Furax

[Ran Neuner @cryptomanran]

I have a serious question.

What happens if STRC doesn't go back to $100?

The way I see it is a follows:

- Holders of STRC receive the dividend regardless of the price.
- If STRC doesn't go back to $100m then Saylor can't sell more to buy BTC.
- That is bad for BTC because the market will realize that the biggest buyer can't raise cash.
-If STRC has one or 2 months where it doesn't hit $100 the market realizes that its not actually worth $100, it could be worth $70, $50, who knows...
- As soon as that happen we get a death spiral of sorts where Saylor has to keep raising the yield to try get it back to $100.
The only problem is that the more he raises the yield , the more BTC he may need to sell...

What am I missing?

Serious comments only please.

[Dan Held @danheld]

Back in 2013, I was at a dinner where a reporter spent 10 Bitcoin, worth $1,000 on a dinner for the Bitcoin meetup group.

Today that would be worth $750,000 🤯

And you wonder why I tell people to HODL?

[Atlas @crptAtlas]

Jamie Dimon predicted his own bank would go bankrupt

He was fired for it

Then that bank went bankrupt

JPMorgan hired him

He now runs $700B as CEO of the largest bank in the US.

35 minutes at Harvard

The most honest Dimon has ever been in public about how he thinks, how he sizes risk and why most banks make the same mistake over and over

The framework he describes is the same one in the article below

Find the independent signal nobody else is running, size it correctly and don't let conviction override the model when the data moves against you.

Save the video

Read the article

[George Bodine @Jethroe111]

WHAT IS WEALTH?

Bitcoiners are going to have to answer this question.

We are going to see transformational wealth to a few bug eyed psychopaths who saw something others could not see, and are about to be rewarded.

What does that mean?

Many will be in a postion to stop whatever fiat job they have been doing in order to collect printable "cuck bucks."

And to live a life where time stretches out and you can truly pursue that which brings you joy and fulfillment.

This will be the point where you have to answer that question, "What is wealth."

I'm at the back side of a life well lived, full of adventure and challenge, and now I see a horizon not too far off coming at me.

This is what I want to say to you:

Health is more important than wealth.

Time is very short.

Finding a soul mate is the greatest gift God can give you.

Everything you "own" also owns a part of you.

What you do now will echo through eternity.

Live well my fellow pleb. Enjoy your success.

[AI Edge @aiedge_]

https://t.co/QekzPy3GiB

[Jesse Myers @Croesus_BTC]

I’m sick of it. The Bitcoin gloom and disappointment. Don’t you see what is underway?

When you close your eyes, there’s one number you should see in your mind: $500T of fiat assets.

That’s how much global asset value is sitting in Bonds (fixed income) & Money (M2 fiat currency). Why does that matter?

Because that giant reservoir of ~½ the world’s asset value contains the potential energy necessary to power hyperbitcoinization.

This is what Saylor sees.

But do you see it yet?

Consider Hoover Dam. The reservoir behind it contains 12 TWh of usable hydroelectric energy – it just looks like one big lake, calm and placid. But if you stick a pipe through that damn and put a turbine generator in the middle of it and let the water run through it… you can generate enough energy to power the city of Las Vegas for 5 years.

That’s potential energy. Stored, untapped power. And by removing the barrier for the water to flow towards a lower energy state, you can harness the pent up power of the reservoir.

This same mental model works for capital.

A high Sharpe ratio is the financial analogue of a low-energy equilibrium state. Capital flows downhill, always seeking lower risk per unit of return.

(Yes, I know everyone thinks about it as “highest return per unit of risk”, but this is the equivalent and helps understand the physical metaphor)

Do you see it yet?

Think about all the capital parked in fixed income instruments or money market funds. All of this capital is parked there because it has historically provided an acceptable trade-off of modest nominal returns for minimal risk.

The entire premise of fixed income is “here’s a way to park cash in low-risk instruments that will generate a positive return slightly greater than inflation.” Adjacent to this asset category is “cash and cash equivalents” where the value proposition is somewhat smaller returns in exchange for even less risk.

And over the decades, a steady stream of capital has found its way into these asset buckets that promise low risk and modest nominal returns via future fiat cashflows.

These buckets have become a giant fiat reservoir, brimming with nearly $500T of capital.

Do you see it yet?

Along comes Strategy. @saylor realizes that much of this $500T of capital would be better off if it flowed into Bitcoin. But Saylor also recognizes that this reservoir of capital is inherently constrained. Boxed in by convention, investment mandates, risk management, volatility aversion, etc.

It won’t flow to Bitcoin on its own. It can’t – it’s walled off, dammed up.

Strategy engineers a solution. Creates a product to meet that capital where it’s at. The $500T fiat asset reservoir wants low risk, low volatility, fiat cash flows. Strategy designs preferred equity instruments that solve for these constraints, while Strategy uses the fiat capital proceeds to buy Bitcoin (which it believes will appreciate at 29% CAGR for the next 20 years).

In exchange for capital today, STRC offers 11.5% annual returns with volatility asymptotically approaching 0. The Sharpe ratio is off the charts. It breaks everything in tradfi portfolio allocation. At first glance, it seems impossible. But it works because it’s not powered by risk-taking layered on top of fiat inflation; it’s powered by the ongoing monetization of a superior monetary asset whose endogenous properties ensure its appreciation when valued in fiat currency units over time.

Saylor terms this kind of Bitcoin-powered fixed income offering “Digital Credit.”

When a commodity flows from a high-energy state to a low-energy state, it releases energy. In the case of Hoover Dam, that energy can be used to power a hydroelectric turbine. In the case of Bitcoin treasury companies with Digital Credit offerings, that energy can be used to power shareholder returns for common equity holders. This can happen in every major capital market in the world.

Do you see it yet?

Strategy has stuck a pipe through the dam. A conduit through which capital can flow out of the Fiat Asset Reservoir and towards a low-energy equilibrium state. Digital Credit offerings (e.g., STRC, SATA, and others) create that value proposition.

And what’s the Total Addressable Market (TAM)? All $500T of fiat assets in the reservoir.

The recent SpaceX IPO Prospectus recently made a splash by claiming the company had a combined $28.5T TAM, proclaiming that this was the “largest TAM in human history.”

But my essay from 2023 titled “Bitcoin’s Full Potential Valuation” already articulated how Bitcoin’s TAM is all value itself, above and beyond the usual lens of annual economic activity across industries. Saylor read it, adopted it for his presentations, and built on it with the Bitcoin24 valuation model.

The SpaceX Prospectus is wrong. Bitcoin has the largest TAM in human history.

And Digital Credit has the second largest TAM in human history – the $500T Fiat Asset Reservoir.

Do you see it yet?

Digital Credit offerings will redirect some % of the $500T Fiat Asset Reservoir into Bitcoin. This will happen because the value proposition of Digital Credit offerings is higher Sharpe than anything I am aware of in the entire $500T reservoir, inflation-adjusted.

Think of it as the Second Law of Capital Dynamics: capital flows toward assets offering superior risk-adjusted returns.

If Digital Credit ingests 1% over the coming decades, that’s $5T. It seems unreasonably pessimistic to think that only 1% of the $500T Fiat Asset Reservoir would be interested in vastly better returns with a similar (or better) risk profile.

Let’s say Digital Credit appeals to a (still-conservative) 10% of the $500T fiat asset reservoir, that’s $50T.

Bitcoin is currently a $1.5T asset.

Do you see it yet?

Digital Credit may direct a torrent of $50T of capital into Bitcoin over the coming decades. All of it bidding for a finite supply of Bitcoin.

The scale of that inflow would likely drive Bitcoin’s valuation to $10m/BTC, or ~$200T total.

Digital Credit is the plumbing of hyperbitcoinization.

This is how it happens – you’re watching the early stages of Bitcoin’s monetization megatrend.

The question is: do you see it? Or will it have to play out first?

[Bitcoin for Freedom @BTC_for_Freedom]

A house in 1970 cost $23,000. The same house today costs $400,000. Wages since 1970 have grown 4x. House prices have grown 17x. This is not a housing crisis. This is what 56 years of broken money looks like in bricks and mortar.

[Adam Livingston @AdamBLiv]

You start reading weird books.

You buy “The Bitcoin Standard” and then “The Fiat Standard” and then you accidentally end up reading Murray Rothbard, and then somehow you’re reading Mises, and then it’s 11:47 PM on a Tuesday and you’re 340 pages into “Human Action” and you’re highlighting passages about praxeology and your wife comes downstairs and asks if you’re coming to bed and you say “in a minute” but you don’t come to bed for two hours because you have just discovered that everything you were taught about economics in college was wrong, all of it, every single sentence, and now you can’t go back, you can never go back, you have been orange-pilled in a way that goes deeper than money, you have been epistemologically orange-pilled, you now believe that John Maynard Keynes was a charlatan and the gold standard was actually fine and the income tax is theft and you can never say any of this out loud at a dinner party ever again.

[Stack Hodler @stackhodler]

Steep climb up to my favorite mountain coffee spot to start the day.

Perfect Sunday morning.

I vividly remember sitting here when I had like $100k saved up, wondering how I was going to turn it into millions so I could afford to stay at a hotel like this whenever I wanted.

I had no doubt I'd make it, but I remember wishing I could jump to the future just to see the path that got me there.

Now that I'm here, I realize how little the specific details of the actual path mattered and how a few specific beliefs were everything.

Number 1 is believing that opportunity is absolutely everywhere

Especially when you get to the point where you have some capital to invest.

Do whatever you have to do to get your first $100K saved up.

But then realize that there are incredible investment opportunities that can multiply your capital in a relatively short period of time.

How do you find them?

It sounds silly... But you need to do what most people don't: Actually look for them

Most people are terrified to invest in anything besides an index fund

If you want average results you should do the same

But if you want extreme results you need to do something different

Set a clear objective of what you are looking for in your mind.

"I want a quality asset with real 10x potential over the next 5 years that I can hold with conviction through extreme volatility"

Set that as your mental filter.
Set it as a strict bar.

And you will find the right asset.

Trust yourself. Trust the universe. Do the work until you find that asset.

And when you find the asset, have some balls and size up.

Not financial advice.

This worked for me but may not work for you.

Oh one last thing... The goal is not the number on the screen. It's not to cheerlead for any one asset either

The goal is to multiply your capital to provide your family with a high quality of life

Set that as your guiding principle and you'll win

[Simply Bitcoin @SimplyBitcoin]

Max Keiser aired his first segment about Bitcoin on the Keiser report in 2011

[Simply Bitcoin @SimplyBitcoin]

Lyn Alden and Preston Pysh explain how Bitcoin hitting $10 Million is “logical.”

[Julian Figueroa @kinetic_finance]

⚠️You think Bitcoin hitting $1,000,000 sounds insane.

But in 2010, Hal Finney predicted Bitcoin could hit $10,000,000 - when it was trading for $0.005.

The question is no longer IF Bitcoin gets there.

It’s WHICH path it follows...

💥THE EXIT MANUAL – EPISODE #38

[Psyche Wizard @PsycheWizard]

How Daughters see their Dads at Every age:

- THREAD 🧵

[Eminent_minds @minds_eminent]

Your Parents Are Getting Older.
30 Things To Do With Them Before Time Moves On :

1. Record their voice telling a story.

One day that voice becomes a sound you can never hear again.

[Ray Dalio @RayDalio]

When entering this second phase of life, you are almost certainly making the mistake of thinking you know more than you actually know—especially if you got good grades in school. You were taught that success is a matter of learning what you were taught and not making mistakes. That probably made you a bit arrogant, like I was when I graduated. But it is living life and encountering your realities that will truly teach you. The question is, will you learn?
@longislandu

You can watch the full speech here: https://t.co/YXqP6Io0Dj

[Michael Saylor @saylor]

We turn Bitcoin into Money. $STRC

[Furax @FuraxFreedom]

@scottmelker Excellent Scott 🔥

[The Wolf Of All Streets @scottmelker]

The case for Bitcoin.

Send this to anyone who asks why Bitcoin matters.

[Jeff Swanson @theswansjr]

Bitcoin isn't real! It's not physical!

Yeah? Neither is the number seven, but I bet you'd notice if your bank balance dropped by seven figures.

Let me break the spell for you: money has never been "real."

Money is a collective hallucination—a social construct we all agree to pretend exists so we don't have to barter chickens for dental work.

Gold wasn't money because it fell from heaven with "LEGAL TENDER" stamped on it.

We picked gold because it was the least-bad physical object that checked the boxes:
- Scarce
- Durable
- Divisible
- Portable
- Verifiable

It was the analog solution to our shared idea.

But here's the thing about analog: it's slow, heavy, and requires armed guards.

And here's the thing about humans: we engineer better tools.

We went from abacus to iPhone. From carrier pigeons to satellites.

From gold bars locked in vaults to Bitcoin—verified by thermodynamics, secured by energy, and transmitted at the speed of light.

Bitcoin is the digital versioin of money. Just like X is the digital version of town hall.

Gold was the best we could do for many centuries.

Bitcoin is what we can do now that we have cryptography, distributed consensus, and proof-of-work anchored in physics.

Your grandpa trusted gold because he could hold it.

You trust Bitcoin because you can verify it.

One required faith in a metal. The other requires faith in math.

Guess which one has never been debased, diluted, or confiscated by executive order?

The concept of money is a human mental construct.

Always has been. Always will be.

The only question is: do you want your construct built on scarcity enforced by governments—or scarcity enforced by code?

Gold was monetary technology for the industrial age. Bitcoin is monetary technology for the information age.

Welcome to the upgrade.

[Unchained @unchained]

After 17 years, bitcoin is still widely misunderstood.

We partnered with @atlanticrethink to make a short film for the curious ft. @natbrunell, @NSmolenski, and our CEO @josephkelly. Not the crypto story. The bitcoin story.

The New Rules of Bitcoin, out today cc @TheAtlantic.