MICHAEL SAYLOR - Bitcoin is Hope

fibro hornet

what a beautiful she

shirt on

in honor of the cyber hornets today

well this this this interview this

discussion came about because of them so

i guess uh thanks are

in order to the cyber hornets and the

plebs and the maximalists for uh

pressuring you into doing this

john the cyber hornets are i mean

they're out there

representing you

apparently by the way the real question

is what is it about you that makes the

cyber hornets

so intensely loyal that they would uh

badger me to death until i came on the

show

i don't you know that's a question for

the cyber hornets but i suspect it has

something to do with the fact that uh

i tend to like to get

into the the deeper parts of the rabbit

hole in my discussions uh when i talk

about bitcoin you know i think

excuse me i think uh

the macro stuff and the economic and

financial

case and the investment case is all very

well and good and interesting but at

this point it seems so

obvious to the point of almost boredom

and you know i love the guys like raul

and preston and lynn and all those you

know phenomenal people that are doing

great work

but i get it you know i

i know what the investment case is and

i've known for a long time what i'm

interested in is what are the

implications of having this thing emerge

on the world and what does it mean for

society for individual behavior for

interaction for the future you know and

that's uh

i think that's part of it you know

you'll have to ask them when you

interact with them more online and stuff

but i think that's most of

it you know i i agree with you i

you know my my issue

with the macro economists and the

financiers is

is

sometimes they sugarcoat everything

because they're thinking i have to

describe it in such a way that somebody

else

that's less committed that's less

insightful than me will agree with a

small portion of my argument so they'll

give me money and you keep dumbing it

down through three or four or five

layers and then there's nothing left

like for example

what is bitcoin to me

it's like yeah it's like fire it's going

to change the civilization what is

bitcoin to you

um well you know it's an uncorrelated

asset and if you put two percent of your

portfolio an uncorrelated asset you'll

have less volatility and let's back test

this over a decade and see whether or

not this might be an uncorrelated

volatility reducing thing

and i think man that such

it's like so what is the word like

bitcoin deserves better than that but

but also

i give you fire

and you can conquer the world change the

civilization reroute the course of human

history and you want to call that an

uncorrelated asset

yeah like it's exactly it's a one

percent a two percent we want people to

do a one percent allocation to an

uncorrelated asset and i'm seeing

aqueducts and roads and airplanes

and i think you know and they're

defensively like we have to talk to

these head we have to talk to investment

advisors in language they understand

but i would disagree i i i think it's

it underestimates the strength of human

intellect i think that if you if you

explain to them

that this is an engineering breakthrough

and the first time in human history

you know we we have a monetary network

that will store and channel energy

without power loss

you know it's like a railroad it's like

mass transit it's

it's uh

it's

something extraordinary that's going to

be an underpinning of civilization

i there were investors that invested in

standard oil

and there were investors that invested

in

u.s steel

in fact the greatest of financial

investors is uh jp morgan

and he's the guy that actually put

together the merger that created us

steel where he when he merged carnegie's

interest

with the other steel interests it's like

they got it and i think that investors

will get this too i don't think you got

to dumb it down and say

something like it's an uncorrelated

asset to decrease the volatility in your

investment portfolio

yeah i think that's an extremely

narrow way to put it and like you said i

think people put it in that way because

they think they're speaking the language

of the people that they're trying to

entice into this thing you know for some

people and i'm sure we both had a lot of

these conversations if you go in with

this is literally the incorruptible

substance that will transform humanity

well

you know you might lose some people in

that way so it to my mind understanding

the macro arguments is good and a good

use of time insofar as it allows you to

speak the language to get to the real

point that you're trying to make you

know so i talk to a lot of people in

that world as well and

if you can make that case then it's

almost like you get to the next level

nothing put you know

pleases me more than to just jam out on

the at the depths of the rabbit hole you

know i think that's where the interest

in this lies that's works you know to me

bitcoin is literally stunning you know

when i think about it it's almost like

it kind of washes away the thoughts in

your mind and

you're in awe almost and then that aw

gets pushed into different

you know lines of thinking that emerge

in your mind as a result and being in

that sort of meditated meditative

stunned state and that's where i like to

hang out with the plebs you know i like

to get the plebs on whether they're

quote unquote well-known bitcoiners or

nobodies and got on and talk about where

they've come to in those explorations so

that's that's

what my interest is and i you know i've

noticed in your tweets lately

and i you know obviously you you deal in

both words worlds as well

and i'm sure you have to speak like the

language of the macro stuff so as to not

come off too

uh you know crazy right off the hop but

in your tweets and stuff you're coming

out with a lot of these great insights

that i think has endeared you to the

plebs and the maximus and the cyber

hornets for that very reason because

that's the depth in the level that

they're at as you know as the shirt that

you're wearing implies so what what has

been your experience in straddling those

two when you when you're making the case

for bitcoin to the people in your world

well i think everybody

everybody resonates uh with a different

set of metaphors

and it also depends on their context

so for example if you're if you're

meeting with uh pure institutional

investors in a formal institutional

context then there's six people watching

uh in a big room or six or twelve or

sixteen people

then you would use that very formal

language of

whatever uncorrelated you know synthetic

safe haven asset uncle you know you

could use that

but

on the other hand what i found in life

is

you have a very different conversation

with with eight people on the team when

their boss is there and when the eight

people are sitting next to each other

then when you have a one-on-one

conversation

with them

and and the conversation

if the conversation is a formal meeting

with a hierarchical set of supervisors

it has to be very constrained if the

conversation was a one-on-one meeting in

a business uh

setting between nine and five

it would be about here and if the

conversation was a one-on-one meeting

outside of business like you know i want

to have a heart to heart with you john

it's like let's go out to dinner and we

can we have dinner and of course that

would be a different thing than if i

stood up in front of

50 people at church on a sunday so

so you almost have four different venues

right the sermon

the social

the one-on-one uh professional

and then the formal business meeting

and the metaphors and the semantics

you're allowed to use

are different and by the same person

the same person sitting in the one

formal meeting

that would always go to the

the antiseptic sterile

uh metaphor

if you caught them one-on-one off-site

right

they might open up to you and they would

have the more spiritual discussion and

they feel like sometimes they feel like

well i can't in front of my boss or my

peers

and sometimes they feel like well it

wouldn't be polite

right or wouldn't be appropriately

professional so

even if they believe it

even if they believe it uh they won't

always share it

can i tell you one really funny story i

had uh in this regard

you know when we bought bitcoin

corporately i mean i mean the most uh

the most

challenging environment a publicly

traded company is going to buy bitcoin

on behalf of other public shareholders

right

so everybody's walking on eggshells what

will the shareholders think

and um

we went to great lengths to treat the

shareholders very transparently and

respectfully we i mean to the extent

that we we tendered to buy 250 million

dollars worth of our own stock at a

premium

so as to give everybody an option to

either buy

to opt into microstrategy with bitcoin

or

to exit at a profit if they didn't

like the idea or true that's how you

know when you spend 250 million dollars

you know in order to cushion the message

it's it's a lot of commitment right but

having said that so we announced the

tender offer and then my finance people

said you know i said well how did the

shareholders

think about this i said well uh they're

all generally pretty okay with it but

there's this one shareholder

this one investor doesn't like it and i

said and i said so and i'm gonna meet

with them today right now they're like

yeah we've lined up a bunch of meetings

so get ready for this one because this

guy really doesn't like bitcoin at all

and you should just get ready for that

so i'm like okay suit up go into battle

and uh the meeting starts

and we started talking and i said yeah

and so we you know we purchased bitcoin

because we have this macroeconomic view

and we view bitcoin as a great way to

preserve the purchasing power and the

treasury of the company and

and

you know our our alternative is to

decapitalize the company completely and

give all the money back to the

shareholders but then we want to be

capital

and uh

the guy's like yeah and i and then he

goes so tell me more about this you know

he said tell me more about this i said

well let me tell you about bitcoin i

said you know

bitcoin you know is a is a decentralized

you know crypto application or proof of

work not i don't need to know all that i

know all that already right uh any

and he literally cuts me off and you go

oh i already know that i own bitcoin

right i don't and so here's the point

secretly privately

he agrees with you he agrees with me

he's already got it

in his in his role as a as a public

representative of his investment company

he had to push back

yeah

and and so sometimes the same person

that believes one thing privately and

probably

he had to push back reflexively but then

when we had a one-on-one

he's like i get it

no problem i'm like and they're like

well how did it go i'm like oh it's fine

it's fine he owns it yeah so by the way

and then in my private meeting with my

investment advisors they're telling me

you've got to be concerned this is a big

problem and you can imagine the ripple

which is like by the time you go through

seven layers it's like oh there's gonna

be a big problem if you do this this is

that you you got to do this you can

imagine why people act so constrained

and conservative

in their views when they're being

filtered through layers but if you

manage to build a communication channel

directly one on one

you'll actually generally be pleasantly

surprised at the insight of humanity

yeah and i think

that point precisely is one of the the

big takeaways this year and you know

it's been talked about a ton so we don't

have to dwell on it too much but the

likes of you paul tudor jones and a few

others in the space just kind of

de-risking these conversations generally

so that because before in some instances

you couldn't even have them you know

they'd be dismissed outright and now you

can at least have them yes you have to

structure them a bit differently you

have to use a certain language you have

to take a certain track but at least you

can have them and then as you just

articulated once you peel back the onion

a bit you realize well more people are

are interested in this than than it

seemed on the surface right

i had a similar conversation with a

friend a couple nights ago went out to

dinner and the uh the service was really

slow so it ended up being like a

three-hour wait before it was all said

and done so we had lots of time to chat

and

you know we he was kind of on the side

of

you know capitalism is kind of broken

wealth concentrates too much we really

need to fix the system and stuff and i

kind of took the track of it's not

capitalism that's broken it's the rails

on which capitalism runs that's broken

i.e the currency and if we could run it

on a different currency an incorruptible

currency a fair currency like bitcoin

then we might see some of those problems

dissipate and it may end up being the

most optimal way of organizing

coordinating human economic interaction

that we have and we went down all these

this the the money rabbit hole and the

economics and we we we settled on this

thing because he was like yeah but what

about gold

and i said well you know gold long

history and everything but i framed it

in terms of

money is such an important substance you

know it's the the highest concentration

of as you say energy our essence our

collective value and and productivity

that

it

it attracts

ev you know all of our worst

attributes as as humans right so it has

to be impervious it has to be able to

repel our malice and our corruption and

all those other things if it's going to

continue to serve as as what we wanted

to serve as that coordinating mechanism

and its properties will dictate how well

it is that at repelling those things and

i think the story of gold is that it

worked exceeding you know worked as well

as it could be expected but not well

enough you know it couldn't it you know

its property of let's say physicality

and centralization meant that it was

more susceptible to our corruptive

nature and that's what we did to it and

here we are

and you know what i finished with is

what if bitco and you know i know we

both love robert breedlove i think the

uh recognition that he makes of bitcoin

potentially being that alchemical

concept of the incorruptible substance

if it really is that thing um and i know

he didn't introduce that term but he

introduced it certainly i think to the

bitcoin uh cyberhorn at lexicon um if it

really is that thing

then it even if there's a one percent

chance of it being that thing

isn't it worth

your time investigating it isn't it

worth your time learning enough about it

to decide whether or not

you should you know be engaging it in

some capacity and you know to my

satisfaction i guess at the end of it he

said

if if that's the case then yeah it's

probably worth looking at

you know one one idea i mean maybe a big

idea is is uh

maybe the war would be a better place if

the engineers

ran the monetary system instead of the

politicians ran the monetary system

because

on the left hand you have the domain of

politicians

and on the right hand

you have the domain of the engineers

and uh

you know like how would you feel if you

had a nuclear power plant and a

politician showed up and started telling

you how to set up the you know

the rods exactly exactly right like

nobody would think

they would never consider allowing

political interference

in most complex engineering systems

because

you know any any third grader would say

you don't do that you're gonna have a

meltdown right you're gonna kill us all

and so in the domain of engineering

engineers submit their decisions to the

laws of nature and conservation of

energy

and there are rules and they're not

allowed to break them and if they break

them right the the engineering systems

fail but in the domain of politic

politics right there are no rules and so

it's all relative

and uh

bitcoin represents the singularity

where engineering

finally

finally impinges upon economics it's

it's the first engineered

monetary system in the history of the

world right and i think we underestimate

the engineering element here in the

memes and in the metaphors

people trust engineers

i mean every time you get on an airplane

and you find a 747 halfway across around

the world i'm an aeronautical engineer

it's a miracle

that you can take off at an airplane in

new york and you can land

alive

in london or paris if you if you had any

inkling of all the ways you can die

an inkling of all of the engineering

challenges you had to overcome and if a

politician came along and said we just

thought we would take one of the wings

off the airplane or we would add three

more right i mean no one think about it

so i i think that the real

the magic of bitcoin

is

that engineering is arriving to

economics for the first time in human

history

and

the the challenge of gold

you know to your point is

is

number one it's a corruptable

monetary system because it's centralized

and number two it's not a closed

monetary system it's an open monetary

system i mean a closed engineering

system would have 21 million things in

it

and only heat can come in and go out the

mass can't come in and go out bitcoin is

a closed system because of 21 million

bitcoins and you can heat it up you can

call it down

all closed thermodynamic systems are

like that that's the definition of a

closed system closed systems are pretty

good idea right an open system

is when i can put more mass in or take

mass out

open systems have problems um you know

you can't solve

you can't solve for a solution in an

open system because of the question of

what mass is coming and going

and in gold right the openness is i can

mine more gold i don't know how much

gold will come and go

and so

if i was building a monetary energy

network on gold it's corruptable and

it's not close if i built then i rebuilt

the monetary energy uh network on

bitcoin and it's closed system

and it's

hopefully not corruptable but certainly

a lot less corrupt it's crypto you know

resistant to corruption it's the best

anti-corrupt system we could come up

with in the history of the world

and i think that's a really important

idea

to to spread for people to start to

grasp because

i think you'll win over all the

engineers in the world to bitcoin

when they start to understand that

somebody engineered a monetary system

for the first time in human history

because if there's anything we all agree

on we kind of generally like our

engineering

yeah

yeah i agree and i i think

always

with a a

a paradigm shift of this scale or

perhaps there's never been one on this

scale but with all

paradigm shifts you know i think they're

they're difficult to spot and so you

sometimes see it's a wonder that the

people that you would think most

likely to

uh

to spot it early like the engineers like

the economist like the the gold bugs or

whatever so you know this one

it can be so foreign that they miss it

and i think that happened early days in

this i think that's changing now

but um

do you get do you have people in your

life that you can jam out about this

stuff with in person i know you're doing

the rounds on the podcast lately and

you're on twitter mixing it up with the

plebs but

you know here you are wearing a bitcoin

shirt you're you know you're fully

orange pill do you have people in your

life that you can just sit around the

fire and talk about this stuff with well

you know

the og was eric weiss and eric

introduced me to bitcoin and so we sit

around and talking about talk about eric

was in in the business many years bef

he would he uh discovered bitcoin when i

was sure that it was a fad and i

couldn't be bothered

and i forgot that i had an opinion on

2013 or whatever it was so

we talk about a lot more but i'm i'm

making converts right like i'm

you know how it is when you get orange

peeled

pretty soon you start spreading that to

other people around you and

i've got i've got my requisite friends

that i've got the speculators the guys

that buy it and sell it and think it's

volatile and they brag about buying it

and sell it and then i've got the ones

that were inspired to buy some more and

then sell some more and i'm swatting

them down like you idiot why are you why

are you trading this stuff you know it's

like

like trading bitcoin is a sign of like a

lesser intellect you know in my opinion

you know it's like i'm like come to your

senses you know

hold it exactly i imagine our respective

you know all the bitcoin maximus are uh

our message inboxes would be hilarious

to read because you know these days

we're probably a lot of us are probably

getting hit up with interest in bitcoin

because of the price action and the

macro environment

and uh being knowing the maximalist as i

do

i know how harshly we swat down the

trading the coining the everything

else and i'd love you know even just my

inbox it's always like don't be a

don't you like i want you

to buy this and i don't want you to

think about selling it and certainly not

selling it for you know paper money if

in the future you want to convert it for

a service or a good then you know that

that's allowable but i don't want you to

think about selling it for five to ten

years i want you to secure it as if your

life depended on it and i don't want you

to ever think about trading it or

you know by you know going in the

coin casino and the language is so

yeah like as you said slapping them

around like in a manner that they're

probably not used to right

like

yeah

my friends we all talk to our friends

now eric it's like picking up pennies on

the railroad track it's like

yeah yeah you're gonna get a few

quarters and you're gonna get hit by a

train too it's

or uh

yeah like if you roll the clock back to

2007

steve jobs invents the iphone

and you know people thought oh it's a

toy

by 2009 the iphone's got an app store

and if you understood anything about

software the ios is a new it's a new

operating system and it's going to be

its own ecosystem at least as important

as the web and it's going to it's going

to spawn an entire new generation of

applications right and the mobile wave

is responsible for what like 5 trillion

dollars

5

10 5 to 10 trillion

dollars of wealth over the next decade

can you imagine someone sitting around

saying oh i get mobile device technology

and you're trying to time the market in

apple stock in 2011

like you're buying and selling apple

stock in 2011

you're like you want to shake them like

are you out of your mind i'm i'm trading

facebook stock back and forth between

eight dollars a share and four dollars a

share and 12 dollars a share and you're

you just want to do this like

like do you not understand that one day

every single person on the planet is

going to have one of these things in

their pocket and it's going to go up by

a factor of a hundred

and

you're trying to like trade apple stock

between a dollar 25 and a dollar 17 and

bragging about how you bought it a

dollar 25 and sold it at two dollars and

eleven cents and have you figured out

the consequences of being short to share

if it goes up by a hundred dollars

like the amount that like are you out of

your mind

because by the way like i i spent 30

years in the business and i obsess over

this every single freaking minute of the

day and i wrote a book on it right

i wrote the book i predicted the future

you know

i made 500 million dollars

investing in these things right and i

started and i put a small amount of

capital in and let me tell you one thing

john i can't time the market

i have no freaking clue like you know in

2009 2010 2011 2012

i

i have no clue and i'm certain nobody in

the world

understood it better than me

like some people might have made more

money than me but but

you know like all these people that

think that somehow they're gonna time

the market and they're going to guess

it's

it's probably 10 000 times harder

to time the market when you know the

future

than it is to i mean to to sit

and uh and to wait for a decade and like

you know this the bitcoin thing this

kind of is working in 12 weeks or 24

weeks but when i did this i didn't

expect it to work in 12 weeks i did it

thinking that in one to three years

people will think i'm not an idiot

and in 10 years i'll be happy i did it

and i'm ready to get beat to death

for the first one two years if people

are going to beat me to death because

you could have been beat to death on

facebook stock and apple stock and

google stock and whatever in a one to

two three year time frame

there's anybody that tells you

that they actually know

the direction of this stuff over the

course of days or weeks or months

they're deluding themselves and they're

deluding you

and and it's almost comical because they

all hold themselves out as being like

experts in something and like i had been

the expert in something and the one

thing that i knew was

i had no you know the only time i ever

lost money on apple

the only time but can you imagine losing

money on apple stock investing in the

last 20 years at any point in time from

1997

there's not a single way john

you could have lost money betting on

apple's stock

as a hodler

in 22 years except i did it

i'm gonna tell you how i did it

i bought an option i bought a leap i

actually bought a call option but by not

short long i went long apple stock i

bought car by the way i'm not going to

go long apple stock with a 30 or 60 or

90 day option i bought an 18 month leap

option on apple stock

the stock traded down

it stayed down

17 months 18 months my option expired i

lost the premium and the stock shot up

and i'm saying i freaking predicted the

future i wanted some leverage i'm so

angry

and the takeaway from that is

if you believe in something and you have

conviction buy the underlying asset

ideally with very low leverage or no

leverage and hold it forever yeah

you know like and all these other cute

things like you get cute

it's like

how could i be wrong in 18 months

it was 19 months john and and i was

right in 19 months and the option

expected it's almost like god

god punishing me

for trying to be cute and gamble

with this sort of thing it's like

yeah and i think you know there's

there's two you said why would anyone

ever do that when it's so clear that the

safest and most effective option is just

to buy and huddle i think the two

reasons is one you either got something

to sell and i know you've had some

discussions with people that may be in

that category recently or

your time preference is such that you

know

you're you have a a very high time

preference and so you're trying to make

your gains immediately i don't think

you've properly assessed what that looks

like over the course of five 10 20 years

but you know that's the choice you make

but it's an even more dangerous bet you

know you're talking about

apple but you know with bitcoin

there's an anxiety that if you let it go

you may not be able to get it back i

mean i know it's an open market it's

liquid 24 7. but

when when you have an asset like this

that has the level degree of scarcity

that bitcoin has and that has so much

like when people get bitcoin they don't

just as we were saying a little bit

earlier like the people that are making

a one percent allocation they're looking

at the technical analysis they're

looking at as past performance and say

maybe this will bounce my portfolio when

you fully go down the rabbit hole

you know you want to put

all of your available you know

that if it whatever doesn't impair or

impinge on your your you know lifestyle

uh your standard of living the rest of

it you want to put it in bitcoin and to

think that you would be so bold to to

let go of that tether for a while send

it out into the world on the with enough

certainty that you're going to be able

to get it back and then some

i think it's a is something that gives

you know real hardly so much anxiety

that they wouldn't even think of it you

know

yeah i said it to rel you know i said

you just i have anxiety going to bed at

night if i'm short

you know like

there's

there's the point when i started buying

it like it's a funny story i'm not going

to say who i did with i i started buying

bitcoin

you know and they thought i was going to

buy like

10 million dollars worth of it and i

wired in 100 million dollars and i

started and i started buying it and i

bought 20 25 million in the day

and no one had ever bought 25 million

dollars worth of bitcoin on their

exchange

in a few hours

and and they said what you you're

burning up the entire

system and you're blowing out the

spreads and this is a big problem you're

going to drive the price up

and i i said well i did i just need to

get this stuff like i can't by the price

was down in the nines

and uh i was just imagining someone was

going to get smart and drive the price

up to 10 or 11 or 12 or 30 i don't have

to chase it up so i had anxiety i'm like

i have to get this trade in before the

rest of the world comes to a census so

i'm buying it

i you know i swear to you they put me in

a corner and they said you know you have

to stop now you're buying too much

like they literally put me in the corner

and said you know you're buying too much

all the other people on the system feel

like you're driving the price up and i'm

like are you kidding me like really

you know and then i went to bed that

night you know and i was just really

like worked up i could hardly sleep

because

they had cut me off

when i bought 20 million and i wanted to

buy 35 million that day and i was like

what if the 15 million that i didn't buy

starts to run away from me it's gonna

cost me millions and millions of dollars

it doesn't really matter how much you

buy right it's the same idea which is i

need to buy it all

now

before somebody figures this thing out

exactly

and by the way there's i mean if you

look at the

if you look at the dynamics of this as a

as an asset

if i bought a hundred million dollars

worth apple stock today i could say i

have big tech exposure and then at the

end of the quarter i could say well

maybe i should sell apple and buy google

or maybe i should sell apple and buy

amazon and i'm still kind of big tech

exposed

i mean you know you could trade twitter

for facebook or facebook for twitter or

you could decide that you don't like

facebook anymore but you like google

the world's not coming to an end

anybody that's there's there's a lot of

supply of big tech

10 10

trillion dollars worth of it right

on the other hand if you decided that

bitcoin was your thing you're gonna buy

a crypto asset and you buy a hundred

million dollars worth of bitcoin and

this is i'm i say this because i want

this is the way the institutions that

buy this stuff are going to think

well they're going to come in they're

going to buy 100 million or 200 million

or 500 million when you decide that you

want that

you go you go through this thing okay

what do i want well i don't want big

tech because i don't like the underlying

exposure to fiat cash flows i don't want

gold because again counterparty risk and

it's an open system and the gold miners

are a problem okay i want crypto which

crypto there's 6 500 cryptos well right

off most of those do i you know which

one's the best crypto asset well bitcoin

is the best crypto us okay what's the

second best there is no second best

there's no second best crypto asset

there's a crypto asset it's called

bitcoin right right there's no second

best okay it's not it's not like google

and facebook

it's not like apple and amazon

yeah we can debate apple or amazon

what's better they both look like tech

monopolies to me they both look pretty

good on the other end

bitcoin or

no

bitcoin

bitcoin's crypto asset

this entire idea of like 60 dominance is

ridiculous stupid right like

it's stupid it's not 60 dominant it's

like

96 or 95

dominant right the thing if you compare

it as a crypto asset to a like kind of

proof of

work crypto network right that's meant

to be a store of value

you know you're lucky if you fi if you

can scrape together five percent of

other stuff in the last bucket so there

is no real competitor

so

once you go down that path of well big

tech no this is not my big tech

allocation gold this is not my gold

allocation crypto asset there's my

crypto asset bitcoin it's the only one

now you got to squeeze to a nozzle which

is a billion dollars a day

and you have to buy it

and when you know

once you go through you know i joked to

my friend eric i said i should i should

tweet this is the hotel california you

know of assets like you check in anytime

you want but you can never leave because

no you can't tweet that that's you know

that's the dark reference like i can't

tweet it

and then this morning i see like nick

tweets it right it's on the toilet i'm

like look he tweeted it

i i wasn't so stupid after all

like uh

it's a one-way valve okay so it's one

way you're buying

why else is one way because it's long

duration

like it's the ultimate long duration

asset and this is if you don't get this

you just don't get this right it's

i say a hundred years you could hold it

a hundred years you're def you know it's

a longer duration than any bond any

stock any gold if you do the math

so i just bought

the pharmaceutical grade synthetic gold

pharmaceutical grade long duration safe

haven asset that's what i bought there's

nothing better

now

why am i ever going to sell it

what you know what am i going to trade

it for google no i can't trade it for

google i can't trade it for amazon i

can't trade it for gold i can't trade it

for any other crypto and so it's a

one-way trade so why would i ever sell

when i buy when i do sell i get a tax

hit so i'm going to get capital gains to

sell it so

that's that's a deterrent from selling

any asset but my deterrent for selling

an asset is

i i can't find a better treasury reserve

asset there's nothing longer duration

there's nothing that's going to last

longer there's nothing that's going to

be more anti-fragile there's nothing

that's going to have a higher

theoretical

long-term yield

right the the long-term theoretical

yield on bitcoin is like it's it's the

monetary inflation plus

the technology uh utility increase plus

the surging adoption

all of those three in the near term and

over the long term the long-term

productivity growth of the economy that

adopts it is the standard so so those

things are all going to drive it

they're all going to drive it in a in a

compelling way

so now why would you sell it and the

only answer which you pointed out is

like if you want to buy a jet or a yacht

if a maximalist wants to buy a jet or a

yacht i respect that

if you want to buy the palatial villa of

your dreams and ibiza okay have at it

if you want to get married or if you

want to marry your daughter or your you

know send off your kids or send them to

college if there's something you love

an expenditure an asset of passion

i think i think i can respect that

and and by the way if there's something

that's a life or death issue you're

gonna sell it to give a kidney to

somebody you know or to save a life

i respect that but it needs to be an

expenditure of passion if you're just

selling it

in order to trade into another financial

asset right that's you're a fool

selling the long duration pharmaceutical

grade synthetic safe haven asset

the first one

selling that to buy something

which is which has got more exposure to

fiat debasement or to complexity or or

or other types of risk or shorter term

is kind of just

you know you had things solved and you

unsolved the thing

and so

anybody that says they're going to trade

it the conclusion you come to is they

just don't understand it

they don't they literally don't

understand what they're doing and they

don't understand what it is

as soon as you understand what it is

you're just going to sweep all your

excess monetary energy your you know

your savings account into this and

huddle

forever

right and the other point is most

hobblers that most people don't don't

have the experience to be able to borrow

against an asset

because bitcoin is a very immature asset

class the first decade there's no mature

crypto banking in the next decade you'll

see the formation of bitcoin banks or

crypto banks

you know the finances and coin bases and

krakens and the like you know and all

the institutions will evolve to the

point where they accept your bitcoin as

uh collateral and they'll start to grant

you loans and then what you'll see is

that eventually

the logic the logical wealth building

strategy is you save everything you

possibly can in bitcoin and at some

point when you really want the yacht or

the jet

or you want uh

the massive house or you want or you

need money for to save your life or to

launch your business or or start up

something of passion then you'll borrow

against your underlying bitcoin