Crypto Bans, Kobe Tribute, and Free Bitcoin
Good news for everyone in the Crypto world! After the threat of a possible government shutdown was narrowly avoided, we are already seeing an uptick across all markets.
We still aren’t as high as we were a month ago, which wasn’t much lower than our all-time peak in May.
Continuing the good news, Jerome Powell, Chairman for the Federal Reserve has come out and stated that the US will NOT be following in the footsteps of China and banning cryopcurrencys. He does, however, feel certain stablecoins should be regulated.
Of course, this fear comes after the massive sell-off from China banning crypto. One thing to keep in mind is even though that means fewer buyers on the market – it also means fewer miners. Having been to China many times, my guess is there were more miners than there were investors. I think in the end, it will be better for us all once the next bull run hits.
I also want to address regulations. A lot of people seem to be afraid of them, but they add legitimacy to our space. I really believe in blockchain technology – which actually provides far more transparency than cash, since every transaction is tracked.
I welcome regulation and believe it’ll help more skeptics adopt it.
Speaking of adoption, I’m sure you know, El Salvador is the first country to adopt Bitcoin as a national currency. They’ve also done something else very unique. They’ve begun mining Bitcoin using energy generated from Volcanos.
El Salvador’s president has posted a highly produced Twitter video showing off their rig – which is made of ASIC minders inside of shipping containers. There’s a link to the video in our show notes.
Geothermal mining is something we’ve seen used in Iceland since the beginning, and I am glad to see El Salvador adopting this. The cleaner the energy, the better it is for all of us.
Another country had big news you should Iran has lifted their three-month ban on mining in the country. Miners there are required to be licensed, but not due to concerns over illegal activity.
Iran’s ban and regulation come from concerns over the stability of their electrical grid. Having an unusually hot summer put a large strain.
Underground mining did happen during the ban, in fact about 85% of mining there is still considered illegal.
Anyway, on a more local level – residents of Cool Valley should be very excited.
The Mayor of this Missouri town is planning to give every household $1000 worth of Bitcoin.
I wanted to share a nice quote with you from the Mayor on his thoughts of Bitcoin:
(add sympathetic music)
“It’s given me a new way of thinking about humanity in the future,”
“It’s given me hope and optimism that we can overcome some of the worst parts of the system that we’re born into, and actually create a future exactly how we want it to be. There’s a certain level of hope and optimism that I get from Bitcoin.”
That’s actually really beautiful.
Cool Valley has about $1,500 residents in it. I highly suggest every one of them HOLD. HODL – Hold On For Dear Life. I feel a big run coming this year, and that money could mature to be much more than what you are given.
In fact, one analyst who has nailed Bitcoin’s monthly close for the last two months expects Bitcoin to be $63,000 by the end of the month. If true, that puts us back to where Bitcoin was at its peak.
To use a cliche, a rising tide lifts all boats. I’ll be honest with you, I do own Bitcoin – but I own a lot more Ethereum, in addition to other alt and meme coins. We’re still at a point where everything is connected, and we have yet to see very many coins break free of the Bitcoin trend.
So, I’m hopeful and we should all be rooting for Bitcoin. It’s still the gold standard of crypto.
That also brings me to my next story, another member of US government believes in crypto – but his opinions weren’t so well received. Representative Madison Cathorn, from North Carolina, tweeted out that he believes we should use Crypto as the new gold standard.
Unfortunately, his tweet was not so well received. Multiple news outlets have ripped him apart, as well as a lot of the Twitter world.
Of course, the US completely abandoned the gold standard in the ‘70s. BUT, I don’t think we will have much of a choice in the future.
Cryptocurrency will surely evolve in the future. Bitcoin might be the Friendster of crypto and something bigger and better may come along that we would adopt internationally.
Ultimately, that thought scares big banks – who have been preying on people for years. Let’s face it, they take the money from our savings accounts – lend it out to people for 20% APR and often give us back a percent or less. A savings account is the worst thing you can do with your money.
Thanks to inflation, you’re guaranteed to lose by letting money sit in a savings account.
The current banking system is bad for the common person, and it was only a matter of time a solution came along to cut them out and let the average person get what is actually theirs.
We’re seeing that with staking, which can give you returns as much as 15% a year – although the average tends to be around 5%.
Anyway, back to my point – I don’t think we will have a choice about Crypto being a standard. Its adoption is growing by leaps and bounds, and you can either be an early adopter or be late to the party.
Right now there’s still plenty of room to invest.
And for those people worried about volatility – look at ForEx. I’ve played with investing there, and all currency is pretty damned volatile and changes just about as fast as Crypto.
Ok, rant over.
Speaking of staking, though, if you were a user of the popular DeFi staking protocol Compound, you may have found an unexpected surprise.
Due to a bug in a new update, Compound accidentally gave out $90 million dollars to users.
They are asking users to give the money back – but are being a little generous by allowing users to keep 10%.
On the other hand, they have a threat for those who choose not to give back the money. They will report the error as income to the IRS – which would have huge tax implications for those who choose to hang on to it.
I want to switch topics not from currencies over to the NFT world. Digital art is booming, as all of you know.
Last Thursday, KB24 NFT Team announced the Mamba & Mambacita Sports Foundation is allowing them to make a series of tokens that honors the late Kobe Bryant.
All proceeds from the initial drop will be going to the Mamba & Mambacita Sports Foundation – which is a nonprofit organization dedicated to creating a positive impact for underserved athletes and young women in sports.
The tokens will go on sale to the public Friday, Oct 8th. I imagine they will go quick, and may even give Crypto Punks a run for their money.
The auction platform Nifty Gateway is under fire, as they are being sued by an art collector over the way their auctions run.
The collector recently bid on an art piece and lost. He came to find out that he was still charged, as the top 100 bidders all received a copy of the token at their bid price.
This would be equivalent to a second or third printing in the art world, but of course an original is always worth more. The collector didn’t find this practice fair, that the 99th bidder on the list essentially received the same thing only far far far less and he refused to pay.
As a result, Nifty Gateway froze the collector’s account and blocked access to all 100 of his NFTs. Tough move in a world where things move fast.
So we will see how this plays out in courts.
The virtual real estate business is also booming. The platform Next Earth has seen demand for real estate in Vatican City, where tiles sell for 42 Binance coins or BUSD.
In the metaverse that is Next Earth, tiles start selling at 1 BUSD, which is roughly 1 US Dollar. I popped on today to take a look, and there’s still a lot of open real estate there to claim.
I have to say though, it doesn’t seem very user-friendly and it is a bit of a pain to navigate their website. It’s easy to accidentally select a square in an area you don’t mean to.
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I wanted to thank you for joining me today.
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Resources:
Federal Reserve Chairman Jerome Powell Insists U.S. Won’t Ban Cryptocurrencies
El Salvador has just started mining bitcoin using the energy from volcanoes
Iran to allow resumption of Bitcoin mining operations after ban
Captain cool? The Mayor of Cool Valley in Missouri will give $1,000 in Bitcoin to every household
Analyst nails Bitcoin monthly close 2 months running — His October target is $63K
DeFi bug accidentally gives $90 million to users, founder begs them to return it
KOBE BRYANT NFT PROJECT TO BENEFIT MAMBA AND MAMBACITA SPORTS FOUNDATION
