 Bitcoin has taken a hit last month while gold is rallying. Frank Holmes, CEO of US Global Investors joins us today. He says that the crypto world is affecting all fund flows in the market, not just gold. Frank, welcome back to the show. It's great to be with you. Happy New Year. Happy New Year to you as well, Frank. Last time we spoke, you mentioned that exchanges for equities and metals need to modernize to catch up with crypto exchanges. Do you think cryptocurrencies will ultimately make markets more efficient here? I do. The fact that you can settle with no failed deliveries, with Bitcoin every 10 minutes, and I think the real currency is going to be Ethereum, the model because there's contracts, and they settle every 10 seconds. So I think that that's where we're going to go and it's a lot less expensive. There's been 2,700 patents filed by major financial institutions to try to streamline their back offices for this. So Frank, let's talk about the recent rally we've been seeing in gold. Is this caused by fundamentals or outflows from cryptocurrencies into these more traditional safe havens? No, I don't believe this, that people are leaving their Bitcoin or buying their Bitcoin leaving their gold. All my research is that the early adopters are actually gold bugs and they just diversified and sold some bonds to buy cryptocurrency. With the real issue, Daniela, is these new currencies that have attracted $3.5 billion and young people are rather open account at Coinbase in 5 minutes rather than 2 days with a brokerage firm and trade these cryptocurrencies. Ethereum's up 300% in the past 3 months. That's more exciting than a lot of stocks. So I think that that's the real competition is for micro and small cap stocks, not gold. What about equity markets, Frank? Since we last spoke, equity has rallied on the Trump tax cut reform passing and the Fed having hiked no more than expected. What are some catalysts you're looking at for a potential stock market correction here? The stock market correction would be something external outside of the U.S. that would trigger that. I think or a scandal with the president that has teeth to it outside of a lot of negative rhetoric that keeps going on. Because remember, when Obama became the president and he checked his $700 billion and dropped what they call a thousand ones by seven rules the market took off, all the Republicans hate him so much they missed the greatest rally. Now they're the same thing with the Democrats. They all hate Trump and they're missing a spectacular rally. The best thing is to be a libertarian. The libertarians own gold and they also don't care about the who's with political party. They care about government policies more than anything else and the policies are very bullish for stocks. Trump talks down the dollar in a very subtle way. That's good for gold. That's good for global growth. We still have negative billions of straights and the new head of the Fed. We're talking about looking at that the inflationary numbers are understated. The new models are looking at are saying inflation is actually we know and you know and all the listeners know inflation is running much more than 2%. And so we're seeing that negative real interest rates is a true catalyst for gold to trade substantially higher. So finally, Frank, just to wrap here, we started a brand new year. What's your feeling here as investors continue to play this yellow metal scenario here? How do you see gold set up? Where do you see it headed? Outside of people like yourself, Daniela, that carry this beautiful message. The general media is negative towards gold, even though gold had double digit numbers last year and even though in the past 17 years it doubled the performance of the S&P 500. So we have to dismiss just the negative general media narrative towards bullion. And I think we're going to see more investors wake up to it's important part of their portfolio. I think it trades easily. Another double digits this year. Remember last year we talked about hitting $1,300 an ounce. I think it goes to $1,500 an ounce this year. Frank, thanks so much for your thoughts. We'll speak soon. Happy investing. And thank you for watching. We'll be back tomorrow.