So so what is going on kryptonians welcome back to episode six of crypto course with me: matt when we dive into the digital world of cryptocurrency, and we talk about what's going on where's the opportunity and how can we make some of that moolah and maybe keep Our pull our finger on the pulse of some potentially culturally changing societal, changing technology, potentially huge risks that the government powers to be. I personally find the entire sector to be incredibly fascinating, the opportunity it represents what it represents at its core value, very, very cool stuff, and in this particular episode i want to talk about something that literally was just tweeted out today. Will bitcoin replace the us dollar now i'm going to be sharing all my reasoning for it, but tl dr. If you don't want to watch a kid in a santa hat, go into it.

My answer is no, so maybe you're doing i don't know some middle school paper and you just need to fill in the answer there. Will it replace it? In my humble opinion, no there are people who are far more successful and famous than me that think it will. I i don't think so, so we're going to be talking about that. Mainly in this video we'll be taking a look at crypto overall, we'll be taking a sneak peek at some interesting develops with loopering and also a little bit on solana and then a little technicals at the end.

And, of course, if you have any questions, let them fire away, but before we get into all that just so you know i do man. I think it's going to be a very, very interesting conversation to see where this goes with. Really, where does bitcoin specifically, and i guess, to a certain extent, crypto fit into the future globally, particularly in the us, with the monetary policy, with the interactions between government a lot of moving parts there. And it's very interesting and at a certain point i would suppose that it's philosophical, but let's hop right into it all right.

So just so you know today, i like to always just kind of give you a quick check on the overall crypto sector and right now, things are actually looking pretty good we're seeing a bounce in a lot of the major ones uh, so obviously, bitcoin and ethereum Are still one into uh past 24 hours up five percent up 3.6, you have solana still holding at five cardano retaking number six ripples right in there and then ten is avalanche. Honestly, the fact that avalanche has a market cap of 28.5 billion, i think, that's low. I think that is very, very low and i know we've been talking about it, but i was looking over some of the charts right before this, and things are looking good. I mean finally you're getting a bounce in ethereum right here: 3750 up to 4, 000 bitcoin bouncing off of 46 000, all the way up to almost 49.5.

At one point, all these are taking a little bit of a breather, but we're seeing that relief bounce in number one number: two. Basically, what the s p 500 - the nasdaq 100 i like to think of those as equivalents avalanche - has been ripping ever since we were talking about how solid of an opportunity it was around 80 at 117 and take a look at loop. Ring loop ring bouncing off of a dollar 87, all the way up to 234, and this is for very, very good reason, and i will be covering that right after we get into some recent developments from, i guess, cardi, b and jack dorsey, so cardi b, who Is now using the picture, i believe his name is penn. Badgley he's the actor from you.

Do you think crypto is going to replace the dollar? I suppose a very reasonable question for the artist cardi b to ask uh, maybe she's very, very heavy, into the world of crypto and wants to know um. It's a solid question, jack dorsey. Obviously, now i would say since, like 2018, an outspoken supporter of bitcoin for sure he used to be the ceo of twitter, but now he works at block and block was just that's square and honestly square's been paying like doing some pretty awesome things. There's many things that i agree with jack on many things i don't agree with him on and on this particular one.

His answer to that question from cardi b was yes bitcoin. Will i don't agree simply put. I do not think that bitcoin will replace the dollar. I think there's a better argument for maybe a different crypto.

I think that's a different conversation, but this answer yes bitcoin will, i don't think so so from the highest level, the most general level. I think it's best to think of crypto in three different tranches store of value utility and then actual digital currency. Now, when we're talking about store of value, the first thing that pops into my mind the first thing that should pop into your mind, is bitcoin and that's why a lot of people refer to it as digital gold. It's a digital asset, digital property.

The way you could own whatever property as an ad set, i think that's the best way to think of bitcoin, but in the digital sphere, there's only 21 million there's only ever going to be 21 million and as more and more people come to the consensus that, Yes, we're going to treat it as a store of value. It will behave as a store of value similar to gold, but on top of that, there's a couple benefits and, of course cons. But the benefits of it would be that, yes, it's a store value, but on top of it has a very, very impressive technology stack. Obviously, gold doesn't so like kind of a tubu to add-on situation.

I really like the fact that, yes, it's an inflationary hedge, which is obviously incredibly important, because this is the story right now: investors brace for the highest inflation reading in nearly 40 years. That's in the u.s, if you've been paying attention to the situation developing in turkey, their local currency, it's taking a horrific nosedive and everyone who had all their wealth tied up into the nation's currency, it's just them holding on to it. They're losing value day over day. Over day, similar to the usd, if you are strong in the us dollar right now, if you're just sitting on it, that's where most of your wealth is simply sitting there, because inflation is going higher and higher.

It's devaluing the money that you have available to you. So previously, typically, the historic fundamental thought was like when you are an inflationary situation which we are a lot of the globe is, and obviously this is very deeply rooted into the pandemic over the past year and a half but anyway, whatever the reason is, it doesn't Really matter because we are currently in an inflationary situation historically, people would then take their money because they don't want it to get devalued and they would put it into something such as gold, but now with the rise of technology and ever since 2009 bitcoin. The rise of bitcoin very popular right now being adopted by the masses. It is really taking on this concept of it's the store of value so because of that, this is not me being against bitcoin, i'm a massive supporter of bitcoin.

I just don't think it's going to replace the us dollar and because of that, you have to think of why. Why do we use currency so there's a very interesting history to currency and why we use it. But if you go way back when it was always just a medium of exchange so way back when it was a barter system and then obviously that can get very cumbersome because whatever you're trying to barter for the other person has to want it. And you have to have the appropriate amount of it.

So from there way back in these old old merchants and town squares, people started to realize that people who were very trustworthy, you could end up basically giving them an iou of like okay, like you want those beaver pelts, you want those rocks. You want those plants like we've done this trade many times before. You know i'm good for it and then from there there were more and more ious and then the government started ended up backing up those ious and then people started trading the ious and then from there ious actually turned into coins and cash. And overall you could argue that currency's always gone in the direction of what's easier and what's less cumbersome what it becomes ubiquitous as it's easy, it's easy! You want this wealth in a small compact, medium of exchange and that's why we're no longer just trading beaver pelts for paint or something like that.

It just became easier to have coins and ious and to me, crypto at the highest level, represents that it's easier and and from there we're not trading with like these potentially heavy amounts of cash and coins and all of a sudden. Now, in the digital age we can do a lot. I mean you could carry around truly borderline an infinite amount of money in a little usb drive. So to me it is something interesting that, as we're seeing technology progress to me, crypto, it fits in right there, but we have to come back to those three overall pillars: pillar one store a value, and this is exactly where bitcoin fits, and this is exactly why I don't think this is going to be the one that replaces the usd or really any other currency, because i don't think bitcoin should be thought of as a currency.

I think it should be exclusively thought of as a digital asset as a digital property. Nothing more! Nothing less because, honestly, that's exactly what it is. So, let's get into some of the functionality of why thinking of a currency, it's just not going to be the best scenario. First of all it comes, i would say this is a two-part argument.

Part one is. It comes down to the fees, so this was just posted by the wall street journal within the past couple days. On the bitcoin network on the bitcoin, the bitcoin network, the average daily transaction fee this year has been as low as a dollar 78 and it's as high as 62.. So let's even take that low end 1.78.

Let's go say: you buy a 2 coffee at your local gas station, you're not going to want to double up the price that that doesn't make sense. You don't want a 2 coffee to turn into a 4 coffee and then at the high end, you're. Not you don't want a two dollar coffee to turn into a 64 coffee, so the fees themself don't make it advantageous for any smaller amount of transaction and obviously, when you're transacting and there's more data like more sizeable, the fees do scale upward and then the same. I'm not just particularly picking on bitcoin in this fee argument.

Obviously, one of the biggest drawbacks of ethereum that you hear day over day is the absurd fees and right here, the as low as the dollar 59 and as high as 70, and once again these are the average fees. So the fees alone are gon na stop. Bitcoin from becoming a currency - and this makes sense because we shouldn't be thinking of it as a currency. Moving on, i would say that a potentially right here, which could be really even more annoying the fact you don't want to double up the price of your coffee - is also the time.

So these block speeds for bitcoin right now is about 10 minutes. 10 minutes. Imagine you go to your grocery store and you're buying a gallon of milk and you're like yeah, here's my bitcoin, and then you have to wait there for 10 minutes and you're, just like awkwardly waiting with the other customers, you're wearing awkwardly with the cashier and like 10 minutes later, like okay yeah, it was finally processed, like you can walk away with your milk, it's currency if we're always heading in the direction ever since the beginning of time of something that's quicker, less cumbersome and hopefully, actually reasonable to use. As in it's not like bloating the cost of whatever you're trying to buy we're right here that stops it, it's 10 minutes you're not going to want to wait there for 10 minutes and of course there are other currencies that are very very fast.

I think the average transaction now for ethereum is 15 seconds sub 15 seconds. That's in the realm that i think people would be willing to wait, obviously, very very fast, but for bitcoin itself the fees are just simply too much and the speed is simply too slow. So, overall, that's really why, in my humble opinion, bitcoin will not replace the us dollar. I think there are other ones and i don't think it's even going to be a utility ones such as ethereum.

I think a theorem should be thought of as utility uh same with solana, avalanche cardano algorithm. All those are great utility and i like the technology and they're a backbone of some very, very awesome projects. But we have to think of that entire third tranche of type of cryptos that could actually replace it and become a currency. You want something that is lightning fast and very, very cheap, which is kind of interesting, because that's the main argument of something such as doge rasheed, very, very cheap, very, very fast, and that's exactly what you need in a digital currency.

Now, i'm not saying that it's necessarily going to be those two or one of those two. It could be another one and actually, in fact, i would love to know your thoughts on it. I mean i see a lot of people talking about sheep. I see a lot of people talking about doge but in my mind of what would fit for a digital currency, those do check the boxes.

They are very fast. They are very cheap. That's exactly what you need when you're getting your gallon of milk when you're buying your coffee, you don't want to bloat the price and you want to get in and out. You don't want to sit around for 10 minutes.

So, coming back to like really what got this entire thing going was with jack? Yes, bitcoin will i i just don't see how it does. I think maybe one crypto will. I just don't think it's going to be bitcoin i like bitcoin. I think it is a great digital asset.

I think it's a great inflationary, hedge, i own bitcoin myself. I just would never ever use it as a currency, especially if you think of an investment you're in it, and you want it to gain value relative to something else. That's not why you're really sitting in a currency and most of the time with currency you're, worried about an inflationary situation of like hang on, is my usd losing value, or is the government that's running that currency in trouble? You worried about the devaluation of it? Well, bitcoin, i like it so much. I want to sit on it.

I don't want to eat, i don't want to be buying milk or anything like that with it. I would rather just sit on it and hold it because of its long-term value. So i think really that's actually some of the strongest arguments for something like a doge or a sheep just because it's so fast, it's so cheap, i'm not necessarily on boat with jack's comments there. But now i guess moving on that's a quick break down there and i hope that helps you out a little bit, because the technology could be very different.

Some are more cumbersome, less cumbersome, fast slow. You got to kind of dive into what's happening there and something very exciting, that's happening as you see in the chart right here, loopering over the past, what day or two doing very, very, very well and check out this announcement. This is from their official twitter. A major step forward today on our mission to onboard the masses directly onto ethereum secured layer 2..

So when you hear layer 2 just think built on top of ethereum, so you have a lot of layer 2 such as loopering such as polygon, aka, matic, because right now ethereum's great, but there is serious network congestion and also the fees are very expensive. Some people, like the backbone they like the inherent blockchain of what's going on and what it allows you to do, but big, but it is, can get seriously congested and sometimes the fees are insane. When there's very, very popular nft drops on openc, you can actually see the gas fees just absolutely spike right there. So there are people who are trying to build on top of it, loopring matic aka polygon, who are trying to fix some of those issues.

Our brand new l2 only counter factual wallet and direct to loopering l2. Fiat on-ramps are finally here. So this is big news, but maybe, if you're like me, you might be like what what what does that mean? That sounds like a lot of fancy stuff and overall, this is some big brain stuff, the the team behind this and what they're doing it's high-end math and it's very, very creative what they came up with. But it's not the easiest thing to digest from a mathematical or a technical standpoint.

So i'm just trying to give you the surface layer, information of what you need to know so highest level, loopering, think of a d5 exchange, and specifically they do seem to be honing in on an ethereum kind of nft model there, and this is why there's a Lot of excitement, particularly in the world of the supporters of gamestop, because we know gamestop's trying to build an nft platform, we know loopring is attempting to specialize in that and there's a lot of little other things. Basically, people are looking at the open source code on loot, brings github and they're seeing stuff for gamestop and then from there there's always social things of them following each other on twitter and liking and retweeting, and that type of stuff, so is it confirmed yet? No, but we're also seeing these types of technological developments in loopering that people are saying yeah like it's all, but exactly confirmed it. It seems like game sumps idea of building out an nft marketplace will be built on the backbone of loopring. So that's definitely some exciting stuff and what you need to know about this, i guess: what's it a counter factual wallet, i think it's pretty cool.

The best way you can think of it is i mean this is actually their own. Words is a smart contract wallet and it's decoupled from the private key as in if a private key is lost, and unfortunately that does happen to other people like it once you lose it, you kind of lose it you're not going to have access anymore. So with this technology, since it's decoupled, you can actually get a new private key for it and also like this is a small point. It also does allow for various upgrades to kind of happen in the background, but, most importantly most, most importantly, is the wallet is not deployed.

So if you're like me, you're probably like what? What does that mean? This is getting complicated, very, very quickly, you're talking about something built on top of a ethereum you're telling me that if i lose my private key there's a way to get it back, you're telling me about it being decoupled and now you're saying it's not deployed what In the world, does that mean well? This is probably the like coolest example of like why this is like its own impressive standalone technology with it being decoupled. It allows you to kind of test before you actually buy, so you get to avoid these potentially very expensive. East fees test it out see if you like, what's going on and especially as it's relation to nfts like if you like the wall, it allows you to give it a little test, drive before and like an official use of the wallet. So it just helps you with sometimes these very burdensome based fees.

So that's the highest level. Yes, you can spend much more time and dive into it, it's very advanced and, if you're at all tracking, gamestop or loopering. I would highly implore you to look more into this. It's impressive and it takes a little bit of time to fully understand what's going on, but these fees - and maybe if you don't know this from the most general sense, why are there fees there's about there's two reasons for fees? First of all, fees serve as an incentive for people to continue to volunteer to ensure the security and just keep the network alive for the blockchain backbone, but on top of it, there's additional fees, sometimes depending on where you are the brokerage or the exchange ram.

Obviously, they're just not doing it for free, like that's their business model they need to. So i would say those are like the two major fees, but with this this is another thing that is helping with the fees that i would say right now beyond. A lot of the regulatory discussion related to crypto, i would say, is like one of the biggest complaints related to crypto is hey, like these fees are starting to get bad based on certain blockchains. Let's take a look into it, so that's your quick update on loop ring, which, like i said right now, is the value it is looking very strong.

I would love to see a breakout of 250, but i also want to talk a little bit about solana. Just you know, avalanche still, rocking it, but solana, solana, solana, currently trading at 177 up 2 on the day overall crypto is having a solid day. I just want to bring this up because it seems to be going trend of athletes and celebrities getting into the world of crypto. Michael jordan jumps into web3 via solana, app for athletes, the nba legend and son, jeffrey jordan, are launching h-e-i-r a fan, engagement platform built on the solana blockchain.

So i don't really know if solana is just doing a great job at marketing or if whoever is advising these people telling it. But we recently saw that the former first lady melania trump. She is kind of doing a partnership with an nft based thing on solana and from here you're, seeing what that ftx has particularly partnered with stephen curry. Coinbase has partnered with durant and then tom brady's even doing stuff, and you have matt damon doing stuff.

Uh crypto.com bought the naming rates for the staples center. I believe that actually changes very soon on saturday december 25th. On christmas, the name will actually officially switch, but more and more people that have recon recognizable names or a level of influence. It seems like they're.

Just all partnering up with all these various platforms to pull things off. So in brief, michael jordan and son jeffrey, have revealed heir a web 3 fan engagement platform built on solana. It has raised 10 million in seed funding and will launch in 2022. I'm not sure if it's in early 2022 or late 2022 or if they're just calling out the year and hope that it works out.

But i just wanted to quickly bring that to your attention because, specifically with salon in the past two weeks, we've seen a couple. People somehow have a form of partnership or engagement with them and then really, i think, that's kind of par for the course across all crypto at this moment in time. But i do want to tell you web 3, actually i'm just kind of realizing this now. So if you go to jack's, twitter he's actually had like some weird disparaging comments about m3.

You don't own web3, the vcs and their lps. Do it will never escape their incentives? It's ultimately a centralized entity with a different label know what you're getting into so literally. Just yesterday, we were talking about how vc funding this year has skyrocketed and it a lot of it included web 3.. It was about 30 billion dollars and before that, the high share was in 2018, and that was 8 billion, so the amount of vc funding flowing into the world of crypto, specifically not i shouldn't, say specifically, related to web3 a decent portion of it related to web 3 is obviously skyrocketing and um.

I just i guess not the most. I guess optimistic about the decentralized nature of web went through transitory kind of bagging on the whole inflation thing. I love twitter, interesting use of his own platform, but just wanted to really bring all that quickly to your attention, because, as always in the world of crypto day over day, there are interesting movements, some of them good, some of them bad and to give you, i Guess a bad update. So, as you know, ever since december 8th, i have been doing kind of a background project with dao protocols.

Is it a scam? Is it an anonymous? Scam are some of them scams or some of them not scams. I don't know. I'm just diving into it. I first learned about dial protocols on december 7th.

I started my project on december 8th and since then it is now the 21st and for a while i was looking good. I was looking good. I was looking good but something overnight. Last night, i got completely rocked from the um time that i went to bed and then i woke up.

There was like a loss of like twelve thousand dollars, ten thousand dollars, maybe fifteen somewhere in that range. Ten thousand plus i got beat up. It was like a back alley attack when i was sleeping, and i didn't know what was happening. But what's interesting is i've consolidated to four projects.

I find of interest for interesting protocols, and one that i was kind of suffering on for a bit is wonderland time. But now wonderland time is actually coming back, and this is one of the first times that i'm in a net profit on that one. But then the sell-off in these other three i got beat up on galaxy. I got beat up on ice and i got beat up on life those three dows, but if we take a quick peek on deck scanner right here, you can see this beautiful comeback in time, so it finally found its base at 3 000 and it's all the Way back up to almost four and what's interesting about this, this is kind of conceptually cool is when i got into this.

It was priced at 5 200.. So i got back in here, like i said december 8th, but i'm actually at a net profit right now because of all the apy that i've been getting ever since then. So that's kind of helped me with. I guess this 20 20 retracement thus far.

So if this keeps going, i'm hoping that it can bring my account, but the other ones you guys want to see how brutal this has truly been all right. Here's galaxy! This is what happened to me overnight. This was the drop off from 56. At one point.

All the way to 12, and now i'm at 21, so i got rocked on that, i'm still holding and the one that i really got beat up on was ice uh and that's just because i have an abnormal amount of weight and whatever happened. This was. This was bad. It basically went from 85 all the way down to 30, and i was like okay, not that bad 60 and then in the overnight session, 60 down to 25.

uh, it's brutal. It's brutal, it's brutal! So obviously, this this game, uh, you need to be on your toes uh. Clearly, this is not a. This is the least risk in this world is still considerable risk like if you were to look at the bell curve of risk in the world of dow protocols.

Even the least risky one relative to the overall markets and investment is still a considerable amount of risk at first i was very happy. I was looking good at first couple days. I was bouncing around positive negative and then i started to slowly trend very, very positive, and at this point i am getting beat up so i'll. Keep you updated and see if i can somehow somehow pull a reverse uno on this situation, but it has been so so so brutal, so we'll see how it goes, we'll see how it plays out.

Now. That's what i have for you in episode, six of crypto cores. Let me turn it over to you for a couple minutes to see what kind of questions we have titan apecoin baby, passive busd income - i saw him been zing of someone buying - puts at 85 expiring 121. What does that mean saying it's bullish too? I'm trying to understand options so when they're, saying bullish or bearish they're, basically just saying wasn't, met on the bid or the ask and then basically, if you're met on the bid or they ask, was someone patiently waiting or did they aggressively get those calls or puts? But buying put so if you're buying puts and it was being bullish that probably meant that they met on the bid and that's how it got denoted check, titan ape and earn b usd.

You won't regret it. I've never heard of titan ape i'll have to look into it. You're missing a category stable coins will definitely replace the us dollar. So those are interesting because that's the hot topic of debate right now on a regulatory front.

So i don't know if i could go out on a limb and say yes that will replace it because for all i know that, like the government could just completely squash it. That's that's up to the politicians, and i don't really have special insight on that. As the regulations are discussed and developed, i'm more than happy to dive into it and share it, but like to say that, like i can't sit here and say that absurdly confidently that that's the way things are going just because, like i i don't, politics is a Very fickle thing: passive, busd, great community, titan, apecoin uh. I don't know much about titan ape coin, but i do find it interesting that they're spending super chats to market it.

What do you think about titan ape wow? Almost all of these are about type and eight titan apecoin. Today, i'm very, very unaware of this one at all, but um. Obviously they have a little bit of a marketing budget, a little bit of a marketing budget. What's a stable coin, honestly, that could be a like a whole good topic for tomorrow we can dive into it and kind of give yeah.

Okay, we'll do like kind of a stable coin breakdown tomorrow and then touch a little bit on current regulations, and that is stuff. That's happening in real time right now, literally this week and last week they were. Congress was hearing that and hearing arguments for and against stable coin and trying to understand what it is. A lot of people are saying: titan ape is a rug.

It's a rug, it's a rug, it's a rug, so be careful with it. Maybe people yeah that's a good lesson, maybe don't just be investing in things that are spammed a lot in a in a stream. What's good, is there no washable on crypto, it's a good tax shelter to sell low and buy it back immediately, so richard now, just so you know, i'm not a tax professional, i'm not a financial advisor, i'm not a lawyer, i'm just a guy that has a Santa hat i can share with you my conversation with my tax person literally happened yesterday. It's a good tax chancellor to sell low and buy it back immediately.

Apparently, you can do that this year and then they're going to get rid of the rules, so in the in the world of like stocks, if you sell at a loss, you can't do it, for you can't buy it back and like use it to count against Your taxes for about 30 days, i believe this is my understanding, but right now in crypto you could sell it count that against your overall gains, but then buy it back immediately, and i guess that's a bit of a loophole - that's occurring this year, so you have About what nine or ten days to see if this fits for you, please please please, please, please talk to a tax professional to see if i'm understanding it right to see if it's applicable to you your personal situation, but it does sound like if i am getting This right that it's going to be a tactic that can be used for this year's attack like this particular calendar year's worth of taxes, and then they will be closing that loophole in the future. But overall, do not take tax advice from me. Do not take tax advice for me, i don't know how to be more clear than that, but that was my understanding from my own cpa yesterday, all right and i believe right now just so you know this is the conclusion of the show. Uh biden is about to start speaking.

I think it will have a noteworthy impact on the overall market crazy day in the market sold off, sold off and then everything just moving higher, very, very systematic, crazy, crazy action. So, let's see if it's continued by the president's words or let's see if the president's words throws a wrench into all of it and kind of messes it up, but that's the end of episode, six of crypto cores. Thank you so much for your support. I would appreciate it on your way out if you could drop a like leave a comment that type of engagement helps get this to other people and obviously that is very much appreciated by me when you're attempting to start a new show, but thank you much love Much love i'll catch you at 3 p.m.

For the power hour show have a good one.