The hedge against Bitcoin

Good Morning,

If Bitcoin fails.. what would be the hedge?

Stay Up-to-Date

Save time on researching the crypto:

💰Bitcoin

• Michael Saylor explains why MicroStrategy’s decision to issue more stock or take on more debt will only make $MSTR more valuable by allowing them to accumulate more #Bitcoin on their balance sheet. (link)
  _
  

• Japanese Public Company Metaplanet just bought $6.25 million worth of #Bitcoin. (link)
  _

• BITCOIN MIXING SERVICE SAMOURAI WALLET FOUNDERS ARRESTED, CHARGED WITH MONEY LAUNDERING (link)
  

• Knut Svanholm wants you to BE #Bitcoin and become the best version of yourself possible. (link)
  _

• "Intrinsic value" CANNOT be applied to commodities like #Bitcoin   

  Intrinsic value is supposed to be a way to calculate the true current value of an asset using variables like dividend streams, discounted cash flows, and residual income. (link)

🚀 Altcoins

• Stripe will start supporting global stablecoin payments this summer. (link)

  _

• Bitcoin’s daily transactions reach new record high. The Bitcoin network surpassed 926,000 daily transactions, driven by a growing interest in Runes. (link)
  _
  

• Ether Inflates After Gas Fees Plummet. Ether's supply is inflating despite Ethereum throughput remaining high. (link)

  _
  

• How This Crypto Trader Turned Meme Coin Trading Into a $22 Million Success Story (link)

📈 Trading

• #BITCOIN Inverse Head & Shoulder Pattern: (link)

  _
  

• When Will This Bitcoin Re-Accumulation Phase End?. (video)

  _

Educational

If Bitcoin fails..

I don't think the traditional 60/40 portfolio is a hedge against Bitcoin.

The hedge against Bitcoin involves buying bullets and guns.

What I mean here is that if Bitcoin breaks, it's likely that the internet breaks or a global government will severely cracks down on individual property rights.

In both cases, the world probably isn't a great place, and very bad things are likely happening.

If the internet suddenly breaks due to a massive solar flare or broken cryptographic primitives, then your diversified portfolio full of big-tech likely won't perform very too well.

Practically every company in the S&P 500 would collapse if the internet and telecommunications suddenly broke for an extended period of time.

If the government starts confiscating individual properties, then inflation is probably ramping and Bitcoin is deemed valuable enough to be confiscated. 

It would be much easier to confiscate immovable houses or public equities locked in your brokerage account.

So yes, there's certainly a scenario where Bitcoin dose fail.

There are many scenarios, in witch Bitcoin fails.

However, most of these scenarios likely lead to the traditional financial system collapsing as well.

Which in that case, you shouldn't necessarily hedge your Bitcoin position with a 60/40 portfolio.

You should hedge your Bitcoin position, with guns and ammo if you're really that pessimistic.

But Bitcoin is for the optimists..

You hold Bitcoin because you expect the world to be a better place and you want to hold money so that you have the future optionality to purchase things sometime down the road.

If the economy is collapsing, money itself is worthless.

Bitcoin is for accelerators, engineers, blue-collar and white-collar workers, families, Republicans, Democrats, and Libertarians.

Bitcoin is for everyone who has hope for a better future.

It's just better money.

-

The Author of this text is Joe Burnett.

The text is a transcript of one of his videos.

Watch it on youtube.

Thank you,
Mr GoBrr

Meme Of the Day

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.