TFTC: A Bitcoin Podcast - Rabbit Hole Recap: Bitcoin Week of 2021.06.14

Episode Date: June 17, 2021

This week Marty and Matt discuss: - taproot upgrade has locked in, activation expected in november - Criminals mailing ledger customers compromised hardware wallets - US Bitcoin Mining Council formally launches - NY Electricians' union successfully fights bitcoin mining ban - G7 leaders say ransomware is a priority - Ukrainian raids arrest six tied to CLOP ransomware - Biden and Putin meet for four hours with US threatening "cyber response" to ransomware - US Dems form "cryptocurrency working group" - Microstrategy keeps buying bitcoin - Microstrategy considering stock sale - Swiss broker Relai raises $2.7M - FastBitcoins now available in Australia - Russell Okung's letter to the Nigerian government as local support for bitcoin increases - Bitcoin Beach article in business week - New guide from econoalchemist on coldcard + sparrow Shoutout to our sponsors: Cash App Unchained Capital HodlHodl Braiins

Well, hello there, freaks. It's your boy Marty Bent here to introduce this rip of RHR Matt and I had a qua-qua over two-hour rip. We got Henley in the lead at the U.S. Open now at four under. Wherever this tournament is being played, somewhere in California. Good rip. Mempools are cleared. Not a lot of software updates. What's going on out there? there seems to be a disturbance in the force matt and i go over it over the course of the next two hours i hope you guys enjoy it this trip was brought to you by our good friends

and the mother fucking rice and dechampo on a par three going off nowhere near the pin way above but we're here to talk about the cash app catch up to help you stack that sense that's receive sats and sell sats if you so please i wonder if bryson de champeau is thinking about stacking after that decision he just made on on the par three here man i may need to stack some sats to make up for the income i'm gonna lose by by destroying this round cash app makes it easy to stack sats you can dca in the sats you can buy daily weekly bi-weekly if you so please why are we saying sats what the hell are sats sats

are satoshis there is 100 million satoshis or sats in one whole bitcoin you don't have to buy a whole bitcoin you don't have to buy a fraction of a bitcoin you can stack whole sats instead one cock buck aka one dollar is going to get you 2652 sats on the market sats are going cheap you get four figures for a buck right now for half a buck with that being said cash up also allows individuals to direct deposit paychecks into the app because they are offering account numbers and routing numbers so it can be your bank account if you haven't downloaded the catch app yet make sure you do so use the code stacking senses s-t-a-c-k-i-n-g-s-a-t-s you're going to get ten dollars and ten dollars it's going to go to owls lacrosse that's owls lacrosse

i had somebody chirping me saying that pun intended that the owl's sick he's very sick owls lacrosse owls lacrosse this rip was also brought to you by our good friends at unchained capital Some of our best friends are building incredible products for Bitcoiners with security in mind. And nothing personifies this better than their vault product, which allows you to lock sats up in a two or three multisig where you hold two keys, Unchained holds one. Since you hold two keys in the two or three multisig, you have complete control over your sats while they're locked up in this vault. but if you're ever in a pinch and you only have one key on you and you need somebody to sign that second key unchained via their vault program product excuse me is there

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plus manager which is an online platform that allows you to remotely monitor and manage all of your asics running brains os plus remotely you can do it remotely again on multiple devices if you want to do it in your phone your tablet your laptop whatever it may be you can use multiple devices and you don't need to be on site 24 7 to manage all this manager is and always will be free for brains os plus miners and they can connect again an unlimited number of devices security and efficiency were top priorities with brains os plus manager it uses stratum v2 for smaller and less frequent data transfers with all asic configuration and telemetry data being sent via encrypted connections again this is important because it protects against man in the middle and

eavesdropping attacks you don't want your hash to get jacked by a nefarious actor so you can by leveraging stratum v2 brain's os plus manager is is reducing the potential for man in the middle and eavesdropping attack again less data transfer encrypted data transfer makes it very hard if not impossible i'm not i don't want to say that in ad read because i know that's uh not kosher i'm and i'm not positive for details on the manager and how to set it up with your mining operation go to brains.com slash blog brains.com slash blog and check out the brains os plus manager launch article you know it's brains brains.com slash pool we've been saying it when when slash pool update it's been coming right around the corner soon tm we should just say soon tm but

When it does come soon, TM, there will be ultra-flexible payout system, customizable mining, reward splitting, and dark theme for 27.4 hash rate monitoring. You're going to get 27 hours, four days a week where you get dark theme. But the other hours and days of that 27.4 day week, I don't know what that is. So 27.4, that's 3 times 4, 12. So that's four and a half days. so two and a half days uh is not a dark theme if you're going by uncle marty getting dyslexic there it's 24 7 hash rate monitoring that's easy on the eyes it's 24 7 i'm just kidding it's not

only certain days follow slush underscore pool on twitter to see the announcement when the pool update goes live and one last forever to even send come on when when what's minor enjoy this rip freaks you've had a dynamic where money's become freer than free if you talk about a fed just gone nuts all all the central banks going nuts so it's all acting like safe haven i believe that in a world where central bankers are tripping over themselves to devalue their currency bitcoin wins in the world of fiat currencies bitcoin is the victor i mean that's part of the bull case for bitcoin if you're not paying attention you probably should be we're recording and we're live i messed up the cadence of that again matthew welcome back

at least you realize this time yeah yeah the ux flow out of that you're going from browser back to zoom you hit go in the browser it goes live in zoom little intricacies of the behind the scenes here at tftc yeah didn't hit record first like i promised i would last week no one's surprised marty no no you're surprised the memples are still empty let's discuss are we ever gonna have a fee market is this okay i think so i think we will uh i don't know is this okay i guess that's that's the the better discussion to have right now is this okay Should Bitcoin have more activity on Thursday, June 17th, 2021? I mean, I'm not going to be a B-casher about it.

You know, HODLing is using Bitcoin, right? If you're holding Bitcoin, you're using Bitcoin. But we're in the middle of a bull market. We're in the middle of a massive bull cycle. Is anyone transacting? what's going on out there guys anyone using coin join out there opening lightning channels what's what's going on anecdotally in your cold storage i've i've sent some transactions in the last week many just trying to think of myself i have been here we're

like two of dozens apparently or maybe bitcoin's just becoming extremely efficient maybe uh exchanges have upgraded to to segwit or they're being more efficient with their or marty maybe Maybe the overwhelming majority of new users are either plebs stacking on Robinhood and not taking custody of their coins because they're not allowed to, or they're Michael Saylor who's just buying half a billion dollars worth of Bitcoin and then doing a single transaction to a regulated custodian from one regulated custodian to the other regulated custodian. yeah i wouldn't be surprised if that's the case uh bitcoin getting pushed into these third parties new users institutional users it's a very good point i think uh and then we had this discussion last week but do you think the more advanced users on the other end a lot of them a lot of us at least i would say me personally i'll just talk about myself are using lightning more and more you think the lightning users who would have used on chain in the past are having an effect on that

as well sure i mean we already have our lightning channels open uh lightning ux i think is better especially if you're an advanced user and and you disregard channel management so if you're advanced user and you know how to do channel management actually making a lightning payment is is easier i know i've been you know anecdotally uh getting dispatch hats to freaks and i only accept lightning for that they can't even send on chain or fiat um but that said i'm actively stacking right like i'm fiat mining i got my fiat income and that involves multiple on-chain transactions right i'm i'm stacking then i'm withdrawing to a hot wallet then i'm coin joining then i'm coin joining coin joining coin joining coin joining

coin joining and then i'm sending to cold storage are there like a thousand of us doing that only like what's going on guys like uh well i guess it gets to a deeper question too like should we be depending on those people only on providing uh demand for transactions or transaction flow if you will right what does it say about the state of bitcoin right now like i think uh more of the blame would be on the institutional side just keeping in centralized custodians and new users like you mentioned just getting on to exchanges and never moving it off the newest engagement hack on twitter maybe it's the most ethical of the engagement hacks is here's a chart of some random on-chain metric and this is why bitcoin is going to five hundred

thousand dollars right like that that is a classic automatic thousand likes right um no the memples are are empty like that's the only stat you want to look at is that the old that's the ultimate on-chain metric yeah even the metric like oh like the stackers are increasing or whatever like they're reusing addresses yeah and so what what do you think needs to be done to increase transaction demand for it or do you think it just needs to be coin joiners and people opening up lightning channels well i think the freaks are ahead of the curve i think the freaks are probably the

not the majority of transactors but they're ahead they're like a healthy volume of transactors on the network um and i think it starts with us right like we need to go out and educate our friends and family like i've caught many of many of friends um who just haven't withdrawn from exchanges they've just been accruing a large balance on exchanges right and they're not comfortable with moving them off yeah which is ironic because to me it's the exact opposite right like i'm just not comfortable having money on a centralized exchange well this would be a like an interesting data project to look into and look at like exchange flows in the beginning of the year when the price was at all-time high when more people were FOMOing in and then look for

like increased unexpected transaction volume activity like six months later as those users who were just newly onboarded go through the process of learning all this like what do you think the median amount of time it takes from somebody just buying Bitcoin on exchange to understanding being comfortable with taking personal storage first first of all shout out to our ride or die who who come to this live chat every every week uh we love you all i'm not in the live chat right now are these freaks saying we have said trinity in the live chat who's saying you know could it be that many are transitioning to using lightning and i just like i just want the freaks to you know maybe i'm wrong maybe it's just another fucking thing matt's wrong about you

know but i just i feel like it seems like an awfully lazy easy excuse to be like oh we're just all using lightning oh and by the way we have no hard metrics on lightning transactions like oh yeah but but they're all using that they've all switched to that but we have no real metrics on it and to answer your question probably a year and a half or something right like it's a long transition period maybe the freaks are quicker if they come in through us or they come in through a freak like they have an uncle jim freak and maybe it's like six months the uncle jim the uncle the people the nephews the nephews of the and the nephews and the nieces of an uncle jim probably transition the quickest because they just have a friend who's just sitting there with them so this

topic's providing a good segue into the first topic that we should do after clark's dashboard which is the ledger thing that's going on like the whole ledger um fiasco is going on right now hackers mailing people fake ledgers using that data real ledgers real ledgers that have been manipulated right in back door um we'll get to that uh but that like is another like headline that's like oh i can't do that somebody's gonna steal my bitcoin so we need to approach that right now according to clark's dashboard the price of bitcoin is 37 710 dollars that's 2,652 sats per cuckbuck. Cuckbuck.

We're currently at a $706.6 billion market cap. We're up 687,976. Taproot has been locked in since the last time we met. Locked in Saturday morning, and then we had a difficulty adjustment over the weekend as well. That difficulty adjustment was a downward difficulty adjustment of 5.3%. Currently, blocks are coming in at 10 minutes and 57 seconds on average. which is almost a minute above the 10-minute target.

So right now, the next difficulty is looking to be about 9% downward, estimated to be on June 28th, 2021. As we were speaking, the mempool in Clark's dashboard is 4,491 transactions deep. We were speaking about coin joining earlier. This number's gone up. Whirlpool unspent capacity at 2,807.19 BTC. were 105.9 million CUC bucks in volume.

Or liquidity, excuse me. Was that Whirlpool? Mm-hmm. I always zone out when you say all the metrics. What's the Whirlpool Bitcoin number at? 2,807.19 BTC. That's really good. Yeah.

It's the highest it's ever been, I think. Yeah, number go up. That number is going up. So there are more people coin joy. yeah i mean at least at least we have them yeah so let's talk about the ledger um story uh we teased it a little bit but becoming aware that uh a group of nefarious actors are leveraging the the customer data that got breached from ledger last year was made apparent to the market in july of 2020 hackers have taken that user data and they're now shipping ledgers that have

backdoor that they've taken physically and uh added a backdoor to and mailing they literally put a usb drive inside the ledger case yeah yeah we'll get that yeah so we're going to link to a a breakdown of this that was in bleepingcomputer.com and they go into to exactly what happened it's pretty you get randomly sent a hardware wallet that you didn't order like do not plug that in especially if it comes with a poorly worded letter yeah so so so so the thing with these these phishing scams right is like you you you have the full customer database got leaked um i don't remember exactly i think it was a million email addresses and then a subset of that was full mailing addresses but it's important to remember that if your email address leaked from

a different hack that was separate maybe not even bitcoin related just to completely like if ticket master gets hacked and your address is there and your email address is there they can cross reference. So even if you're just your email address was exposed, if that email address was exposed and connected to your mailing address at some other point, the malicious people might have that as well. So when you see these types of attacks, what they usually do is they go for the lowest hanging fruit. So first, what happened? We got the text messages and the emails, you know, they just dragnet sent it out to everyone. And now that they've drained all of those people, the people that they were able to trick on that, they've moved to a more expensive,

a more complicated attack which actually involves them buying a ledger sticking a usb drive in it putting the malware in the usb drive packaging it back in the ledger box vacuum sealing it they do a full seal on it they put a little letter in it like we got hacks so here's a new device you should install this device or whatever and they're going to get a whole nother set and unfortunately this won't be the end after this they're going to be a more sophisticated one that goes to the next set of low-hanging fruit until they completely drain as much Bitcoin as possible out of this breach. And I'm pretty sure Ledger hasn't posted about it yet, right? I'm not sure. I think they would have learned after fumbling the reaction to the data breach

itself, right? And this highlights the insidious nature of these data collection processes, whether it be from banks or third-party hardware wallet providers like Ledger. they keep this information on their database first names last names email addresses and shipping addresses like these hackers probably again matt was saying lowest hanging fruit like on top of lowest hanging fruit highest probability of of hitting a jackpot with your target so they probably use that data and cross-reference it with social media to like meticulously pick who they're mailing this to um and just highlights the creepy nature of this all they're giving up this information really, and more importantly, holding this information on insecure databases

at third parties puts people in physical harm, like what is the next? What is the next progression in the attack of going up from the low hanging fruit? Right? I mean, the next progression is like home invasions. Most likely in, in, in jurisdictions that have poor gun rights. And they know that people won't be armed and able to defend themselves. is one of the reasons why we need to get multisig up, especially multi-jurisdictional multisig in different geographical locations, because it provides a deterrent, a general deterrent that an attacker will just assume that if you're a sophisticated Bitcoin user, that you're using that.

Of course, if you're using a ledger, you're probably not a sophisticated Bitcoin user. They don't really have good multisig support anyway. So that's troubling. agreed agreed you might be a sophisticated shit corner though if you're using ledger yeah didn't i hear something like uh chrome um basically made metamask incompatible with the browser or something like that i don't know i can't believe that their whole their their whole ecosystem over at ethereum relies on a browser wallet which is kind of crazy right yeah yeah i mean browser wallets were like notoriously the number one thing people told you

to stay away from in like 2013 2014 trade-offs it's a bitcoin show it is a bitcoin show speaking of bitcoin taproot activated let's talk about this a little bit uh two million sats going to the human rights foundation are you are you matching me yes i'm gonna match you you can't say you know technically i didn't lose the bet yet yes you could have a series there could be a fiasco in november you'd have to have a crazy amount of hash rate come off the network well no the bet is activation and we need people to update their nodes before activation so there could be shenanigans before activation but i'm a man of my word so even though i technically haven't lost the bet yet i already paid hrf i paid hrf within like one block of blocking um because i didn't want to

be that guy you know but but if there are shenanigans i will be that guy in the future at the end of the show i will donate a million sats to hrs there we go um what did i want to bring up sorry let's go into this so let's go over the nuance of this so speedy trial was the chosen activation method basically a minor signaling mechanism over was it six difficulty adjustments yes three months three months so we did this last time yeah six about six difficulty adjustments uh basically if 90 of miners signaled within a a difficulty adjustment period uh tapper would activate and then at block height 706 000 something something something uh it's kind of officially activate on the network but right now luke dasher and a bunch of others have

been pointing this out as of right now only as the last time i checked which was two days ago uh i believe it was 24.3 percent of the network was running core version 0.21.1 or higher i guess reachable nodes is and the stats are kind of bullshit because that's why we have proof of work right it's like anyone can run nodes i can go up after this this show and just spin up a ton of old nodes on aws and then that percentage will go down or i could go and I could spin up a ton of new nodes on AWS and that percentage goes up, which is kind of what we saw in Bcash land.

Yeah, and this reminds me of a lot of talk that was going on during the SegWit2x is the nuance between just your regular pleb full node and what many people consider an economic node, like a full node, that is. Well, mempools are empty, so there's no such thing as an economic node. Economic node, yeah.

Maybe the economic nodes aren't um aren't touching the chain as much as we like like them so that's not a weird coming economic node by design is one that is transacting a lot right yes well that's the thing like one that is broadcasting and verifying a shit ton of transactions yeah so these exchanges just built internal ledgers that they're just doing the accounting now yeah well we'll see um we have btc pins rider dive freak in the chat that says theoretically we could uasf a block a taproot upgrade if we wanted to freak so um we have that in the cards if we want to save matt a million sets but i prefer if we didn't do that rehash something and what's he want to do he wants the

user activate soft fork to block taproot okay all right see how that would go over i mean technically what that means is we just don't update yeah so like everybody updates let's let's talk about this more like what does what's it going to take to update in your mind like just update bitcoin core yeah so the the earliest version of your app are compatible version 0.21.1 see we had this conversation yeah just update to the recent bitcoin core but we had this we had this conversation on on the the node dispatch uh this past tuesday because a lot of people are running the implementations right they're running the dedicated node implementations like the raspi blitz the ronin dojos the noddles the my nodes the start nines the umbles um

and so like you're kind of at the mercy of them updating yeah but they all they're all going to update it's not contentious so they're all update you just press update on your fucking device it's important for people to realize why we don't have auto updates because if you have auto updates then the devs can just push it forward so fortunately none of the major node implementations have auto updates that's why bitcoin core doesn't have an auto update function because ultimately at the end of the day the end user has to go and they have to manually update if they want to change the rules that their node is is running the network on right that's super important for censorship resistance yeah i know this is maybe a dumb question you guys probably

covered it on dispatch which i missed this week but if that's the case like is there an onus on the node provider the option to download different implementations uh yes so right now it's not contentious right well but there was a question like in a contentious node environment in a contentious fork environment um how would these different node teams uh deal with it and pretty much the consensus was that they'd offer both options right which i think is but but marty that is the safe pr answer to say now if we were in an actual contentious situation who the fuck knows you know maybe they'll be like oh the code for that isn't safe or verified you know or we're not going to offer that to our people so one thing that was

mentioned that is really i think important is the ability for people to easily migrate between them so you have this check even everything else everything else equal if you have the ability to easily switch uh between implementations um you have that ultimate check on the dev team if they if they don't have their act together right yeah so easily switch your full node from like core to libitcoin and have like the same state because right they're different in the sense of like libitcoin doesn't notice utxos or i'm not even going that far so what i'm saying is just two different versions of bitcoin core right like so like in the most recent implementations like so like the most recent taproot situation right yeah um there was that core fork that had the

taproot uasf in it right and key to minor said if taproot didn't get the minor signaling support and it started to go on that he would have offered in noddle basically two buttons okay tapered uasf or let the miners continue to decide core and he would have given those two versions um yeah it's an interesting uh decision that these node providers have to it gets really bad if one gets like if like 80 percent of plebs are running a single node implementation then it gets really dangerous in those kind of situations yeah especially if they have a restrictive license and you can't legally change it yourself which is why the migration is is extra important in that situation that you're able to easily migrate yeah speed bumps growing pains data

learning new things about the uh the bitcoin network as we go as these uh updates get added to the protocol so if everything goes as planned we don't have any crazy fuckery with probably will with hash rate coming on and off the network fucking up the difficulty jasmine variants and uh more people downloading the software that makes it compatible sometime in the middle of november i saw um i just know him as is like at jb22 on twitter he he ran some function i think it said november 14th as of two days ago would be the day that we would hit the block that would officially activate taproot if enough people have the software downloaded so it'll be interesting to see if well then once we activate taproot right if you don't update

your node won't see taproot addresses they won't your node won't even know taproot's activated um but that's why that's what makes it a soft fork right the backwards compatibility there yes um which is similar to what happened with segwit if you have an old node it just doesn't even know segwit addresses exist now it's obviously it's going to take time for services and transactors if there are any transactors out there to start using taproot addresses right they've it took a while for segwit addresses to be used it's still i think the majority are still non-segwit right i think isn't that like the one thing blockchain.com started warping about is that they finally like adopted so freaks you have one addresses they

start with the one that's the legacy address and then you have the three addresses which is the wrap segwit if it starts with the three is like a compatibility segwit address that was easier to add into wallets and services and then you have the native segwit addresses that start with the bc1 and now you'll have a new address format that is taproot addresses um and and so so to get any kind of privacy benefits out of taproot addresses we need people to actually use them otherwise they'll just be like 10 people using taproot addresses in the beginning yeah i mean you need it comes down to the wallet providers creating experiences that incite people to use it as well to use the benefits right um drone zone just commented i i called it wrapped segway it's

nested segway but yeah nested segway so nested segway is a three as matt mentioned um native segway is the b1 and that's part of like the beck 32 address structure and i believe that has like 16 possible versions so version zero was the native segway and then version one will be taproot or 1.2 I can't recall the actual technical explanation of it off the top of my head but yeah so mid-November

more extendability hopefully more privacy Schnorr signatures is is added as well mining council hand up I fell asleep on the couch while it was going on

did you have it on? no i fell asleep i was watching the sixers you didn't even turn it on no no yeah i've been soul-seeking like what how am i gonna obviously everybody who listens to this or has listened to this for some time no one knows i'm associated i work with great american mining building out that company um yeah this whole mining council thing is yeah it's it feels like it's just being thrust uh upon people and there's like a light nudging to contribute and i was like yeah i don't know first of all there's there's a couple things they officially launched earlier in the week bitcoin mining council.com um michael saylor flexing his domain hoarding abilities that's

actually if you're a bitcoin mining council it's ideal domain name um so they have a website now uh yesterday they did a twitter spaces which is twitter's clubhouse thing where you can speak on twitter live um and they choose who can speak and who can't speak and i guess there's a large amount of people in there hopefully someone recorded it you know i i i didn't i didn't i was at family dinner i didn't listen to it at all um hopefully someone recorded it and recapped it so i don't really have anything uh to comment on that um yeah no besides what we've already said about them um yeah no it's interesting it'll be interesting to see as you can see on their site it's all voluntary people want to contribute they can um it starts that's how it always starts

oh it starts yeah i mean you freaks know my thoughts like i think it's like i was thinking about it before we uh sat down to record today and i know he triggers a lot of people in the space but has recently downloaded a full node and said more positive things about bitcoin uh ben hunt at epsilon theory um he he has this great paper on the nudging state like just you lightly get nudged and nudged and nudged until you wake up one day uh you're you're in essentially a prison cell of your own making slowly over time frogs boiling water blah blah blah and this just feels like the beginning of a light nudge down a slippery slope that isn't uh advantageous for the north american bitcoin mining industry my my particular opinion the general premise is if if

you don't play ball with the mining council and you try and be an american miner you're going to have problems with being profitable or like you're going to have regulatory issues you're going to have they're they're basically going to coerce you into joining yeah i mean again rented about this many times the it's all driven by the esg movement in the capital allocation space which is another movement that i don't think is advantageous for humanity you know i and i will repeat that i still think the esg thing is a distraction for the clean coin bullshit where it's they're going to start deciding which transactions get included in a block part of it right i don't mean clean as in environmentally clean that's like social

oh that's the s yes i guess yeah i'm sure what a horrible acronym you gotta you gotta transact like in a socially acceptable way right it's there's there's three parts to it they're drawing everybody in with climate climate climate playing to emotions and it's hey you have to accept uh you can only raise money uh from these institutional investors if you check out the social governance which means you have to run your business a certain way um in higher certain way you're not allowed to build it the way you see fit which again top down control of economy is not ideal on the bright side as long as mining remains distributed and located around the world ideally in smaller mining operations rather than large

corporate mining operations um bitcoin will be unaffected uh the miners that have to deal with regulatory requirements from the US government and other North American governments or governments around the world will have worse profitability. And they will do worse than their competitors in smaller operations that are located in better jurisdictions. Except if you are yourself a minor in one of those jurisdictions, like Marty is, and then you're going to have to deal with that even more so good luck to you um and i hope to see mining distributed globally as much as possible i i do as well i think it will i'm optimistic doing my best here freaks but this brings up another good mining topic that you didn't have on the list but i

wrote about yesterday in the bent and just highlights another interesting trend in the mining in north america market specifically which is like demand response mining on grid like being massive which it certainly is right now it's very profitable right now but we're just getting more examples throughout the world again maybe i have my tin foil hat on maybe i'm being a little um a little exaggerating a little bit but you got another example yesterday kazakhstan plans to cancel tax-free regime for miners uh there's been a bunch of miners migrating to kazakhstan to plug in there it's close and relatively cheap and apparently miners had a a tax uh break in kazakhstan but as more miners from china

flooded in and started taking electricity from their grid they cut the tax therefore or excuse me they um they cut the tax-free um exemption they no longer have the tax incentive well they no longer have the tax incentive but most importantly not having that has pushed their price of electricity probably above the point of profitability so um more miners aren't going to go there so you have these political and pricing risk on the grid um and we've seen this before like hydro quebec is crazy writing sra's newsletter and rehashing hydro quebec and you go to like coin coin desk and you find stories from january with like the with the headline quebec lures cryptocurrency miners as china sours on industry so you have like the china fud it's

been around this is january 2017 or 2018 excuse me then in july 2018 uh quebec has issued a moratorium on new cryptocurrency mining operations so like luring them in with this cheap energy and and then something happens politically whether it just becomes uh something where they don't like the bitcoin miners are using so much electricity even if they have x amount of excess electricity or i think marty like i mean i think you would agree a lot too and they just want to raise taxes like all these bitcoin miners make a lot of money let's raise the price and they don't realize that the operations are very reflexive to the price of electricity so it'll turn off i mean i think in general you would agree that just you know with mining there's a

diseconomy of scale right it's like you can only when you're looking for the cheapest most efficient power possible there's only so much of it at any given spot just like physics right yeah exactly yeah and so right now it's not it's just i don't want to say it's a warning but it's just like hey let's let's not pigeonhole the industry into the certain uh form of energy uh delivery and say this is going to be the way it's done in the future um and just be able to like hey if you actually play this out logically demand for mining increases demand for bitcoin increases the fly loop fly wheel excuse me keeps keeps going like like john seth says bitcoin miners are energy pirates are going to go to grids with excess capacity and cheap energy and they're going to suck that out

and go into the next one so just be aware be aware freaks yeah i think i think long term we naturally have that on our side the question is if we get we have to get past the hump which i think we're we're getting we're getting farther and farther past that hump which is nice yeah that's not the like and that's so that hump too right that's where the like people should play that arbitrage but just know that risk in the long term like that that cheap energy arbitrage that exists on grid with excess energy get it while you can but i think long-term plan to move off grid to some capacity at least um we just before we move on we have joe out in the comments saying we clearly didn't listen to

the mining council uh twitter spaces um because it was very positive compared to how they last spoke and yes like we literally said that in the beginning that we did not listen to it so um if they were very positive that's that's great um i think bitcoiners should be skeptical no matter what um yeah that's it yeah he's like wasn't gonna bring him up wasn't gonna bring him up and now i feel like then you have like elon tweeting today like where's the data for like to clean energy it's like oh my god we've like forced ourselves into this terrible debate frame then we're now like oh like well actually the data's here it's like you should don't ever put your yourself in a position where you have to be like oh the data's here and you fall into

the framing they put in front of you which is also like i don't want big corners to be like like he also says in here he's like some of them were very supportive of the idea of stratum v2 and stuff like i just there's like we we can't be like intellectually lazy and just be like don't worry like in the future we're gonna have this thing that's gonna do this thing and it's gonna be good you know you gotta constantly just be on your toes i want the freaks to constantly be on their toes um if strategy 2 gets implemented and like a large threshold of pools use it that's fantastic like that's great you know um does that really change the dynamics of large corporate miners that are all going to be part of the same white listed pool anyway and are going to build

transactions based on the same white list no it doesn't is it out yet no it isn't you know so we just need to remain on our toes and and constantly vigilant that's all always vigilant always on your toes yeah if somebody recorded it please share the recording with me oh we got ftb said that it was bullish bullish okay good ftb well he's also uh he's he's he's reformed he's a tesla apologist he reformed i don't know i don't know if we take his word for it matt ftb's got a good head on his shoulders okay he does he does he's got good stogies too all right if anything be aware be vigilant be think of the slippery slopes at the very least uh speaking of mining in new york we been covering it for since the news dropped about last month uh the new york

legislator had a bill on the floor that would have put a three-year moratorium on mining within the state but it seems like that uh that bill is being pushed due to the fact that new york electricians unit union uh successfully fought the ban they wrote a a letter to the state about the amount of jobs that the mining industry can provide good jobs at that and we can attest to this a great american mining austin tweeted out um a couple of days ago just in our warehouse loan building containers i think we have 19 workers in the warehouse so creating jobs it's uh eating up excess energy uh providing the world with a sound monetary good in the digital age that's good it was good to see new york uh push us in this union stand up

um that would have been tragic if it was actually successful um i mean it would have been tragic for new york tragic for new york tragic for humanity too the way that bill was written i think the amount of typos and the blatant disrespect for the technical underpinnings of bitcoin was nauseating if that had made it to the floor and passed uh a a civilized society a quote-unquote civilized society would question whether or not it was civilized um so yeah that would have been bad you would have like the greenwich um facility up up in the uh the finger lakes shut down and pretty sure coinment has some locations there could be wrong it was pretty cool to see like uh like an old american institution like the new york

electricians union fucking stand up yeah being from new york does that have a lot of clout i mean i just just i mean unions have a ton of power right they've historically had a ton of power in our country what's like the union hierarchy where's what's the most powerful union not a union special this is not a union podcast but i'll tell you one thing like the upper management of the new york electricians union are not they're not inherently bitcoiners right and it's cool to see these different stakeholders emerge i'll tell you one thing they're definitely not pro proof of stake you know and they're just they like came in from a completely different direction right i mean i remember when we were in miami we were talking

to your one friend who came in from the oil and gas industry right and he had like a completely different introduction awakening to Bitcoin than I did. Right. And I imagine it's similar with these electricians. Right. Like there's probably, you know, a 60 year old electrician in that union who's been, you know, smoking cigarettes at the union headquarters for the last 40 years, who has no idea how Bitcoin works, but thinks the mining aspect is really fucking cool and like help champion the protest, which is kind of awesome to see. yeah it's interesting work and there's a lot to be built in terms of like power distribution units which take the voltage from your power generation our generators convert it um to the voltage

necessary for the particular miners so you have to build power distribution units for specific mining models there's very interesting uh what austin's told me about like the electrical engineering side it's like it's it's a new problem it's like canvas so it has to be fun I think as an electrician, like working with this new technology that, um, that has so many nuances to it from, from the ASIC perspective. Bingo. Well, um, all right. Am I no, no Yorker still?

Maybe a little less of a no Yorker today. It was good to see this from the union. One strike for the unions as well. uh g7 leaders what did what do we think about the g7 in general there's nine of them there's seven of them no there's like nine countries in the g7 now it's it's g7 though i know it's very confused seven stands for the number of countries but they invite like nine countries i know i think they like have like guests that aren't actually g7 member countries and it was the g8 before correct g8 includes russia yeah so then

they got mad at russia so then they went down to g7 a lot of memeable moments coming from this g7 convention what are the what are the number what's the countries uh u.s canada for i tried this once before i'm gonna i'm gonna google this that's kind of france so the queen of england so england germany miracles there japan south africa canada france germany italy japan united kingdom in the united states italy i think south africa was invited and did i say italy and italy i got six out of seven i'll take that and then they like invite they invite people they invite extras oh that was just like a complete clown show with

like the fucking elbows and all the fucking i mean that's i mean i think just the photo ops from that alone like them standing outside in that really weird uh position where they're like you didn't say china china and russia are not in the g7 i did not say china okay there's a freak in the live chat confused me i just want to make sure that china is not in i don't believe no no it's like america's friends is the g7 so they say it's the most developed countries in the world but it's america it's like the american alliance how much does that piss everybody else off like hey we're the seven most developed countries in the world right get on our level guys modern day politics our mo all clown show it's all clown show and that was the newsletter on friday of last week

we need to ridicule these people they are clowns it is a clown show this is a clown world now like we just need to ridicule these people like they're complete hypocrites it's like you can see in the picture where they're like social distancing in the background there's people that are with them and their parties and they're standing like a foot away from each other talking to each other so they they did the they did like the elbow thing and then they stood in like that weird it looked like they were in a reality show where they were like standing away from each other and then immediately after that they had a cocktail party where they were just right next to each other as it should be to be fair right yes but the beginning part was just all an act

and then also what pisses me off is the cocktail party is all the help wears the masks right and it's like really it really showcases like the income inequality and you see this right when we were in miami in miami no one wore masks except the service people the uber drivers and the service people were almost a lot of the service people were minorities right so you have situations where like you're you're walking around the south or whatever and it's just none of us are wearing masks and just like all the minority service people are wearing masks yeah yeah it's bad yeah there's more yeah minority that's gonna last for a while i feel like that's what i hate most about the restaurants right now is like when i always ask the waitress like yeah

do you hate wearing that and barred on they're like yeah this sucks i can't wait till it's over and again it's just completely logically inconsistent um whenever i'm at a bar i tell them to just like if i'm at the bar with me and the bartender i just tell the bartender to take it off yeah and again the best tip you can give them it's crazy how much theater there is like like i mentioned in the beginning i was watching the sixers game but i i didn't pick this up last night but last week i was watching one of the games and they do this thing where like they they have the sideline interviewer interview a player in the paint but they're they're holding the mic on like an eight foot stick and like you can see in the background people like standing

within six inches of each other like speaking into each other's faces and it's all theater like the dude takes that mic turns around the best part was talking about sports the best part was uh when like the coaches would wear the mask but then when they screamed at the players they would lower the mask it's like okay dude oh it's but whatever i i was wrong about that i was completely wrong i remember if the cool thing about rhr is you can go back and we we didn't miss a week during all of covid marty had a kid doubled up fucking evacuated new york like we didn't miss a fucking week we were there with you freaks every week and you can go back it's like a fucking time capsule and i said i mean technically by the way masks wearing more than two people

wearing masks together in new york city is still illegal based on their like anti-riot law that they have from like the 1800s or whatever and i said i was like they're gonna they're gonna make us you know take off the mask as soon as possible and i was wrong i was absolutely wrong about that like they're gonna last it feels like they're gonna last a long fucking time but i just stopped i'm fuck that shit it will be interesting to see how to just draw the line man right and i i'm for the service workers out there like i want to get them on our sideline and like have the restaurant owners let them take off their mask if they want to the problem is that we live in a litigious society too that's true so it's like on the service side it's all liability shit yeah that's

a good that's a good point abundance of caution because they put up the signs they put up the signs like you you have to wear a mask but then they're not going to stop the patrons from wearing it but if something happened they're like well there was a sign right yeah it's the litigious angle so anyway we kind of got in sidetracked here from the g7 yeah g7 ransomware is a priority now they're going hard on the ransomware stuff what do we say what i mean they like ransomware is a major threat to them they just have it from the wrong angle but ransomware is escalating It's going to keep escalating. Who's escalating the ransomware, though?

Like, why not levy these attacks earlier? Look, are the fake ledgers going out of false flag? Or is it just our systems are insecure, so smart people in Eastern Bloc countries are taking advantage of it? Yeah, it's a hard question to answer. Our systems have been insecure for a long fucking time, and Bitcoin now enables easy profitability off of it. and that's not bitcoin's fault that's the insecure system's fault um and we need to secure our

systems i agree with that i agree with that wholeheartedly threatening putin in a closed door four-hour meeting is not going to solve the ransomware problem creating a cryptocurrency working group is not going to solve the ransomware problem you're going to have to secure the systems and it's going to be painful people are going to have to get burned and then they're going to secure the fucking systems that is a very good point like we just need to do it but like and so how do we frame it and turn it from ransomware is bad crippling our grids crippling our supply chains therefore we need to ban bitcoin because it's enabling it that's what will be argued how do we turn that from no we need to secure our systems like what wouldn't line of thinking

i think they're going to try the lazy options first which the most obvious low-hanging fruit is ban ransomware payments so if you're adobe and you get ransomware they're going to make it illegal for adobe to pay like don't negotiate with terrorists right and there's going to be and there's just going to be a bunch of companies that get fucked because they can't pay the ransom legally and they're just not going to be able to recover their data what's the what's the legality of that though like and what to what extent can the government prevent it's like sanction stuff right yeah that's a very interesting point if you put the ransomware gang on the sanction list then you can't pay the ransomware gang unless you violate sanctions rules they

should just take part of this infrastructure bill they're starting to posture um this way as well internet grids well grids already included but internet now included in critical infrastructure um and so they want to sort of paint it like all right we can help out with that infrastructure bill why not create a bug bounty system says all right go attack all of our critical symptoms symptoms systems no one wants to pay enough for the bug bounty marty but like the same reason like instead of paying a bug like would they come in and scoop up like 100 grand uh instead of paying bug bounties why don't you just fucking fix your systems like why don't you hire some more engineers to fucking make your systems more secure are they good

are there enough good engineers i guess that's another question i think people and companies have been lazy and they're fucking paying the price now and the one cool thing is you know it's like the it's a it's a free market approach to securing your systems is is if you don't fix them you're gonna get it's gonna cost you more it's cheaper to fix your fucking shit now than to wait around and have your whole fucking network get taken over no agreed like i don't think any portion of the infrastructure bill if allocated by any administration let alone the biden administration would would actually solve the problem so i agree yeah if you're running a ledger if you're running a company with sensitive data work on securing your systems

that's another like like how do we how do we get more good system admins the the eu the european union right released a far-reaching burdensome privacy bill right that that that ledger fell under what is it i i this is like uh psbt what mld5 no no gpdr gdpr data protection gdpr yeah right um they released that right like two years before ledger got hacked that oh that burdensome regulation didn't protect user privacy in practice what did more for user privacy was ledger got completely fucking owned and they will never let that happen again like they they regardless of how you think they handled the aftermath i you can you can bet your fucking everything

that they're in the background they're like we can never let this fucking happen again right I would hope so but GDPR didn't do that it's a good point Bitcoin fixes this secure your systems you won't have to spend your Bitcoin and be able to handle it

yeah but do you think this ransomware thing they're going to lead into it you think that's the next big attack the energy stuff's getting will play it out you know i don't really think it's like that i don't think it's that effective of an attack but we'll see you don't why not

i i just i don't you know i i i i just i i i don't i don't see i don't see the the the will to to use that kind of thing i don't i don't think they have the but dude like another meat packing facility gets taken out like another pipeline of like ransomware brands get taken every day crippling our systems but not like inflation what was the so this was the producer print this week on tuesday it dropped 6.6 percent year over year just take into consideration we had uh obviously the shutdowns around this time last year but this is like end of the supply chain um producers they're prices went up 6.6 percent if you think at the producer level it's going up that high and then

to get the good to market you have to ship and add cost onto it every part of the way like those those costs definitely are going to continue to be passed down to consumers so like they have inflation here ransomware is up like they're going to need a scapegoat um will it be i think it's causing the inflation it's causing it's incentivizing the shutdown of all this stuff it's my least favorite topic okay we'll move on we'll move on but but i don't i don't i i think ransomware is is a late way less effective it's too esoteric of an argument for the populace than wealth redistribution and i think if you see bitcoin pump the way we expect bitcoin to pump uh you're gonna have the elizabeth warrens of the world really rallying around wealth

redistribution. And that's a way easier sell to the general public than Cisco has an insecure system and paid $3 million in a bounty to some random Ukrainian gang using Bitcoin. I agree, but why not add them? Why not combine them? Sure, maybe. That's where, and inflation at the same time, income inequality, it all adds up. Bitcoin is the cause of all of our problems. I'll tell you one thing, the ransomware gangs are actually using the mempools. I was going to say I'll take it, but would that be an unfavorable statement?

Would that be a not wise statement to make, an unwise statement? Securing our systems. Transaction fee incentivized the security of our systems, maybe. It's just one FBI agent to another. Ryan Warwick in the comments stated this well. He said, most C-suite execs see cybersecurity as a compliance and insurance issue. they're necessary costs a pill to swallow that's not real security a genuine security first posture will take time change of heart and i would add to that pain a lot of pain agreed agreed

thank you for that that color ryan uh ukraine what's going on the ukraine ukrainian police nab six tied to clop ransomware so ransomware still the topic uh ukrainian police came down on six individuals yeah i see i think this is how we're going to see ransomware fighting happen more where they're going to go after individuals most of these guys are very sloppy yeah and it seems like it's very unorganized groups of these ransomware like the case with what was it um dark sky what was the uh dark side dark side that's what it was uh they were licensing it out. That's what seems to be the case here, too. They're saying they don't believe

that anybody they caught were actual creators of clubs. Supposedly, these were like the money laundering part of the operation in the Ukraine. Young kids, too. They did 20

raids at once. They got Kroger's? Damn, they came after Kroger's. Like a bunch of universities. Yeah, they're getting everybody. They're getting everybody. So, yeah. All right.

Another. But that's what I'm saying. Like those universities. We believe you're come closer to your side of the argument where it's just completely fragile systems that are being exposed by teenagers and Ukraine. Did you see what we got like fucking tagged in with the Southwest thing? I mean, yeah. like they had to ground their whole their whole yeah they had delays and stuff because their

networks went down well and someone someone tagged me and you and they're like marty was right like these are false flags whitney was like that was that wasn't even ransomware that that was it was it was just a you know it was they didn't claim it was ransomware they don't mention bitcoin anywhere in the article they just have really shitty systems like does anyone think southwest has a good network like they they have very good it engineers and shit over at southwest like running a really great secure computer system does anyone actually believe that no thanks i mean the planes themselves a lot of them are they're a heavily subsidized zombie business living in a fiat world hey and we'll give southwest credit for revolutionizing the

boarding process just like getting get in line you cattle between one 1a and 126 and or a 26 and b 26 they're the best boarding process in the business it really is they figured that out and there's no technology involved it's just like hey look at the number on your on your ticket wouldn't work if there was getting spot right get in line uh i just almost uh knocked over my whole setup here yeah speaking of g7 still it's all emanating from ransomware in the g7 biden and putin met for four hours matt already alluded to this with the u.s threatening cyber response to ransomware what that's what i was going to ask you earlier but didn't get the chance to get it out do you remember the 16 talking points that they thought 16 talking

point i was like that's the only thing i gathered from their meeting was like we talked about 16 bullet points that russia needs to meet if we're gonna continue working at uh oh yeah i know ridiculous it's like we said it earlier but it's like so crazy how overtly it's just theater it's just i don't know maybe it was exhaustion after last year and people being more aware of it but that g7 meeting isn't me or is that like the worst photo up it was pretty bad like where were their handlers they should have done it better right that one meme that came out of it where they're like looking up what was that photo what were they looking at was there like a flyover or something right they all have like the

oh face is like ah he hasn't embarrassed you think they'd be better at it you know that's the other like yeah that's what i'm saying like we we both at the same time they're that bad like they didn't wear with all to have the awareness to try to fake it better than that like they're getting lazy they're all old as fuck so they're all like oh fuck i don't care anymore at the same time we believe that they're completely incompetent and they're like what the fuck are they doing but And then they're also like pulling off the most sophisticated fucking operations possible.

Right. They're thinking like 12 moves ahead. It's somewhere in the middle. It's probably most likely somewhere in the middle. Yeah. That was the weirdest fucking meeting. It was just so bad. They should just not even posted photos.

Just like fucking do closed doors. Great meme fodder though. Like them on the chessboard and they're set up like bowling pins. it looked like a bad bravo reality show dude it looked what it looked like looked worse than that yeah it looked like a bunch of politicians trying to film a bravo reality show uh us dems form a cryptocurrency working group uh say this is separate from

from cynthia lemus correct from senator lemus yeah because she's a republican maxine waters oh god this is the haters yeah maxine waters uh who leads the house financial services committee she's joining up with all the haters senator warren and all the haters to talk about stable coins what do you think about mark cubing getting rug pulled and asking for more stable coins i mean he should stay humble and stack sets what was the fucking coin called like he wrote it i don't want to show it like that what oh my bad it was called titan yeah and he like wrote a whole article a blog about it like pumped it he's like a two-bit scammer he's he's like full-in defy or whatever he's like 2017 ico scammer oh yeah 100 blueprint

like hey write the medium article just talk about the white paper talk about did he drop mp equals uh p or mv equals pq did you see his comment his comment was he thought it was kind of scammy so he pulled out of it and then he kept going up and he was like oh maybe i'm wrong so then he bought back in then he got rug pulled dude's a fucking billionaire that billionaire playing fucking shit coin games and this is what happens and then instead of learning from it and trying to use his platform to help other people. He decided that there was nothing really wrong

with it except that the space is under-regulated. Yeah, he's such a scumbag. I think Neeraj posted it from Coin Center. He's literally the meme of the dude riding a bike with a stick and putting it in. He's unspoke. Ah!

It's a lack of regulation. This is the second time he's fucking done this, where he's gone from Bitcoin as a scam and then jumped straight into shit bitcoins in the middle of a cycle he did it 2017 and now he's doing it this way he was fucking shit coins in the ico bubble and then he went back to bitcoins a scam he called bitcoin worse than bananas and now he's like trading fucking shit tokens on uniswap and getting rug pulled yeah and he's like investing in in projects in the defy space as well it it is recorded

history i believe the year was 2014 uh and mark cuban was approached by the great michael goldstein aka bitstein uh who who told him that he should stack sats and that bitcoin is the best money ever didn't listen maybe salty from that encounter with michael i believe it was 2014 the video evidence that happened he's definitely salty that is very obvious yeah it's like another layer of the social tech too uh we fed we fed the troll the vc back to uber jason he came out and like they're like that's that's why i wrote the the newsletter today just blinders on focus on what you have in front of you like it's only going to get louder it's going to come from like this house democrats committee that's going to like pump stable coins and cbdc's it's going to come

from the shit coiners it's going to come from the no coiners it's going to come from the environmental uh erics is going to come from uh the socialists of the world it's going to get louder there's going to be more people coming more countries adopted they're going to have more people coming to shill them bitcoins can't let it get to you something i've learned over the years always try to come back and focus on like all right this stuff's gonna happen definitely call it out and you should call it out when uh it's necessary but you can't let it drive you crazy yeah i mean i was i was going through my spam folder today and there's you know someone sent me a newsletter about putting your blinders on or some some shit like that yeah no that's what i'm

saying that's what i'm trying to articulate here no i agree dude like we gotta just the freaks have to just that was a really good vent all jokes aside uh one of your best recently um but stay humble and stack just fucking build focus on top of that don't get triggered by everything out there it's like it's the waste you waste too much energy and you'll you'll come to find like we just we just explained how mark human got rug pulled in a shit coin scan this happened literally almost exactly four years ago well it really triggered me and being triggered is weak but you can get triggered you can be aware of your triggering and then you can push back against it in a structured fashion i think we don't have to have complete blinders um i i think these things

aren't a threat to bitcoin but they're a threat to individuals that get trapped in them you know mark cuban's audience for instance yes um and recently this week um you know you have we had the the official bitcoin delegation go down to el salvador and it was just all shit corners and and gets his way in these things man people wonder they're like how how the dude wonder like why bitcoiners get angry the dude from cnbc south africa blinders this why it's like blinders this shit happens literally every cycle like we can go back to ryan kelly's shielding nautilus coin on cnbc in like 2013 2014 people are like this is stupid it just happens every every cycle yeah but there's there's there's new freaks that aren't aware you know who brock is

who this is and they're learning experiences right so they we should be focused we shouldn't um you know life is short you shouldn't let it hurt you but definitely should let her you please these are educational experiences and and i think you know there's a there's a place both on bitcoin twitter in individual communities meetups telegram groups rhr this podcast where we talk about these things as educational experiences right these are these are these are learning lessons yes um and every time a big corner does something good there's a thousand fucking scam corners waiting in the winds to take advantage of that opportunity um and we're always up against it and you have to be active you have to be actively and i know this for a fact then when

when our boy jack mallers was talking to the president of el salvador like he warned him ahead of time and because you have to right you have to be like look as soon as this legal tender bill comes out tron is going to build a headquarters there bellagio is going to tell you to do el salvador coin you know brock pierce is going to come with his official delegation it happens every fucking time and and if you're prepared then maybe you can stop some of the pain maybe you can stop some of the hurt but ultimately the majority of people are going to have to touch the fucking stove and learn from that yes and don't let it distract from what you have in front of you to accomplish on an individual basis and then bitcoin is to be successful like

just focus on that and that's why i said in the newsletter like my me personally i have like insane just insane confidence that bitcoin's going to succeed like seeing what's happening in the mining space alone so just blinders on it's it's only going to get louder especially if if price goes up so marty do you think it's a coincidence that fucking big cloud got listed on his first exchange this week no that'd be a very interesting coincidence it could be could be you see breed love says he's still investigating he hasn't made his decision yet on big cloud is he trolling though was that like a trolling response no way did you see brian armstrong brian armstrong opened his big cloud yes i did see that he's got four million dollars

with the brian armstrong tokens you see coinbase added shiba inu token i saw that that's regulated a regulated bitcoin exchange that's selling surveillance software to the u.s government added shiba inu token hey that's what you're able to talk when you when you give all the information to the government the thing is i see where you're coming from i know exactly where you're coming from but if we don't call out our own you have to yeah we have to call them out but like the point i think with the energy stuff i was and again i wrote that letter to myself today because like the energy stuff has been exhausting the last six months like consistently talking about it's like in my mind it's like all right blinders like everybody's made their decision it's like see

you on the field like just wasting time lex friedman charles hawkinson longest five hours he spent five hours with hawkinson dude is he 33 he looks like he's if you needed proof that lex friedman's an idiot pretending to be a smart person there's your fucking proof yeah i was like holding back because he talks so fucking slow but damn man clearly clearly a fucking dumb ass well if you talk slow it doesn't make you seem smarter Lex is going to have to live with that for the rest of his life on his podcast there's going to be a 5 hour

fucking episode with Charles Hoskinson did you listen to it? of course not I can only imagine what they talked about I think I saw one clip where Charles just contradicted himself within the span of 3 seconds I think that's the tweet I saw

apparently he said Bitcoiners of calling been calling it digital gold but now called a store value not realizing that gold is a store value but yeah no it's again it's only going to get louder charles hoskinson uh vitalik brock pierce they're all they're going to be around because remember yeah remember like cnbc south africa came out and that dude just had a bunch of shit coiners yeah sure he's going to be back crypto man ran yeah i mean cnbc does cnbc proper the only responsible thing is to diversify into a hundred different tokens well dude it's crazy that cnbc still lets brian um kelly talk about anything outside of bitcoin because he did nautilus coin in 2014 2015 and then he like told

noobs how to market by ripple literally at the all-time high in 2017 like three years later just like pushing more people into another scam one thing i would say though is and maybe i'm i know i'm a broken record freaks this is bullish as fuck a five-hour podcast with charles oskinson on fake phd man over there that is bullish that is extremely bullish he got a ton of engagement off of it he thinks he's the coolest man ever interviewing the founder of cardano i don't know dude that is like the number one trick coin that people ask me like what do you think about cardano like i don't think about cardano it's getting repetitive now too like i don't a lot of a lot of noobs are getting fucking washed up into

it marty yeah yeah it's fascinating it's perplexing really it's cheap it's a unit bias bullshit yeah but like how many how do so many people know about cardano like i don't see like an immense amount of cardano shilling my every day where's that happening i don't know where is that happening and what is being said that's what that's what i'm interested to find out it's definitely on binance wouldn't be surprised and it and it's probably on coinbase it might not be on coinbase because the vcs didn't get into it and coinbase usually only list things that the vcs want to dump on retail which is why they didn't have dogecoin until like a couple weeks ago yeah i mean that's that's the play right the vcs just get in early

their bags aren't aren't pumped well enough like all right coinbase launch it let's rip rip dump who cares about shiba inu coin what is the value what is the value prop it's the token it's not even it's not even a proper shit coin it's like an nft no it's just like an erc20 token or maybe it's on binance chain i don't even know i assume it's i assume it's an erc20 token because i don't think coinbase lists finance chain tokens but i don't even fucking know anymore it makes me feel like such a boomer sometimes i was gonna say we are the biggest boomers in the space probably i wear that that with pride okay i'm happy to be a millennial boomer i like that hat is that a new hat no this is had this worn in on a couple live streams but yeah i'm uh

very uh getting close to like peak butthole surfer right now um it's that time of the year down the shore where just put a t-shirt shorts don't put don't put flip-flops on even walk to i like your i like your background how are you able to breathe on the moon without an oxygen tank it's uh a feat of human ingenuity the moon isn't real i'm here to tell the freaks we made it up the earth is flat the moon doesn't exist you're in a pod right now um cheers to ride or die freak kita uh who lets us know from wikipedia that shiba inu is an erc20 token on the ethereum blockchain and is based on dogecoin it brands itself quote unquote the dogecoin killer coinbase are you buying coinbase to stock are you buying coin short it i mean don't short it

just buy bitcoin don't turn to zero in terms of bitcoin don't short it it's not financial advice don't short any equities or anything it's just fucking all clown market just buy bitcoin stay humble and stack stats agreed it's a good segue into shout outs before i forget good idea this week i'm glad i reminded you i was on this one okay open letter to volcanoes by evil bukele i have to say this is damn volcanoes you're so damn hot like you don't even know the way you make that steam mine those blocks is fresh to death and way cooler than mining with farts from the ground yeah that right great american mining come at me anyway big clout okay that was a good them fuck big cloud was a good way to end it i don't know who wants me was that a sexy voice

so i think the big cloud scam shit is in full swing they also cap the supply did you see that tactic they did i mean you got it added to blockchain.com no one should use blockchain.com to buy or sell they added that was the exchange ad that was the big exchange ad that they added um i'm assuming they're about to add it to coinbase that's why brian armstrong tweeted it out and they capped the supply at i think like 10 million tokens or something like that now so the scam is in full swing like we want to rip the blinders off and be like is this like a is this like an attack on bitcoin like something says it's not an attack on bitcoin it is it is literally a chain that was designed to be an integrity bounty on influencers and if

you can be bought for thirty thousand dollars worth of fucking illiquid shit tokens then you have zero integrity whatsoever what's your is that obvious how many bitcoin what what's your price the freaks gave me shit what did i say i said like five thousand bitcoin or something and the freaks gave me shit never sell your integrity this is a trick question yeah i'd take five thousand though you just never see me again i don't even know if that'd be selling my integrity maybe yeah that'd be your walk away i uh i i'll tell you one thing though if you're a cuck out there and you're defending someone and saying that the reason they do something like this is because they're trying to improve their object like that's just like just i don't know go have

some self-respect like that that's some bullshit like there's no way like this is not like if if you want to walk away fucking walk away people will forget about you within six months you don't have to you don't have to shill a fucking bottom tier shit coin you know to do it that is that is just fucking cuck mentality at its finest like uh making those excuses for people where's also kevin fam was he a self-sabotager to walk away he's a fucking idiot hey hey i agree uh thank you for the work you do to illuminate the nuances of Bitcoin to newer freaks. I've learned more through

TFTC, RHR, and Citadel Dispatch than by any other avenue. The quality of guests that you interview is outstanding, from a humble sad stacker down under, trying my best to avoid staying poor. That's fucking go. That's what it's about. Cheers to you, freak. It is what it's all about.

Pass it on. Pay it forward. Become an Uncle Jim. Become an Uncle Jim. Do not trust us. Or an Aunt Jane. and aunt jane i like that first time i'm hearing aunt jane when you come up with this one i don't know it came up like two hours into either a dispatch or an rhr when we were drunk one time this is uh yeah it makes a lot of sense it makes a lot of sense uncle jim and jane let's go june jane jane's good i like i like jane as well to all you and james out there thank you for keeping

it real and helping people avoid third parties outside of yourself micro strategy can't stop buying bitcoin we talked about macro strategy last week right we're done with shout outs we got two shout outs yeah we got two shout outs my bad see the freaks are bullish as fuck they're like they're hoarding their sats yeah good to you good to you freaks um yeah we talked about macro strategy their new holding company for their bitcoin yeah but okay that's what i was saying like we talked about that last week so this week's news is the issuance of a billion dollars worth of stock correct no so okay last week we discussed that they were seeking investment in their new bond offering of half a billion 500 million 500 million got oversubscribed

like 3x i think it was 600 million went up to like 1.5 billion was finally i think it was they were asking for 400 billion 400 million they were asking for 400 million it got oversubscribed to one and a half billion but they only took 500 million and then i i assume because they have to pay six percent on it like six plus percent the board was like that's a little bit reckless we can't take that much and then after they did that they announced that they may be selling up to a billion dollars worth of stock to basically buy more Bitcoin with, which is a little bit more responsible

because that's not debt on their books. No, that's stock rests they're allocating to speculators. So, yeah. Damn. He's going to get those Bitcoins any way he can. He's just trying to...

Thank God Bitcoin's not proof of stake. Imagine if this was happening to a proof of stake chain. then it's then it's just a fucking attack it's just a straight up attack what would the hand waving around that be yeah don't worry oh he's just trying to secure the network yeah he's he's don't worry it's for the cause he's for the cause he's got this i believe btc pins is asking if it dilutes stock i'm pretty sure it dilutes the existing micro strategy holders yes definitely would right you're adding more stock yeah it would be different if he was selling his stock

or like existing holders were selling their stock but i'm pretty sure this is diluting existing holders shares which he doesn't really care about because all he cares about is bitcoin so he's teaching you a strong lesson there that you should have bought bitcoin instead of microstrategy stock agreed i'm just looking at the prospectus right now so they might not do it they got they announced that they're thinking about it so they have approval to do it they can sell up to a billion dollars with this stock yeah it looks like it yeah it looks like it would dilute dilute everything just to yep stock offered at the market price of the time of sale so yep here's adding to that

how do you feel about him accumulating all this fucking bitcoin i don't care he's accumulating all the bitcoin he can he's doing it because it's not proof of stake i i'd like to think i'd have the balls to do the same thing if in a similar position that he was um yeah no it doesn't worry me worry me at all i worry that from a protocol perspective like it doesn't have literal control over the consensus code because of that but again like the meat space things mining council but i have to go listen to it behind closed doors he could he obviously has more the more bitcoin he has the more influence he has behind closed doors right yeah like when he's talking to these people like he's like the the unspoken thing is i have over

i have control of over a hundred thousand bitcoin right and he could dump it if he got angry right or he could say i'm swapping into shiba inu or something after having like a shibu token position so he does he does get some extra influence from having this much coin but like not really on the protocol level these are all short-term things these are not a long-term uh he can't stop taproot for instance because he owns more tokens no i mean we learned that in 2017 no yeah i'm more worried about again just hyper vigilant around the mining council stuff that's the stuff that worries me more than the amount of bitcoin he has on his balance sheet personal or micro strategy our boy ftb makes a good point that if you believe in bitcoin it's

not really dilutive because then they're going to hold an additional billion dollars with a bitcoin on their balance sheet so if number goes up like your stock is worth more anyway yeah that's a good point if if if bitcoin goes down it was dilutive as fuck but if it's just based on your bitcoin holdings and you own an extra billion dollars with the bitcoin because you'd sold a billion dollars with the stock then it's not really that dilutive oh well the not dilutive in practice if your unit of account is bitcoin the stockholders aren't getting paid on bitcoin they're not getting dividends of bitcoin but the value of the company is based on the value of the bitcoin is holding equal dilutive like the individual shares before the

time of the sale would have been worth more in the future the main thing micro strategy does is hold bitcoin now they're a bitcoin holding company is it micro strategy macro strategy it's macro strategy macro strategy is subsidiary of micro strategy and it holds the bitcoin okay all right so it so he's got a point there right that makes sense to me i mean definitionally it's dilutive it's dilutive to current holders of the stock i would think at least i could be wrong i'm not cfa certified or i don't have my series seven or anything like that so it could be wrong i think definitionally it's dilutive yes right but they're putting a billion dollars worth of bitcoin on their balance sheet yes the stock will go up

and the point i'm trying to make is the the shareholders now before the sale would be happier oh that's a good point like could the returns on the bitcoin that was acquired because of the the sale the stuff will go up yeah i mean we assume it's we're we're bullish right i'm getting semantics here where ftb is right and that's true if that is if the bullish case does play out yeah as bitcoiners and bitcoins are unit of account yes so talking about stock dilution on tftc i love it i love it i'm loving this rip bro i lost my place swiss broker where lolly raises two points relay relay rely rely that's what i went with just spell just spell it out correctly

so they're pretty cool exchange they do they just basically focus on auto stacking yeah it's a it's an app that's like a an amber or i went on their podcast with their founder super young guy julian how'd that go seems like a great dude in proper matt o'dell fashion we talked through uh business strategy that he should should employed on the actual air um but yeah they focus on auto stack auto withdrawal and they have no additional kyc so it does involve a bank account you give them an xpub no that's what we talked about on air they reuse addresses is this a case in which you would be okay with reusing addresses no no we talked about that on air they should either add xpub or paynim support

you know you shouldn't reuse addresses period yeah paynim probably be the best way from paynim is the easiest the only problem is your user needs to have samurai because no one else has added bit 47 yeah receiving payment doesn't have to be live it's not like pdp right no that's the cool part yeah yeah um yeah that would be beneficial but anyway their their hearts in the right place great service i'm glad to see them raise 2.7 million in their series a round i haven't heard like a good quality dev rebuttal to bit 47 why why is that such like a controversial thing well wasn't implemented more widely something i would like to know like what are the powers that be said that they didn't like it so

it just didn't fucking happen you're talking about like greg maxwell specifically right i think it was luke who poo-pooed it was it the the the main argument is that it uses block space for the initial pairing transaction and that it was a non-efficient use of block space but the mempools are all clear and we're in the middle of a bull market in 2021 so let's use a fucking block space man and you can do it without block space if you do it in a semi-centralized way where you have a centralized coordinator handle it similar to the chow mein coin joins but the nice thing about doing it on chain is you can restore everything from a single seed you restore it from the seed

the wallet scans the chain and can see the notification pairing transaction so you're able to do it that way could uncle jim coordinate that the option that allows you to use less data you need like uh you need someone who you can hit the server when you want to restore to be able to know what the address is generated where which is why it's nice on chain because it's there forever yeah um i i think it's like i think it's it's fantastic it's something we need i would love to see more wallet supported i i know i'm i've been trying to get hexa to add it they they're working on it yeah i'd love to hear some opposing arguments why it should be implemented that's like again like i haven't heard anybody on the dev side articulate articulate like aggressively against it

it's interesting the main argument recently is that a lightning solution will deprecate it before anyone has even implemented the on-chain solution so so the main the the main use case for something like a paynim is, is I want to set up payments, whether that's a, a stacking service or an employer or donations where I can just give you a fixed text key, right? Just text, copy and paste text. But instead of an address that you just constantly reusing the same address, you can use this fixed text to generate new addresses or new payments in a privacy preserving way, right? Or in in a way that is way better privacy than reusing an address. Was it leverage routing or something like that?

So for me, we're content creators, right? Like to accept donations, it would be nice if we didn't need a BTC pay server to accept donations. If we could just have a text string, right? And we can put that in our Twitter bio. You can put that wherever you can put it in a QR code on a video or something and people could donate to you in a privacy preserving way activists perfect example why should they have to run a btc pay server to just accept donations in a way that doesn't

completely destroy their privacy and their sender's privacy paynims solves that on chain lightning teams are working on key send which is like you have a fixed public key so i'm not sure how privacy preserving is but it's not showing up on chain you can't see the payments coming in even though the the pub key is fixed right so it's still better than a reused address ln url right is another option but that requires a centralized server that's just sitting there on clear net ready to relay it because you're basically going to a url link hence ln url but that's the use case that that that needs to be solved as a major use case and a lot of a lot of big corners would say that that it'll be a lightning solution rather than an on-chain solution but i say you know just

let's get all the wallets to implement paynims the mempools are clear let's just do it for now you know we got at least five years probably says the guy who like three weeks ago was like the mempools are never going to clear again this cycle but that's like again just trying to what's the fee market trying to steel man this because that just would that be a decision made in haste that people would regret in the future because like oh why are people using bit 47 um when we should be saving block space potentially that decade from now but maybe we get priced out right like the mempools are clear marty the mempools are clear i can't argue both sides i can i mean i am that's what i do here that's what i do here

it does in the crypt when will the uh when will the mempool be like 100 blocks deep again is that our next bet what if it stays clear for like the next two months Then everyone should integrate PayNims Let's fucking go Integrate PayNims and use fucking CoinJoin You heard it here first Implement PayNims and CoinJoin more freaks Open up like

Every spend should be a CoinJoin until the mempools are fucking packed To the fucking gills Let's fucking go I'm trying to think like PayNims on the Lightning Network What would it be like With Schnoor and PTLCs You'd have a rendezvous Payment pass

you're looking at it the wrong way marty it's just if you could do a fixed text or a qr code qr code is just an abstraction of text right yeah qr code is just a visual version of text that can be scanned agreed so if you just have fixed text that you can pay in a privacy preserving manner then that competes with the paynims and the two main ones are key send which we have in sphinx already and podcasting 2.0 and l and url okay all right we'll see we'll see what wins out why not use all why not both if any pain names the nice thing about pain names you don't need inbound liquidity so for an auto stacking service something like swan right which i've been trying swan's working on adding paynims if you had paynim support in swan you could take a dedicated

samurai device you take a pixel 3a that you buy for like 200 right you install calyx on it you remove you remove uh google from it install calyx on it very easy to install calyx now in a pixel you take the paynim you give the paynim to swan then every time it'll auto stack auto withdraw to a new address on your samurai wallet and then ideally it would just automatically coin join but worst comes to worst you just press the coin join button it coin joins and then you send a cold storage it's a nice flow it's like a it's a very it's a it's a it's a privacy enhancing flow in a kyc environment obviously it'd be better if you didn't know kyc but in a kyc environment is the It's the most privacy-preserving flow.

You don't need inbound liquidity. And it's doable today. Yeah, you provide optionality, which is one thing that we love here with TFTC's optionality. Let's get it going. If you're a developer out there who wants to come on and discuss the trade-offs

about Bit47, I'm genuinely curious. Because it makes a lot of sense to me, right? Especially when you factor in the dissonance and all that good stuff. like it just inherently intuitively having used it be a samurai it makes a lot of sense um so yeah if you're out there you want to come talk let's talk uh fast bitcoins now available in australia this is uh basically you can buy via vouchers and stuff like that online i think they've switched they're like mostly banking focused now

with awareness they were originally like vouchers like azteco i think they do both but they have lightning support they are a kyc service but i don't think australia has many options so it's nice that they we have a lot of australian freaks that are stuck down there because it's a prison state uh so now they have another option available to them really is it's insane what's going on in australia and canada and the uk and probably here it's probably australian canadian and english freaks being like oh it's crazy the fuck's going on every day in america i just combined all all uh all accents there oh it is crazy to see like stefan he can't get out of the country for you're gonna get out for bitcoin 2021 uh i think i've told this story

before i had a good friend uh lived down the street from me in brooklyn he was australian moved back to australia during the pandemic with his whole family got there um it was like holy shit mate this is fucking intense left now he's back in the u.s and texas just like globe trotting to get away from the the orwellian cattle herding that went on last year it hasn't stopped hasn't stopped canada uk to our australian and canadian friends and our british friends if we can help in any way to help you get out of your fucking prison state let us know our dm don't dm me Keybase, Telegram, Threema, it's all on mattadel.com. I've stopped checking.

The DMs are overrun. Don't DM me. The interface is horrible. We could sign that. The DMs are overrun, but yeah. Here's how we get past this. Here in the U.S., it seems that some of the politicians are beginning to posture differently.

Cuomo being one of them, scoffing at the idea of a vaccine passport this week. seems like they're reading the public tea leaves and and adjusting on the fly as they do in america it looks like the vaccine passports will be limited to private companies and private events and stuff yeah that's what i said like yankee stadium or something yeah but even cuomo was like same yesterday i think i saw like no we're never gonna do that if you're vaccinated you're fine if you're not that's your risk and that's what said i mean fuck that shit no one should comply with that shit if somewhere makes you do that

just say fuck you i'm not coming yeah yeah honestly take money like like speak with your with your money don't spend money at places that are going to do that to people russell okun he wrote a letter to the president of nigeria urging them uh to adopt bitcoin and ease on the opportunity that lies before Nigeria and its people. Not too long of a letter. Only like eight paragraphs, but yeah.

I mean, Russell had a letter in Miami. Yeah, incredible letter. I love Russ. Russ is the fucking man. He's a real one. And he thinks very deeply and intently about this stuff.

We had a conversation um in miami i was extremely impressed with um just like the breadth of knowledge the understanding of the particular juncture we find ourselves in um in this point in time like we get the panopticon or we live free we may be witnessing something that has happened many times throughout history and many people are just frogs boiling the water not understanding the the urgency that is needed to to get away from the dystopian state encroaching on all of our civil liberties and like we just said mentioning the vaccine passport in new york there's became the turn tone on that but did you see like the james cordon uh the fuck's her name

uh was with some pop star like just doing some like crazy propaganda skit on getting the vaccine yeah you posted clown world yeah clown world i mean i mean that was this is probably gonna get us kicked off youtube but like they like held up finally you admit it but it's like like it's so weird again it's again theme of the episode this rip is it's creepy how overt the theater is like they're in the street like on mainstream late night but the thing is they got fauci on the thing and it's like but but do you think like a directive do you think like a directive was sent to him from like the top or do you think he's just has a cuck mentality and knows he gets good engagement from it and believes it and fucking did it and he had like

a celebrity on there with him or whatever right they did like a musical representation that's who it was i love that i don't know who she is like i did not recognize her i love that i forgot who she was but no no i'm dismayed that i remember but i don't know like is it state tv or was it just cuck mentality engagement how do you tell because that's what i trend or i tend to right now believe that maybe it was what i said it was earlier somewhere in the middle i mean we have literal freedom of information act documents that prove that the three-letter agencies have leveraged a media to push certain narratives in the past whether or not this particular skit about the vaccine but so you see colbert yeah right there was another thing john stewart on colbert

but like colbert was like no not the john stewart part no john stewart was abased about that yeah no i didn't what that's the only colbert thing john stewart mentioned the wuhan lab like yeah he made jokes about it being obvious that it was a wuhan lab yes that's obviously is not state directive or cuck mentality no that's the colbert thing i'm aware of what are you talking colbert opened up live studio audience with vaccine passports you're only you're only allowed to be there for vaccine and no one was wearing masks in there because they were all vaccinated so they they had the ability to be there unlike the the unvaxxed hordes or whatever right as i sit here in front of the the movie studio where we fake the moon landing like i got

like but my point is i think colbert believes that like i think colbert was like i i don't think like he got like a state directive that said you know push the vaccines i think he's like maybe i'm doing this for my city i people should get vaccinated is there somebody at mbc like above him or cbs wherever the hell he is i don't know like is somebody above him you're like all right steven like we're gonna get you a live audience but here's here's the protocol um no we don't know i think it's somewhere in the middle we do have proof via government documents have been accessed via the freedom of information act that propaganda campaigns have leveraged mainstream media 100 yeah we don't know i just think a lot of it is like influencers just having

cuck mentalities and just believing it and then they push that opinion on on their audience obviously i mean there's concept of the useful idiot a lot of these people are useful idiots right like what about all the people on twitter that were they would post the mask profile picture or the vaccine card right again so this goes back to the nudging the nudging the social pressure it's a form of nudging that equates to coercion slowly over time you get nudged first you you tweet about like maybe we should wear a mask and then you change your avatar to you with a mask and then uh vaccine sticker then it's like if you don't have a vaccine sticker you're nazi you need to be put in a camp um how did we get to this slowly but surely we were talking about russell

okun article to nigerian government yeah um which is a really good article uh i just wanted to be clear um and i think russell agrees but i think it's important to petition the leaders in the governments, because that's the cleanest way. But ultimately, Bitcoin is going to be adopted by the people first, and then governments are going to begrudgingly follow along when they have no choice. Most of these leaders have very little incentive to adopt Bitcoin. And they won't, because they don't want their people to have freedom, and they don't want people to have money that they can't control um so the people are gonna adopt it first and then they're gonna force the hand of of the leaders yeah well at least russ has gotten

this into the radar of the politicians there where now they're more incentivized to or maybe they have less of a reason to fight bitcoin in the future it's like all right we have We have documented evidence that Russell recommended that we buy Bitcoin on June 12, 2021, in July of 2024. And they're like, oh, we didn't even look into this. Nobody was telling us about it. So like, no, we have a letter here. It blew up on the internet.

We know you saw it. But he drives a good point. We're early in the nation states accepting Bitcoin stage. Who's going to fall next? and as more dominoes fall how quickly do new ones fall behind them we shall see maybe none fall at all after this decent i think the imf steps in world bank steps in u.s government steps in starts cooing these countries start shutting this down part of me wants to predict those things just so they don't happen you know

based on my prediction record lately you should you should probably just for could you predict all these things right now kidding you know i think they're going to try i i think the imf and world the strong world governments are going to try to stop this movement and i think if they don't then we're in the wrong movement you know agreed agreed it's coming and maybe they're just inept but wouldn't count on it if it happens just be happy so you're already i mean not here in the united i mean here in the united states it's here in one form or another but not as intense as what's happening in china there really are kicking miners out which seems to be the case that's an attack on the industry in china now again looping back to

the conversation from earlier about on-gridness off-grid like as these miners begin to migrate out of china into new countries in kazakhstan we're seeing all right they're getting there and then the Kazakhstan government standing up and saying there's too many of you, there's too much as they continue to attempt to plug in throughout the world, like how many more of those instances

pop up I mean again, we're discovering the attack vector as we venture out into the future not until the issue is forced maybe find out how viscerally the governments will fight back and this mining migration is something that will provide

a lot of data over the summer, I think well i appreciate them attacking miners while no one was using the chain you're on the roll today everybody listening go send a transit actually i don't want to make go do a coin join if you've never done a coin don't do your first coin join you can pay one sat per byte it'll fucking go through well maybe we should go over that there was a freak in the sphinx tribe something we should mind a it's a point it's a 1,750,000 sat fee to mix a half a bitcoin in whirlpool so if you're going into the 500 million sat whirlpool you probably want to be a big dog

and do like multiple do you understand how the fees work in whirlpool yeah they're tiered right they're flat based on the tier you're going to yeah they're flat based on the tier that you're in so if you like i was saying if you're going to do a 500 million sat pool coin join probably want to do you mean 50 million no it's half a bitcoin oh yeah 50 million yeah 50 million why do i have a billion man yeah if you're going to do a 50 million sat um coin join probably want to do at least 400 million you want like you want like at least six utxos to happen afterwards is just like my rough number so so if you're doing a half bitcoin which is the 50 million sat pool you're looking at like three bitcoin going in um which is a lot for a test so go test

in the hundred thousand sat pool right which is significantly less fee you do like six utxos in there. So you come in with like 600,000 sats and you end up with six UTXOs on the other side because it's flat. So if you put a Bitcoin into the 100,000 sat pool or you put 100,000 sats into the 100,000 sat pool, you're paying the same amount of sats as your fee. So the more that goes in at the same time, the cheaper your percentage fee. And the reason for that is because they're all connected to the same individual. So a good actor that's not malicious, that's not trying to Sybil the pool is going to pay a significantly less amount of money than someone who's trying to run eight instances at the same time, all sending into the same pool at the same time to

try and de-anonymize people. It's a Sybil resistance aspect to it. If you're a more advanced user you can go use join market significantly cheaper but you know care about your privacy try these things use the tools send a bitcoin check send a bitcoin transaction to yourself pay one sap per byte send a transaction to your friend withdraw from cash app for the first time download a wallet moon wallet blue wallet green wallet whatever it may be i really like a moon lately i'm still uh green's falling behind blue wallet moon samurai obviously we're on android you know what we need out there was surfing on tuesday and it was with reese wallet was with my old from the the hot dog stand down here and he's a bitcoin

and i've diverted him and he he's like my parents age and he wants to accept bitcoin at the hot dog cart and i'm thinking i'm like all right like how can we do this like we need like blue or moon to easily allow you to plug in like point of sale for me like i need three has that okay breeze has that okay breeze has a built-in point of sale mode where it's just a it's just you can put in point of sale in person and you can just transact if you have an in-person store so we're going with breeze for the hot dog stand 100 breeze is perfect for that and if you want to do podcasting 2.0 breeze is great too yep all right i knew but breeze like you need a full node where you need no the negative of breeze is the lightning first wallet yeah but it's really lightning transactions

only but if you're selling hot dogs you shouldn't be selling hot dogs on chain but you're going to want a bunch of utxos that are three dollars i agree i agree that's what i like about moon because moon is they put them both out moon puts them both together you can do on chain or lightning with breeze it's lightning first the only time you're really using on chain is if you're withdrawing from lightning or if you're adding to lightning so how's that look you just scan the qr code with two u's by the way guys until they change their name with two u's yeah you just scan the qr code and they just know and they'll just fucking do it and if you only have lightning funds they'll swap on chain and if you only have on chain funds they'll swap into

lightning do a turbo channel and they'll just fucking do it this is the future this is the future but the user doesn't have to know you just scan the fucking qr code any any bitcoin qr code you scan except for a zero payment lightning invoice or ln url which won't work well moon will pay it uh i was hearing two years i was hearing today that qr codes are not safe insecure no that's so that's what nvk posted i saw that that's what i'm referencing nvk is concerned about people not checking what the qr code is is displaying because a human can't look at a qr code and know what's there we have no idea what's there maybe one or two out there got the some autist out there yeah there's definitely an autist out

there can read qr kids you should verify on your screen after you scan anything exactly you scan the qr rodolfo is worried that you're going to scan it not look to confirm that the address on your phone is matching the address that the user wants and his argument wasn't for payments his argument was for a cold storage hodl stash yes and in that case if you're tramped you know he's a little bit biased i mean his device uses sd card but if you're transferring your psbt partially signed bitcoin transaction on on a micro sd from cold card it's plain text if you open it up you open up the file you can see everything that's in there it's a text file yeah it shows the amounts it shows everything in there if you're doing an animated qr code

between two devices let's let's be honest you don't really know what's going on between the two devices it's just showing like flashes of qr codes and the other side's just reading the qr codes you don't really know what's going on there can't confirm that in real time right i doubt there's uh anyone on the planet the real answer for the hodl stash is multi-device multisig which we've talked about on this podcast a million times rodolfo would fight you on that i don't think he would i thought rodolfo was anti-multi-sig no he just thinks that it's not necessarily for everyone because complexity is a killer i agree but that is his view he doesn't want he doesn't and i agree i don't you don't want to rush people into multi-sig no but ultimately what we want is as

many people to be using multi-sig multi-jurisdictional multi-sig mixing it with things like he offers like seed xor where you like split individual keys as well so you have multiple seeds but then also the seeds are multiples you have the countdown feature that he has on cold card now where you can set it where it takes a week to fucking after you put the pin in it takes a week to open your cold card you have the auto murder puppy sale auto murder puppy set rip rip yeah tested that feature out there's levels as we were explaining earlier if you've not ever sent bitcoin to a personal wallet start practicing fees are cheap

memples are cleared right now are they clear at this moment that's the other thing that's weird too is like blocks are coming in they're almost 11 minutes right now so you think they'd be going up what is going on maybe the chinese miners that are migrating were making a lot of transactions maybe the beauty is we'll never know exactly what it is matt what's going on with the software updates we haven't had any in like three weeks they just haven't really oh electrum should be on this list i'm not seeing it yeah i forgot to put electrum on the list all right what do they upgrade the android builds are reproducible now oh that's a it's a pretty big

update and the lightning pathfinding is improved anybody using their lightning implementation i'm not i haven't either i think bull market man it's just there's not as many big updates that are happening right now which is fine i'm getting a little bit tired too pretty boring i respect it pretty boring bull market right or is that just me ben the carman saying lnd released a few minutes ago i mean they should know to release before for before rhr but go check that out i guess there's an lnd update but the updates have been slow just across the board right now all right i assume a lot of the teams went to bitcoin miami to bitcoin 2021 still aid things can't work can't work and go to conference

back to updating that software i kid yeah like electrum got updated i forgot to put that in the all right for running electrum be aware please try not to connect to external servers if you can use your own node use your own node find an uncle jim if not if not you're probably linking your xpub and your transaction history to a three-letter agency that's running a node in the cloud an electrum server specifically bitcoin beach article in business week i expended all my bloomberg articles earlier this month so i was not able to read it past the first three paragraphs it seems like a good expose it's just mainstream coverage of bitcoin there's a good article you know you don't expect that much

from bloomberg when it comes to positive bitcoin articles and it's a very important project bitcoin beach um i salute everyone who's been working down there i look forward to making my pilgrimage down to el zante which i haven't done yet we're going in november definitely because it ends and that's when like the surfing gets good but between now and then you and your lady are going down in november i haven't decided yet but maybe we should me my lady you and your lady gotta make her a pilgrimage well i'll tell you one thing when i do make my pilgrimage i'm not going to telegraph it four months ahead of time so um you'll know a week after i've left okay yeah you're much better at this than me i didn't realize

what i was doing there bitcoin beach again credit where credit is due mike uh the strike team uh everybody working on galoy the wallet there as well the citizens of elzonte they paved the way for for this law i would argue right like proving that there's interest and there's good energy around the community working on this stuff um i think definitely got the conversation to a point where I was like alright maybe we should consider this just a small little surfer town on the coast of El Salvador

pushing Bitcoin forward what are your thoughts on the whole Bitcoin beach being sponsored by an anon rich Bitcoiner that guy's such a fucking hater he's been short Bitcoin publicly since 2014 so he can go fuck himself

maybe maybe he knew maybe he's a time traveler came back he's like all right we need to get a a nation state in the game before 2022 you have all these social justice warriors that just like talk about like fucking freedom and making people have better lives and better opportunities and don't do fucking shit all and they're just fucking resentful because bitcoiners are actually doing it in an actionable way that's actually working instead of just fucking talking about it loudly on Twitter all the fucking time. I mean, people

think the Twitter fingers are going to do it. You actually have to get out there and... It fills them inside. It does. It just proves it's like the fiat standard, right? All these people want all the gratification, all the the

the gratitude. They want to get all the attention for no work they don't want to do any of the hard work they want a virtue signal that they care when push comes to shove of actually hitting the streets and doing something very few people are willing to do that and then so again the other beauty of bitcoin is yes there is a certain extent to which you have to hit the streets but there's other things you can do from the comfort of your father-in-law's bedroom that could it could help push things

forward um people are going after it again we're at a critical juncture we either make this happen or we get uh we get fucked into the panopticon still dismayed there's no transactions in the mempool we have no software updates is bitcoin stagnating is bitcoin stagnating dead dude there's no transactions there's no software updates on anything going on outside of the left room i'm not fighting bitcoin when i say i wish the mempools were more full i just think he's fighting bitcoin or is he saying you're not doing enough or no i i just i i think it's i i think first of all bitcoin is not fucking stagnating um period end of story on that as far as the mempools go i think it's a sign

that people are using custodial regulated cuck fucking services and I there are a few shows that will tell you that so wear that show do better than a couple others

apparently but yeah I mean I think I agree with you there like I said in the beginning of the episode what if there's data on chain data i know you're shitting on on chain data earlier but if you could like dissect the new signups on exchanges and on chain data people moving to freshly created assets excuse me uh addresses uh at amounts that would signal to individuals and not not like exchanges and stuff is there a education lag that shows up

on chain it could be it right that we were 60,000 in January if somebody didn't panic dump maybe maybe they're convicted and looking to learn more we shall see we shall see anything

else you want to add well I'm excited for bit block boom I am as well sneaking up on us already end of August that'd be good well so this is marty zow's chirping in the uh in the comments maybe you were right maybe 200k by conference day was just talking about the wrong conference

is this i'm not gonna get pulled into this trap again hey this is what's the worst that could happen you're wrong twice like we're back in where we are right now or you go down as a legend I think I was actually talking about BitBlockBoom, not Bitcoin 2021. Little Jew. You freaks know. Look, you know, I'm extremely bullish on Bitcoin. I am literally all in. There's no hedge.

There is no fucking hedge. if i am wrong about bitcoin i will have generations of descendants will know i was wrong about bitcoin um what they say about they will be like grandfather matt grandfather odell was extremely wrong about bitcoin um we had to pick up pick up the shambles he left behind but uh that was the only time i've ever given a concrete price prediction and i'm just not gonna i'm not getting caught in that fucking trap ever again yes that is not gonna happen

you wonder k by conference day it sounds good you know it just had a nice ring to it you know fucking sailor was saying he was gonna do a 100k party i wanted to top him you know i wanted to be above him we had like scott minard who's still fucking with us you know he said he said like a week ago two weeks ago he's like prepare for a volatile weekend and then this week he's like crypto is the future which by the way every time one of these rich guys says crypto or blockchain or digital assets we're winning yes that that's that's our edge that's our alpha why is that our edge i mean we're winning because it's our edge because that means he's diversifying into like ethereum and shiba inu token and shit you know he's not just fucking

aping into bitcoin is there that's our edge our edge is we're aping into bitcoin it's like the berkshire in a humble way the guggenheims of the world we're staying humble and we're stacking that's the other thing too like the the egos and the banking and fund space i could see them watching the d5 people like we're replacing you and they just like try to join them and they build like even they're like oh you guys thought you guys could could build crazy financial products wait till the pros get in the game prove how big of a con it actually is ah matt two hour rip again thank you freaks for for staying with me i'm a bit under the weather um but i think it was a good one there's a lot going on it's a little quiet on the software front

blinders blinders freaks supposedly there was a specter update which i did see come through the wire but there was no release notes and did you meet did you meet the third best ben ben kaufman i did not in miami apparently was waiting in line the whole time so i got fucking wrecked with ben multiple nights in a row hey he's underage and uh oh i mean we didn't drink at all we just got wrecked on bitcoin we were just talking about bitcoin um and he's of age in israel where he's from um the i think they're adding liquid to it which you know one of the biggest liquid shills in the business but your big liquid show are you not really relevant in a no man pool environment at all whatsoever either block stream spook that is infiltrated tftc

are you the spook i you know i'd be a great spook people should assume that i am one i tell everybody that i'm worried matt's a spook he'd be a great one marty would be a fantastic spook too i'm giving away the conspiracies i'm on the set of moon landing and just telling people we did it i'm the worst fbi agent there ever is i can't believe you just called me out for for ben being underage it was an honor meeting him look he gave me he gave me one of the original specter diys which is hilarious because i didn't diy like it's yeah it's supposed to be do it yourself but it was done by someone else but it was still an honor how do you know that's not like a ledger scammer i haven't plugged it in it's been ledger scammer it was still an honor though that he gave

it to me yeah ben's a legend i'm bummed we didn't get to meet in person i'm trying to remember if we did so i don't sound like an asshole like we did me i'm pretty sure at one point at my miami said that we had five bends in in the airbnb were they trying to alpha each other the key is you had to tell each of them that they're the best bend you pit them against each other yeah yeah yeah this is uh this is how you pit people against each other you tell them all hey you're the best man you're the best band there is maybe i am the spook i can't believe i did that it was fun oh man man uh yeah i mean legal in israel i think that that reciprocates once you come here i'll just say it does

what else should be aware of um i mean this is a good rip marty good rip what do you think about the uh u.s open i'm rooting for our boy we have a bitcorner in the open nick battia's cousin i believe i don't know they share the same last name i don't i don't ask those kind of questions we're bitcorners we're not supposed to ask age location relationship yeah all right i'm cheering for battia in the u.s open let's go let's fucking go yeah that's a rip this week moon landing happened right here i love you freaks stay humble stack sets peace and love