YAR! This be the Bitcoin Group, the American original. For over the last ten ships, bells, the swords of Satoshi, the rotten builds rats of the Bitcoin, the hardest treasure talk on the seven seas. We'd like to welcome our panelists, including Blake Anderson from Facebook.com.com. Hi everybody, thanks for having me on. Bryce Weiner from Block Tech Financial. Pleasure to be on as always, thank you. Chris Ellis from At Mr. Chris Ellis. Hello. And I'm Mad Bitt Korns. Here are today's topics. Issue one. I'm probably not going to keep this pirate thing up the whole time, falling apart. United Way becomes the largest non-profit to accept Bitcoin. The United Way, the largest privately held non-profit in the world, which raises more than $5 billion annually with more than 2.8 million volunteers and 9.7 million donors. Now accepts Bitcoin. Also this week, the Bittgim Foundation, Friends of the Show, received their 501C3 status from the IRS, making them the first Bitcoin charity to be so honored by the IRS. Is charity the killer app of Bitcoin? Blake Anderson. Well, I really dislike charity. I think that everybody should keep all their money and everybody with less money is that they should be subjugated and work for the top classes of the pyramid. The eye at the top needs to look down at all the lesser people and then subjugate them because that's just how money works. It's great to see a charity getting involved with Bitcoin. There's a lot of potential for decreased remittance fees. When you send money overseas to different countries and stuff like that, it's less expensive with Bitcoin. Hopefully the charity can get more of their money going towards actual helping of people unless towards overhead insecurity and bureaucracy and red tape and all that crap that happens when you get a tax status sometimes that is charitable or non-profit. You are doing good and using your ammo for good but sometimes the overhead gets so high that not as much money goes to the people that do my health. So hopefully Bitcoin can help solve that problem. Price, we know. What say ye? Well, it's not always about piracy. Sometimes you do have to give it back. In fact, I am a full supporter of cryptocurrencies and charities. I think it is in fact one of the new killer apps we're doing it. We're working with nature.org, the nature conservancy, one of the largest in the world to issue their own cryptocurrency for their own donation system. So I obviously I support it. I'm actually going to do it. Very cool. We need all the charity we can get. Chris Ellis. Well, I've just come out of a forest. I know nothing about this story, this show or this charity but I think it's awesome. Most popular use case of Bitcoin after speculation is charitable giving. I hope Sean's outposts get, you know, still continues to get the limelight. I hope this doesn't overshadow them because they've already been, you know, the biggest kind of leader in this movement of all. So yeah, great news. And remember, all the United's way has to do is put a QR code on the end of their advertisements and they'll be making tons of money from new people. Maybe I'm sure you listen to him about the QR code. He's not kidding. He keeps going on about it. Just put it down QR code everywhere. It's important. Look at your screen right now. Look at my screen. Anyone could donate through these QR codes. Amazing. Scannable Bitcoin technology. They're everywhere and they shouldn't be web page links. I'll do it again. Exit question. What's your favorite Bitcoin charity? Blake Anderson. Disappeared. Bryce. What's your name? No, no, I'm back here. I'm just getting all excited because I'm going to steal Sean's outpost first. And so nobody else can say that. It's my favorite charity. It can't be your favorite charity. So you all better think really hard about a different charity. Not Sean's outpost with my homeboy Jason King because that's that's my favorite charity. So it can't be yours. It's my intellectual property. And if you say it, I'm going to see your ass and do centralized court, you're going to lose. I have prior art. I already mentioned Sean's outpost. I've prior art. Oh damn it. Bryce, would you also like to go with Sean's outpost? No. One of the coin networks that I help Stewart Razor actually donated a large sum to Team Tarray, which is a non-profit organization run by MMA fighter Danny Plyler. And they just have their grand opening this week. And there's a bunch of folks there. And I agreed to fight someone for charity. He's going to train you over the next six months. And then I'm going to step into the ring and get my ass kicked for charity. That is a bad deal. I've seen that MMA fights. It ends on the ground like. And no, no. But I will have an actual real amateur record when it's over. So even if it's zero and one, it's still something I can tell the kids about. Still in at bat. And Chris, you're sticking with Sean's outpost? No, actually, I'm going to go with the Richard Reef's foundation, which is a charitable foundation in the UK, which owns a property in central London that we have now common deared called the Bitcoin squat. They've been sitting on this thing, leaving it empty for three years. Rumor has it there trying to let it degrade so that they've got an excuse to knock it down. It was actually a press release back in 2009. They did saying that they were going to sell its property developers. It never happened. And so what they seem to be doing is they seem to be making charitable donations to other charities as a reason for being a charity. But then they're holding all these assets about 23 million net assets. But no one's really sure why they exist. It's this feels like, well, they're just speculating on the market. They're propping up a property boom, which is then making people homeless and so on because they can't afford to live. And then they're giving that money to charity. I just don't think that I'm not a big fan of charity and that's why because everyone should just be decent to one another. I don't see why you need these centralized marketing companies that then end up becoming these centralized systems for all that money. The problem is that the accounting rules in the UK are such that you can kind of obscure a lot of your activities on the front end when it gets published. So you're not really sure what's been going on behind the scenes. I don't, by the way, have any, I'm not making any allegations. It's listed about the Retrieve Foundation. I don't know what they're doing. I'm not implying anyone's cycling off money or anything. I'm just saying that based on what we know, this is no way to run a charity. Yeah, it reminds me of the Steve Hughes, he's a calme, he talks about, you know, don't give your money to people less fortunate than himself. Then yourself just, you know, go to a registered charity, give it to us and we'll make sure they get it. I think it's really, really funny. That's exactly it. That's a good point, Chris. Charity shouldn't just come at tax time. We should do charity all the time. My favorite is BitGive because Connie's super cool and she's in Europe right now, so she might not see this till later. So hi, Connie. Now we're moving on to issue two. Issue two, Boston Fed sees Bitcoin flaws, but cryptocurrency has potential. The Boston branch of the Federal Reserve, a privately controlled central bank that owns the currency of the United States, released a report on Bitcoin this week claiming that while the new digital currency could reduce online shopping costs, it won't have any lasting effects. Seems a bit contradictory. Is the Fed speaking out of both sides of their mouth? Maybe they just can't see the sky through the bars of their cage. Bryce Weiner. I think there's some legitimate concerns in regards to cryptocurrencies, but I think the Fed is and always has, quite frankly, taken a very educated approach towards Bitcoin and other cryptocurrencies. They could have absolutely, when first, I mean, Congress asked the Fed, you know, Michelle and for her opinion. And it was her opinion was we have no opinion. It's not under our authority. And that right there, that very statement was just tremendous. I mean, the Federal Reserve has no authority over Bitcoin. Therefore, the US government has no authority over Bitcoin. So when does the IRS come into play when any of these Federal agencies come into play is actually when you convert a cryptocurrency into FIA and the rule is render unto Caesar what is Caesar's. So as long as you stay inside cryptocurrency and every all the business you do is done in cryptocurrency, there's not really anything for anyone to tax. Very true. Chris Ellis. I don't know. Just come out before I start to think about this new story or this show. But I do think it's very interesting. Peter Todd mentioned the other day that it was interesting that the only countries that banned Bitcoin were on developing countries, not Western democracies. And we do seem to be getting all these kind of contradictions. We had the Bank of England making very positive statements about Bitcoin. They actually thought that eventually this technology would probably just supersede and replace the existing financial network. I don't think they know what to do. These institutions tend to bundle around. They're very slow. They rely on all kinds of committees. And of course, unlike a blockchain, they don't have anything like the kind of efficient consensus self-stabilization effects that we've been seeing from the blockchain itself. Although according to Russia, the two countries that banned Bitcoin, Bolivia and Ecuador are in Europe, according to Russia. Blake Anderson. Yeah, I mean, there's some serious issues with cryptocurrency and not with any of the legacy systems. I mean, like the US dollar is probably worth somewhere around negative $120 trillion. There's problems with Bitcoin. So we need to look at the transcendent of elemental limitations on fault tolerance. That's a big problem. We can't have an immutable ledger that actually tells us what happened through financial history. That's a really big problem. So I think that Bitcoin, of course, isn't perfect, but for them to be like, let's come in here and say one of the problems with the new system without talking about some of the hypermassive red flag problems that are going on in the legacy system is kind of hilarious for lack of a better word. Exit question. Given that the dollar has lost 80% of its value since 1920 and the Federal Reserve has failed to eliminate the boom and bus cycle of American economics as they promised, is the Federal Reserve a successful system? Price, we're I think the one thing that folks are going to start becoming wise to and I've had a lot of these conversations with some credit card folks and some bank folks recently and it was in the sense that there was always the subsumed cost of processing fiat transactions as a part of the economic system because there was no alternative to which to compare it. And now we can actually compare the cost of computing fiat transactions for interest for I mean I got to tell you the computations on the amount of interest I get in my checking account is a hell of a lot more complex than proof of stake. So that level of cost savings even in the very clock cycles required to compute the very things needed for those currencies. Cryptocurrencies simply just outclass them head and shoulders and I think that eventually is where we're going to start to win the argument overall that it is simply more cost effective to have a blockchain and deal with everything being auditable and accountable in a public transactional ledger in order to be able to really in fact save fiat economics from itself. And of course the last time we made any economic decision about our money it was Chris MacEve like 1913 or something so it's been a long time there wasn't even any computers then it seems like kind of a lot's changed Chris Ellis. Yeah I think they should be kept about throwing stones shouldn't they? No I'm not a big fan I can't add anything else to what the other guys have said. Blake Anderson. Well I mean it's just you know the Department of Energy is going to get the United States you know we're not going to be dependent on foreign energy and our dependence you know skyrocket and we have the war on drugs and then drug use skyrocket let's have like a war on freedom and see if we can actually you know use some of this you know opposite day kind of reasoning to get some real freedom. Now it's just the untenability like the indefensible nature of the legacy financial system in comparison with an immutable ledger that cannot be changed or manipulated it's just hysterical it's comical and now finally we're going to finally audit the fed it's like he's way too late for those kind of half-measures it's kind of kind of funny to me. And of course they already started a war on freedom when they passed the USA Patriot Act which of course you all remember stands for uniting and strengthening America by providing appropriate tools to respond to an interdict terrorism act of 2001. Moving on it's all happening at the World Crypto Network daily YouTube shows about Bitcoin and other cryptocurrencies the only thing missing is you get involved make your own show or help out behind the scenes learn more at worldcryptonetwork.com Issue 3 will Bitcoin fall then bounce obviously the price of Bitcoin has been going down lately technical analysis says the market is oversold and we may be reaching the bottom of this long down trend others have speculated that a strong dollar the alibaba IPO and banking troubles in the aisle of man may have led to Bitcoin's decline. Chris Ellis what are your thoughts? Well you know how I don't like to say I told you say right I don't like to say I told you say so I'm not I'm just going to show you this tweet from someone else who said that I called it and I did call it and largely because it was not sustainable that you had all these people over investing for emotional purposes in this brave new world apparently that we were going to go into it was going to solve all the world's problems and I'm slightly guilty of that too so I'm sort of saying this tongue in cheek but it just wasn't sustainable for us all to live off our savings all this time and I spoke to numerous people who were dissaid to me I need to eat I need to eat and and eventually they had to capitulate and I don't think that's what triggered this big price drop actually I'm a big fan of Bitcoin markets over on the Reddit and I suggest you check this out somebody here is very very bearish and I have to kind of agree with a lot of his sentiment which is that pretty much everyone has to sell because the just isn't an off-demand that the merchants have to sell as soon as they get it the miners have to sell because they can't pay for the electricity and the fact is they're just it isn't the by support that there was in the hundreds range when we were down there now that doesn't mean that I think that the price is going to go down to a hundred which is what a lot of people seem to be saying on the forums at the moment if you head over to here but yeah I do I do think that it does have some serious implications for Bitcoin because we do need our currency to be taken seriously if we are going to get any of those lofty ideals that we talked about earlier on Blake Anderson well yeah I mean a lot of people forget that until you know Bitcoin is produced at a deflationary rate of progress until 2140 when the 21 million Bitcoin is produced and what does that actually mean a deflationary rate of production does not mean and cannot be conflated with deflationary period with being destroyed and things like that what what deflationary means is like let's say you have the price of Bitcoin going up and the price of goods and services going down relative to the purchasing power of Bitcoin and that is engendered when the hashing power is going up at a certain rate and then the price is going up at a certain rate but when the hashing power continues to go up at an almost exponential rate and the price begins to go down then that turns that system on its head and then there's about 1.5 I think million dollars worth of Bitcoin that is going into these different mining pools that are having to liquidate because they cannot pay for electricity and let's say that you have like coin-tera hashing equipment that's going at 1.6 or 1,600 giga hashes and you have a 50-50 mining contract deal where you get 800 hash and then somebody else gets 800 and then you're going to use you know half of it for their payouts and then half is going to be for you to pay for power cough and stuff like that I don't think that that's profitable until that the price of Bitcoin is around 5.15 and so since it's well beneath that people are having to liquidate and go into debt and you could maybe you know shoulder that for a long time period if you have the investment horizon appropriate to get through that time but people have way way way unrealistic investment horizons which means the amount of time that you have to money borrowed from is way way way too short and then they have to end up going into a loss to pay for the coins that they're making in different things and then they try to use savings and what this does is it creates a lot of excess supply of Bitcoin on the various different markets and then yes supply goes up, demand goes down and then people have to sell more and more Bitcoin has to chase after the same things and then you get a giant you know running issue so what we need to kind of deal with to try to get the hash rate and the price to hit an equilibrium where it is matching with the amount of demand that we have for Bitcoin right now because if we continue to just act like you know the ends will justify the means and we can be like Rome until the soldiers cross the Rubicon because they haven't been paid and kill everybody that's probably not going to go well so I would say that there's a real danger of leaving the deflationary engendermint of an increase in Bitcoin price to the four factors that are original without creating another fifth factor to engender that which nobody seems to be working on everybody's just like who's going to sit and wait for you know some giant hero of the day giant whale investor to come in and dump all this stuff and that's irresponsible. Well that was incredibly technical price weiner. From what of a trading perspective last night was really interesting there was a lot of action in shorts closed on Bitfinex which kept the price popped up but eventually those old petered out and back below 400 again it fell and it was almost it was it was almost like poetic in a sense there was all this frenetic action and you know there's there was a there was a flash crash in May 6th of 2010 of the S&P 500 and this is kind of what it sounded like right. That's like what it was like last night in the Bitcoin market it was insane and then for just there was millions of dollars being moved through the blockchain and a lot of it showed up on BitStamp and then for just one second for just one moment for one block there was no transactions at all the Bitcoin network literally just held its breath for one block it was amazing I have never seen anything like that before in all of the years that I've been participating in this that it was absolutely just a unique moment last night and I think there's a lot of uncertainty right now obviously as to why the price is so low and you know in my estimation the alibaba thing is just total nonsense even the article that was published on Bitcoin magazine I completely ripped it apart today they said Bitcoin BTC China was the number one volume exchange which is ridiculous it is far and away okay coin and who won't and Hobi is even above that so honestly you know you have to take into account some of the some of the sources and please buy all means check your facts even because if it comes from a Bitcoin magazine article or a coin desk article that doesn't mean they're correct if somebody says something please double check it especially when it comes to where you're thinking about putting your money that's really important and you know unfortunately there's not a lot of places that we can turn in order to get that information so you know the rule the day is always dy-o-r do your own research you know if I had to call a price I think we're going to see 360 or 350 before this is over. Exit question how low will it go? Bryce says 35360 Chris I don't know I can't predict the future any better than anyone else and I always say it I mean all I can really do like I have been is just comment on what I'm hearing and seeing right in front of me and so that's what I will continue to do. Blake the price will go as low as you as an individual watching this broadcast will allow it to go by continuing to do irresponsible things and or by not taking it upon yourself to try to develop solutions to what's going on so I mean look inside of yourself and say how low am I going to let it go. I think we'll develop those solutions maybe I'll go buy some stuff on Amazon with gift that sounds fun. Moving on issue four Tim Draper Bitcoin's price still headed to $10,000 a coin. This quote may only be seven days old but one of the largest Bitcoin holders the winner of the Silk Road auction sees the market very differently than today's depressed price. Tim Draper noted venture capitalist disagrees with the current market he says he sees an entire economy being rebuilt he has a price target of $10,000 in three years and he says even that may be pessimistic is there no reason to fear is this really the mother of all buying opportunities Blake Anderson. This depends on the continued development of Bitcoin and technologies which work with Bitcoin and not having everybody with the technical wherewithal coming in and trying to make their own pump and dub operation and wasting everybody's time so it definitely could happen but I don't think that anybody for a second should wait but so it should kick back and wait for it to happen if you are invested in the future in which we're going to have some economic freedom like learn the things you have to learn get motivated talk to people do not sit back and just be like oh poor me I don't know what's going to happen I'm going to have to wait longer now do something about it. It's true we can make this happen price winner. Well you know I think I might even been on this show I called a $10,000 price on Bitcoin in two years before Mr. Draper did so I mean I am quite obviously in agreement with his opinion and you know for all the some of the silly and immacurate things that Mr. Draper said about Bitcoin this time I think he's actually got it right. It's often that people can't see the market and other people's analysis is correct it just takes time we just have to wait this thing out. Chris Ellis I've never been a fan of the psychological price targets that ends up manipulating the market I think one of the first people to do this was Max Kaiser I think he received a lot of Bitcoins and then he started going on his whole kind of an estetoshi cyber Christ what will happen if 5% of all gold investment diversifies into Bitcoin it will get to a million dollars a bit going but before then it will be what was it half a million a Bitcoin before that would be $10,000 a Bitcoin I remember this kind of what this does is it psychologically charges you it's called anchoring adjustment in psychology if I say to you 20 and then five minutes later I say what is the population of Nigeria you asked to statistically more likely to say something with 20 in it just because I primed you beforehand it's 20 million dollars. Yeah it's entirely arbitrary and you're being manipulated and I think that we need to promote Bitcoin for its values that's not the same the price is an important it's just that the price is historical when you see it so can everyone else it's already happy. Well hold on a second now now with that point I'm I'm gonna have to say hey now because there we do know the price is historical you're absolutely right and I actually posted last night to my Twitter and historical price on September 19th for the last four years since 2010 when Mt. Galk started trading and also related that to the difficulty so there's some you know some basis of comparison there and that you know we all you know everybody says oh Bitcoin you know can take over all the world of the world well when you have Goldman Sachs say that suitable price targets for bitterm and the near term are 10,000 and midterm is 100,000 and a long term is 1 million I mean this was March of this year when the people's Bank of China was still doing its thing and beating the dog that is the Chinese Bitcoin markets and and we were having all kinds of stuff here with that that senator from the you know from the southeast when when all this stuff eventually fell out you know everybody kind of missed the fact that Goldman Sachs said Bitcoin could be worth a million dollars someday Goldman Sachs like yeah yeah but I don't understand how that refutes the point that the price is historical once you've seen it that the price on the exchange once quite a city no there's nothing out of line with a 10,000, $100,000, $1,000,000 don't you understand that you're influencing decisions by saying that you're influencing decisions and when people of high status start pumping out these psychological targets it's trying some other people to make decisions in the future I don't I don't I don't discount that at all and you know what I'm I'm just going to go ahead and say that's that's the world that that's everything the whole world is essentially a pump and dump if you if you want to look at it from that as a perspective if you talk positive if you talk about the altruistic positive aspects of something you are still selling the virtues of that thing to your audience and you want them to consider it in a new way I don't think we can really escape that what what I believe at least you know I can't speak for Mr. Draper what I am attempting to do is at least be pragmatic about it I have a lot invested in this industry and predictions are a part of it and quite frankly I am one of those people who who who staunchly maintains that the price of any cryptocurrency is a measure of the hope and fear that it will achieve its primary use case and Bitcoin's use case is to change the world so when someone like Goldman Sachs says that Bitcoin is going to reach a million dollars to my ears that says that Goldman Sachs is on board with this that they are on board. That tells me they've already bought some and they're using their status to try and get the price to go up and that makes me feel that they're being dishonest and they're manipulating future expectations they are manipulating people's expectations. What do you do? I want to weigh in in the middle I want to Oh he was going to weigh in in the middle we were about to get like really No no no I want to weigh in Yeah go go Oh you achieved for the win Internet Internet and Minnesota Internet He's been into such it by the NSA This was just getting so good Yeah Like had to get it erupted in the middle Can you hear it now? Can you hear me now? Yeah yeah you have no neck It's uh uh I think you're right I think You know what I mean Try try 7-4 you got some flags There's something made with some sign language you know Uh uh uh uh All right well let's let's just you know this is contentious Let's just move on to our exciting exit question which is of course next week's Bitcoin price So obviously Chris Chris isn't going to go for us we're going to go to price any predictions for next week For next week uh and in Bitcoin price just want to make sure I'm oh yeah Um I think if we uh if it hasn't if we haven't hit 350 yet we're going to I think that's a solid floor that's at the point where miners Where the Bitcoin with the Bitcoin's the the economic specific to Bitcoin start to kick in And I think that uh because at that point even small mining operations are no longer profitable They they're actually underwater and that is act that is the fact Oh introduction of debt into the system uh when you are when they're a Bitcoin is you know And you can't even pay for the electricity you're coming out of it from other means So I am expecting a rather vicious rebound at some point When people are simply tired of having to uh come out of pocket I mean I don't think they're going to turn your miners off But I think we're going to see a vicious rebound in the price I mean and when I say vicious I mean up to 2000 and maybe back down to 800 700 500 again Well that that would be nice Blake Anderson you're back Do you still want to try to uh insert yourself into the middle of this argument works so well last time Yeah, I want to I want to get in the middle of this and then have Goldman Sachs cut off my internet connection again So Basically Goldman Sachs yeah, they're going to manipulate like uh what what Chris was saying But you know on prices side they wouldn't have put the material investment into Bitcoin If they didn't think that they could either manipulate it or because they thought that it was worth it And we don't know what percentage of what is which but we have to know that there could be you know a gradient of What is their interest in manipulating it and how much are they going to hold long-term because they really Have seen the math and they can see that it's you know a deflationary rate of production to 2140 with the 21 million coin etc etc It's going to be lost people to hold Bitcoin or at prime keys die all the time and lots of it gets destroyed destroyed Proof of burn and all that kind of stuff So Goldman Sachs is not you know Maybe we don't want to champion them as like a moral night, but I mean I don't think they're stupid so Very good Well, I just do this starting from for one second That there's also one one other thing that's really important about that enough that those numbers from Goldman Sachs Some really over this year At about $60,000 a Bitcoin Bitcoin will include and completely encompass the M zero monetary supply of the United States That's all of the paper money in circulation as well as all the money and banking and checking accounts At 60,000 number at 60,000 dollars. I call that the Rubicon point because after that there's no turning back Because Bitcoin is as large as the United States caught them We we better fix the code before we get to that point Moving on to questions and answers our first question is from our friend the pirate the dread pirate Theo Theo says at what point BT miners to turn off the miners and the difficulty will drop Is the current price and arguments against proof of work in favor of proof of stake Blake Anderson No, I don't think it's an argument against proof of work in favor of proof of stake I think that people that are running mining operations that are improperly cooled and have to pay through the nose for a bad cooling setup And they're liquidating all of their energy costs to you know not even be able to almost make any money I mean that's not good. I mean his price had the price point of you know smaller operations And I had the price point of larger operations at about 515 if you have a like Let's say you have 70,000 BTU of cooling power and you have you know 7 1.6 terahatch machines if the price isn't at around 515 you're gonna Lose money running that at a 5050 split with your mining contract So there's a lot of stuff that come into play as far as when which people that are running which hardware are gonna lose money But I don't think that this is a an argument against proof of work proof of work for me right now It's the most temmable system to run a cryptocurrency long-term upon And remember the big problem with proof of stake is it's just playing up creep It's creepy you have to keep all of your coins online where they can be easily stolen so that you can stake them That's just creepy. I don't want to do that We've also got a comment from Nick. Nick says today is talk like a pirate day Yarr September 19th every year Yarr it's an internet holiday that Chris has never heard of before It's populated by Dave Barry and his column from Florida Yarr infalc engine Europe Yes We've got sumucha. Sorry about the pronunciation from India. He's got a question for price He says do you think we'll ever see P2P transactions in Bitcoin from merchants rather than via payment processors? Uh, I think that's a definite possibility um, you know, I uh I actually do them myself Um as a part of doing business So I think that's I mean and I'm talking like commercial remittance. I uh, you know have an interest in a coffee house And we accept Bitcoin there and uh, that is done purely you know with cell phones and iPads So I don't you know, I think that it's a matter of becoming comfortable with the technology and that remittance processors are like training wheels and eventually You're going to throw off your training wheels because there's just a cost savings in there and bit pay you know Bless their hearts. They're going to great lengths To not be cost cost impactful on their merchants because You know, I think they found out first that as soon as merchants figure out what Bitcoin is and how to use it the first thing I do is dump the payment processor You can do pretty much the same thing with the blockchain wallet that you could do with any payment processor Right pretty much right there Let's see we've got a question from Chad. It's not written in pirate speak. I'll see if I can translate Yer Are we into Bitcoin because we want to make a million or are we into Bitcoin to make the world a better community or both questions really just the same thing Chris Ellis No, I think profit should be the result of getting things right It shouldn't just come at like the expense of someone else and there are different ways of achieving that And um, I don't mind. I'm not a first people getting rich. I just want the right people to get rich if possible I think like since I've been hanging out at this squat in London. I've met a lot of homeless people and It just just I don't know like I just get very emotional about it, but it's just This is totally this isn't justice. This is not what justice should be like You shouldn't have this kind of elite property owning class that manipulate the market of people within that industry have been messaging me privately to tell me that is yeah, it's manipulated We all know it's been manipulated and we all talk about it over champagne We laugh it off and it's just this kind of unconscious thing that they go through but there are some people who Particularly in real estate in the UK. That's not what we call it here called the mistake agents But they are starting to realize that you know, it's not it's not pretty and it's not very nice And now that we're becoming more connected is it's much harder to screw someone over when you look them in the eye And I think that the internet now is making us realize just how small this global community is Good point Blake. I can I I'm gonna jump in I totally agree and um, I think that um The white paper as written by Satoshi says that the system ought to uh reward good behavior So there should be like the more money you're able to make with Bitcoin It should be because you're securing the block or you because you're doing something that helps to engender price Discover your things like that and if we look at the utility of Bitcoin as a token to go around and become monetized in and of itself That will push down the need of people to want to have IOU based ownership of different other things to trade they will not have as much utility And then we will want to actually have tokens that are backed by different things that are then traded to hopefully make it so that we can have Less friction oriented tokens that have more utility to go around and have people hoard those instead of hoarding resources The people need so in a best case scenario it could really really really help the world Excellent moving on to the next question Pirate Theo writes in nasa I heard that bit to balloons cost if bit to balloons cost ten thousand dollars a coin Then they will have one percent of the private year four x market Now I'm sure if that's a question might just be a comment. Let's go to the next one Theo says does new bits have the same economic problems that bit shares x has with trying to be stable But building on the house of cards impossible liquidity issues Yarr Anybody new bits and bit shares x. I'm not sure it's a sinking ship. I don't know how many times they're going to recycle this Okay Thing before they realize that they're and that they have completely Ignored every economic rule in the universe of of supply and demand and the transfer of wealth and where things derive their value I mean these are like really base kind of things and you cannot just create these things and say because crypto And then suddenly they have value in utility that is just absolute nonsense And quite frankly the fact that this project raised five million dollars every day becomes more offensive Because it means there's five million dollars worth of fools out there left in the bitcoin community Because they funded this with bitcoin and we know they did because the days destroyed went off when the thing went IPO I it is absolutely just unconscionable and and eventually enough fools will be parted from their money that we can actually go on And real projects that actually do real things that have a real value for the unbanked for the rest of the world Will actually get created and funded Meh I'm glad you're not holding anything bright anything back price We've got another question from Nick Nick says user adoption is still stagnant That's why I think it's low that and all the weak hands have been shook out So good point by Nick and again user adoption is just as easy as you going to your local Small business asking them if they'd like to take bitcoin leaving behind a flyer coming back a week later Asking if they want to take bitcoin leave behind a flyer talk to the manager You know get a business card get one of those bit pay referral numbers. I hear so much about you can create bitcoin adoption in your own town Even if you have friends or family members that own a business. That's another good way to go Can I just come in here? Yes, today I went to a shop and I was wearing the bitcoin not bombs T-shirt and the guy up behind the counter is like asking me about it And I offered to pay he was the chain store So there was no way they were going to accept it But he seemed like yeah, he's like yeah, I know what it is like he seemed pretty happy about it Other than that though most of the time when I speak to new people that that are outside of the bitcoin sphere when I tell them about it I the look on their faces kind of like don't do the pitch don't give me the pitch I've heard it before I don't need the pitch And they kind of get worried that I'm just going to start preachy preachy and I sort of notice that and so I just pull away And I don't take up any of that time But I think Eric Ben stood an interview on rush today He's a bitcoiner here in the UK and his member's London bitcoin group London bitcoin group London meetup group here and And he said that a lot of people just don't want to have to think about this That it's kind of taxing on their mind that they don't want to have to worry about where to put their money that That it's changing your bank account is traumatic enough switching to a whole other currency And when do you do it and when do you get in and they know that there are sharks out there that are like trying to you know manipulate the message so they're not sure like who should who they should listen to so maybe that's something we should work on next Yeah, I wanted to kind of um, you know Parley what you were saying like I agree that's a I People that don't want to think they don't want to care they don't want to be invested There's so many people that have such a lack of will and The kind of brutal honest truth is that freedom doesn't work when nobody cares for every you know two parts Apathy you get one part to spare and like the people that don't take it upon themselves to look at the financial freedom And future of the world It's really a tragic thing because if you don't care that's not the path to a good future kind of like you know Well echoing what I was saying before about you know, it's up to you to decide how much adoption goes out How much you know development happens and all that stuff and uh, I don't know how to get People that watch an average of five hours of TV a day to care, but I think it's a really it's a really really big issue That's a good observation. How do you get people to watch five thousand television a day to care About life instead of like that firmware upgrades as they watch the TV Probably got to be on television first And I'll get on TV I'll just say again my my favorite quote from the gnn countdown video Which is one of my favorite videos where Ralph Nader says the lesson of history is if you're not turned on to politics politics will turn on you So too bad to all those people that don't want to learn things Got another great comment from nick Nick says don't forget the that bit give raised $11,000 for the water project to build wells in Africa So bit give is absolutely doing good work You can see the money go from them to the water project to the well to the people who need water and that's good charity Let's see what else you got Sumitra writes what's the history of talk like a pirate day? Well as I alluded to earlier it was a column written by Dave Barry who's like a humorist who writes little short newspaper columns And as kind of a joke and the internet started to pick it up and people would just chat in chat rooms You say y'all after everything on this day, but much like April Fool's Day It started to get bigger and bigger a few years ago Facebook offered an option in the language and it's still there You can go change it now on your Facebook page instead of English you can take English pirate and it'll change all the likes Into a catten catten checking out your your bill drats and they do the whole thing They've really changed their whole site they've definitely spent a bunch of hours on this and as I'm sure you saw today Sumitra Reddit went all talk like a pirate and that was every single reddit that wasn't a choice That was like we're doing this thing. So I think it's great. I hope it grows April Fool's Day has gotten a little big This one's still a little smaller. We can just enjoy it on our own. So it's a fun day Oh, we've got a great comma here from Brandon Brandon says I got mine and fuck you Blake Anderson So your famous Blake oh Yeah, oh yeah with the with the with the don't die to charity. I've got mine. I'm the eye of soron at the top of the tower and fuck everybody else Yeah, they should put that under the pyramid. That's pretty good. I got mine fuck you The government so got a lot more questions here Let's see Okay, that doesn't make me sense to me Uh Let's see Sumitra writes how do you explain to consumers without enough money that Bitcoin is not making month not about making money But about freedom. Well, I mean part of well, that's good. That's good framing It's good framing of the question. I mean part of what I would say is don't try to convince everyone on the first try Let's let's stop shooting for the fences on this Bitcoin thing. Let's just be more like mentioning it casually And then don't don't try and convince them at all stop trying to make other people believe what you believe and just oh my gosh Thank you so much forget the word adoption You're not trying to convert someone to a month to a financial religion Uh, sorry. I didn't mean to write in the meaner and I interrupt you I would just want to agree with you Yeah, sure. Yeah, I I want to educate people for an average of four hours the first time they've heard of it and I've been on the phone for all of the philosophy first until they're in a coma and then I start to talk about the economic benefit Well one thing is for sure the Bitcoin is certainly are Tireless and determined so I want to say thank you to Sumitra who must come on the show sometime just so that we can pronounce his name properly But yeah, he's something this link earlier on to Zen habits, which is one of my favorite places to go on the internet And the one of the things that it kind of says is that if you start to create an image you think that the customer wants So that they buy what you're selling that you're now a marketer a manipulator your untrustworthy and Basically this article states that it's the lot of this manipulation comes from a lack of confidence in these business owners themselves And that's why they resort to manipulation techniques That's why they do the SEO and they try to drive traffic The engagement you know got to get the engagement And they use all these kind of bullshit technical terms They refer to things as content rather than pictures and music and interviews And they just talk about it in very very theoretical ways because they're just there to put money in one end and get more money out the other end They don't really care about the people and like I said earlier and more into connected world That's going to get harder and harder to do so I think that sumitri is right on like in his observations and the couching of his question Excellent and we've still got some more questions. They're all from Theo says uh Why all the worry we'd be above the bit to balloons price lows in April 15 16th, which was a day a close of 364 lower crashes higher pumps Maybe Didn't Nick say on Twitter that it would have to get to $60 in order to mirror the thirsty to two dollar crash that we had the first time One of the bigger That just then it just happened higher and there's and this is now a market without mount gocks So that is something nice if we if we come back it'll be presumably authentic Yeah, well volatility is a day traders best friend, but I think that we also have a um you know We have various different exchanges where the order books are very thin And there's a lot of bot trading going on and that's hard to sometimes keep track of because in traditional Methods of finance or whatever you maybe had a little bit more know your consumer and stuff like that And you could see who was trading with who will blah blah blah and if there was anything that was super thin going on It was a maybe a little bit more apparent than when you have various different key addresses and stuff in the Bitcoin blockchain That are trading back and forth among themselves. You don't know who owns which wallet. So I wouldn't say that the bot trade spike false volume is not gonna happen again But at least we'll be looking for it this time So again with the dumping it to be incumbent on you everybody look for that and continue to record and And talk about it so that it doesn't happen because if we just expect that it won't because gocks is gone I don't think I don't know if that's a good idea. So that's my two cents on that Theo also asks do you think that off the off the chain brokers be dumping on the exchanges? Do you think that bit pay and other companies would really trust exchanges with blocks of 200 bit to blooms? Win be blowing We know they do we can see the blockchain we saw it last night and and it was to the favorite well standby bit stamp So We we we we know I mean there's really no question we know it happens and they dug up wall I mean it was like gosh, I think someone said last night it was something like 300,000 Bitcoin days destroyed last night in one block Uh, nah this was this is like well panic I mean this was this was nuts last night Very crazy. We've got a question from Rand. He says was mount gocks responsible for inflated highs We don't know for sure There was the willy report which said that two bots willy and mark us were trading inside of mount gocks Perhaps causing the price to rise. Uh, no one really knows 100% We don't know to what extent I mean because it's like are you gonna get names and dates and birthdays and the finite No, you've got a key and then you've got key pairs and then you've got you know various ways of going back and They're like well this account and then this account Who owns each account is one person own both do two people own like it so it's it would be very impossible to Incontrovertibly prove but there is you know they we are pretty sure that it was happening to what extent It's almost unprovable. So it's kind of an area of gray, I guess It does it does seem like they were always leading the price before there was definitely some kind of strange Upward pressure coming out of there and and that may be because they were hacked and they needed to raise the price to get their money back Or they needed to raise more fees Cosmortrating there's a lot of speculation because it's a black box. We don't know what happened inside there We we do have the leak database, which is where they they did the report from the willy report and uh I don't know carpella doesn't seem to be talking We've got a question from Johnny Johnny writes the fed seems to be eyeballing ripple. Do you guys recommend diversifying a little into it? I don't know about that Ripple was in And and everybody hates it and in fact one of the people that founded it hates it so bad He made a big deal about dumping all of his ripple on the market took those profits forked it and launched a competitor So I've been wondering by what measure anyone thinks this is a good investment I mean like anyone like I would like go to Jim Kramer and ask him hey Would you buy ripple with all this and I think Jim would be like You know with the horn No Gotta get one of those buttons Right this is gonna be the last last question or comment for today from Chad He says when Blake isn't disrupted by the NSA. He's a cryptographic talking machine That's pretty good and a singmucha. Thanks us for for answering the questions And we're gonna move on to predictions or story of the week Blake Anderson Are you ready with a prediction or a story of the week? um Again, I guess I'm just gonna have to Re-channel my emotions from earlier which you know my prediction is that the space is going to lack development and growth for as long It's the people that are invested in it emotionally mentally and materially financially allow for it to happen if you are Emotionally invested in blockchain technology because you can believe it will save the world And you go out and tell people that if you are financially invested in it and you want to figure out what's happening Learn more about you know economics Austrian economic crypto economics and go do that whatever niche area that you have a passion for in the crypto space It's up to you to go out there and um and to help it succeed Everybody sitting back and being like well, how long we're gonna have to wait for this or that? It's it's very irresponsible So please don't be that person Price weird Still okay, bye Here's my prediction my prediction is nautilus coin will be released soon with roovo steg not just gonna Um, I had to say that at least once otherwise someone was gonna shoot me Uh story of the week You know this this Bitcoin price action is I think probably the biggest story in crypto right now Um, it is an utter collapse of any remaining bubble Said to prices so low compared to the debt to compare to the difficulty that it is completely Unprofitable to mind the coin and will in fact put you in debt if it goes much lower So I'm I mean that to me that's that's big deal. So I I wanted to go lower Uh quite frankly. I would like to see it be squeezed all the way out until it hurts Well, it's getting there Chris your prediction or story of the week my prediction is people keep making predictions And they'll still not be true because no one can predict the future But anyway, I want to talk about runnymead and the site of where the magnetcarts was written This is Vinny and I met Vinny and the the people down there um in sorry Uh to see what they were making they were building an eco village in the middle of this forest It's like 78 because of unused land um, I believe it's owned by the royal estate But I'm not entirely sure and um at the moment the the the people that own it they have some security around some of these old buildings I'll just take you through some of the pictures today and This is like the magnetcarts. So this is um amir Tarkey sort of looking at the code. He's not impressed He doesn't like the if statements he thinks mathematics is much much better And what I really like about this crew of people is they're just investing in one another like that actually building their own houses On this unused land and the agreement they have with the security there is as long as they don't touch any of the existing structures on the property They're free to just be there now. It's obviously an informal arrangement and therefore not very stable But people have been there for like two or three years now and they are actually building these stable structures and living off the land And Vinny built his you know built the water system. You can actually have a shower there It's kind of very crude and you probably wouldn't want to do it in the winter But it's really I was just really impressed that they were just investing in trust like actually raising kids In the middle of this forest, which is kind of cool And you're not too far away from civilization You're maybe like a 20-minute walk from the town like that that's nearby So and this is one of the old buildings I went around and I had it had a look But this place hasn't been used in a long time and you kind of got this I don't know quite I'm kind of cool. I wouldn't want to do this myself But I'm quite caught up with the kind of the romance of it all you know what I mean I like this kind of back to base I wouldn't want the whole human civilization to do this But I think it's important that we don't forget where we come from and that you know that we do have these roots And I have enormous amount of respect for people one of the most prominent things to come up in conversation Was how good it was to be debt-free and you didn't have to have that You know overhang you enough to turn it up to commute every day to work and have that stress and then go listen to someone else's voice instead of Following your own path in life that you could just chill out in the woods and live very very frugally and cook for each other And actually rather than you know, you know, what you're stacking here is your stacking trust You're not trying to stack a currency and not speculating anything. You're just investing in one another like there's a guy there Um, I didn't catch his name, but he just he's a brilliant builder and he just builds shit for people You know, he just built someone a shower, you know, and he builds you know digs a hole in the ground and you can get water out of You know, and it's just very impressive So I quite like it and this is the Bitcoin squat we had this is the last supper And this is Arthur who's kind of like the daddy He's like looking after everyone. I mean he wouldn't like me saying that don't tell him. I said that um But he's he's really cool like he just knows what he's doing He's a real responsibility absorber. You know what I mean He's one of these people if you see something you need to do and he just gets on with it He doesn't play in a bad. He doesn't wait for someone else to do it first It and he just gets on with it. He just does it and he's been Looking around for some new new places for us to go Um, what else? Oh, yeah, that was me trying to upload the thing. I don't know anymore. Oh, yeah This this was some more pictures. Oh, yeah, and also I wanted to say that we've got another copy of the blockchain Heading to Toronto in fact it's it's there by now Julia Taransky Um, I gave her a copy of the blockchain and it loaded up very very quickly actually only took her like 30 minutes I think once we got it once we'd located where she was storing her copy of the blockchain. So yeah, that's um You know, I think we need to get more more kind of distributed. This is after doing some stuff. Oh, yeah And we also had a lot of press at the squat as well. Um, this is Mike butcher butchering and Miyataki and Also the via coin guy in the background there. Drack who's really cool. He doesn't he didn't want to be on social media And I was like, yeah, it's not gonna happen. They you are definitely gonna have your picture like everywhere You can't hang around with a man have the BBC show up and not get your face out. So I'm sorry I'm sorry, Drack for doing that But I could just speak basically Yeah, he's a screwed. I mean he was saying some interesting things. Um, I've been posting My hashes my proof of work into the Bitcoin blockchain. So when I do work I make a shaw one hash And then I put it in the Bitcoin blockchain to prove that that work existed in that state at that time I use git for this as well But Drack is actually working on via coin which means you can put a lot of this metadata into their blockchain instead of jamming up Bitcoin blockchain Which I would prefer to do. I don't really want to jam up Bitcoin's blockchain I would prefer to use a dedicated coin for that. So that's what he's working on it sounded very interesting Oh, yeah, and I I this was my one of my tweets of the week right poor me out for me coffee on Twitter had no idea that this was an option You can actually put politicians into dumpsters. So that's my thought for the week We should all go around putting politician into dumpsters. I had no idea that the ballot paper allowed for that See just just another option and now my prediction Yarr I wish we could have talked like a pirate day twice a year the price of Bitcoin be low Mates we've lost a paper fortune But we've buried our treasure deep in the sand and there it sits and waits for our bitter blooms are strong and our patience great This be a great cryptocurrency and as for our losses We'll just have to plunder over time to make up for them to the seven seas up Well out of time until next time. Bye. Bye