1 00:00:00,000 --> 00:00:02,360 Speaker 1: Hello, and welcome to another episode of The Markma Show, 2 00:00:02,400 --> 00:00:05,000 Speaker 1: where we talk about the world changing right before our 3 00:00:05,080 --> 00:00:08,280 Speaker 1: very eyes through what I'm calling the decentralized Revolution. Three 4 00:00:08,320 --> 00:00:11,959 Speaker 1: converging forces changing the world. Of course, those are politics, finance, 5 00:00:12,000 --> 00:00:15,280 Speaker 1: and technology, And of course the technology is the biggest piece. 6 00:00:15,280 --> 00:00:18,240 Speaker 1: We're talking about bitcoin cryptocurrencies because as we go back 7 00:00:18,280 --> 00:00:21,160 Speaker 1: through thousands of years of history, it's always the technology 8 00:00:21,200 --> 00:00:28,800 Speaker 1: that changes the world. And while changes happen over decades, UM, 9 00:00:28,840 --> 00:00:30,480 Speaker 1: a lot of times when you're looking at it so close, 10 00:00:30,520 --> 00:00:32,800 Speaker 1: you don't really see the changes, but if you zoom in, 11 00:00:32,880 --> 00:00:34,559 Speaker 1: you can see them all around. And that's exactly what 12 00:00:34,600 --> 00:00:37,400 Speaker 1: I'm doing today, trying to bring to you the best education, 13 00:00:37,720 --> 00:00:40,720 Speaker 1: the most up to date news, UM, and uh, some 14 00:00:41,479 --> 00:00:43,280 Speaker 1: interesting people to hear from, so you don't have to 15 00:00:43,280 --> 00:00:44,879 Speaker 1: listen to me all the time, so you can get 16 00:00:44,880 --> 00:00:47,640 Speaker 1: some different perspectives. But uh, there is so much news 17 00:00:47,640 --> 00:00:49,880 Speaker 1: going on in the big thing that's going on really 18 00:00:49,920 --> 00:00:53,080 Speaker 1: in the bitcoin crypto space is um, let's call it 19 00:00:53,159 --> 00:00:55,880 Speaker 1: the Great Unwind. Maybe I just made that up. I 20 00:00:55,920 --> 00:00:58,000 Speaker 1: don't know if I've heard that before, the Great Unwind, 21 00:00:58,040 --> 00:01:01,800 Speaker 1: but that's exactly what's happening the leverage, and that's the keyword. 22 00:01:02,000 --> 00:01:04,800 Speaker 1: Leverage that's been built up in the system is now 23 00:01:05,400 --> 00:01:10,920 Speaker 1: de leveraging went from leverage to d leverage. Now leverage 24 00:01:11,160 --> 00:01:15,080 Speaker 1: is is a tool. I like to say that leverage 25 00:01:15,120 --> 00:01:18,640 Speaker 1: is like a fire. Leverage is like fire. So leverage 26 00:01:18,680 --> 00:01:22,240 Speaker 1: could leverage like fire. Fire could be used to warm 27 00:01:22,319 --> 00:01:24,720 Speaker 1: my house in the winter and I could save my life. 28 00:01:25,400 --> 00:01:29,959 Speaker 1: Um or it could burn my whole house down. And 29 00:01:30,000 --> 00:01:32,039 Speaker 1: that's sort of like what we're seeing. So we could 30 00:01:32,040 --> 00:01:35,120 Speaker 1: call it a double edged sword. It can cut my enemy, 31 00:01:35,120 --> 00:01:36,840 Speaker 1: it can cut me. I have to be careful with it. 32 00:01:37,440 --> 00:01:40,000 Speaker 1: And so that's what leverage is. Now. Leverage helps us 33 00:01:40,000 --> 00:01:44,720 Speaker 1: to grow faster, that's the positive benefits of leverage, and 34 00:01:44,760 --> 00:01:48,200 Speaker 1: then it tears us down faster. So a couple of 35 00:01:48,440 --> 00:01:52,280 Speaker 1: examples of this would be, um, let's say that my 36 00:01:52,400 --> 00:01:54,720 Speaker 1: business is booming because the FED printed a bunch of 37 00:01:54,720 --> 00:01:56,360 Speaker 1: money and I have a way more customers than I 38 00:01:56,360 --> 00:01:59,080 Speaker 1: ever had before. More people want to fill in the 39 00:01:59,080 --> 00:02:00,800 Speaker 1: blank whatever kind of buy and us. Let's say I'm 40 00:02:00,840 --> 00:02:03,920 Speaker 1: a home service based business. So people want to remodel 41 00:02:03,960 --> 00:02:05,720 Speaker 1: their homes, they want to buy new mini blinds, put 42 00:02:05,800 --> 00:02:08,880 Speaker 1: jacuzzis in remodel their bathrooms whatever, fill in the blank, X, 43 00:02:09,000 --> 00:02:11,440 Speaker 1: y Z, and so, shoot, man, I'm booked out. I 44 00:02:11,440 --> 00:02:13,720 Speaker 1: can't get to the appointments fast enough. I hire new people. 45 00:02:14,000 --> 00:02:15,600 Speaker 1: I have to buy new trucks. I get a couple 46 00:02:15,600 --> 00:02:17,079 Speaker 1: of new trucks to get the new people in there 47 00:02:17,080 --> 00:02:19,040 Speaker 1: going out there. I gotta buy a new equipment to 48 00:02:19,040 --> 00:02:22,359 Speaker 1: get these things built and serviced and installed. Business is booming, 49 00:02:22,400 --> 00:02:25,480 Speaker 1: it's never been better. And in order to grow faster, 50 00:02:25,639 --> 00:02:27,519 Speaker 1: to keep up with that demand, would use leverage. The 51 00:02:27,600 --> 00:02:31,440 Speaker 1: leverage would be credit. So now borrowing money, I'm using 52 00:02:31,480 --> 00:02:35,240 Speaker 1: credit lines. I'm using leverage to buy those trucks, to 53 00:02:35,480 --> 00:02:37,799 Speaker 1: buy that equipment. And of course it's great because all 54 00:02:37,880 --> 00:02:41,280 Speaker 1: this new business is making up way more than what 55 00:02:41,360 --> 00:02:43,760 Speaker 1: those payments are on those trucks or that new office 56 00:02:43,880 --> 00:02:45,799 Speaker 1: or that equipment that I had to buy. So you know, 57 00:02:45,840 --> 00:02:48,000 Speaker 1: I bought a new machine, it's a hundred thousand dollars, 58 00:02:48,400 --> 00:02:50,760 Speaker 1: my payments whatever, five hundred bucks a month, but it's 59 00:02:50,800 --> 00:02:53,480 Speaker 1: making me five thousand dollars a month. So it's like, hey, 60 00:02:53,520 --> 00:02:55,960 Speaker 1: I'll pay five a month in debt to get the 61 00:02:55,960 --> 00:02:57,760 Speaker 1: five thousand a month it's making me. That's great, And 62 00:02:57,800 --> 00:03:00,639 Speaker 1: so that leverage. That debt allows me to grow really 63 00:03:00,680 --> 00:03:02,200 Speaker 1: fast and keep up with that. But the problem is 64 00:03:03,720 --> 00:03:07,160 Speaker 1: when the market shuts off, my phone is not ringing 65 00:03:07,680 --> 00:03:09,760 Speaker 1: and I'm not getting new customers, and that machine is 66 00:03:09,880 --> 00:03:13,160 Speaker 1: not running. How do I afford to pay for all 67 00:03:13,200 --> 00:03:17,080 Speaker 1: that debt? And just as fast as it built up, 68 00:03:17,639 --> 00:03:20,360 Speaker 1: it gets wiped out. All the debt just evaporates and 69 00:03:20,360 --> 00:03:22,920 Speaker 1: it clears out. And that's exactly what's happening um in 70 00:03:23,120 --> 00:03:26,440 Speaker 1: all the markets in UH, in the stock markets, in 71 00:03:26,480 --> 00:03:29,600 Speaker 1: the housing markets, but it's specifically been really, really painful 72 00:03:29,639 --> 00:03:31,920 Speaker 1: in the cryptocurrency markets. We've been talking about this for 73 00:03:31,919 --> 00:03:36,120 Speaker 1: several weeks now, and really we went super deep when 74 00:03:36,160 --> 00:03:39,960 Speaker 1: we saw Tara Luna meltdown. Tara Luna was supposed to 75 00:03:39,960 --> 00:03:41,960 Speaker 1: be a stable coin. I'm not gonna go super deep 76 00:03:41,960 --> 00:03:43,560 Speaker 1: into this. I've already broken this down. You can go 77 00:03:43,880 --> 00:03:49,200 Speaker 1: check out Mark moss Um podcast, Mark moss I Heart 78 00:03:49,200 --> 00:03:52,200 Speaker 1: Mark moss Podcast, and you can find all my back issues. 79 00:03:52,480 --> 00:03:54,080 Speaker 1: So dig back a couple of weeks, just go through. 80 00:03:54,080 --> 00:03:55,760 Speaker 1: You'll see where I talked about Terry Lune. I broke 81 00:03:55,800 --> 00:03:58,040 Speaker 1: down the mechanism, how it worked, how they use leverage 82 00:03:58,080 --> 00:03:59,560 Speaker 1: to build it up, how it was like a Ponzi 83 00:03:59,680 --> 00:04:02,280 Speaker 1: and how on wines. But the problem is as Tara 84 00:04:02,360 --> 00:04:06,400 Speaker 1: Luna unwound, which I was about a sixty billion dollar 85 00:04:06,520 --> 00:04:08,840 Speaker 1: valuation at the time. Now to put that into perspective, 86 00:04:10,080 --> 00:04:12,720 Speaker 1: you remember the Great Financial Crash, you know, two thousand eight, 87 00:04:12,800 --> 00:04:15,120 Speaker 1: the Great Financial crash, you know, when the entire global 88 00:04:15,600 --> 00:04:21,080 Speaker 1: banking system was basically crashing at the same time. Well, 89 00:04:21,120 --> 00:04:23,839 Speaker 1: if you remember that, um, there was a spark that 90 00:04:23,920 --> 00:04:26,320 Speaker 1: really led to that. Of course, that was Lehman Brothers. 91 00:04:26,360 --> 00:04:29,919 Speaker 1: Lehman Brothers went bankrupt and Lehman Brothers was worth about 92 00:04:30,480 --> 00:04:33,400 Speaker 1: sixty billion dollars at the time, So we're talking about 93 00:04:33,440 --> 00:04:36,200 Speaker 1: about the same magnitude. And what happened when when when 94 00:04:36,400 --> 00:04:39,240 Speaker 1: Lehman Brothers went down, all the other banks that were 95 00:04:39,320 --> 00:04:41,479 Speaker 1: caught up with I had loaned money. There were also 96 00:04:41,520 --> 00:04:43,400 Speaker 1: caught up, and then they started coming down because of 97 00:04:43,400 --> 00:04:48,120 Speaker 1: the leverage UM and that's the collateral. So they loaned money, 98 00:04:48,200 --> 00:04:49,840 Speaker 1: they had it on their books as an asset. When 99 00:04:49,880 --> 00:04:52,640 Speaker 1: that money got written off, then that collateral was no good, 100 00:04:52,640 --> 00:04:55,400 Speaker 1: so they got margin calls, staded to post more collateral. 101 00:04:55,440 --> 00:04:58,240 Speaker 1: That went down and it triggers a domino effect and 102 00:04:58,240 --> 00:05:00,719 Speaker 1: that's exactly what happened with Harry Luna. As we've been 103 00:05:00,760 --> 00:05:02,720 Speaker 1: covering this each week, right, So then we saw Ary 104 00:05:02,839 --> 00:05:05,520 Speaker 1: Luna go down, and then it was like Celsius is 105 00:05:05,560 --> 00:05:08,119 Speaker 1: going down. And then when you talked about like three arrows, 106 00:05:08,160 --> 00:05:11,440 Speaker 1: capital starts going down and it's it's the Great unwind. 107 00:05:11,760 --> 00:05:17,680 Speaker 1: That's what we're dealing with. And it's all because of leverage. Now, um, 108 00:05:17,839 --> 00:05:23,000 Speaker 1: we're still processing through this, but this is probably uh, 109 00:05:23,080 --> 00:05:25,920 Speaker 1: you know, obviously a lot of this, the Great unwind 110 00:05:26,080 --> 00:05:29,440 Speaker 1: was kicked off, was ignited because the FED is trying 111 00:05:29,480 --> 00:05:32,080 Speaker 1: to do a great unwind. So the Fed, the Federals 112 00:05:32,120 --> 00:05:35,560 Speaker 1: over there States is the greatest, the the producer of 113 00:05:35,600 --> 00:05:39,520 Speaker 1: the leverage. Right, that's where it comes from. They print money. 114 00:05:39,600 --> 00:05:42,159 Speaker 1: They print trillions of dollars and put it into the system, 115 00:05:42,160 --> 00:05:45,880 Speaker 1: which causes the housing market to boom, for example, and 116 00:05:45,920 --> 00:05:49,159 Speaker 1: then they drop interest rates to zero. So you go 117 00:05:49,480 --> 00:05:53,120 Speaker 1: borrow a bunch of money, you use a bunch of leverage. 118 00:05:54,000 --> 00:05:57,039 Speaker 1: That's what creates the booms. They print the money, they 119 00:05:57,160 --> 00:06:00,880 Speaker 1: lower the interest rates. You go use that leverage they've 120 00:06:00,920 --> 00:06:05,200 Speaker 1: provided to you, but then they decide when to suck 121 00:06:05,240 --> 00:06:07,440 Speaker 1: it right back out. They decide when to shut the 122 00:06:07,520 --> 00:06:11,160 Speaker 1: music off. So then they stop putting money into the economy, 123 00:06:11,200 --> 00:06:15,040 Speaker 1: and then they raised the rates on you. And so 124 00:06:15,120 --> 00:06:17,080 Speaker 1: that's what started this great and wine that that started 125 00:06:17,360 --> 00:06:19,120 Speaker 1: was November of last year. The FED said they were 126 00:06:19,120 --> 00:06:22,400 Speaker 1: gonna start raising rates, They're gonna start letting assets roll 127 00:06:22,440 --> 00:06:24,080 Speaker 1: off their books. They weren't gonna pump money out through 128 00:06:24,120 --> 00:06:26,600 Speaker 1: quantity of easian anymore, um. And so since then we've 129 00:06:26,600 --> 00:06:29,279 Speaker 1: seen the cryptocurrency markets really start to unwind. Now the 130 00:06:29,279 --> 00:06:33,360 Speaker 1: cryptocurrency markets seem to lead the rest of the financial markets. 131 00:06:34,000 --> 00:06:38,800 Speaker 1: So I think that bitcoin specifically and crypto overall um 132 00:06:38,920 --> 00:06:40,400 Speaker 1: really is kind of this canary in the coal mine 133 00:06:40,440 --> 00:06:43,440 Speaker 1: where it unwound way faster. So bitcoins started rolling over 134 00:06:43,440 --> 00:06:47,440 Speaker 1: really quick and started selling off much before the traditional 135 00:06:47,440 --> 00:06:50,400 Speaker 1: financial markets did. So the FED kicked it off. But 136 00:06:50,440 --> 00:06:54,800 Speaker 1: then as as the bitcoin and cryptocurrency markets capped started falling, 137 00:06:55,560 --> 00:06:58,080 Speaker 1: then that's when the that's when the Terror Luna got 138 00:06:58,120 --> 00:07:00,240 Speaker 1: into trouble. It worked really well when bick And was 139 00:07:00,240 --> 00:07:02,720 Speaker 1: going up in value, but when Bitcoin went down in value, 140 00:07:02,720 --> 00:07:05,120 Speaker 1: Tary Luna got into trouble. When Terry Luna got into trouble, 141 00:07:05,120 --> 00:07:07,599 Speaker 1: then Celsi's got into trouble, etcetera. So here we are 142 00:07:07,920 --> 00:07:10,640 Speaker 1: dealing with this, and it's been a massive drag on 143 00:07:10,680 --> 00:07:15,160 Speaker 1: the bitcoin and cryptocurrency space because it's basically causing massive liquidations, 144 00:07:15,200 --> 00:07:18,600 Speaker 1: meaning they are being forced to sell huge amounts or 145 00:07:19,000 --> 00:07:22,000 Speaker 1: pretty much all everything. They have. Huge amounts of bitcoin 146 00:07:22,040 --> 00:07:24,400 Speaker 1: and ethereum exce are onto the markets at the right time, 147 00:07:24,440 --> 00:07:29,480 Speaker 1: at the exact same time. So supply and demand. If 148 00:07:29,520 --> 00:07:32,640 Speaker 1: you have more bitcoin being sold or more crypto being 149 00:07:32,680 --> 00:07:35,880 Speaker 1: sold than there are buyers for it, the price will 150 00:07:35,920 --> 00:07:38,640 Speaker 1: come down. And so right now with the markets, all 151 00:07:38,680 --> 00:07:41,280 Speaker 1: the markets crashing, the entire you know, from real estate 152 00:07:41,360 --> 00:07:44,480 Speaker 1: to stock markets, do you name it down. Crypto of 153 00:07:44,520 --> 00:07:46,760 Speaker 1: course is way down. But then you have to dump 154 00:07:46,840 --> 00:07:48,880 Speaker 1: all of this on the market. There's not people to buy. 155 00:07:48,880 --> 00:07:50,400 Speaker 1: It's what happens to the price. Of course, it comes 156 00:07:50,400 --> 00:07:53,960 Speaker 1: down pretty easy to understand. So I think it's been 157 00:07:54,600 --> 00:07:55,960 Speaker 1: like I said, the carrying the coal mine, I think 158 00:07:55,960 --> 00:07:58,680 Speaker 1: it happened first, and I would think we would be 159 00:07:58,800 --> 00:08:02,440 Speaker 1: maybe at about the bottom about now. But man, the 160 00:08:02,560 --> 00:08:04,840 Speaker 1: hits just keep on coming. So let's talk about some 161 00:08:04,880 --> 00:08:08,640 Speaker 1: of those hits that keep on coming. So um, like 162 00:08:08,680 --> 00:08:12,320 Speaker 1: I said, uh, Terry Luna has done. That's over UM Celsius. 163 00:08:12,400 --> 00:08:14,960 Speaker 1: What's going on with Celsius? So UM. As I've said before, 164 00:08:15,360 --> 00:08:18,239 Speaker 1: maybe there's a chance you get some of your money 165 00:08:18,280 --> 00:08:21,480 Speaker 1: back from Celsius if you're really lucky. UM. They are 166 00:08:21,560 --> 00:08:25,200 Speaker 1: working with UM, you know, bankruptcy attorneys right now to 167 00:08:25,240 --> 00:08:28,840 Speaker 1: try to wind this down. UM, there's a potential that 168 00:08:28,960 --> 00:08:30,920 Speaker 1: you might get some money back. I wouldn't hold your 169 00:08:30,920 --> 00:08:33,800 Speaker 1: breath over it. But we saw this week f t 170 00:08:34,320 --> 00:08:38,200 Speaker 1: X Exchange that has basically come into kind of be 171 00:08:38,280 --> 00:08:42,920 Speaker 1: like the FED. They're like back stopping all these crypto institutions. UM. 172 00:08:43,000 --> 00:08:46,679 Speaker 1: They looked at Celsius and they made some shocking claims 173 00:08:46,840 --> 00:08:48,400 Speaker 1: that you may not like. I want to tell you 174 00:08:48,440 --> 00:08:52,000 Speaker 1: what that is. UM, But they also stepped into back 175 00:08:52,080 --> 00:08:58,760 Speaker 1: stop another really big, actually two really big other crypto 176 00:08:58,800 --> 00:09:02,960 Speaker 1: companies that are getting hit. And you won't believe the 177 00:09:03,000 --> 00:09:05,720 Speaker 1: deal they made for this. I mean it is insane. 178 00:09:06,679 --> 00:09:08,400 Speaker 1: I guess this is what you get into bear market. 179 00:09:08,520 --> 00:09:10,600 Speaker 1: Maybe you can follow f t x's lead. I'll tell 180 00:09:10,600 --> 00:09:12,960 Speaker 1: you what that is what they said about Celsius. I'm 181 00:09:13,000 --> 00:09:15,720 Speaker 1: gonna tell you about the other deals they've just made. UM, 182 00:09:15,760 --> 00:09:17,440 Speaker 1: And I got a whole lot more coming up. You're 183 00:09:17,440 --> 00:09:19,280 Speaker 1: listening to the Mark mo Show, talking of course about 184 00:09:19,280 --> 00:09:24,520 Speaker 1: the decentralized revolution, talking about bitcoin, cryptocurrencies and breaking down 185 00:09:24,520 --> 00:09:26,240 Speaker 1: the play by place so you can take advantage of it. 186 00:09:26,400 --> 00:09:28,280 Speaker 1: We'll be back with all that and more in a minute. 187 00:09:28,320 --> 00:09:31,000 Speaker 1: Don't go away, all right, Welcome back. You are listening 188 00:09:31,000 --> 00:09:34,120 Speaker 1: to the Mark Moa Show. We're talking about the decentralized revolution, 189 00:09:34,120 --> 00:09:36,920 Speaker 1: the world that's changing before our very eyes, being led 190 00:09:36,960 --> 00:09:40,520 Speaker 1: by the catalyst of bitcoin and cryptocurrencies. We're talking about 191 00:09:40,600 --> 00:09:45,920 Speaker 1: the great unwind, the great unwind, which is uh, the 192 00:09:46,040 --> 00:09:48,559 Speaker 1: leverage in the system melting down. I went through that. 193 00:09:48,600 --> 00:09:50,080 Speaker 1: I'm not going to go back through that again, but 194 00:09:50,120 --> 00:09:53,480 Speaker 1: I was saying that f t X, which is led 195 00:09:53,520 --> 00:09:56,760 Speaker 1: by Sam Bankman Freed, he's kind of stepped up to 196 00:09:56,840 --> 00:10:01,320 Speaker 1: become like the Federal Reserve back stop, the Federal reserves, 197 00:10:01,360 --> 00:10:04,360 Speaker 1: the backstop for the banks. So um previous to the 198 00:10:04,360 --> 00:10:06,640 Speaker 1: feder Reserve in the late eighteen hundreds of United States, 199 00:10:06,800 --> 00:10:09,880 Speaker 1: we had an era known as free banking, and you 200 00:10:09,920 --> 00:10:11,559 Speaker 1: have all these different banks popping up, and each bank 201 00:10:11,600 --> 00:10:14,079 Speaker 1: would have their own currency, and they're going they're going 202 00:10:14,160 --> 00:10:16,440 Speaker 1: bust all the time, and so the Federal Reserve was 203 00:10:16,440 --> 00:10:19,400 Speaker 1: created to say, hey, we'll backstop these banks, so if 204 00:10:19,400 --> 00:10:21,000 Speaker 1: they go bust, all the people that have their money 205 00:10:21,000 --> 00:10:23,320 Speaker 1: there don't lose at all. Um, we'll come in and 206 00:10:23,320 --> 00:10:25,840 Speaker 1: we'll back stop them. Now that's a whole different story. 207 00:10:25,840 --> 00:10:28,640 Speaker 1: I'm not gonna get super deep into that, but f 208 00:10:28,800 --> 00:10:31,080 Speaker 1: TX is doing something similar where now they're coming and 209 00:10:31,080 --> 00:10:33,600 Speaker 1: they're back stopping a lot of these companies going down. 210 00:10:33,640 --> 00:10:37,320 Speaker 1: So celsius Um, they were potentially going to do a 211 00:10:37,360 --> 00:10:40,960 Speaker 1: deal with celsius to backstop it that maybe at least 212 00:10:41,000 --> 00:10:43,000 Speaker 1: help some of the investors get their money back or 213 00:10:43,040 --> 00:10:45,520 Speaker 1: something like that. And we saw this week that f 214 00:10:45,640 --> 00:10:49,440 Speaker 1: t X passed on a deal to purchase celsius due 215 00:10:49,480 --> 00:10:52,640 Speaker 1: to a deficient balance sheet. What does that mean? Deficient 216 00:10:52,679 --> 00:10:55,760 Speaker 1: balance sheet? Well, they didn't like. They didn't like what 217 00:10:55,760 --> 00:10:58,440 Speaker 1: they saw when they pulled back the covers. It says 218 00:10:58,559 --> 00:11:04,240 Speaker 1: uh FTX passed on to purchase leaguered crypto lenders celsius Um, 219 00:11:04,280 --> 00:11:08,720 Speaker 1: but walked away on account of a two billion dollar 220 00:11:08,960 --> 00:11:13,520 Speaker 1: hole in the lender's balance sheet. A two billion dollar hole. 221 00:11:15,040 --> 00:11:17,199 Speaker 1: Where did that two billion dollars go? Well, a lot 222 00:11:17,200 --> 00:11:19,400 Speaker 1: of it was just wiped out in market gap Um, 223 00:11:19,440 --> 00:11:24,280 Speaker 1: there's rumors that potentially the founder of Celsius, Alex Maschinski, 224 00:11:24,440 --> 00:11:27,680 Speaker 1: might have been siphoning money away. UM. I don't know 225 00:11:27,679 --> 00:11:30,319 Speaker 1: if I want to feed into these allegations because I 226 00:11:30,320 --> 00:11:32,480 Speaker 1: don't really have any proof on it right now. But 227 00:11:32,559 --> 00:11:35,199 Speaker 1: we do know that FTX is backstopping a lot of companies. 228 00:11:35,200 --> 00:11:37,360 Speaker 1: I'm gonna go through a couple of them right now. UM, 229 00:11:37,400 --> 00:11:40,280 Speaker 1: but it doesn't look like they're gonna do with Celsius. 230 00:11:40,360 --> 00:11:42,400 Speaker 1: They walked away because of a two billion dollar hole. 231 00:11:42,520 --> 00:11:45,679 Speaker 1: So again, if you have money there, there's a chance 232 00:11:45,760 --> 00:11:48,360 Speaker 1: you might get some back. Now. I think the way 233 00:11:48,360 --> 00:11:50,199 Speaker 1: that I've been understanding this is there's two ways you 234 00:11:50,200 --> 00:11:52,040 Speaker 1: could hold money on Celsius. One you could have it 235 00:11:52,040 --> 00:11:54,480 Speaker 1: with a loan, you could have it earning yield, or 236 00:11:54,720 --> 00:11:59,040 Speaker 1: they could just be doing custody. If you're only having 237 00:11:59,080 --> 00:12:02,280 Speaker 1: money as cut study, then I think you might have 238 00:12:02,320 --> 00:12:04,360 Speaker 1: a better than average chance of Well, you get the 239 00:12:04,360 --> 00:12:07,000 Speaker 1: money first, if there's any money to go to anybody, 240 00:12:07,200 --> 00:12:09,679 Speaker 1: I think you'll get the money there first. And then 241 00:12:09,679 --> 00:12:11,760 Speaker 1: if you have money in the yield products and them 242 00:12:11,920 --> 00:12:15,840 Speaker 1: lend products, then I think you're an unsecured creditor and 243 00:12:16,240 --> 00:12:18,280 Speaker 1: you'll probably last to get any money if there's any 244 00:12:18,280 --> 00:12:21,000 Speaker 1: money left. Now, there's not gonna be enough money to 245 00:12:21,040 --> 00:12:24,000 Speaker 1: go around for everybody, So the chance of getting money 246 00:12:24,000 --> 00:12:27,400 Speaker 1: into those um is probably gonna be slim if if 247 00:12:27,400 --> 00:12:30,080 Speaker 1: not more than a few pennies on the dollar UM. 248 00:12:30,120 --> 00:12:32,800 Speaker 1: So we'll see, we'll see, but we know that Unfortunately 249 00:12:33,080 --> 00:12:36,080 Speaker 1: f t X walked away because of a two billion 250 00:12:36,120 --> 00:12:40,240 Speaker 1: dollar hole. But that's not the same for everybody. Now. 251 00:12:40,280 --> 00:12:43,080 Speaker 1: F t X actually has been talking to multiple companies, 252 00:12:43,800 --> 00:12:47,680 Speaker 1: one of which is another company called Block five, and 253 00:12:47,720 --> 00:12:50,760 Speaker 1: so Block five is maybe one of the other really 254 00:12:50,800 --> 00:12:52,880 Speaker 1: big companies in the United States that was offering the 255 00:12:52,920 --> 00:12:56,880 Speaker 1: same sort of products as a Celsius Both. You could 256 00:12:56,920 --> 00:12:59,240 Speaker 1: give them their bit, your bitcoin or cryptocurrencies, and they'd 257 00:12:59,320 --> 00:13:01,680 Speaker 1: give you a yield on it and give you interest 258 00:13:02,240 --> 00:13:04,920 Speaker 1: four eight percent something like that. Now, a lot of 259 00:13:04,920 --> 00:13:06,959 Speaker 1: people who used to ask me about these and I 260 00:13:07,000 --> 00:13:10,400 Speaker 1: would always tell them the same thing. Look, as a 261 00:13:10,440 --> 00:13:15,640 Speaker 1: real investor, we want something known as asymmetric opportunities. Asymmetric 262 00:13:15,720 --> 00:13:18,000 Speaker 1: means symmetric would means the same on both means the 263 00:13:18,000 --> 00:13:21,240 Speaker 1: same upside and the same downside. I want asymmetric opportunities. 264 00:13:21,240 --> 00:13:23,200 Speaker 1: I want something that has way more upside than it 265 00:13:23,200 --> 00:13:25,880 Speaker 1: has downside. So with bitcoin today, I'm not gonna go 266 00:13:25,880 --> 00:13:29,240 Speaker 1: through the math, but I believe bitcoin has an eight 267 00:13:29,800 --> 00:13:33,319 Speaker 1: x e d x upside. It can go up eighty 268 00:13:33,320 --> 00:13:36,240 Speaker 1: times pretty easily, in my opinion, but it could go 269 00:13:36,360 --> 00:13:38,960 Speaker 1: down to zero, so it has a one x downside, 270 00:13:39,040 --> 00:13:41,000 Speaker 1: could go to zero one x down with an a 271 00:13:41,160 --> 00:13:44,280 Speaker 1: d x up see how it's asymmetric. I like that. 272 00:13:45,000 --> 00:13:47,760 Speaker 1: But unfortunately, when you're using platforms like Celsius or block 273 00:13:47,800 --> 00:13:51,600 Speaker 1: fire or whatever, it was the opposite because now I 274 00:13:51,679 --> 00:13:57,959 Speaker 1: had a hundred percent risks. As we're finding out Celsius, 275 00:13:58,000 --> 00:13:59,480 Speaker 1: you may not get your money back. I had a 276 00:13:59,640 --> 00:14:04,160 Speaker 1: hundred percent risk to make four or eight percent or 277 00:14:04,160 --> 00:14:07,800 Speaker 1: eight whatever it is. So I'm risking a hundred to 278 00:14:07,920 --> 00:14:11,160 Speaker 1: make eight. So I don't like those odds. I want 279 00:14:11,160 --> 00:14:13,520 Speaker 1: it the other way. I want to risk eight to 280 00:14:13,559 --> 00:14:15,520 Speaker 1: make a hundred, not risk a hundred to make eight. 281 00:14:15,559 --> 00:14:17,319 Speaker 1: And that's exactly why I haven't been a big fan 282 00:14:17,360 --> 00:14:20,240 Speaker 1: of those products. And here we are. Block five is 283 00:14:20,280 --> 00:14:23,200 Speaker 1: in the same boat again, caught up in the great unwind, 284 00:14:23,240 --> 00:14:28,840 Speaker 1: too much leverage, tied together. But um, after weeks and 285 00:14:28,880 --> 00:14:32,200 Speaker 1: weeks and weeks of deliberation. It looks like there's a 286 00:14:32,240 --> 00:14:34,600 Speaker 1: deal that actually is going to happen for Block five. 287 00:14:34,680 --> 00:14:36,800 Speaker 1: So good news if you have money trapped on Block five. 288 00:14:38,040 --> 00:14:41,480 Speaker 1: It looks like the deal that f t X worked 289 00:14:41,480 --> 00:14:45,040 Speaker 1: out with Block five is going to buy them out 290 00:14:45,120 --> 00:14:51,640 Speaker 1: at a n discount to their last money raise. So 291 00:14:51,880 --> 00:14:56,040 Speaker 1: UM companies like Block five, they raise money, pull up 292 00:14:56,080 --> 00:14:59,760 Speaker 1: the exact amount so UM. You know these companies, they 293 00:14:59,840 --> 00:15:03,000 Speaker 1: raise is money and as they go up in value, 294 00:15:03,080 --> 00:15:06,000 Speaker 1: they continue to raise money but at a higher valuation, 295 00:15:06,040 --> 00:15:09,320 Speaker 1: which is exactly what happened. So ft X has agreed 296 00:15:09,360 --> 00:15:14,040 Speaker 1: to provide two hundred and fifty million dollar emergency credit 297 00:15:14,080 --> 00:15:20,360 Speaker 1: line to Block five UM, but at a very very 298 00:15:20,400 --> 00:15:23,560 Speaker 1: reduced valuation. So it says ft X is expected to 299 00:15:23,560 --> 00:15:26,920 Speaker 1: pay roughly twenty five million one source set, which is 300 00:15:28,400 --> 00:15:33,240 Speaker 1: below Block five's last private valuation, which was valued at 301 00:15:33,320 --> 00:15:38,080 Speaker 1: four point eight billion. So block fire recently raised money, 302 00:15:38,280 --> 00:15:41,239 Speaker 1: they raised it at a four point eight billion dollar valuation, 303 00:15:42,520 --> 00:15:44,720 Speaker 1: and today f t X is going to buy it 304 00:15:44,760 --> 00:15:50,520 Speaker 1: for twenty five million, which is off of UM what 305 00:15:50,680 --> 00:15:56,040 Speaker 1: their last round was at UM. So that's a big discount. 306 00:15:56,240 --> 00:15:59,760 Speaker 1: Now why would they do that? Well, it appears that 307 00:16:00,000 --> 00:16:05,720 Speaker 1: what happened is block Fi agreed to maybe sacrifice themselves 308 00:16:05,720 --> 00:16:10,720 Speaker 1: and all the investors so that the people that the 309 00:16:11,000 --> 00:16:13,280 Speaker 1: customers of block fire, the people have money on block fight, 310 00:16:13,360 --> 00:16:17,200 Speaker 1: could maybe get some of that money back. Other deals 311 00:16:17,200 --> 00:16:20,960 Speaker 1: that they had potentially UM looked at. According to sources, 312 00:16:21,080 --> 00:16:24,280 Speaker 1: UM were trying to keep the equity of the investors 313 00:16:24,280 --> 00:16:28,640 Speaker 1: in place, but sacrifice customer deposits. But the rumors say 314 00:16:28,680 --> 00:16:31,120 Speaker 1: that FTX that no, no, no, no, We're going to 315 00:16:31,200 --> 00:16:34,800 Speaker 1: help the customers who have deposits. But all the investors 316 00:16:35,640 --> 00:16:38,400 Speaker 1: they invested into a bad company and they're out. Now. 317 00:16:38,520 --> 00:16:42,120 Speaker 1: Look a lot of people in the bitcoin space are 318 00:16:42,600 --> 00:16:45,240 Speaker 1: happy about this, and we told you so. You never 319 00:16:45,240 --> 00:16:47,680 Speaker 1: should have done that. I would never take joy in 320 00:16:47,760 --> 00:16:49,760 Speaker 1: watching somebody else have pain. I'm not going to take 321 00:16:49,760 --> 00:16:52,880 Speaker 1: any joy in that. UM. You know, these investors love 322 00:16:52,920 --> 00:16:55,880 Speaker 1: and thought they were making good investments, but in a 323 00:16:55,920 --> 00:16:58,400 Speaker 1: situation like this, when the markets crashed, I mean, everything 324 00:16:58,400 --> 00:17:02,440 Speaker 1: goes down, they made bad choices. I'm guessing most of 325 00:17:02,440 --> 00:17:04,600 Speaker 1: them were pretty uh. I know some of the top 326 00:17:04,640 --> 00:17:07,560 Speaker 1: guys were very experienced investors. I'm sure they didn't allocate 327 00:17:07,600 --> 00:17:09,320 Speaker 1: more than they could afford to lose. I'm sure most 328 00:17:09,359 --> 00:17:12,080 Speaker 1: of them are going to be tanked. Um so maybe 329 00:17:12,119 --> 00:17:14,520 Speaker 1: having the investors lose the money and having the money 330 00:17:14,560 --> 00:17:16,760 Speaker 1: accrued to the customers is the best source of let 331 00:17:16,800 --> 00:17:19,000 Speaker 1: me know what you think. Of course, get at me 332 00:17:19,160 --> 00:17:21,680 Speaker 1: on social media. Just at one Mark Moss, it's the 333 00:17:21,760 --> 00:17:24,760 Speaker 1: number one Mark Moss. Hit me up and let me 334 00:17:24,800 --> 00:17:27,480 Speaker 1: know what you think about that. But this is just 335 00:17:27,520 --> 00:17:30,399 Speaker 1: a drop in the bucket. There's even bigger ones happening. 336 00:17:30,400 --> 00:17:32,000 Speaker 1: As a matter of fact, the next one I'm gonna 337 00:17:32,000 --> 00:17:34,320 Speaker 1: talk about isn't even bigger liquidation, which is then going 338 00:17:34,359 --> 00:17:39,800 Speaker 1: into potentially the biggest one in the entire bitcoin cryptocurrency 339 00:17:39,840 --> 00:17:43,480 Speaker 1: market space, and it could be bad for the short 340 00:17:43,600 --> 00:17:45,600 Speaker 1: term price. I'm gonna talk about that and more in 341 00:17:45,640 --> 00:17:47,320 Speaker 1: a minute. You're listening to the Mark mo Show talking 342 00:17:47,320 --> 00:17:51,240 Speaker 1: about bitcoin cryptocurrency, is talking about the decentralized revolution, talking 343 00:17:51,280 --> 00:17:55,880 Speaker 1: about the great unwind, what's happening, how you can observe 344 00:17:55,920 --> 00:17:58,240 Speaker 1: it navigated if you're caught up in it and know 345 00:17:58,280 --> 00:18:00,199 Speaker 1: what to expect. Next. I'm gonna cover all that and 346 00:18:00,240 --> 00:18:02,199 Speaker 1: more when I get back in a minute. Uh So, 347 00:18:02,280 --> 00:18:04,760 Speaker 1: don't go away, all right, Welcome back. You are listening 348 00:18:04,800 --> 00:18:08,400 Speaker 1: to the markma Show. And we're talking about the decentralized revolution. 349 00:18:08,720 --> 00:18:11,159 Speaker 1: We are talking about the way the world is changing 350 00:18:11,440 --> 00:18:13,280 Speaker 1: right before our very eyes, of course, being led through 351 00:18:13,280 --> 00:18:18,479 Speaker 1: bitcoin and cryptocurrencies, through technology, looking at politics, finance and 352 00:18:18,520 --> 00:18:21,640 Speaker 1: technology to understand what the heck is going on? What's 353 00:18:21,680 --> 00:18:23,879 Speaker 1: up with these prices of gasoline and food? Why are 354 00:18:23,880 --> 00:18:26,520 Speaker 1: the markets dropping? And right now we're talking about what 355 00:18:26,640 --> 00:18:29,679 Speaker 1: is going on with the cryptocurrency and bitcoin space. And 356 00:18:29,680 --> 00:18:33,240 Speaker 1: I'm calling it something I've been calling it the Great liquidation, 357 00:18:33,280 --> 00:18:36,440 Speaker 1: the Great unwind. And so I was talking about how 358 00:18:36,640 --> 00:18:38,879 Speaker 1: this leverage, all the leverage have built up in the 359 00:18:38,880 --> 00:18:42,080 Speaker 1: system that allowed to grow really fast is now unwinding 360 00:18:42,400 --> 00:18:45,080 Speaker 1: and that leverage is now caused it to crash equally 361 00:18:45,119 --> 00:18:47,200 Speaker 1: as fast. So we're talking about how f t X 362 00:18:47,400 --> 00:18:49,960 Speaker 1: is kind of like the FED acting as similar to 363 00:18:50,000 --> 00:18:53,399 Speaker 1: a FED, where they are UM the lender of last resort, 364 00:18:53,440 --> 00:18:56,439 Speaker 1: their backstopping UM. Some of these companies that are going down, 365 00:18:56,480 --> 00:18:59,960 Speaker 1: they looked at Celsius, they said heck no. He said, 366 00:19:00,000 --> 00:19:02,520 Speaker 1: heck no, there's a two billion dollar hole. We don't 367 00:19:02,520 --> 00:19:04,240 Speaker 1: want to dump our money into a two billion dollar hole. 368 00:19:04,520 --> 00:19:06,199 Speaker 1: I don't blame him. I wouldn't want to lose two 369 00:19:06,200 --> 00:19:08,119 Speaker 1: billion dollars if I had it UM. I don't want 370 00:19:08,160 --> 00:19:10,600 Speaker 1: to lose two dollars, much less two billion UM. So 371 00:19:10,640 --> 00:19:14,399 Speaker 1: they said no to that UM, but they did say 372 00:19:14,840 --> 00:19:18,560 Speaker 1: yes to UH to block five, so it looks like 373 00:19:18,560 --> 00:19:21,040 Speaker 1: they are helping out block five. So good news, good news, 374 00:19:21,080 --> 00:19:22,600 Speaker 1: bad news depend on where you have your money, if 375 00:19:22,640 --> 00:19:26,639 Speaker 1: you have any money at all, UM and what's next. 376 00:19:26,680 --> 00:19:31,200 Speaker 1: So now there's another one crypto exchange, coin Flex. Coin 377 00:19:31,280 --> 00:19:34,239 Speaker 1: Flex has um paused withdraws, so now they won't let 378 00:19:34,240 --> 00:19:36,320 Speaker 1: you get your money off of their Mark Lamb, the 379 00:19:36,359 --> 00:19:40,640 Speaker 1: CEO of coin flex, said that withdraws will probably not 380 00:19:41,080 --> 00:19:46,439 Speaker 1: restart as they had originally hoped. UM to fix the 381 00:19:46,560 --> 00:19:49,480 Speaker 1: forty seven million dollar hole much better than two billion 382 00:19:49,480 --> 00:19:52,840 Speaker 1: on celsius forty seven million dollar hole on coin Flexes 383 00:19:52,840 --> 00:19:56,280 Speaker 1: balance sheet. The company is issuing a token called Recovery 384 00:19:56,440 --> 00:20:01,640 Speaker 1: Value us D and enticing investors with a interest rate. 385 00:20:02,920 --> 00:20:07,520 Speaker 1: Mm hmm. Now that sounds just like the problem that 386 00:20:07,640 --> 00:20:11,200 Speaker 1: caused all of this in the first place. So it 387 00:20:11,400 --> 00:20:15,159 Speaker 1: started with terror Luna and Terra. Luna was a stable 388 00:20:15,200 --> 00:20:20,080 Speaker 1: coin that offered you a rate, And what are what 389 00:20:20,160 --> 00:20:23,520 Speaker 1: is coin flex proposing? They're proposing to create something called 390 00:20:23,600 --> 00:20:27,240 Speaker 1: recovery value U s D an entice, which is a 391 00:20:27,240 --> 00:20:29,160 Speaker 1: stable coin that they're going to create out of thin air, 392 00:20:29,640 --> 00:20:34,840 Speaker 1: and they're going to pay you interest rate on that. One. 393 00:20:35,080 --> 00:20:38,840 Speaker 1: I'm not sure. Well, a couple of things. One, I'm 394 00:20:38,880 --> 00:20:40,960 Speaker 1: not sure how the heck they're allowed to do that. 395 00:20:41,000 --> 00:20:42,520 Speaker 1: You would think the SEC would step in and go, 396 00:20:42,560 --> 00:20:44,600 Speaker 1: wait a minute, this is insane. You can't do the 397 00:20:44,600 --> 00:20:46,200 Speaker 1: exact same thing that caused the whole problem in the 398 00:20:46,200 --> 00:20:48,800 Speaker 1: first place. That's one. Two. I can't believe that they 399 00:20:48,800 --> 00:20:50,639 Speaker 1: would even try. I mean, who the heck is this 400 00:20:50,720 --> 00:20:52,880 Speaker 1: Mark Lamb CEO. What does he think he's doing. Wouldn't 401 00:20:52,880 --> 00:20:55,360 Speaker 1: you think he would have learned and he wouldn't even try. 402 00:20:55,520 --> 00:20:59,080 Speaker 1: And Third, I can't believe people would fall for it. 403 00:21:01,160 --> 00:21:04,120 Speaker 1: And you know I said in the previous segment, I don't. 404 00:21:04,160 --> 00:21:06,280 Speaker 1: I don't. I don't get any joy. As a matter 405 00:21:06,280 --> 00:21:08,040 Speaker 1: of fact, I feel really bad for people that are 406 00:21:08,040 --> 00:21:09,840 Speaker 1: getting wiped out here. I have no joy in seeing 407 00:21:09,840 --> 00:21:15,600 Speaker 1: people get taken down. But part of me, I tweeted 408 00:21:15,640 --> 00:21:19,600 Speaker 1: out last night, Um well, I'll pull up the tweet, 409 00:21:19,640 --> 00:21:22,639 Speaker 1: I said, A part of me, part of me feels 410 00:21:22,640 --> 00:21:26,120 Speaker 1: that they're getting what they deserve, And I know that's 411 00:21:26,160 --> 00:21:28,359 Speaker 1: that's the wrong thing, not not getting what they deserve, 412 00:21:30,920 --> 00:21:33,480 Speaker 1: maybe maybe getting with the deserve. I tweeted out last night. 413 00:21:33,480 --> 00:21:40,000 Speaker 1: I said, um, the age of responsible, the age of 414 00:21:40,160 --> 00:21:46,600 Speaker 1: personal responsibility is snapping back hard, the age of personal responsibility. 415 00:21:46,600 --> 00:21:50,880 Speaker 1: Now to have freedom, we have to have responsibility. But 416 00:21:50,920 --> 00:21:53,160 Speaker 1: the problem is today is nobody wants to take responsibility 417 00:21:53,200 --> 00:21:56,320 Speaker 1: for themselves. And so I feel really bad for people 418 00:21:56,359 --> 00:21:59,439 Speaker 1: caught up in these situations, but they need to be 419 00:21:59,520 --> 00:22:02,560 Speaker 1: responsive for themselves. If you're gonna put money into something, 420 00:22:02,720 --> 00:22:06,159 Speaker 1: you should sure as heck learn what that is. You 421 00:22:06,200 --> 00:22:09,040 Speaker 1: should sure as heck be paying attention to what's going on. 422 00:22:09,560 --> 00:22:12,440 Speaker 1: And if you don't, if you don't understand, if you 423 00:22:12,600 --> 00:22:14,680 Speaker 1: if you don't understand what is, then you shouldn't put 424 00:22:14,680 --> 00:22:15,919 Speaker 1: money in there. If you do put money in there 425 00:22:15,920 --> 00:22:19,800 Speaker 1: and you're not paying attention, that's on you. And and 426 00:22:20,000 --> 00:22:23,879 Speaker 1: and I don't I know that may sound a little harsh, 427 00:22:23,880 --> 00:22:26,560 Speaker 1: but to the point of this tweet, the age of 428 00:22:26,640 --> 00:22:31,680 Speaker 1: personal responsibility is snapping back hard. And this is happening 429 00:22:31,720 --> 00:22:34,159 Speaker 1: in the financial system, and so we're seeing people getting 430 00:22:34,200 --> 00:22:37,480 Speaker 1: wiped out. They didn't take personal responsibility. They see the 431 00:22:37,520 --> 00:22:40,400 Speaker 1: warning signs that are out there. And so if this guy, 432 00:22:40,680 --> 00:22:44,000 Speaker 1: the CEO Mark Lamb, wants to create a new stable 433 00:22:44,040 --> 00:22:48,560 Speaker 1: coin and pay people interest the same thing that caused 434 00:22:48,600 --> 00:22:50,520 Speaker 1: the other crash, and people are willing to go along 435 00:22:50,560 --> 00:22:54,760 Speaker 1: with it, then maybe they deserve to deal with whatever 436 00:22:54,840 --> 00:22:57,440 Speaker 1: happens from that. I hope they don't lose, but sure 437 00:22:57,480 --> 00:22:59,159 Speaker 1: as heck, canna take a lot of risks I wouldn't 438 00:22:59,160 --> 00:23:02,160 Speaker 1: want to deal with. Now they're saying that coin flex 439 00:23:02,200 --> 00:23:06,600 Speaker 1: is saying that a big hole is caused by um 440 00:23:06,800 --> 00:23:09,800 Speaker 1: Roger Ver, who was typically previously known. Maybe he still 441 00:23:09,800 --> 00:23:12,200 Speaker 1: has this Bitcoin Jesus. He was very early in the 442 00:23:12,200 --> 00:23:14,560 Speaker 1: bitcoin space. He was Bitcoin Jesus because he tried to 443 00:23:14,560 --> 00:23:17,280 Speaker 1: evangelize everybody about bitcoin. At one point, I believe he 444 00:23:17,440 --> 00:23:23,320 Speaker 1: had over four hundred thousand bitcoin, over four hundred thousand bitcoin, 445 00:23:23,720 --> 00:23:26,040 Speaker 1: which would make him, at one point, you know, one 446 00:23:26,080 --> 00:23:29,440 Speaker 1: of the richest people alive. I think, let's see four 447 00:23:29,520 --> 00:23:33,120 Speaker 1: hundred thousand times even at twenty thousand dollars, that it's 448 00:23:33,160 --> 00:23:36,480 Speaker 1: a right right around now my calcultors even go that high. 449 00:23:36,520 --> 00:23:38,200 Speaker 1: I can't even tell you how much it is a lot. 450 00:23:38,280 --> 00:23:40,360 Speaker 1: He had a lot, but now you know he bet 451 00:23:40,359 --> 00:23:42,399 Speaker 1: on bitcoin cash. He tried to crash bitcoin and go 452 00:23:42,440 --> 00:23:44,880 Speaker 1: to bitcoin cash, he lost money, and now supposedly there's 453 00:23:44,920 --> 00:23:47,919 Speaker 1: a forty seven million dollar death that he owes. He 454 00:23:47,920 --> 00:23:51,000 Speaker 1: says he doesn't. They say he does, airing dirty laundry. 455 00:23:51,040 --> 00:23:52,720 Speaker 1: I'm not going to dig into that. I don't really care. 456 00:23:53,160 --> 00:23:56,919 Speaker 1: But the point is is of this is that um 457 00:23:56,960 --> 00:24:00,080 Speaker 1: it says here that coin flex has this hole, and 458 00:24:00,080 --> 00:24:02,680 Speaker 1: it says to fix this forty seven million dollar hole 459 00:24:02,760 --> 00:24:07,120 Speaker 1: and coin flexes balance sheet which is supposedly caused because 460 00:24:07,160 --> 00:24:09,600 Speaker 1: of Roger VERR not paying his bill. And again I'm 461 00:24:09,640 --> 00:24:12,280 Speaker 1: not digging into that, but it doesn't matter. There's a 462 00:24:12,280 --> 00:24:15,480 Speaker 1: whole million dollars and in order to fix that, the 463 00:24:15,520 --> 00:24:17,760 Speaker 1: company is going to issue this token of Recovery Value 464 00:24:17,800 --> 00:24:20,720 Speaker 1: s DS stable coin, and it's going to entice investors 465 00:24:20,760 --> 00:24:24,439 Speaker 1: to give them money with interest rate for holding the 466 00:24:24,560 --> 00:24:27,520 Speaker 1: virtual currency. The CEO of Mark Lamb says that the 467 00:24:27,520 --> 00:24:31,199 Speaker 1: ability to pay that interest would come from recouping the 468 00:24:31,320 --> 00:24:35,600 Speaker 1: funds from Roger Ver plus a financing charge that has 469 00:24:35,600 --> 00:24:39,840 Speaker 1: been imposed on him. Lamb says, quote, we don't know 470 00:24:39,880 --> 00:24:43,960 Speaker 1: what's going to happen after if he doesn't repay, or 471 00:24:44,000 --> 00:24:46,840 Speaker 1: if he does repay. Our focus right now is on 472 00:24:46,880 --> 00:24:53,120 Speaker 1: getting these funds raised. End quote. So supposedly Roger Vert 473 00:24:53,119 --> 00:24:56,159 Speaker 1: owes money million supposedly. I don't know the details. I'm not. 474 00:24:56,200 --> 00:24:57,800 Speaker 1: I don't know if he does, it doesn't. But suppose 475 00:24:57,840 --> 00:24:59,879 Speaker 1: he does, that's a whole. So they're gonna sell you 476 00:25:00,000 --> 00:25:02,680 Speaker 1: a stable coin, um to try to raise money to 477 00:25:02,720 --> 00:25:06,600 Speaker 1: fill that hole in a company that's basically insolvent, bankrupt. 478 00:25:06,640 --> 00:25:09,560 Speaker 1: They're gonna try to raise million dollars from people by 479 00:25:09,560 --> 00:25:12,560 Speaker 1: paying interest, and they're gonna supposedly be able to pay 480 00:25:12,600 --> 00:25:17,040 Speaker 1: them that interest by charging the financing charge to Roger Vert, 481 00:25:17,480 --> 00:25:23,680 Speaker 1: who already won't pay the money in the first place. So, uh, 482 00:25:23,720 --> 00:25:27,119 Speaker 1: pro tip here. Never loan money to somebody that you 483 00:25:27,160 --> 00:25:29,160 Speaker 1: don't know and don't know if they can pay you back. 484 00:25:30,560 --> 00:25:32,119 Speaker 1: So I don't know Roger Vert. I don't know the 485 00:25:32,160 --> 00:25:35,520 Speaker 1: situation here, and he's obviously not paying and so why 486 00:25:35,560 --> 00:25:38,679 Speaker 1: would he pay later? Um, Why would I loan money 487 00:25:38,720 --> 00:25:42,560 Speaker 1: to them in hopes of maybe making I would have 488 00:25:42,600 --> 00:25:47,280 Speaker 1: to be a complete idiot to do that, and it's 489 00:25:47,320 --> 00:25:51,399 Speaker 1: almost criminal. I don't know, man, you know, I feel 490 00:25:51,840 --> 00:25:55,199 Speaker 1: I hate throwing that around. But the CEO says, quote, 491 00:25:55,400 --> 00:25:59,480 Speaker 1: we don't know what's going to happen after if he 492 00:25:59,600 --> 00:26:03,399 Speaker 1: doesn't repay, or if he does repay. We don't know 493 00:26:03,520 --> 00:26:06,239 Speaker 1: if he's going to repeat repay. How can he in 494 00:26:06,320 --> 00:26:10,080 Speaker 1: any good consciousness and even legally, how can he go 495 00:26:10,440 --> 00:26:13,320 Speaker 1: to get forty seven million dollars from people like you 496 00:26:13,359 --> 00:26:18,920 Speaker 1: and I in the hopes of maybe getting money back 497 00:26:18,960 --> 00:26:21,960 Speaker 1: from somebody that he may or may not be owed from. 498 00:26:22,000 --> 00:26:25,480 Speaker 1: And he says in his own words, we don't know 499 00:26:25,680 --> 00:26:29,359 Speaker 1: if he's going to repay. How can you do that 500 00:26:29,400 --> 00:26:31,960 Speaker 1: in good consciousness? How can you do that legally? I mean, 501 00:26:32,000 --> 00:26:34,320 Speaker 1: it's just insane. And so that's why I say, if 502 00:26:34,359 --> 00:26:37,520 Speaker 1: anybody gives them money for this, I don't want anyone 503 00:26:37,520 --> 00:26:39,159 Speaker 1: to lose money, which is what I'm trying to warn you. 504 00:26:39,880 --> 00:26:44,880 Speaker 1: But I have to just feel like it's on them. Man. Uh. 505 00:26:45,080 --> 00:26:46,879 Speaker 1: Back to my tweet from last night, when I was 506 00:26:46,920 --> 00:26:48,840 Speaker 1: reading this stuff, and I was and I was looking 507 00:26:48,840 --> 00:26:51,720 Speaker 1: at this, you know, the age of personal responsibility is 508 00:26:51,760 --> 00:26:55,760 Speaker 1: snapping back hard. By the way, if you're not following 509 00:26:55,800 --> 00:26:58,080 Speaker 1: me on Twitter, what the heck are you even doing? That? 510 00:26:58,119 --> 00:27:01,320 Speaker 1: One got about thirty impressions. I put out a couple 511 00:27:01,320 --> 00:27:03,200 Speaker 1: of good things here and there. Follow me on Twitter 512 00:27:03,240 --> 00:27:05,240 Speaker 1: at one Mark Moss. That's just the number one Mark 513 00:27:05,320 --> 00:27:09,720 Speaker 1: moss Um. Let's see, I got more talk about liquidations. 514 00:27:09,720 --> 00:27:11,480 Speaker 1: There's two more big ones and as a matter of fact, 515 00:27:11,520 --> 00:27:14,840 Speaker 1: it's the biggest one, the biggest one that my guest 516 00:27:14,880 --> 00:27:17,399 Speaker 1: actually last week, Mike Alfred said that wasn't going to 517 00:27:17,440 --> 00:27:21,880 Speaker 1: happen because they were so big, and yet here we are. 518 00:27:22,920 --> 00:27:24,520 Speaker 1: I'm gonna break that down and more in a minute. 519 00:27:24,520 --> 00:27:26,119 Speaker 1: You're listening to the Mark mo Show talking about the 520 00:27:26,160 --> 00:27:29,359 Speaker 1: decentralized revolution, talking about bitcoin and cryptocurrency, is talking about 521 00:27:29,359 --> 00:27:31,240 Speaker 1: the way the world is changing before our very eyes. 522 00:27:31,560 --> 00:27:32,760 Speaker 1: I got a lot more to cover in a minute. 523 00:27:32,760 --> 00:27:35,520 Speaker 1: Don't go away, all right, Welcome back. You're listening to 524 00:27:35,520 --> 00:27:39,040 Speaker 1: the Mark mass Show taking you through, step by step, 525 00:27:39,119 --> 00:27:42,120 Speaker 1: walking you through the decentralized revolution, the way the world 526 00:27:42,160 --> 00:27:45,160 Speaker 1: is changing before our very eyes. If you zoom out, 527 00:27:45,160 --> 00:27:46,760 Speaker 1: you can see it, and if you zoom all the 528 00:27:46,760 --> 00:27:48,320 Speaker 1: way in and look at the incremental steps, you can 529 00:27:48,359 --> 00:27:50,240 Speaker 1: see it as well. Of course, we're talking about the 530 00:27:50,240 --> 00:27:53,600 Speaker 1: way the world is changing with bitcoin and cryptocurrencies, and 531 00:27:53,600 --> 00:27:56,040 Speaker 1: we're looking at through the lens of politics, finance, and technology. 532 00:27:56,080 --> 00:27:58,000 Speaker 1: The way, it's changing all of those things before our 533 00:27:58,080 --> 00:28:03,159 Speaker 1: very eyes. We've been talking about the great unwind, the 534 00:28:03,200 --> 00:28:05,880 Speaker 1: grid unwind. Of course, the Federal Reserve. They create every 535 00:28:05,880 --> 00:28:08,760 Speaker 1: boom and bust that we have. Um, it's insane that 536 00:28:08,840 --> 00:28:11,600 Speaker 1: we allow a group of people to control our money 537 00:28:11,640 --> 00:28:15,480 Speaker 1: and create booms and bus on us. It's absolutely insane 538 00:28:16,200 --> 00:28:18,359 Speaker 1: that that we allow this to happens. In saying that 539 00:28:18,359 --> 00:28:19,920 Speaker 1: it happens in the first place, it's even more in 540 00:28:19,960 --> 00:28:21,680 Speaker 1: saying that we're allowed to make it happen. Of course, 541 00:28:21,680 --> 00:28:24,840 Speaker 1: Henry Ford, the father of the automobile, told us over 542 00:28:24,840 --> 00:28:27,120 Speaker 1: a hundred years ago. He said, quote, if the American 543 00:28:27,119 --> 00:28:30,240 Speaker 1: people knew how the financial system worked, there would be 544 00:28:30,240 --> 00:28:35,879 Speaker 1: a revolution before the morning. That means before the morning, 545 00:28:35,920 --> 00:28:40,120 Speaker 1: like right away instantly. So of course there's probably no surprise. 546 00:28:40,200 --> 00:28:42,840 Speaker 1: That's why we don't learn about the financial system in schools. 547 00:28:42,880 --> 00:28:45,000 Speaker 1: We don't hear about it, we don't talk about it. 548 00:28:45,040 --> 00:28:47,920 Speaker 1: But the Federal Reserved, it's responsible for every boom and 549 00:28:47,960 --> 00:28:49,760 Speaker 1: bust that we have. They put money in things go 550 00:28:49,880 --> 00:28:52,240 Speaker 1: really good. We're buying houses, were buying cars, we're expanding 551 00:28:52,240 --> 00:28:54,800 Speaker 1: our business. And then they sucked the money back out 552 00:28:54,840 --> 00:28:58,000 Speaker 1: and then everything crashes. So they started this, you know, 553 00:28:58,480 --> 00:29:00,360 Speaker 1: November last year, they started to say they're gonna start 554 00:29:00,400 --> 00:29:03,800 Speaker 1: raising rates. We're gonna start letting go from quantitative easy 555 00:29:03,800 --> 00:29:05,920 Speaker 1: and increase them I supie a quantity of tightening, tightening 556 00:29:05,960 --> 00:29:07,959 Speaker 1: the mon terry supply. So of course things started crashing. 557 00:29:08,080 --> 00:29:10,280 Speaker 1: Bitcoin starts going down, and it's just this great unwined 558 00:29:10,280 --> 00:29:15,000 Speaker 1: because all the leverage um so Terra Luna celsius um 559 00:29:15,160 --> 00:29:17,160 Speaker 1: we went, we went through all these big going their 560 00:29:17,200 --> 00:29:20,320 Speaker 1: mating every week now coin flex. But now it's getting big. 561 00:29:20,360 --> 00:29:22,880 Speaker 1: Now it's getting serious. So now I've been talking about 562 00:29:22,880 --> 00:29:25,240 Speaker 1: for a couple of weeks this three Arrows Capital three 563 00:29:25,280 --> 00:29:28,560 Speaker 1: A C and and they're probably going to default. And 564 00:29:28,920 --> 00:29:31,640 Speaker 1: here we are. So this week we see that crypto 565 00:29:31,640 --> 00:29:34,360 Speaker 1: hedge fund just defaulted on a six hundred and seventy 566 00:29:34,520 --> 00:29:38,920 Speaker 1: million dollar loan UM So the Three Arrows Capital defaulted 567 00:29:38,960 --> 00:29:42,840 Speaker 1: on that. Digital asset broker Voyage did. Voyager Digital issued 568 00:29:42,880 --> 00:29:44,920 Speaker 1: a notice on Monday morning stating that the fund failed 569 00:29:44,920 --> 00:29:47,160 Speaker 1: to repay a loan of three million in US dollar 570 00:29:47,200 --> 00:29:51,280 Speaker 1: Peg stable coin another fifteen thousand, two y bitcoin. We're 571 00:29:51,320 --> 00:29:58,400 Speaker 1: three three million at today's prices. So what happens is 572 00:29:58,440 --> 00:30:01,520 Speaker 1: Three Arrows Capital default that on that six seventy million 573 00:30:01,600 --> 00:30:06,720 Speaker 1: dollars to Voyager. But I bet that Voyager needed that money. 574 00:30:07,920 --> 00:30:10,560 Speaker 1: And so now Voyager doesn't have the money they need 575 00:30:11,040 --> 00:30:13,360 Speaker 1: to pay their bills, but more importantly to meet their 576 00:30:13,440 --> 00:30:17,040 Speaker 1: margin requirements, which means now they default on a bill 577 00:30:17,160 --> 00:30:20,040 Speaker 1: to somebody else. You see how that works. That's why 578 00:30:20,080 --> 00:30:22,120 Speaker 1: this is the great unwined. It's just a domino one 579 00:30:22,200 --> 00:30:24,280 Speaker 1: after another, starting with the small ones and working its 580 00:30:24,320 --> 00:30:28,960 Speaker 1: way up. We can see Digital asset brokerage Voyager Digital 581 00:30:29,040 --> 00:30:32,240 Speaker 1: issue to notice on Monday morning saying the fund failed 582 00:30:32,240 --> 00:30:35,720 Speaker 1: to repay them. Three A C's solvency crunch comes after 583 00:30:35,720 --> 00:30:37,800 Speaker 1: weeks of turmoil. I've been talking about it for weeks here, 584 00:30:38,320 --> 00:30:40,080 Speaker 1: which is they raise hundreds of billions of dollars in 585 00:30:40,200 --> 00:30:44,959 Speaker 1: value um. Voyagers said it intends to pursue recovery from 586 00:30:45,040 --> 00:30:48,560 Speaker 1: three A C. In the interim. Good luck. My parents 587 00:30:48,600 --> 00:30:49,960 Speaker 1: told me when I as a kid, you can't squeeze 588 00:30:50,000 --> 00:30:51,760 Speaker 1: blood out of a turn up, right that old saying. 589 00:30:52,240 --> 00:30:54,080 Speaker 1: And so yeah, sure go get your money from them 590 00:30:54,120 --> 00:30:58,040 Speaker 1: if if you could. But the problem is is they can't. Now. 591 00:30:58,080 --> 00:31:00,480 Speaker 1: As a Friday, Voyager said it had approximately hundred thirty 592 00:31:00,480 --> 00:31:03,240 Speaker 1: seven million in US dollars and owned crypto assets. The 593 00:31:03,280 --> 00:31:06,200 Speaker 1: company also noted that has access to a two dred 594 00:31:06,240 --> 00:31:11,360 Speaker 1: million cash and USDC revolver credit line, as well as 595 00:31:11,560 --> 00:31:17,320 Speaker 1: fifteen thousand bitcoin worth three million revolver from Alameda Ventures. Now, 596 00:31:17,360 --> 00:31:21,080 Speaker 1: who's Alameda Ventures? Who? Who the heck is? These are 597 00:31:21,120 --> 00:31:24,720 Speaker 1: these people that are loaning money everyone? Well, Alameda Ventures 598 00:31:25,440 --> 00:31:28,880 Speaker 1: is owned by f t X founder Stam Bankman Freed. 599 00:31:29,840 --> 00:31:33,360 Speaker 1: It's his quantitative trading firm. So Sam Bankman Freed has 600 00:31:33,360 --> 00:31:36,240 Speaker 1: Alameda and he has f t X, and he's the one, 601 00:31:36,320 --> 00:31:39,400 Speaker 1: as we've been talking about, that's backstopping all these institutions 602 00:31:39,440 --> 00:31:44,400 Speaker 1: and so um they've given Voyager credit lines. Now, the 603 00:31:44,480 --> 00:31:48,680 Speaker 1: one thing I have no exposure to Voyager or blocked 604 00:31:48,760 --> 00:31:53,719 Speaker 1: VI that that that f t X and and uh 605 00:31:54,040 --> 00:31:57,640 Speaker 1: Alam are stepping into. But if I did, one thing 606 00:31:57,640 --> 00:31:59,600 Speaker 1: that would probably give me a little bit of comfort 607 00:32:00,240 --> 00:32:02,720 Speaker 1: is that once they come in and you know, put 608 00:32:02,760 --> 00:32:04,719 Speaker 1: up the two or fifty million or here we have 609 00:32:06,920 --> 00:32:11,200 Speaker 1: three five million UM that they've given the Voyager, they 610 00:32:11,280 --> 00:32:14,000 Speaker 1: probably like they looked at Celsius and said, heck, no, 611 00:32:14,160 --> 00:32:16,800 Speaker 1: two billion dollar hold, We're done with that but they 612 00:32:16,800 --> 00:32:19,400 Speaker 1: will give five million Voyager, So I'm guessing they liked 613 00:32:19,400 --> 00:32:21,680 Speaker 1: what they saw with Voyager. I'm guessing once they put 614 00:32:21,680 --> 00:32:25,400 Speaker 1: five million in, they are probably not going to let 615 00:32:25,400 --> 00:32:27,080 Speaker 1: that go away. So if they need to put more 616 00:32:27,120 --> 00:32:29,240 Speaker 1: money in, they probably will. So it probably gives me 617 00:32:29,280 --> 00:32:30,880 Speaker 1: a little bit of air of confidence there. I don't 618 00:32:30,880 --> 00:32:33,880 Speaker 1: have any money in any Voyager or Block five, but 619 00:32:33,960 --> 00:32:35,720 Speaker 1: if I did and it was locked, maybe I would 620 00:32:35,720 --> 00:32:37,480 Speaker 1: feel a little bit better that they probably won't let 621 00:32:37,520 --> 00:32:41,160 Speaker 1: it go down. Um it says Voyagers already pulled seventy 622 00:32:41,160 --> 00:32:43,320 Speaker 1: five million dollars from that line of credit. But how 623 00:32:43,360 --> 00:32:46,280 Speaker 1: did three A C How did three airs capital get there? Well, 624 00:32:46,800 --> 00:32:50,520 Speaker 1: it had a lot of exposure to Tera Luna obviously, right, 625 00:32:50,720 --> 00:32:52,880 Speaker 1: and then I had exposure to Block five, right, And 626 00:32:52,920 --> 00:32:57,040 Speaker 1: so you see how that UM trickles down. Now now 627 00:32:57,080 --> 00:32:59,440 Speaker 1: for the big one. So UM. I had a guest 628 00:32:59,480 --> 00:33:01,560 Speaker 1: on last week, Mike Alfred. We were talking about this 629 00:33:02,840 --> 00:33:05,440 Speaker 1: UM go to the Go Starch Mark Moss podcast or 630 00:33:05,480 --> 00:33:07,960 Speaker 1: Mark Moss I Heart to find that podcast. It was 631 00:33:08,000 --> 00:33:10,520 Speaker 1: a good conversation with Mike Alfred, an insider that kind 632 00:33:10,520 --> 00:33:12,600 Speaker 1: of knows the inner workings of this stuff. So if 633 00:33:12,600 --> 00:33:14,160 Speaker 1: you want a little bit more insight into this. It was. 634 00:33:14,200 --> 00:33:15,840 Speaker 1: It was a really good conversation. Go check that out. 635 00:33:15,920 --> 00:33:19,320 Speaker 1: But um, we I asked about a company called Genesis, 636 00:33:20,240 --> 00:33:23,560 Speaker 1: and Genesis is the big dog. That's that's the biggest 637 00:33:23,600 --> 00:33:27,000 Speaker 1: dog in the space. Genesis is owned by Barry Silbert, 638 00:33:27,000 --> 00:33:32,080 Speaker 1: which also owns Coin Desk or DCG Digital Currency Group. UM, 639 00:33:32,120 --> 00:33:34,280 Speaker 1: and so they're the big one right there, they're the best. 640 00:33:34,280 --> 00:33:36,120 Speaker 1: And he said, oh no, you know, they're they're so big, 641 00:33:36,160 --> 00:33:38,840 Speaker 1: they're so liquid. Uh, they're credits so tight. Um. You know, 642 00:33:38,840 --> 00:33:41,240 Speaker 1: they're not gonna get caught up in this. But here 643 00:33:41,240 --> 00:33:45,880 Speaker 1: we are. So on coin Desk, the news site, which 644 00:33:46,160 --> 00:33:48,440 Speaker 1: of course is owned by the same people, it says 645 00:33:48,480 --> 00:33:52,960 Speaker 1: that Genesis faces hundreds of millions in losses as Three 646 00:33:53,080 --> 00:33:58,920 Speaker 1: Arrows Capital exposure swamps crypto lenders. UM. It says that 647 00:33:59,440 --> 00:34:02,800 Speaker 1: the trading losses said to have suffered a nine figure, 648 00:34:03,160 --> 00:34:06,400 Speaker 1: nine figure losses partly through exposure to three Aris Capital 649 00:34:06,520 --> 00:34:10,160 Speaker 1: and Babel Finance. We haven't heard about Babel, so nine figures. 650 00:34:10,320 --> 00:34:16,000 Speaker 1: So let's see, seven figures is a million, eight figures 651 00:34:16,120 --> 00:34:21,040 Speaker 1: is uh ten million, and three figures nine I'm sorry, 652 00:34:21,120 --> 00:34:25,080 Speaker 1: nine figures is a hundred million plus. Here it says 653 00:34:25,280 --> 00:34:29,560 Speaker 1: hundreds of millions, as in plural hundreds. Cryptocurrency market maker 654 00:34:29,560 --> 00:34:32,480 Speaker 1: and learning from Genesis Trading is facing potential losses in 655 00:34:32,560 --> 00:34:37,480 Speaker 1: the hundreds of millions, in part to exposure to overleveraged 656 00:34:37,640 --> 00:34:40,240 Speaker 1: hedge fund three OARS Capital in Hong Kong based crypto 657 00:34:40,320 --> 00:34:43,160 Speaker 1: lender Babel Finance in the order of a few hundred 658 00:34:43,200 --> 00:34:47,480 Speaker 1: million dollars says. The precise tally of Genesis losses may 659 00:34:47,520 --> 00:34:49,400 Speaker 1: not be known for some time because the company is 660 00:34:49,440 --> 00:34:53,560 Speaker 1: seeking at least partial repayment from its counterparties, and some 661 00:34:53,680 --> 00:34:57,160 Speaker 1: of the losses may have been offset by hedging. So 662 00:34:57,200 --> 00:34:59,719 Speaker 1: don't we don't really know how deep these holes are 663 00:34:59,800 --> 00:35:03,520 Speaker 1: right now, It says. A cascade of liquidations that many 664 00:35:03,560 --> 00:35:06,759 Speaker 1: different crypto lending and trading platforms has followed the high 665 00:35:06,800 --> 00:35:10,239 Speaker 1: profile unraveling of crypto firms such as Terraformal Labs, Ary Luna, 666 00:35:10,719 --> 00:35:13,439 Speaker 1: um Celsius and three Oars Capital. So this is all 667 00:35:13,680 --> 00:35:19,360 Speaker 1: domino affecting down now. Um. You know, according to Mike Alfred, 668 00:35:19,360 --> 00:35:21,560 Speaker 1: who I had on last week, you know, Genesis is 669 00:35:21,600 --> 00:35:24,279 Speaker 1: so big, so large, they're probably gonna be okay, um, 670 00:35:24,280 --> 00:35:27,440 Speaker 1: it says Genesis originated over forty four point three billion 671 00:35:27,440 --> 00:35:31,080 Speaker 1: dollars in loans in the first quarter of two three. 672 00:35:31,160 --> 00:35:33,279 Speaker 1: That that's what they generated just the first quarter of 673 00:35:33,280 --> 00:35:36,400 Speaker 1: this year billion UM. It's rumored to have a war 674 00:35:36,520 --> 00:35:41,160 Speaker 1: chest of about one billion um oh d c g um. 675 00:35:41,200 --> 00:35:43,000 Speaker 1: Their parent group is about to have a war chest 676 00:35:43,040 --> 00:35:45,399 Speaker 1: of a billion that can help Genesis buffer any kind 677 00:35:45,440 --> 00:35:49,600 Speaker 1: of shock. UM. So you know, I don't know if 678 00:35:49,600 --> 00:35:51,360 Speaker 1: it's gonna go down, and that doesn't affect me. What 679 00:35:51,400 --> 00:35:54,080 Speaker 1: it does affect me, and it affects you, is that 680 00:35:54,320 --> 00:35:58,720 Speaker 1: as this continues to go down, these massive forced liquidations, 681 00:35:59,040 --> 00:36:03,480 Speaker 1: when these companies are forced to liquidate fifteen thousand bitcoin 682 00:36:03,640 --> 00:36:07,360 Speaker 1: at one time, the market there's not enough buyers to 683 00:36:07,440 --> 00:36:10,920 Speaker 1: absorb fifteen thousand bitcoin at one time, and so that 684 00:36:11,040 --> 00:36:16,480 Speaker 1: pushes the price down. And so UM, while I think 685 00:36:16,560 --> 00:36:19,759 Speaker 1: we've seen the worst of bitcoin selling, we really don't 686 00:36:19,840 --> 00:36:23,640 Speaker 1: know because we don't know how big these holes are. 687 00:36:23,920 --> 00:36:26,719 Speaker 1: And this is a danger to everybody in the space. Um, 688 00:36:26,719 --> 00:36:28,520 Speaker 1: And we're just gonna have to see how this plays out. 689 00:36:28,520 --> 00:36:30,080 Speaker 1: Of course, I'm gonna keep you up to date on 690 00:36:30,120 --> 00:36:33,120 Speaker 1: it as it goes, uh, step by step by step, 691 00:36:33,480 --> 00:36:36,319 Speaker 1: So hopefully you can see the contagion that's happening. We're 692 00:36:36,320 --> 00:36:38,279 Speaker 1: going to continue to monitor the situation, keep you up 693 00:36:38,280 --> 00:36:39,640 Speaker 1: to date on it. We're gonna keep our eye on 694 00:36:39,680 --> 00:36:42,120 Speaker 1: the Federal Reserve because they're the ones that have caused 695 00:36:42,120 --> 00:36:44,320 Speaker 1: this thing in the first place. When they might pivot 696 00:36:44,400 --> 00:36:46,760 Speaker 1: and ease some of this pressure off of the markets 697 00:36:46,760 --> 00:36:48,960 Speaker 1: and the cryptocurrency markets, you'll be the first to know 698 00:36:48,960 --> 00:36:51,000 Speaker 1: if you listen to the Marketmas Show on a regular basis. 699 00:36:51,200 --> 00:36:52,759 Speaker 1: That's what I got here today. All right, thanks for listening.