The Truth About Bitcoin

Welcome back to the channel. I hope you're having a great day today. Uh, broadcasting from a different area of my sound studio, and what I mean by sound studio, I'm talking about my small corner office by the laundry room. Um, but, uh, so sound might come across a little different today, uh, but what I want to talk to you all today about was, um, I came across a video from Kitco News, and I want to make sure, um, to, uh, give them credit, make sure I put a video link to their content. And, um, um, you know, we don't want to get in any trouble. We certainly don't want to, um, take anybody's content or material, but I just thought it was so important. I want to play a very small excerpt from their news channel just so you can get a clearer idea about, uh, some of the things that go on in Bitcoin. I want to do some commentary on it, um, and so I just want to play a little small bit of it so you can understand the context of what this video is about.

Democratize finance, it's also one of the most unequally distributed assets in the world. That is according to our next guest, Ryan Gianotto, Director of Research at GraniteShares ETFs. Ryan, welcome back. Happy New Year. It's a pleasure speaking with you. Let's start with Bitcoin. Can you explain what I meant by what I just said? I quoted you right just now. What did you mean by that?

Yes, David, it's great to be back. Yes, and that is one of the fundamental ironies of Bitcoin, that really it's a major challenge for the asset class It is intended to be a financially democratizing force, yet it is so profoundly distributed in an unequal fashion. It's really unlike anything we've ever seen. And this is one of the perils of Bitcoin investing that goes unreported, undiscussed, and that really investors need to pay attention to. It is a seriously quartered asset class where only about 0.05% of Bitcoin investors control over 40% of all Bitcoin. And this is a serious, serious problem. And even if we go down a little further, we can see that about just under half a percent of all investors control over 5/6 of Bitcoin. This is a massive problem when you have a seriously unequal playing field. And this can only exist in the unregulated asset that is Bitcoin. It's a double-edged sword. There are virtues to being unregulated, but here we can clearly see that it is, you know, a substantial peril for all investors given that so few control substantially all assets.

Ryan, how is that different in concept from, let's say, a stock that just simply has a majority?

All right, so this is a really, really good video, and so I want to make sure I leave the link in the description because I think it's going to be very important that you watch the entire video. But I think you get the basic understanding of what, what the video is about and what's being discussed about Bitcoin. Um, and that is that in the idea of democratizing the financial system, which I think would be fair to say is pretty much the ultimate goal here, um, and a healthy— and creating financial systems with much healthier economies. You know, as to say, uh, if you have an economy that falls too far left or right along the spectrum, then you have a troubled economy, right? You have too many rich people and too many poor people, you have a dual economy, you have a feudalistic economy, right? And, uh, so there's always this need for a healthy economy to exist in the right mixture, right? The right recipe. Um, now of course they, they go on to talk about the problems And the guest of Kitco News, Ryan Gianotto, he speaks about or uses words like corners. Like we think of cornering a market. And he also gives some historical context of people like the Hunts who've tried to do that in various markets. And we've heard many stories of many people throughout finance who've, uh, to some capacity cornered the markets and the dangers of that, right? It's bad for economic prosperity. Of course, the one of the biggest issues with Bitcoin is a lot of the narratives being pushed about Bitcoin and where it's going And how we look at it on paper is problematic because, um, if you or if we want this type of financial system where, um, it's representative of more people, uh, the whole as it were, and it's more healthy, or, and we want something, uh, totally different from the standard economy, then we certainly don't want a very small few people in control of the entire system. And unfortunately, listening to the statistics, listening at the data, there isn't a great deal of conclusions we can walk away from. Now, also what gets discussed a lot in this video is who exactly owns the biggest stake in Bitcoin, as it were, and who's buying all the Bitcoin, right? Who's causing it to, over the last few weeks, to run from like $10,000 to $40,000-some-odd. And when we— well, at least the guest says we can only see the the digits and the wallets and the numbers on the screen. And, uh, there is a type of a privacy to it, so we don't per se see who it is, but many of us through research know who it is, right? We know that it's, uh, institutions, and we know that there are syndicates, um, that we're aware of that buy large sums, ridiculous sums of Bitcoin. So this kind of goes into that cornering of the market idea. That's a problem. Um, so what do we do? And what— how bad does it look? Well, when we do a little research, we find it looks pretty darn bad because we, we have to Also keep in mind that although there are supposedly only 21 million Bitcoin, there are few far and between Bitcoin actually in circulation. Very low amount of Bitcoins actually circulating around, right, that people have access to. And so, uh, hear numbers like, uh, groups like Grayscale that own like 2% of all Bitcoin. And you're all these banking institutions and Wall Street firms and businesses that own a large percentiles of Bitcoin. And who knows what the numbers are going to end up with. You could have something like 10, 20%. Now the guest Ryan, or Ryan Giannato, he gives this very catastrophic historical situation where there was a cornering of a market. I believe it was on silver. It was like less than 3% or 1%. And it was, you know, the catastrophes that happened with that. Imagine what it would be like with something like Bitcoin. You know, as Bitcoin value moves up, we don't know exactly when these powers that be We just decide, you know what, it's time to take profits. We've been acquiring Bitcoin since it was in the low thousands of dollars. We just get out of this thing. We can make our businesses several times more valuable. Anything could happen, right? They could catch wind of similar to what's been happening with our, um, uh, the, uh, rumor that came out that there was a double spend bug in Bitcoin, caused problems in the Bitcoin price. And then at the same time, you get the Federal Reserve speaking about really going after Bitcoin for any money laundering laws, right? To stop terrorism and use of terrorism. And this is always a story I knew that will start to pop up and will be used by the government at some point if they ever wanted to stop Bitcoin. It would only take the United States government or some major government going, we no longer, uh, can allow Bitcoin to operate because it is supplying vast amounts of terrorist networks. Do these institutions then pull all their money out that they're causing these run-ups? And of course, this is all exciting when you're a speculator and you want to get rich. When you're a practical person like myself who's looking for actual use and products and productivity and production, it can be a bit unnerving. Myself at this point in time, I don't really use Bitcoin for anything. I think I use Bitcoins only to buy altcoins, right? And where do we go from here, right? And have we thought seriously about this? Well, let's discuss that a little bit. So when we think about some of the problems in association with Bitcoin, but not only that, just thinking about how do we— is there truth in this discussion about Bitcoin? Is this information we're receiving true? And I think Data-wise, I think many of us can agree that it is. Um, and so it really got me to thinking, when you, you think about Bitcoin and you think about the, the future of Bitcoin, when you think about if Bitcoin really fits the narrative of economic prosperity to the world, Um, if that isn't true, how do you make it true, right? How do you make what could be one of mankind's greatest inventions and changes to the financial system we haven't seen since the dawn of time— how do we, how do we make that so, if it— even if it isn't so? And, you know, as the guest Mr. Gianatto brought out with the distribution rate being so difficult and it being so troublesome and so ironic and what Bitcoin's romanticism and what Bitcoin's narrative has been many times to find that that's not true. That Bitcoin is even worse than, uh, her standard economy, how do we fix that? And so with a Bitcoin— I'm sorry, with a network already set up like Bitcoin, it'd be very difficult, and people would already be invested in it, billions in infrastructure already put in place. Would it be possible to fix this problem without tearing the house down? And it's a very difficult question, but after giving it some thought, and with one of the projects I'm working on, Bitcoin MYK, we feel we do a lot in addressing that problem. And we do it through— and we use the term loosely— fork, Bitcoin fork. It is not a hard fork of any sort. It is rooted in the Bitcoin Cash network, and some people question whether Bitcoin Cash is any type of legitimate, or if it was at all the legitimate Bitcoin. A lot of people say no, and the data that's available, we obviously find that it isn't accepted even if it is true. Although many people like Bitcoin Cash, as Bitcoin Cash addresses, I think, a lot of the economic prosperity problem through the use of a currency. Because currencies can get in many people's hands. And what's happening with Bitcoin is distribution is very poor, right? It is a speculative device that seems to be now attracting a lot of rich people who have obtained substantial amounts of it. And we don't know how good that is in the end for everyone. But If it's true that that data is correct, how do we solve this problem? So if distribution is the problem, obviously you need to start there. You need to get more Bitcoin in other people's hands. Now that's going to be difficult to do because there's no way that somebody can own an asset and then they'd be forced to give it up unless it's through some government decree. And we know that's going to be not possible. With Bitcoin on the chain. It wouldn't be freedom, even if the economic system at play is bad, right? But there are other ways. We found one of the most perfect unions with Bitcoin is universal basic income. And that's what we've done in the BitcoinNYK project. And that's why we believe you should really give this project a try and really take a moment Really take a moment, let it sit with you and think about what you just heard here, that this could be a severe problem. And in fact, again, watch the entire video that we started the, the segment here with in order that you can get a very full understanding of what happens when markets are cornered, what happens when the, the value of something is in the hands of a very small few. We don't know when these people will unload these coins. We don't know if they're interested in future of this space. We don't know. They could be enemies to the space. They could be anybody. Um, a project like Bitcoin MYK sort of does this fork of Bitcoin, right? And it allows for better distribution in a, in an appropriate way, I would say, in a fair way, and in a way that aligns itself with Bitcoin where Bitcoin holders don't lose value. Because Bitcoin holders would never agree to lose value based on any data, whether it's true or false. In most cases. But through this project, people are able to hold their Bitcoin, get BitcoinMYK free, absorb our network, and the unclaimed BitcoinMYK tokens are what help in distribution. The unclaimed tokens, but the Bitcoin network for the most part remains the same to a great degree. But it also promotes a much better distribution and opportunity, right? Without, um, the situation like we've gotten with things inherent to Bitcoin, like us not knowing who started that. That's another vast problem I think that occurred with Bitcoin was the anonymity, which create a lot of suspicion, which would cause a lot of people who would be good investors to halt the decisions to get in out of fear, only to let other powers that be that can take a much higher risk to get in. And so there are many moving parts here and there are many components to this, and maybe we'll discuss a little bit more of it down the road, but right now I just want you all to focus on How do you view Bitcoin, right? And I want you to check out BitcoinMYK because I think it's a good project that has taken a look at this space and tries to address some of the major issues in this space, such as what do we do about a situation like this in Bitcoin where distribution is so poor, right? Or a project like BitcoinMYK is all about good distribution, which promotes healthier markets, right? That eases the level of suspicion that exists in cryptocurrency and has many useful interfaces that are identifiable for the new people that need to enter these markets with a certain amount of confidence and understanding and things that attract them to it. such as social media, uh, you know, such as, um, video content viewing, like what they're partaking in now. You know, many things, uh, that have kept in mind much of what we believe people are going to need going forward into this space. But very interesting. I'd love to hear you guys' opinions about this. Uh, absolutely leave your comments in the comment section. What do you think, uh, you know, about this data we've gotten here? And, uh, um, if you're interested, join, um, BitcoinMYK.com risk-free. Get free cryptocurrency today. Um, the project has already been built. There was no ICO funds taken, no private money taken. It was all built and ready to go for people to use it in cryptocurrency space. Right? So check it out, uh, take part, taking some of the advantages of it, and let us know what you think about it. But that's all I want to say in this video. If you like content like this, don't forget to like, subscribe, and until next time, as always, take care.