TFTC: A Bitcoin Podcast - Rabbit Hole Recap: Week of 2019.09.30

Episode Date: October 3, 2019

This week Marty and Matt discuss: - Michelle Phan https://www.thecut.com/2019/09/michelle-phan-youtube-beauty-star-on-why-she-left.html - Baakt launches with limited volume https://www.bakkt.com/markets - US & UK CLOUD Act Agreement https://www.techdirt.com/articles/20190928/18254143088/no-new-agreement-to-share-data-between-us-uk-law-enforcement-does-not-require-encryption-backdoors.shtml - HK - 1967 emergency laws enacted - face masks banned https://www.bbc.com/news/world-asia-china-4991888 - host4coins.net - Opendime videos - tftc.tv - Team signing for Casa Diamond Members ($5040 per year) https://blog.keys.casa/team-signing-on-casa-keymaster/ - uesefultulips.org - Wasabi error, rescan required - Crypto Rating Council launched by Coinbase, Kraken, Poloniex and Bittrex https://www.cryptoratingcouncil.com/asset-ratings - EOS $24M settlement with SEC https://www.sec.gov/news/press-release/2019-202 - Keybase impersonator Shoutout to our sponsors: Cash App. Head over to the App Store or Google Play Store, download cash.app and start #stackingsats today. Use the promo code: "stackingsats" to receive $5 and contribute $5 to OWLS Lacrosse you download the app. Unchained Capital. Head over to www.unchained-capital.com/vaults and checkout their 2-of-3 multisig vaults. If you need liquidity but don't want to sell your bitcoin, they offer easy access to loans using bitcoin as collateral. Collateral is always stored on-chain in dedicated multisig addresses with the option for you to hold a key, and your bitcoin is never rehypotheticated. Bull Bitcoin. Canadian freaks need to check out Bull Bitcoin (https://bullbitcoin.com/). Canada's only Bitcoin maximalist brokerage. Also, check out BitcoinOutlet.com for some of their dope swag if you're outside of Canada. Casa. Use promo code “TFTC” to get up to $250 off your Casa membership … or hit their team up [e-mail] for a free demo, or to put them to the test with your hardest OpSec questions! Subscribe to our YouTube channel: https://www.youtube.com/tftc21

What is up, freaks? Welcome back to Tales from the Crypt. It's your boy Marty Bent here on a rainy, cold Thursday, early afternoon in Brooklyn, New York, sitting down with my good friend Matt O'Dell for another edition of Rabbit Hole Recap. Matt, how are you today? We got new fucking mics. We do. I surprised Matt with a new setup today. Hopefully, this mic setup is better for you audiophiles out there. We've had a lot of complaints about these sounds in the past. It's been the bane of my existence for the last two years in this podcast, audio. It's not easy if you're not an audio engineer, if you're just some schlub writing about Bitcoin and you get into podcasting and audio editing. You find that audio is a pretty fickle thing to mess with.

So we got new mics. We got new mic lines. We got new pop filters. Hopefully our P's aren't popping too much anymore. We've got a new recorder here. we we've upgrade upgraded the uh the studio equipment here hopefully uh it produces a better product audio wise you know it feels like christmas uh super excited also i'm excited that we're finally doing it on thursdays again we've been doing fridays the last couple of weeks because

it's been tight um and i just wanted to thank all the we're so thankful to all the tftc uh contributors out there all the freaks out there who who have helped helped pay for these mics so thank you guys yeah shout out to you freaks for contributing um we actually got a shout out today to read if you guys want to go contribute you like what we're doing you want to help make our audio better maybe help us get into video get into a legitimate studio tftc.io slash contribute while on that note we got to give a shout out to our sponsors who help also uh help make this happen cash app you guys already know all about them if you're in the u.s or any country where cash app is available and you listen to this podcast i don't know what you're waiting for

go download the app right now use the code stacking sats is s-t-a-c-k-i-n-g-s-a-t-s one word you're going to get five dollars and five dollars going to go to al's lacrosse charity in chicago very near and dear to our heart on top of that you're going to get the cash app functionality which means you can buy and sell bitcoin within the app and then you can send bitcoin from the app to a personal wallet from a personal wallet to the app and then you have the boost program used it this morning got a dollar off coffee the coffee boost is still around it's just a little harder to get to you got to use the cash up five times and then you get i believe three one dollar off instances at a local coffee shop so again stacking sats get that five dollars send five

dollars to owls go to your local app store download that today also got to give a quick shout out to unchained capital freaks know all about them they've been with us for quite a while here at tftc and i'm pulling up the copy right now because they have new copy this episode of tales from the crypt is brought to you by unchained capital talk a lot about multi-sig security and unchained offers multi-sig vaults for both individuals and businesses unchained's collaborative custody model is a great way to improve security create redundancy and reduce risk of single points of failure while also retaining control of your funds unchained also offers an integrated lending platform with its multi-sig vaults. If you need liquidity but don't want to sell your Bitcoin,

they offer easy access to loans using Bitcoin as collateral. Collateral is always stored on-chain in a dedicated multi-sig address with the option for you to hold a key. So you'll always have control over that and your Bitcoin is never re-hypothecated. On top of this, the on-chain team are beast in the open source world. They're Bitcoiners working on supporting multiple open source projects including uh slip 39 smart custody hermit and caravan check them out go to unchained-capital.com that's unchained-capital.com um heavy week of ads here we've got our friends at bull bitcoin too should i read the poem again should we just get the bull bitcoin spiel if you're in uh let's change it up for the freaks let's change it up for the freaks if you're in

canada if you're canadian freak in particular uh and you're looking to stack sats bull bitcoin.com is helping you do that uh got an incredible team francis paulette btc sessions ben uh they're putting together an incredible product they're very bitcoin minded there's not gonna be any shit coins uh they have it in a non-custodial fashion so you can buy and send it right to a personal wallet and on top of that they're they're coin joining all the coins so they're they're working on uh creating better privacy for their for their users and just overall great bitcoiners as well so bullbitcoin.com if you're in canada go check that out and if you're not in canada you want to get some of their dope merch bitcoin outlet.com get some of their merch yeah their

merch is sexy as fuck yeah and then a new sponsor very happy to have these guys on as well casa we're actually going to be talking about one of the products they've released this week um so freaks how confident are you in your key security uh what keeps you up at night with your personal opsec our friends at casa have drummed up one of the smartest and most secure ways to huddle your bitcoin no kyc no all coins no percentage fees under bitcoin no one standing between you and your keys incredible team including jameson lopp jeremy welch if you guys use the promo code tftc you're going to get up to 250 off your casa membership by going to keys.casa on top of that if you just want to hit them up directly you can email them at membership at team.casa for a free

demo and you can put them to the test with your your craziest op set questions have them walk you through the product and and get more comfortable with them so you can go visit them directly at keys.casa if you want to email them directly it's membership at team.casa and again if you use the code tftc you're going to get up to 250 off oh wow well done that was a first four ad guy we had and for you freaks out there that is that is the full inventory we're only ever going to do four reds thank you for uh for bearing with us yeah we've maxed out there and no no mid rolls you're never going to get a mid roll from us no um but giving it uh in the spirit of the contributions and stuff we do have one shout out this week and it's from our friend fartface2000 he says buy them

bitcoin they will huddle better than you and i think he's he's referring to children he must be alluding to children who buy his bit piggy uh yeah so he's got the big piggy buy the kids bitcoin and they will hodl better than you. Fartface2000, a.k.a. FF2K, a.k.a. Pig Toshi. Marty actually has a BitPiggy sitting on his desk right now. I'm looking at it. It's right in the foreground here, always looking at it. Shout out to Fartface, incredible Bitcoiner.

He was at the... Yes, he was, at the workshop. I don't know if I should dox him and tell people that, but yeah, he was at the workshop. Yeah, I think I might have... No, he tweeted about it. I responded on Twitter. I was like, great to meet you too, dude.

It was great to meet him. So his product is a 3D printed piggy bank, and then inside you have an open dime, and on the outside you have the QR code for the public key. This is actually a good transition into, we just recently posted two new guides into our YouTube channel. You can find our YouTube channel at tftc.tv. Huge domain name. Great domain name. it's always nice when uh the addiction pays off um and the videos were on the open dime so so every bit piggy comes with an open dime so if you want to learn more about the open dime you can

one video is to learn more about it and then the second video is basically the open dime is a stick that allows you to hand someone bitcoin and they know you don't have the private key but you don't have to actually do a bitcoin transaction it's just like if you paid them cash um so they're really great for gifs there this is a great uh use of them with the bit piggy uh besides the fact that there's no backup so uh actually if i was using the bit piggy probably what i would do is i would hold it yourself no i would use the use of the open dime to create the generate the key pair and then once you have the address you can actually unseal it which we show you how to do in the video um and then you can copy the private key off just sweep it you don't even have to sweep

it just back up the private key okay but these open dimes they last a long time people have you know thrown them through the ringer i think like american hodl was was bragging about he keeps on his key chain uh our buddy nick carter has like done a lot of damage to his and they still work so they're pretty fucking reliable but there is no backup so be aware before we lost our boy kevin fam he was wearing them around his neck like dog tags as well yeah also crypto brekkie wears his uh or i guess now he's going by bitcoin brekkie um but he wears one around his neck which is a horrible idea but he says it's unfunded so he says that i hope they are still a horrible shout out to bitcoin brekkie you're gonna wear one on your neck it should be funded

at least otherwise that's true and if you're wearing one around your neck and it has one hold bitcoin on it right now according to the tftc.io ticker the price would be eight thousand one hundred ninety four dollars and eighty nine cents and you'd be able to move that bitcoin after block five hundred ninety seven thousand seven hundred and nine good job there that was good yeah and segways i really like the idea i still really like the idea i would never wear one but hear me out of of having some kind of like piece of jewelry similar to an open dime that would signify how much bitcoin you were holding on it i don't like this so they've talked about this so the rappers could bling it you know i think it's a great idea i know i wouldn't wear it you wouldn't

wear it right but the rappers would wear it yeah be good publicity these mics are so good they might be able to pick up my iced coffee sip i think they're picking up everything they might be picking up your your mouse clicks you might want to use the the touchpad up there i think i will do that i will do that moving forward um again like last week is i love this uh actually not having to hold a mic and being able to have hand gestures is uh it's pretty big it's pretty sad that we were holding mics up until this point two years people two years you know we move slow here slowly but surely we got to make sure the product is proven before we throw more investment into it a lot of other people should think about that you know bootstrap this bitch fact um very

similar last week not a huge week of news but some interesting news uh a lot of fodder to talk about one thing that you uh you found yesterday and we're tweeting all about was uh youtube sensation michelle fan uh has apparently come out as a bitcoin so for background story for who michelle is apparently she was like one of the first youtube stars to really build up her audience and monetize it she was a beauty star doing makeup tutorials and uh stuff like that but i believe she left the scene like two or three years ago and just went completely dark and has randomly over the last six months just come out and what she's been talking about is bitcoin and how bitcoin can change the world and she's completely woke yeah it's so crazy to see it's uh but again like when

we talk a lot about this on rhr and marty's bent and then in tales from the crypt the interview series is is the uh the culture around bitcoin and and getting it into the minds of the masses like some people may look at a a beauty star on youtube like uh who cares what she has to say about bitcoin but these people have insane reach and very engaged fan bases so and her and her she knows her shit like watching the videos that you posted like seeing her spread that message to millions of her fans is incredible and specifically her fans are female dominated right yes which is huge yeah um everyone knows that this space is is dominated by men um it is what it is and but but people like Michelle will help change that.

Yeah, she's very articulate and very passionate, right? It doesn't seem like she's, at least from what I've seen, too much of a shill or has an ulterior motive. She read the Bitcoin standard, you can tell. Yeah. One of the things that... So this isn't necessarily breaking news or anything. She's been pro-Bitcoin for a while now,

but she wasn't on my radar at all. I had no idea. but they they recently the new york mag released an article with her highlighted in it and there's this quote in this article they talk about bitcoin in the article and the quote is i'm actually more excited about bitcoin than i was when i first discovered youtube and it was it's just like that's this is the kind of and publicity that gets bitcoin mainstream that like brings in a whole new group of individuals yeah and that's good credit where credit is due to michelle like michelle was one of the pioneers on youtube and so for somebody who uh rode that

wave and was pretty early on there to see her sort of uh seeing a similar vibe in bitcoin is a good sign like she's had success in the past and uh seeing it in bitcoin is is uh very uh what's the what i'm looking for it's just a good thing to see also her podcast has 23 million subscribers on youtube so yeah so shout out to michelle michelle if you're listening i know you might be uh invite to tftc tftc is open if you ever want to come shoot the ship you know what i'd fly to la for that too that's where you are um to some more boring news we didn't talk about it last week because it was so boring so underwhelming we forgot to put it on the list yeah uh backed they launched their their futures contracts last monday right correct or sunday night i think

didn't they they launched it right before we went on the podcast right no it launched like on a sunday night oh yeah you're right you're right so is it two sundays ago yes i believe it was a week from like it will be two it will be two weeks from this sunday let me see i have it here um but they launched to i believe they had ironically like 70 or not ironically they had like 72 bitcoin worth of volume on the first day september 23rd they launched yeah so and today's october 3rd yeah so a week from sunday passed yeah and their volume has been pretty low today today they're at 17 bitcoin volume um yeah so what is that like 130k yeah nothing crazy and this is something we've been warning i mean i think i like to think that we've been on top of this topic

here at tftc is that don't hold your breath for this this institutional money meme backed was uh was a big a lot of hype a lot of hype around it but also the product they launch is not exactly what they wanted to launch correct i don't know it's a pretty cool product right it's it's daily and monthly futures and it's actually physically settled i'm getting i'm getting backed in van that confused yeah yeah venick is the guys who are doing like the gbtc clones so the etf yeah yeah this is i mean this is i think a really big deal but not like a short-term deal right like people need to get comfortable with the product and use it and whatnot but um for a certain group of traders this is a very ideal product and and it's better from a market perspective than cash

silver futures um but it's it's a lot more unique than cash silver futures that you know a lot of these traders are already comfortable with it so it makes sense that they're they're more used to using cme's product they're not going to move over to back right away um yeah so it's just it's just going to take time one of the things i thought that was interesting is it's basically 24 7 except for a two-hour period every day is that is that how normal futures work i don't think so right like cme is two hours a week it's it's not open right or like five hours a week friday night or something like that to like sunday afternoon or sunday morning or something yeah that's that's correct they don't yeah it's not like the stock market where it closes at 4 30 every afternoon

um yeah this is it's closed from 6 p.m to 8 p.m new york time every day it's the only time it's closed yeah interesting it is um but it's a good i mean it draws out to debate like where's the demand for bitcoin going to come from is it going to come from the institutional investors or like the mr hoddles of the world like to say it's going to come from individuals like the individuals are on the way it should be the meme not the institutions that are on the way mr hoddles of the world are on the way is that what it is well mr hoddles tweeted out uh i think he's trying to mean individuals are on the way as opposed to institutions are on the way which i think is a good one i mean that's what the stacking sats movement is right yeah no and it's actually uh

a good segue into one of the topics we have on the list it's not the next one on the list but the useful tulip site and so this is a site created by this dude matt alborg here in new york he create or excuse me he dropped an article in february that we covered in in the bent um let me pull it up here i'm going to use the touchpad so we don't get that's useful tulips.com.com or dot org oh is it not dot com it is not dot com yeah sorry i finally pulled it up um yeah it's dot org it is dot org useful tulips dot org yeah and so this is basically a follow-up site to matt's article uh from february which dove in

and created the metric uh user usage per online economic person which basically was a metric that matt created to try to determine uh the demand for bitcoin driven by utility from country to country so he basically measured gdp per capita per country and then access to the internet within that country and then bitcoin penetration via volume on local bitcoins within each country and in february basically came out with an article putting forth that in countries where bitcoin is needed most from a from a utility perspective like venezuela russia um other latin american countries with poor currencies that's where bitcoin was being adopted and used most heavily according to this uh usage per online economic person metric so that

was fascinating when it came out uh we we covered that and then so earlier this week matt dropped useful tulips.org which is a site that's going to sort of grow on that article that he dropped in february and then has a lot more robust data on the p2p exchange volume throughout the world so and then he did the uh immense task of denominating all in u.s dollar volume so you get a better sort of picture of of the the actual volume of bitcoin being traded in these countries yeah i mean the website's awesome and it's just awesome that it's it's interactive yeah but again like the data it's not concrete yet like we have to take into consideration things that mauricio brought up last week when he was talking about the venezuelan government using local

bitcoins to buy bitcoin directly like obviously that is um that is something that needs to be taken into consideration but the data is showing that it seems that people are using bitcoin in these countries out of utility and not speculation so they're using it to remit money from family members abroad to store value against something like the peso or the bolivar or to store value in something that's harder to confiscate than physical gold or dollar bills. Or, yeah, to move money out of the country, yeah.

Yeah, or to go across borders and hit up a Bitcoin ATM. No, I mean, look, it's not sexy and Twitter doesn't like nuance, but really it's going to be all sorts of people are going to buy bitcoin and bring us to the moon right it's not going to just be institutional money it's not just going to be like the humble sat stacker it's not just going to be a person in venezuela it's just people everywhere will slowly be buying and that will increase over time yeah i agree but it is uh it is cool to to see to see how it's happening right like backed is not uh not as popular as some people thought it was going to be and then something like uh

bitcoin actually being useful in countries where it's needed is something that uh people have been like i doubt people are actually using it out of utility but that's starting to be proven wrong and they actually are so it's just interesting to see the uh the confluence of bitcoin users on each end of the spectrum um so yeah go check out usefultoolups.org and i think it's important to mention here that you know are people using bitcoin in these countries yes is it in a is it a large amount no it's growing every day but it's it's not this huge amount uh i don't want us to be embellishing like the number i i know like a lot of people on twitter this week were talking about the hong kong protests and how local bitcoins volume was at its highest it's ever been um

I was seeing tweets that volume is like 3x what it was last week or something like that. Yeah, but it's 175 Bitcoin, you know? So, yes, like, that's great to see that Hong Kongers are turning to Bitcoin more. But, like, 175 Bitcoin is just, like, one rich person putting in, like, a very tiny amount, right? Like, that's, it's like one and a half million dollars or something like that. Yes. So, it's not... What would satisfy you, Matt?

It's great to see, and I love watching number go up in terms of volumes in these countries, and it's up significantly from where it used to be even just a year ago, two years ago. But it's important to just tamper expectations a little bit, just like what we saw with Bakkt. Yeah, I agree, I agree. Being a little antagonistic there.

But be on the lookout. Again, we're shilling useful tulips hard here. Matt is coming out with a full, matt alborg is coming out with a full uh paxful uh data set as well so that'll help give a better full rounded picture yeah because the question is now with local bitcoins is they have kyc they stopped cash trades um well i was actually dming matt and he said there's tiers yeah but the lowest tier is are we fuzzy again no we're good the lowest tier is like a thousand dollars a year or something is it ridiculous yeah um and i mean paxville has kyc too and then the

other thing is once you make a trade on local bitcoins like why would you use the site again you might as well just go outside yes so those are uh two things to keep in mind yeah so exactly and it really drives home the difficulty uh with which it is to to draw a complete picture of of how bitcoin is being used and where it's being used yeah i mean you can never verify any of these volumes like exchanges all these different exchanges and stuff it's self-reported it's hard to audit um and even if you're auditing it it requires trusted third parties um so these are all just estimates and you got to take everything with a grain of salt really yes um let's stay on the topic of hong kong they uh announced this week that they're going to enact 1967 emergency laws

which basically dictate that protesters are not allowed to wear masks and protest and some other things. Yeah, I think they can also search premises and seize assets much easier and make arrests much easier. They had a lot of protests in the 60s. So they're pulling up this old law. They're putting it into action. And it's for two purposes.

It's people are using the masks for privacy. China, you know, has quickly become like the number one surveillance state in the world, at least like in your face in terms of cameras and stuff. You know, maybe the U.S. gives them a run for their money a tiny bit in terms of like global communications. But people use the masks to protect themselves from being identified at the protests. And then the second thing is like they're tear gassing protesters. They're shooting rubber bullets at them and stuff.

So the masks help protect in that situation. And now they're going to make it a crime just to be wearing them. yeah it has been a little unnerving to see the escalation of uh what's been happening in hong kong did you see that like the group of protesters beating beating the cops at rods and then the one uh the one cop had to pull out his gun and actually shoot a protester yeah he shot him in the shoulder yeah but he's he's in the hospital he's stable and stuff yeah but i and i mean what i'm trying to the threat i'm trying to pull there is that it seems like things are escalating obviously i mean you hit them with the rod right before you shot them and they were like at point

blank range yeah and like american cops would do a lot worse than exactly i mean those those hong kong cops only they only have a revolver that's what they're i mean some of them are carrying around like shotguns with like uh rubber bullets in them and stuff like that but in terms of what the standard carry is there it's just a single revolver yeah but the populace is unarmed and that's why they have sticks instead of that's why they have rods instead of guns and that it's that definitely highlights uh you know the power of of of individuals being able to uh on themselves that's actually a good point to bring up i actually saw a couple tweets of people calling for uh like defense distributed ghost gunner materials to get into hong kong but there's a guy in hong

kong that's like working on it supposedly really yeah so i mean because they also took parts from um like they've they've gotten a bunch of police weapons i think does this seem like where the tree was going but anyway this mask law is like the ultimate uh it's like the physical manifestation of like all these anti-encryption laws right it's like oh you have nothing to hide like why do you need a mask and i think for people when they hear that you're not allowed to wear a mask to a protest they immediately know something's wrong with that right that sounds like an authoritarian government it's straight out of v for vendetta yeah i wish they felt that way when they when

they hear like encryptions used by criminals and you have nothing to hide so why are you trying to hide it should be it's the same thing it's just it's basically the same exact thing people don't realize that yeah but i'm hoping like we should use this mask thing to to help uh drive that point home yeah drive it home um over the weekend i saw two people with uh i don't know if they were just crazy williamsburg people trying to be kooky or if they were like crazy cypherpunks trying to drive a point home but uh with like facial recognition just like uh uh confusing makeup on like multiple eyes like painted on their face and stuff like that are you you think it was her facial recognition or do you think it was okay so you don't know i don't i don't know i just like saw them walking

and passing but they would probably remember the guy at bitcoin 2020 who had like the shade it was like chains chain mail on his face yeah or her face no one knows you never know um but that was actually crazy to see in person i was like whoa yeah i mean yeah i i'm not sure if i'm sold on the whole using makeup uh to deter cameras because can't you just then identify them by the makeup at least for well the point is that you draw a different design every time you go out i guess so yeah i mean i'm not going to be one of the first to jump on this makeup to change to mess up facial recognition craze maybe i'll join later i'll be a late adopter to that and the smartphones are a bit a big issue too right you can't have a phone in your pocket when you're

doing it's true that's true that'll really a lot of nuance to this shit exactly um but it's a good segue into the story that we wanted to bring up because there's a lot of confusion around it the u.s and the uk cloud act agreement um this is agreement that a lot of people that basically the u.s and uk um uh enforcement agencies cia fbi are going to start sharing data with each other and a lot of people thought that the act dictated that tech companies within each country had to build backdoors into their encryption services but it seems that is not the case correct matt yeah they at least don't have to build additional backdoors if they already have them in place um this act is this agreement is basically it says that the u.s government when they request

information from british companies it's like the same as if the british were requesting it and vice versa. So it gives them both a lot more power over each other's companies in terms of information requests, warrants, stuff like that. That includes encrypted chat data. And so I guess Bloomberg and a couple other sources reported that, you know, Facebook, for instance, would be handing over encrypted chat data from WhatsApp to the British in relation to criminal investigations. And yes, they will be doing that but the the information will still be encrypted you know whatever that's worth if they have you know a backdoor for some other reason then that's another story but they're actually handing over encrypted data without the encryption key um so yeah it's not as bad as we

originally thought uh but the war on encryption continues regardless uh and the five eyes you know britain is part of the five eyes with the u.s new zealand australia and who's the canada Canada, I believe. Yeah, and so they've already been sharing a lot of information behind closed doors. This is, you know, a more public-facing thing, so they're getting a little bit more ambitious here. And it's just something to just, you know, keep an eye on. Not even keep an eye on, but it's a data point,

a long string of heating cells adding to the pot of boiling frogs that is civil liberties throughout the world. Like this is like something, something like the Patriot Act that people were like, okay, we're passing at the time seemed pretty innocuous, but we're finding 18 years later that it's pretty, pretty Orwellian and something like the Cloud Act where everybody's just like, oh, these five governments can just share everybody's data. Well, it's not that... The Klaudex is just these two. They can pull the data, yeah. It's just these two, not five, for whatever it's worth. Two of the most powerful countries in the world

could just go over borders and take data from companies in the other country. And nobody... It doesn't seem like there was a big protest or pushback against it. It seems like something that was just signed and passed into law without much pushback. Yep.

So be aware, freaks, be aware. They're out there. I mean, I don't think this needs like congressional approval or anything it's a isn't it just the executive doesn't yeah i mean the white house just executive orders have been very hot let me um um but yeah i i think people need to be vigilant i mean we should have been a lot of people called out the patriot act when it got passed for whatever it's worth uh but they use fear just like they did with the patriot act just like they do with this and they say criminals and terrorists and whatnot and that's how they

that's how they take away your civil liberties and i think it's interesting that you know you have um like lawmakers in britain and stuff saying that this banning of face masks in hong kong is authoritarian and bad but they're basically doing the same exact thing because they're trying to ban encryption they don't even let you in britain you can't look at porn without kyc i mean unless you use a vpn so they're educating all their citizens on vpn usage so that's good at least matt odell big porn advocate um no but it is uh it is a mandate i'm checking the uh the verbiage here so it's a mandate which i don't think it's gets voted on it's just mandated yeah exactly executive yeah there you go so it makes sense that there'd be less protest than

something else i mean like in our circles everyone was talking about it yeah so that's good at least Yeah. So be aware. Put the link to this article in particular in the show notes from Tech Dirt and just follow along. Just fight for your civil liberties in the digital age. You want to be able to wear a mask on the Internet. Yeah. I mean, look, I think it's good that WhatsApp included encryption. I think they do a lot of bad things. And, you know, it shows that, I mean, it's Facebook, right? But it shows they have a lot of bad intentions in terms of they still collect all the metadata on you and your conversation. They know who you're talking to when you're talking to them. They're probably pulling a bunch of other data from your phone. and then they also their way they do their backups is they back up to your cloud provider unencrypted so um you're having a conversation with joe and joe is just he's got his you know he follows the prompts on whatsapp when he first loads it up and he's got auto backup set up for icloud um now they're sitting there in plain text uh in your icloud account in in joe's icloud account so like you don't even know that he's backing it up so just i mean you should already

basically consider like all your messages pretty much like all your messages that are going through your smartphone like have varying levels of security but you should just assume that they're all going to be compromised assume that sauron is watching and operate accordingly but definitely whatsapp like whatsapp is uh don't love it yeah not a big fan either um what i am a big fan of though, is what our boy Michael from Noddle is putting out there with this new product, host4coins.net. This is a really cool project from Michael. I believe he teased it on stage in Riga a couple of weeks ago, but basically it's a hosting service that he's providing with no KYC, only payable in Bitcoin. And I believe he's targeting Bitcoiners and cypherpunks running

websites to start so if you have a ptc pay server running in the cloud like we do and you'd rather have it run on a bitcoin bitcoin or server as opposed to something like aws the service is available for you it's got tiers depending on how much bandwidth and cpu and ram you're using per month but yeah so this is host for coins.net if you want to run a bitcoin node you should wait because he's also going to release the Nautilus Cloud very soon. And when he does that, it'll be more, like all the specs and stuff will be more purpose-built for that purpose. This is more so like you can just quickly spin up a server

for anything you want to do. The main problem is storage requirements are a big one for these instances that he's providing. But it's really cool because there's no KYC, which I love. It does ask for an email address, but you can put in a bogus email address there's no verification there if you put in a proper email address then you'll get notifications and stuff but they're privacy preserving notifications and i really love that it was priced in sats everything is priced in sats so sats the standard

sats the standard and do you see this becoming a more popular business model in the future it is so much more seamless to be able to just spin up an instance by going to this website opening up a btc pay invoice if you already have a lightning wallet it's super seamless well even on top of like ease of use like just thinking adversarially would you rather host stuff something that michael's posting or aws like do you think there's a less possibility that you get censored on the hosting service or i mean the nice thing is if you get censored you won't get identified at least uh the real question is uh you know props props to michael i know he's looked into his local laws and whatnot um but i would be you know kind of worried running a non-kyc

server business but i respect the shit out of him he's a great dude he's a close friend um but for the actual user the end user there's huge advantages there for them not knowing who you are so at least you have that going for you i mean they could always they could always shut him down um but it's it's good to have options right like if they shut him down you can move to aws they shut you down in aws you can look at him i should have cut this line what line this this thing that's what it is i had my line riled up and that was the uh there was a little disturbance there are we gonna cut back and re-talk there no we're good that was just a short one i'm sorry about that freeze technical difficulties as we set up the new gear i hope it wasn't too much

marty was like making hand motions in the background while i was finishing that uh but anyway hosts for coins.net check it out i think the cheapest one is eight dollars in a month um but i want to let's not move on yet i want to keep talking about this like all right let's say they do shut down michael in the future because he's doing this could you see like an anonymous version of this uh popping up and it being harder to shut that down or something like that well i mean you could run it an onion service um through tor uh it could still get ddos there's no real like perfect solution there yet um like the internet is very centralized and you know what i'm trying to you know what i'm trying to tease that here is there a situation in

which like somebody could run a hosting service and it would be very hard for authorities to find out where it is or would they be able to identify it via ip well i mean it'd be nice if we had for instance if we had domain registrars that you can do so anonymously there might be some that i'm not aware of um yeah i mean i one of the advantages we have going for us here is you know you have jurisdictional arbitrage so as long as some jurisdictions allow people to set up these uh hosting sites then we should be relatively good yeah um i i think i mean like obviously wasn't satoshi was the one who registered the original uh bitcoin.org domain name right that was satoshi at gmx or whatever was what he used to register it

that gmx email address yeah because they must start a bitcoin talk right they must definitely start a bitcoin talk and then bitcoin.org was transferred to cobra at some point yeah but i think but anyway i i think either satoshi or whoever did their early registration did it and that email actually ended up ended up getting hacked or something right or right gmx is the one who they put someone posted from that email address Craig Wright or what was it Dory Nakamoto's not Satoshi yeah Dory Nakamoto's not Satoshi

yeah so there might be so the domain registrar is one but yeah I mean at the end of the day you're connecting back to a physical location so if the powers that be want to stamp you out they're going to stamp you out unless you use

Tor or like I2P or something Interessante we will be uh we'll be keeping taps of i mean we always keep taps of what michael noddle team's doing this was a cool thing to see i mean he's been teasing this since this time last year it's cool to see people actually being able to use it now yeah the noddle dojo the samurai noddle pre-order should be up soon so i'm excited for that and i'm pretty excited for noddle cloud i think noddle cloud could be like a really really easy way to onboard new merchants and you know serve people

anybody who really wants to receive bitcoin for things yeah shout out to the team there put the team on your back um next up we got wasabi error there's a a wasabi wallet error that is freaking some people out uh they're they're plugging in wallets that should have utxos that show up in the they're plugging in specifically hardware wallets specifically hardware wallets that should have utxos that are recognized by wasabi wasabi is not recognizing those fear nots your your utxos are not lost you simply need to rescan your wallet the way you do that is you go into settings you switch it to testnet then you x out of wasabi then you turn open wasabi again so then it launches in testnet then you go into settings you switch it back to mainnet then you x out again and then

you relaunch and then it'll it'll do a resync and should be there yeah rescan and should be there yeah so this happens sometimes with some wild software it's happened to me in the past where I've opened up a wallet and haven't seen the UTXOs that I thought should be there. I have had that moment of panic myself before in the past. But yes, typically wallets will enable a re-scan wallet feature. Wasabi seems not to be very straightforward. It's a bit of a process that you have to switch a testnet. Yeah, you have to incite sort of manually.

But yes, fear not. Simply, you can re-scan the blockchain. The wallet will find your UTXO and it will show up. Just a friendly PSA. yeah and if you if i mean you shouldn't be i mean it's poor poor foreign to be looking up your addresses on a block explorer but if you do look on a block explorer your utxo has not moved it has not moved so it's a good way to double check if you're not seeing it in your wallet yeah yeah i mean don't don't panic you have the derivation path you have the private keys

you should be good uh just take a deep breath and i have had that is a scary moment i've had i have experienced that and it's like what the fuck um so i feel for you i feel for your freaks if you if you've had that that moment uh with wasabi yeah i mean we specifically had a freak reach out so that's why we're giving this psa um so how about this crypto rating uh pretty ballsy crypto rating council the crypto rating council it's very ballsy so it was launched by coinbase kraken poloniacs and bitrex and it is a effort by this consortium of bitcoin exchanges cryptocurrency exchanges uh to uh self-regulate and uh measure the securityness of a given token on a scale of one to five like if it's a security not like how secure it is yes if it's a financial

financial security yeah like if the sec should regulate it yeah so they came out uh and and rated a bunch of coins on a scale from one to five if you are a five you are a security in their mind of course none of the tokens that were on any of these exchanges were securities in their definition because these are legitimate businesses that would never trade illegal securities but uh it was funny this this story you couple it with the sec uh news of the block one fine this week uh where eos was defined as a security in its pre-sale um and it got i believe it got a 3.5 on the security scale yeah let's not jump ahead on ourselves okay so quickly all right we'll leave eos to the back end okay we'll leave eos we got to talk about this crypto rating council bullshit

for a little bit first um i know well yeah it's i mean it's an attempt by consortium of exchanges is to self-regulate and it no no wait but first of all five is a security right yes and they agreed amongst each other that if they rate anything a five they will not disclose it disclose it or they said we will not tell anybody what the fives are they said that yeah in the announcement they said no fives so i'm trying to pull up right now i'm trying to pull up the actual rating i believe litecoin monero and bitcoin were the only ones which means they're pure cryptocurrencies was eth one too they raided them they i mean they also put die there in number one so they have those four number one

and then in number two they have number two they have algorand chainlink ethereum numeraire zcash and then number three and a half they have augur decentraland eos foam hedera hashgraph loom network stellar tezos and then xrp they have at four and then they have maker which is uh the token behind die um at four and a half and polymath at four and a half so besides the fact that a bunch of these names i have no idea what the fuck they are they don't list any fives and they say in the thing that they're not going to disclose any fives but like if xrp is a fucking four then like maybe fives don't exist maybe maybe they just won't rate anyone a five so it's kind of just a bull like so many of these

are probably securities like i don't necessarily want the sec to regulate these things i'd rather them just have a hands-off approach and let them die from natural natural causes but this is a pretty bold move like if these aren't securities then what is a security right is anything a security well that's the thing that's why i brought up eos is because if you look at the sec's action this week against the fund that launched eos they basically said eos in its pre-launch form was a security token so their rating system is obviously defunct because it's a 3.5 is not a five right eos should be a five or maybe eos is a 3.75 maybe all the ones i said were three and a half or 3.75 but still yeah if eos is a 3.75 in security um the funny thing about so they

find them 24 million dollars all right so we're talking about eos and block one now yeah eos got fine and did it these both got released on the same day i believe hours rating council came out first like right before the sec announcement and then the sec announced it so they they they give them a 24 million dollar fine on an allegedly a four billion dollar raise like the the way they set up their ico is a year-long ico um so you could there could be wash trading in there that's why we say allegedly four billion you don't know if they like were taking it could have been huge money laundering scheme yeah like you take received eth and bitcoin and then you run it back through and um and you you you pump those numbers up but regardless 24 million dollars is like an

absolute slap on the wrist um believe it's 60 bps of the of the overall raise so which leads me to believe that even if these things are securities as long as you settle with the sec like it shouldn't kill them yeah it begs the question that was a hot debate after this news came out a lot of hardcore anarchists and cypherpunks uh not yelling but calling out bitcoiners who are mad that the sec didn't take harsher uh or uh didn't punish this uh block one harder um and so do we like you just alluded to there you don't want to see the sec coming you rather than have hands-off approach but can we let this the scammery go unchecked like did the sec just give a go-ahead for people to scam people out of a bunch of money i mean i i'm on like free

unregulated markets right so like i think both the sec and eos can go fuck themselves that's like my feeling here um i do think this was very much like a green light uh for all these guys and all these different token projects and stuff i mean that doesn't mean like the market will actually uh want to go in them uh and invest in them but in terms of government regulation we had this whole like for instance it confirms my belief with ethereum for like a lot of people are saying is ethereum security was ethereum so the interesting thing about here with eos is they also said in their findings that the original token was an erc20 token on ethereum and that was a security but when they switched over to like the eos main net

and you swapped your token for like actual eos tokens um then it was no longer a security so they're alluding to the fact that ethereum is a security securities offerings platform but like ethereum right was your original ethereum like ethereum pre-mine was on bitcoin well it wasn't But it was tied to Bitcoin keys and then you got main net. But anyway, my point is, is that you have this huge regulatory shadow on top of Ethereum. And a lot of people are saying, are they going to come down on them for securities regulations? It seems like even if they did, it would be like a tiny little slap on the wrist. But it cements my belief that what we are going to see for these centralized chains is we're going to see creeping KYC.

And they're just going to try and put KYC everywhere. So it'll be really hard to use those platforms without giving a ton of personal identifiable information. Yeah, so be aware. Be aware. It'll be interesting to see what happens after the announcement this week. And I believe there's a lawyer on Twitter.

I believe it's Lex underscore Node. Is that correct? Do you know who I'm talking about? I have no idea what you're talking about. Well, there's a lawyer on Twitter. He had a thread this morning basically diving into why the SEC did what it did and why the fine was $24 million in particular

and they didn't take down Block One and EOS altogether. Oh, wait, is this the guy who was like, I told you guys there was going to be this amount of money and now I'm right? Is it that guy? I don't think so. Maybe it was. I don't think so.

No, because he seemed a little dismayed that it was this late. You thought it was too low? Yeah, well, he said and basically came to find that the SEC's, again, this is all opinion and conjecture, I think, But the SEC's reasoning was that Block.One's investments and other companies that had sprawled in the wake of the EOS launch made the network too big to fail, if you will. There was too many entrenched people getting paid by companies building on this network that they felt if they were to bring it down, they would have harmed too many individuals. Yeah, I mean, it sounds vague as fuck to me, right? Like, ambiguous.

Yeah, exactly. and then so SIA also came to an agreement so SIA SIA is the ones who um run by obelisk they wanted to create their own ASICs correct yeah they wanted to create their own ASICs but their network is supposed to be like Dropbox with a blockchain yes right um so like you store files on other people's computers instead of like Dropbox's server they had a way smaller ICO it was like 600 000 or something like that right no i think it was 125k or something and they got punished way worse from a percentage um they have to pay 225 000 so not only do they have to give back basically all the money they raise in the ico

but they have to give back interest and fees on top of that yeah um interest and fines on top of that so they're not very consistent here um and who knows you know if eos raised even like a half of the amount of money they raised they could line a lot of pockets right and then but a lot of these a lot of these projects could no that was the other thing that some of the lawyers in the space were teasing out was uh the the ability for eos to pay the lawyers that they did and the connections that they had with the SEC via prior cases may have given Block.One some undue influence and really highlights the problem of regulatory capture

and the swinging door of regulators and lawyers in America in particular. Yeah, Ben Lossky, the creator of the BitLicense when he was the New York Department of Financial Services chair, is now on the board of Ripple. so there you go onto uh onto products that are imbue signal into the space and and aren't as noisy as these icos and stuff like that we mentioned it in the ad read earlier but earlier this week casa uh they enabled team signing for casa diamond members um so you'll be able to set

up multi-sig schemes uh on your mobile app that uh make it so if you're running a fund or a business and you want to move funds and you want to set up a scheme so that you need a certain amount of people to sign off on the movement of those funds, CASA is making that very easy. They announced that earlier this week again for their Diamond members. Yeah, up until this point, CASA was designed for a single person to be managing the whole process.

You've got one key to sign and then you've got another key to sign. But in this case, it'll allow you to just have a team member seamlessly like they log in with their account and just do their one key i've yet to test the feature out it does require the diamond which is their highest level which is like five thousand dollars a year um they which kind of makes sense because like i think it's like targeted more for like a hedge fund or something like that you know they're trying to custody like 40 million dollars 30 million dollars five thousand dollars is nothing they can have their whole team do it One interesting thing to note here is that this is one of the features

that Unchained has had for a while, which I thought made Unchained's product pretty awesome. Yeah, yeah. Optionality increases. And actually, speaking of optionality increases, this is something you don't have on the list that we were talking about this morning. I'm surprised you don't have the list. BitGo announced today that they're adding staking services for Dash and Algorand.

But Dash is not even staking. It's masternodes or whatever. Yeah. Is there a differentiation there? How did Biko get caught up in the Masternode scheme? That's what I want to know. I don't know. It's weird.

Can you describe the... Do you think they hold a lot of Dash? I don't know. Maybe. I don't know. So let's explain Dash. Let's explain Dash. For a lot of you newer freaks who probably don't understand what Dash is.

Dash was born as... It was Dark Coin, right? No, as X-Coin. X-Coin, yes. And then it had, at launch, there was like an Instamind, so it was a fast mine. It was a ninja Instamind. and they marketed that so many coins were going to be launched at the beginning, and then they did the launch, and they created like 500,000 more coins.

No, it was, I think it was 2 million coins. Maybe, it was an insane amount. It was, what happened was the difficulty had a bug, so the difficulty didn't readjust, right? And then, so then they fixed that, because it was, I think, a Litecoin fork. So it was a Litecoin fork, they call it Xcoin, it has this fast mind bug in the beginning this instant mind bug in the beginning and then they i guess they fixed that and then they changed their name to dark coin they add coin join features

uh basically like a worse version of wasabi um or samurai and then they rebranded because dark coin looked bad they rebranded to dash oh and they have this system in place where you can essentially stake coins you you take a thousand coins and you put it in a yeah so in the run-up run-up of the 2017 bull market like 2015 through 2000 beginning of 2018 like acquiring enough dash to to run a master node was a hot thing and people were like trading full master nodes on bitcoin talk and shit like that and they turned out to be terrible investments yeah um yeah like all the other shit coins too uh but uh yeah so now i guess so so the master nodes end up in a similar situation basically if you have a thousand dash you get paid reward uh just to sum

it up as quick as possible because i can't believe we're still talking about dash uh and now bitcode is going to run them for people so i'm assuming they're going to like pool funds together uh to get a master net and then do you know algo at all algorand is that just normal is that i don't even know what normal staking and normal staking isn't actually a term yeah i'm not sure i mean algorand is one of the vc coins one of the vc coins that launched and plummeted immediately a few weeks ago i believe or a month ago did it just launch it launched like within the last six weeks so anyway these are the first two they're offering and i can imagine they're gonna launch a whole shitcoin filled basket of things you can stake add it to the thread oh and also coinbase announced

did you see that like one and a half percent interest on usd coin yeah so anyway all these centralized parties are quickly entering the staking race um as predicted because people will always choose the a large amount of people will always choose the most convenient option and that's where we are today yes so be aware be aware these staking services are going to pop up they are popping up and they did proves or it doesn't prove it highlights what we think is a centralized uh centralizing force in proof of stake systems yeah proof of stake is inherently less permissionless and it is in it inherently becomes more centralized over time yes um um just a public service announcement out there to anybody using keybase there's a lot of a person

i and the impersonators out there these days so yeah be wary i specifically have someone out there maddie odell there's like four of them now uh that are using my my icon and instead of just mad odell they put a middle initial in the middle so matt p odell matt d odell maddie odell is there so just be aware then one nice thing about Keybase is that it's built around identities social signature so if you go there and my Twitter isn't

connected to that account then you know I mean I also have my PGP key there so if you guys want to verify that you can do that too but if my Twitter account isn't there then you know it's an impersonator so always check and me and Marty

will never ask you for money never and we will never you know we're never gonna dm you and ask you for money and we're never gonna dm you and tell you we're gonna give you money either so just keep that in mind as well that's a telltale sign yes yes if it seems too good to be true it probably is um that's all we got for this week dude what do you want to riff on i actually okay like don't crucify me on this one the brave browser is pretty dope i love the brave browser have you been using it yeah i use it for my bitcoin activities i use the brain you just don't activate the coin you can just not activate the coin on the top um it's surprisingly good it's really lightweight um it's nice that

it's got the built-in blockers all set up so you don't even have to install any other extensions um so i'm like just been using an extension list and it's been fantastic uh one interesting thing is did you notice that in the in the pri if you go to private window it has like a tour built in and you can just go private window with tour i did not realize that yeah that's pretty badass yeah it is uh and again i've been using it more and more recently trying to get away from chrome uh and it it's fast it's lightweight it and it just works it's good yeah so you can actually it's like pretty convenient if if a lot of people they don't want to you know open up a dedicated tour browser or whatnot uh to look up an address real quick you

can instead if you're using brave you can just like open a new private window with tour there's two options one is private window one is private window with tour and then you can just go to blockstream.info's tour address and you're good to go yeah nice and convenient be aware um you got anything for us i'm trying to think i'm trying to think i was really surprised by brave i actually because like fuck them for their shit coin i first i installed dissenter most people probably wouldn't realize this but dissenter onboarded me to brave because i tried to center which is gab's fork brave um and apple is censoring dissenter so not only do they not have any they're not only they're not allowed to sign it through apple system so it's like a

not okay app by apple standards uh they also don't allow auto updates so every time you re-update everything gets wiped i lost everything yeah i might have been able to not lose everything but i didn't feel like trying again because i had it like nice and set up like the way i liked it you know well i would see when i switched to brave i would like to see gab build out the center though and like why why are they getting censored so hard well see i've for the last five years or something i've been pure linux only so like all my other computers or linux and then gab is fine um i mean i was just using chromium before but now i've been using the center um but this new macbook i got uh apple has a stranglehold and i couldn't believe

i i couldn't believe that they make it so difficult to install i mean you have to just like right click and click open and stuff but they like make it scary to install apps that they have not improved yeah like bitcoin when you download when you download the bitcoin repository you have to go to your system preferences and allow it yeah or you can just go to find a right click open yes once right and then you're good i think so after you verify the keys yourself because apple's not verifying the keys yes and even if apple verified the keys you should still verify it yourself yeah and that that uh pgb tool that you shared gpg.org gbgtools.org that was really cool i'm gonna do a video on that real soon it'll be up soon all right well thank you for

doing the videos you've been crushing it i hope you freaks are liking the videos i'm gonna try and get in the mix again we've got yes we've got this new uh audio equipment trying to get more video equipment too we just want to make sure the quality is up to par up to snuff for you freaks let us know what you think about this new audio equipment it's sounding beautiful in my ears I know Matt's excited and I think we've tackled what that fuzzy was so we're good

yeah we're good there was one big one that I had to cut out I'm super excited I feel really professional right now I got this big stand I'm not holding my mic a lot of hand gestures a lot more inflection a lot freer here that's what we're here for

Bitcoin it's a freedom enabling technology We're just trying to get free people That's all we got for this week Cheers freaks Unless you got anything to say No stay humble stack sets Peace and love