How familiar are you with cryptocurrency? Do you think “alt coins” are bunk compared to Bitcoin? More importantly… are you in the crypto market yet?
In this episode. I’ll share with you what I have learned about cryptocurrency, and why it is the “oil” of the 21st century.
Listen to the podcast here
Crypto Isn’t Just About Money… It Is Changing The World
As you guys are probably well aware by now that I am completely and totally bullish on cryptocurrency. I bought Bitcoin about a few years ago and held it, but I didn’t buy that much enough to make any difference. Finally, I cleared some things off the plate energetically-wise. I was ready to take on understanding a new asset class. I don’t ever want to get into something that I don’t fully understand and see what is the long-term capabilities because I’m not interested in short-term quick gains. I don’t think that is the way to truly build wealth.
The question that I want to answer is where’s the market at these days, where’s it going, and where are the big opportunities, but it’s something much bigger than that you need to understand. The conclusion that I’ve drawn after a lot of research even recently is that the crypto markets are going to go much higher. I’ve arrived at a much bigger picture conclusion. This isn’t just about making money. I love making money and all of you probably do too. If you don’t admit that to yourself, you probably need to do some introspection.
As of right now, I’m up a few hundred thousand on crypto, which is fantastic. It certainly seems to me very small in comparison to the possibilities and also what I see other people able to do in this space. All of that is great, or the money part of it is great, but crypto means so much more than that. This is about fundamentally changing the world.
If you’re going to get into this space, which I urge everyone to get at least some exposure, even if you don’t have that much investible dollars, put a little bit of money into crypto. We’re about to see an explosion once the institutional money starts getting the fear of missing out because as of right now only four companies have Bitcoin on their balance sheet. What happens when 100 companies have Bitcoin on their balance sheet? Which is where it’s headed. It’s going to be crazy what the explosion’s going to happen in the crypto market. I believe that we’re going to see that happen within the next couple of months.Even if you don't have that much investible dollars, just put a little bit of money into crypto. We’re about to see an explosion. Click To Tweet
How is it about fundamentally changing the world? This is about a generation of individuals all the way from teenagers to the Baby Boomers who feel like they’ve been screwed over by the establishment for years and are finally getting their chance. They feel, “This is about leveling the plane field.” It’s about the kid who did everything growing up, went to a great school like his teachers told him to do, got a great degree that made his parents proud, and yet still can’t afford a home because the market’s too hot and he’s sitting on 250,000 in debt. It’s about giving that kid the opportunity to get a home, pay off his debt, and start a family.
It’s about the 55-year-old who worked his whole life in a solid 9:00 to 5:00 job, never got in trouble, saved money his entire life, and yet still feels like he’s decades away from having enough to retire comfortably. It’s about giving that person the opportunity to pay off the mortgage, retire early, and enjoy the financial independence that they deserve. This is about giving people a fair chance.
We have become a society of haves and have-nots. My mission and the reason why I started this program is to help the have-nots to become the haves, but it’s more than that. I want good people to make great money. I feel when good people make great money, they’re going to make great decisions and truly bless the world and make a difference in other people’s lives and not become greedy, self-serving, egotistical hoarders.
It is true that there’s a division and a big wealth gap. We all know, feel, and see it. Cryptos are one of the great equalizing forces that society needs now amongst other things. Creating your own private business is still much more powerful than any investment or any crypto by far, but cryptocurrencies are stripping away power from the few and giving it back to the many, modern-day Robinhood if you will. They’re exactly what society needs now.
They’re not an investment, they’re a revolution. Cryptocurrencies are going to reshape our world over the next several years, all while being passionately supported and adopted by a generation of folks who feel left behind. This is an inevitability. Decentralized finance, it’s also called DeFi for short, is going to become the status quo. As we all migrate our finances onto the blockchain. I’m on an app called Nexo, which I strongly recommend. I’ll do an episode explaining how these platforms are working because there are others besides Nexo, but I’m hosting my cryptocurrency there, which is money, and I’m getting 5% to 6% interest as opposed to the bank where I’m getting 0.03%. It’s incredible.
As more and more companies, migrate onto the blockchain like Netflix and Facebook which has already said that they’re moving Metaverse to the blockchain, and also, Spotify. As those things happen, what’s going to happen to the price of Bitcoin of all the altcoins? They’re going to go way higher. You’re positioning yourself to make some good money over the next several years. You’re also what I consider part of the world’s biggest revolution since 1776.
Changing The World
What’s better than making a ton of money? It’s not that much, but changing the world would be a trump card. With cryptos, you can do both at once. The party is far from over. The total cryptocurrency market cap eclipsed 3 trillion as of this morning with some infrastructure bills coming through the government, where they’re going to look at trying to tax cryptocurrency a little bit stronger. It pulled back to 2.7 trillion, but it doesn’t matter. It’s an unstoppable force at this time.
Let’s talk about the altcoin market. An altcoin is a term used to describe any cryptocurrency that isn’t Bitcoin. In my mind, altcoins as everything except Bitcoin and Ethereum. Ethereum is so large at this point and has so much adoption and momentum. I think of it as not an alternative coin. The allure of Bitcoin is simple. It’s a digital form of money that governments cannot control or debase. It’s one we can transfer without the involvement of big corrupt banks. For those who don’t place much trust in the government or big banks. Bitcoin is a great idea.
If you do trust the big banks, read the book, or watch the movie called The Big Short, you can see how our big banks acted and what integrity they’ve had over the last couple of decades. It is mind-boggling. We know governments consistently debased their currencies in order to pay for wars and social programs. Thanks to government overspending, the US Dollar is worth half as much as it was in 1990, but it could be worse.
We could be in Venezuela. Venezuela’s economy imploded and its currency lost more than 99% of its value. The country’s savers were decimated. People who spent their lives saving were completely wiped out by an irresponsible government. Do I think that’s going to happen in the US? No, I do not think that we’re going to get to that extent of debasing the value of the currency by 99%. I don’t think that is possible. I’m not fear-mongering here, but I am going to be very transparent in saying Bitcoin offers an alternative to government-controlled currencies and the injustices they inflict on citizens. The government can print money at will and they are. When that happens, inflation and the value of our dollar erode.
Scam Or Actual Investment
Skeptics like to point out that if we have Bitcoin, why do we need the hundreds of other altcoins on the market? Surely, they’re all scams or fantasies. That could be the single most ignorant and most expensive belief on the planet right now that could cost huge amounts of lost profits over the next twelve months for anyone who believes that.
Right now, the fuse is being lit under the altcoin market. People who invest modest stakes in altcoins will make incredible money. What we’ve got to understand about altcoins is that they’re not cryptocurrencies in the way most people think about them. These are not fantasy internet money. They’re investments and one of the most valuable technologies ever created. They’re going to create multi-trillion-dollar tsunamis of wealth for their owners.Altcoins are cryptocurrencies in the way most people think about them. They’re not fantasy internet money. They're actual investments in one of the most valuable technologies ever created, and they're going to create multi-trillion-dollar tsunamis of… Click To Tweet
Remember the underlying technology behind Bitcoin and altcoin is the blockchain. What’s the blockchain? It’s a virtual ledger. It’s capable of recording, verifying, and securing digital transactions. A blockchain is a series of confirmed and encrypted data spread across many geographic locations. I’ve likened it to Google Docs. In Google Docs platforms, you can make changes in a shared document. As you make changes, then anybody who’s looking at that document will instantaneously see those changes being made.
Bitcoin and cryptocurrencies operate very similar to that. We’ve got to think of these, not just as blockchain or cryptocurrencies, they’re extremely valuable software programs. This is key that you get this. For many years, software programs have made massive amounts of wealth in the stock market. Software programs are simply the oil of the 21st century.
Wealth Creation On Steroids
The discovery of oil deposits around the world in the 20th century made millionaires faster than any can count. It was one of the fastest and biggest accumulations of wealth and human history. People went from being completely broke to having more money than their grandkids could spend virtually overnight. When I say software programs are one of the greatest forces for wealth creation on earth, I’m not talking about conventional wealth creation where it takes you years to save up $1 million. I’m talking about wealth creation on steroids where investors can make $1 million in one year.
Bill Gates became the world’s richest man because software programs are the oil of the 21st century. Elon Musk might’ve passed him, but then he retracted. Bill Gates is top three. Think about the Microsoft spreadsheet program, we call Excel. How much time did Excel, a software program, save the human race? Excel is now the world’s most popular spreadsheet computer program. It saved us incredible amounts of time by allowing us to automate calculations and financial analysis instead of doing it by hand. One person running Excel can do the work of a million accounts from days past. That’s the power of software programs.
A great software program can help you make smart business decisions, find travel deals, talk to love ones, or get a cheap ride home. It’s improved our ability to communicate, share information, transact, gather data, and analyze data in healthcare, education, energy, production, food, retail, banking, you name it. Computer programs have allowed us to do it much more efficiently. That equivalent of Excel saving us so much work has occurred across all industries.
In 1986, Microsoft went public and shares are up more than 240,000% since then. That turned every $10,000 into $24 million. In 1986, a computer program leader, Oracle, went public and shares were up more than 170,000% since then. In 1998, two young computer programmers, Larry Page, and Sergey Brin founded Google and created the world’s most valuable search engine program. They’re both worth more than $40 billion each.
Have you ever opened a PDF? I’m sure you have. The one behind that is Adobe systems, their stock has soared more than 5,800% since its founding. What about Uber? It’s a good set of software programs. Uber went from being worth $5.4 million in 2009 to $50 billion in 2019. You get the idea. They become the world’s ultimate wealth creators because we place enormous value on their ability to save us time and headaches. They’ve made us massively more productive.
The fastest legal way to get rich in America is to own a piece of a valuable software program or an algorithm. To the average Joe owning the rights to a software program is not all that exciting. It’s not something that you can easily explain or hold in your hand from a wow factor. It can’t compete with a beautiful smartphone or a Tesla sports car. It isn’t something you rave about at cookouts or cocktail parties. This is why most folks are poor and will never truly understand wealth creation. No other investing comes close to making you very rich in a very short time.
This is the million-dollar point blockchain technology is about to unleash an epic new wave of computer program wealth. Remember, blockchain is simply a new way to record, organize, display, and transfer data. At its core, that’s what Microsoft Excel is. That’s why Google, Uber, Facebook, eBay, and Airbnb have all generated trillions of dollars in wealth for their investors. This tsunami is coming because many of the world’s communication systems are horribly inefficient. Monetary payments, record-keeping systems, and cybersecurity systems are all horribly inefficient. When a system is inefficient, it makes it easy to gouge folks like you and me. To the middle man of the world, good riddance and fuck off.
Take title insurance, for example. You’ve probably bought and sold at least several houses in your life. How terribly ridiculous that we get so bent over that we have to pay someone hundreds, even thousands of dollars to research and verify a property’s title history. It’s a totally ridiculous scam. It’s a scam on regular Americans.
A Thing Of The Past
However, blockchain technology will make price gouging title insurance industry a thing of the past in the very near future. These are programs that are already out there. They’re going to research and verify a property’s title for you in seconds for a tiny fraction of what title insurance companies charge. This is going to save everyone who buys themselves a home lot of money and hassle.
Take payment processors, if you’ve ever owned your own business or worked closely to the money in someone else’s business, credit card payment processors charge you more than 2% to 3% of a transaction’s value. It’s ridiculous that credit card companies charge small businesses 3% of all transactions. Blockchain technology will make those gougers a thing of the past. They’re going to allow you to process customer payments for a tiny fraction of these payment processor charges. It’s going to save everyone who buys themselves anything lots of money.It's ridiculous that credit card companies charge small businesses 3% of all transactions. Blockchain technology will make those gougers a thing of the past. Click To Tweet
Take real estate brokers. Real estate agents, you’ve worked hard and this is not a knock on you either. You’re never going to be replaced in my opinion, but brokers make a lot of money. All we’re doing is paying them to list our home on MLS. Blockchain technology will make price-gouging real estate brokers a thing of the past. In the near future, blockchain programs are going to facilitate real estate transactions for a fraction of what brokers charge. This is going to save everyone who buys themselves a home a ton of money, time, and hassle.
Another example, take your medical records. Many of us have multiple medical records with multiple healthcare professionals. Getting those records to a new provider is often agonizing. There’s a huge cost associated with all that inefficiency. It makes the Department of Motor Vehicles look like a day spa. I hate that place every time I go. It puts me in a bad mood. It’s going to help you to record, store, and transfer your medical records for a fraction of what the medical record industry charges. This is why blockchain is on par with technology like personal computers and the internet.
Let’s go back and think of what Microsoft did and why the early backers became millionaires and billionaires. Word and Excel saved us lots of time, money, and hassle. Google, eBay, Facebook, and Uber saved us a lot of time, money, and hassle. They freed us up to spend money on things we truly enjoy. They gave us more time with family. They saved humanity billions of years of time. They saved us a ton of frustration. That’s why people are so willing to buy these programs and pay for the value that they create.
When you change your perspective on altcoins, you realize they’re not fantasy internet money. They are investments and systems that make our lives easier, more productive, and more efficient. You’re backing Microsoft in their early days just like backing Google, Uber, or Oracle in the early days. When you buy an altcoin, you are essentially acting as a venture capitalist. Venture capitalists are some of the wealthiest investors on the entire planet.
A Chance To Profit
We can look at all the people that became rich, Bill gates, Larry Ellison, Intuit’s Founder, Scott Cook, and amass $5 billion fortune Salesforce Founder, Marc Benioff. At the end of the day, the altcoins represent a chance to profit from some of the world’s most valuable software programs ever created. It’s the oil of the 21st century.
Again, we’re still going to have volatility. We haven’t escaped volatility. We have most certainly escaped the, “Will Bitcoin survive? Will crypto survive?” It’s worth almost $3 trillion. It’s clearly going to survive. That’s not even an issue anymore. We’ve also moved beyond the issue of, “Will they make it illegal?” No, they will not make it illegal. It’s a $3 trillion market that every bank in America wants to get a piece of.
The head of the FDIC, the Federal Deposit Insurance Corporation, is talking about making it a reserve asset so banks can own it. It’s not getting made illegal. Certainly, the big financial firms and the big regulatory agencies, don’t like it. They’ve created friction, whether it was from accounting rules, new tax rules, these banks snooping rules, or this new rule that came out that they’re essentially going to criminalize not reporting your crypto gains.
The tsunami of wealth that’s coming with altcoins and the blockchain technology backing them up is due to their ability to make our time vastly more efficient and productive. That’s the goal of any great business model. Early investors that invest in altcoins are like venture capitalists back in the next Microsoft, Apple, or Google. It’s okay if most folks simply don’t get it, but those who understand how valuable these programs are can create some incredible changes in their family’s wealth.