Regulation, NFTs, EIP1559, and the China CBDC

Welcome everyone to POV Crypto the only podcast of both big winners and a theory and a listen to. I am David Hoffman here with my buddy Christian, Christian. How you doing? What's up, dude? Long time no talk. Long time no talk. Two conferences, two almost two conferences ago. It's the last time we talked. Yeah, man. I know the fans are upset that that we've had this

massify a dish, but shit. Your boys are fucking busy. Yeah, no, we got we got some media to produce. And this time the most recent conference was the Ethereum conference stuff, Bitcoin conference. Yeah, and the most recent David illness is COVID. COVID, not just in sniffles. Yeah, your boys got COVID. So I mean, I'm in quarantine. I'm going to get a test tomorrow. And if it

comes back a negative, your boys flying home, the San Diego, but other than that, I'm just locked up in the house that I started POV crypto in in the first place. So here we come full circle. Yeah, so David, how's the vid? I haven't had it. So I'm kind of curious. Well, I can only tell you how COVID is with the vaccine. I can't tell you

what it's like without the vaccine. And it was really achy. It's in like just I got really stiff. If you are a flexible person, you would very much notice your stiffness that you come out with COVID with. So that was definitely noticeable. Just like, I, you know, when you like go to the gym really, really hard. And then you're the next day you kind of move

around like an old man, because you really sore like the set. It was just like just a second day was COVID for me. And then also really, achy eyes really sniffly on the first day. And other than that, not too bad. You lose your taste. I didn't lose my taste, but tastes got different. So like the classic, and this was I was trying to figure this

out. If I had COVID or not, before I actually got tested and turns out I did, I would like taste some things. And like I still can taste this, but it tastes different. And it was to the point of like, is this placebo or is this not placebo? But yeah, so no, it didn't lose my taste, but it was like different. All right, well, since the

last time we talked a lot, it has happened other than you experienced that. Yeah, I mean, what should we jump into? What's the first topic? Well, so where did we leave Bitcoin 2021? Bitcoin was doing modestly nothing in terms of price, I would say. Pretty much been flattened down. Yeah, everything's been flattened down, except for the pie. It's this bike the last like three days or

so, or excuse me for it. Well, so Ethereum is on its 13th green candle in a row. Is that true of the time? I think that's true. Yes, that's true. Absolutely. So that's the point of recording 13th green candles in a row. And then Bitcoin has like nine out of the last like 13, which are also green. So in my opinion, a very strong rejection of

the quote unquote bear market. Not necessarily in validation of the crab market, but definitely in an invalidation of like some prolonged bear market in my opinion. Yeah, it's hard to tell, it's hard to tell because like fees on Ethereum or cheap, the mempels pretty much empty and picking up. I mean, okay, they're picking up now with the NFT craze, but they got cheap. Like, you know,

like, pretty much the blockchain. Like, that's the real skin in the game. And obviously Ethereum, like, you know, things that are happening on the blockchain a lot more. Whereas like, you know, Bitcoin trading is happening. People are pulling things off the exchange. You know, there's there's only X amount of on chain, like usage that's actually happening on the day to day comparatively. And, you know, you

got to just look at what's happening on chain. And that's telling you like the pulse, right? And when the excitement is gone, you know, there's just not that much zest on the blockchain. And that's kind of like the ultimate skin in the game to, you know, enthusiasm. Totally. And in the last like two weeks or so, we've seen gas prices spike to as high as something

like 3000 way is the highest screenshot that I've ever seen. At least for a single block. But then like for yours, two or three times in the last five days where gas prices on Ethereum spiked over 1000 way each. And they were all NFT sales. So like, one of them was like me look, who this is donor cats drop. And then there was a couple of

other NFT sales that it was like things were things were quiet. Like, we hit the low lows of like 10 way per block in Ethereum for a couple days in a row. And that's really when like the whole bear market conversation was at its peak. But they know people are so fucking weak. I'm sorry to interrupt you. But God damn it. If you're listening to this

and you, and you got scared out of your position, like you're fucking weak. You're weak. Jesus. I'm like the whole time. I'm just sitting there like what is wrong with you people. And David's been consistent too. Like this is the bull market. Look at 2017, 2013. Like I did get like shook a little bit when because like at some point markets in crypto have momentum. And

they stopped. And they started going down. And so like I did get shook a little bit when I saw like things going down. And then things going down more. Like it didn't shake me out of my position. It shook me. It shook me like emotionally. Your conviction of you knowing that this is a bull market. No. So yes. So it did shake me out of like,

oh, I could see my I could see this going into like a 12 months long like boring time. I didn't know what a bear market looks like. I didn't think it would be a painstaking. I didn't know what a full bear market. But I could definitely, there was definitely a moment where I saw like 12 months of boringness ahead. And so I got shook that I

got shook like that. Right. Didn't cause me to sell anything. Whatever sell anything. That'd be dumb. But I'm talking about conviction more than anything. Oh, yeah. I think the conviction and the attitude on Twitter. Man, it was getting depressing. It was getting depressing. Yeah. Oh, if you're if you're, if you're, if you got shook out of your conviction, and then you like contribute. Bitcoin. Just it

just either be bullish or go home, like one or the two things. Yeah. It's like you have to be perpetually bullish, and I'm not telling you how to trade. I'm just saying about your mentality. Like your, your sentiment forwarded the future. If it's not perpetual bullishness. It's like what the fuck, Oh my god, the funny thing is just like, if some no one, no one who's

a newbie, like listen to P.O.V. crypto. P.O.V. crypto is not the first podcast that people listen to. But like the, but if it was, they would be listening to that line of being like, who the fuck are these guys? But all the, but all the long-term veterans are like, oh yeah, people are sure people should go home. Like get the fuck out. It's like common sense.

But I mean, there's a lot to be bullish about, but I would say, you know, despite the price declining, there's just been a lot of turbulence in the market as well. I mean, you kind of did bring up NFTs. Do we want to talk about that before we talk about, you know, happy to talk about NFTs. So like, I mean, all right, fromstream I was thinking

about why is the provocation of NFTs and. Well, if you think about NFTs that are random, but basically, the very end of the Mukbangaks. I think just in all groups, actually, millions of productions and so on. All of the pull-ups, but not so many kinds of noves. Why do you think? Like that's the. Don't don't I mean, like I mean, investing a lot of pioneering a

lot of stuff, but just give me the pitch. Rare Pepe is as an NFT project. No, I don't know, I don't know what that is. So the NFTs, but when we'll talk about that, what the NFTs that I have seen. Maintain life and expand on upon life as in like they have a kernel of life to them and it's growing and growing, growing. are fall into

two categories, Avatar NFTs, which are NFTs that are scarce that you can purchase and it works to put them as your avatar. So like crypto punks fall into these category into this category. Board apes, boardy op-gleb falls into this category. Cool cats are a rising rising NFT project. And these are probably like things that you can put as your avatar and as you're on Twitter in

the digital world and. They all have attributes. And so like for crypto punks, it's like, I have a crypto punk that has the attribute of like a native cap and sunglasses and a smile. And those are my crypto punks, avatars and like this kind of same pattern. Just like, you have like multiple different features like eyeglasses or hats and smiles and in skin color like all

the different attributes rotate and then some sort of random generation. Those have done well. And only only a very specific version of those. So like only a few projects like I like I name. And then there's this other project called art blocks, which is generative art as in the transaction that you make on the blockchain that goes through an algorithm and that algorithm outputs an art

piece of art. So you make the transaction and the transaction actually becomes the art. And then, and then you can trade that. Those are the only two NFT projects that I've made I've seen. Make it through like the quote unquote NFT bear market. However, the NFT bear market for out of the last like. months or so. If you were not paying attention to the NFT world,

you called it the NFT bear market. If you were paying attention to the NFT world, you called it the NFT Renaissance, where like a bunch of shit projects that that came out of the any NFT mania actual mania just got just left and just like people that like funded that market got burned. They just was too much over capitalization like too much excitement, too much energy.

There was just a consolidation. andhin actual quality. And so what people thought what people what happened. what that was was the quote unquote NFT bear market, which was really just like a consolidation. Now has basically converge into our our blocks crypto punks. And been MSM flow over projects like board apes cool cats and a few others. Basically core. Ethereum. ask you to get inside of the

ETF. And then and then some% need to be out there but it actually kept updated. And like my interpretation of this is that there's the core Ethereum believers, the core people who will like have the ETH to spend on NFTs. And a lot of these NFTs are inherently denominated in ETH. These core people are seeing the writing on the wall in their opinions. And they're seeing

Ethereum go through the motions and go through the steps to become the worldwide global value settlement layer of the internet. And they are going along on that vision by buying some core fundamental Ethereum cultural artifacts, which are the NFTs, the crypto punks. That's why that's why crypto punks might be led the mania this weekend. Three hours capital allocated to crypto punks. Some person bought a hundred

crypto punks by sweeping the floor. So by spending over I think like 20,000 ETH by buying all the cheapest crypto punks. And so the and these people, these are not like the Bitcoin Maxis. These are not just like the institutional investors. These are people who got rich off ETH. Most likely. And they want or or DeFi apps. We saw like Hayden and Adams Robert Leshner by

crypto punks. They want the crypto punks have turned into this thing about like if you kind of like are an ETH Maxi who have like gotten rich off of ETH. Your brand is a crypto punk like that's what you do. So like the crypto punks are like the ETH Maxi brand. And so everyone wants to like associate themselves with the protocol that they think is going

to be the settlement layer for value over the internet for the next like decade or century. And so they bought a crypto punks because that is like the cultural artifact that reflects that. And so and that kind of had to spill over into the rest of the NFTs ecosystem. And that all happened in like the last like 10 days or so. And it really came to

a head this last weekend. And so while people thought that it was an NFT bear market, it was actually an NFT land grab by the people that believed in them the most. I mean, that's kind of how markets work, right? But I mean, I would say like creative destruction is something that crypto brings back because there's no central planners or central banks to bail it out.

And like it's a beautiful thing like it works. Right. The shit needs to be flushed out like that is healthy. But that never happens in the world. The existing market, the existing traditional system, like they will not let it happen. They can't bear that let it happen. And now if it happens, everyone's wrecked. Everyone is completely obliterated. Right. And it's like, I don't know. I just

like, you know, I don't even know if I fully buy the NFT story. I do think it's super interesting to hear about Ethereum culture and representing Ethereum culture and like crypto punks. It sounds like crypto punks is the real winner. And also the thing. It's the same. It's the safest winner for sure. And then like it also sounds cool. Like, you know, hashing, you know, you

have your transaction and then, you know, the NFT translates that into art. I mean, I, I don't know, I guess I get it. What I do find that's interesting. Out of what you said is like what is missing there is like artists making NFTs for the most part. Like maybe there's like artists have their own fame or artists that are like really, really iconic. But like,

I don't know. Like you didn't say frickin people, right? And I didn't hear people there. He was like the top. But he's not part of the story of these days. At least not as a month or so. And it's just like, that's, that's interesting to me. But I would also say is like, okay, well, that, like one thing that is, like, I like about like Bitcoin

is, it's money, right? And I mean, you could argue that Ethereum is too. But like, I feel like storing your value and money is an awesome thing. Because it's not fashionable. It's like something that's kind of like universally can be relied on. And like, people was literally the top six months ago. And now you didn't even mention them once. So like, I just like I'm curious.

Like in 18 months, like, let's talk about these things. Actually, as a store value, maybe crypto punks is different. It sounds like it has a lot of like OG, eat money in it versus like, you know, fresh, froth money, which is what was happening during the first NFT kind of cycle in 2020. And, uh, beginning of 2021, but, you know, uh, at the same time, I

know a lot of eat people that have dumped their precious shit coins back in 2017 too. So. Well, I mean, crypto punks came from 2016. So they're even earlier than the ICO mania. Uh, so they have more of a Lindy there. Um, one thing. I didn't know that about crypto punks. I didn't know that they're older than crypto kitties. Yeah. Yeah. Uh, I mean, that makes

them cooler. And they're like, like, like crypto punks came out when when the theorem came out. Same year, that makes them a lot cooler. Yeah. No. So there, there's actually a significant overlap between like the story of the crypto punks and the story of Bitcoin, right? So started off completely worthless. Uh, you could mint a crypto punk for free. Uh, and just get it kind of

like a faucet mechanism. Uh, and then a lot of crypto punks got lost to just like lost private keys, like perhaps the third of them out of the 10,000 total. Uh, and then the 2017 ICO mania happened and then like crypto punks got their first like monetization event. And so they actually got it started trading for actual. Eath, uh, and then the bear market to 2018

bear market came and again, they were worthless for two years. And only the core believers. Like would trade them. And they were traded based off of their attributes. Right. So like core Ethereum believers would trade these things for like a couple hundred dollars. It's like, Hey, like I have a hoodie with 3D glasses. I'm looking for a lot of things. Like a blue pig tail crypto

punk with with sunshades. And so they would trade them around each other, just trading off of the attributes. Uh, and then when the NFT mania picked up again. And for the first time, that's when like they market value for, uh, crypto punks happened. Again, for the second time after just being gears basically being zero. Uh, and then they picked up and picked up and picked up

and now they're like this data symbol, uh, because like the cheapest crypto punk right now is like $90,000 or something. Um, and then I think that's what I'm going to do. And, uh, so like they, they kind of have like this immaculate distribution event where like first day was free. And no one got any money from it by definition. And then people forgot about them. And

then years later, people returned to them after being forgotten for years. And then and then ascribe the market value, right after like the, the tourists of the less than the core believers stayed. Uh, and so it had this like immaculate conception story that it, to me, it feels very like synonymous with big ones. I mean, again, in the founding team, I made zero dollars, founding team,

I mean, yeah, I mean, again, it sounds like it's, uh, they, they, they are cool, um, for sure. Definitely, uh, priced out of them, uh, personally, so not eth well. Um, but let's, uh, let's flip it over to talk about the, the, the price, ETH BTC. Um, I mean, in general, things have been going up, but kind of, on not a ton of excitement. I don't

know. I just feel like we're kind of like in this like wave right. Now, and we're just kind of experiencing the wave. But the real, uh, is, is still not upon us quite yet. Um, they're talking about the 85% of expensive prices in general, but um. Yeah. What you're, what you take on how things are going. I don't even have a chart in front of me.

Um, I think that the, we're still in the crab market. And it's on the cusp of being invalidated. Uh, and if you look at the east, I'm kind of doing this from memory. If you look at the east US dollar chart, it looks halfway decent. If you look at the Bitcoin dollar chart, it looks kind of flat. But if you look at the ETH BDC chart,

it looks really awesome. And so I'm, I'm kind of conflicted by like an old overall crypto still stuck in flat. Well, like the inside of crypto, like, ETH looks really strong for this Bitcoin. Um, at least that's, at least that's my take. We are currently at the, I'm looking at this right now. So this is accurate. We are at .0655 ETH BDC ratio. After breaking out

of a descending wedge, if we want to get into the trader terminology. Um, I'm like, already, even at the, at the local lows of a ether BTC, which is that point zero. 525, 525 ETH BTC is like really high historically. If you go all, if you go to all time chart for, for ETH BTC 055 is higher than roughly like 90 plus percent of time written

the ETH BTC chart. And it looks really strong right now. Uh, decent number of traders. I've seen like ledger and, and the, the duck man. Um, crypto done all both, both echoed bullish bullish. So I didn't really look at the issue. It's like up to theis is $600. We should, we should not nail those. So I don't know exactly how I can handle it. All right.

Also, we're seeing this, this queen dog, baby, What about decreased. Coping pattern that starts mid 2018. Yep. And it's kind of like Consolidating up here. I mean the reality is is Bitcoin sideways and down and shit coins pumping such NFTs in Vogue again is like very prime for eat to make a move up. So I don't know like that's just kind of reality of a bull

market is that things move and they move in waves and There has been conversations with the brewing Bitcoin trade where like Bitcoin is historically always been like the first one to move. And so I mean after things get like latent for at least a while then like Bitcoin kind of. And it becomes the shelling point as in because everyone kind of looks at Bitcoin to break

the trend, right. And so if you're bullish, you buy Bitcoin because you think Bitcoin's going to be the thing to break the trend. Yeah, I mean for me like my strategy is I'm bullish. So I'm just always buying Bitcoin and I'm really not even looking at trading. And I'm just DCing and anything I think is valuable. So, you know, I will sell ETH at some point,

depending on the ratio. But. Up until up until that point like you have a number for that point, sir. I mean, if you look at this chart point one five or sorry point. Yeah, point one five is the top of the of the 2017 pump flat the 2017 summer. So I mean that's a flipping dude. What the flipping point. Flip it. Flip it. Flip it. It's

like point one five five or something. I would fucking sell the shit out of the flipping. So. But I'd probably sell it before then. What so I mean, I guess we're talking about ETH price. This Wednesday is a big Ethereum milestone with EIP 159 1559. I think it's a massive experiment. So a lot of the Ethereum think that's a sure fire bet to make the blockchain

much better. Just be precise. Just be precise. The flipping is 0.16. Okay. Just be precise. So I mean, yeah, point one five five last last top of the last bull market. If you sell ETH right there, you are literally selling the flip the flipping not happening is what you're doing. I mean Ethereum is is not going to I mean it could. It could flip Bitcoin for

a short period of time, but I don't think I don't think it's going to be a sustained thing. I kind of that has always been my got to take for a while is that like the flipping will happen once and it'll it'll be like a sell the top event. And then it'll fall back down below it and then and then it'll flip it again and that'll

be it. That's how there's always been my belief. I mean that that could be if there is a like oh it didn't want to then it could, but my fundamental belief is that Ethereum doesn't have the properties of Bitcoin. So yeah, well, like Bitcoin doesn't have the properties of Ethereum. So yeah, but Ethereum's properties. I don't think we'll look very good in this environment. And I

mean, we can talk about we can talk about what states are going to do to attack our networks. And I think we will wait in this conversation. But you know Ethereum has always been kind of like this peacetime blockchain. I definitely think Bitcoin's a lot more for wartime blockchain. I don't know what you're looking at moving forward, but I'm seeing a lot of wartime. So I'm

seeing a decent amount of wartime, but here's my more recent updated take. Is that the Chinese bank central bank digital currency is a force to be reckoned with. The United States government is doing fucking nothing about this issue about how awesome the fucking Chinese bank digital digital currency actually is both in terms of the market. With actually producing good for the world and being a really

useful tool from the from for the CCP CCP CCP CCP CCP CCP Chinese Communist Party Chinese Communist Party. It both does a lot of banking the unbanked and financial inclusion, which are values that everyone in crypto and will leave them and won't it already has done that or or at least this story of an all of China. It has it has put so many like one

of the most banks countries as it is. That's what this is what I'm talking about. This is what it was before it was a bank before the yes. Okay. So I mean, I mean, he's crypto coin. They're all on we chat already. Yes. Everyone was K Y seed and yes, and tracked by the Chinese party very competently. Yes. That's what you're saying. Yeah. Yes. That's and

also the net positive outcomes of putting a bank down into everyone's phone has been good. So I think that's what I think is the most important thing for the cost that it's had which are which are significant. But no, the crypto industry has not banked as many people as we chat and Ali Baba or Ali Pay or whatever. And like twist and a staunch degree like

not even a little bit. We recently did a podcast with this guy who wrote a book about called cashless and tells the story of the growth of the Chinese bank digital currency and talks about like the how just China gave a banking license to Ali Pay and we chat and that is how it's like if we gave it to like Amazon and Google and Facebook banking

licenses and all of a sudden they put a bank account into like everyone's phones. Everyone's phones. There's nothing stopping them from doing that. You know, it says. I mean, there's very little stopping them from doing that. There's Google Pay. Right. Except, except for all the monopoly like protections that we give banks to make sure that they don't do that. There's a ton of differences there. Yeah.

I would say that banks have a little bit more stake to try to leverage US government to protect their existing business models. A lot more stake. Yeah. And so the Chinese bank's digital currency is literally the 2.0 version of this thing that already worked really, really well. And it's going to work even better. The United States has no idea what's coming for it. As totally unprepared.

It just had like this seminar called crypto. What is it even good for? Like not even understanding that the fucking Chinese playbook for their CBDC was literally defined by crypto. And all of the innovations that we've made in this industry in 2014 and 2015, they took the crypto playbook. They applied it to the central bank digital currency. And now it's going to be one of the

biggest forces that this whole entire world has to play with. And the United States government regulators are like having these fucking are just. Circling their fucking jerks like trying to like come up with something. And they don't understand crypto. They don't understand that literally the entire answer to the Chinese playbook. Bank digital currency is D5. And they are trying to regulate it away inside instead of

trying to adopt it and leverage it for their own benefits. That's why I picked it. That's all that's all Janet Yellen. You're going to have to educate me on the on the CCP digital currency because I'm extremely bearish on central bank digital currencies. I also I'm also bearish on on China in the Chinese virtual currency. I think that there are a bunch of central planners who.

Are just you know they can't help but fuck themselves. Look I am totally with you and I'm totally bearish on those same things for all the same things the same reasons you are. And I'm bearish on their alignment with humanity. Yet I'm also bearish on other humans alignment with humanity. And the China Chinese people just adopt these things. No questions asked. And we have to we

have to remember is like. Like the whole concerns about privacy and surveillance. Those are very. Like first like first world United States Western concerns. The rest of the world. They're barely you know. They're not. They're. American son give a fuck. Only the world. The world doesn't give a fuck. And so like all of the negative things that the corners would love to talk about the Chinese

banks. The currency are valid and negligible for the rest of the world. That's not the reason I'm bearish. Why are you bearish. I just don't think they're going to pull it off. The Chinese have never been able to them like demonstrate power. They've never been able to be in mind. now without adition is doing right them on a mental operators wealth. The bank is just patience.

I didn't want any of them on a tell. They got far too deep into the market with things like that. Yes ording. Now that was nice. They've got some centralized network effects already. They have their captive population, which they're actively making poor and unhealthy. They're actively going to be getting worse and worse in terms of demographics against the rest of the world. And the rest of

the world has Bitcoin and crypto. So like when's this when's this thing going to ship and where the fuck is Bitcoin going to be when it actually does ship. I'm like tell me why I shouldn't be bearish. It sounds like you had a conversation with someone who knows more than me. Yeah, the conversation of when China ships like that should be pointed at the China ships

dude. They are known for shipping when when when is this thing happening and where literally literally 20 the answer 2022 as a as a conversation with the sky Richard turret 2022 and then fucking smart contracts in 2024 and 2025. And so like I don't see any reason to be skeptical by that the Chinese central bank digital currency isn't going to roll out exactly as they expected

to. And not only that it's not even for China. It's for like the global for global trade in the Eastern hemisphere. It's like the all all the Asian countries and decent number of the African countries and a decent number of the Middle East countries are would love to use it's trying to be digital currency to facilitate trade. So why would a current why would a country

that has its own monetary sovereignty. Use another country's currency. Because of the because of network effects. Like the ease of use of the Chinese CBDC and the seamlessness of the of the transaction in the ease of what the US having into the into the network is so incredibly easy that there's just going to absorb. What's the US for your look. What's the UX going to look

like if you have to KYC because I don't think the Chinese. I don't think the Chinese are very. You only have to have that work. You only have to KY you can accept like meager amounts like date like the average person can can go and just be a part of the network permissionlessly without having to KYC which is the crazy thing. Like if you are a

larger like if you're a business you do have to KYC but if you're a business you're happy to. I mean if you're a business if you're a legal business you're KYC. Yes. In whatever country. Yeah. For the most part. Yeah. But how cool is that like as a individual you can accept and send money without having to register with the CCP. That's pretty crazy. I I

don't know and I don't think they're going to do that. Like I think that's what the guy said who lives in Shanghai. And he's probably spreading this weird propaganda. Okay. Well he wrote a book called Cashless Richard turn. You can read it. Is it is it praise as a concept that does it praise what the Chinese Communist Party has done. I mean it's an irrelevatively like

fair level I would say. Did he did he compare the unbanked to the percentage of people that use cash because like cash permissionlessly banks a lot of people. I mean he lives in China. So no one uses cash there. But I mean like in terms of like the world on the percentage of the population. You know that could use cash versus something else like cash is

more effective at banking the world. The majority of the world it's not about you but I'd rather fucking KYC the news cash. Yeah. Well you that's why you're an e-pead. Okay. And that's why you're a big corner. Yeah. Well. I mean again you're looking you're looking at this world where you know every single large country is going to be just trying to constrain and constrain their

population and control their population and. Your. The fact seems like you're. Like he had like he had has the same values of permissionlessness that you think Bitcoin does. It definitely does not. And it definitely does not have the same values of Val verify and run your own hardware. And it definitely doesn't have the same I would say. What's the word? Just adversarial thinking. There's a lot

of. There's a lot of. There's a lot of. Whatever the narrative is the narrative. Whatever the. And that Bitcoin thinks that it has it doesn't actually have. Okay. Well despite that I do think that freedom and open markets in the long run are more effective. And I personally again based on what I can see from what all central banks are central bank digital currencies are doing

is central bankers are selling. They're saying that they're focused on singularly payments. And on top of that they're not going to ship. They're going to try all this like weird stuff like air drops are going to try all this little thing. It's not going to really catch on unless they force their population and move to it. And then even still why would other countries opt into

it because they give up so much they give up their monetary sovereignty. And you know there is the Belt and Road effort and you know some of those people might be required to use it but even still like. I just don't see the Chinese having a greater monetary effects than the existing dollar system and they definitely don't offer a ton of advantages in terms of. In

terms of good money you know the this thing is for sure going to like force you to spend it it's for sure not going to have a hard like a hard cap it's for sure going to enable them to print as they need so it's just like. There's so many negative things in contrast to Bitcoin and Ethereum. And Dogecoin if you will because you know at

least Dogecoin you know it doesn't have some central planner that can decide to just print it out when they want. So I mean I just see these the central bank digital currencies alongside real cryptocurrencies and they just can't compete again like where are they going to be like okay it's going to ship in 2022. All right well Bitcoin is going to be six months older and

have six months longer to spread across the globe. Same with Ethereum same with Dogecoin same with you know fucking Tron and and tether which is way more dominant than any of this CBDC stuff as it is. I would definitely agree that the rollout of CBDC is just not going to happen. It's yeah for China like every other country that's experimenting with CBDCs is just not going

to do it. It's just they're going to find reasons to not do it and. Half of those reasons are going to be apathy China's going to do it China's absolutely going to do it and. While we all think that like the United States regulators are like the final boss it's actually going to be convincing people. To not use the Chinese CBDC and instead use open permissionless

payment rails like Bitcoin and theorem. That's that's actually the challenge that we have on all the US regulators like I said are just like making a big joke about themselves. So first of all US regulators are joke 99% of regulators are jokes including Chinese regulators. So they will make mistakes are going to continue to make mistakes and guess what doesn't make mistakes the market. In Bitcoin.

But I think control the market. I truly think that tether is going to be have a much much bigger footprint than any CBDC ever gets and that's tether. Tether is current. Yeah. I mean tether as it is right now is already pretty fucking dominant. Yeah. I think you are underestimating what the Chinese CBDC can do. You should listen to the podcast comes out a week from

today. All right. I will. Well speaking of the Chinese they they forced out a lot of hash rate a lot of Bitcoin hash rate. I think it's a massive blunder again speaking of Central Planners fucking up. They had if they really wanted to attack the network. You keep the hash rate there and you take over the machines. You don't unplug them. You don't kick them out.

You don't kick out those businesses. So Kazakhstan's over flooded US and Texas is taking as much as it can. And we're just seeing this outflow. And now we're starting to see that hash rate come online again. So you know, 180 X a hash drop all the way to around 90 X a hash. And now we're back up to 100 X hash. Curious if you've been following

what's been happening. I mean, yeah, I've been following maybe not to the end degree. But that there's been an exodus out of China started to reestablish it elsewhere. I think we all you you know you're definitely an agreement. So I think we're going to be kind of Bitcoin adversarial. And this is the negative over the long term. But like the fact that this has actually happened.

Would you say would you if you could roll it back before trying to try to make this ban and instead found a world where China did make the ban. Would you or would you actually say like this actually event is actually good for Bitcoin. Well, they're probably banning this because they're going to go all in on their CBDC, which is them fucking themselves. They had all

the. But I don't think that's true though because they didn't ban Bitcoin. I think it was environmental concern. Even more now they get to fuck themselves even harder. Great. They banned it in completely hydro areas too. A lot of it is they just want to show that they're controlling the grid that they get to choose what the grid does. And their province managers also want that.

And they want to make sure that their you know leaders see that they're in control. Yeah, well, it's probably good that they like that Bitcoin is gone with the volatility of the China. Chinese regulators already like I mean, it's that over. Very it is very good for Bitcoin. I mean, at the same time, you you get to see how anti fragile Bitcoin is. That you lose

50% of the hatch rate in this the system is still functioning. The system is still clearing blocks a sex satisfactory level. I mean, it was actually pretty impressive. Now there wasn't really an attack on Bitcoin. That's that was a peripheral event. Whatever. I mean, again, like Bitcoin is this thing that was in a fragile state, right? Like 60% of the hatch rate is in China. It

could have been, you know, let's let's say attacked. And now like, you know, there's this saying in Bitcoin that is long you can sit along like Bitcoin can sit along the river long enough and and at some point it will see all of its enemies flow down the river dead. Like it just has to wait out people killing themselves. And I think that this is an

example of the Chinese, the Communist Party, they had a position of power. Where they could have subdued an enemy to their sovereignty and enemy to their cryptocurrency and enemy to their world dominance. And they fucked it up. They fucked it up. And now it's going to be much harder for them to do it. And sure they had a lot of eat hash rate in there as

well. I'm sure they had a lot of eat in China. And what did they do with that? You know, some of the biggest Bitcoin miners are also massive eat whales. So if you bullish on a theorem China fucked up there too. So like why are you bullish on their central bank digital currency? Like they're for fucking up in the real markets that matter. They're actually going

to compete. I think you're well, if to go back to the central bank digital currency thing like. I think you have to have like a really optimistic view of like generalize community to to think that like humanity is going to give a fuck about the difference between the Bitcoin or the central bank digital currency. People just want to. I think you'll just be poor if you

don't use Bitcoin. Like you're going to use principle shit money when the best money in the world. So I think it's available. You can opt in and take you are over allocating how good Bitcoin is for poor people. It's not that good for a popular. I mean, via in in central bank controlled currency is even worse for them. It makes them identify themselves to get it

to get access to it. It has massive permissions around it. And it taxes them to the greatest degree. Most unbanked people are unbanked because their government fails to do so. It's a display of their government incompetence while forcing that you know to be banked to do it. Identifying yourself as a Bitcoin the 21 million hard cap is not going to do much for poor people. How

about that? Dude, you can buy one set right now. And guess what? They can't get printed on. And they can do it from their wallet. What are you talking about? Why is it in out? Why it takes time? Why did the president of Al Salvador? Why would the president of Al Salvador? You know, open his arms up and say we're going to do this. If he

didn't already see progress. Those are super poor people. No, I don't think so. But he doesn't. I think that's a not 100% of the rationale, but like it could be a could be over 50%. You know, we see communities in Al Salvador there adopting Bitcoin. There's a lot of people are being real about it. You know, it's all over the world that are adopting crypto puns

like whatever. All right. Well, I don't think crypto punks are money. So unless you unless you don't quite grasp the value of money in the world, then. I don't even know why it's like one of those things where like you can see you can say like communities are X are X adopting Y. It's like it's one of those things. I can go and find any sort

of like like academic paper to prove anything. Like that. Yeah. Okay. And academic paper is different than a nation state put in their skin in the game and making Bitcoin legal tender. It's not an easy to within. It's a it's a guy who leads a nation state. And so they're for a nation state. But if we want to be clear about something, it's not like a

whole country came together and be like, we love Bitcoin. It's a guy. Totally. No, it's a guy pushing things forward in this country with after he saw it in in practice. We're not talking about on Twitter. And we're not talking about we're not talking about academic papers. Ethelians are all about academic papers. Bitcoin is about. No, if there is not an academic papers, that's Cardano, bro.

If there is. Okay. Name one relevant academic paper that Ethereum is like. I'm pretty sure that you talked about the academic person about the person. There's a good. There's a lot. It took me like three seconds. Fuck. I hear an 80 name. Another one. I mean, what Vitalik himself writes tons of academic papers. There's tons of academia is within Ethereum all the time. Even this Justin

fellow who comes onto your podcast. And yeah, who in just skills a ton of frickin propaganda and fun against Bitcoin and how it actually works was the. I'm a researcher. I'm doing all this like blah, blah, blah, blah. We're theorizing that EIP 159 is going to do all these fantastic things. We're theorizing that proof of stake is going to do all these fantastic things. We're theorizing

that async resistance is this fantastic thing. You know, and guess what? Your research and your theories and practice into a lot of times I've been falling flat. You know, like what has async resistance done? It's just fucked up. I mean, so I've always been well electric city happened. The Chinese hashrate for Bitcoin was four times as large as the ones for Ethereum. I mean, A6 in

China, they're bringing produced in China and now they're getting spilled across the world. So end result is now there's A6 across the world. And no one can make them very easily. Was that because it was centralized in China or wasn't centralized in China? I'm not sure. I mean, the real centralizing factor, which I was saying before you interrupted me is where the resources are. So at

least Bitcoin had a natural market that emerged that didn't interrupt other markets. Did you get this from an academic paper from a Bitcoin podcast? That that the real limiting factor centralizing factor for binding is natural resources. Yeah, that one. Uh huh. I mean, that that is the reality. I mean, Bitcoin podcast articles, what the community is putting out. Not academic papers. I mean, dude, the what

Bitcoin is doing is absolutely not being led by like academic papers. These are like community oriented practitioners who are putting out their thoughts and research out into the public. That's absolutely. I mean, and I'm not saying that that doesn't happen. I'm not saying that that doesn't happen within Ethereum, but Ethereum is much more of a research driven. They have the same ideasip to see having a

finance agency live below, you know, based on Ethereum the 30% president of the Landesregierung viewers, that is only for Bitcoin, that's for Bitcoin. Yeah. Yeah. What's the point? Ethereum's less Bitcoin. Bitcoin. So, you know, in the Bitcoin ecosystem, you're, you're just, you know, slightly less Bitcoin. The mistake being using Bitcoin as the actual anchor of validity here. I mean, that's always been the crux of the

podcast, right? It has like, what's the anchor? Yeah, that's right. Uh-huh. So, uh, before we punch each other in the face, let's talk about this infrastructure bill. Because I think that we can absolutely agree that it's absolutely in sync with Warren, my best friend. I mean, I hope you can speak to, uh, to the, the progressives that think that, uh, open markets and crypto are bad

for the world. No, like Elizabeth Warren would have been like, I, I joke time this on the bank this show, like, uh, a big, big, big Bernie bro, and then after the he, well, first off, it was big Yang, Guy, and then big Bernie bro, but Elizabeth would have been third. But it was Bernie, then Yang. No, no, it was Yang and Bernie. Yang got kicked

out first. Before that, you were Bernie. Oh, yeah. Before Yang was even a thing. I was a Bernie bro. So, so first was Bernie and I just know you that long. I just know. Yeah. Right. Yeah. But in the most recent election, it was Yang, then Bernie. But Elizabeth, what have been third is the whole point of this. And every single time that Elizabeth Warren opens

her goddamn mouth about crypto, I just want to do things I shouldn't say. And it's very, very frustrated. But when she opens her mouth about taxes. I just live with it. I just deal with it. I just bend over and take it. She says some pretty evil things about taxes. Yeah. I mean, it's not like we don't have a tax and wealth distribution problem. So let's

not pretend that wealth should be in. A wealth tax. I don't know about that. A wealth tax means that without any sort of realizing it, you're taking from people just because they live in your country. Yeah. There's a lot of people out there that are suffering. Um, they're suffering. Because of the fiat system and both things. Like it's one of those things where like I believe

in the tax, a new tax system that might include a wealth tax. While simultaneously also believing in a new system that can actually like deliver that value, which maybe is fucking naive. So it's like one of those things where like I kind of have to subscribe to both. And both never works. Yeah. Okay. So we're talking about Elizabeth Warren. We're talking about the infrastructure bill. You

know, it's not even worth talking about Elizabeth Warren because the real. Endermy's here. At least the people who, you know, have actually put this language into it is the is the treasury and deceditor from Ohio. So I forget his name. Am I incorrect on that? What is it infrastructure bill? I don't know. So I'm going to look it up. Okay. Um, $1.2 trillion infrastructure bill. So

that's about, you know, 60, that's 60% of an apple. So apples about $2 trillion. Oh, fuck. So they're going to they're going to spend 60% of Apple. I don't think they're going to make 60% of apples value to the world. Out of that 1.2 trillion, they're claiming that there's a lot of money. They're going to retrieve point. They're claiming they're going to retrieve 52 billion in

taxes that they're going to find by, you know, cleaning up the system. And they're going to get 38 billion of that from crypto. No. That's a good. And, and to do that, they are redefining everything as a broker. So that way they all, you know, a node. Am I an error? Staker. Everything is a broker. And they're going to get a lot of money for everything

has to report to the IRS. And that's how they're planning on collecting $38 billion over, I think, 10 years, over 10 years, or something like that. There's a bunch of people who like didn't realize how large of a cohort the American crypto population is, who thought that they could just like get this political W by seeking this in. But no, but the thing is it's like

they're like the logic here. It doesn't even make sense. It's not even a drop in the bucket of the total budget. That's why they talk to the community. Trying to do this massive thing. And it just it's not like you're not even going to collect any real like just print that dude. You're actually every day or they're actually going to get less money by doing this

bill because they're just going to like actually define the laws that people have to route around to avoid them. Like, oh, you're you're going to tax me on anything I ever do. I guess I won't do anything. And then Elizabeth Warren comes in and tax your wealth that you know, so it's a double whammy. They fucking tax your money that you're trading. Even if it's B

to B and they tag you know, like whatever. You can't trust these government officials. All they're trying to say is your stuff is actually our stuff until it's all our stuff. Like the sovereign individual is like its employees that are just trying to continue to be employed and grow their budget like every organization. It just happens to be the organization that has a lot of monopolies.

So it's pretty unhealthy. Yeah. That's why to some degree like not only on money printing. monopoly on a lot of things. I have to like not only on your on your health apparently too. Monopoly on choosing how you what you do to your body. You know, there's a lot of monopolies apparently here in this organization is just sucking in resources and trying to mess with crypto.

And that's just some degree like why I do have to say like thank you to people like Jake Schrovinsky for fighting this fight, but also just like. It doesn't it doesn't matter like it's not going to go through an even if it does go through like there's going to be just enough of like a populist pushback. From like inside the crypto where they're they'll just figure

it out. Like it's not going to. It's no man. You don't think that you don't agree with that passive estate. Well, to think that's not going to go through is going to be tough because this is like the one line in a massive bill that is like a foundational part of Biden's first term. You know, he's like I'm going to come in. I'm going to pass

this to me. Let's build that's going to bring all these jobs back and save the planet. Right. That's his thing. That's this. Like we are literally like this is a massive elephant and then someone's like, oh, let's just put crypto on the bottom of his foot while it's stampeding through. That's why I don't even it's like it was so tough. It was so. It was actually

like put in there. Then it can so trivially be taken out again. Yeah, but the treasuries who put it in and the treasury is by the interministration. Yeah. They're trying to get as much of their agenda into this as they can. They're not reason for them to attack crypto. Yeah. No, that that's warrants angle apparently too, right? It's like she believes in a CBDC and so

she wants to get a course. They of course she does. She wants a surveillance coin that she can tax everyone with. Of course she wants it. She wants to tax you more. What I would say the Warren is like what percentage of your deficit is our entire GDP and how have you not been able to deliver what you're promising with that? Like Jesus Christ. How much

do you need to spend to deliver anything? Hmm. Yeah. The problem is like people who want to make that point have already given up and they don't attend places that they could yell at. It was with Warren about that. Yeah. Well thankfully crypto makes easier for them to move the Bahamas or Turks and Kekos or wherever else has some better better laws. That's well, I mean

again, that's the whole point of the sovereign individuals. You know, these organizations is literally need to brain drain themselves in order to to to to drop what they're doing. Right. They're going to brain drain themselves. Man, the US Europe, dude, Europe and Canada are brain draining themselves as we speak. Like it's it's Australia too. I mean, definitely. It's what what is happening like these these populations

like the best the best the brightest most bobble the youngest most attractive. They're going to which just go leave. Mm hmm. They're going to leave. Yeah. Need to steal with his. Yeah. I heard for the young boy. Boyish on bullish on Central America. Yeah. Thanks. Oh, is that is that the shelling point of places where people want to go or you just say is a Valsavador.

No, this is my take is the places that have like the best weather most natural resources and the least competent governments have the most again. Yeah, that makes sense. Yeah, with that. So South America Central America. Mm hmm. Looking really good. Very incompetent governments. I've always wanted a property in Argentina. That sounds fun. Yeah, well, give Argentina a little bit longer to completely crime. Yeah, I

think that's a little bit more humble. Um, and then maybe that's that's the next that's the next spot man. You have some ties to Argentina. Yeah. So call it all right. Yeah, let's I've been renting pretty hard here. All right, guys, you can follow the podcast at POB crypto pod. You can follow me at Treslist state both on Twitter and on Bangladesh. Christian. We just are

pulling pointing out inconsistencies and we need to start standing up for, uh, for, you know, humanity in my opinion. And what's right in in freedom. Uh, and big coin and crypto is part of that. So, you know, these central bankers and these politicians, they're always is a it's for your own good. We're going to help you trust us. We need this power. We need to tell

you what to do. We need to cacks all your currency. We need to know exactly how much you have at any time. You need to use a currency that we control. No other there. So that's not going to stop. So be vigilant out there. Follow me. I see you can just go snarks. All Bitcoin magazine. I Bitcoin magazine. And then give us a strap star reviews

at POB crypto pod. Only podcast that Bitcoiners and appearance. Listen to you. Yeah. Yeah. Yeah. So