 Welcome to Digital Asset News, the top stories in cryptocurrency digital assets and break up down to bite-sized pieces today. Interesting stuff. First up, this is from the Pomp podcast he had Brad Garlinghouse on as far as crypto regulation and there is one specific piece at 15 minutes and 58 seconds where Brad and Pomp talk about Chinese mining pools versus miners and how it's going to affect the entire globe. Awesome. Bryce dives back under 16.9, almost down to 16.3. As whale deposits spike again, we're going to take a look at what's going to happen with all these whale deposits and what that usually means, it's not good. Also the project that will not die, Facebook will reportedly launch Libra Crypto early next year. What that means for me, you and the entire cryptocurrency universe. And before we get into that, let's go into what's going on with the market. But before we get into the market, let's talk about the audio setup. So I'm doing a little bit of something different. Yesterday, it sounded pretty good. I did a little bit of a tweak. So let me know how the audio sounds later and maybe we'll keep one of these three. All right. So it is Friday, November 27th. It is 3.30 p.m. trying to get this done so I can check out my man Alex Maskioli show. He's going to talk about Ripple and Stellar's are cashing in, obviously. But what do we got? Well, I'm going to go this very quickly. Bitcoin's down. Everything else is down pretty much, except for XRP, XRP is up to 55 cents. Now, I think it was all the way up to 70 cents at one point, but there we go. Stellar's up 17 and 130% for the week. Good job. Stellar holders. And then 3% for them and 16% Hey, 16% for cells. His network. Fantastic. Also, I want to take a look at something else on coin gecko, most all of them. You can fill this out to take a look at Bitcoin because what we're just looking at was everything denominated into the US dollar. Now, if you look at everything from Bitcoin, it's a little bit weird to look at, but I think as time goes on, maybe this is how everybody will look at everything. We're going to take a look at a car and say, well, how much is that in Bitcoin? Well, that's 340,000 Satoshi, sir, or whatever it is. I don't know. But I just thought it'd be interesting to take a look. So, of course, Bitcoin's at zero because it's everything's denominated in zero. Everything's denominated in Bitcoin. So we got XRP up 6.4, 0.5, 70% for Stellar, 140% as far as it goes to Bitcoin. That's interesting, 0.8, 0.3, 0.9 for Tezos. So actually, if you look at things of Bitcoin and not as the dollar per se, things are up not as much like even Celsius, but it's just a different way to look at things. But again, who knows what we're going to look at in the future. So maybe we should get used to it. All right. Let's go on the market. Let's jump in today's stories. So here's the story morning glory. This is what's going on with the Pond podcast. And it was a really good solid episode, as usual, and it was about 35 minutes, so it's not too terribly long. But there was one piece. I want everybody to listen to this just to see where we're at, because Brad and everybody over at Ripple has been saying, I mean, first of all, Brad wants Bitcoin to succeed. He wants all of cryptocurrency to succeed and actually stole that whole, you know, as the water rushes in, all the boats rise. I just want to live from Brad. He seems like a great guy. But there's this part here and it almost sounds like he's making the rounds and saying the same types of things. And I know some people who love XRP are screaming at the screen right now, but the questions have to have to be asked. I mean, on this show, I'm not going to give anybody a pass. Anybody. When I had Alex on, I don't give him a pass. When I had Steve on from Voyager, I don't give anybody a pass. Even Brad. So when he's talking about things, I got to ask the question. So we're going to take a listen to the whole piece here. It's about three and a half minutes long. And Brad's going to say that China controls the mining and they can do anything they want with Bitcoin. We're going to break it down. So let's listen. Well, the Chinese Communist Party certainly has, if not control, heavy influence. I'm going to digress to simply point out, and financial, the largest IPO in history is delayed by the Chinese Communist Party. Let's not pretend that if the Chinese Communist Party wants to provide control or oversight in some way of these concentrated miners in China, I think it's not, that's not realistic. And again, I'm not necessarily saying, let's just acknowledge it and let's decide, okay, does it matter? Is it critical? Let's not pretend it's not there. Let's acknowledge it's there. Hold on a second. So there's a difference though between could they exert influence over miners that are a minority part of the network, right? Versus... They're not a minority. Of course they are. There's nobody who's got 50 plus percent control. Four miners in China have well over 50 percent control, but that's 200 percent. Sorry, the combination of four miners have over 50 percent control. So I have to stop because that's pretty funny. That's pretty funny because Brad was looking at a pump like, what are you talking about? I just explained it to you. It was pretty funny. But so, pump missed an opportunity here to really delineate about what Brad is talking about. Is Brad talking about miners? There's four miners that control everything? No, no, no. That's not what he's saying. There's four mining pools. And there is a big difference between a mining pool and miners. How many miners make up a mining pool? Well, there's a thousands of them because that's just how it goes. I was under this assumption too that since all the mining pools are in China, that China controls everything. But since I've been talking to miners on this channel, they've told me, Rob, you're wrong. You are wrong. I'm like, I don't know what I'm going to say. And they told me like, look, I can connect to any mining pool I want to at any time. But there are caveats to that and we're going to delve into it. Pomp missed an opportunity to say, are you talking about mining pools or miners? Because then we need to break down that argument even further. That's all I want to say. Let's keep going. They've got over 50% of the mining hash power, but they don't have control of Bitcoin, right? It's not like the Chinese Communist Party can change anything or do anything. There are miners. If you control the majority of the hash power, the miners are the masters. If you control the majority of the hash power, we have seen 51% attacks on other blockchains. If the Chinese Communist Party, I mean, if what you're saying is you don't think the Chinese Communist Party could go to those four miners and say, hey, you need to do X, Y, and Z. I mean, I'll ask you, is that the position that you're... Well, I'm trying to understand what your argument is in terms of you're saying that the Chinese Communist Party has the ability to essentially 51% attack the Bitcoin network. What for sure they do? Oh, I disagree with that for sure. All right, hold on. Wait, wait. Time out. Time out. Time out. Okay. So this is where it starts to get a little bit dicey. But so what Pomp is saying is, I think Pomp's a little bit confused on this one. I could be wrong. But he's saying, oh, you're telling me that these four can control everything? He's like, no, that's not true. But in reality, in reality, here's the thing. If all the miners that connected to those mining pools were located in China, then yes, that's totally true. That's 100% true. They could do whatever they want to. The Chinese Communist Party reigns supreme, obviously, right? But here's the thing. Here's the catch. All the miners that connect to those mining pools to Ant Pool and BTC.com and all the different ones, they all don't live in China. So it's not like the Chinese Communist Party can tell a miner who is in Grand Prairie, Texas, or a miner who is in British Columbia, Canada, or who is in the Netherlands to, hey, we're going to do a 51% attack. Now there's a caveat again. If the Chinese Communist Party said to all these four mining pools and said, hey, everybody's connected now, here's what we're going to do. We're going to do a 51% attack and we're going to screw up the whole network. We're going to collapse it and it's going to be an economic turmoil. Could they do that before all the miners figure it out? That's the question. That is the question. And I would have to say that a number of miners probably don't sit there and watch everything that's going on. And they may be a part of that attack. But what would happen if that did happen? Because you've got all these miners who were like, all throughout the globe, all throughout the world, they're saying, OK, China just did a 51% attack. They did double spend. They reversed transactions. They screwed up the whole network. Now I can't mind Bitcoin because it's going to collapse for a while, for a while. So they would just disconnect and they would go someplace else. Would the entire Bitcoin network go down? And it would never recover. That's the question. I don't think that would actually happen. I think just like, I'll give you an example. And this is a poor example, but still an example. Ethereum Classic, they've had 351% attacks, three. And they are still in the top 35, 40 somewhere around there. They haven't collapsed. Now Ethereum Classic is not Bitcoin anyway, shape or form. Let's just be honest about that. However, if it did happen, could it collapse and totally never recover? I don't know. Would it actually happen? I just don't think it would. I don't think that the Chinese Communist Party would say, we want to totally wipe this out because what's going to happen then? Well, all those pools, they're all done for. I mean, they can start to mine other types of cryptocurrencies. But the question would be, what is the end game? What is the point? Because if America, I mean, let's be honest, China and America are bat our butting heads this whole time. So if they want to do anything, it's all about economic control. So if they did that, would that collapse the economic power that is the United States? I don't think that would actually happen. I think it would destroy some companies here and throughout the whole globe. I just don't see that actually going on. So again, the question is, are you talking about mining pools or individual miners? And then it gets even deeper than that because you have to ask the question. Well, in these mining pools, they also own mining rigs. How many mining rigs do they own? They're not going to tell you. They're in China. It's not going to happen. So you have that prospect. And also, how many miners live in China, as opposed to living in Dubuque, Iowa, that opposed to living in Chihuahua, Mexico, that opposed to living in and name your country and state? So how do we know that? Well, we don't know that. We only know the hash power. And we know the mining pools that exist. We don't know how many miners are there. I don't believe personally that that is actually the case, that that actually happens and people say, oh, you're naive because China owns everything. I don't think they own everything. I think it's a lot more complex than that. And it's beyond my pay grade. I just don't believe that right now that China would just destroy everything at the drop of a hat. But again, I think Pomp missed an opportunity to really delve into this subject and really parse things and break them apart. All right, let's keep going. Put a pin. Hold on, pause. I know you well enough, and I think you know me well enough. We're not going to change each other's mind on this. So just put a pin in that one. Oh, well, let me ask two questions. OK. Do you think the Chinese Communist Party could, if they wanted to, control those four miners? No. But they can control the IPO of the largest? I mean, like by comparison? Of course. No, what they can do is they can shut the miners down, right? But like the Chinese Communist Party does not control financial in terms of make the business decisions. What they did is they stopped the listing on an exchange. Of course. But they control the exchange. If I come back to you with maybe five examples where the Chinese Communist Party has actually made decisions at a more micro level, then you would make. But here's a good example. Hold on. If you use the anti-financial example, right, that would be like me saying that the SEC controls Ripple, right? Because if you just compared the Chinese Communist Party to the Trump administration to the SEC. I don't believe that in comparison to how the US government works and how the Chinese government works is a. No, I know my point being that when anti-financial goes to conduct the IPO, right? It's very, very well documented that Jack Ma said some things that sounds like it pissed off the CCP. And there was whether directly or indirectly, you're not going to take the company public right now, right? Was it a decision made and that was executed? Why it happens is besides the point, just the fact that, yes, they stopped that from happening. That is, in my opinion, no different than if an outside regulatory body or the government stops you from listening on an exchange or doing something. And I think where people have the problem is why it happened, right? Like imagine if you were trying to conduct business and if you said something that upset somebody, then they would come after you type situation. That wouldn't be a good business environment to operate it. But let's go all the way back for a second, all right? OK, so from right there, they just, he kind of skirts around it and goes something else and that's fine. I'm not here for that. So it was just an interesting conversation and there's a lot of different moving pieces to that. One is I don't think that some people realize the nefariousness and the devious nature that can be China and how they will do whatever it takes for economic and total control, not just of their own people, but of everyone around them and global domination. That's the whole point. So the question really is, is why do these individual miners ever hook into the mining pool on all these mining pools, which are like things like 60% now, that is in China? And the reason is because it's cheap electricity, right? All the miners tell me the same thing. Our job is to mine Bitcoin at the cheapest electricity because that's the highest overhead. So if that's the case, then you want to go where it's cheap and it's cheap over there. However, things are changing a little bit because we have layer one coming up that is back by billionaire Peter Thiel and they are looking at getting wind power that can get them less than 1 cent per kilowatt hour. And this is growing. They're supposed to be expanding up to this year. And what they're looking at is to have the Bitcoin mining come into the US and also Canada between 20% to 30% of the hash power that is. So as time goes on, I think there'll be a little bit more or less of a monopoly and that is a good thing for everybody. This is supposed to be decentralized. And right now, you've got mining pools all located over there. And then another big argument was, well, you don't understand. It's because all the ASIC miners, all the miners have the ASICs motherboards and that is what controls it. So you have to go through China for the motherboards. So I have a hard time believing that America, which gave us Google, Apple, Amazon, Tesla, name your big tech company, can't come up with a way to manufacture better motherboards than China. And now that we're getting into this big race and we're getting into all these institutions coming in and you get to all these different government agencies, I mean, the SEC and the OCC just put out a press statement about custody, do you think they won't be looking at this a little bit more and going, you know what? This really is an issue of national security, especially as other countries are adding Bitcoin to their treasuries. Do you not think that this won't be the next big space race? Let me just think of the comment section, but there's one more piece and that is that there's two more interesting pieces that they talked about. One was Brad was, and he was right, he was right. He was ticked off of the fact that the SEC and the CFTC came down and said, hey, you know what, Bitcoin and Ethereum, they're good to go, they're not a security. And it gave him the green light and it put the handcuffs on Ripple and XRP because he talks about it, he says, you know what? We've got all these different institutional customers and if we could just get regulatory clarity because he says, I sit down with the CEOs, with the bank managers and everybody and they say, hey, we're using Ripple and we love it, but we can't use XRP because it's gonna be a security. And then he's like, you know, if we could just not have this security, we would really blow it up. And I think that's true. I think if somebody would come down and say, okay, it's not a security, well, first they have to go through that lawsuit and that's gonna get dismissed. I don't know who knows how long that's gonna take. And the second thing is, then the government has to come out and say, it's not a security. So I think once it happened, it could be really great, but who knows until that time. And the second thing is they talk about, well, since there's not that much regulatory clarity, he goes, as far as like Ripple, we're here in the United States, but 90% of our XRP and everything else that we do is outside the US. So if we wanna leave, we'll leave and we have no problems. And he did talk about how he's proud to be here and he wants to be in America. So he's not like, he's from Kansas for Pete's sakes. It's not like he's like anti-American, but he's like, you know, if the government's gonna shackle us, we're out of here. And I have to agree. I think they should. So anyhow, it was a deep conversation and I was just a couple of minutes. So go ahead and check that out. I'll put the links in the description and let's go on our next piece. Next up, Bitcoin price dives under 69 as well as deposits by, again, this is a pretty simple concept. Just so you know, the more that whales and people move their crypto from their wallets onto an exchange means only one thing, they're gonna sell. So Qiyong Zhu, the CEO of CryptoQuant, report that the all exchange inflows mean indicator reaches the danger zone. Historically this calls Bitcoin to suffer short-term corrections because everybody wants to sell. Feeling the start drop of Bitcoin, a low volatility price range was expected. The early drop on November 26 was to 16.2. And then also there was hundreds of millions of dollars worth of futures contracts were liquidated within several hours. Man, that sucks. So what this means is that it's still going on. I'm gonna stop this whole article like this. There's still a bunch of whales depositing to exchanges, they're still selling and the price is still gonna drop. So if you think that you wanna go all in today, again, that's always a mistake in my opinion, I think you should dollar cost average. Me for one, really the question for me is like, where's the bottom? Cause I always wanna think about like, what's the lowest price I can get? Well, I'll never know. So that's why I dollar cost average cause I'm just not that smart. I just put it in, I set it in, forget it and that's it. So like whatever it is today, I woke up, I was pretty happy. I'm like, oh, it's nice and low. So of course, every day I put money in the crypto and that's how it goes. Now, I increased that a little bit more. I think I increased by 10% or 15, I forgot. Then I bought a little bit more Bitcoin, and a little bit more Cardano because I think those are gonna do well. Also I bought Ethereum too, I can't forget about that. And I increased it by, I'm pretty sure it was 15% more. And as it goes down, I'm gonna increase a little bit more and then as it goes up, it starts to like fluctuate. I decreased that to baseline. So where's the bottom? The expectations are this, some trader experts who, whatever, they're saying it might hit 16,000, that's the level of support. Others say 15 and 14, which I always think is fun. It's like, oh, it's support level, but we broke it. So it's not a support level. I'm like, well, that's not a support level, but whatever. I understand the TA thing and good for them and percentages and whatever. I mean, I'm just not a trader. Meanwhile, popular Bitcoin trader, tone vase, said on November 25th, he expects Bitcoin to drop even further to the 14,000 support level. Wow, that's pretty low. And that's, I think also what Ian Blin was talking about, 14,000. So hey, we'll see. Anyhow, so that's it for that piece and let's move on to our last section. So next up, this is hilarious. Facebook will launch Libra Cryptocurrency next year. Why is this hilarious? I'm gonna tell you why. Because first of all, it's set to make its debut in early 2021. They're talking about January. And here's the thing. In the original form of what it was supposed to be, it was a basket of currencies that they were gonna use. They were gonna say, okay, it's gonna be the dollar. It's gonna be the euro. It's gonna be the pound. It's gonna be the peso. And we're gonna have a bunch of different basket of currencies. And we're gonna be global. It's gonna be awesome. And that's what we're gonna do. And now they're like, hey, guess what? It's gonna be a single digital coin, back one for one by the dollar. Three sources to hold the publication rather than multi-currency coins. So again, Facebook thought they were invincible. And the government said not so fast suckers. Grab some bench, time out. You're not gonna do anything. You've already screwed up with all the different ads that you guys run and all the different theft of private data. So we're not gonna fall for that. Fool me once, fool me twice, fool me five times, maybe, because we're the government. But the sixth time, we're gonna get you. So I just think it's a toothless tiger. So they do that great. It's gonna be great for Facebook. They can have people on Messenger buy useless junk and back and forth it goes. I'm surely bigger than that. I'm just, that's hyperbole, but I just don't really care that much. So, hey, good for you Facebook. I never liked them anyhow. Anyhow, so that's it for those pieces. But I will just make mention of this. We are coming up to the end of the year. If you don't know, I use this thing called I Trust Capital. It's for the IRA for crypto currencies. So I put in dollars and then I trade into Bitcoin or gold or silver now. XRP, Ethereum, and a host of other different cryptos. There's not a ton on there. There's just enough for me to get into a crypto IRA which helps me to avoid a lot of taxes. Now, you've got until the end of the year to sign up if you wanna take advantage of this year. Depending on your age, it could be around 6,000 or 7,000 maximum per year. That's how the government works. And that's it. Look in the description and all my videos. There's a link. Looks like this. And you get the first month free. There's also a big explainer video. It's like 19 minutes. It explains everything of why I chose this company over all of them out there and why I'll be using them for the next 20 years until I hit 60-something or a lot of others. Oh, and if you enjoy these videos, there's gonna be two months gonna pop up on your left and right. Not sure which one, but YouTube do its magic and that is it. So thanks for watching. I really do appreciate it and I'll see you on the next one which will be money on it. Bye bye.