This week in Bitcoin- 1-17-2020- Altcoin surge, Venezuela Petro, Institutional interest, halving!

This week in Bitcoin- 1-17-2020- Altcoin surge, Venezuela Petro, Institutional interest, halving!


Oh Hello everyone this
is adam meister the bitcoinmeister the disrupt meister welcome to this week in
bitcoin look at all efforts today is January the 17th 2020 straw hat long
term thinking affected by selling uncomplicated bull bitcoin is the next
bitcoin one bitcoin equals one bitcoin we’ve got some guys here with some
conviction today eggs coming in from the east coast
we got Hass McCook is back on the show last time he was on i was with him he is
in Australia beautiful Sydney Australia and we’ve got a very special guests he
hasn’t been on the show for a while Gabriel is in Venezuela he’s gonna tell
us what’s really going on with the petrol I had a discussion with him
yesterday god-willing his internet does not go off
because go out because the internet is kind of weird down there now we have
breaking news we were going to start off with the usual stuff but Hasse for me
that what stopped the flow guy one trip what’s his name
Brandon doing he he just came out with a new article and Hass is going to tell us
about this article so all of you don’t have to ask me about this article a
million times tell us all about this hats all right so there’s as you guys
all know there’s been a lot of back and forth on Twitter about the efficient
market hypothesis and whether the Bitcoin having is priced in or not so a
lot of people have come out said their piece and Plan B has come out with his
with his own little piece talking about the EMH and stock to flow so effectively
what what plan B is concluded is we can say that bitcoin is an efficient market
with a lot of information already priced in and one of the indicators of that is
it’s now almost impossible to arbitrage Bitcoin and make money and
what he means by arbitrage is let’s say buying Bitcoin with US dollar then
moving it to an exchange somewhere in Europe you’re not selling the Bitcoin
for Euro converting the euro back to US dollar and pocketing the difference so
back in the old days that used to be relatively easy to do but nowadays all
of that all of that arbitrage opportunity is gone which leads many to
believe that bitcoin is you know medium form efficient now the interesting thing
is that that he sort of presents is a risk model in parallel to the stock to
flow and effectively where he’s heading out there is there’s a lot of all public
information is priced in but all risks are also priced in and there’s several
risks such as that you know investors are afraid of such as something like a
mining death spiral after the halving or government banning Bitcoin or stuff like
that now these risks are all priced in until they disappear so the argument is
as these risks start to disappear price will start falling more in line with the
stock to flow model so for example one of the first risks that we’re going to
put to the test is the death spiral after the halving and we’ll see what
happens in four months I don’t think there’s going to be any Despero
whatsoever and the market once they say that there’s no death spiral the risk
will be eliminated from the calculus and price should start yet or not number go
up so that’s effectively the crux of of the article and I’d recommend everyone
read it and is other pieces a lot of good nuggets of gold in there Plan B
people I love you do read it know a lot of you asked me about that stock diploma
all right this week though we’ve heard about institutions coming in the Bitcoin
silently buying up Bitcoin at the same time Bitcoin is up 20% on the year more
and more people are talking about the having I on past shows of mine link to
below and by the way all of these guys are linked to below check them out that
stock the flow article is linked to below also by Plan B and all the stuff
that Gabriel is going to talk about that man smell is linked to below now the
thing that that happened this week that’s interesting or this year so far
Bitcoin being up 20% it seems and they all coins pumping this week especially
all coins that have having’s coming up it’s as if people are finding out about
this having and as it’s like a marketing tool it’s like oh this thing sounds good
better buy now that’s just a hypothesis on my part no technicals in there but
hey what do you think about this week in terms of the the altcoins pumping and
the having being talked about what was your theory for what was going on and
Bitcoin being up 20% on the year yeah there are three things going on this
week yes we’ve seen some movement in all coins I think a big part of that is just
that they’ve been down so long and they’ve overextended the bear market
markets have begun to come back for the main coins and all coins were still
dragging so it just became a matter of time before traders and speculators
started to think okay it’s time for these to start coming back let’s stop
putting some money in and that started to cause a rise so we’ve been seeing
more of that in the past week or so but then there is the additional bumps that
happened I don’t know how much you guys follow a BS fee and some of the stuff
that’s going on over there but there was some BSD related news with with Craig
ride and the purported return of the keys but for whatever reason bsv only
trades on one a major exchange that I’m aware of and it’s got a very limited
market but that makes it very susceptible to large price movements and
it had a walker of a price movement now although it’s only traded in one place
that’s meaningful it still shows up in the list it still jumps up on the chart
as being having a huge market cap it’s not based on real liquidity but when you
multiply that number of points times that price it jumps up on the market cap
chart so everybody saw it and they saw the huge bump and what happened was
there was a secondary bump in altcoins specifically forked coins so everything
that was also a forked SV got a sort of bump and that was I think because of the
following mentality oh that’s right these fork bitcoin Forks can rise in
price dramatically look at what’s happening to be sv oh why haven’t we
been putting money into b CH why have we been putting money in a bitcoin gold why
haven’t we become money into even we saw a movement in Bitcoin diamond which I
don’t know if anybody even remembers exists but that thing took a bump up to
because it was just speculator saying okay let’s let’s pump some money in
there to see how much it rises maybe we can make a trade here um in the case of
Bitcoin Gold has been wonderful for us not because of the temporary bump but
because it reminded people that we are on a multitude of exchanges we got
serious liquidity and there’s something to trade there but it’s been less
popular to trade during sort of the doldrums of crypto winter and the
doldrums of the altcoin sort of lagging it woke our markets back up and we’re
seeing tremendously increased volumes that continued long past the nonsense
spike so we’re very happy to have retain some of that gain and our community of
course is thrilled to see a big chunk of that gain returned and the activity
returning and the trading returning which is always necessary to have a
thriving economy and ecosystem you really need to have that active trading
so we’re glad to see that so that really helped all the forks the smart Forks and
the dumb Forks um you can have your opinions on the forks but yeah now that
bsv definitely played into the the price spike we saw this week and some of that
trickled out to the rest of the market too I mean if someone did make a killing
on the bump in one of those coins they they take out their money they’re gonna
put somewhere else where else do they put it well they put it into Bitcoin
they put it into litecoin they put it into a theory and that’s why you see all
these other coins rising up as a result of a nonsense bike in a coin that people
don’t necessarily follow it’s still positive for the market and it excites
traders it reminds them that there’s activity volatility they play the risk
they play the volatility that’s how they make their money dude that was a very
good explanation you answer some questions of mine before I even ask them
panel man like for the trip though dividend spike yes
we’re not gonna talk about the bsd thing it was a nonsense spike indeed but it a
got people didn’t do well often they start throwing their money around now
that’s for all you long-term thinkers out there if you did if you did well on
on a gamble then you just walk away from the table but as you see most people
don’t walk away from the table and they kept throwing that money in there well
Gabriel how you doing man hello everyone can you guys hear me go ahead before we get into the petrol
before we get it it’s on the ground what’s your what’s your take on the
Bitcoin spike this year so far well I don’t know it has been beautiful for the
first time it seems like we’re finally stop stopping this bear market extension
from June and I really thought it could go a little lower still I’m still
expecting some lower numbers still on that market makers move you know they
are specialists in making you think that the bull run has finally started and
then they just dump it on you you know they’re specialists they play with your
mind so we have to be aware and just do not sell when it goes down just don’t
sell don’t worry just take it out wait it out and then we’ll come back up and
we’ll take the moon strong strong hand is what he basically said okay we’re
gonna get to you in a second about the petrol because you’ve got some pretty
crazy news down there I just I wanted to pass it have a word on here was has to
gave us that beautiful summary of Plan B but I want to hear your thoughts on
institutional investors coming into the space the having the price in 2020 is
this the beginning of the having run up that we’re in here
yeah I believe so we already know that was perhaps passed did you hear that oh
sorry sorry yes go ahead look anyone that tells you they know
what’s happening with the price and which way he’s going is probably you
know being a bit a bit ambitious so no one really knows what’s happening and I
I agree with with Gabriel there’s still a lot of manipulation in the market and
and that’s one of the things that’s one of those risks that Plan B was also
talking about keeping investors away people worried about manipulation low
liquidity we saw the example of what low liquidity does this week with bsv
quadrupling in price now one of one of my theories about the big bumps in in
bsv and Bitcoin cash and whatnot is that these Forks will die during the harvick
but not anymore because they have doubled their price so they’ve
effectively guarded you know they’re you know they’re effectively their hash rate
so people were expecting revenue to have after the having so that those coins
would end up in a death spiral but it didn’t take too much money to pump up
their price to double so now when when the you know when the supply haves
miners one need to move their hash rate from from Bitcoin casual bsv over to
Bitcoin so there’s still heaps of manipulation with regards to to
institutions look I think once institutions get a sniff of Bitcoin
you’re looking at at a price of the very high five digits so while it’s still you
know in the eight thousand dollar range I I don’t think it’s credible to believe
institutional investors are there so to you know to maintain this price let’s
just round it up to nine thousand US only five billion dollars of yearly
investment is required you know five billion is a pittance
and there’s lots of institutional investors single entities that would be
willing to throw down five billion so in terms of institutional investment I
don’t think it’s there and I don’t think it will be there until the the magic
trillion-dollar number surfaces yes then the arrow line-dance happy arrow said
something similar that’s what intrigues these people but we’ve got these
articles coming out this week saying the Barry Silbert said he’s getting all this
interest from institutions that violent buying up gbtc I mean it’s a slaw it’s
it’s on a smaller scale you’re talking mega scale yeah yeah yeah well I’m glad
I’m glad you’re getting everybody excited about the five-digit realm we
all got to get used to that five-digit realm when it comes and you you did
allude to something that IDI alluded to also and that was the how easy it is to
to pump some of these coins and with the BSP it’s pretty clear that there were
some fake news that was about to come out about it so some people over there
they buy some and it can excite people so it’s all very coordinated very easy
it’s a text example of buy the rumor sell the news so good is when we find
out this bonded grew here is another myth and the sale of that news is is
going to be epic I hope not too many people longed at 400 on bsv because the
yeah because they’re in for a bit of a wreckage well it’s already down to a
hundred but I mean it’s people bought it that high you know good good luck to
them bitcoin is the next Bitcoin people atlases yeah anyway but I want I want
ads take on it did the death spiral a possible mining death spiral of a peak
ash MPSP as as we approach to having and what day is be goals having I’m gonna
disagree with us on the effects of the having I’m a longtime believer based on
my analysis that mining always follows price and I think this is going to be
the time that sort of demonstrates that’s going
be the case Bitcoin Bitcoin cash in BSB all use the same kind of hash rate
sha-256 so they all use the same ASIC miners so what we’re gonna see since
they have on different days we’re going to see when each one of them haves will
see their miners about half of their hash power flee to the other coins
because the other coins will become dramatically more powerful but we’ll
also see the opposite happen when Bitcoin haves it’s gonna happen in this
order because a Bitcoin cash is estimated to have on April 6th any for
March April for Yap for 6 April 6 um and then we’re gonna see a lot of their
miners disappear when that block reward gets cut in half there’s no fees in
there at all um we’re going to see the same thing happened on bsv on the 8th so
that’s just 2 days later we’re gonna see the little spike that they picked up
from people leaving BCH we’re gonna see all that lead and all of those miners
that are lost by B CH and b sv are all going to flow into BTC because that’s
the real sync for hash rate for these Asics but then on May 6th
the Bitcoin having’s gonna roll around and I’m using the estimates off a coin
dance for the day in case nobody cares so on on the 6th of May that’s when
bitcoins going to head and suddenly their reward is going to be cut in half
now they have a little bit in the way of fees as well so that’s going to buffer
it a little bit but that’s a small fraction compared to the block reward so
when their block reward gets cut in half we’re going to see the hash rate for BTC
drop down as well but it’s not going to drop his heart what happens is the total
hash rate in that space is divided by the total amount of money available in
coins across all of those coins and of course bitcoin is the Dominator in terms
of the value of those coins because the price is so much dramatically higher but
we can estimate the math we can look at this and see and predict exactly how
much that hash rates going to drop because of those profit-seeking miners
jumping out to those other coins because there’s some profit to be made I’m gonna
write up a post on this just so I can you know put my predictions down ahead
of time but this is going to be a textbook example of hash rate follows
price and you did ask when when the Bitcoin gold having is I have a
countdown clock up here somewhere there it is uh we’re looking at April 8th
right now early morning GB UTC time early more
on April 18th 18th of April so we’re gonna happen between those we’re not
going to be affected by that movement of power because we’re using a modified
equi hash so it’s completely unrelated hash rate we don’t compete with Bitcoin
we don’t compete with Bitcoin hash rate we stay completely off of that but we’ll
see that exact same effect where when our reward gets have people who mind
using GPUs are going to move some of that mining out to other GPU coins
because a lot of miners they follow the profit now I just want to talk about the
halving as a marketing tool here for a second since more and more people are
gonna be talking about the halving is this beautiful event there are going to
be people they’re going to be buying Bitcoin because of this reason and I
think it could help the other coins that say oh we have a having all so that’s
what I thought might have played a little bit of the role in this week but
we’ll see if people get excited about the other having’s just for the heck of
it like ooh be caches are having having also be Gold’s having having also be
diamonds I want to get into it so if I get in there yeah this also plays right
into what we opened with efficient market hypothesis there’s still the
burning question and it’s the same for all the alt coins as it is for Bitcoin
it’s the same for anyone that has a having is the having going to drive the
price up because of the reasons that it might or is it already priced in because
we all know that having is coming on may something so since everybody knows they
can price that information in well then maybe the price will drop after the
halving because everyone’s going to bind out on the rumor and so later on the
news or maybe that will not work out maybe it’s not totally efficient maybe
people don’t realize the impact of having and after the halving they’ll
realize oh the miners that gets these coins aren’t going to be selling as much
to subsidize their miners and their electricity and everything else so the
amount being dumped in the market goes down and that’s going to be good for
price long term you know look the inflation rate just got cut in half
because of the halving and that’s great for this as a store of value so people
will be jumping in afterwards how much of that is priced in how efficient is
the market the halving is a great chance to see well this is you say everybody
knows first of all everybody is not even here and everybody everybody isn’t even
in here yet some of the people that are buying having there’s still a no pointer
land or they’re still in unscared land because I was here in 2017 and it
dropped so much they died you’re happy everybody should know everybody should
know but so many people in this market I mean they’re in it for the the next next
altcoin flavor of the month so bitcoin having might be a flavor of the month
type of thing that people that those impulsive type of people want to get
into and put it into the layperson news for sure you’re right you’re right
indeed and I will say this I think I think yeah there’ll be a lot of people
buying the rumor and then they will sell the news it it will go down after the
happy it went down after the last having I think it’s good at the same thing that
happened last time to 2016 the run-up is starting now in the Hat it’ll go down a
little bit before the having and then would go down after the having it then
as we get to the marios yeah same type of thing alright I’ve talked too much
hassle do you have anything to respond because he was responding to you there
yeah I agree hash rate does follow a price and and
that’s why I think people won’t flee bsv because even though the supplies having
the price tripled so right now probably one of the most profitable coins to mine
on sha-256 would be bsv but why would you mind shit and we’ll do it and
bidding for charts and look at the profitability mining charts and compare
them sure the price went up a whole lot on bsv but the profitability stayed the
same so the amount of mining power that came in was just the amount to take
advantage of that extra profitability of the price and that’s all yeah all right
yeah i wanna i want gabriel gabriel hasn’t said much gabriel
you’ve got mining experience of course you have anything to say about this
before I got you a question from the audience for you well I agree with a lot
of what you guys said every if I was mining if I was mining right now I would
probably want to take my machines when the hash
rate goes up on Bitcoin and try to mind some of the other Forex minor forex
because I think that because not so many people are mining it and there’s still a
lot of upside potential for the for the small Bitcoin Forks I think that would
be profitable if I was mining I would probably try to look to mind some some
of that BSB or some of that Bitcoin cash also you know just for profit just as a
business I could do it if I was mining I’m not mining anymore though yes now
all right let’s get to the question from the audience habla this is from Roman q
this for Gabriel I guess when Bitcoin approaches the $20,000 mark again will
the 2017 style ICO launch man this repeat again so what will we have in say
all coin season as Bitcoin up puffs Gabriel I believe it it it can
definitely happen because you know all that new course all the newcomers are
gonna be pumping up Bitcoin by not be kind of those incredible new heights
eventually they’re gonna want to try to cash out in cash and catch the next the
next Bitcoin right so well I think we might see is a it’s a big increase in
the Hult in the next 12 months and as as it happened last time the biggest pump
of the AL coins was like two months right after the peak of bitcoins so I
think definitely there’s a lot of a lot of potential approved potential for all
the outgoing market and I think the smart people are gonna make millions of
dollars in these next two years with the out coins yeah I I agree with April
but I’ll just say this I don’t think it’ll be as bad as last time and here’s
why last time the ICO craze was really a new thing a lot of people didn’t realize
what was going on with ICO and that they’re really securities and that
they’re investing in a company and and they saw a lot of legal repercussions
from that regulatory crackdown but also they saw a lot of people my
lose all their money lose their shirts on some of these icos so we’ll still see
it again absolutely because when the prices rise and people have all these
profits in Bitcoin and a couple other coins they want to reinvest that money
they want to get that surge again and that will always attraction on the
scammers the snake oil salesmen the liars and the frauds are all going to
come out of the woodwork again like they did after 2017 because they all want a
piece of the pie I mean in early 2018 late 2017 you could go to China and have
a PowerPoint slide with just repeated nonsense and get millions and then play
that same slide again with a different title up top and get millions again and
people did that it was ridiculous I don’t think people are going to be that
foolish again this time but they’re still going to be people trying hats
will they be this foolish again yes yes they will
so one of my theories is the a lot of these old coin is you know consider
their coin as a peer to Bitcoin and that’ll act the same as Bitcoin so a lot
of these people saw you know a lot of these people a lot of Bitcoin has picked
up some Bitcoin in the 2013 bubble so I’m an example of that and you know we
wrote it down 80hp five to ten and then you know lo and behold Bitcoin hundred
xed after that you know and then it’s come back down 85% and it’s on its way
back up now people believe that you know neo kadhai know
you know just because they’re down up 90 percent 95 percent Bitcoin was down
there once again and one of these days I might be able to sell my bags you know
at a hundred x from this point you know some lesser thought so they’ve
completely misunderstood you know fundamentals there’s a lot of unit bias
that plays in and look even though there was a big craze about icos and whatnot
you know the the market for new be retail money is still wide open and
they’ll still be a lot of like new retail people coming in looking for
profit seeing Bitcoin 10 15 20 grand you know seeing the shit coin flavor of the
month you know a penny apiece and I say you
know what let me roll the dice you know I know a lot of these other other shit
coins the the men’s and memmio’s of the world I’m telling you I’m sure they
believe from that from the bottom of their heart that it will be a another
Bitcoin moment and when Bitcoin pumps 20 50 hundred X their point will move
alongside it so yeah dumb money will overwhelms smart money at this point in
crypto ecosystems lifetime I agree dumb money but hey in the long run the dumb
money flows to the smart money and flows to the long term fiction hey this is for
the big boy anyway let him do when they go to damn baby learn about the having
etcetera center you’ll see what happens all right now we’re gonna move to
Venezuela Gabriel and guys you can ask a real questions in the in the chat if
once he reveals everything he’s about to say so so Gabriel the the petrol is
actually real it seems like something it seems like something China would like
because with the petrol you do not control your private key at all you’re
relying on a third party website take it away though take it away tell us
what’s going on all right guys the way I see it we are experiencing live this
experiment okay we have seen the the start of a new movement worldwide in
where the central banks are creating their own crypto crypto assets okay
their own cryptocurrencies we see China creating their digital John we see
Turkey trying to do the same we still Russia trying to do the same and just a
couple of days ago it’s just a news about the European Central Bank and just
just about to roll out there their crypto euros right so in in this order
of ideas we see Venezuela as the first experiment and
as a big as a big experiment okay in which these centralized currency is
being deployed with I will say a lot of success a lot of trouble at first but in
the big picture I think it has been a great success for for the intentions of
the government which you might say my differ if you have like a political
opinion or whatever I’m just trying to look at it as in the crypto and just
looking it at the crypto way right because all the all the petrels that you
might hold they are actually in control of the of the government you you have
the permission to use it but oh you don’t have your private keys all the
exchanges that do have the petro those wallets are controlled by the government
basically and we’ve the petro app that is the same case in which you can use
your petrol right you can receive you can send you can do all that just like
if it were Bitcoin or whichever other cryptocurrency but they have the
regulation so one of the ideas of why is he decentralized is to prevent
corruption okay because as we know Venezuela has a long history of
corruption and this way the government is going to pay for everything the
government contracts in Venezuela they’re gonna pay in petrol so they’re
gonna have a very good way of finding out who move it how much money to where
and why and this is so big this this watch over that even if let’s say you
want to try to sell a thousand petros right that you acquire legitimately but
if you try to do a big movement like that and you did not notify to the
government you might as well get blocked so there is a strict control about the
movements of petrol and the give the give the big take away I think I might
say that there has been millions of people
on warning into the petrol lab which is I think is really amazing you know of
course there’s problems is not perfect but I think there they’re on the right
track about onboarding everybody in Venezuela lines of using actually using
cryptocurrency yes so in the long run if the people are
smart because in the app they let us back up a second here the petrol was
given out to pensioners the petrol and they spent it they did but if they were
smart they could have turned it into Bitcoin in the act that you showed me
they allow you the Venezuelan government allows you to turn petrol into not only
big point but I think Mike pointed – also right do they allow you to allow we
please do to share to show you just a little bit really quick they had to do
it and you see my screen can you see my screen it’s dark now it’s it’s a dark
screen you did something now it’s now try again
okay I’m gonna stop sharing again I want to show you the bathro app application
that they have which is not bad at all I think it’s it’s pretty good because I
want you to see it just just to tell you why I think it’s so good I want to tell
everybody that it’s linked to below – I linked to the links Gabriel gave me a
bunch of links that talked about this and you can actually see what the heck
is going on your screen share was working before that’s the UH that’s the
thing well anyway live in you okay yeah you
told me Gabriel that you with you buy the Bitcoin with the petrol you can send
that Bitcoin all for your wallet you you can become fully in control of your
Bitcoin which is a hey man I would think more people in Venezuela would want to
do that and also I gotta say yeah it looks like the Venezuelan government is
quote-unquote winning because they had a horrible currency called the
bar and now they’re able to transition into this other thing that actually has
some value is the Bulevar had no value at all so Gabriel are you there still is
he now – ah now we came in here yeah all right
Rhett oh yeah he left he’ll be back though rest of guests can you hear me
yeah we’re all the time it’s just it’s just Gabriel that’s gone
all right we’ll talk about some other issue as real years the Bureau came for
him yeah I found that like button for the safety of Gabriel everyone I’m sure
he’s alright he will return okay let’s see eh did you
have any topics that you brought to the show that you wanted to discuss today I
really want to just want to comment on the doesn’t petrol because Gabriel
pointed out a couple times that you don’t have your keys that you don’t get
to control your own petrol that the government controls it all so it’s
really just balances on an account and I think that means that for practical
purposes it’s not really a cryptocurrency
yeah it’s not it’s it’s just another kind of fiat currency except that
they’re saying it’s backed by oil but the fact that they in their app created
the ability to trade it into a real crypto like Bitcoin and allow you to
withdraw so that you’re controlling the coin by dint of holding the private keys
I think that’s a wonderful thing that really enables the the Venezuelan people
to be able to control their own funds now I don’t think the federal government
did that because they wanted to enable the Venezuelan people to get Bitcoin and
send it where they want but they wanted to be able to bypass sanctions but still
the net effect is probably good for those people all right yeah very good
summary of it and you and Gabriel mate was careful he didn’t say it was a
crypto it is it really sorry guys all right yes good you’re back did you want
to do the screen share ah it’s there uh right what Gabriel’s this is so it’s
tragic he got some of this he got some of his message into US but uh not all of
it sadly pass any thoughts as we wait for
yeah I’m surprised the petrol has has any value if they let you convert it to
Bitcoin I would have thought I would just be dropping petrol like it’s hot
and just buying it coin yeah that that freaked me out a little bit too because
the the pensioners got they were given petrol for free why not just returning
the Bitcoin and save but they were hungry I guess and they I mean that who
knows they needed to spend it I uh I assume
Gabriel is still frozen but alright well we’ll move on from the petrol for for a
second here Hass you had other subject matters you wanted to discuss let’s see
what did I want to discuss besides one of the plan B I thought you had another
another art okay if you didn’t that’s fine then I will go to a a other topic
of discussion that you had with you well I want to just mention there’s a project
we’ve been working on at btg for a while called CC BN cross chain block
notarization and I think we’re getting ready we’re gonna be putting out the
white paper suit so maybe we could come back and talk about more on another show
but basically it’s it’s the first I think completely decentralized way to do
an authorization system to help protect the blockchain from 51% attacks
especially the double spends from 51% attacks I think it’s gonna be really
interesting and we’re going to be publishing it in hopes that other coins
can benefit from it as well of course that that won’t be a benefit to Bitcoin
because bitcoin is the you know 800-pound gorilla in the room but there
are lots of coin projects out there they’re not all shit coins and some of
them do need better ways to defend themselves against people renting power
or places like nice hash and just running all over their block chains so
we’re trying to bring some technology out that can help offer them some some
defense against that yeah there there are a lot of those smaller coins out
there that are no fans of nice hash because because people rent some from
them and they cause all sorts of havoc so you’re gonna provide a solution a
solution to some of those problems it solves the problem of 51% of tax being
used to create double spins and you know usually that’s done to defer all the
exchanges you know the deposit a bunch of coins exchange trade for Bitcoin
draw the Bitcoin and then reverse the original deposit so you’ve stolen
Bitcoin that really hurts the exchanges and it makes the exchanges less willing
to take the risk so we’re gonna offer a method that lets the first really
decentralized method notarization is nothing new lots of coins have various
notarization methods but they all rely on various mechanisms to enable it we
just record a hash or they have a consortium of elected nodes that can
dictate which is the true chain and that’s sort of a kind of centralization
of power that goes against the the concept of decentralization as embodied
in Bitcoin and in btg so we come up with a way to keep it completely
decentralized but still add the power of notarization to help protect the chain
so I’m looking forward to sharing that all right people in the audience Gabriel
is still not back but if you’ve got questions for the other dudes
you might ask them oh you are back come on oh you are good okay continuing
continue with the PEC and continue about getting nosy yes can you see my screen
no we cannot have you screen and I don’t know if it’s worth the shot to even get
crap you’re gonna have to just describe it to us yeah yeah just describe just
describe us that the app is I think it’s what’s clicking you all to try day okay
well I think it’s pretty cool about the bedroom is that in this Pedro app you
can hold also Bitcoin litecoin and – so imagine a lot of people that have never
ever heard this before or had any contact with because they didn’t know it
was to complicate it or whatever and nowadays they’re being forced in a way
to use the bathroom right and to have this application and use it and so on
and now these there’s at least 7 million people that right now do have this
better app and they’re gonna be wondering hey how about changing these
patches for some Bitcoin or how about some buying some cheap patches and then
reselling it on the other books of the exchanges and so on so there’s a big
market getting I think getting built it’s getting built right now as we speak
so there’s at least 7 million people who receive it
for petrol which is around $30 just last month and you could see people going
like crazy to the stores and actually they accept it as a payment just feeling
the lines you know paying with their petrol abs getting their goods out of
freebies from the government but I think in order all it was pretty good
you know because you have a variety of people of all ages from young people all
the way to all people getting in touch with this technology getting used to you
know seeing the addresses and sending crypto and receiving crypto and then how
quick and fast it can be done and then finding out about bitcoin and litecoin
and ethereal and whatnot and Bitcoin gold and you know and then people start
learning more so I think this is a very big experiment that has been growing up
slowly but it’s picking up speed it’s picking up fire it’s getting up momentum
because of so many millions of people are being practically forced to use it I
think it’s gonna be a huge growth for the Bitcoin industry in overall just by
the big impulse that the Venezuela is giving to the world because there’s no
other country in the world has that I know of that is pushing cryptocurrencies
so hard as the Venezuelan people right now well again this might be an example
that but they’re authoritarian governments look at and say oh and that
is well I can monitor every payment I need yeah if I may add sorry to drop
if I may add we come from a story that two years and a half ago people was
being prosecuted and being thrown in jail just because of having one and
minor just because of talking about Bitcoin on the street we’ve gone from
that to the government just pushing everyone to use it to use be going to
use whatever cryptocurrency you like we’ve gone to that you know it’s been a
big big big change in the posture of the government now I do want to say if
there’s somebody enough in a they said in the chat here I want to correct this
guy he said if it’s a government designed
wallet they will put a backdoor in the wallet dude there’s no need to backdoor
it they already shut your wallet down if they don’t like you there’s no there’s
no back it’s the front door it’s the front door yeah
they’ll shut it down and yeah they’ve shut down people’s wallets correct
Gabriel you were telling me that yes if if you try to do big a big movement of
petrol and you have not notified the government on why you are doing this you
might get blocked it’s not for sure but you might get not so it’s centralized is
centralized man is not Bitcoin but you can exchange it for Bitcoin so I think
that part this is it cool this is a two-part question here why are they
letting people exchange it for Bitcoin yeah what and what and once you change
it for Bitcoin as you told me you can get the Bitcoin off of there so once
it’s off there you control your Bitcoin private key and you win I mean that’s
the end of the story but why do they have it in there why they hey I could I
could say why not you know why not it’s cold you know they they want they want
to promote to everyone to use crypto including Bitcoin they’re giving you the
opportunity if you can withdraw quickly enough you know you have your Bitcoin
Oprah Lena I have a theory as to why they might be allowing that the problem
again close tabs on how many people are withdrawing and how much bitcoin because
I have to manage how much they hold on the markets but here’s the thing
Venezuela wants to get around sanctions and to get around sections they need to
use Bitcoin but they need to deal with the fact that Bitcoin in routine
transactions is fairly traceable now what easier way to hide an illicit
transaction than to have a whole bunch of legitimate transactions being done by
people all over Venezuela selling a little bit of petrol for Bitcoin and
withdrawing it it you can’t tell from the withdrawals whose wallet it’s coming
out from because it’s all coming from effectively the government so tracing
that coin tracing those coins out to see who’s using what for what purposes is
really difficult it’s going to make it harder for other countries to keep
sanctions on Venezuela yeah that’s good that’s it’s pretty
right yeah the only ones that can actually track AK for real all the
petrol transactions are that is the government because in every wallet that
you hold petrol it doesn’t matter if it’s on an exchange or if it’s in the
petrol up you have to go through kyc you know so they know who has the petrol and
they know where to move day when you move it to so they have it’s a it’s a
dream for it for a country that wants to control their currency like really hard
and know who moves what to wear and when it’s perfect for the government purpose
of controlling the money supply and knowing who moves what to wear I have a
question for you and are there any other countries or merchants from other
countries accepting petrol at this point that is a very good question and I would
say yes as you can use your petrol lab it doesn’t matter if you’re Venezuelan
or not because still login you still have to do kyc you know for instance to
Delhi I was talking to a woman in Ecuador who was asking permission for to
let the government Venezuelan girl because she wanted to cash in to receive
as payment 1550 making into $1,500 $1,500 as she was selling some stuff to
Venezuelan people in Ecuador that already have Pedro’s so slowly you might
see there’s some spreading around the Latin American countries slowly this is
the first indict of that but I think slowly and you know report around it
slowly do it alright thank you yeah yes you were gonna say something
else Gabriel I think yes if I may add the the the petrol market was pretty
down the last the last month because of the new supply to the you know seven
million people got half a petrol so obviously
trying to sell this pair to drop the price down okay the exchanges that are
in Venezuela there are seven exchanges they have liquidity but they have low
liquidity so if you want to cash out for Bitcoin or for believers maybe half a
petrol you can do it probably no problem you won’t get the $60 price you might
get a $50 $52 $44 but if you want to move a big amount is not enough
liquidity on the exchanges that is one part but since two days ago when
President Maduro came out and said those big news I was pretty impressed about it
I was like okay now this means the real business he said this if I if I may say
it he is gonna sell 4.5 millions of barrels of oil only with petrol that’s
the start you know that is worth around 270 million dollars worth of oil there
it’s gonna be sold with petrol like the only way that you can buy it now is if
you buy petrol okay that is one one big thing and then after he sells is four
point five million he will sell 50,000 barrels a day of oil
through petrol okay I think this is a very very very big news because if you
can actually cash out your petros for oil for real oil then it’s for real man
so I think that was a big announcement and after that the after after market
secondary market of petrol just pumping pumping you know it was trading around
35 39 letters on the on the big volumes OTC and he jumped it like tan $12 to
almost $50 now on the big volumes so that wasn’t big announcement now how
since there’s all sorts of sanctions on Venezuela
how will organizations companies countries how will they buy petrol
they’re not going to be able to wire in US dollars obviously they’re gonna have
to buy Bitcoin aren’t they they’re gonna have to buy some sort of cryptocurrency
I think the Venezuelan government will be open Tories
whatever kind of trip do you want to trade it for you know I think they have
a group of people and they’re pretty they’re pretty intelligent and pretty
smart and if you see it in from the outside the petrol is just another name
for Bitcoin you know from the outside perspective because if you come by
theaters with Bitcoin and you come by weekend with Fiat then what’s the
problem you know solving or what do you think
one of the government’s long-term plans here is the ballot cell fell out with
Bitcoin to try to get as much to sell these petros for Bitcoin and just and
for them to be well there that can’t quite be the I think they do want to
help themselves by stocking up some Bitcoin as a reserve currency which is
notable also the first publicly announced country effectively using
Bitcoin as a reserve currency but I don’t think they’re really using this as
the bailout because remember although people are bringing in Bitcoin to buy
the petrol they’re then spending the petrol to buy the oil so what they’re
really effectively doing is selling the oil for Bitcoin but making the petrol
stay in circulation it’s it’s a really interesting way they put it together
fascinated by this um what what is it for reference what is the actual price
of a barrel of oil that’s the basis of this because I know there they they
pegging it to the price of a barrel of oil officially on the markets obviously
it’s trading at various values and responding to news I’m assuming those
are always at a slight discount to the actual price of a barrel of oil yes and
if I might add to what you’re saying there did up like a basket so a part of
the price is based on the international oil price and then there’s two other
commodities it is diamonds and gold so they try to put of the most stable rate
like that I think that they can right now the face value of petrol is around
$60 okay okay so yeah and if I might add the other announcements that were also
really promising which is and you know Venezuela they produce we produce a lot
of iron right so the president also said they’re gonna they’re gonna sell 1
million tons of iron through pair that is around in this next year this is
around five hundred and fifty million dollars worth of iron to be sold this
year I think it’s a nice volume above that the president said that all the
services that the Republic provides to the citizens such as registries when you
sell your house or your car like you know asking for your passport and all
that sort of documents official documents that the government is
supposed to provide you they normally charge it in Belarus or in US dollars
right and from now on it’s mandatory to be done with petros so this is also
gonna force the government itself to prepare them to attend all these
customers in charge with Petros and the population because they’re gonna be for
said to have their Petra and to spend their Petrus together you know their
papers from the government above that if I may add and most of the most biggest
private companies in Venezuela that are owned by the government such as the by
air which is the Bolivarian Airport Institute and poor Institute for ships
you know there’s a company in Venezuela called Bali puertos they control all the
ports in Venezuela right and this company it’s already has all the
infrastructure and all the system to start charging to the ships a common
goal and merchandise and all that to start moving all that with Pedro’s you
know so I think England internationally there’s gonna be a demand because there
is a big supply of goods coming to Venezuela and all these chips they’re
gonna have to pay for their services at the port with Petros so they’re gonna
demand is because they want to you know upload their stuff here and get pay for
it and you know because it’s so much stuff let me just get it out these guys
they are building they say the biggest exchange in Venezuela which is going to
be controlled by the government it’s called patriae exchange which in
english would be like a motherland exchange or father like to change where
you you’re gonna be able to exchange your Petros for believer s and/or
bitcoins and whatnot with theme the real of the government you can also do it
which is very interesting there’s seven private exchanges than our licenses and
everything that allow you to exchange your petrus for Bitcoin litecoin – and
and other cryptocurrencies so the ecosystem is growing the government is
pushing air you want to use petrol the side shelves actually I think sometimes
you know I think these guys they they are together behind the scenes all the
presidents around the world because mr. Donald Trump has done nothing but help
the adoption of Bitcoin around the world even with all these sanctions on
Venezuela because how else is Venice really gonna gonna survive you know
they’re pushing the United States is pushing Minnesota out of the traditional
financing system and you know it’s just helping the Venezuelan people to get on
board on cryptocurrency and the Venezuelan government is also pushing
everyone here to get them on board so I think at the end is gonna be you know a
huge success story for cryptocurrency starting from Venezuela to all over the
world I want to ask you a quick question Gabriel I know we’re almost at a time
but someone in the chat just asked an interesting question they were asking
our minds are still affected in Venezuela are they still getting busted
for mining what’s the situation for them today and I’d love to know that not
anymore yes I can add to that right now there’s a very good climate for big big
farming you know you can you can come here and you can get your license with
the government you know you explain them like okay I’m gonna invest twenty
million dollars worth of machines we’re gonna bring them here when I put my own
electric power I’m gonna rent this place please allow me then give me permission
and they study your case and if you qualify you know if they like you and
stuff they give you a license and you you can mine on the big scale in
Venezuela completely allow it and regulated it’s quite yeah well I I gotta
say you told me the other day that life on the street has appeared to get a
little bit better recently I mean now that people are getting free get a few
people gotten free Petros it’s it’s not it’s not as bad lately yeah well you
know I don’t it can tell you some story there’s there’s a there’s been a fleeing
of people around 5 to 7 million Venezuelans left the last two three
years especially the last year so there’s less people in Venezuela
demanding you know services from the government and food and whatnot so
there’s less people it’s less crowded for one and like three months ago
president also they allow it the people use the US dollar note bill you know
it’s completely allow it now we went from completely forbidden that you could
be thrown in jail for carrying a hundred-dollar bill you know it went
from that to being completely allow it where everybody in Venezuela right now
has dollars on their pockets I mean everybody from the smallest business and
the poorest people from and to the highest and reaches and biggest business
they are all accepting US dollars everywhere it’s like right now is the
national currency fiat currency on the street is the US dollar you find it
everywhere you can buy anything with dollars now that the market a lot also
there’s a situation because we didn’t have fields because of high pressure you
know it’s amazing so they prove our no need for it anymore you can use your
dollars on the street or your electronic money is gonna be this petrol thing so
we’ll see how it uh we well I mean I I’m really happy that you’re on the show
that he explained all this to us now because we’re not really getting all of
this news we get bits and bits and pieces so I think it’s unfortunate that
it’s not a real crypto currency for and this but they’re gonna monitor everyone
but let me say this if you guys if anyone for men as well as yes and with
the government it’s giving you this stuff for free
sometimes you’re getting paid your pet charnot in the Bitcoin turn it because
who knows how much they’ll eventually print up the petrol I don’t you know I
don’t trust governments to do a good job with their centralized digital
currencies but as long as it you could turn it into cryptocurrency right now do
it as soon as you can with that petrol I would not be a holder of petrol I’d be a
dude that would take advantage of what they’ve given me
they’re giving me petrol I’m going to turn it into Bitcoin and that’s that’s
gonna be my key to success I guess so any any conclusionary thoughts there
Gabriel I couldn’t agree more I couldn’t agree more with you man and
as a matter of fact you could look at petrol as if it were us DT right because
it’s basically a stable coin centralized right so it’s our USD t is petrol you
know when it becomes falling down oh my god I don’t wanna lose my money
you continue for petrol and because stop falling and you still know is a good
moment for a swing trade and you think because it’s gonna go to the moon
well you trade your petrol and then you take your Bitcoin and you drive your
ride with the rocket to the moon yeah all right well we will we will see how
this all continues I think there’ll be some people from Venezuela that’ll have
some commentary on all this they they always do in the Twitter and stuff so I
look forward to seeing that all right let us let us get well I guess we’ll
conclude the show here we got into the our mark here uh Hass you haven’t said
anything out on the DVD comments on everything that Gabriel said and any
conclusionary remarks it sounds extremely encouraging especially because
I think Venezuela might have some of the cheapest power in the world as well so
the cheapest cheapest one well they now that there’s a well now that there’s a
favorable regulatory environment I imagine we might see a big pickup of
mining there and just on an unrelated note I’ve posted a link in the chat
about selling the news Craig rights lawyer okay
just confirmed that Craig does not in fact have the case so it’s good yeah
what happens with that with bsv over the next few days so I’ve put that in the
chat you put that in our chat I think you put did you put it in the output
it’s in the YouTube chat okay it is okay good
yes good well there you go you all coin freaks there’s a little news about he
does it does not have the private key of course he’d I mean we all do that so
that now the the speculators will sell it’s such a joke the whole the whole
things that joke come some people will still believe him because people believe
cult leaders that there will still be people that think the dude is Satoshi
Nakamoto I mean people drank that kool-aid in
Guiana so I mean that they’ll drink this kool-aid to has any other any other
commentary though before we thank you very much for being on the show today it
was great great to see you as usual yeah look I’ve
got some some having commentary take it for what you will anecdote but yesterday
I was sitting down with with a young man at my office who’s who’s in on the auto
DCA trend now so I’d uh I’d also like to give a hat
tip to all of the the the the rising auto DCA movement now what that what I
mean by Auto DCA is set and forget recurring buys of Bitcoin if you if you
check out my Twitter my pinned my pin post is all of the places you can you
can sign up for a recurring buy and you know I was checking in on his progress
and you know asking him have you have you collected enough Bitcoin now to
transition to a hardware wallet and and then I told him about the having and
effectively he’s like what the hell is the having was I sat down I explained it
to him and he went he went off and stacked more sacks so uh even a lot of
these guys that I’ve been recommending suggest you know put aside fifty bucks a
week hundred bucks a week you know they’re doing it with
excitement and they don’t even know what what the having is or that it’s going to
happen so even though it’s priced in amongst our community I think more
broadly speaking you know people have barely even heard of Bitcoin let alone
that you know the the supply mechanism is based on on having and a reverse
asymptotical supply schedule so these are all very very encouraging signs
I like the anecdotes keep up the good work in beautiful Sydney Australia all
right and authority out we’ve we’ve got some rain oh you’re a little wonderful
yes good good news IDI and your conclusionary thoughts I’m I’m seeing
what’s looking to be a wonderful year in the crypto space we’ve got all the
reasons to be happy we got Bitcoin climbing we got altcoins climbing we’ve
got people doing good work we’ve got countries switching into a Fiat that
supports the country is supporting exchange in and out of crypto we’ve got
having’s coming up on multiple coins that are going to bring people interest
they’re going to bring people in they’re gonna make them more aware and yeah this
check here is reminded me how little most people know and how much more
information there is to get out there so an event like this that gets information
out there is always good for the crypto spaces it’s gonna be a great year yeah
and it’s it’s great that the Venezuelan government in their greed is getting a
bunch of people into a cryptocurrency I think it isn’t I think it is gray
they’ll know the right thing to do with it now let’s Gabriel before you view
your conclusionary thought there is a question from from the chat for you are
there taxes for are there are there are there taxes for trading Bitcoin capital
gains taxes are there anything like that in Venezuela no no capital gain taxes for Venezuelan
people we’re a sovereign okay not nothing okay it was your conclusion Airy thoughts now
well and the first of all I’m very thankful for being here I love you very
much and your your your channel and with my friends here at and has you know it’s
a great opportunity to expand the community and I just hope that
everything grows and like Ed said this is gonna be a great year and like has
said you know everything is going and there’s big expectations from here to
the next 12 to 24 months I think the right players playing the right hand
they’re gonna get filthy rich and wealthy man all right good good attitude
there pound that like what bang that Bell button everybody now check out all
the links below the ones that Gabriel provided I believe you might actually be
able to sign up if you’re not a Venezuelan citizen with one of those
links to get the parasite yeah you can sign up no problem again people it
really won’t read if your country has sanctions against Venezuela I would you
could just browse that thing I wouldn’t try to sign up for anything that has
anything for cells yeah yeah yeah if you said look look look to see if your
country is it has sanctions against Americans yeah don’t be signing up for
that basically violence don’t don’t go sanctioning people around don’t worry
about it anyone can sign up it is linked to below he provides some very unique
links down there so I do uh encourage people to look at what’s down there at
least alright dudes that’s the end the show very great unique show today we got
the best guest in the freaking space I spread the word on Twitter I’m tech wall
te CH BLT hello my elite friends goodbye my only friends I’m Adam I should be
emotionally distraught most remember subscribe this channel like this video
share this video check out the links below and let me just say shabbat shalom
to everyone have a great weekend new show here every day we will be back
Saturday this week in Bitcoin will be of course every single for
who knows what time who knows what guests but you know they’re going to be
awesome see you guys kind of like one goodbye

5 thoughts on “This week in Bitcoin- 1-17-2020- Altcoin surge, Venezuela Petro, Institutional interest, halving!

  1. Adam. Absolutely phenomenal show today. Great stuff and it is always good to hear from people on the ground in Venezuela. Brother, I don't think you can comprehend how big your audience will one day be. Good work homie. Strong hands. Golden age of freedom and prosperity for the world dude. Thanks for all that you do.

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