Banks Need Bitcoin Now (More than Ever!) - Last Week Crypto

Banks Need Bitcoin Now (More than Ever!) - Last Week Crypto

Show Video

We've tested and rejected new all time high price  levels, but we still keep coming back for more.   This week I was in Seattle and forgot my shirt.  So today we're rocking purple. Hello, I'm Crypto   Casey and welcome to another episode of last week  crypto. Every Sunday, we review the performance   of the largest cryptocurrencies top gainers as  well as the latest global news stories affecting   the crypto markets this past week. This week,  we will discuss what the US government is up to   how there is a litany of downright bad  financial advice floating around out there.   How retail and institutional adoption, like in  most previous episodes at this point continues to   grow. And more bullish news for the crypto space  at large that never gets old week to week. To  

check out the links of articles we discuss. Go to This   week's episode is brought to you by An exchange with over 55 different cryptocurrencies   on crypto.coms mobile app. You can buy crypto  with bank transfers, credit debit cards, or crypto  

at true cost with no markups. also  has a desktop exchange that is solely for crypto   to crypto trading. If you use the link below  to sign up for, you'll receive $25   worth of cryptocurrency for free when you use the  referral code CryptoCasey all while supporting   the channel. And if you've been following CRL token you can see it has been   performing quite well considering  becomes a principal member of the visa network   cryptocurrency exchange platform and card issuer has partnered with visa and plans to  

debut Fiat Lending and also signed  sponsorship deal with NHL and Montreal Canadiens.   The crypto exchanges logo is coming to center ice at Bell center. amazing news as more big reputable   cryptocurrency service providers like  integrate with traditional financial systems and  

market to the public. The more adoption of  the tech we will experience awesome. Also   every Wednesday I conduct a weekly AMA or ask me  anything at   so use the link to my one and only official  Instagram account listed in the description   area to follow me and ask me anything you want  every Wednesday. sweet! It's time for last week crypto.

Looking at the performance of the top  cryptocurrencies by market cap Bitcoin   up 1.1% ETH down .01% Cardano up 16.4%  and Binance coin down 8.4%. Looking at the top   gainers this week ECOMI up 310.5% Harmony up  176.2% Holo up 168.2% and Pundi X of 131.8%.   a wild ride in the crypto markets this past  week for sure. Let's jump into the wild ride  

that government has imposed upon us. The Fed  will not extend a pandemic crisis rule that   had allowed banks to relax capital levels. The Fed  declined to extend a pandemic era exemption that   lowered bank capital requirements. relaxing  the so called supplementary leverage ratio   allowed banks to exclude treasuries and  deposits from the reserve requirements.   Wall Street had been lobbying for an extension  for a move widely seen as calming volatile markets   in the early days of the pandemic.  Let's unwind and explore this more   basically after the last great recession courtesy  of banks taking on a ton of unnecessary risk to   make large quick profits at the expense of all of  our livelihoods. Because there was no incentive  

not to seeing as how the government will always  undoubtedly bailed them out. The supplementary   leverage ratio was instituted to ensure banks  would pretty much not be able to do that again   by forcing them to keep a certain amount  of cash reserves to offset any risky assets   they invest in. However, when the pandemic  hit, the government decided to lift some   of the restrictions imposed by this regulation by  allowing banks to hold treasury bonds in deposits   without requiring them to have any capital to back  them up. The feds did this on April 1 of 2020 in  

an effort to calm the hectic bond market that  unraveled during the onset of the pandemic,   and keep banks lending to struggling US citizens  with a set deadline of the lift on March 31   2021. So the government set a deadline for this  regulatory lacks basically a year in advance   yet Wall Street and big bankers want to play  dumb. It is surprising you can see it to some   degree from the market's reaction. I think some  people figured if the Fed was going to kill it,   they would give it more than 12 days said Michael  Schumacher had a great strategy at Wells Fargo   12 days, Michael, they gave you 12 months. So  why is Wall Street pitching a fit over this? Wall   Street had been lobbying heavily for an extension  of the exemption as banks have been flooded with   deposits that require them to hold offsetting  capital against customer money. Translation for  

the past year, big banks have had hardly any reins  on their ability to invest capital where they see   fit. And since they are big banks, when they are  allowed to invest capital as they see fit, they   take on big risk to make big money fast because  there's no downside. They'll be bailed out by the   government and by the government. I mean us the  taxpayers. So what's going to happen next? Well,  

the banks don't want to all of a sudden hold cash  they weren't required to a year ago. As a result,   they will probably sell their treasuries so they  don't have to maintain reserve requirements,   which will increase interest rates. But can  you blame them none of the smart workers Money wants to hold cash especially since all  the reckless money printing I mean stimulus   that's been going on, and the market knows  it too. As a result, shares of the largest   us banks fell on Friday. By mid morning  JPMorgan Chase and co shares were down 3.4%   Bank of America corpse were down  2.6% and Citigroup Inc was down 1.4%   Wall Street bank stocks will get punished because  now they will have to put more money aside Edward   Moya, senior market analyst at foreign  exchange brokerage Atlanta sent in an email   and let's take a look at how this money has  been performing over the past several decades.  

You need $6.5 million dollars in the bank  today to feel like a millionaire in 1971.   Building generational wealth through Fiat Ain't  it hashtag Bitcoin. Why? Because the value of the   dollar has been printed and inflated away since we  got off the gold standard. To make matters worse,   or better, depending on what side of the  coin you're on. A fourth stimulus check   might be on the way the government is debating  on another round of stimulus that could include   a $2,000 one time payment, or even a $2,000  recurring monthly payment to American families.  

Either way, we all know what this means the  printer will continue to endlessly Koper   at this point, leading to more inflation on top of  inflation with the eventuality of hyperinflation   like we've been discussing for months on  end. Pretty soon, there will be nowhere to   hide from the inflation fears as commodities join  route. Even commodity futures aren't safe in the   inflation fears that are gripping global markets.  Crude oil plunged 7% coffee at its biggest loss in   two months, while corn and copper also tumbled.  Fresh concerns that the Federal Reserve will let  

inflation accelerate sparked a sell off and most  risk assets on Thursday, US equities dropped from   records and Treasury yields jumped. Those moves  spilled over into commodities with physical demand   heavily tied into global growth expectations.  Still, it was a bit of a paradox for commodities,   the market can sometimes benefit from an  inflationary environment since investors think of   the raw materials as a good place to find yield.  But the inflation equation needs to be just right   too much, especially if it's coupled with concerns  over economic growth and a higher dollar. And the   inflation boost quickly turns into a drag amid  deflated demand expectations. So with commodities,   investors buy futures, which is basically buying  a commodity like crude oil at a cheaper price now   to sell at a higher price in the future to make a  profit. However, with inflation concerns looming,  

the cost of goods like commodities will  increase as the value of the dollar decreases,   and less people will be able to afford to buy  the commodities, therefore decreasing the future   demand of those commodities. So investors are  thinking why buy something now that we probably   won't be able to sell later, because people  won't be able to afford it with their dollars   becoming more and more worthless as time goes  on. Crazy. So what are all these institutional   investors and banks going to do since the Fed has  essentially told them the party's over March 31?   I don't know about you, but more and more going  forward. It's looking like the banks need Bitcoin  

more than we need the banks. And so do we, as  the government continues to permeate and push   its centralized agenda further into our lives and  environment? How so? Biden may propose $1 trillion   in new taxes, says a former aide and here's how  Congress will react, the White House will propose   $1 trillion worth of new taxes according to Sarah  Bianchi, head of US public policy and political   strategy at Evercore ISI and the former director  of economic and domestic policy for then Vice   President Joe Biden, officials, including Treasury  Secretary Janet Yellen have started suggesting   what will be in the White House plan beyond  he says hiking the corporate tax rate to   28% from 21%, establishing a global minimum tax  in raising what's called the Global intangible low   tax income rate to 21%. We'll be in this plan. The  plan will probably include nearly doubling capital   gains taxes on those with income over $1 million,  and likely will include taxing unrealized gains at   death and being carried interest in raising the  top individual income tax rate. I mean, sure,   we need to start paying off this debt somehow  right? And our only hope is the taxpayers after   all, because when you really think about it, it's  totally fine how the government databases our   currency in order to print new money out of thin  air to keep their corporate puppet masters rich,   fat and happy. But what else our current taxes  and future taxes paying for? Is there something  

else going on that most of us aren't privy  to check out this interview with Max Keiser   the taxpayer is going to pay all the student debts  right that because all that money went to the the   universities and the administrators right they've  already collected the cash and bought houses or,   or stocks or whatever. So they've had it that  cash is being paid off, the debts are being paid   off by the taxpayer. Here the taxpayer is going  to pay off all the rents mortgages, so pretty   much everything in the economy is state owned, all  the bonds are state owned, all the debts are state   owned the houses mortgages are state owned student  debts are state owned. So that's the situation we   find ourselves in. Well, what you're describing  there are the minimum monthly payments. They Forgiveness of rent, state ownership of  everything. I actually read a book in   college that explained the whole thing. And they  kind of like laid out exactly what you just said.  

It's it's not read often now, it's kind of famous,  though it's called the Communist Manifesto. And   it explains this exact political theory.  Well, I mean, our founding fathers as well,   again, you're not allowed to teach the founding  fathers in America anymore. But nevertheless,  

they did predict that once the once a taxpayer  wants to citizens realized that they could control   the printing press, then we were doomed. So I'm  just saying like, once you give people free rent,   and once you give people free, you know, monthly  weekly payments into their bank account where   they don't have to do anything. Like, who doesn't  want that, right? I'd love to not pay a mortgage   or rent I would love to pay be just people send  me money for no reason. Like, I would love that.  

But you know, I just think once it said, Santa,  it's going to be hard to unwind. Just like QE   it's hard to unwind, the sort of policies will be  hard to unwind a tough pill to swallow for some.   But how did we get here, the same way we got into  every financial crisis, the banks, and at the end   of the day, the most widely used financial tool  for crime is the dollar. The second most widely  

used tool for financial crime is the US banking  system. And these aren't just regular crimes.   These are crimes against humanity and the planet  Earth at large. A few elites get rich at the   expense of all of us and our entire world. And  the government lets them get away with it time   and time again. Awesome. And just when we think  the government had a ton of extra time to do stuff   with all these tax extensions, and forcing people  to work from home during the pandemic, we continue   to see stuff like this IRS pushes filing deadlines  and may 17th. As agency grapples with backlog of   returns, change comes as agency since third round  of stimulus payments and prepares to implement   other parts of the American rescue plan. Whoa,  whoa, whoa, whoa, whoa, wait kit out of town,  

you have a backlog of returns because of the  new implementation of the American rescue plan   that came out last week. What  were you doing all of 2020?   There was one stimulus check issued last year,  and not a whole lot going on. Otherwise, what   was the IRS doing? Why do they have a backlog?  I mean, I'm not really complaining because now   I have more time to get my tax situation together.  Put really, there are no words. But maybe you have   a word or two to complete this sentence named  one thing more useless than the Fed. Oh, wait.   Okay, you continue to think on that. And if you  have something, leave it in the comments below.  

So with all of this government incompetence  in the legalized banking crimes happening on our   watch, fed easy monetary policy means it's time  for active management Mohamed el erian. It's going   to be an environment for very active management,  building portfolios from a bottom up perspective.   lRn tells Yahoo Finance live. The president of  Queens College Cambridge University and chief   economic adviser to Alliance is known for his  writing and opining on macro economic issues.   That thinking of course remains relevant even  as investors have to closely scrutinize their   choices. We've had a very unusual situation  where the economy was struggling, and you   made money on both your risk assets and on your  risk free assets. That's what we did last year,  

he said, but the situation has now reversed even  as many economic measures are improving. In March,   for example, an index of business activity in the  Philadelphia area rose to its highest level since   1973. volatility and risk assets has increased  lRn points to three issues that investors must now   consider. Well, the Fed lose control of the bond  market. Will this completely change the psychology   of the market? Will this spill over in a negative  way to the economy? In my opinion? Yes, yes. And  

definitely yes. But even so you can't really take  my word for it or anyone else's. I agree that this   is a very unusual market. And so we all need to  do our own due diligence in research in order to   make the best wealth management decisions for our  unique situations. But be aware because there are   a lot of so called financial advisors out there  that don't know what the hell they're talking   about. Take this one. For example, Suze Orman do  not spend in Don't you dare invest your stimulus   checks. Here's what to do with the cash. This  should be interesting. Take it away, Suze? Hi,   everybody, Susie Orman here better known as the  world's personal finance expert. Many people like  

to call me the money lady. I like to think of  myself as the person you need to go to to find   the correct answers to your questions. Do not rush  to take that money and pay off your credit cards,   a down this do that. You know, for years, I  always said to eight months and four years and do   how many other people went you don't need eight  months. All you need is three months 80 to six  

months. Haven't you all heard that? So it's  12 months minimum is what I think you need. Continue to pay the minimum on your credit  cards, or whatever it is and just play it safe.   So you pick key to your freedom is  having that security that amount Emergency Fund. Keep it right there Do not  spend it And don't you dare use it to invest in   the stock market. So the world's personal finance  expert, the money lady, the person you need to go   to to find correct answers to your questions says  to pay the minimum balances on your credit cards   and save the rest of your stimulus check in a bank  in the form of an emergency fund for at least 12   months. Oh, and don't you dare put your money in  the stock market? Okay, I can get behind that one  

as the whole rodeo has been artificially propped  up for far too long. But don't you dare keep your   cash in a bank where it will hyper inflate  into worthlessness over the next 12 months.   do your own research and figure out what's best  for you. But as for me, I'm investing in Bitcoin,   ether and other cryptocurrencies and hodling it  myself. And if you've determined that's the right   course of action for you, while hodling your  cryptocurrency for the long term, make sure you   are transferring it off of the exchanges onto cold  storage hardware wallets, you can scroll down to   the description area below to access the correct  and official sites of my recommended hardware   wallets. Bc vault is my personal favorite.  Another option is the ledger nano backup pack,   so scroll down to check them out. Or if you would  rather make income from your idle digital assets  

you're planning to hold for the long term, you  can safely earn interest with services provided   by block by with a block by interest account  your cryptocurrency can earn up to 8.6% APR.   Interest accrues daily and is paid monthly, there  are no hidden fees and no minimum balances. So if   you're interested in learning more about block  phi, you can get up to a $250 Bitcoin bonus when   you use the link in the description area to sign  up all while supporting the channel. Protecting   your ability to generate income will be another  way more important factor than keeping cash in a   bank over the next 12 months. So if you'd like to  learn more about the advanced technical concepts   of blockchain technology and become a developer  in the space, check out Ivan on tech Academy.  

If you use the link below, you can access the  Academy at a discounted price. So scroll down,   check it out. Cool. And just to further illustrate  the point about not trusting financial advisors,   Reddit founder Alexis ohanian on his biggest  money mistake hiring a financial advisor. This   is the advice I would give to anyone which  is to take the time and there are so many   amazing resources online now to do the work to  understand this stuff yourself before entrusting   it to someone else. ohanian says, This is so  true. A lot of these financial advisors one  

don't make more money than you. So why  would you even trust them in the first place   to have no idea what they're talking about. They  just sell prepackaged garbage for a commission.   And three, they think they know everything already  and don't keep up with new developments in the   financial and technology space, let alone the  global economy at large. As someone who studied  

finance, I can honestly tell you most people  in finance are sharks that just prey upon   people's lack of financial knowledge for their  benefit. And the other people in finance think   they're helping people but they actually have  no clue what they're doing or talking about,   in my opinion. Here's the current  situation. Not financial advice,   investors compounding 5% pa to retire by the  time they're 70 versus me putting my life savings   into eat to retire by next year. Quite a stark  contrast. We can talk about that more in another  

video. But for now let's quickly hit a rapid fire  of bullish news for crypto from the past week.   we've crossed the line why Goldman Sachs says  crypto is here to stay. Matthew McDermott,   the bank's most senior crypto exec says there's  no going back on digital assets as institutional   investor clients pile in next. jp morgan is eyeing  Bitcoin and crypto Clearing House options amid  

huge price rally. Also, Visa anticipates  cryptocurrency becoming extremely mainstream,   working to allow Bitcoin use at 70 million  stores then Coinbase valuation soars to $68   billion dollars ahead of highly anticipated crypto  listing. Finally, Bitcoin is now too important to   ignore. Deutsche Bank says and they ain't wrong.  Bitcoin is third largest world currency by market   cap. At its current market cap Bitcoin is number  three among all global currencies. And just in  

case you were wondering, Bitcoin adoption is about  one to 2% of the world you haven't missed the   boat. So if you haven't hopped on the boat, yet,  you better stuff to it, as a supercycle may propel   Bitcoin to over $1 million cracklins dan held  says cracking his head of growth Dan held thinks   Bitcoin could reach $1 million within the current  market cycle. At the end of the day, we either all   go broke or become the new financial elite. no in  between. Awesome. Well, that was last week crypto   with me crypto Casey. If you enjoyed the episode,  please make sure to like this video and subscribe   to my channel for more crypto content. To check  out the links to all the articles we discussed.   Go to crypto forward slash last week  crypto. So what do you think of the feds recent  

monetary policy decisions? What experiences  have you had with financial advisors? Do you   think we're headed towards the supercycle? Let  me know in the comments below. Be safe out there.

2021-03-24 15:30

Show Video

Other news