 All right, welcome to the last set news to get top stories in crypto break amount of bite-sized pieces today Just the thumbnail title suggests we're gonna take a look at what just happened to the market as the Fed comes out and talks About the minutes that they just had in March and what's gonna happen potentially in May So take a look at that story also take a look at the ETH merger that is coming out or some might call it ETH 2.0 Which is not called that anymore and we take a look at what Mark Cuban thinks about it and then we'll take a look at Even though he thinks it's great We'll take a look at some misconceptions and then we'll get to a little Q&A at the end five questions in five minutes And we'll wrap this whole thing up. So first of all, let's take a look at the market recap Also, if you're catching the live stream, welcome. Thanks for stopping by If you're watching the replay just know the time stands below and then before we start You may notice that the backdrop is a little bit different. So we are back in El Paso also Because of some mix up with some luggage. I'm using a new microphone So I have no idea how this sounds. We did a test. It didn't sound too bad But I don't think it's gonna sound near as crisp as our original SMB So we have one on the way it'll be about three days or so Amazon can only do so much. So before we start I just want to know exactly how good or how bad this microphone sounds because everybody Really does not like crappy audio before we get going. So that's the big question So there's about like a 30-second delay. So let me just look in the comments real quick and go for I want indoor pool too. It's not that great. Trust me. Yeah, there's a ton of upkeep and it's a big pain in the a Sounds great. Wow, it's amazing because this mic is Maybe not be the best slight echo. Yeah, I can see that for sure. Sounds good sound is fine totally found Surprise too. All right. So we'll see about the echo. Maybe just a little bit here Go down. Yeah, I should be okay. All right Well when Mullet says it's okay. So it's okay. All right So let's just jump into it and take a look at what's going on the market so if you may have noticed not too long ago market sucking and That is just par for the course. Look, we had a pretty good run We had a pretty good run over the last week two weeks or so. We were setting we weren't setting so a little bit higher highs and Not not so much the lower lows and that's why people were you know, very into that that bullish sentiment They said the bull runs back, baby. I'm like wait, maybe bullish sentiment I don't know about a bull run, but I mean, I hope so and then today look what happens Bitcoin down actually under fresh this is this Let me show some stats for everybody so they can kind of get it as a bummer Yeah, market cap might slip below two trillion. It was a 2.2 almost 2.3 Bitcoin done. Let's just do it. What's up? USD coin is up. Congratulations. I use I'm just kidding. It's a stable coin. I'm curious. Let's see. Hey, Binance USD I'm just kidding. It's another stable coin So when you see stuff like this where there's the stable coins are up a little bit by 0.1 percent It's everybody selling they're selling because they're afraid and they're putting it into those stable coins because They want to get out before the potential crash me personally I could have sold I could have like a lot of stuff going on So right now I'm just like yeah, I could have sold because of this Fed reserve minutes and some other things that are going on the background, but in all honesty I'm just not That person right now. I just the the market is volatile. Everybody has their own strategies people might like to You know do a little bit more trading a little bit more dollar cost averaging It's all what you want to do me personally. I just dollar cost average. I hold I buy and hold for the long time I'm in there for like three to five years there's in 2017 I'm just waiting for the other shoe to drop and then as time goes on I'll sell off a little bit as I see some more profits. That's just me So what's amazing to me before we go on is this this is Ben's website It's app into the cryptoverse link in the description. It's not an affiliate link. I get no No shucks or shames for or money kickbacks for talking about Ben's great site But it really is great and one of those is he has a fear and greed index. He's got a bunch of other things Like does it bleed and volatility indexes and then now the risk assessment, which I cannot show you because That's for the members But the fear and greed index you can find this anywhere and I just like how he puts this together and to me It's amazing that blow this up so you can see it You know in the blue is the Bitcoin price at you know 45 one fear and great index is 48 If you go lower more towards zero is where you're essentially scared S-list and then all the way up to a hundred is where it's like Superior greed and just going crazy and to me it's amazing like you have the price at 45 one Yet the fear and great index is like right in the middle people like no big deal Whatever and we even see that today as it as you know the market just plummets people like that whatever But if you take if you take a look back That same look when it was a 46 almost 47,000 it was people are pretty fearful So to me it's always amazing the mentality of people how they get scared as time goes on like oh no because you know It came down from well, I mean all honesty it came down from like 57,000 to 46,000 So of course people are scared, but if you just zoom out when endowed zoom out and take a look and go well, you know March 2020 it was like five thousand six thousand. So the longer you stay in this Asset class the more you are immune to the volatility and that's that mentality to like sell at all cost So just my two cents and not financial vice, but that's what we got So let's jump into today's top story the minutes and the minutes Comes out of this Fed came out and said hey, this is these were the Fed minutes in March And this is what we're gonna do and it's not looking too good for me. Here's what's happening So Federal Reserve plans on a predictable wind down. So the Federal Reserve on Wednesday That's the day right release minutes from its March 15th and 16th meeting which details Conversations among top central bank officials suggesting the Fed will soon start the process of shrinking its nine Trillion dollar balance sheet. That's trillion with the T. Where is it right here? Look at this look at this nonsense this is a fiscal responsibility back down here, you know, not even a trillion, you know, and then 2010 all right, it's about the market cap of crypto currency And then if we keep going forward, look at this look at this look at this 2022 almost nine almost nine trillion and that's them just buying and quantitative easing and praying to the moon and Buying up mortgage. It's just amazing. So anyhow, this is what's happening The Fed has yet to officially vote on exactly how to carry the process out Which is far as like reducing their holdings although it could begin as soon as next month And actually we're gonna see which one wants to do it next month for two years the Fed bought over 4 trillion and assets mostly focused in US Treasuries and agency mortgage back securities. So this is one of the reasons why you see What's going on with the market one of the reasons I can never tell you all the reasons no one knows all the reasons Who knows it may be? I don't know some Crazy whale in the background is like I'm dumping like crazy I'm gonna dump all my you know 10,000 wallets that I have hidden because I'm not gonna put all my Bitcoin in one wallet Who knows what it is? But this is one of the reasons why it's going down The purchases finally stopped last month as the Fed pivoted to a stronger stance against rising inflation price increases at a yearly pace unseen since the 1980s and this has spurred the Fed official into supporting a This is key a faster drawback and it's exceptionally easy money policies. This involves Raising short-term interest rates. So those sweet interest rates on houses Those are gonna go up different rates that you got. It's all gonna go up for the loans So if everybody's like, wow, I can't wait to buy a house give it a year The rates will be up and people won't be buying as much. So this process is the process is called quantitative tightening This is what it gets interesting the top Fed officials generally agreed on monthly caps of about 60 billion for Treasury Securities and 35 for agency mortgage back securities. The Fed says the caps would be phased in over a period of three months Let me say that again The Fed says the caps will be phased in over a period of three months or modestly longer if market conditions weren't meaning if the if they Start to do this tightening and the market starts to crash the black You know what? Maybe we'll ease off or maybe they won't a faster This this would be a faster pace in the Fed's last attempt at the peak of the Fed's efforts Which was I did not remember this from 2017 to 2019 to shrink its holdings It topped out its monthly wind down at a pace of 30 billion pace for treasuries and 20 billion monthly pace For agency mortgage backscurries. Why is this important? because of this next sentence on Mortgage back securities the Fed said it could consider a more aggressive roll-off process via actively selling its holdings and then federal Fed Governor Lyle Brainerd said the actual process could begin as Soon as our main meeting and she expects the process to be carried out considerably More rapidly than the last recovery, which we just talked about. So here's what it comes down to If you were worried that the Fed and the tightening process was Might might affect the markets now, you know, I mean just just a glimpse of what could potentially happen just brings the crypto markets Down a little bit. Is this bad in the long term? No, probably not. This is bad in the short term. Yes, obviously So if you are really aggressive trader, this may have hurt today, sorry But if you're just in it for the long haul over the long run should work out Okay, not financial advice just financial pinning. That's what we have for that one. That really got me thinking about this what Would wallet three number do that's the question wallet three if you don't know this is the Mysterious wall three that been from into the cryptiverse brought into my attention and this is just a wallet Which has a massive amount of Bitcoin. No one knows who it is. No one. I mean, it's not labels any exchange It's not any kind of Treasury. It's not really a sovereign nation. No of but as you can see here today at five 1706 I guess UTC time they didn't it's it's negligible, but April 6th at 1608 they bought 59 Bitcoin and just a couple of days ago they bought 3000 Bitcoin roughly because Two days ago, which is weird. They sold 3000 Bitcoin and then picked up 3000 Bitcoin plus 159 So they are accumulating a little bit and this also got me to thinking what? what do quandu From Luna and if you don't know this story Luna and their and The organization they're looking to purchase roughly three billion dollars worth of Bitcoin And what did they do? Well, they did the same thing. They bought on April 6th at 8 in the morning today I'm pretty sure they would have wished they would have waited just a little bit But they got 490 Bitcoin. They also got 95 Bitcoin a little bit before that and then Right before that for 91 Bitcoin. So again, this is an example of dollar-crossed averaging at its highest level This is what's going on the background. Do you think that people really care so much about the short term? Which is the Fed minutes and what's gonna happen over the next six months to a year? Not really They're looking at a three five ten twenty year plan and that's kind of like where I'm at myself So let me think about that in the comment section if you think like now, I'm not really here for the long haul Let's actually let's finish up with this. I didn't know this but the Luna Foundation just want to throw this in there That wallet which is called LFG was pretty funny Bitcoin wallet is larger than every other publicly listed company Bitcoin treasury except for Tesla and micro strategy. So a short term short time They've killed a lot LFG's wall value is currently half of the three billion worth of Bitcoin Terras founder Doquan and hinted the project would purchase in March. So remember They said they're gonna buy three billion. They only bought about 1.5. So that's what we got for that story Let's move on to an ETH merger news for everybody who loves a theorem, which it actually also includes me so This was interesting It's not so much about Mark Cuban. I don't really care about I mean Mark Cuban seems like a nice guy Owns of Mavericks really under crypto likes to get rug pulled Just kidding, but not really so this one he talks about a theorem And I want to just clear up some misconceptions and before I say this I must tell you I'm super biased. So everything I talk about on this channel. I own and Probably a lot of it. So when I talk about Bitcoin or Ethereum or Solana or Cardano or chain link It's because I own it. So just so everybody knows that so I own a theorem and Bitcoin theorem or one of my larger holdings But I need to make sure everybody knows about these misconceptions. So let's get into the story Mark He was bullish. Why is he bullish? Well, the rest is the first part is boring So first he's bullish because it when they go from proof of work to proof of stake Who knows when that's gonna be Ethereum's energy consumption will be cut by 99% so we all know that right proof of work Use a lot of energy, but it's super secure proof of stake cuts down energy So Mark Cuban's all about that great good for that So that's those ESG compliance issues all the corporations can get behind that which I think could be actually a big boom If you just take a listen to like some of those institutions second Mark Cuban said he's interested in less ether issuance after the merge and how that will possibly make it deflationary Which I think it's all almost already is Following the murders the amount of ETH issued is projected to drop by 90% Which would lead similar levels of fees to reduce if ether supply by as much as 5% a year great Blockchain alex firm into the block said so they've been looking this and they can confirm that if demand increases as the supply Decline the price of ether may rise. I'm pretty sure that's how it works Demand increases supply declines usually the price goes up. I could be wrong, but it's impossible to predict the future Sure, that's true. No one's got a crystal ball even though they like to shop of it and then lastly Just so you know Cuban is also invested in many companies building on looking to scale or interact with Ethereum That's a good Lesson for the investor out there if you don't really know like which one to do like there's I mean everything's There's so many things built on a theorem. Just invest Can't say that so I Invest a lot into Ethereum because I don't All the different products that are built on top of a theorem. I don't know which one's gonna make it There's thousands. So what I do is I just invest in the theorem and just You know, it's like a safer play and then lastly this was odd He says what really changed everything with smart contracts because he's a Ethereum maximalist he stayed smart contracts came along and that created DeFi and NFTs. That's what changed the game That's what got me excited. That's why it's a lot like the internet great Let's move on to some misconceptions about I think why he's so excited Maybe so excited, but he did lay it out. He's like look last less energy consumption and then you know, it's got That can be deflationary so great, but here's the misconceptions. I think this is what people are thinking of One this is big the merge won't create a new Ethereum token I think we're kind of all I don't know if we all knew that but I just want everybody to make sure Because it used to be called e2.0 and now it's not called that. Why is it? I didn't understand why until I read this article So a big misconception is that a theorem will have a new token which is an accurate. This is from a theorem developer Tim Bico nailed it the merge was referred to as a theorem 2.0 or e2 But in January the e-foundation in the blockchain's core developers announced that this labeling will be phased out as Many scammers were trying to convince users that there would be a new e2 token separate from me So just so you know, it's a public service announcement There's no new e-token if you have e-th. It'll just go over to On the new chain So you don't have to swap anything if you see any kind of ridiculous videos that are out there like swap it over to this This private wallet don't do that. It's just if you have any questions go Directly to the Ethereum foundation and take a look at their website all the data is there before you do anything actually Come to this channel or channels like this and just go in the Q&A and just say is this true? Just to make sure I'm pretty sure I'll save you a bunch of money doing that and then also This is big the merge will not lower a theorem of fees and this was also the same problem with EIP 1559 people thought oh, it's gonna lower the fees. It's not gonna lower the fees Which sucks because let's be honest theorem fees are pretty high But it's not gonna lower the fees and they're misconception that the merge will lower gas fees This is inaccurate Baco said Bico whatever currently a theorem has both a proof of work and proof of stake chain running in Parallel while both chains have validators only the proof of work chain Currently processes use a transaction. So proof of work is the only one processing the transaction right now Later on it'll be proof of stake chain So just so you know many might hope that this structure change would cause the price of gas fees to decline Since such fees can sometimes add hundreds of dollars to the cost of processing e-transactions, but it's won't so just so you know That's not gonna happen And then lastly, there's no set date for when the merger will happen And I know people have been talking about it's definitely this date, but this article wasn't too long ago March 28th Unless something officially has changed, but Bico said it pretty good here. He says some predict that this merger might happen this summer But it's important only rely on the word of a theorem foundation regarding confirmed timing It is likely that scams and fake announcements will pop up in the coming month. So That's just something for you to be aware of so as we move into ETH from proof of work to proof of stake just know there's gonna be a ton of scams out there People are gonna lose their Ethereum people are gonna lose a lot of money. That's just how it happens So hopefully you'll know to not do those things and just know that that there is no Ethereum to token It doesn't make any sense. So that's what it is. And again, there is no time frame for what is going on Which hopefully that leads You know open for other different chains to knock out of the park Maybe Solana does it maybe Cardano with the pipelining and hydra with a million transaction per second I don't know. Maybe avalanche makes the next big play. I have no idea But I can tell you what I'm doing Investing in all the ones I just talked about because I don't know who's gonna win. I don't really care I just know that When things start to move I want to own at least one of those and that's what I'm doing Not what I tell you to do and that's it for today. So look Hey 20 minutes. We made it now. Let's uh, I was breaking a little quick Q&A five questions in five minutes and before I forget Tomorrow we are doing The dca show usually do it on friday with ben from into the cryptiverse but uh, ben is at uh, miami for the bitcoin conference also james at a great, uh Video on the day one miami conference. I guess he has time to actually watch all these things I didn't have time today, but uh, go check out his channel the links in the description for his channel also for cto larson Who's uh, you know, I've got a wealth of information as far as technical and ta knowledge and we're going to do a show tomorrow So uh over on cto larson's channel. So check that out. I'll let everybody know via twitter And we'll go from there. Let's go to the little q&a, huh? uh Yes, just what mullis said hit the like and subscribe. Well, where are you man? Are you in chicago still? In that tundra I tell you where you should be mullet. You should be in portorica. That place is awesome Uh, yes, i'm glad to be back too. It took a long time So now that we did the whole show Let me just ask everybody. How was that? Uh, let me stop this The mic did it was it okay because I need to use this mic for like three days until the new Microphone comes in. So if it was really bad, I just uh won't do a show And but it's okay with everybody. I'll still use it till sorry Robbie's now of the beard and me too What's happening to the waves catastrophe? I'm not sure but waves had a heck of a run Uh for quite some time and I even take a look at that. I'm like, man, I wish we would have gotten to waves It's a pretty good project and then of course it goes down again Are all these valuations correct? No, can you make a lot of money? Sure But in the long run in the long run, I think it's the projects that have solid utility Great team and they know how to actually build and move things forward That's the that is the problem with with most businesses that I've seen is that they just they have a hard time scaling They can get a product off the ground But to actually make it to those million hundred million one billion people That's challenging and there's only a select few that can actually do that. That's why there's amazon Uh, let's see That's a good question So the question is Is question number one Could smart contracts one day hold hostage political donations until one or more campaign promises are filled By the time they have an office or full of refund So yes, it could but the question is then how would you get that real world data to what they said they're going to do To actually trigger that smart contracts Algorithm or the actual process to actually release those funds. So That would be very tricky. So let's say you have Let's say you have some politician who's like I'm running and uh, let's say it's local and they say well, I want to we're gonna, you know, really empower do it do an empowerment zone and we're going to uh Take all these different housing complexes and you know, put a bunch of money into them and build them all up Well, how would you get that data real world data and I know right now everybody's saying chain link Okay, so how do you get chain link to get the data that it actually was Done and there actually was an increase in valuation of these properties And there was actually all this construction done and put into that smart contract So the funds would be released that would be very tough But uh, hey, you know, this would be like In 1995 when people are like, you know, it's really tough Streaming video that is so hard. How can we possibly get to be done to to actually do that because it would take so much data to do it So there you go Smarter people than me That's a great question question number two. What feels more like home Texas of Puerto Rico You always feel like you're missing home whenever you live When you leave that place I was kind of begrudgingly left Puerto Rico I love that place is great. It really is at first. I didn't like it at all But as time goes on you really appreciate what's going on there And I encourage everybody to take a vacation there just to check it out if you want to leave and I did a pretty and a pretty In-depth video. It's about 40 minutes. Just search digital asset news Puerto Rico And uh, the one I did just like a month ago about 40 minutes and it talks about all the things I would have done differently how I do things now and uh, why I think it's uh, probably the best place if you are looking for games In crypto and it fits your lifestyle. That's all I can say Uh, how would you buy crypto for children? Hmm This is it I'm going to make this as simple as I possibly can Well, there's an easy way right you can you can buy them a ledger And then buy the crypto stick in the ledger and go, hey I'm going to give you these uh seed phrases when you turn 18 because god knows we don't want our 16 year old kids Buying lambos and stuff. That would be stupid or maybe you do. I don't know. It's up to you So like what I would do is something as simple as that the bigger question though is Tax implications and things like that because you can only give so much and depending on the country that you're in I don't know where you're at christian christian ponce. I have no idea But uh, what we try to do is put everything at trust and I'll probably do a video about this at some point but a trust Think of it like as a corporation and instead of like Passing on your properties whatever those are Whether it be crypto or stocks or a real estate Instead of passing them on after you die directly to your kids and then have that that taxed You put it into a trust and a trust is a corporation. You were the ceo of that trust You passed away. Who's the new ceo? Well, it's your son or daughter and uh, the tax implications are minimal So that's what I would do all right Yeah, lots of streamers are traveling. I traveled back to texas. Everybody else went to miami So uh, watch all their shows. I'm sure they have like live in depth Things about what's going on my in conference. I wish I could have gone It sounded like a pretty good time just to meet the people I don't care. I don't care about the people talking. You just care about the people that go there that uh, Are like, you know Normal people that's why I'd like to do those portorico meetups. Those are fun speaking of which we should do an El Paso meetup I can do that now She is hot. I do love her Do you think stacks will do well by bringing smart counterfeit going there? I did that So this is the whole thing with like uh, miami and I think I want to say Uh, a city in Missouri and also I thought it was in colorado It's correct me in the comment section, but it's all about smart contracts. It's all about being able to invest The the people that you have in your city to be able to invest into bitcoin And then roll that money back into them. So that actually becomes like tax neutral That's the whole thing with miami and uh, suarez. What are you trying to do? So, yeah, I think you could do very well. I wish I I wish I get those guys on the channel so I could talk to them about that Markey seriously legend. Hey markey My husband wants to move now too much tax in your markey. You guys should you guys should come down Good times Oh, the mics seem fine. Fantastic. That's crazy uh Why did I switch mics because? Luggage got lost. That's why Yeah, that's why I tell my wife she goes, you know, your your beard's pretty white You're looking a little older. I'm like, no, no, I look distinguished as a difference Ah Yeah, well, I mean like the sides of my head is all white. So I don't know Okay, great question. This will be our last question. This is question number five Hi rob question here What percentage of your crypto portfolio keep on an offline ledger versus on an exchange for passive earnings? And she's gonna hear so it fluctuates and it fluctuates. I'm gonna tell you why I'm gonna be honest with everybody because I'm lazy That's really what it comes down to so I dollar cost average every single day. I'm buying uh, bitcoin ethereum luna solana and cosmos right now that will might change In a week or two weeks just depends on what's going on And I get lazy because I use voyager and it goes in a voyager and then I'm like, okay Well, I need just I need Depending on the rates. I'll send some of that over to Celsius and I know that I need to get into anchor. I get it I know it's been lazy. There's a lot of things going on And then what I'll do is I'll try to try to switch over. I try to keep I want to keep 70 percent offline But it depends on what you want to do because like if you want to gain yield Then you can't do that on your ledger maybe in the future But someone once had a pretty good point. They said Is it worth the 4 to 9 percent that you're getting on yield? For some hack to lose your bitcoin, which could be worth X amount in the years to come look at the mount gox people I didn't get any any yields. I was like, no, that doesn't make sense But there's another option though. I do like this part I just got my debit card from voyager because I arrived We arrived in El Paso yesterday all the mail came here and I'm like, oh, I got my debit card So what I'm going to do is slowly Start to put a bunch more of my money from my different banks for the different businesses into voyager And I'm going to put it into usdc because I got like 9% that is Intel, you know mullets mullets uncle gary genzler comes down on us And tries to protect everybody and takes that offering away. So that's the plan I'm trying to do So look, that's it. We've gone 20 minutes. It's a little too long So because I I try to be respectful of people's time and I know it 30 minutes is a long time for everybody So thanks everybody for stopping by. I appreciate it lose tomorrow But maybe a little probably a little bit earlier, but we'll go from here So if you like today's video, give it a thumbs up. I'll also consider subscribing to talk about our time sensitive That's it for today. So thanks so much for watching. I appreciate it and I'll see you guys tomorrow on cto larson's channel Let's do the dca show me him and james. Adios everybody