Mar 02, · The Bullish Case for Bitcoin Filed under: fundamentals blogs Vijay lays out the case for bitcoin from a fundamentals perspective, detailing bitcoin's core properties, monetary history, the involvement of nation states, and a comprehensive discussion of the best cases *against* his arguments. Nov 29, · But it’s also possible digital gold is the best-case scenario for crypto. 1. And if bitcoin’s destiny is to become the Millennial/Gen-Z gold, the younger generation should get used to the fact that “stores of value” can and will experience massive drawdowns from time-to-time. Crypto drawdowns just may play out over much shorter timespans. Daniel Kuhn Third Defendant Pleads Guilty in Fake ID-for-Bitcoin Case A third defendant pleaded guilty in a string of court cases against a Toledo, Ohio-based fake ID ring that is said to have.
Bitcoin casesThird Defendant Pleads Guilty in Fake ID-for-Bitcoin Case - CoinDesk
She is scheduled to be sentenced on Oct. Prison image via Shutterstock. Benjamin Stalets, another alleged ring participant, was also formally charged. Read more about Crime Bitcoin News. They are being forced to buy most new bond issuance, given lack of demand from other sources. This amounts to fairly direct monetization of the debt, which almost always has extremely inflationary results.
Today is the 49th anniversary of when President Richard Nixon severed the final ties between the dollar and gold. The US had been creating and spending more dollars than it had gold reserves for decades, and markets were forcing the US to finally admit it, lest USD holders convert too much to gold thereby draining US gold reserves completely. This event terminated the Bretton Woods international monetary system that had been in place since the end of World War II, and kicked off the full-fiat-money experiment.
The US was effectively admitting to printing more money than was implied by the gold it had in reserves. This triggered a massive repricing in gold, to which Paul Tudor Jones alludes when he said recently May that "Bitcoin reminds me of gold when I first got into the business in ". MicroStrategy has recognized Bitcoin as a legitimate investment asset that can be superior to cash and accordingly has made Bitcoin the principal holding in its treasury reserve strategy.
Bitcoin is digital gold — harder, stronger, faster, and smarter than any money that has preceded it. Companies seeing bitcoin as a macro-diversification hedge fit for prudent treasury allocation is a new, but we think inevitable, wave of bitcoin adoption.
Bitcoin is increasingly being understood as digital gold and an asymmetric investment play by wider audiences. Central bank asset purchases are now the status quo "QE Forever" was a joke after the crises; but probably a reality now Central bank asset purchases ramp financial assets , exacerbating wealth-inequality Assets viewed as stores of value potentially anything with limited supply tend to outperform in the face of unlimited central bank liquidity.
Given US debt levels, QE indefinitely is likely a requirement for keeping rates low enough to pay treasury holders. The Fed probably assumes this will likely create CPI inflation in addition to money supply inflation, and is therefore setting the stage for running higher than target CPI numbers. Naturally this is bullish for inflation-hedge assets such as bitcoin, gold, and probably stocks as well. The Office of the Comptroller of the Currency OCC formally stated today that nationally chartered banks can hold cryptocurrencies on behalf of their customers.
This has been a long-standing regulatory block to banks and other financial institutions being able to provide bitcoin-related services to customers. National banks entering the game expands that competition and may also allow more traditional institutional investors to deal in cryptocurrencies.
Several regulated entities are bound by financial regulatory laws to use and only use chartered banks for custodial services, and in a world where chartered banks are not holding crypto that can leave several investors with a defacto ban on large scale participation in crypto markets. This opens up a whole new tranche of regulated financial services providers banks to offering bitcoin-related services Other FIs that rely on regulated banks for custody now have far more options This sends a broader signal that bitcoin is a legitimate asset class to those who may still have doubts.
Lyn Alden joins Nic Carter to discuss the global monetary system, QE, inflation, parallels to the s and s, and what it may mean for Bitcoin. The s may be equivalent to the s, in terms of QE financing goverment fiscal spend and creating real inflationary pressures. Assets that do not offer yield, but have limited supplies eg, commodities , typically do well in these environments Bitcoin is a commodity with gold-like store-of-value properties, but is starting from a much smaller base than gold, and therefore can much more easily outperform Bitcoin is significantly de-risked vs in terms of network effect and supply assurances.
Danielle points out a number of things, with macro relevance to Bitcoin. We would like to see how the survey was constructed, as these numbers seem high. In any event, the report indicates further legitimization for institutional ownership of bitcoin following Paul Tudor Jones' bullish macro letter identifying bitcoin as the best way to play coming inflationary macro pressures. No matter how you slice it, this is bullish for bitcoin. Goldman Sachs released a report today discussing broad macro topics, as well as gold and bitcoin.
Suffices to say, they are not fans of either gold or bitcoin, summarizing their thoughts on bitcoin with this slide:. These critiques are nothing new. CaseBitcoin addresses all of them on our critiques page.
Brief rebuttals include:. The investment case for bitcoin is especially strong right now, because:. At EDT today bitcoin's ,th block was mined, marking a once-every-four-years reduction of the rate at which new coins are issued on bitcoin's blockchain.
That rate now works out to 1. Bitcoin's halving is no surprise, as it's been built into the codebase since bitcoin launched in It is the 3rd halving event in a series of 33 hard-coded halving events which take place automatically, and without human deliberation, through the year This makes bitcoin the only money system which will credibly and predictably reduce its supply over time. Bitcoin's inflation rate is now below gold's, and below the Fed's fiat target The 3rd halving event transpired algorithmically, and predictably, just like the two before it, and the 30 to come over the next century.
Bitcoin is the only money system to reduce supply credibly and predictably, far into the future, eventually capping out at just shy of 21,, BTC to ever be produced. Combined with the inflation rate threshold just crossed, this makes bitcoin the hardest money system ever devised. Paul Tudor Jones says he's allocating potential "low single digit percentage" of his flagship BVI macro fund to bitcoin, on the grounds that it's probably the best inflation hedge, and reminds him of gold in the s.
Other macro traders were quick to point out that the signal this sends to the rest of the institutional money world is the real story here:. In the aftermath of the great recession, the Eurozone experienced an existential crisis as political tensions flared over how to deal with deeply indebted member states such as Spain, Italy, Portugal, and Greece. Here in , it's happening again. These countries were hit harder than most by corona-virus, and Europe's lack of fiscal and monetary union means political strife, instead of the shotgun but happy marriage of Mnuchin and Powell which allowed the US to act swiftly and in size.
Get ready for years of Eurozone bickering and, dare we say, countries threatening to leave the EU. Once again, the EU is experiencing political strife under financial pressure. This is setting up for another Eurozone crises, as we saw in The crisis sparked gold's all-time-high run as investors sought alternative monetary assets. This time it may cause investors to take a deeper look at bitcoin.
Fed official confirms that interest rates will remain low for years, not months. Of course - since there's no way the US government could pay back its debts if rates aren't extremely low forever! Jeff Booth convincingly lays out the case for tech-driven deflation as the defining macro narrative, and how it requires central-banks to inject exponentially increasing amounts of new money into the system. Jeff goes on to suggest bitcoin as one of the few ways to play this trend, and emphasizes its asymmetric return profile.
Tech driven deflation is increasing exponentially Central banks must counter with huge amounts of new money, else banking system collapses This can't go on forever Bitcoin is poised to be a huge long-term beneficiary as people seek to escape an increasingly unsustainable system. It's been a joke since that Coinbase crashes during big moves. Their largely retail customer base flocks to the site and they still can't handle the spikes. Coinbase crashing during big moves has been a consistent theme since There are other places for retail to buy bitcoin now.
Alex dissects bitcoin's price movements during the Jan 7th Iran attacks, finding remarkable and bullish correlation:. Bitcoin was highly correlated to gold during this event. This suggests BTC is a maturing chaos-hedge macro-asset. Yan is deep on bitcoin on both macro-economic and technical levels. A must listen. All you need to read to understand the investment case for bitcoin. There are 3 eras of currency: commodity based, politically based, and now, math based.
If they become widely accepted, virtual currencies could have a substitution effect on central bank money. We're adding to the library constantly.
These are the newest additions. These are the highest rated from the CaseBitcoin community. Nothing on CaseBitcoin. Bitcoin is histortically a high volatility investment, and no one should invest more than they can afford to lose.
Every investor has a different risk profile, and investors should do their own research and fully evaluate any investment in the context of their own unique circumstances. BTC Inflation Rate next 1yr 1. Active Addresses 1. GBTC Premium UST 3mo 0. UST 2yr 0. UST 10yr 0. UST 30yr 1. Gold:BTC marketcap M2:BTC marketcap BTC:Oil price Gold:Oil price Data Source: Messari.
Bitcoin Price Closing History by Level. Days Bitcoin Closed Above:. Data Sources: Messari. Are we missing a recent story that makes the case for bitcoin? Tell us about it! He wrote: The 50 per cent weight in physical gold bullion in the portfolio will be reduced for the first time in several years by five percentage points with the money invested in Bitcoin. Well, kind of. Here's everything we know.
Bitcoin Fraud: The Most Recent Cases The first case of Bitcoin fraud dates back to July of last year, but it's just now making its rounds in the media. Bitcoin News. The cryptocurrency market might have had a horrid time over the past few weeks, but things have changed this week.
Over the years, it became accepted wisdom that Bitcoin was a store of value, and that it could work as a hedge against market fluctuations. However, this has not turned out to be the case … Read. The crypto sphere has been buzzing over the past few days owing to the Bitcoin halving event, but that does not mean that other cryptocurrencies have not been making waves as well.
Despite growing support, cryptocurrencies have yet to see mainstream implementation in the US economy. California has made some significant … Read. Aug 17, Shannon Flynn. Given recent … Read.