The Bull Case for #Bitcoin
The case for non-custodial wallets
Market summary: 📊
Crypto Market Cap ➡️ $1.89 trillion | ₿itcoin $40800 | Ethereum $2700
S&P 500 daily close: 4300, −1.48%🔻
Gold: $1955 per troy ounce, +0.98%🔻
Crypto markets have been in a sorry state for nearly an year now. I am sure, maybe a couple months more before the bullish phase returns! Markets have a way to reset and I am just being patient for now. #Bitcoin is inevitable.
Let’s talk about macro factors which affect markets - not just crypto but traditional markets as well - equities, commodities. In the last couple of months, we have seen governments take some radical approaches, especially with banking. All in all, it raises the question - do the governments really serve in the direction of public interest, or are they are biased towards their own political interests.
In today’s newsletter - 📰
Russia v/s Ukraine
Canada vs/s Truckers
Russia v/s Ukraine💣
While some parts of the world were just coming out of pandemic mode, we have two nation-states going right at each other. Vladimir Putin has sent his troops to invade Ukraine!
Why is this a big deal?💵
Today is day#9 of the war and we already have more than 1 million refugees seeking shelter all across Europe. How do you guys think the governments manage these refugees? Short answer, cash, in billions. The Global Financial System is broken, due to the corrupt nature of the Central Banks + Governments. Since Covid-19, we have had more than $10 trillion cash created out of thin air. Now, with more refugees, countries will print more money and serve them. I am not saying that I am against refugees, absolutely not. I am saying that the way the financial system works, just adds to that problem.
The United States is staying away from conflict and is an observer to this war. Year by year, the US is losing power, Biden is not looking like a strongman leader, at all! All US can do is write more sanctions on Russia’s Central Bank, Oligarchs! The western media labels it as an “Economic War”. I don’t think it’s effective but time will tell. These sanctions ban Russia’s Central Banks and a few major commercial banks from the SWIFT system (centralized servers used to transfer money cross-border). It’s a boring, old, legacy system. It’s about time someone puts an end to it but these sanctions are going to be a catalyst to speed up two things - a) The US will lose its grip on controlling money supply b) The US dollar will lose its status as a reserve currency.
The reality is that Russia and China are already working on an alternative system to bypass/not use SWIFT at all. They can use #Bitcoin but they can’t control it, so I would assume they would stay away from that. Both the countries have ramped up their Central Bank Digital Currencies project and China’s version is already in production - they show-cased that during the Winter Olympics!
If you haven’t read my last article on why we CBDCs are not good for the general public, read here.
Now, the effects of war are brutal - after the sanctions, the Russia Ruble has lost more than 50% of its value as compared to the US dollar. People are running to banks to withdraw their cash before the government freezes them. In such times of crisis, the Russian government has imposed rules to not withdraw over a certain amount. The Banks are the custodians and the governments make decisions on our hard-earned cash.
For the Russians, their savings have instantly dropped by 50% in value. They have to convert foreign income to Ruble, so they are not safe from devaluation. Lastly, Banks fail and nobody should trusts banks anymore. You never know when a bad loan with a huge contractor goes bad and your money is lost forever.
What can they do to preserve their saved cash? What options do they have? They should buy Bitcoin.
Ukraine is struggling to keep its infrastructure intact - loss of electricity, curfews everywhere, refugees leaving the country. It’s hard to move cash from one bank to another internationally, there are always restrictions. I can totally see why a person with crypto would find it so much easy to move their funds.
Even the Ukranian governments asked for donations in Bitcoin, Ethereum, DOT and USDT(all cryptos).
Canada Govt 🏛️ v/s Truckers 🚚
Last month, Justin Trudeau passed an emergency order to freeze bank accounts of all protestors! This news was underplayed heavily by the western media + state medias! Governments have so much political power that civilians are always at their mercy. It doesn’t matter if you are in a democratic or communist country. If your ruling government turns out to be evil, they have enough weapons at their disposal to shut your voice up.
The government banning bank accounts takes away one of the constituitional rights - right to property! If a person who is part of a protest can have their bank accounts frozen, what else is left for that person to lose? I found it outrageous that Canadian government took such a sharp measure to punish their own citizens. As long as the governments have a monopoly on controlling money, they can really do anything. As an individual, we all must understand property rights. We buy a house, we have cash, we have gold, we have bitcoins, all of these are possess monetory properties! Guess, which one can’t be seized by the governments? #Bitcoin.
The bottomline is that people want financial freedom - ability to access your money without restrictions. The crypto revolution is upon us, google non-custodian crypto wallets, and you will find the best app out their to manage your crypto holdings.
#Bitcoin will play such a major role in future financial world! It would be amazing to have 7 billion people with non-custodial wallets, that would be something.