaker 1: can make you a little bit of money and unless 734 00:44:14,800 --> 00:44:20,319 Speaker 1: you know it crashes, then just yeah, that's what that's 735 00:44:20,360 --> 00:44:23,880 Speaker 1: what it's kind of an investment. Yeah, if you believe 736 00:44:24,080 --> 00:44:26,919 Speaker 1: in if you believe in ethereum in the long term, 737 00:44:27,040 --> 00:44:30,800 Speaker 1: if you believe that it's a is a viable project 738 00:44:30,880 --> 00:44:32,799 Speaker 1: and it's going to it's going to achieve all that 739 00:44:32,880 --> 00:44:36,719 Speaker 1: it can all that it promises to, then staking is 740 00:44:37,120 --> 00:44:39,840 Speaker 1: a great way of, you know, not only helping secure 741 00:44:39,880 --> 00:44:42,760 Speaker 1: the network but also, yeah, earning this earning this passive 742 00:44:42,760 --> 00:44:46,480 Speaker 1: income through through staking rewards. Um. So yeah, for me 743 00:44:46,520 --> 00:44:48,200 Speaker 1: IT'S A it's a bit of a no brainer really, 744 00:44:48,200 --> 00:44:50,640 Speaker 1: if you if you've got a long term view. And again, 745 00:44:50,640 --> 00:44:53,439 Speaker 1: this is I think is something that could that could 746 00:44:53,520 --> 00:44:57,160 Speaker 1: really help attract bigger investors as well, because big investors 747 00:44:57,160 --> 00:45:01,000 Speaker 1: love passive I mean, who doesn't love passive income? Um, 748 00:45:01,080 --> 00:45:02,719 Speaker 1: but you know, these guys will, I think, look at 749 00:45:02,760 --> 00:45:04,920 Speaker 1: it in the same kind of way that they view 750 00:45:05,360 --> 00:45:09,080 Speaker 1: dividends from from certain stocks. You know, it's like okay, 751 00:45:09,120 --> 00:45:12,600 Speaker 1: it's it's worth having, it's worth having capital locked up 752 00:45:13,200 --> 00:45:15,920 Speaker 1: for a long period of time because we get this, 753 00:45:16,200 --> 00:45:18,520 Speaker 1: you know, we get this drip feed of income in 754 00:45:18,560 --> 00:45:21,399 Speaker 1: the form of dividends or like a government bond. Yeah, 755 00:45:21,440 --> 00:45:24,480 Speaker 1: it's the same. Yeah, it's the same reason why why people, yeah, 756 00:45:24,560 --> 00:45:26,960 Speaker 1: invest in bonds because, yeah, you put a large you 757 00:45:26,960 --> 00:45:30,440 Speaker 1: put a large sum down, you lock up liquidity, in 758 00:45:30,480 --> 00:45:33,520 Speaker 1: other words, but you you earn interest on it over 759 00:45:33,680 --> 00:45:36,120 Speaker 1: over a slower period and obviously the great thing about 760 00:45:36,160 --> 00:45:38,799 Speaker 1: bonds is that you can, you know, you get that 761 00:45:38,840 --> 00:45:42,440 Speaker 1: money back that you've invested as well after after a 762 00:45:42,480 --> 00:45:45,280 Speaker 1: fixed term, after the term of the of the bond 763 00:45:45,320 --> 00:45:49,000 Speaker 1: has expired. So, yeah, it makes a good case case 764 00:45:49,040 --> 00:45:53,680 Speaker 1: for as an asset to earn passive income with which again, 765 00:45:53,719 --> 00:45:55,799 Speaker 1: I think is going to make it a much more 766 00:45:55,840 --> 00:46:03,560 Speaker 1: attractive long term investment. So that is yeah, that is 767 00:46:03,920 --> 00:46:06,840 Speaker 1: some of that is some of the good news post merge. 768 00:46:08,320 --> 00:46:12,319 Speaker 1: And Yeah, maybe maybe not quite as again, this is 769 00:46:12,360 --> 00:46:15,120 Speaker 1: something we're going to have to not only kind of 770 00:46:15,120 --> 00:46:16,880 Speaker 1: wait a long time for, we're just going to have 771 00:46:16,960 --> 00:46:20,239 Speaker 1: to we we don't we don't really know how how 772 00:46:20,600 --> 00:46:23,120 Speaker 1: the next few months are going to play out. I mean, 773 00:46:23,200 --> 00:46:25,040 Speaker 1: as I say, we've got a pretty good idea that 774 00:46:25,080 --> 00:46:28,080 Speaker 1: we're you know, we're going to see lots of regulatory action. 775 00:46:28,120 --> 00:46:31,800 Speaker 1: We're also likely to see a crash in asset prices 776 00:46:31,840 --> 00:46:33,879 Speaker 1: across the board and we're also like to see more 777 00:46:33,920 --> 00:46:36,799 Speaker 1: inflation and all this sort of stuff. So this good 778 00:46:36,840 --> 00:46:39,840 Speaker 1: news is something that you've kind of got to park 779 00:46:39,920 --> 00:46:43,399 Speaker 1: for the time being and and look ahead to look 780 00:46:43,440 --> 00:46:46,239 Speaker 1: quite a long way ahead too, sort of brighter days 781 00:46:46,280 --> 00:46:52,759 Speaker 1: in the future. Well, Um, I can't wait for next week. 782 00:46:53,440 --> 00:46:55,680 Speaker 1: How patient are you feeling? Like you you're you're not, 783 00:46:55,719 --> 00:46:59,040 Speaker 1: are you? Are you a patient man? I I'm a 784 00:46:59,160 --> 00:47:02,839 Speaker 1: lazy man. I think that's the most important thing to remember. So, like, 785 00:47:02,960 --> 00:47:08,800 Speaker 1: I'm not going to be selling or shipping anything because 786 00:47:08,800 --> 00:47:12,399 Speaker 1: I can't be bothered. Um, and you know, it's it's 787 00:47:12,920 --> 00:47:15,759 Speaker 1: it's a way out. I think it'll be fine. I mean, 788 00:47:15,840 --> 00:47:17,840 Speaker 1: unless you know you need a new kidney and you 789 00:47:17,920 --> 00:47:20,719 Speaker 1: have to buy one off the black market, then then 790 00:47:20,800 --> 00:47:25,319 Speaker 1: sell your eath. Okay, I should also point out that 791 00:47:25,320 --> 00:47:33,680 Speaker 1: that is not financial advice. Let's take even worse. Guy 792 00:47:33,719 --> 00:47:35,719 Speaker 1: On a podcast said that I had to sell my 793 00:47:35,800 --> 00:47:39,640 Speaker 1: kidney anyhow. Let's take one more quick break and then 794 00:47:39,760 --> 00:47:41,960 Speaker 1: we'll just kind of look ahead to what else. You know, 795 00:47:42,080 --> 00:47:43,440 Speaker 1: I look at a couple of other things that are 796 00:47:43,480 --> 00:48:01,120 Speaker 1: having post merged. Welcome back everyone. Part three. We've had 797 00:48:01,239 --> 00:48:03,919 Speaker 1: the bad news, we've had the good news, and now 798 00:48:04,040 --> 00:48:07,479 Speaker 1: for kind of any other business. The News, the ugly news. 799 00:48:09,160 --> 00:48:11,400 Speaker 1: You forgot the last news was bad. Wait, did you 800 00:48:11,440 --> 00:48:14,120 Speaker 1: see this Um? Yeah, I suppose, the ugly news. Yeah, 801 00:48:14,120 --> 00:48:16,200 Speaker 1: that's that's a good term for it. The other question 802 00:48:16,200 --> 00:48:18,560 Speaker 1: I kind of wanted to address that some people have 803 00:48:18,600 --> 00:48:20,560 Speaker 1: been asking is, like what happened to this proof of 804 00:48:20,560 --> 00:48:25,399 Speaker 1: work fork of ethereum that everyone was kind of lots 805 00:48:25,440 --> 00:48:28,719 Speaker 1: of people were getting kind of out this idea that 806 00:48:28,960 --> 00:48:31,600 Speaker 1: ethereum minor because remember that some of the big some 807 00:48:31,640 --> 00:48:34,160 Speaker 1: of the biggest losers from from the merge have been 808 00:48:34,280 --> 00:48:39,120 Speaker 1: ethereum miners because, yeah, their main source of revenue is 809 00:48:39,160 --> 00:48:43,600 Speaker 1: now gone and there's been a lot of speculation about 810 00:48:43,680 --> 00:48:46,920 Speaker 1: what ethereum miners would do post merge. And again, actually, 811 00:48:46,960 --> 00:48:50,200 Speaker 1: I think that kind of also ties into some of 812 00:48:50,239 --> 00:48:52,239 Speaker 1: the some of the bad news or some of the 813 00:48:52,440 --> 00:48:56,120 Speaker 1: some of the reasons why ethereum especially kind of struggled 814 00:48:56,800 --> 00:48:59,160 Speaker 1: price wise in the days after the merger, because there 815 00:48:59,200 --> 00:49:01,080 Speaker 1: was a lot of data are saying that in the 816 00:49:01,200 --> 00:49:05,640 Speaker 1: lead up to the merge, exchange inflows of were really high. 817 00:49:05,719 --> 00:49:07,799 Speaker 1: So what that meant was that lots of people were 818 00:49:07,880 --> 00:49:13,240 Speaker 1: moving their too exchanges. Now there's only one reason generally 819 00:49:13,239 --> 00:49:16,239 Speaker 1: why people do this, or one big reason, and that 820 00:49:16,400 --> 00:49:21,080 Speaker 1: is in anticipation of selling it. So what we what 821 00:49:21,120 --> 00:49:24,279 Speaker 1: we think is that a lot of ethereum miners kind 822 00:49:24,320 --> 00:49:27,560 Speaker 1: of sold straight after the merge, you know, especially when 823 00:49:27,560 --> 00:49:30,919 Speaker 1: that when when that little price pump went on Um, 824 00:49:31,000 --> 00:49:34,040 Speaker 1: and that may have been them kind of capitulating. That 825 00:49:34,080 --> 00:49:36,240 Speaker 1: may have been them just kind of selling all their 826 00:49:36,360 --> 00:49:38,600 Speaker 1: all their assets and just getting out of the of 827 00:49:38,640 --> 00:49:42,480 Speaker 1: the mining business altogether or, you know, just selling a 828 00:49:42,560 --> 00:49:44,759 Speaker 1: lot to kind of cover their costs and advance things 829 00:49:44,760 --> 00:49:47,240 Speaker 1: like that. So that that, I think, is another reason 830 00:49:47,239 --> 00:49:51,120 Speaker 1: why the price uh tanked in in the days following 831 00:49:51,120 --> 00:49:54,840 Speaker 1: the merge. So eth miners have kind of gone and 832 00:49:54,880 --> 00:49:57,759 Speaker 1: done a few things. Some of them are mining other coin, 833 00:49:57,920 --> 00:50:00,200 Speaker 1: other proof of work coins, of which there aren't an 834 00:50:00,360 --> 00:50:05,920 Speaker 1: enormous amount. There's one called Raven coin, which has attracted 835 00:50:06,080 --> 00:50:08,799 Speaker 1: quite a lot of you know, it's a Hash Ray 836 00:50:08,880 --> 00:50:12,160 Speaker 1: to shut up Um. There's one called Ergo, which is 837 00:50:12,360 --> 00:50:16,000 Speaker 1: kind of affiliated with Charles Hoskinson, who's the guy who 838 00:50:16,600 --> 00:50:19,640 Speaker 1: found the founder of Cardano, which is obviously a rival 839 00:50:19,640 --> 00:50:23,400 Speaker 1: to ethereum Um, and used to and was one of 840 00:50:23,440 --> 00:50:25,319 Speaker 1: the ethereum co founder as well. He was the guy 841 00:50:25,320 --> 00:50:28,040 Speaker 1: who was sort of CEO for a while until until 842 00:50:28,040 --> 00:50:31,600 Speaker 1: he was booted out. So his sort of little side 843 00:50:31,600 --> 00:50:35,600 Speaker 1: project ERGO. That's attracted a bit of Hash power from 844 00:50:35,719 --> 00:50:38,840 Speaker 1: from ethereum miners. But there was also this proof of 845 00:50:38,840 --> 00:50:43,239 Speaker 1: work fork. So Um, that was something that a lot 846 00:50:43,280 --> 00:50:45,360 Speaker 1: of people were kind of worried about. The ticker for 847 00:50:45,400 --> 00:50:48,839 Speaker 1: that is e w e. t e. w. Now this 848 00:50:49,080 --> 00:50:52,360 Speaker 1: has kind of struggled really since the merge. It hasn't 849 00:50:52,400 --> 00:50:56,719 Speaker 1: attracted all that much interest. There were a few setbacks 850 00:50:56,760 --> 00:50:58,880 Speaker 1: for the networks as well. It suffered something called a 851 00:50:58,920 --> 00:51:03,560 Speaker 1: relay attack, something, not a replay attack, Um, and it's 852 00:51:04,160 --> 00:51:07,640 Speaker 1: it's now down. W is down sort or more from 853 00:51:07,680 --> 00:51:10,359 Speaker 1: its all time high earlier in September, you know, kind 854 00:51:10,360 --> 00:51:14,600 Speaker 1: of ahead of the merge. So yeah, it's it doesn't 855 00:51:14,600 --> 00:51:17,600 Speaker 1: seem to be gaining much traction. It doesn't seem to 856 00:51:17,640 --> 00:51:20,880 Speaker 1: be gaining an awful lot of support and, as you know, 857 00:51:21,120 --> 00:51:23,239 Speaker 1: as a lot of people have pointed out, like why 858 00:51:23,239 --> 00:51:26,239 Speaker 1: would it? We have ethereum classic already, that fork, that 859 00:51:26,280 --> 00:51:30,799 Speaker 1: proof of work fork of ethereum from from the Dow Hack, 860 00:51:30,840 --> 00:51:32,760 Speaker 1: which I think we mentioned in advance of the merge 861 00:51:32,760 --> 00:51:36,880 Speaker 1: as well. So that's another I don't think that the 862 00:51:37,800 --> 00:51:41,280 Speaker 1: proof of work fork thing doesn't it's still it's still going. 863 00:51:41,280 --> 00:51:44,640 Speaker 1: It's still a thing, but it doesn't really appear to 864 00:51:44,680 --> 00:51:47,160 Speaker 1: have played out and I don't think it's going to be. 865 00:51:47,280 --> 00:51:48,719 Speaker 1: I don't think it's going to have any sort of 866 00:51:48,960 --> 00:51:55,200 Speaker 1: real effect going forward. Okay, well, I feel for them. 867 00:51:55,239 --> 00:52:00,280 Speaker 1: I do feel for the miners. Yeah, yeah, no, it's 868 00:52:00,280 --> 00:52:02,600 Speaker 1: it's tough, isn't it? It's Um. Yeah, you've got to 869 00:52:02,640 --> 00:52:05,640 Speaker 1: have some sympathy for them and stuff like that. It's 870 00:52:06,320 --> 00:52:09,480 Speaker 1: they are, they are a big kind of casualty of 871 00:52:09,600 --> 00:52:14,919 Speaker 1: the move to proof of steake Um. But yeah, Crypto, 872 00:52:15,080 --> 00:52:18,279 Speaker 1: like any other business, can be ruthless sometimes, can't it? 873 00:52:18,719 --> 00:52:23,320 Speaker 1: M Hm. Okay, so let's what let's kind of let's conclude. 874 00:52:23,360 --> 00:52:26,560 Speaker 1: So there's lots to look forward to for ethereum and 875 00:52:26,600 --> 00:52:29,640 Speaker 1: Crypto in general, but there's lots to be concerned about 876 00:52:29,680 --> 00:52:32,360 Speaker 1: two Um. And I think the important thing perhaps to 877 00:52:32,360 --> 00:52:35,839 Speaker 1: remember for for anyone, you know, all the listeners, is 878 00:52:36,040 --> 00:52:38,799 Speaker 1: the bear market is going to continue for some time 879 00:52:38,800 --> 00:52:41,640 Speaker 1: to come and, as you said, it could get a 880 00:52:41,680 --> 00:52:45,160 Speaker 1: lot worse. Bear markets tend to, you know, they can 881 00:52:45,239 --> 00:52:48,160 Speaker 1: last for a long time, and I think really the 882 00:52:48,239 --> 00:52:50,920 Speaker 1: kind of, in a way, kind of good news is 883 00:52:50,960 --> 00:52:53,239 Speaker 1: that this, this is a bear market that has been 884 00:52:53,320 --> 00:52:57,440 Speaker 1: driven by much more kind of much more general factors. 885 00:52:57,520 --> 00:53:01,320 Speaker 1: It's not a crypto specific bear market, even though there are, 886 00:53:01,360 --> 00:53:04,280 Speaker 1: you know, particular there are kind of unique challenges facing 887 00:53:04,320 --> 00:53:09,279 Speaker 1: the crypto sector, especially from centralization and especially from regulators 888 00:53:09,280 --> 00:53:13,160 Speaker 1: like the SEC. This is still this is still a 889 00:53:13,200 --> 00:53:16,440 Speaker 1: global problem. You know, global markets are are struggling with 890 00:53:16,480 --> 00:53:19,680 Speaker 1: this as well. So, although it's although we've got a 891 00:53:20,400 --> 00:53:23,239 Speaker 1: long time of it left, it will, it will come 892 00:53:23,280 --> 00:53:26,640 Speaker 1: to an end. And well, there was a bit of 893 00:53:26,640 --> 00:53:28,960 Speaker 1: good news. I don't know if you saw this, but 894 00:53:29,000 --> 00:53:32,200 Speaker 1: there a few days ago the chief of the World 895 00:53:32,239 --> 00:53:35,719 Speaker 1: Health Organization said that the pandemic could, the end of 896 00:53:35,719 --> 00:53:39,000 Speaker 1: the pandemic could in fact be in sight. I thought 897 00:53:39,040 --> 00:53:45,120 Speaker 1: it already was. Yeah, well, quite possibly. Yeah, yeah, no, 898 00:53:45,239 --> 00:53:49,120 Speaker 1: the pandemic is still is still a thing, but according 899 00:53:49,239 --> 00:53:51,920 Speaker 1: according to the World Health Organization, we could be, we 900 00:53:52,000 --> 00:53:55,120 Speaker 1: could be about to see the end of that, which 901 00:53:55,120 --> 00:53:57,560 Speaker 1: would be yeah, that would be great. I don't think 902 00:53:57,560 --> 00:54:01,040 Speaker 1: anyone would anyone would be sad to the best. How 903 00:54:01,080 --> 00:54:04,680 Speaker 1: are things going to improve? What is gonna what? What? 904 00:54:04,680 --> 00:54:06,600 Speaker 1: What are we going to see? Is it gonna be gradual, 905 00:54:06,800 --> 00:54:10,279 Speaker 1: improved is. It is if, if there is a ceasefire 906 00:54:11,280 --> 00:54:14,879 Speaker 1: in the Ukraine, if if the pandemic is kind of 907 00:54:15,120 --> 00:54:18,759 Speaker 1: slowly coming to an end and China stops this uh, 908 00:54:19,320 --> 00:54:24,440 Speaker 1: this national citywide lockdowns, and production is going to start, Um, 909 00:54:26,320 --> 00:54:28,680 Speaker 1: happening a bit more in and and and ships with 910 00:54:28,880 --> 00:54:31,920 Speaker 1: full of goods are going to come out of China 911 00:54:31,960 --> 00:54:37,480 Speaker 1: and across the world's sort of like as a catalyst 912 00:54:37,560 --> 00:54:40,880 Speaker 1: for the economy. ARE PEOPLE GOING TO START IF inflation 913 00:54:40,960 --> 00:54:43,480 Speaker 1: rates go down, how long is that gonna last? Is 914 00:54:43,560 --> 00:54:47,120 Speaker 1: gonna last six months? Is gonna last a year? What? What? 915 00:54:47,120 --> 00:54:48,680 Speaker 1: What are? What are your thoughts on all of this? 916 00:54:49,160 --> 00:54:52,040 Speaker 1: When is the end of the tunnel happening? It's a 917 00:54:52,040 --> 00:54:55,120 Speaker 1: good question. It's a good question and I think a 918 00:54:55,160 --> 00:54:57,399 Speaker 1: lot of it is tied in with these with these 919 00:54:57,440 --> 00:55:01,400 Speaker 1: interest rate hikes, because obviously the the driving factor behind 920 00:55:01,440 --> 00:55:05,680 Speaker 1: those is high inflation. Um, now, when when interest rate 921 00:55:05,719 --> 00:55:09,120 Speaker 1: gets high, interest rates get hiked, they take a while 922 00:55:09,840 --> 00:55:13,680 Speaker 1: for the impact to be felt. Um, it can, you know, 923 00:55:13,760 --> 00:55:16,120 Speaker 1: it can be a few months down the line that 924 00:55:16,360 --> 00:55:18,480 Speaker 1: you know that you feel that you get a you 925 00:55:18,520 --> 00:55:20,440 Speaker 1: know you get a sense that interest rate hikes are 926 00:55:20,480 --> 00:55:24,120 Speaker 1: making a difference. So, yeah, in terms of time. I 927 00:55:24,120 --> 00:55:28,080 Speaker 1: mean I think probably. I think three is going to 928 00:55:28,120 --> 00:55:32,439 Speaker 1: be another tough year, but I would hope that by 929 00:55:32,520 --> 00:55:36,799 Speaker 1: the end of next year we could we could be 930 00:55:36,840 --> 00:55:39,120 Speaker 1: starting to see, I suppose, what you'd call green shoots. 931 00:55:39,160 --> 00:55:44,440 Speaker 1: You know, hopefully by then inflation is, if not under control, 932 00:55:44,560 --> 00:55:48,280 Speaker 1: you know, is starting to noticeably decline. These high interest 933 00:55:48,400 --> 00:55:52,879 Speaker 1: rates are starting to have the desired effect. Um and, 934 00:55:53,040 --> 00:55:55,279 Speaker 1: as you say, sort of by that point you would 935 00:55:55,280 --> 00:55:58,799 Speaker 1: hope that trade has resumed somewhat, certainly that the war 936 00:55:58,840 --> 00:56:01,280 Speaker 1: in Ukraine has come to end. I mean, we seem 937 00:56:01,320 --> 00:56:04,400 Speaker 1: to have that seemed that situation, I think, seems to 938 00:56:04,440 --> 00:56:08,920 Speaker 1: have kind of improved slightly over the last couple of 939 00:56:08,920 --> 00:56:12,840 Speaker 1: weeks or so, because Ukraine is actually doing quite well, 940 00:56:12,880 --> 00:56:17,200 Speaker 1: you know, they they've actually pushed the Russians back a lot. Um. 941 00:56:17,239 --> 00:56:18,920 Speaker 1: I don't think that means that the end of the 942 00:56:18,960 --> 00:56:22,399 Speaker 1: war is in sight, but it could say. I think 943 00:56:22,440 --> 00:56:26,120 Speaker 1: it certainly suggests that it's a war Ukraine could win 944 00:56:26,960 --> 00:56:31,920 Speaker 1: and that, you know, that an end could come. But yeah, so, 945 00:56:32,120 --> 00:56:34,319 Speaker 1: I mean I think in answer to your question how 946 00:56:34,400 --> 00:56:37,040 Speaker 1: long we can expect, I think we've got another know, 947 00:56:37,120 --> 00:56:39,759 Speaker 1: another year of this at least, but I would hope 948 00:56:39,800 --> 00:56:42,960 Speaker 1: that by, you know, sort of early four a lot 949 00:56:43,000 --> 00:56:46,440 Speaker 1: of these a lot of these problems would have been, 950 00:56:46,480 --> 00:56:48,960 Speaker 1: you know, will have reduced a lot. Will hopefully have 951 00:56:49,080 --> 00:56:52,640 Speaker 1: much lower inflation. The situation in Ukraine hopefully, you know, 952 00:56:52,680 --> 00:56:57,799 Speaker 1: hopefully peace will have will have been restored. Um, and obviously, yeah, 953 00:56:57,840 --> 00:57:00,920 Speaker 1: as pandemic restrictions. You know, if the pandemic really has gone, 954 00:57:01,760 --> 00:57:05,720 Speaker 1: really is brought to an end, then then, yeah, manufacturing 955 00:57:06,320 --> 00:57:08,560 Speaker 1: cranks back up, it should be. It should be noted 956 00:57:08,560 --> 00:57:11,680 Speaker 1: actually at this point that if, if the pandemic is 957 00:57:11,760 --> 00:57:16,000 Speaker 1: kind of officially, you know, officially declared over, it could 958 00:57:16,040 --> 00:57:19,320 Speaker 1: actually have a negative effect on markets because some people 959 00:57:19,320 --> 00:57:22,520 Speaker 1: are speculated that because of these Chinese lockdowns at the moment, 960 00:57:22,520 --> 00:57:26,960 Speaker 1: because so much of China is on the lockdown still. Um, 961 00:57:27,000 --> 00:57:30,520 Speaker 1: this has manufacturing output there. Remember China. I mean it 962 00:57:30,640 --> 00:57:34,200 Speaker 1: makes pretty much everything. Manufacturing output has actually been way 963 00:57:34,280 --> 00:57:37,840 Speaker 1: down in China. Now. If manufacturing in China suddenly restarts, 964 00:57:38,200 --> 00:57:41,000 Speaker 1: the demand for energy from that will be massive and 965 00:57:41,040 --> 00:57:45,200 Speaker 1: obviously energy is a big, big problem at the momentum. 966 00:57:45,720 --> 00:57:49,320 Speaker 1: Energy shortages and rising energy prices are one of the 967 00:57:49,360 --> 00:57:53,520 Speaker 1: big drivers of inflation and, you know, unrest as well. 968 00:57:53,560 --> 00:57:56,440 Speaker 1: Around the world. So it might be that the end 969 00:57:56,440 --> 00:57:58,919 Speaker 1: of the pandemic isn't quite the isn't quite the sort 970 00:57:58,920 --> 00:58:01,200 Speaker 1: of White Swan that that we might have hoped for. 971 00:58:01,280 --> 00:58:06,240 Speaker 1: But I think still by their energy mostly from Russia, 972 00:58:06,280 --> 00:58:11,479 Speaker 1: though I think China gets a lot of its energy 973 00:58:11,520 --> 00:58:13,960 Speaker 1: from Russia. But I mean in this sort of situation 974 00:58:14,080 --> 00:58:18,040 Speaker 1: it doesn't really matter where particular countries get their energy from, 975 00:58:18,080 --> 00:58:21,040 Speaker 1: because all that really matters is that because, because we 976 00:58:21,080 --> 00:58:25,680 Speaker 1: live in such a globalized world, shortages somewhere, shortages, let's 977 00:58:25,680 --> 00:58:28,960 Speaker 1: say the energy shortages in Europe, have an effect on 978 00:58:29,240 --> 00:58:32,720 Speaker 1: global prices because the commodity, that the amount of the 979 00:58:32,720 --> 00:58:36,800 Speaker 1: commodity in circulation, has dropped thereby the price goes up. 980 00:58:36,960 --> 00:58:40,400 Speaker 1: So this is why, you know, when people say, oh well, 981 00:58:40,440 --> 00:58:44,400 Speaker 1: you know these these energy these energy concerns are, you know, 982 00:58:44,440 --> 00:58:47,200 Speaker 1: their Europe's problem. There there's something between Europe and Russia. 983 00:58:47,200 --> 00:58:50,320 Speaker 1: It's it's not the case prices go up across the 984 00:58:50,320 --> 00:58:53,640 Speaker 1: world because there's less energy to go around. But there's 985 00:58:53,680 --> 00:58:57,440 Speaker 1: not less energy. The reason why there's an energy sorted 986 00:58:57,680 --> 00:59:00,800 Speaker 1: is because of the sanctions. I thought that. So like 987 00:59:01,080 --> 00:59:03,760 Speaker 1: Russia has still got the gas. They're just not we're 988 00:59:03,800 --> 00:59:10,760 Speaker 1: not able to buy it because they're being rascals. Yeah, yeah, certainly. Yeah, 989 00:59:12,280 --> 00:59:14,520 Speaker 1: so that sounds like. This is my sort of trying 990 00:59:14,560 --> 00:59:17,440 Speaker 1: to just figure it out and understand. Okay, cool, or 991 00:59:17,480 --> 00:59:21,760 Speaker 1: if if China comes back online and and and starts 992 00:59:21,800 --> 00:59:25,200 Speaker 1: making stuff again, if they buy their it's not good 993 00:59:25,200 --> 00:59:28,120 Speaker 1: for the war in Ukraine, because the sanctions mean less 994 00:59:28,960 --> 00:59:33,080 Speaker 1: Um and and. But I assumed basically people. I thought 995 00:59:33,080 --> 00:59:36,720 Speaker 1: we were buying Russian oil from India anyway, not Russian 996 00:59:36,720 --> 00:59:39,360 Speaker 1: gas from India. That's what I was I was told, 997 00:59:39,400 --> 00:59:41,440 Speaker 1: you know, because we're buying gas from India now and 998 00:59:41,680 --> 00:59:46,160 Speaker 1: they're buying it from Russia, and it's just, HMM, yeah, 999 00:59:46,240 --> 00:59:48,440 Speaker 1: it just gets it just goes through different sources now, 1000 00:59:48,480 --> 00:59:51,080 Speaker 1: I think. Yeah, I mean the sanctions are the sanctions 1001 00:59:51,080 --> 00:59:53,360 Speaker 1: are a big, big you know, the main reason why 1002 00:59:53,520 --> 00:59:57,000 Speaker 1: there are these these energy shortages because Russia isn't able 1003 00:59:57,040 --> 00:59:59,520 Speaker 1: to export so much of its gas or its oil, 1004 01:00:00,240 --> 01:00:03,040 Speaker 1: Um and, I mean, look, you know again, this is 1005 01:00:03,120 --> 01:00:05,200 Speaker 1: this is something, this is something to to think about 1006 01:00:05,200 --> 01:00:08,760 Speaker 1: in in terms of the future because, let's say, let's 1007 01:00:08,800 --> 01:00:10,880 Speaker 1: say the war in Ukraine comes to an end, let's 1008 01:00:11,040 --> 01:00:12,960 Speaker 1: say because of the way it's going at the moment 1009 01:00:13,000 --> 01:00:17,600 Speaker 1: that Ukraine is actually Ukraine actually wins, that the West 1010 01:00:17,680 --> 01:00:21,360 Speaker 1: is prepared to keep pumping enough money and weapons and 1011 01:00:21,400 --> 01:00:23,800 Speaker 1: all that stuff, sort of stuff into Ukraine to actually 1012 01:00:24,240 --> 01:00:26,439 Speaker 1: to actually mean they're able to kick the Russians out 1013 01:00:27,080 --> 01:00:30,760 Speaker 1: and the war comes to an end. What happens with 1014 01:00:30,880 --> 01:00:34,000 Speaker 1: Russia then, you know, do do do Western countries? Does 1015 01:00:34,040 --> 01:00:36,920 Speaker 1: Europe and America turn around and go, okay, well, you 1016 01:00:37,080 --> 01:00:40,720 Speaker 1: take the L Putin will lift the sanctions now because 1017 01:00:40,720 --> 01:00:44,240 Speaker 1: the war is is over. You know, I don't think that. 1018 01:00:44,600 --> 01:00:46,840 Speaker 1: I can't see that happening. I think the only way 1019 01:00:46,840 --> 01:00:49,160 Speaker 1: that we could see sanctions lifted is if, is if 1020 01:00:49,240 --> 01:00:53,600 Speaker 1: Russia voluntarily pulled out, you know, and said look, well, 1021 01:00:54,000 --> 01:00:56,880 Speaker 1: we're sorry, it won't happen again. Let's let's all be 1022 01:00:56,960 --> 01:00:59,520 Speaker 1: friends and let's start trading against stuff. Can you see 1023 01:00:59,560 --> 01:01:03,600 Speaker 1: that happen, because I I certainly can't. So, you know, 1024 01:01:03,720 --> 01:01:08,120 Speaker 1: there's perhaps perhaps this idea of sort of looking further 1025 01:01:08,160 --> 01:01:10,640 Speaker 1: along the line and thinking, when is everything going to 1026 01:01:10,680 --> 01:01:14,320 Speaker 1: get back to how it was? It won't, you know, 1027 01:01:14,480 --> 01:01:16,600 Speaker 1: things are going to be very, very different, and already 1028 01:01:16,640 --> 01:01:21,560 Speaker 1: there's a lot of talk about food and energy independence, 1029 01:01:21,720 --> 01:01:24,720 Speaker 1: because this, you know this. This war and this sanction 1030 01:01:24,720 --> 01:01:27,560 Speaker 1: and these sanctions have really exposed like, especially for Europe, 1031 01:01:27,560 --> 01:01:30,720 Speaker 1: but I think in general as well. You know how 1032 01:01:30,920 --> 01:01:34,120 Speaker 1: how delicate everything is, and covid has done this as well, 1033 01:01:34,160 --> 01:01:37,760 Speaker 1: how delicate supply chains are, how delicate the whole this 1034 01:01:37,840 --> 01:01:41,600 Speaker 1: whole kind of globalized world is, and actually the only 1035 01:01:41,640 --> 01:01:46,080 Speaker 1: way that you can really prepare for an unforeseen crisis 1036 01:01:46,200 --> 01:01:49,160 Speaker 1: like a war or a pandemic or whatever, is to 1037 01:01:49,280 --> 01:01:53,400 Speaker 1: try and be as energy independent as you can or 1038 01:01:53,680 --> 01:01:55,280 Speaker 1: grow as much as your own food as you can. 1039 01:01:55,320 --> 01:01:57,200 Speaker 1: You don't, and I think this is something that we're 1040 01:01:57,200 --> 01:01:59,720 Speaker 1: going to see a big trend towards, and this is 1041 01:01:59,760 --> 01:02:02,720 Speaker 1: from an environmental perspective as well, because I think people 1042 01:02:02,720 --> 01:02:05,760 Speaker 1: are becoming more and more concerned about the fact that 1043 01:02:05,840 --> 01:02:09,080 Speaker 1: food gets shipped around the world and obviously you know 1044 01:02:09,120 --> 01:02:11,400 Speaker 1: that that's carbon emissions and things like that. So I 1045 01:02:11,400 --> 01:02:14,400 Speaker 1: think we are going to see a trend towards countries 1046 01:02:14,440 --> 01:02:17,919 Speaker 1: trying to produce more of their own energy and more 1047 01:02:17,960 --> 01:02:20,000 Speaker 1: of their own food, you know, more of their own 1048 01:02:20,040 --> 01:02:22,800 Speaker 1: goods and things like that, and some people are are 1049 01:02:22,800 --> 01:02:27,520 Speaker 1: really kind of talking about a possible end to globalization, 1050 01:02:28,360 --> 01:02:31,840 Speaker 1: which is I mean I think that's a fairly bold 1051 01:02:31,880 --> 01:02:34,120 Speaker 1: call at this stage, but I don't think you can, 1052 01:02:34,240 --> 01:02:37,240 Speaker 1: I don't think you can deny that we're going through 1053 01:02:37,320 --> 01:02:42,000 Speaker 1: a period of enormous change and things aren't you know, 1054 01:02:42,080 --> 01:02:44,560 Speaker 1: things are hopefully going to look a lot better in, 1055 01:02:45,040 --> 01:02:49,240 Speaker 1: you know, in four say, but they're also going to 1056 01:02:49,320 --> 01:02:51,360 Speaker 1: look a lot different as well, and we just got 1057 01:02:51,360 --> 01:02:53,800 Speaker 1: to hope, I think, that they look different in a 1058 01:02:53,840 --> 01:02:59,280 Speaker 1: good way. MM HMM. So we're going to have to 1059 01:02:59,280 --> 01:03:03,600 Speaker 1: be off grid as a country? Yeah, and everyone's going 1060 01:03:03,640 --> 01:03:06,840 Speaker 1: to have to grow their own vegetables, have get solar 1061 01:03:06,880 --> 01:03:09,920 Speaker 1: panels on your on your house, dig up your garden 1062 01:03:10,040 --> 01:03:14,000 Speaker 1: and turn it into a vege patch, insulate your roof, Um, 1063 01:03:14,600 --> 01:03:19,520 Speaker 1: keep lots of tin foods. Guy, that was that was 1064 01:03:19,960 --> 01:03:26,600 Speaker 1: the cheeriest news I've heard from you. But it's about 1065 01:03:26,640 --> 01:03:30,200 Speaker 1: eye opening. You know, maybe, maybe, maybe it is is 1066 01:03:30,240 --> 01:03:33,080 Speaker 1: more of a shift in our life than than we 1067 01:03:33,160 --> 01:03:37,439 Speaker 1: are acknowledging. And you know, higher energy prices are something 1068 01:03:37,480 --> 01:03:39,919 Speaker 1: that's going to be here for a while until we 1069 01:03:40,320 --> 01:03:46,720 Speaker 1: adopt Um, nuclear or some other sort of which don't. Don't. 1070 01:03:46,760 --> 01:03:48,800 Speaker 1: Don't try to own all the nuclear power stations in 1071 01:03:48,800 --> 01:03:53,280 Speaker 1: the UK anyway. Yeah, I think so. They're basically paying 1072 01:03:53,320 --> 01:03:56,640 Speaker 1: for them. I think. Um, yeah, that's the if they if. 1073 01:03:56,680 --> 01:03:59,439 Speaker 1: If you wanted an example of globalization in action, there 1074 01:03:59,480 --> 01:04:02,320 Speaker 1: you go it. Yeah, I think this is a this 1075 01:04:02,360 --> 01:04:04,520 Speaker 1: is a very long term thing, but the future is 1076 01:04:04,560 --> 01:04:06,760 Speaker 1: going to the future is going to look a lot different. 1077 01:04:07,480 --> 01:04:12,680 Speaker 1: MM HMM. There's food for thought. Um. So, Mikey, I'm 1078 01:04:12,680 --> 01:04:16,479 Speaker 1: glad I've been able to to to dampen your mood. 1079 01:04:17,840 --> 01:04:21,120 Speaker 1: It's all right, the my I q will mean that 1080 01:04:21,160 --> 01:04:24,040 Speaker 1: I will forget about this shortly. Ignorance is bliss, and 1081 01:04:24,080 --> 01:04:25,560 Speaker 1: I will have a cup of tea and will be 1082 01:04:25,600 --> 01:04:28,600 Speaker 1: all right. But couple a couple of a couple of 1083 01:04:28,680 --> 01:04:30,640 Speaker 1: cups of tea, a donut or two and you'll be 1084 01:04:30,760 --> 01:04:33,080 Speaker 1: right as rain. Yeah, you had to sort a little fat. 1085 01:04:33,160 --> 01:04:38,240 Speaker 1: I've been there, noted. You'll remember that. Um, I will 1086 01:04:38,280 --> 01:04:41,240 Speaker 1: try and for next week's episode, I will try and 1087 01:04:41,280 --> 01:04:43,840 Speaker 1: talk about something more cheerful. How about that? Why don't 1088 01:04:43,840 --> 01:04:45,720 Speaker 1: we do that? Why don't we? Why don't we? Let's 1089 01:04:45,720 --> 01:04:48,560 Speaker 1: get into the WHATSAPP and start thinking about some some 1090 01:04:49,040 --> 01:04:55,760 Speaker 1: brighter topics that we can sort of divulge into and explore. Okay, okay, 1091 01:04:55,840 --> 01:04:58,200 Speaker 1: good idea. I am I am sort of trying to 1092 01:04:58,240 --> 01:05:01,360 Speaker 1: work towards doing an episode on Toshi Nakamoto as well, 1093 01:05:01,400 --> 01:05:04,040 Speaker 1: because I've seen a few people asking for that. I 1094 01:05:04,360 --> 01:05:06,160 Speaker 1: did sort of promise that. We did kind of promise 1095 01:05:06,200 --> 01:05:07,880 Speaker 1: to do that a while ago and a few people 1096 01:05:07,880 --> 01:05:10,520 Speaker 1: have held me to that and I think it's something. 1097 01:05:10,680 --> 01:05:13,240 Speaker 1: I think it's something we'd both enjoy. I think, yeah, 1098 01:05:13,280 --> 01:05:16,080 Speaker 1: I'd love to learn more about that, but without doing 1099 01:05:16,160 --> 01:05:21,640 Speaker 1: any of the research myself. Okay, well, that's fortunately where 1100 01:05:21,680 --> 01:05:25,600 Speaker 1: I come in. I'm wonderful. All right, man. Well, it's 1101 01:05:25,600 --> 01:05:29,320 Speaker 1: been lovely to talk to you and to everyone in light. 1102 01:05:30,640 --> 01:05:33,400 Speaker 1: We'll see see you next week. Thanks for listening, everyone. 1103 01:05:33,720 --> 01:05:36,640 Speaker 1: Thank you so much for listening to the Coin Bureau podcast. 1104 01:05:36,720 --> 01:05:39,320 Speaker 1: If you'd like to learn more about cryptocurrency, you can 1105 01:05:39,400 --> 01:05:42,840 Speaker 1: visit our Youtube Channel at Youtube Dot Com forward slash 1106 01:05:42,880 --> 01:05:45,520 Speaker 1: coin bureau. You can also go to coin bureau dot 1107 01:05:45,520 --> 01:05:48,640 Speaker 1: Com for loads more information about all things crypto. You 1108 01:05:48,680 --> 01:05:51,480 Speaker 1: can follow me on twitter at Coin Bureau all on word, 1109 01:05:51,560 --> 01:05:54,600 Speaker 1: and I'm also active on Tiktok and Instagram as well. 1110 01:05:55,080 --> 01:05:57,840 Speaker 1: First of all, it's not thank you for listening. You're 1111 01:05:57,880 --> 01:06:02,840 Speaker 1: welcome for great content. Yeah, like this is free and 1112 01:06:02,840 --> 01:06:06,240 Speaker 1: they're learning about a fairly great topic in a non 1113 01:06:06,280 --> 01:06:08,920 Speaker 1: boring way. If you'd like to visit me and hear 1114 01:06:08,960 --> 01:06:11,760 Speaker 1: more about me, go to Mooch about M O O 1115 01:06:11,960 --> 01:06:25,160 Speaker 1: C H A b o u t or else. 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