The Canadian Bitcoiners Podcast - Bitcoin News With a Canadian Spin - The CBP #183 - Operation Chokepoint, Confidence Votes, Bitcoin Price Weakness (Bitcoin Podcast)

Episode Date: October 1, 2024

FRIENDS AND ENEMIES Join us for some QUALITY Bitcoin and economics talk, with a Canadian focus, every Monday at 7 PM EST. From a couple of Canucks who like to talk about how Bitcoin will impact Canada. As always, none of the info is financial advice. Website: ⁠www.CanadianBitcoiners.com ⁠Discord:   / discord   A part of the CBP Media Network: ⁠www.twitter.com/CBPMediaNetwork This show is sponsored by: easyDNS - ⁠⁠https://easydns.com/⁠⁠ EasyDNS is the best spot for Anycast DNS, domain name registrations, web and email services. They are fast, reliable and privacy focused. You can even pay for your services with Bitcoin! Apply coupon code 'CBPMEDIA' for 50% off initial purchase Bull Bitcoin - ⁠⁠https://mission.bullbitcoin.com/cbp⁠⁠ The CBP recommends Bull Bitcoin for all your BTC needs. There's never been a quicker, simpler, way to acquire Bitcoin. Use the link above for $20 bones, and take advantage of all Bull Bitcoin has to offer. D-Central Technologies - https://d-central.tech/ Your home for all things mining! Whether you need a new unit, a unit repaired, some support with software, or you want to start your own wife-friendly home mining operation, the guys at D-Central Tech are ready to help. With industry leading knowledge and expertise, let the D-Central team help you get started mining the hardest money on Earth.

Friends and enemies, welcome back. CBP, the mighty CBP. A podcast for you to listen to Monday nights live and listen to other times not live. My name is Joey. That's Len. Lots to talk about today. Prices down, Len. Doesn't matter. Vibes are high. Global liquidity maybe turning up. U.S. liquidity not so much. I see so many people talking about global m2 they have no idea that it doesn't matter only u.s liquidity matters anyway we'll get into all that but um they all matter it's it's something it all matters to uh yeah our our vibe how you doing over there what's going on yeah i'm great joy just great truth of reconciliation day today should i throw you some red meat or no i mean i have nothing to say about that uh

all the more power to everybody out there that's honoring it and uh it's good to honor it if you are and yeah fantastic it's a great that's it that's it i don't try to look at but yeah came out king of 94 actually this past weekend so i did my part joey i went to the third there's three different brackets the top tier mid-tier bottom tier round robin two and four went to the bottom tier um i lost so many matches two four those matches were either one goal or two goals so i hung in but i made it to the finals of the third tier and lost by one goal in the final so that's all right is that progress i think oh i proved myself i could hang with a lot of these folks out there there's one guy in particular nobody could hang with he's won it many many times and he's yesterday or two days ago he obviously slaughtered the competition but

for the rest i mean i could kind of hang with them i can't say i could win but i could you know hold my own and you know the two matches i lost i heavily outshot my opponent so it could have went my way too so i could have been for him too but either way look i look what i got for being in this constellation socks baby socks bring it on socks that's what i want man i love it there's a little trophy that the winner got the winner is god so man i missed that that's sick we uh we won our outdoor football championship on saturday um big game from yours truly in the rain and then uh yesterday i took a break from that championship to go celebrate the other championship we won a few weeks ago in the five on five league we're just lent cbp what are we we're winners that's all we do is win you know dj khaled is in shambles

even he doesn't win this much anyway we'll talk about uh what i got this box set i won too this uh the whole set of the opg 9293 cards you're not gonna open you're not gonna open that i hope i don't know i want to look through it and take a look at it i mean can i make a recommendation to you if you choose to open it go ahead you should you should record the pack openings and absolutely 100 people love that shit up i always i i am like such a good like conscious scroller of shorts content and I always always always stop

and watch the pack openings even for like old baseball players I'm always surprised by guys whose name names I know from from that era god that's cool I so want to get into sports cards collecting or like Pokemon card collecting or something there was a bunch we do is FLIR OPG is that the gum pack opg it i think it is and

there's no gum in this one because just the cards so it's not i have to break open a box and go through each one individually so there's no individual packs so it's a whole set yeah so you shouldn't open it don't open it yeah maybe not maybe i wouldn't do it it's a really cool prize either way a great time at the yeah 1994 it was a well attended cbc wrote an article about it um it was good times wow that's great um let's talk about tonight we'll get into uh all the stuff going on i see at dock worker strike hurricanes world war three the usual the sponsors of course happy to hear us talk about this easy dns mark is your friendly neighborhood registrar he's got everything you need okay from security locking you down with domain share we just learned about that last week

mark gave us a quick crash course quick it was about an hour long uh making sure that you don't get uh typo squatted spoof do you you name it? So many things can happen to you when you run a domain and Mark, make sure that you don't have to worry about it because what is a registrar there for, if not to protect you and make sure that your website is running well and secure. That's what he does. Uh, other domain providers do not do that. Other registrars not do that. Secondly, of course, virtual private service stuff. We've talked about this a lot. He's got you covered. If you're a Bitcoin or you want to do Bt pay server notes nasa relays all that good stuff he'll take care of you gpg and pgp email of course with your domain and the best thing is that you don't have

to buy your domain with mark if you don't want to you should you can port one over find one there we wanted to buy one or i wanted to buy one a little while ago for my sub stack i still have to do it but uh it's all the different suffixes like the finishers on the domain. So.com.ca.xyz.whatever. It's all available to you. And of course, money back guarantee. You don't like the service, whatever. Mark doesn't ask you when you got it. You don't have to call the service desk and fight with somebody about, uh, the quality and you just get your money back. And I guarantee you, Mark is not giving money back to a lot of people

because it's hard, first of all, not to like Mark, but hard not to like what they have at these DNS. They are the best registrar in the game. CBP Media is the code. Go there, get a website, all this stuff, and you won't regret it. I'll say that much. Joey, I'm looking at the price behind you

because that's going to be a little bit of what we talk about now which is bull bitcoin or second sponsor i didn't realize where we're at i know there was a pump this past week but i don't know what we saw today 63 000 so you go buy bitcoin at that price you can sell bitcoin at that price on chain lightning whatever you want i my node is being updated right now so i don't know what are the on-chain fees i suspect they're still kind of low which means i would suggest you know not financial advice of course do your all your buys on chain and then save those lightning purchases for another time but still learn how to use lightning but either way bull bitcoin has you covered when you're buying or selling using both

on chain and lightning also they provide some other services look you bought bitcoin for a long time right and you have a large stack of it. It's accumulated in price. What are you going to do with it? One of the options is you could start paying your bills with that. Why not? You have a car payment. You have electricity bill. Whatever the heck you have that has to be paid.

Well, you could sort of, well, you can directly use your Bitcoin to pay it through full Bitcoin service. Also, they have another option. You could buy gift cards. So you can start spending the Bitcoin that you've accumulated over the years and you can buy gift cards and start spending that in the real world. So you're kind of using your Bitcoin and living on a Bitcoin standard, but this is all through the help of Bull Bitcoin. Check them out. Lots of different options over there. Also, if you haven't yet opened an account, use our promo code below. What the heck are you doing? Not opening an account using our code?

You get $21 added to your account once you provide the necessary information. Joey, glory to you. You got to be buying now. Not financial advice, NFA as always. Third sponsor, Decentral Tech. Boys and girls, I guess. If you don't have a CBP bid axe on order, get one. Okay, 75 total made.

I don't know if there's any left, but if there is, go get one. Jonathan and the team at Decentral Tech, okay. Doing the Lord's work, home mining, critical. It is mission critical to make sure that HUD 8 and Riot and Hive and all these other industrial miners are not running the entire network. Why? They're a central point of failure, number one. They are more easy to impact through government influence, number two. And number three, you should be able to look cool mining at home instead of just them looking cool mining in the racks.

You can't beat the stuff that Decentral Tech has. You can get anything for your S9, S21, whatever, S19, miner. If you have that kind of hardware, they'll help you make sure that hardware stays running. They got repairs. They got new parts. They got all sorts of stuff. You can also, of course, like I mentioned, get into home mining with the BidX. Wife-friendly, quiet, looks cool.

Looks very cool. You can get a CBP one, as I mentioned as well. It looks even cooler. Of course, on top of that, Len, they have some other services. They've done some hosting. They'll help you with whatever you need. But the point really about Decentral Tech is that they're a Canadian company. They care about home mining. They understand that mining decentralization is critical to the Bitcoin mission, and they want to help you contribute

to that outcome. So go there. There's no promo code. Just tell Jonathan we sent you. Send him a tweet. Send him a message on Discord. Do whatever you want. But what we want here is for you guys to patronize them. And you've been doing it so far. I hope it continues because this is important, man. I got my CBP bid axe ordered. I said to someone in DMs, I'll mention this again this week, somebody asked me if we just get the bid axes, like the CBP bid axes for free. I said, no, we don't take anything for free, only t-shirts and hats. So we are on this ride with you guys as well. And I think it's going to go really well. And socks. Yeah. I think it's going to go really well. I can't wait. I actually saw my Kaboom Rack shirt in my old laundry, whatever, like dresser. I might bust

it out maybe for the gym or something get high on our hash i think it says on the back great slogan but uh yeah anyway that's great man yeah big all caps saying mine on ocean with datum that's brand new man we can talk about that tonight if we want i don't know if you got that in the list of stuff but got a lot of things to talk about may not have that on the time to do it let's get to the boost talk about some boosts before we go any further and wedge social wedge everybody knows way and wedge yeah yeah it's 113 sats he writes joey is correct you need six months of fiat to be ready the rest should all be in hard assets and he wrote this on nostre by the way so this came through nostre so pretty cool we're using that service to provide this boost. And he agrees with your sediment.

I appreciate that, Wedge. Keep eating chips, buddy. Wartime, 333 sats. He does a couple of beer mugs for cheers. Wartime does it again. 333 sats. Boost! With another couple of cheers. So he does it twice for 666 total sats.

Heist Night. That's right. Heist Night heist night 1000 sats he says you all talked me into getting a bid axe i now have a 10 000 year plan to hit a block what did we say last week is like 9600 years or something yeah because i provided that information and obviously that was a snapshot of at that time over time it gets worse and worse yeah but yeah solo mining it's cool your chances of getting it obviously slim to none but you have a chance you have a chance we gotta do it we gotta do a cbp pool we should do a cbp pool i don't know the chat talking about it right now i think we should do it i think it would be great. We'll have to talk to somebody that's running a pool.

We could sort of create one big. Apparently, you can do this with Datum. Datum will let you do this when it's open source, all Cap says. Okay. Yeah. We can always get Burnett. Your boy, Bob, can come on and talk to us about how to do it.

Yeah, right? I'll be happy to bring him on. Yeah. Talk about football, too. 1990s joe ronan he was two two two two sats he writes in enjoyed carrie's insights yeah joey great rip lfg don't be a cock carrie was great man uh i want to apologize we were a little late carrie specifically was like you know i've been in tech a long time i should have been able to figure this out it's like a weird update he did and it turfed his his tech for a bit but uh he got it going and uh i think he he he wants to have me

on his show too he's a busy guy and he's had some big guests as well so i would be honored to be on that program but i really enjoyed talking to him and i spoke to him for a bit after he's he's a good guy man he's he's a guy that's come from the metal side like many others and although he's not exclusively bitcoin now he understands the value prop which is great to see um really enjoyed talking to him and that's it joey for the uh the boost i don't have anything else to write love it uh okay so yeah housekeeping So yeah. Housekeeping tomorrow, David St. Ange coming on Quebec legend in the Bitcoin space. We're going to be talking about a lot of stuff.

He, I want to, I'll shout him out. It's very rare that I speak to the guests that we're having any time before the show, basically. Like we booked them usually three weeks out. That's about the sweet spot for this show um which can be difficult sometimes but it's better for us even though it takes a little it's like stressful sometimes i think alan but uh dave messaged me today and asked if we had like topics he sent me a like presentations he's done he even sent me a folder with pictures of them to use for the thumbnail how about that is that like not one of the greatest uh guest um you know the

the polite guest move i we know we almost never have that you and me are always hunting for thumbnails for the guests google's my friend for that and also x and just go through either x or twitter or google yeah so my apologies for anybody out there that's been an issue that's where i get them from not many options yeah it's gonna be fun it'll be fun talking to him tomorrow so tune in for that one uh that's it though let's get into it we're three minutes earlier than we usually are we usually 16 minutes of intro today only 13 so let's hit it all right swan there's been some interesting news that came out of the swan camp this past week is they they filed a lawsuit against several of their former employees and the

gist of it is the group of folks uh you know they're working now in collaboration with an arm's length of tether it looks like and the whole thing is they may have allegedly have stolen some of swan's mining business the question is some of Swan's mining business. The question is, how can somebody steal mining business? You know, it's just, you know,

kind of decentralized, you know, anyone could spin up something. The more, the more ASICs you have, the more. Can anybody spin it up? I'm not sure you can spin one up. We've talked,

the hardware is a problem now. It's a, that's an issue. Yeah. Yeah. I mean, we could get bid axes and you're good to go. Anyway,

this is a group of six individuals we're talking about. And the thing which apparently they have stolen and taken with them to proton management, this is a company that's, they are now associated with it. So apparently this highly proprietary code and this would make mining more efficient. So Swan apparently had cracked the safe here and figure out that and got this highly proprietary code to make mining more efficient.

And so now the beneficiary of this is now proton management, at least allegedly. So I did some searching. I could not find anything to do with proton management. The Bitcoin company, the Bitcoin mining company. I was able to find protonon Management or ProtonManage.com. That's a different thing. But ProtonManagement.com only has a landing page, nothing else. I didn't know who is on it.

Yields absolutely nothing. So I can't find who's behind this. Apparently, this is somehow associated with Tether. But either way, this being a Bitcoin mining company, I don't know i i scoured as much as i can i found nothing but doesn't mean anything in the end there could be something under that name so the question i have is what the fuck is proton management i don't know either way in august so it all stems from august this group of employees abruptly left swan so they were working for swan up until august early august and then they left and they joined almost instantaneously simultaneously joined

proton management company now a question i i have when anybody signs on a contract with a company isn't there some sort of nda or non-compete you typically sign with when you sign on with a company like that's what i would imagine they should have had this is something that's one just overlooked and if so then this is unfortunately what's going to happen proprietary info secret info about the company like what are they taking here that's going to make proton management much better a bitcoin mining than anybody else. I don't know. But, you know, maybe there's something to it.

We got to let this whole thing play out. There's a connection here to Tether between not just proton management, but also Tether was involved with funding Swan's Bitcoin mining operation. We talked about this. We talked about this on the show. And people said that we were nuts for bringing this up and clearly we were not well the question i have if they're one of the funders funding companies of this mining operation that swan had wouldn't they want it to succeed and if so then wouldn't then they want these individuals to stay there and

not steal the code just there's something here that just doesn't make sense to me i don't have all the information and it may not be the sharpest knife in the drawer but still a lot here i can't fucking connect and i guess in time we will be able to connect some of these dots so if i had access to highly proprietary code that makes stuff really mining more efficient would i risk my neck to take that to go somewhere else i could tell you like no i wouldn't it makes no sense but why would six individuals do that there's got to be a better way to get this out like maybe they could have been blackmailed and threatened to send a explosive message to their pagers maybe that we could have got the information out of them rather than just simply detract them and make them go to Swan's company

or this Proton Management. But even with the new code, spinning up a new Bitcoin mining operation is going to take a heck of a lot of time and effort. Granted, Tether did say that they are going to be doing some mining back in 2023. So it's been a year and a half since they started this but still capex operational expenses is high it's a cut through business yeah can they really take any information and make their business any better like proton

management i don't know but remember that these guys i mentioned left in august there's something here that doesn't pass a sniff test for me they left left in August. It was in July that Swan said they're going to be stopping their Bitcoin mining. Why would they stick around? It doesn't make sense. If they were doing stuff related to mining and they aren't going to be moving forward with anything with mining, it doesn't make sense for them to stay there. So that kind of makes sense why they would have left but again nda or non-compete there's got to be something in there

that would have been in a contract just something just doesn't seem right interestingly enough heather was not named in the lawsuit it was just these six individuals but then we had this redacted information that's fucked up that you could kind of see the names because they use a marker that didn't quite truly hide all the information. So there's so much here that just reeks. And I don't know what the fuck's going to happen from this, but it's just it seems like it's another black eyed swan. And it just almost looks like sour grapes in a way. Is there anything to this did they really take information with them i don't know we'll find out but even if they did is that really gonna put

swan's mining business in a bad footing again i don't know like this is just it's fucked up this information there's a story on the miner mag that claims to have all the redacted stuff. And the subheading says, here's what's won Bitcoin redacted in mining lawsuit involving Tether. The subheading is Tether controls the board of directors of mining JV Energy 2040. So that's significant, I think. And I haven't read this whole story. It's got the full sort of thing here. Some rather important stuff. Here's a the full sort of thing here um some rather some rather

important stuff like here's a couple of examples of redacted stuff i'm going to share the page actually for people on video so that um if you want to read it yourself you can i also put it in the youtube chat so if people want to see it they can do that it's um you know i don't know if it's damning len but it's it's you but there's more to this, I think. Tether funded 2040 Energy and controlled 2040 Energy's board of directors. Clipston served as Swan's sole director on the board of 2040, and Tether CFO Giancarlo Devesini, good Italian guy there, and another guy who sounds like he could be a medieval composer,

the former CEO of Tether and current CEO of Tether's sister company, Bifinex, serves as Tether's director on the board. So you got the Bifinex CEO, who's a former Tether guy, the Tether CFO, and they're both on this board for 2040 Energy. And 2040 Energy is basically Tether. Tether controls the board of directors for JV Energy 2040. And they were running Swan's day-to-day mining operation. Tether might not be named in the suit, but they ought to be, I think. other things um on august 14 2024 tether's council responded to swan's letter requesting the swan provide information concerning specific steps proposed to be undertaken by swan to ensure that the business of 2040 energy continues to be conducted as contemplated by the shareholders agreement again like tether tether is running the show over there. I don't know how else you would see this.

Another good example here. Tether's counsel proposed the written solutions of the board of directors of 2040 Energy related to a Bitcoin wallet contract, nominally asking for Clipson's review and approval as a director, among other things. The resolutions falsely represented that on August 19th, 2024, Swan proclaimed that had resigned from its responsibilities for day-to-day operations over 2040, notwithstanding the shareholder's agreement, among other things here. This is worth a read. This is from today. So the redacted information, these guys at Minermag are saying

they have it all here. Maybe they do, maybe they don't. But to me, this all looks pretty good in terms of like its accuracy. But there's more to this story don't you think yes yeah the fact that they didn't name tether uh do you think that was uh purposely so they don't anger anybody over there i don't know just don't ruffle feathers because it's going after proton management i think does but without specifically naming them or at least i don't

know there's something here. It stinks. Everything Tether is into stinks. And I want to point out that Mark Goodwin, formerly of Bitcoin Magazine, been on the show a couple of times, points this out in his book, The Bitcoin Dollar, which I need to go through again. I want to also point out that some of the smartest people in the business, specifically in this case, Pish and Saifedean, had a little tête-à-tête with Mark on Twitter. Mark points out that he doesn't think those guys really understand how bad Tether is. For all the positives that you hear, both those guys have had the Tether CEO, Paulo, on their show.

They also seem to be unwilling to say anything really bad about Tether. Maybe that's something. Maybe it's not. I don't know. Tether also, we've talked about this before. They're the, I think, ninth or 11th or something. They're top 20, top 15 maybe, of holders of US Treasury notes in the world, including nation states. They're going to, at some point, hold $100 billion worth of these things in the not too distant future.

They're using the interest on the notes to buy Bitcoin, Paulo says. That seems to me to be too- And some gold. What's that? I believe that there's some gold too they're purchasing as well. Whatever. But the point is that it's hard for me- But they're purchasing free money. Yeah. It's hard for me to be too. What's that? I believe that there's some gold too they're purchasing as well. Whatever. But the point is that it's hard for me. Free money.

Yeah. And it's hard for me to imagine that the US government is willing to sit back and watch this happen. None of these, these are unrelated stories, sort of thematically, but there's a thread between these things. Why does everything these guys do have to be squinted at, right? It always has just a bit of a stink. And, you know, so far there hasn't been any smoking gun,

but, you know, I would just, my instincts, my intuition tells me something is going on here that is not good for Bitcoin. And you may not like Swan. Hell, you may not even like Corey. I was going to suggest that maybe the six people who try to take the mining, the proprietary stuff, maybe just didn't like Corey. I think that's possible too. But that's tert the, the tether thing. The tether thing is the central thing here, I think. And, uh, I kind of want to, I got half a mind to call Mark and tell him I want to talk about this with him on the show. Um,

because I think he'd have some insight that I just don't have. And I, I, you know, I wonder if you'd be willing to do it. I think it's important. And, um, it's something going on here, man, with this company. Something is afoot, I think. It's a safe bet. I'll be

honest. I don't think I'm in that camp where something is. I just think they're doing what it is they're doing. You think the US government is letting a Bitcoin company buy US treasuries to the tune of a major nation state and use all the proceeds to attack the U.S. dollar hegemony? I believe that's the case. And eventually that may stop.

I've hypothesized that there may be a time when this may come to an end. The U.S., they're hungry for selling treasuries remember they at one time they didn't have anybody it was quantitative easing it was the central bank it was the federal reserve buying this up so if they found a buyer i'm sure they're more than happy to sell it at market value it doesn't matter who's buying it it's not and it's not within you know their um i think it does matter i think yeah exactly. They're not going to sell to North Korea, for instance. Russia. I think right now they're kind of,

they're leaning every day closer to being adversarial force. One thing I have always thought, and maybe I'm barking up the wrong tree here, but I think that they will eventually make everything they have null and void. The Federal Reserve probably has the ability to do that.'ve done that already yeah they've with with russia right and they could do the same thing with these guys and if that happens this thing collapses because it has absolutely nothing else to back it aside from the treasuries in which they own and the bitcoin that they also have but it's not gonna be enough to so that's the one thing i feel if

there's ever gonna be quote unquote an attack by the either the treasury department or federal reserve and saying we don't want to deal with these guys we're going to just basically cancel everything then what happens at that point there's gonna if something happens to tether the price of bitcoin you can fucking bet it's going to tank is it going to go ten thousand dollars less twenty thousand or fifty thousand i don't know what that'd be a ninety percent drawdown but it's gonna recover i don't know but it'd be pretty bad there's gonna be a huge fucking drawdown yeah it may not happen immediately it could be just because there will be collateral

damage if something happens really bad at tether what other company that is strongly associated with tether then falls down just like when we had ftx fall and we had uh gosh if i uh voyager digital and a bunch of other companies in 2022 collapse because it was just domino effect my thing might happen again i'm not saying it will just it's possible yeah i want to point out that Tether actually already has more than $100 billion in treasuries. That's a ton. If they are up front, they found a cheat code

here. If everything is above board, they found a cheat code until it's no longer applicable i don't think it's i i think there's a real problem here i honestly do like i just don't yeah yeah and i've been seeing this for some time there's something's gonna happen with heather when it does you know um but it's it's not gonna be anybody else i think other than the treasury department or the Federal Reserve

that's going to make that call. I don't think anything else is going to make them fall. I don't think there's going to be a catastrophic event. They've had massive drawdowns in their reserves. There's been a few events, and they were able to withstand that. Remember when... Was it Circle? USDC that was kind of de-pegging at one point yeah but it didn't

yeah but tether never really did tether's always teetering uh around a dollar yeah it never really goes anywhere i mean there's there's so much commentary over the years about like the legitimacy of tether and whether usdt is actually where all the Bitcoin volume and price pressure is coming from. Doonberg was on this show two years ago at this point, talking about exactly that. And at the time, I didn't really have a rebuttal. I wasn't in the camp that I'm in now, where I think that they're legitimately an arm of the government. And I think Doonberg for all the things he gets right, he doesn't have a smoking gun either, right? This is the thing.

No one has the hard evidence. And Paulo is polished on these podcasts. He's doing, you know, as Boomer points out in the chat, actually, he's rolling short-term treasuries maybe to avoid this potential rug pull by the government. But I just – it doesn't make a lot of sense to me. He goes on the podcast and says – Preston Pysh talks about this all the time.

Like, oh, Paulo is so smart. He doesn't do any long-term stuff. He can't – no, you could never force me to take the risk of buying long-term paper because of the interest rates but it's i actually think he's not buying long-term paper for a different reason and i think it's either because the government won't let him uh or because he knows like i i just i gotta think this through more because like i'm just kind of rambling here because my my mind is racing but i i don't i don't think there's i don't think this through more because I'm just kind of rambling here because my mind is racing. But I don't think this story of a swan is done. And I don't think that Tether is going to be this shining beacon of speculative attack against the dollar for too much longer.

What is the plan when, let's say Harris wins in November. I think she will win in November. Let's say she wins. Is her administration going to allow this to continue? When you just saw, you know, Nick Carter's Operation Chokepoint thing come true with the Silvergate bank stuff. He wrote this great piece. It's on Zero Hedge and it's on his website. It's on PirateWires. These people hate Bitcoin. And Elizabeth Warren and Gensler and a few other people put pressure and had basically unwritten rules applied to crypto banks during the breakdown

of those institutions a year ago, I guess, March 22, whatever that was, whenever that was. These guys put so much pressure on those banks and basically destroyed them, even though they were solvent, because they told them, look, we're not going to work with you anymore if you don't do this stuff. It's hard for me to believe that the government is just letting Tether, with basically its other hand, run this attack. How does that add up?

It just doesn't. It doesn't make sense. And I think there's a lot of people who are saying, you know, Tether is an independent company. You know, like you said, I think a lot of people say they found this this cheat code, but there are no cheat codes. How many times have we seen the government change their rules on a whim, on a dime, basically outside of process and procedure? And in the case of the Silvergate thing, as Nick points out, without even writing them down, just like a phone call saying, look, if you don't do this, we're going to shut you down. I don't think they're doing it with tether.

They're not going to let this happen. And Swan, Len, it's almost like, it feels like they got into bed with the mafia a little bit. Doesn't it? They just take it personally. They're shrewd man big time you gave up you gave one scenario yeah uh harris winning president the other scenario because there really is only two at this particular moment yes it's trump winning so and then tether us by world fi liberty coin

with their uh proceeds instead of uh bitcoin well would then a trump administration also stand by and do absolutely nothing he's what is heather doing they're creating a product that is on par on paper with u.s dollar but it's operating outside the realm of the u.s dollar if you want to send money through the swiftIFT system or through what other centralized system that deals with banks, be it central or commercial, they have the ability to direct or say, yes, it can go there

or no, it can't go there. And that's with their own US dollar. But with USDT, they don't have that ability to stop and say, no, it can't go to this corporation or this country or wherever. So they're losing that battle in that respect. It is a competing product of a shit coin.

There's something else we also have to recognize is it is a shit coin. It is a one-to-one peg to the US dollar, which I don't give a shit what anybody says is a shit coin it's going to be printed to infinity there's no way to determine how many are circulation it checks all the boxes of being a shit coin so i kind of hope one day tether does fail it's probably going to be better for bitcoin in the long run but if it happens or doesn't happen, to be honest, it's outside my control. Bitcoin is going to win either way with Heather being there or not being there.

Bitcoin is going to win. Yeah, that's the way I see it. Yeah. Boomer pointing out that the government would want Tether to buy longer term. You're right. I made a mistake there when I was speaking. I, I, I just, I have to think this through more. I got, I got to talk to Mark. I got to talk to Mark about this and find out what he thinks. He's, he's the right guy to ask.

He's not afraid to talk to the, you know, biggest names in the space and tell them why he thinks they're wrong. And that's, that's a guy you want to, that's a guy you want to be talking to. Well, Bitcoin,

let's move on. She's 35 minutes in one topic. bitcoin had a bump this past week a little bit of a pump yeah big pump depending on which why you look at it and like clockwork coinbase went offline september 26 coinbase was out there was an outage over there why inept i guess yeah i don't think they're doing this on purpose there's no fucking way anybody would want to do this on purpose they want to be available at that particular moment they try to capture as much of the the market share as possible then enough as much volume people want to buy and maybe sell so they would want to be there but there's something

like they just don't have the systems available to deal when there's a ramp up in volume i can't believe it's like that but they just to date every time we've had a ramp up they've always fucking went out for a brief period of time and not only that people are still experiencing delays with getting their funds off coinbase people have purchased bitcoin and i guess shit coins but i could say specifically bitcoin that was the post i've seen they bought bitcoin in the past few days after this outage and they're having trouble getting their bitcoin out to their own wallets that's crazy why is that this is another example why people out there should avoid using custodial exchanges by doing so you're just adding another layer of problems which you don't need

don't let them hold on to your fucking bitcoin you buy have it sent directly to your fucking address that's the way to do it well bitcoin that's a good one to use i totally agree canada of course yeah but yeah that's uh i'm not sure if you want to add anything to this. When the fucking Coinbase again went down, this is just sheer nept. That's what it is. I can't really comment on it. It's whatever. It happens every time. It's a rite of passage, I think, for the bull runs.

By the way, there was no really huge spike where they should have gone down, right? They go down on 10% up days, but this was kind of a gradual move, and then they just blacked out. Like, okay, sure, I guess. We need Brian Armstrong to get to a 225-pound squat. That's what we need. Zuckerberg has completely changed his mindset, and we need Brian Armstrong to do the same.

That's what we need here. So Zuck is now into glasses. I'm not sure if you saw that. I saw. I did, yeah. So if you think there's some meat on this bone that could be chewed, that's going to be the next big thing and it's going to replace phones as a way to communicate with the internet. We'll see.

Phones are such a natural thing now. I don't know. Maybe. You're going to wear glasses that augment. i can't picture myself doing that so then it don't matter if he squats 225 he said he's gonna be at that point over two or over three if you want to think facebook has been a failure as well yeah because uh that the they changed name to meta for the purpose of what? For becoming more... Never forget the Metaverse shareholder video. Remember that with like the...

With Zuckerberg. Yeah. So bad. Yeah. It was like the Decentraland videos from two, three years ago. Yeah. That shit show. Bringing some classic memories.

Oh, I got some real estate in Decentraland. Oh, that's good for you. That's good. I'm buying. Lock in 30-year mortgage. BNY Mellon. You heard about these guys, right? Yeah.

Oh, yeah. America's oldest bank, right? They're going to be taking or going to be trying to take a bite out of Coinbase's custodial business, be a Bitcoin custodial business, because they got approved this past week by the SEC, no less, to move forward to provide custodial services for Bitcoin and Chikwins. And they are a name. They're more recognized and a trusted name in the world of finance than, say, Coinbase is. For sure. Try to find this. Yeah. trusted name in the world of finance and say coinbase is for sure try this yeah so this might

in some way end up taking away some of the business from coinbase for custodial um not only are they going to be custodian doing custodial services for clients but also for bitcoin etfs so to potentially well the etfs could be a very very big thing or maybe clients are going to be bigger than two we'll see over time and so this could be pretty lucrative especially joey let's be honest are they gonna start doing fractional reserve bitcoin if they're doing it with fiat why don't they do this the same thing with bitcoin then that becomes fucking a problem later on would you trust them to hold on to your bitcoin i'll be honest no fucking way for me all the more reason for you to hold on to your own keys and i guess that one other thing is i i have to ask how are they going to be holding this i mean multi say who the fuck

holds the keys what sort of security are going to be providing to ensure that there is no rug pull in the future but whatever just another service that i am not going to be using and i'm not going to recommend anybody to be using it's it's important that they do it though and uh you know we may disagree on this i should i don't think we disagree like it's obviously suboptimal to have someone else hold your bitcoin regardless of who that other person institution whatever is whether it's coinbase whether it's an etf whether it's a bank, doesn't matter. The thing is that you're going to see as older people with more assets in the traditional world and more trust in traditional institutions like banks want to get into Bitcoin, they're just never going to go to Coinbase. They're never going to do it.

These are the same people that don't send e-transfers, that still go to the branch to talk to a teller, that care about this sort of white glove feel of a traditional bank compared to Coinbase or anything really, like any Bitcoin exchange, even like a bank like Tangerine, right? That's like purely online. To get those people into Bitcoin, if they don't want the ETF, you need to have some custody option. And I think people will appreciate that about a bank. There's also some subsection of the Bitcoin space that just doesn't want to do self-custody. Like, Unchained has a custody solution.A, obviously a custody solution. There's a few others out there too that do this. And those are geared toward people who are in the space, people like you and me. And they seem to be doing fairly well. Unchained specifically seems to be doing very well.

So people want this service. Whether they should want it or not is a completely different story, a different question that you and me probably both agree on. You should just learn how to do custody yourself. It's not that hard. But there's a demand for this. And I think you're going to see people who, like I said, who want to get into Bitcoin, but don't want to deal with the custody. They'll do it through means like this. Now, here's a question for you. How big is this market, really? We've talked about this with SB, about how much does coinbase make on custody there's a story on yahoo finance that talks about this per bloomberg estimates the crypto custody market is worth roughly 300 million and growing at an annual rate

of 30 percent 30 percent a year this year or, 130 million a year after, whatever it is. Yeah, yeah. Pretty good. So is that a market you'd want to get into? I think so. Isn't it more likely that you see more banks doing this and eating share from Coinbase than Coinbase breaking into traditional finance?

It's like a one-way gate almost, right? Coinbase is just never going to win over those people. But the bank offering Bitcoin services, I think that's a winning business model. It's a winning strategy for those businesses. And I just don't see those people ever going in a different direction. If they don't want to do self-custody, they're not going to use CASA, they're not going to use Unchained. Where are they going to go? They're going to go to the bank.

That's a smart play by BNY. And like you said, they're the oldest institution in the country when it comes to banking. I like this, honestly. And I think the one thing you and me may disagree on is how much time and energy should we put into trying to drag people into the self-custody world. I would say new Bitcoiners should look at that first, but there's a whole separate group of new Bitcoiners who are over 55, 60 that maybe are just like, nah, I want the bank to do it. This is super risky in my view, not just because we don't know the details of the custody solution yet. That's one piece, obviously. But banks are a government institution. They're going to give up your Bitcoin if push comes to shove. And what's the old saying, man? Not your keys, not your coin. There's risks in doing this stuff. Now, maybe you're not worried about it if

you're a boomer, right? You're probably the same kind of person who says, who needs privacy if you're not breaking the law? But it's an interesting change. It's a pivot, right? How long until we see a Canadian bank doing this? Good question. I can't even come up with an answer because it would be dependent on how soon to get the ball rolling to get their application in. They'd have to get the powers that be given the blessing just like the SEC did. They don't have to. The banks here don't have that problem. When the banks want something here, they get it.

There's no questions from regulators or anything like that. When the banks want something, they get it. When they want something stopped, they get that too. And in the States, they don't have that same type of power. It's not the same oligopoly that it is here, right? You know, here we have basically the big four plus a few auxiliary chartered banks. And over there there's, you know, hundreds, if not more, if not, if not thousands of different banks. The first bank of two Hills, Alberta is getting bigger and bigger by the day, so maybe that's going to be included in the big four.

Maybe. The one thing that really I'm concerned about is will they ever do fractional reserve Bitcoin? Caitlin Long thinks they will. She was on Marty's show and thinks that that's going to be a problem. That's going to be what blows up one of these banks at some point, that they'll think they can do it, and there's no bailout there's no fixed the assets impossible

to produce yeah and we were talking last week about yield on bitcoin and i fear maybe you're gonna have a bank come up with a product that's gonna offer yield we have a savings account with bitcoin you put it in and you're gonna get you know a certain percentage over the year but where the fuck does it come from it probably will come from somebody else's account and then eventually how does this get it's going to be uh just something that will collapse in the end and now that we have them the oldest bank they filed the application the sec were granted how many others are going to do the same thing because they're not going to sit idly by and let that type of absolutely not absolutely exactly they want to

capture that same market share as well so this is going to be a domino effect you're going to see every other big bank and small and medium size do the exact same thing and then then when we have fractional reserve bitcoin and that system from a smaller bank that then gets there's um there's a run on capital over there then it's going to be fun to watch totally but whatever uh see bloomberg is reporting that on x that blackrock is running their own bitcoin node i found this to be pretty funny. They're also sharing wallet balances and addresses with institutional clients upon request. So they're doing this because, remember, two or three weeks ago, provide information and verify to their customers that Coinbase has done things correctly. So the iBit ETF, it's provable evidence that they have the corn that it is that they say they have it.

The question now I have, I would love to know the answer to this. What version are they running? Are they running Bitcoin Core? Are they running Nauts? I'm fucking willing to bet. I'm fucking willing to bet money. It's got to be something like Umbrell. If BlackRock's doing anything, I'm fucking positive they've got an Umbrell thing.

It's got to be that. And it'd be fucking funny. But it's better than nothing, I guess. I like this. you must love this do you not well the fact that they're running a node yeah like it's it BlackRock has more nodes running than I do

BlackRock has more nodes running than I do right now apparently so I'm gonna get you fuck Joey I got a laptop here you could fucking have we could set you up but they don't even even they don't fucking trust they verify even they don't fucking trust they verify blackrock don't fucking trust everybody should do the fucking same thing you too joey let's get you on i gotta i know i know i'll set it up for you i'll even plug it in

the way you go you don't have to do a thing if that's omnipotence for uh if you gotta point your fucking sparrow and shit to it there's some things you gotta do but i'll take you nine tenths of the way yeah boomer in the chat asking you a question who's the known bitcoiner working at blackrock that they're doing this they must have hired somebody must have it's got to be someone we've heard of right blackrock doesn't hire anybody no who is somebody is probably a double agent. Who here? Maybe somebody in the chat. Got to find out. That person, ABC212.

I don't recall seeing him before. Me neither. Maybe he or she might be it. Anyways, CK Pool. Not sure if you have. We've talked about them before. they're relatively popular solo bitcoin mining pool and in fact some solo bitcoin mining enthusiasts actually were able to find a block using ck pool solo someone now noted this past week they're now charging solo folks a 20 000 sat annual fee just

to view your stats what the fuck is this just to view your stats ck pool dev on x mentioned that the website solo.ckpool.org was being maintained by a third party entity and they are the ones that put up this fee so it wasn't at the blessing of ck pool dev they did it on their own volition and just by seeing this it's kind of shitty to me and i would encourage folks out there if you want to be a solo miner look at other options rather than going ahead and paying the 20 000 sat annual if you just look at your stats because solo white coin mining to be honest is 99.999 percent not profitable maybe add a bunch of nines it's probably truthful but look at other options

public dash pool is one that i know that decentral tech talks about fondly another one is kano.is k-a-n-o.is that's another one those are two that i could say that they're not going to charge you for reviewing your stats but looking at this it's kind of shitty i understand why it's done it was a third party was maintaining it but come on man 20 000 stats it's pretty fucking it's like cash grab or sats grab in this case they say it's not for profit but it's just you don't need it you know you don't you don't need it don't do it just use one of these other pools. Use the CBP pool when we spin it up. This is stupid, dumb. Everyone's trying to get your stats, buddy. This is the thing that happens in bull markets. Everybody wants a bit of your stack and they're going to get it however they think they can.

Collaborative custody or convenience services or whatever. They're going to try and get your Bitcoin somehow. And it's up to you not to get fooled. The scams are always different, right? It's NFTs. It's whatever, right? Everyone is trying to get your Satoshis to bring up bull market. Yeah, whatever.

Whatever it is, right? Or like airdrops. Famously, there was uh you know the years ago and they still do it sometimes i see like these videos of like ai elon or ai sailor talking about you know send us bitcoin we'll send you more back crazy i have a friend of a friend who i've like had beers with sent my buddy a text message like yo have you seen this elon is on youtube right now saying that if you send him like 0.5 bitcoin he'll send you one bitcoin back he's like looks like a scam but it's elon like how can it be a scam people are so dumb and then you wonder like why people pay the 20 000 or two

percent or whatever to it's just man come on it's vintage vintage stuff here it's working and 100 it will it will work yeah using ai to their advantage and i can't believe youtube lets that shit go on because it's youtube is the one that's probably ban you they'll ban you or demonetize you for mentioning vaccines but elon can ai elon can get up there and spit fire and steal from people for you know six hours at a time in a fake live stream it's unreal youtube is a joke you're jokes youtube tor and tails os they have joined forces this past week it was an announcement that came out that they have merged operations and uh tor and tails os tor is used quite often by a lot of bitcoiners and Tails too, I would suspect too. Tails is an OS you can just put on a thumb drive, I think, right? It's like a self-wiping.

Yeah, exactly that. Although there are options on there that you could maintain stuff when you close it, so it won't delete everything. So if you want to keep some information on there, it gives you the ability to do that. Or you can just wipe it on totality. And every time you turn on it's a brand new rendition so everything is safe it's a really cool system but tails has gotten to the point it's very difficult to maintain and managing it is just too difficult for the tails team and so they approached tor in not too distant past and suggested well let's get together we can leverage tor's operational capacity to absorb tails and you know this will be all the better and on the surface i guess this looks good because And suggested, well, let's get together. We can leverage Tor's operational capacity to absorb Tails.

And, you know, this will be all the better. And on the surface, I guess this looks good. Because then you'll have collaboration between the two, these two products. There's a lot of overlap or some overlap between the two. Because Tails does use Tor when you use it. And the people that use one will probably use the other as well. But in one sense, though, I will say that I don't like it. Because it kind of seems like it's centralization in a way.

You're kind of having two products which were separate and unique. Now it's going to be done under one entity. Granted, it's going to be open source and everything. But still, in a way, it's kind of centralizing, kind of, you could say. But this is just more of a heads up that weren't anything else tails and uh tor there are going to be one entity moving forward i'm not sure how it's going to change anything with the the look and feel of anything but the same folks are going to be maintaining both which is interesting yeah i i think it's uh it's important that these services

stay running so i'm glad that um tails you know didn't just abandon the product i think it's important that these services stay running. So I'm glad that, um, tails, you know, it didn't just abandon the product. I think it's open source anyways, if I remember correctly. So yeah, yeah. So you can, if you're, if you're competent,

you can go to, you know, the tails code and do whatever you want with it. But, um, it'd be nice, uh, to have like a few of these companies collaborate on some of these,

I guess you'd call them privacy tools, maybe anonymity tools as well. Um, some kind of consortium of companies that are working together to make sure their products work seamlessly and you can get them all in one place and blah, blah, blah, and verify the code for your stuff. What else would you put on that list? Tails is a great one, although it's extremely inconvenient for the average user if you have a machine that you just want to be private that's like as good as it gets uh tour obviously has a ton of benefits we know that what else would you put on there signal maybe but you're not going to add it to tails because it's going to wipe all that no you wouldn't you wouldn't yeah so what else would you throw on that list? I like Signal.

I like Signal. Signal's really good, but we talked offline. There may be a reason why people would not want to use it. I'm not trying to throw shade on it. Just, man, oh, man, there's encroachment everywhere on privacy. This is why you Bitcoin, man, because the encroachment's going to come faster and faster. And Bitcoin, for all the black pills we talk about on this show, Bitcoin for me in the last like week or so, I've really been thinking a lot. Just, it's, this is like

beacon of like hope. You don't have to worry about someone controlling your money, controlling your transactions, uh, stopping you from conducting business. They don't like, you know, short of someone coming to your house with a gun, which doesn't scale, we've talked about that, even though the chilling effect is a little bit scary, enforcement doesn't scale. And I think that Bitcoiners have understood this for a long time sort of implicitly, if not explicitly, that having this other tool's just so difficult to stop. And it's this incredible thing that it forces governments to at least slow their roll, as the kids say, when it comes to the constant creeping of just insane oversight. And I really think if you don't have it by now, man, you're going to figure it out the

hard way at this point because all this stuff is happening so fast. Everything we do, Len, is just monitored, watched, gathered, data mined, used against you for everything from legal action to forcing you into buying trinkets on Amazon. Literally everything you do. And Bitcoin is the only thing that's just this pure network money, stateless asset, no counterparty, yours to control. It's beautiful, man. And I said this so many times, Bitcoin could stall out right now in terms of hardware or in terms of software, I should say. And you'd never have to worry about it because the other side of the equation is just accelerating to the downside so quickly that everyone is going to figure this out at some point.

And by the way, people who don't own Bitcoin, I would guess like 85% of them have actually figured it out already, but can't get past the sunk cost and the reputational damage they would take in their friend group or professionally or whatever and just buy some and start you know supporting it outright um i think everyone gets why bitcoin is going to work and they're just afraid to do it because they just would feel stupid talk about a mistake man with all this other stuff going on it's it's it's good to be a bitcoiner it is good to be a bitcoiner and where you should not buy your bitcoin is bit by because apparently this there's a security flaw as per a poster on the bitcoin ca subreddit and he was saying that there is a client side glitch with a bit by and the issue was related how the user information was stored and transferred between the front end that's what the user by and the issue was related how the user information was stored and transferred between the front end that's what the user sees and the back end that's what the server handles and the

problem stems that it can be improperly handled and how it does it with the request and the response and which this leads to insufficient encryption protocols because it looks like this is not security encrypted as it should be. Stuff like emails, phone number, transaction histories can all be data scraped with specific techniques. Brutal. And through analyzing the session tokens that were managed, these are tokens that are authenticate users

and keep them logged in securely. It's found out that even after the expired old session tokens can be used to access customer data long after the login has been closed off. So through this, the information that can be gathered is customer email, phone numbers, account balances, trading history, personal ID, that's KYC information stuff so the way i i think it from what i gather is anybody that could somehow get access to your phone you need a malicious actor to get access to your phone and they could do so either by physically getting the phone which is obviously difficult to do or if your phone is infected by some software and through

that if they get access to this information, well, then everything what you do with Bitbuy, unfortunately, is going to be up for grabs for these malicious actors. So I would suggest people out there that are Bitbuy users, I wouldn't use your phone.

I would use maybe a computer to do any transactions and even then use maybe tails. And that way, once you're done with it, it cleans it off and you're good to go. So that's my suggestion. Or just simply go to somewhere like Bold Bitcoin.

You know, you're going to be much safer with dealing with those folks. Friend of the show, Jordan Anderson, had a... I'll say this, okay? I'll say this uh he left that company and i think a few other people left that company that company's been going the wrong direction since then i would say we met them we went to their offices and recorded a show and we were like just babies in this whole thing and i really thought that team

was pretty competent full of good bitcoiners they had a great story you know they were running this thing out of some guy's like backyard shed or something like that i remember him saying and they just all they did was like play basketball and try and get this thing off the ground and they ended up you know expanding to the point where they were able to get this nice office and you know we went to talk to them he had i thought pretty good answers for a lot of the questions we were asking. We were asking some tough ones about security and, uh, shareholder, uh, slash stakeholder, um, you know, compromise and the other garbage they were listing and whatever. And, you know, at that time, like I said, we were still kind of in our infancy as a show, but I was impressed with what he had done.

And I've talked to him a few times since then. And I sat with him at the conference last year for a bit when I was at MCing and spoke with him. And he's a guy I think that you can trust. And I look at what they've done since that whole merger, I guess you could call it. It's basically a hostile takeover, I think in, in anyone's eyes, they cut people who really cared about the product and tried to maximize profit. It seems like to me, and this isn't the first bit by story we've had like this. Wasn't there another one? They got, there was like an email problem they had about a year ago. Uh, you know, we've heard stories about liquidity issues with them. And now this,

like, why would you, why would you why would you still be using bitbuy i i this is what i don't get this bull bitcoin and god like you know we we love bull i was using bull even before they were sponsored the show but you better off using any other company basically except these guys these these guys are just like it's their it's fodder for just bad stories. We're not the only people who are going to talk about this story, and it's not going to be the last time you hear these guys and blah, blah, blah. Yeah, Darren in the chat,

I saw a post that Bitbuy support didn't know what a cold card was. That's inexcusable. That is inexcusable. That company is headed the wrong direction, man. Just get your shit off of that exchange and don't use them just it's a bad idea remember they have been scooped up a few years back by the wonderfi o'leary yeah wonderfi yeah yeah and they scooped up them and was it coin square i think it was yeah another guy on the show right we had that guy on as well. Yeah. That's it, Joey.

We're past an hour. I think that's more than enough for Bitcoin related stuff. We just moved it. We have to talk about. Stay on for notable stories. If you're on YouTube, don't go anywhere. If you're on Spaces, don't go anywhere. And podcasters, we'll see you tomorrow for the notables.

Take care of yourselves. That's coin smart, by the way, not coin square. But yeah, don't be a cock.