The Wolf Of All Streets - Buy All Crypto Now! The Bitcoin ETF Will Spark A Massive Rally

Episode Date: January 11, 2024

Join Mark Yusko, Morgan Creek Capital, and Hunter Horsley, Co-Founder and CEO of Bitwise, as we discuss what the Bitcoin ETF approval means for crypto and why the market will pump very aggressively.  Mark Yusko: https://twitter.com/markyusko Hunter Horsley: https://twitter.com/HHorsley ►► JOIN THE FREE WOLF DEN NEWSLETTER, DELIVERED EVERY WEEK DAY! 👉https://thewolfden.substack.com/   ►►OKX SIGN UP FOR AN OKX TRADING ACCOUNT THEN DEPOSIT & TRADE TO UNLOCK MYSTERY BOX REWARDS OF UP TO $60,000!  👉 https://www.okx.com/join/SCOTTMELKER  ►►TRADING ALPHA READY TO TRADE LIKE THE PROS? THE BEST TRADERS IN CRYPTO ARE RELYING ON THESE INDICATORS TO MAKE TRADES. USE CODE ‘2MONTHSOFF’ WHEN VISITING MY LINK.  👉 https://tradingalpha.io/?via=scottmelker   ►►THE DAILY CLOSE BRAND NEW NEWSLETTER! INSTITUTIONAL GRADE INDICATORS AND DATA DELIVERED DIRECTLY TO YOUR INBOX, EVERY DAY AT THE DAILY CLOSE. TRADE LIKE THE BIG BOYS. 👉 https://www.thedailyclose.io/   ►►NGRAVE This is the coldest hardware wallet in the world and the only one that I personally use. 👉https://www.ngrave.io/?sca_ref=4531319.pgXuTYJlYd ►►NORD VPN  GET EXCLUSIVE NORDVPN DEAL - 40% DISCOUNT! IT’S RISK-FREE WITH NORD’S 30-DAY MONEY-BACK GUARANTEE. PROTECT YOUR PRIVACY! 👉 https://nordvpn.com/WolfOfAllStreets   ►►COINROUTES TRADE SPOT & DERIVATIVES ACROSS CEFI AND DEFI USING YOUR OWN ACCOUNTS WITH THIS ADVANCED ALGORITHMIC PLATFORM. SAVE TONS OF MONEY ON TRADING FEES LIKE THE PROS! 👉 http://bit.ly/3ZXeYKd  Follow Scott Melker: Twitter: https://twitter.com/scottmelker   Web: https://www.thewolfofallstreets.io   Spotify: https://spoti.fi/30N5FDe   Apple podcast: https://apple.co/3FASB2c   #Bitcoin #Crypto #BitcoinETF The views and opinions expressed here are solely my own and should in no way be interpreted as financial advice. This video was created for entertainment. Every investment and trading move involves risk. You should conduct your own research when making a decision. I am not a financial advisor. Nothing contained in this video constitutes or shall be construed as an offering of financial instruments or as investment advice or recommendations of an investment strategy or whether or not to "Buy," "Sell," or "Hold" an investment.

It feels absolutely amazing to finally be able to say that the Bitcoin spot ETFs have been approved. And it's even more fun watching the market absolutely go wild. A bit surprised that a lot of that price action has been in Ethereum and altcoins. But I have a feeling that Bitcoin might have something up its sleeve as we open trading today for 11 Bitcoin spot ETFs. Now, if you think it's a relief for us, I can't imagine what a relief it is for our guest today who spent the better part of a decade trying to get these things approved, the CEO of Bitwise, Hunter Horsley. And of course, of course, that means we got to bring in my old friend, Mark Yusko, with the hot takes and hits and predictions,

even perhaps about what comes next. Guys, the ETF madness, the coin tucky derby is upon us. I can't wait to talk about it with these two legends. Let's go. I've got Mark and Hunter. Hunter, I've been trying to do this for a long time, man. So I knew that if we were going to do it on Thursday, there was a really good chance maybe this thing was going to be done. You know, there was a lot of – it's so great to be with you both. I'm a fan of both of yours. And, Scott, I love the show. It's been such a crazy experience over the last few days because the issuers have known what's going, but can't say anything to the public.

So I'm glad that the S1s are effective and today has arrived. And finally, we can talk about things and get to be here with both of you. So this is really fun for me. I obviously had Matt Hogan on two days ago and I kept prodding him. I said, I can just see in your face. There's so much that you want to say to answer my questions and you just can't say any of it. But Hunter, listen, this is an opportunity. I love giving someone who's worked their butt off for a long time,

their chance to take the victory lap. But you've been doing this for the better part of a decade. As I said, there had to be a lot of times when you assumed maybe this wasn't going to happen. I mean, how do you feel waking up today, seeing it go live? You guys won the fee war, which we'll talk about. I mean, what's going through your head at the moment? I'm so unbelievably happy and excited. I think that this has got to be one of the biggest milestones for Bitcoin in the last decade, five years. I don't know what the timeframe is, but on so many dimensions,

the SEC approved these products last night. And you could get into some of the details of that, but that just happened. There's so many benefits to ETFs. I'm so happy for the Bitcoin and crypto community who has wanted this element of progress. And I'm so happy for our clients. We could talk about it more, but we serve tens of thousands of investors across the country. And every year for the last six years, they have said that the number one product that they would want access to, to be able to participate in this space is a Bitcoin ETF. And now they have access to it today. So it's a really exciting, really exciting moment. Yeah, Mark, yesterday I called it the biggest day in crypto or the biggest day in Bitcoin history.

I'm prone to hyperbole as anyone who watches me knows. Okay, I'm sure there were bigger days in the beginning. Well, I'm getting along so well, Scooter. Yes, that's right. I am known for my hyperbole. You and me both. My wife says, you know, freak me wrong, never in doubt. I mean, is it? Are you top five? You know, if I'm being less hyperbolic? I mean, look, there are so many great days. So is it top 10 day? For sure. It's the most important day today, right? And it's kind of interesting. So it's 11

ETFs on the 11th. 11-11 is a super lucky number. So I'm into luck and the stars and a bunch of other things we'll talk about here in a second. But look, we have a lot of thank yous, right? We can go back to the cypherpunks. We can go back to the white paper. We can go back to the core developers. I mean, we can go to the guys and gals out there on the front line, installing the miners. I saw a picture of the dead guy, cut his finger off, literally cut his finger off, attaching the racks. And he's out there still working, you know, securing the network. So there are a lot of big days, right? 10 years ago, the Winklevoss twins came up with this idea, tried to get it through, got rejected. You know, Eric Balcuna sent his first tweet out 10 years ago, 10 years ago on this topic. So just real quickly, you know, there

were a lot of people, Kristen in particular saying, Hey, what are you going to wear tomorrow? So a couple of things, but I had to match you, Scotty. So I got my, I have my black t-shirt, although it says embrace volatility, not fear it. I almost went with this one, right? Which is not investment advice, HODL, not investment advice, but I went with this one, right? Which is not investment advice, HODL, not investment advice. But I went with this one and I got to do the climbing thing. So I got to do the sock reveal. We have the Bitcoin socks. And why is that? Well, normally I would wear my orange pants, but I've worn out the orange pants. I wore them yesterday for running Bitcoin day for Hal Finn. I wore them the day before for block one. I wore them on Friday for my usual Bitcoin

Friday. So they're kind of standing up on their own. So I had to wear the green for the incoming green candles. We are going to have some monster green candles. I don't know if we'll get the God candle today, but we'll get some monster green candles over the coming weeks leading up to the halving. And the reason I wore the moon socks today is not Bitcoin moon. Today is a new moon. So if you invest on the new moon and sell on the full moon over the last hundred years in stocks, you make 1,400 times more money. Not 1,400%, 1,400 times more money. You hold for two weeks. Everybody's like, that's bullshit. You just go like, look it up. There's their study. And it's because humans are going to human. Humans are going to human. And we are impacted by these things. So look, 11-11, super lucky,

super good. That's almost as good as why Alibaba went public on 8-8-18, right? I mean, eight is a super lucky number in Chinese. But this is an exciting day. Is it a top 10 day? For sure. I'll take it. I tweeted it this morning, right? The boomers are coming. The boomers are coming.

That's what this is all about. Look, smart people like Hunter and the whole team at Bitwise, and that's why we're partners. That's why we back them and we put a fund together early on. But smart people and you, Scott, and others, young people- And me. Technically savvy- Smart people and Scott. I get it. No, they get it. They get it.

Congrats again to Luke, Scott. They get it. But the average boomer, they're not going to self-custody. They're not going to buy Bitcoin the way all the maxis want them to. So this is a necessary step. And the thing that people just don't seem to understand and appreciate, and I don't know why you wouldn't like this, there's 30 trillion dollars with a t 30 trillion controlled by advisors and when i say controlled i literally mean controlled meaning the person who gave it to the advisor doesn't make the decisions anymore those advisors make the decisions and they happen to be primarily not that there aren't some good young advisors, but primarily they're of a certain age and experience level. And ETFs are their go-to tool.

It is their number one tool. It's not mutual funds. It's not stocks and bonds. It's not treasuries. It's not cash. It is ETFs. And so to be able to own the greatest diversifying asset in the history of assets, just let that sink in for a second. There are a lot of diversifying assets, commodities,

hedge funds, private equity, venture capital, a lot of diversifying assets. When you add them to the portfolio, your Sharpe ratio goes up, your risk goes down, your return goes up. Your risk goes down. Your return goes up. Bitcoin is the greatest diversifying asset ever. Over 15 years, it's got 0.0 correlation of bonds, 0.15 correlation of stocks. You add it to your portfolio, your portfolio gets better. It gets more efficient. I mean, it's... Anyway, so I'll stop talking. Let Hunter. Yeah, Hunter, let me see your socks. Everyone wants to hear from Hunter. Hunter, I want to see your socks.

Because I asked you right before we went on. Come on, let's see them. I know. We didn't know. We did not plan this, guys. There we go. And so then you said that, and you can vouch. And then I said, I have those socks, and I ran behind it,

but I'm standing, and I'm not flexible enough to show you, but I have those socks. I said, they're not on my feet. I also have Litecoin socks, Ethereum socks, Ripple socks, Monero socks. It's a whole collection, but none of mine have rockets on them, unfortunately. They don't predict price action like Mark's do. So listen, I do want to talk about what happened with the market. I think a lot of people obviously had dampened enthusiasm as traders because of the huge washout last week when Matrixport had their report and prediction.

And of course, the fake news the day before. But what we did see was this massive move on Ethereum. Right? And I think we're all in agreement that, unlike Standard Chartered, who believe that we're getting an Ethereum ETF in the next two or three months, that maybe that's just people anticipating something that's not going to happen that soon, Hunter. I mean, shouldn't we be focused on what huge story here and a lot yet to happen on the Bitcoin ETF front. I mean, these things haven't even started trading in 9-15. They're not even in the water yet.

I think Mark hit on really clearly the amazing parts of the market that opened up with it. We've been working on ETF filings for maybe six years now. And we launched the first ETF with the word crypto in the name. That's BITQ. It holds crypto equities. That was a journey with the SEC. We launched the first ETH-linked ETFs in October. That was a really extraordinary journey with the SEC. Of course, now so many meetings and calls on the Bitcoin ETF, and we have a number of others. So my point of view on these things is that nothing is ever certain in either direction. We've been surprised multiple times. So we just sort of consistently engage and we'll have to see. But I think that it is definitely not a certainty that an Ethereum ETF will launch this

summer. I think that's definitely not the case. I would personally take the other side of that bet, Yusko. I'm saying I agree with you. I think it's even longer. I don't think there's any chance in the next three to six months. But hey, what do I know? Look, if you would have gone back a year ago, you would have said zero chance of a Bitcoin ETF. After nine years of trying and everybody and I actually started tweeting maybe nine months ago that it was going to change because BlackRock was going to get approved. And everybody's like, they haven't even entered the fray. They haven't even, like, just trust me. BlackRock is going to be first. And I actually said, and I said this right up until Friday, that they were going to be the only one. I actually believed that the SEC would king make. I believed that they would defer. Hunter and I talked about this. Look, we own little pieces of Bitwise and we own little pieces of Amun, which is part of 21

shares. So I really wanted them to get approved, but I didn't think they were going to. I thought that they were going to play favorites and give all of it to Uncle Larry. And I'm glad it was wrong because it's way better to have an open free market. And 11 on 11 is kind of cool. But I think what changed is a couple of things. A bunch of two by fours to the head by the courts. So that, that certainly changed. A lot of credit to Grayscale. A lot of credit to Grayscale. And, and, and look, there's, there's been a bunch of other things that have changed. Now there's,

there's the sinister side, which says, this is a Trojan horse and this is, hey, let's suck all the Bitcoin into these boomer wrappers. And then, you know, Max Keiser's out saying, and then we're going to seize it all. Oh, if you read the fine print, I mean, it technically is possible that that is one of the risks that people have to talk about. I don't think it's a real risk. I don't think it's likely, but look, that's another narrative that's out there. So on the ETH, I don't think it's coming because there's no catalyst for Gigi to give in on that one. He had to give in on this. I think he gets what he got on this one. I mean, if you read through his comments,

I mean, I'm not going to go through them all here, but he was not thrilled about this approval, right? I mean, he effectively said, listen, I'm throwing you guys the bone because the court said so. They twisted my arm. And by the way, we are not endorsing or approving. Anyone cares that you would approve Bitcoin? You can't approve Bitcoin.

I mean, you could endorse it, but you can't approve it. CEO doesn't show up to work. So anyway. I'm really, I mean, while we approved the listing and trading of certain spot Bitcoin ETP shares today, we did not approve or endorse Bitcoin. Investors should remain cautious about the myriad risk associated with Bitcoin and products whose value is tied to crypto. You saw that he then said, you know, there was utility to metals that are in ETFs. That's not the same. This is just a speculative asset.

He took his shots. But at the end of the day, it was a 3-2. They voted and he was the tiebreaker so he did what was right we got to give him credit whether he had to or not and that's done but well hunter i want to dig more into like uh the last few days right um i don't know how much insight you can give but i think these fee wars absolutely astonished people you guys ended up basically uh with the lowest fees uh the most competitive rates. I have to imagine there was some crazy debates and calculations as to how much AUM you would need for these to be viable at

these various fees. I mean, we started at BlackRock, assuming would be like 1%. Right now, we're in the two bips, you know, 20 bips type camp, excuse me. Yeah. It's been fascinating to see how, as Mark said, there's 11 issuers each thinking through the same set of decisions. I'm really proud. The Bitwise Bitcoin ETF, BITB, is the lowest cost Bitcoin ETF in America. And I'm really proud of that. A lot of people could have made the decision to offer that to investors, but chose not to. And I'm excited that we get to play that role for our clients. I think that there's a number of different ways

that an issuer can look at this decision. They can say, what is best for our revenue? What would be the exciting financial opportunity for us here? Or they can say, what is best for the client? Or they can say, what makes the most sense relative to what this product is? I think as I looked at it, we manage over a billion in crypto assets. We have a great business. We're lucky to have an amazing and large and growing client base. And I looked at these products and my point of view was was this is a very simple product. You know, most of our products are index.

We have actively managed products. These products hold Bitcoin and they do a lot for an investor. KPMG doing an audit for the investor, us overseeing, selecting a regulated, qualified custodian for the investor. Our professional portfolio management team, our portfolio manager here managed over a quarter of a trillion dollars at BlackRock for 20 years, and now she's only been managing crypto for the last several. I mean, there's real benefits to those types of things. But at the end of the day, it's a simple product that provides those elements of peace of mind

and buys and holds Bitcoin. And when you look at it that way, my point of view was this is a product that is going to make the most sense to an investor as an efficient cost product, a way to engage with the space for the first time. For the IRA investor who's been, in some cases cases strapped with only a product that charges 200 basis points as their only option. As of today, they can move into another product in their IRA that's 90% cheaper. And I think that that's a really powerful role that ETFs traditionally play. And we were excited for them to do that. But it's fascinating over the last few days to see

each of the issuers think through this, this calculus themselves, and in some cases, you know, really reverse course on what they had had initially signaled to the market they wanted to do. Yeah. And I mean, just to clarify exactly what you're saying about Bitwise's approach here, Bitwise to donate 10% of profits of the Bitwise Bitcoin ETF BITB to Bitcoin open source development. Right? I mean, isn't that putting your money where your mouth is, so to speak? Yeah. I mean, I think, again, we've been in this space for six years, like the two of you, and I imagine people who are listening in, and we understand what this product and what this moment is. And my hope is that if a Bitcoin ETF is successful, that that benefits the space.

If Bitcoin ETFs do well, then the people building Bitcoin should do well. It shouldn't just be that some firm runs off with a benefit to their P&L and calls it a day. So we spend time, Bitwise is a firm with developers, the nonprofit funding organizations. And we thought this makes so much sense. This is a way that what's good for a Bitcoin ETF can be really good for the space. And ultimately, I think for people like the three of us, you know that the space needs to succeed. It's not about a firm succeeding. It's not about a firm succeeding. It's not about an individual succeeding. It's about the movement that Bitcoin represents, the community and the technology. So we were really excited to do that. OpenSats, Human Rights Foundation,

Brinks, fantastic organizations that have been at it for a while. So 10% of the profits from BITB will go towards funding open source Bitcoin developers. Yeah, it's such an amazing thing. And Scott, I think the couple points that Hunter makes are so critical. One is subtle. Most people don't really understand the difference between big B Bitcoin and little b Bitcoin. The token, as much as I don't really care for his tone and his manner, he's right. The token is a speculative asset. It is. It is an asset that can be bought and sold and doesn't generate income and all these things that they say. But what's missing from that is big B Bitcoin is the greatest computer network in the history

of mankind. And it is the new base layer of money, right? It is. Triple entry accounting is an innovation. Fire, electricity. I mean, there aren't that many others, really. I mean, triple entry accounting is an amazing movement. And what I think is just hard for people to understand until you have that aha moment, and all of us and everybody listening is fortunate, right? We're lucky because we had that aha moment. We had that epiphany where you can see it. And once you see it, you don't unsee it. Once you understand that

single entry accounting, which persisted for thousands of years, was a pretty tough system because it was entirely corruptible. If I keep a ledger and I lend you guys money, I can change the books because I might not be a trustworthy person. So the Medici's 838 years ago came along and said, you know what? Two entries is better than one. Two ledgers, better than one. And we, the benevolent, not so, Medici's, for a small fee, will provide trust. We will make sure that no one changes their books. But the problem is, turned out they were corruptible. I lend money to Hunter. He comes back a year later to pay me back. I've gone to the Medici's and said, you know, guys, I'm going to change my number from 100 to two and I'll give you half. And they're like, done.

So Hunter comes back with 110. He's like, here you go. I'm like, oh, Hunter, 200. He's like, hey, Medici's. They're like, Hunter, you must have written the number down wrong. We're so sorry. So triple entry now says, nope. Mark wrote the number, Hunter wrote the number, and a permanent immutable truth. Truth is better than trust, just is. And so as we migrate all of it, right, all assets in the world, all $700 trillion of assets eventually migrate to truth from trust. That's a really big deal. So this is big on so many levels. I'm trying to out hyperbole the hyperbole master, but it's a big deal.

Yeah, listen, and so market opens in two minutes, Hunter. I hope you have like 17 screens in front of you secretly that we can't see. But there's a lot of anticipation, I would say, obviously, for what's going to happen on the first day of trading. Personally, it's just one day. I think this is going to be a very long process to gauge success and otherwise. But we've seen some interesting takes on how the mechanics of this are actually going to work, Hunter. And I was looking for some clarity.

Thomas Lee, post-spot Bitcoin ETF approval. Today, we will see how much of this is priced in. Each 11 ETFs need to acquire Bitcoin spot via exchange. Unlikely pre-bought inventory because of price risk. Estimated over 1 billion demand and daily block reward supply, 25 to 50 million. Obviously, Bloomberg said yesterday they think there's about 4 billion total today, 2 billion BlackRock, 2 billion across everyone else.

I know you can't speak specifically about numbers, but I do want to talk about the mechanics because I spoke to Matt, of course, and others. It's not necessarily every penny that comes into these is a new inflow into the market of these 11 market buying on an exchange, as he's saying here, right? Most of this AUM that's being discussed, or at least a huge portion of it, is sort of horizontal, right? Maybe someone who owns Bitcoin and Bitwise or BlackRock calls and says, hey, convert this to the ETF for initial flow. So I guess what I'm trying to understand is how much of this is inflows? What are the mechanics? How much of this is just people converting from one asset to another? Because the way that these netted out were that they're cash creations and redemptions,

ultimately an investor is not able to take Bitcoin that they already own and put it directly in the fund. Yeah. To be clear, that was saying sell it and then buy it. Right. Correct. Yeah. So I don't actually think, I know some investors that were considering that, but I think that most won't end up doing that because taking the tax vent, if they don't own it in an IRA, is just not appealing. I do think that you'll have some investors who own a very high-fee product in an IRA swap out of that for a low-cost product because why not? You don't have the taxable event. So I think, to your point, Scott, that wouldn't necessarily be new demand.

And we'll have to see how the day unfolds. But we hear a huge amount of demand, and that would be new incremental demand into the space. I think, you know, Mark hit on this before. There are many types of investors for whom this is really the first time they can access the space they've read a lot about, they've thought about, but they felt that they couldn't access. Maybe they couldn't access it because they literally didn't have a product that worked on their platforms. They just felt that the products that were available were not feasible for them. We've run a survey of financial advisors. We serve thousands of firms and branches,

over a dozen banks and broker dealer platforms. We've run a survey for the past six years. Every year at Bitcoin ETF is the top most desired product for accessing the space. And in the results we published just, I think, a week ago, 88% of advisors said that they were waiting for a Bitcoin ETF to invest in the space. So I'm not viewing this event as, of course, there will always be some rotation from existing investors. I do think it's very sensible for people who are in a high fee product to consider moving to a lower fee product. But really, the story here is, you know, there's there's 20 or $30 trillion in the wealth management channel, that's people's savings, they have aspirations around it. And

there are many advisors who've been wanting to help their clients benefit from the space, but it felt that they couldn't responsibly do so. And then, of course, there's IRAs, there's institutional investors. And when you add that all up, I just think that will be the dominant number and determinant of where things come out. But of course, we'll have to see. And not everyone is in a position to make an investment in the first hour, three hours. For many of these types of investors, they're not sitting at their computer waiting to see a ticker populate

and they're going to cancel all of their meetings today. They'll discuss it when they have time or the next investment committee or the next conversation with the client. So I think this will be a very interesting story this week. There are people who've prepared, but I think the vast majority of the audience that is coming online that makes this such a historic moment, they'll be contemplating this over the course of weeks and months. And last year, to give a sense of proportion, we did 20,000 meetings and calls with financial advisors and institutional investors. And I can just tell you, you know, we have there are many of those types of investors who are excited about these products, who've been wanting these

products, and they set the meeting for three weeks from now because in their mind that is moving fast and I'm not dismissive of that. That is, you know, on their time scale. It's not not like they have to buy an IPO in the first hour after it opens. So I think that there's huge incremental inflows that sit behind the bridge that was just built with these products. And there will be some rotation, I think, especially for investors who want to get out of a high-fee product they've been trapped in. But I think the big story is the gate that has been opened to millions of investors. I don't think that there's

a survey that I've referenced more often than the Bitwise Medify survey from last week, because I just found it. To me, that was the final nail in the it's priced in long-term coffin, right? When you read those numbers, I found it to be ast astounding i think it was 19 percent in that survey said that they even had a way to access bitcoin for their clients right so huge yeah go ahead we we we we a monster just a monster change no it's just a monster change look there there are there are big firms i won't name names. One where I have a family Harmony account because my brother-in-law is an advisor. I've tried for years to buy everything, including Hunter's product. And they're like, no, nope, nope, nope, nope, nope. name names. If you made your money in crypto, they won't take you as a client. That all changes today. All of that all goes away. And this really isn't about the movement. of deck chairs on the Titanic, like all the naysayers want to say. There's $30 billion on the low end. That's 10 basis points over the next few months. I actually think it's 10 times that.

I think it's $300 billion. That's one. That's a 1%. Because what's going to happen at these firms, the model, right? The house model is going to say 1%. You got to have 1%. So now if you're an advisor, you don't have a choice. You have to put your clients, even if you don't love it, you as a fiduciary got to follow the model.

And so 300 billion, that's about 25% of current market cap. That's a big deal. And that's, I said this, I tweeted this the other day, more money, more fiat will be converted into Bitcoin this year than all of previous history. So let that one sink in for a second. By the way, for anyone who is paying attention, than all of previous history. So let that one sink in for a second. By the way, for anyone who is paying attention, since the market opened, Bitcoin did just pass 48,000. So clearly we didn't get an immediate sell the news event or anything that people were fearing.

It's so funny to think back of all the takes and pundits and ideas and theories of what was going to happen. And it just kind of went sideways and floated up. Anyone who said buy the rumor, sell the news never took Econ 101. We just had one of the great demand shocks in the history of financial markets. Think of the amount of marketing. How many millions of dollars would you have to spend to get the free marketing that the SEC gave these products with all their shenanigans and protestations and then the errant tweet? That's a huge marketing campaign. of that, you've unlocked the boomer wrapper for this $30 trillion of assets plus institutions,

plus hedge funds, plus, plus, plus, plus that now have an easy, efficient way to incorporate, like I said, the greatest diversifying asset we've ever seen. And so that's the first part, which means P1 is higher than P0. There's a demand shock, price goes up. Then at the end of April, we get a supply shock. Remember the old Doritos commercial? Go ahead and crunch all you want. We'll make more. You can eat all the Doritos because we'll make more. Same thing is true here. People are like, I'm not selling. I'm a hodler. I'm on a hodl. I'm not selling. I'm not going to sell to the boomers. Fine. I'm not going to sell to Wall Street. Fine. We'll make more. Every 10 minutes, there's more made. Now, half as much will be made every 10 minutes. For the next 137 years, we'll make more.

And all of that is going to get bought, every single one of them. And so the amount of demand plus the supply shock, now you've got P2 higher than P1. Big numbers, big numbers. Hunter, I'm stuck on the number that you said. And by the way, man, at any point, if you need to leave, I'm stuck on the number that you said. And by the way, man, at any point, if you need to leave, I totally understand. Thank you. But 20,000 meetings last year. Is that a Bitcoin pitch? Is it an ETF pitch? I'm curious what the core of that conversation is and what the next 20,000 of those, the base will be.

And then I'm gonna let you go watch what's happening. Thank you. Thank you. Yeah. I see that BATB has started trading and I heard some clapping in the other room. So yeah, yeah. The nature of the conversation is often we sort of find out what investors are thinking. I think probably you've all experienced this in your personal lives or in professional life. When you talk to people about crypto, they usually have an opinion these days. They might think that Bitcoin is the only thing that matters. They might think that Ethereum is useful. Bitcoin doesn't do days. They might think that Bitcoin is the only thing that matters. They might think that Ethereum is useful. Bitcoin doesn't do anything. They might think, I don't want to own these tokens. I want to own the companies that are the picks and shovels in the space. So I sometimes

joke that Bitwise feels like Bitcoin or crypto's teaching assistant. We are sort of there and somebody walks in or we walk in and we say, where are you at? What are you thinking? And how can we help you with where you want to go? And we sort of discover where that interest is. But Bitcoin is definitely the focal point for most investors. It's the most familiar name. It's the thing that most people feel like they have wrapped their arms around. And so I expect that a significant amount of conversations. And then just to go back to the power of the ETF wrapper, BITB at 20 basis points is both

an ETF and an incredibly low cost way of participating in the space. So I think that not just the value of the asset Bitcoin and the exposure, but the benefits of the wrapper of an ETF will cause it to really be a focal point of conversations over the coming weeks and months. And to Mark's point, we definitely have experienced that where certain banks and platforms are just not open to it and closed off to it. And I'll tell you, even in the fall, there was a very large bank that for two years ago said, we're a conservative institution, we would never touch crypto. And many meetings later, they finally approved a Bitwise product.

So I think that there's a real opportunity that some of these large platforms and institutions will come around and embrace it for the first time with a Bitcoin ETF, which has the combination of the characteristics of an ETF and then the appeal of Bitcoin. Hunter, for the love of Satoshi, man, go celebrate with your people, please. Okay, it's great. Mark, can you stick around for a couple more minutes? I can stick around for a couple minutes, yep.

All right. Hunter, thank you so much, Hunter. Congratulations, man. Congrats congrats hugs to everybody mark yeah i just wanted to i just wanted to talk about uh just quickly hester purse because i'm sure you saw her comments this is incredible i mean maybe i don't know that i even want to read them let's just i'm gonna read a few of them today marks the end of an unnecessary but consequential saga. For reasons I have explained many times before, the logic of the long string of denials is perplexing.

The commission has driven retail investors to less efficient means of attaining Bitcoin exposure in the securities market. FTX. Until the court reminded us that our unexplained discounting of the obvious financial mathematical relationship between the spot and futures market falls short of the standard for reason decision making we persisted in denying a spot bitcoin etp the commission rather than admitting error offers a weak explanation for a change of heart we squandered a decade of opportunities to do our jobs i mean there's

there's so many of them guys i highly recommend you read her uh here on the SEC. But wow, man. Pulling zero punches. No respect for Gary here. I love it. No, look. And yet, two of her colleagues still voted no. I mean, come on. This is one of these things like we've all been there, right?

We've all made a mistake. Being wrong is not a sin, right? It happens. Staying wrong is a sin, right? Ego, pride, whatever. That's just dumb. At least Gary, for whatever reason, whether it was strong arming or political, and maybe he's trying to stay and, you know, uh, in his job or whatever, maybe he's got, you know, a stair step. I don't,

I don't really care, but at least he did, you know, do the right thing. But all of her points are so valid. She looked crypto mom's been great forever. I mean, she's, she's been so focused on, uh, I'd say doing her actual job. Um, but I don't know. I, I keep coming back to the fact that, um, all of this has been inevitable, but like any new technology, it's tough because part of the problem is technology always starts at the fringe. And people don't like the fringe, right? Who is the first user of a pager, cell phone technology, drug dealers? Drugs. So it wasn't cool early on to have a cell phone because you were labeled a drug dealer.

So it was only a few people who went. And then now everyone has one. I actually have two. So everyone has one. Who was the first user of the internet? The porn industry. So nobody wanted to put their stuff online and it was not, it was icky. And Paul Krugman said it would never be more important than the fax machine. Wow. What we're doing right now, communicating live in HD, right? Your camera is so damn good. It's like amazing.

I'm like, I like mine a little softer. I can't see my wrinkles. Oh, yeah. I do the Zoom like the 20-year younger thing. I look much better on Zoom with the slider. Ah, with the filter on. This is raw and uncut. Yeah, this is. But no, we like raw. And look, the same thing's true of blockchain and Bitcoin. It's here. It isn't going away. Name a technology that got to critical mass that disappeared.

You can't. So this is a technology that matters. It's technology for the future. It is going to do to financial services and the trust industry what the internet did to media and commerce. That's going to happen. Now, they're still going to fight us. Like someone said this morning, okay, we won. Oh God, no. We're still in the then they fight you phase. There's going to be a bunch of salvos, right? Spoofing is coming, right? They're going to try to do to this what they did to gold over the last decade. Gold prices should be much, much higher, but JP Morgan et al do some stuff with the futures market. And there's a lot of stuff that we're going to have to keep fighting through. There's a school of thought that this was a Trojan horse, right? I said that, that, you know,

people are just going to seize all the Bitcoin here. The funny thing about that. And look, I love Max. I do. I love Max. Um, and he, but he thinks the government's going to try to, to seize all the Bitcoin. Well, but here's what's going to happen. So let's say 20% of all the Bitcoin to date, a year from now, is in the ETFs. That's not a bad assumption. If you assume $300 billion, it'd be about 20-ish odd percent. Let's say they did. Let's say by some crazy miracle, they figured out a way where they wouldn't get sued and force majeure.

They find out- 49,000, by the way. I hate to interrupt. I'm going to let you go, but 49,000, this thing is mooning. Okay, go ahead. Of course it is. I wore the socks. I wore the green pants. I mean, green candles all damn day. Green candles all day. So here's the thing. If they did that, Satoshi said this before the launch of the network. Yes, some coins will be lost or stolen. Consider those a donation to the community because the value of the rest goes up. So let's say they took that 20%. The other 80% goes up and we get more powerful.

That's the comical part of the Trojan horse thing. It's just not viable. Anyway. I know you got to go. So I do. I know you got to go. So I do. Yeah, man, I couldn't have imagined a better person to spend the celebration with. Really, really appreciate it. I hope we can continue to do this much more often.

No, we will. And hey, thanks for all you do for the community. I give thanks to a lot of people from the Cypherpunks to the core developers to the people on the front lines. But it's people like yourself, too, who have nurtured the community. And despite all the protestations from your better 90 percent, we love you and need you. She's here in the comments. I saw her.

And she made this. Thank you, man. Thank you, Mark. Appreciate it, man. Thank you, Mark. Appreciate it, man. Everybody follow Mark and also your Friday podcasts are amazing with Michael. So I point that out. Everybody should be listening to this. All right.

And if you really care, the reason I got to go is I got to finish my slides for my 10 surprises webinars is tonight, today at three o'clock. So if anybody cares, you can find me there too. Check it out. Thanks, Mark. All right. See you. Bye. All right, you can find me there too. Check it out. Thanks, Mark. All right. See you. Bye.

All right, guys, if you'll stick around, I got a few more things. Really funny that he just mentioned Emmy. She tweeted, I saw because I have ADHD and in the middle of my streams, I'm looking at price and things. Contrary to what his timeline

may lead to believe you, Scott Melker's favorite three letter word that starts with E is not ETF or ETH. It's accurate. It's accurate. It's accurate. But I want to say that she was mocking our sock flex earlier and she bought me all those socks as far as I know. As far as I know, I never bought any of those socks myself. But guys, let's take a look. We did hit 49K. This is the daily chart. Absolutely monster candle, monster volume even yesterday when price didn't go up that high. Touched 49,000, hitting 48,954 right now. And it started 20 minutes ago,

the minute that this thing started trading, we're back at 49,000. Now, you might not notice yesterday, we had the ETH rotation that I've been talking about for ages. This was the fake news right here, ETH versus Bitcoin on the hourly. And then this was the follow through. Of course, as I even tweeted earlier, I expect today to be a Bitcoin day. I would be very surprised if we don't see a dip on the Bitcoin pairs for altcoins with all this liquidity. But really interesting to see the degenerates flow right into Ethereum.

And then you look at the Ethereum weekly chart. I mean, it's about to hit 2,700 guys, right? Very clear break of resistance and support, 2,159. Just plowing through 2,500 like it's nothing. It looks like it's on its way to 3,000 and higher. I want to talk about a couple of the greatest hits, favorite tweets um that we've seen over the past few days here because pretty hilarious uh naibu kaylee so we got in way before blackrock you gotta love uh el salvador flexing on um on blackrock how about this one was jim kramer actually right

for once normally you would expect to top in Bitcoin on a sell the news situation. I'm not even sure that happens. This guy is coming one day after he went on TV and said the Bitcoin top is in. My God, this guy. And I'm not sure if you guys noticed this, but Franklin Templeton, I've had Sandy call here, their head of crypto, many times. She's one of the greatest guests. You should go back, listen to every conversation I've ever had with her. Franklin Templeton, one of the largest asset managers on the planet's new profile picture, I see people calling it a top signal, I disagree, is Ben fucking Franklin with laser fucking eyes. Franklin Templeton's entire social media identity, a multi-trillion dollar asset manager is Benjamin Franklin on the $100 bill with laser eyes. Guys, I don't know if you can comprehend how big of a day this is.

I rarely say much about this thing in my private time. I even texted Emmy last night when she was out dinner. I said, man, this was a really big day for us. You know? It felt good to finally get the vindication, to finally see the approval, to see the experts be right, to be a part of it when it happened um it's a historic day i think everyone should really uh really really enjoy it

and i love this i love this mark even mentioned yesterday was running bitcoin day if you guys don't remember how finney uh may he rest in peace january 10th, 2009, tweeted, running Bitcoin. That's when the Bitcoin network effectively came up. 15 years to the day of the approval yesterday of Bitcoin spot ETFs. Absolutely poetic. Absolutely beautiful. Makes you think that maybe there's a greater power out there that wants to see us succeed. I'm not a religious person, obviously, think that maybe there's a greater power out there that wants to see us succeed. I'm not a religious person, obviously, but that maybe there's something to all this positive thoughts and harmony of the universe and serendipity because, wow, what an amazing, amazing anniversary for that to happen on. Guys, that's all I got for you today. I got to go prep for crypto town hall as Bitcoin absolutely

pushes to the moon. If you guys missed it, we did town halls on the fake news two days ago. We just turned it on and did it. And yesterday, of course, on the approval, really incredible. We had Eric Balchunas up there and Matt Hogan and Matt Siegel from VanEck, all the experts. And I want to once again remind you, I know there's a lot of new people here. I think 2,400 of you live right now. For our channel, that's tremendous growth. And I want to remind you that what you're seeing today, this is indicative of the ethos of this channel. right? You see very little of me, like many other YouTubers, and I'm not being critical at all. It's just a very different model. You'll see very

little of me trying to tell you what to experts, right? And so what you can expect here in the past, moving forward, is that I will be having compelling conversations, trying to learn as much as I can from brilliant people who I'm lucky enough to get the opportunity to speak to. And hopefully some of that knowledge will run off from me and down to you guys and that you can learn right next to me. There's often times where I go, damn, I butchered that. I should have asked a different question. I just had this opportunity. Why didn't I talk to them? And honestly, we're very, very, very, very likely to be splitting some of the trading content off. We usually go into a trader at the end of the show, maybe creating more afternoon content around that, really doubling down on what we're doing here. It's inspiring to see the growth.

It's always a hell of a lot more fun in a bull market. But listen, whether there were 200 of us, which there were at times, guys, or over 2,000 of us, you're going to show up and do the exact same damn thing. So guys, I appreciate you being here. I will be back tomorrow with NLW for the Friday Five. I'm sure that is going to be epic reviewing this week. I'm loving the cadence of our content, the consistency of Macro Monday, the consistency of the Friday Five, and everything that happens in between. Going to keep building this, guys. I appreciate you being along for the ride. I hope you guys all stick around.

That's all I got for you guys. Thank you so much for tuning in. I will see you tomorrow. Peace out.