 Welcome to Gillespie News, the good top stories in crypto, currency, and angel assets, and break them down into bite-sized pieces today. I've got some pretty fascinating stuff. First up, Goldman Sachs economist says Bitcoin is maturing, details how much institutional money has entered the market, and hint-hint, he's absolutely wrong. Also, we're going to take a look at what is going on with the Bitfinex allegations as Bitfinex executives deny allegations of issuing USDT to pump Bitcoin, tether backed by cash assets and a loan. This is a pretty interesting piece, which was actually shown originally over at what Bitcoin did. We're going to dig into this and see exactly what this lawsuit is going, and those are the two articles we're going to go over today. A lot of information, so let's do two. And what I really want to do is take a look at what's going on with the market. So today, not too shabby, right? What is it? January 14th, 10 a.m, not too bad. And we've got a lot of great things going on. First up, Bitcoin. Bitcoin, it's up 15% 24 hours. You can't beat that. We had a little bit of a pullback, which everybody says is healthy, but people lose their minds. And that's why I had people like Diddy on to explain to you that it doesn't matter. It doesn't matter in this year. It's always in four-year cycles. We have it in 2012. There is a halving, 2013 all-time high, 2014. We have a little bit of a dip, a big dip, 2015 retracement. Same thing happened in 2016 halving, 2017 all-time high, 2018 dip, 2019 reset, 2020 halving, 2021 all-time high, 2022 dip, big dip. So really, which don't be concerned about 2022. Look at what's going on in 2021 and look what you can invest into. I'm not a financial advisor. I can just tell you what I would invest into. And I've already done my entire portfolio and where I'm going from here. And then actually, if you've taken a look, I actually had a pretty good, a decent piece over on what was going on with Voyager. So check that out later on. So Ethereum, up 16%. Hey, great, 1237. We're almost at the all-time high, which was 1400 USDT. Nobody cares unless you're in the state of New York. You're auditing them. XRP, watch out, 1% down to 29 cents. Dot, amazing run. Dot, 28% for 24 hours, 26 for the week, and set to $12. And like I've always said on this channel, I invest in people. Dr. Gavin Wood was part of what I call the Ethereum mafia, kind of like the PayPal mafia, but those guys brought forth Ethereum. You know, you have something like that. Dr. Gavin Wood, you got Charles Hoskinson, who's also with Cardano, which is why I invested in him. You have Vitalik Buterin, who brought forth Ethereum. Obviously, that's why I invested in those projects. So always invest. I try to invest in people as much as possible because they're the ones that really make things work. So just look at who is behind the actual project and you can't go wrong. Also, Litecoin, 13%, no idea why. 10%, ADA, that's great. Looks like they're raring up for the Gogan era. Looks like they might launch in end of February, early March, and that will give them smart contract functionality. Also, if you're looking for someplace to stake your Cardano, DNews has a stake pool. We have near perfect uptime. Look in the description below to check that out. Chainlink, up 10%, $16. Hopefully you can get to that 19 and almost hit. Stellar, BNB coin, USN, USN, USC, 13%. Anything great? Everything's up. It's a great day, right? Theta, one of my holds, $2.09. And if you noticed, I am extremely biased towards my pick. You'll notice I'll like kind of skip over other things and go to my other, the ones that I do. It's just because I'm biased and I'm honest about it. That's just how it is. Let's see. Celsius up 13%. I can't win my picks. 13%, yeah, like $5, but it has taken a little bit of a tumble. It topped out at six, retraced back to five, and now here we are. But we took a look at Pat Ackerman. He is the mathematician guy that I pretty much took all his information and did that nice little voyager recap. He's got Celsius, I think between like $50 and $60 for this year. So take a look at that. I hope so. Hope he's right. Ave, everything's looking good. And then so we're really doing like 18, 24% looking really great, right? But whoa, 21% for avalanche. No idea what that is. Looks great. But what else we got? I just want to make mention of one little thing. And that is, voyager is up to 92, spot 92, up 50%, 400% for seven days. This is no coincidence. This is, we have been looking at this and we've been doing certain things in the background as far as like what we chose to study and voyager is one of those things. It's at $1. When I did my price prediction, which was just a week ago, it was at 29 cents. And I said, it's going on 30 bucks. And everybody's like, you're insane. And here we are. So it could go up, it could go down. I'm not a short player on this one. This is a very long term type of hold. And I think it's going to do quite well. So that's what's going on in the market. Let's jump into today's top stories, huh? Let's see what we got. So this was an article from Deli Hoddle, Goldman Sachs economist says Bitcoin is maturing, details on much institution money is under the market. And it's a nice, nice, nice article, very well written, but kind of boring. So why don't we just watch the video where they pulled this from, and then we can actually, you know, talk about it. Because before we start, I want you to pay attention to what this gentleman here, let's see who is Steve, Steve Sedgwick, global head of commodities, Jeff Currie, pay attention to what he talks about it as far as like the amount of institutional money that's in here. And then also when he talks about the gold, how much market cap of gold, it's kind of interesting. So here we go. If you look at it historically, in fact, we were just talking about downside risk before this call, you know, go back and, you know, the last rally in 2018 got to 27,000 and next time it was at three. So if, you know, historical performance is a, you know, any guy, there's a lot of risk there. But I think that the market is beginning to become more mature and any nascent market, you get that kind of volatility and those kind of risks that are associated with it. I think the key to creating some type of stability in the market is to see an increase in the participation of institutional investors. Right now they're small, you know, about $700 billion of money in Bitcoin right now. Of that, you know, roughly 1% of its institutional money. Do you know how to value that? Because I know you know how to value a barrel of oil. I know you- Stop right there. So he said about 1% is in institutions. It's institutional money coming into Bitcoin. So I don't know, because here's the thing. Here's Bitcoin treasuries. So you got three different categories that break it down. You got public and traded companies, private companies and ETF-like. Well, if you look at what Grayscale Bitcoin trusts, they have almost 600,000 Bitcoin. There's only 21 million that'll ever be out there in the world. We are only at 18.5 million. The last Bitcoin will be mined around 2140. That's what they tell me. I didn't do the math. Math is hard. So I'm like, okay, sure. And also, you have to remember that there's a lot of Bitcoin that's lost. So people say, well, it's 18.5 million circulating supply. No, it's not. No, it's not. It's actually, I think it's about 16 million, 16.5 million. I think at least 2 million has been lost. Imagine all those days in 2009, 2010, when everybody was mining Bitcoin, when it was like a nickel. No one cared about that stuff. They threw away their computers left and right. So I do not believe that there's 18 and add a million circulating. That doesn't make any sense to me. So then you got coin shares, Ruffler, 3IQ, Galaxy Bitcoin Fund. And if you take all of them, all of them, it's over 1 million Bitcoin. So let me do some quick math. And so you got 21 million. Let's just do 21 million, right? So 10% of 21 million, or 10% of 21 is 2.1. 5% is 1. So we're looking at 1, 5%. So when he says 1% is institutional money, and if you take it all, right? Sure, 5%. Or maybe like this, 2.5. It's just a little thing where I'm like, there's more institutional money than what people realize. And I think a lot more is going to flow in. So we will see. Anyhow, the next part gets pretty interesting where he says, well, how do you value that, the commentator or the host? He's like, how do you value that? Because you can value gold, you can value a barrel of oil. So how do you value Bitcoin? I thought it was interesting what he said. You know how to value iron ore. If you get it right or wrong, you know what your methodology is. What about your methodology for a cryptocurrency for Bitcoin? Do you actually know how to get an accurate valuation on this? So if you treat it like a defensive asset, such that let's say like gold, and we look at the size of defensive assets like the gold market, there is like $2 trillion, $3 trillion in those kinds of markets. Now we start to ask how much of this defensive money could be allocated to something like a cryptocurrency or a Bitcoin. Right now, all the cryptocurrencies have about a trillion. Let's say it grows to $2 trillion, then you just do the simple math. How many coins are out there divided by that and you can end up with a fair value. Now, the question is that can give you some long run equilibrium, but the flows that you're referring to create a lot of volatility and a lot of uncertainty. It makes it very difficult to forecast it. Do you have a recommendation on it at the moment? Given the fact that you've seen a big run up across all these markets, I'm not going to take a strong view here, but this morning the traffic seems to be flowing one direction. You should have went ballsy and just said, yeah, put money into Bitcoin. You know what he could have said? I mean, it does work from Goldman Sachs, whatever, but I could have said, you know what, just two to three percent, the basic general run in the middle answer would have been fantastic. Two to three percent, just put that into Bitcoin and it's all volatile, but really would be good, especially because money's on fire. They're not going to say that, but he should. So what he said there, he goes, there's like two or three trillion in gold. I'm like, that's really true. So taking a look at this, if you're new to the channel, welcome. If you're not, this will be kind of boring because I always talk about this. So this is money in markets. And if we take a look at, this was just out on May 27, 2020. So not too long ago, right? Each square represents 100 billion, okay? Each square. That's a very, not too bad, right? Silver isn't that much, 43 billion. Cryptocurrency at the time was only 244 billion. 244 billion. Now, we're at a trillion, right? Military spending, U.S. budget deficit, of course that went up. Yeah. Coins in bank, no, it's Fed's balance sheet. There's billionaires. Good for those guys. Great. Good for them. But here's gold. And gold, if you notice, it's around 11 trillion here. I think it's actually 12 trillion in reality, but let's just say 11 trillion. So when he talks about the numbers, he's just a little off, but you have to understand these are the numbers of all of gold. And if you believe, like I believe that Bitcoin is gold 2.0 or is digital gold, I don't see how Bitcoin can't eat into that market cap. So let's just say it captures half. That would give it at 5 trillion, 5.5 trillion dollars, 6 if it's on, you know, 12 math. So, I mean, if you're looking at 6 trillion dollars, and that's in Bitcoin, just Bitcoin alone, not to mention the other crypto assets that are out there, you're looking at 450,000, half a million right there. And that's not too bad. So check my math in the comment section, but it's somewhere around there. And I don't think you'll fault me if I'm a little bit off, like 50K here or there. So if anybody has any problem with a Bitcoin above 400K, let me know. All right. So that is it for that piece. Let's move on to our next article. All right. So this one here, Bitfinex. So we had done a video a couple of days ago about the Tether incident. And I had talked to you about everything that's going on. Tether is number three market cap. Let's just take a look here. Where are we? So Tether, here's the market cap of 24 billion, 82 in the 24 hour volume. That is what is being used for a lot of different trading pairs, so sure. So let's just say, for example, and I talked about this, let's just say that they come out, but you know what? We fooled all of you and it's not back to one to one a dollar. We don't have 24 billion dollars laying around. So sorry, 24 billion goes away. But out of the market cap of 1 trillion, whatever. Right now we're at 1.85 billion. So 1 trillion, 85 billion. So if we lose 24 billion, who cares? I mean, it'll be a shock to the system. Bitcoin will go down, which is great for me and you because we dollar cost average. And that'd be like, thank you, tip of the hat. Appreciate it. And he just picks some cheap Bitcoin up. It's a flash sale. And then after that, people go, well, I'm going to go to stablecoins that are actually around USDC or whatever else I just use USDC. And it looks pretty good. I wish, you know what? There was one complaint I wish we could address. And that is that the stablecoins are built, they are an E or C 20 token. So USDC and USDT, they are on the Ethereum network and the fees are crazy outrageous. So hopefully, you know, I think like, like Leo token or whatever else that's out there for a stablecoin RSV, RSR, which are the ones that stablecoin a little bit different. So maybe not on the on the Ethereum network right now. Great. So anyhow, this was a piece taken from what Bitcoin did. And if you haven't listened to this guy McCormick, this funny guy. So he was on with Richard Hart. Richard Hart had him on there talking about hex. And for like 10 minutes straight, all McCormick said was, you're a scammer. I don't want to talk to you. You're just a scamming piece of junk. And this is it. And Richard's like, it was kind of funny. Richard's like, I'm not a scammer. What's going on? And whether you like Richard Hart or you don't or you like McCormick, it's just a funny video. I need to link that at the very end. It's hilarious. And then like 12 minutes, it's like, all right, well, I'm a scammer. And that's it. It's just funny. So he had these two guys on, Biolo, Arduino and Stuart Hogger, I think I nailed that. And one is the chief technical officer and the general counsel. And they just pretty much talk about what's going on with this lawsuit. And it's kind of important. But I think people are putting like way too much preference on what's what the outcome of this, this whole thing is, it's not like, you know, we're going to find out that that there's some kind of virus that just, you know, wipes out all cryptocurrency. Because it seems like that's what I was talking about. I mean, I get it is one of those things. But in the long run, we'll be just fine. We'll be just fine if this collapses, people just do something else. Sonia, Biffen X General Counsel, Stuart Hogger, that's the guy. And here with Peter McCormick, Biffen X General Counsel claims the misconception that USDT is not fully backed from a sworn affidavit, which he says has been taken out of context. Isn't it always, always out of context, a quite affidavit about 74% of tether backing was in the form of cash and cash equivalents on hand. The remaining 26% was in the form of a 550 million dollar loan to the company, which it is fully servicing. Great. So you got some loans to cover everything else and it's backed one to one of the dollar. Sounds good to me. Since the stable coins total market cap has gone up from 2.1 billion to the current 22 billion, the loan share of the USDT reserves shrunk to 2.5%. So both Hogger and Arduino have confirmed that bitcoins are part of the reserves assets that Biffen X uses to back the stable coin. So essentially what they're saying is that, yes, it is a stable coin. Yes, we have it back to the dollar. We don't really have dollars dollars, but we do have Bitcoin. And as long as that goes up, we should be okay if I'm bringing this correctly. Again, not a lawyer, but it's what it sounds like to me. Arduino does reveal the only time Biffen X acquired the bitcoins, which now form part of his reserves, he states, the bitcoins and reserves are a good amount remaining from the past acquisition that we likely did in 2015-2016. Okay. The bitcoins, which we bought for a good price in 2015-16 will probably be enough for perpetuity. So essentially what he's saying is like, look, we got a bunch of Bitcoin back in the day, and it was super cheap. And now we've got a bunch of them. So if we have to sell them off to back these loans or to say it as a stable coin, we'll do it. But I bet for them, they're like, we don't want to do that. Because if they think about it this way, if they have Bitcoin right now, and they have to sell it just because there's a stipulation that you have to have dollars, well, that would suck for them. Because especially right now, right now, Bitcoin's roughly about 40,000. What if it goes all the way up to like 400,000? Or let's just say my reserve wet blanket type of assessment, which means it's like 150K. That would be awful because right there, they are eliminating a 4x gain just because they have to go to the stipulation of this lawsuit. So I think they'll be pretty awful for them in general. Hopefully they don't have to do it. However, this is where it gets good. The lack of an independent audit. I hear this all the time. Well, if they have it, why don't they just do an independent audit and then everything can be done? Kind of like what Celsius did. Celsius had somebody come in, independent people. I think it was not CoinMetrics. It was one of those Misari or one of those places that actually do all the different algorithms. This is good. Why don't they just do that? Well, when asked why the company is not hiring outside auditors to conduct a full audit, an evasive, I like how he said it, an evasive Wagner. They couldn't just say, he said this. An evasive Wagner says, some steps have been taken this direction as a show of good faith. Steps include consulting reports produced by one accounting firm and a law firm, as well as reports from Bitfinex bankers. Bitfinex is continues looking for ways to share information with the community to be more and open to be transparent. I like that answer. Very PC. Wagner then closes by clarifying that the AG, the Attorney General, has not filed a lawsuit against Bitfinex and Tether. The action against the two entities does not amount to be a criminal investigation. So really, that is really what it comes down to. And there's really nothing much more to say about this one. Honestly, honestly, I have to tell you, I got to tell you, I got to tell you, I don't really care which way it goes. If it does come out and like, oh, we didn't have anything. Great. Bitcoin goes down and I get a flash sale. And everybody here on this channel who dollar cost average, you are probably all doing the exact same thing. And we're like, great, we can pick up some more Bitcoin. If it doesn't, then everything gets smoothed over and no one has to worry about that nonsense. And then, of course, the price either stabilizes or it goes up a little more. It's a win-win situation. And these are the things about investing for the long term. If you just kind of take some sound principles, and again, not a financial advisor, but just some sound principles and go, okay, I'm just going to do a little bit here. I'm not going to put my, I'm not going to sell my kidneys and my kids and everything else to put into Bitcoin today. It usually works itself out. So that's, that is a big thing. Look, that is it for today. But I'm going to put out a second video because I need to talk to everybody about, well, there's a couple of things. First, I need to talk to you about it's not how much you make, it is how much you keep. And you know, on this channel, we're big on scams. We hate them. I did an interview with Markey. And Markey is one of the community members over at Trade the Chain. And she had an issue come up where she got swindled out of $10,000 worth of a cryptocurrency from the Atomic Wallet. And I have, it's just good to put a face to all these scams that are out there. She's going to tell you exactly what she did, how it happened, and what not to do. And I'm going to give you some little tips here. But you have to understand, for scams and everything else, don't be all high and mighty and be like, how can you do that? I get emails on a, at least a weekly basis where people say, Rob, watch your channel. I did the exact same thing you said not to do. And I always thought I was too smart to be swindled out of my crypto. And it happens a lot. The same thing. There is a doctor, I think it was from Ohio, a doctor from Ohio, he lost over, it was over $50,000. And he said, man, he goes, I just, I knew not to do it. He goes, but I just, and I heard you say things in the back of my, my brain, but I still did it. So I needed to hammer this into your head, everybody who's watching, just to make sure that you keep everything. So it's not how much you make, is how much you keep. That is a big thing. And the second thing I want to address is about videos and sponsorships, because I've been talking a whole heck of a lot about Voyager. So the real question is, am I being sponsored by Voyager? So I answer all that later. All right. So thanks for watching the video. I really appreciate it. And if you like these types of videos, it'll be too much going to pop up on your left and right, not sure what YouTube do their magic. And that is all. So thanks so much. I appreciate it. And I'll see you on the next one later today.