 What about digital asset news? I get top stories in crypto currency digital assets and break them down into bite-sized pieces today We've got one piece to go over and it's fascinating This was by coin telegraph they over their own YouTube channel and you should check it out It's pretty got a lot of pretty great information But what they did here is they interviewed Dan Moorhead who is the founder and running manager of Pantera Capital with 500 million assets under management and they go over a plethora of topics a Q&A They talk about things such as which is going to do better Bitcoin or alts What is the whole thing behind? Maximilism Bitcoin maximalism and what kind of DeFi projects are they invested in and what do they think's going to happen as far as a price prediction in the next year two years and five years So this will branch off into multiple sections We're going to go over different parts of what he talks about to verify the accuracy and it's pretty good stuff So we'll go over all that in a bit. But first let's take a look what's going on in the market So first up. It's early. It is Sunday September 13th about 10 a.m. Texas time and here's what we got going on So over seven days looks like bitcoins up a percent but down a percent for 24 hours hitting around 10 to I'm just happy That's above 10,000. That's all I really care about if three I'm actually tipped out around 370 this morning And now it's out of 358 so I'm still pretty happy about that Tether's tether and XRP is at a whopping 24 cents watch out chain link down 4% Up a 12% up for the week. So channeling is doing pretty good holding at that number five spot and the darling of the cryptocurrency Space on top of DeFi is poking out and it's been jockeying back and forth with for that fifth position with chain link And it's up 20% for a seven-day average So I'd like to see that pop up a little bit But what are we going to do? Binance coin had a major announcement They're going to get into DeFi space there's some funny things going on behind the scenes and the whole DeFi product I'll probably do a video about it But finance always has some little controversy going on Bitcoin cash Weird down 1.8 for 25 hours 1.8 for the seven days. So there you go crypto.com also getting into DeFi space and They had actually had a nice little run for the week at 6% now they're down 0.7. And what else we got? Okb up 13 point six. I don't hold okb But congratulations everybody who's holding it that hasn't really taken off too far. So 13.6 for the day fantastic 27 for the week. Yeah, you can take that for sure And then also year in finance unfortunately down 18% for the day, but 52% for the week It is at 33,000. It has its max applied around 30,000 And who knows it could be the the next darling of the space if it isn't already I mean, I'm everyone is at down at 20,000 during that dip and now we're up And I believe it's almost hit 40 at one point. So not too shabby. Uma Ave looking pretty good for the week just down for today Sundays are never the greatest days of all time It's like everything takes a dip on that point and theta one of my new holds up 30% for the week down 4% for the day at 50 cents and I gotta tell you I gotta tell you that Anything under a dollar is a steal for theta They just were granted a US patent for methods and systems for a decentralized data streaming and delivery network So they're gonna run they're gonna run that market They're gonna own it and if you haven't taken a look at it now is the time All right, so let's jump in today's top story because I gotta tell you it is fascinating So again, this was a really great interview put together by coin telegraph and it goes over Dan Morehead You know the founder of Pantera capital and it just has a litany of Useful information and I like to see this type of deep dive. So let's just break in so first We always want to see, you know, who is this guy and what are his credentials? So we're actually listening to him. So let's just take a listen Pantera capital is among the oldest crypto investment firms and among the largest institutions owning cryptocurrency It has over 500 million dollars under management across three venture funds and the four cryptocurrency funds in 2018 Pantera reported a lifetime returns of over 10,000 percent So then can you tell us a bit about your background and how you got to found Pantera capital? Yes, my career is the first asset back securities trader Goldman Sachs It's now while turn events that I'm trading asset back tokens. So the world comes full circle I then went and spent years trading global macro Julian Robertson and Tiger management and when Tiger wound down It's investing for outside investors. I found a Pantera capital That was 17 years ago. We typically traded normal hedge funds about a billion dollars of Opportunistic global macro style hedge funds and in that we're always looking for Disruptions or opportunities that have very asymmetric risk reward profiles So that's the key word and it's going to be a recurring theme Asymmetrical investments and when he talks about this, I mean it just totally clarifies everything that we've been trying to talk about On this channel, so that just gives us a little bit of background of who Dan is and what he's doing So let's just break into it. So the big question is what's gonna do better Bitcoin or all this This comes to the heart of the matter as far as like Bitcoin maximalism versus everything else So here we go. We think it's gonna go for tremendous amount We own as as I said 63% of all of our crypto token holding through Bitcoin, but we think the smaller cap tokens the things Smart contract oriented defy oriented. They're gonna outperform Bitcoin Bitcoin's gonna go way up those things are gonna go up even further And that's the whole thing all coins are gonna perform better Bitcoin will do pretty well And that is it's it's all about what you want to do And I talked about this in one of the Dan clips where the question was about putting money into into stable coins Or not and the whole thing comes down to is where are you at in your life? If you're very young if you're on the younger side, maybe in your early 20s, this is the time to take risks This is not a financial advice, but this is what I did I took a lot of risks when you know when I was younger and a lot didn't pay off That's just how it goes but the ones that do They work out exponentially well, and you don't have to be right a hundred percent of time You just gotta be right once and he's got to pay off big so that is that is one of the big things So as you get a little bit older in your 30s 40s 50s or even 60s You tend to be a little bit more conservative and what I do is I have a lot of my portfolio Into Bitcoin Ethereum because I believe in them. They are a safer bet in One of the unsafest bet arenas, which is crypto crystal assets because this is the most volatile space and I Have one of you know, hopefully I believe one of the least volatile Which is Bitcoin Ethereum and I think they're going to do very well. It's just gonna all be about time now It's all about balancing your assets balance and balancing your portfolio out So again, if you're younger, maybe you should skew your portfolio Maybe a little bit 80 percent More on the lower alt caps because you're just like, you know what I want to take a bunch of rest Then 10% into something a little more stable in cryptocurrency, which might be Bitcoin Ethereum I think all depends on your plan and really just comes down to whatever plan it is that that works for you stick with that plan And don't FOMO and anything take the best data and information that you have and then move forward All right, so next part we're gonna get into more of the Bitcoin maximalism and that 1 million unrealistic, I believe Price of Bitcoin going the future. Okay, that's an interesting point of view Although it contradicts what the Bitcoin maximize say for instance, then held from Kraken was With us in a recent interview He said that Bitcoin was the only valuable project in the crypto space and that all the other coins including DeFi Didn't prove their utility yet. Blockchain tech sucks. It's terrible. It makes so many trade-offs to build Bitcoin that it is basically ineffective for almost anything else And he also said that Bitcoin has the potential to go up to 1 million dollars in value So what's your counter-argument to that before Dan speaks? I gotta tell you that is the most ridiculous thing I've heard in a long time that Blockchain is the most irrelevant type not irrelevant But cumbersome and ineffective technology out there and I just don't see like how you can't see the vision of what's going To happen in years to come in three five ten twenty years Blockchain distributors technology and cryptocurrency are going to swallow the entire world whole and it's not gonna be just just one industry It's gonna be multiple industries across a vast array of businesses. So I just don't see where he's coming from in that one Oh, you know, I want to say we're massively bullish on on on Bitcoin We have a ton of bitcoins and it maybe could go to a million that is a hundred X from here and to me that's kind of You know, that's really the edge of Possibility because you're getting into a number that's 20 trillion and all money on earth is only a hundred trillion, you know So you're really getting to a huge thing at that point So I think it's possible and it's not like I'm just saying it can't happen But I think it's high. It's much more likely that The entire DeFi space goes up on red X over the next five years than Bitcoin and again It's not to take anything away from Bitcoin. Bitcoin's great. We own 63% of it. That's it's awesome It's just these other protocols have much more upside because they just haven't been proven Bitcoin's 11 years old You know, it's done a lot defines basically just starting to happen So let me back up. So when he talks about how there's only 20 trillion currency in the world I just want to break things down what he said So this is the visualization of all the money in the world and this was actually published May 27 2020 So it's pretty up to date as much as we can be even though things move so fast So this little block right here represents a hundred billion and silver is at 43 billion That is all the value of above-ground silver and silver stocks crypto is around 244. So pretty accurate A little bit more now, but sure sure military spending US budget. Here's a big thing coins and bank notes feds balance sheet So you got 6.6 trillion for all the coins and bank notes the feds balance sheet and might remind you that it is 7 trillion and 40% of that total has been added this year alone So printing money like crazy billionaires have 8 trillion gold and we'll get into this a little bit deeper It's at 11 trillion. So 11 trillion 47% of that is in jewelry, but the rest is in investments and so on and so forth So sure fortune 500 stock markets 89 trillion and then narrow money This is where they got that statistic of around 90s 5 trillion or so This is where it all comes down from and just to be just to note 7% of that is actually physical 93% is just numbers on a ledger and it's non-physical. So it really doesn't exist at all and then moving forward the debt It's huge global real estate 288 trillion and this thing called global wealth and then derivatives, which we're looking at The gross market value is 11 Nationals 558 and it could already go to one quadrillion. So the whole thing with the cryptocurrency assets It's not up just about cryptocurrency and I talked about this in many of my videos where we shouldn't just call it Cryptocurrency because it's not just currency It's little things that we can do like tokenizing commercial real estate and even agriculture even stocks and bonds We can digitalize all these different types of things and we can have a huge They are at least a bigger piece to pie than just that one or 95 trillion dollars of actual money because there's just so many things that it can do that all this these Categories are going to be swallowed up whole I believe by digital assets So then moving on now, we're going to talk about what projects as far as DeFi Pantera is invested in why they invested into it If you had to mention three DeFi projects that Pantera is betting on at the moment. What would those be and why? Oh we're early investors an ample fourth and they're there as well just kind of getting known and people are realizing that They're stable coin has some really cool properties and so that's one. We're very interested in we love Zero X as well seed investors in that project and they are now as well taking off So those are two of the projects that you know, we've been invested in and trying to help for years and just kind of Whatever reason it is all come together just recently. So okay, so zero X is a decentralized exchange and then Apple fourth is a True I believe DeFi project it it expands or contract as its price rises But the bigger overall arching theme here is DeFi and DeFi we've seen a lot of people Get racked and we've seen some people make a ton of money, but there's an article that just came out Actually, this was yesterday. This is Masari founder says the greater fool theory will soon crush DeFi traders So Masari is a crypto analytics firm and they have their pulse on what is going on and crypto coins digital asset So this is from the co-founder Ryan Selkis and he says we're nearing the apex of Ponzi economics rug pulls and yield Hopping and ETH fees are going to eat too heavily into non-wale profits And he compares it to the ICOs in 2017, which is what I do too because it's kind of how I see it ICOs boom for a while because everyone laughably thought there would be a coordinating utility for every industry DeFi is just one big pool of capital sloshing around a small group of insiders and Immersionaries who will soon run out of victims to fleece so that's a pretty harsh statement and me personally I think DeFi has its place It's going to be big the question is which one of the projects are actually going to Move forward and leave all the other junk behind because there's so many out there But this comes back to our original talking talking point where he said if you're a little bit younger Maybe take a bit of risks or a lot more risk. Maybe if you're an old investor don't take as many However, I believe that everybody should take some risky positions and that could be like 1% 3% 10% depends on on what your personal preference is but There is an asymmetrical return on a lot of these projects It just depends on which one is actually going to be that's just my two cents and then building on that ample fourth Comment that he said this is from it's another piece from daily hodl. This is Nicholas Merton He's also dated it while he is dated dash and he says that there's one altcoin poised to outperform Bitcoin as Crypto market search for direction and what he says essentially is in the meantime the analyst says Merton the DeFi blowrun is not over yet. He expects ample fourth to be a top gainer while Bitcoin moves sideways I'll link this article in the description below But let's move on and here Dan's gonna talk about asymmetrical investments and it really makes sense and it crystallizes the things We're trying to talk about here on this channel. Let's listen. Yes So most investments that a typical investor does you can kind of Make or lose about the same amount of money if you invest in you know, a normal stock It might go up 30% but it might go down 30% and so your upside and your downside are roughly the same They're kind of in the same ballpark Asymmetric bets are ones where you're upside. It's just so much bigger factors or maybe orders of magnitude bigger than your downside Cryptocurrency is the extreme example that often looking for Trades like that. I was a Early investor in Tesla Motors when it was a you know, around a billion or two market cap If they're gonna revolutionize the entire transportation sector, yeah, you could lose a billion or two But it could go up, you know now 150 billion So I'm always looking for trades like that and crypto is by far the most extreme of those That's the big thing. So like in the traditional markets when you put it into stocks Yeah, yeah, you could you could put a thousand bucks in and you could lose a thousand dollars That's just how it is. That's you know, not that's a common But sure it'll go down or it can go up But you could lose everything and the same thing with cryptocurrency assets I mean you could invest and lose a thousand but what if it goes up 10x at 20x 100x and that's what we've seen Over the years and going back to 2015 now what's gonna happen the next five years It's anybody's guess but the money that you put in could potentially be a huge gain or however you have to understand That's a lot of these will not be winners and the market will shake it out But again, there is some huge upside and that's why we do asymmetrical investing Next one's pretty interesting It talks about and we had talked about this on the channel about the Bitcoin elevator pitch and how it compares when people say Well, there's no real value in gold or there's no real value in Bitcoin It doesn't have an intrinsic value. This is perfectly put in by Dan We talked about you know gold and historic value even Jackson Pollock paintings and melting down pennies When you trade currencies like the euro against the dollar there's some data like current account deficits interest rates When that's what people use to determine whether they want to be long the euro or short the euro That's the same with crypto currencies There's tons of information on the number of transactions the fees that are being paid to the transaction processors the Number of github commits, you know, there's there's a ton of data. So it's actually quite similar The the other perspective is, you know, gold doesn't have any cash flows. It's just an inert element It's you know, it's been around for billions of years But people store a ton of wealth in it because this worked for 5,000 years, you know Bitcoin's only worked for 11 years. So it's it's not it doesn't have the same Five millennia of history, but it has worked And so, you know every year more and more people want to store the wealth in Bitcoin That's a way to view the value of Bitcoin and if it's useful for people for storing wealth Don't keep doing it right still gold might have zero cash flow like Bitcoin But gold is used to make jewelry for example people are wearing it while Bitcoin can't be used for these sort of things Now you do a lot of other cool things though you can send money around the world you can put property titles on Bitcoin you do a lot of cool things and I'll come back to your first Kernel of a thought there is that there's no intrinsic value There is some intrinsic value to gold that you know You can do dental fillings and you can do jewelry, but the vast majority of gold is held just purely for monetary reasons This is not for other reasons and and you say that, you know paper currencies are backed by the government With the exception of being able to extinguish tax liabilities There's no other thing that a currency can do, you know that Bitcoin can't do And so there isn't really any backing there used to be right of course $10 bills used to be exchangeable into silver You used to be able to convert any US currency into gold at $32 per ounce Obviously they print so many pieces of paper. They can no longer exchange pieces of paper for gold at $32 per ounce amounts, you know, $1900 per ounce and even the fun one is in the United States we've debased the Currency so much the metal currencies are now worth much more as metal than they are as representative money and In my lifetime the silver colored coins used to be silver and now they're made out of really cheap metals And even pennies used to be made out of copper But they've printed so many of them that they're more valuable now to be melted down and just used to make wires Or whatever one wants to do with copper and when people talk about there's no intrinsic value If you try and access the intrinsic value in a penny, it's a federal felony with five years in prison So, you know, although you could say there's intrinsic value in money You can't access it and my best example that would be The intrinsic value of a Jackson Pollock painting is 40 bucks. It's some canvas and some house paint but it has a seven-year track record of being a good store of wealth and so Bitcoins only had has an 11 year track record, but there's you know There's no requirement that it has some kind of physical change ability if it is good It's showing wealth more people we use and that's basically what the price goes up The more people that want to use it to do some things to a wealth or whatever it is they're doing Makes the price go up. So from there perfect anytime someone talks to you about When you're trying to explain them about Bitcoin and cryptocurrency just say well there's no real intrinsic value or you know the The fiat currency the dollar the euro the pound whatever else it is That is backed by the government and you can just say look it doesn't matter What is backed by the government or what intrinsic value is we give it value because we say it has value So just like gold has value because we say it has value and yes It does have a very long history just take a look at art and paintings and things like that Those things have massive value and they are used to store value by most of the rich Let's just be honest and they can store their money into that same things that happen with Bitcoin and not to mention guess what? I don't have to pack up a Jackson Pollock painting. I don't have to hire major security to move gold Across the planet. I can zip Bitcoin anywhere in the world at the snap of the finger And it's only to take like 20 30 minutes. Can your gold do that? Can your Pollock painting into that? No, it can't so that is that and next up the favorite part is the price prediction Let's take a listen. Yeah, so there's two two ways you can project into the future or what the price of crypto will be is one is to look at what's happened during all the the hat the previous havings and They've had big impacts on price And if you take the stock to flow from the first two havings and extrapolate it out to the third It would imply a price of a hundred and fifteen thousand dollars per Bitcoin in August the next year And the logic on that is the first having had a massive impact. There's only 10 million bitcoins outstanding We're going from 50 every 10 minutes to 25 And so it's about 16% of the entire stock of bitcoins were being pulled out of the market that had a huge impact the second having Obviously the having bit was half as big but the stock was even bigger So it was only a third as impactful in terms of the stock to flow It's about 5% of the existing bitcoins being removed from the supply and that had One-third the impact on price might have been a coincidence, but it's a nice coincidence And then this one will be about a third as big as the prior one So if it has that same ratio of an impact it would imply that Bitcoin would go up 215,000 next August so perfect This is pretty much the exact same thing I was talking about With my conservative take a look as far as Bitcoin what the price could be so I just take a look at the first Having second having a third the date of the first having this is the very first one ever was November 2012 at that point the price was $12 for a Bitcoin how nice would that have been then? On December 2nd 2013 roughly one year it went up to almost a thousand dollars That was an 8,000% increase the second one on July 9th 2016 The price was 650 bucks still a great price for Bitcoin and then roughly a year and a half later on December 2017 it was almost 20,000 so from 8,000 to 3,000 You reduce it by about a third right round numbers What is what a stick with that so and then third having this just happened in May and this was a guess because I had put I had made this in January or February of this year and I thought odds me about May 16th and it was like May 12th May 11th and The price was I thought it'd be around 10,000 it was if you take a look at just time frames I mean the first having to go to all-time I took a year second having to get the all-time I took a year and a half so maybe the third having will take two years Who knows and then the increase you decrease vibe or it was about a third three thousand eight thousand three thousand Take that by about a third you get about a thousand percent or excuse me 10,000 times 10x Was be about a hundred thousand dollars per bitcoin and that again could take two years It could take one year who knows but that's how I've always kind of seen bitcoin around a hundred thousand dollars Some people will say 250 some people say 400 some people some crazy people say a million I mean maybe they're not crazy. I hope they're not crazy. That'd be great. I take a million But that's where I see it But the big thing is this you and I have a long time to accumulate bitcoin And to actually see it go up now you can accumulate other, you know low ranking Altcoins you can get into the final stuff sure But for me, I think well if this is going to be a 10x type of thing Why wouldn't I put a lot of my money into that because that's a pretty good Asymmetrical investment and not that it's definitely going to happen. But if we take a look at the history Maybe it could actually hit that mark I think it will a lot of people in the traditional market think it will not but They've bet against bitcoin and they've all been wrong. So we will see and lastly this was pretty good This is just Dan talking about what he invests in right now And it's pretty much the exact same thing I do and I appreciate Dan's commitment to digital assets because I spend all day doing this and I have very strong conviction that this is a great trade Not even remotely saying that's what the average person's to do because it's highly volatile very speculative um Typical person should have a few percent of their portfolio in in crypto Uh, and then the second question is what else do I invest in and like Mike Overgrads call sometimes talk about the brazilian real or whatever I don't invest in anything other than crypto. Uh crypto is so captivating and has such Uh better risk reward characteristics than the s and p 500 or you know, whatever else you could be trading that I haven't traded anything else for seven years. Okay. So you are basically saying that you don't own any Um traditional assets besides cryptocurrency. Yeah, the balance is essentially cash and real estate things I don't have to think anything about exactly. So it all depends on what you want to do, right? If you're like, I want to get rich tomorrow. Well, then look at the at the risky defy I mean the risk is defy projects a lot of money to be made a lot of money to lose there as well But uh, you got to be a shark or if you're like me like, you know what? I think as time goes on, uh, these types of assets are going to accumulate and accumulate fast because an asymmetrical investment Especially cryptocurrency digital assets. I mean money. I mean, I have to have Uh dollars in my bank accounts for all my businesses and the last one is land Land is like my favorite thing of all time because I don't do anything I just buy the land and then you know, just sit on it for like, you know, five 10 years and like, what is it now? I went up didn't do anything fantastic Easiest investment out there. So look that is it for today. I know it's a lot to take in but it was important I thought it was a fantastic, uh interview and if you got a chance, uh, check out coin telegraph They've got first of all, they got a great website and I pull I pull a lot of data from them And also, you know with their youtube channel, they have some sometimes they have some boring guests I'll just be honest, but this one was a great interview and I appreciate it. So that is it and lastly, let me say this Thanks for sticking with me through the end of the video. Really appreciate it If you don't know we have a second channel It's called digital asset news clips and what we try to do is two things first of all We try to break down the clips that we do of all the different segments so it saves people time And that is good because time is money and not everybody has a lot of time to listen to me ramble on for 40 minutes Plus the second thing is is we needed to put a secondary youtube channel because youtube loves to break apart or ban crypto currencies last at uh different youtube channels Which has happened to some top youtubers out there and we don't want to be those people I mean, we still have our our library account and sentiment and all those things But we get a whopping like 10 views a day or 20 views a day. So no one's going there So what we try to do is get a secondary channel and save you time So if you got a chance go over there and check out Dan clips I also do videos that are exclusive like the last two I did Well, I talked about how to transfer crypto from your voyager to your Celsius And by the way, I have 25 of my portfolio of crypto in on the Celsius wallet And the second thing I talked about here was should I put my holdings in stable coins? And why that's actually a good or bad idea? And I'll just be doing those types of exclusive clips over for dan just to kind of get everything going So that is it for today. Thanks so much for watching appreciate it and I'll see you on the next