Every SMALL Bitcoin Investor MUST Pay Attention to THIS! Cathie Wood
Summary
TLDRThe transcript discusses the recent success of Bitcoin's ETF, highlighting its rise to become the third most significant asset class. It emphasizes the potential for institutional investment once major wirehouses like Morgan Stanley and UBS approve Bitcoin on their platforms. The speaker also touches on the global monetary system implications of Bitcoin, describing it as a decentralized, rules-based system without government oversight. Furthermore, the conversation explores the convergence of Bitcoin and AI, particularly in Africa, and the impact on the economy. The speaker predicts a continued rise in Bitcoin's value due to its scarcity and institutional interest, comparing the current situation to an 'electricity bubble' rather than a bubble destined to burst.
Takeaways
- 🎉 Bitcoin has achieved a significant milestone with its ETF, making it the third most popular cryptocurrency.
- 🚀 The speaker believes that Bitcoin's success is akin to David defeating Goliath, indicating a significant underdog victory.
- 🏦 Major financial institutions like Morgan Stanley, UBS, and Wells Fargo have not yet approved Bitcoin on their platforms, suggesting a potential explosion of institutional investment when they do.
- 🌐 Bitcoin is described as a new asset class and a global monetary system without government oversight, emphasizing its decentralized and rules-based nature.
- 🤖 A monthly Bitcoin brainstorm session highlighted the convergence of Bitcoin and AI, particularly in Africa, where it's redefining the division of labor and the gig economy.
- 📈 The speaker forecasts a bullish case for Bitcoin, predicting it could reach $1.5 million in 5 years, based on institutional investment and Bitcoin's scarcity.
- 💰 Institutional investors are increasingly considering Bitcoin due to its low correlation with other assets, providing diversification benefits.
- 📊 The scarcity of Bitcoin, with a maximum of 21 million coins, is driving its value higher as institutional dollars push into the market.
- 📈 Despite a recent price increase, long-term Bitcoin holders are holding onto their assets, anticipating further institutional investment.
- 🔄 The speaker expresses excitement about the Ethereum network, Solana, and other blockchain technologies, noting the healthy competition among them.
- 💡 The importance of domain expertise, AI capabilities, and proprietary data is highlighted as key factors in determining the success of companies in the AI space.
Q & A
What significant achievement is being discussed in the context of Bitcoin?
-The significant achievement being discussed is the approval of a Bitcoin ETF, which has led to Bitcoin becoming the third-largest asset in its category.
Why is the approval of Bitcoin on platforms like Morgan Stanley, UBS, and Wells Fargo considered important?
-The approval of Bitcoin on these platforms is crucial because these wirehouses dominate the speaker's customer base, and their approval could lead to a significant increase in institutional investment in Bitcoin.
What does the speaker imply about the future of Bitcoin in terms of institutional adoption?
-The speaker implies that once major financial institutions approve Bitcoin on their platforms, there will be a substantial increase in institutional investment, potentially leading to an 'explosion' in Bitcoin's value.
How does the speaker describe Bitcoin in terms of its role in the financial ecosystem?
-The speaker describes Bitcoin as a new asset class and the first global, private, digital, decentralized, and rules-based monetary system in history.
What is the 'Bitcoin brainstorm' event mentioned in the script, and what was one of its key discussions?
-The 'Bitcoin brainstorm' is a monthly event where discussions around Bitcoin take place. One of its key discussions was the convergence between Bitcoin and AI and how it is already redefining the division of labor in Africa.
What is the current forecast for Bitcoin's value in the next five years according to the speaker?
-The current forecast is that Bitcoin's value could reach $1.5 million within the next five years, which would have been by 2027.
How does the scarcity of Bitcoin contribute to its value?
-The scarcity of Bitcoin, with a maximum of 21 million coins that will ever exist, contributes to its value by making it a rare and limited asset.
What unusual behavior of long-term Bitcoin holders is mentioned in the script?
-The unusual behavior mentioned is that long-term holders, typically a metric monitored through on-chain analytics, are not selling their Bitcoin even as the price increases, possibly due to anticipation of further institutional investment.
What role does competition among different blockchain networks play according to the speaker?
-Competition among different blockchain networks like Ethereum and Solana is seen as beneficial as it keeps the networks honest and drives innovation.
How does the speaker view the current state of Bitcoin in terms of being a bubble?
-The speaker does not believe that Bitcoin is in a bubble. Instead, they compare it to the invention of electricity, suggesting it is a transformative technology rather than a temporary trend.
What factors does the speaker identify as key to determining winners and losers in the AI and blockchain space?
-The speaker identifies deep domain expertise, AI expertise, good distribution strategies, and harnessing proprietary data as key factors in determining success in the AI and blockchain space.
Outlines
🚀 Bitcoin ETF Success and Institutional Adoption
The speaker celebrates Bitcoin's ETF launch, positioning it as a significant win akin to David versus Goliath. They highlight that despite the ETF success, major financial institutions like Morgan Stanley, UBS, and Wells Fargo have yet to approve Bitcoin on their platforms. The anticipation is that once these institutions begin to adopt Bitcoin, there will be a significant surge in institutional and governmental interest. The speaker emphasizes that Bitcoin is not just a technology but represents a new asset class and a global monetary system without government oversight. They mention a monthly 'Bitcoin brainstorm' event that explored Bitcoin's convergence with AI, particularly in Africa, where it's redefining the division of labor and the gig economy. The scarcity of Bitcoin, with a maximum of 21 million coins, is underscored as a value driver. The speaker also discusses the unusual behavior of long-term Bitcoin holders not selling despite recent price increases, suggesting confidence in Bitcoin's future value. Metrics and predictions about Bitcoin's potential value are also touched upon, with a previous forecast of $1.5 million per Bitcoin by 2027 still considered plausible.
🔗 The Impact of Cryptocurrency and AI on Economy and Investment
The second paragraph delves into the excitement surrounding the Ethereum network, Solana, and the roles they play in the cryptocurrency space. The speaker appreciates the competition among these networks as it keeps them honest. They discuss the inefficiencies in current payment systems, highlighting that using intermediaries like credit cards can impose a 2-4% tax on every purchase. The potential for cryptocurrencies to reduce this 'tax' and increase access to purchasing power globally is emphasized. The speaker refutes the notion that the current interest in cryptocurrencies represents a bubble, instead characterizing it as a response to 'electricity'. They also mention a shift in investment focus away from well-understood stories like Nvidia towards companies in their portfolio that are undervalued and poised to benefit significantly from AI advancements, particularly those with deep domain expertise in areas like multiomics. The importance of proprietary data in determining the success of these companies is stressed. The paragraph concludes with an invitation to join a growing community for timely crypto analyses and strategies, encouraging viewers to subscribe for updates.
Mindmap
Keywords
💡ETF
💡Wirehouses
💡Asset Class
💡Global Monetary System
💡Decentralized
💡Lightning Network
💡Gig Economy
💡Institution Push
💡Scarcity Value
💡On-chain Analytics
💡Multiomic Space
Highlights
Bitcoin ETF success, ranking as the third largest ETF, and its impact on the industry.
Wirehouses like Morgan Stanley and UBS have not yet approved Bitcoin on their platforms, indicating potential for future institutional growth.
Bitcoin is described as a new asset class and a global monetary system without government oversight.
The importance of Bitcoin's decentralized and rules-based nature in the context of monetary systems.
Discussion of the convergence between Bitcoin and AI, particularly in Africa, and its impact on the division of labor and gig economy.
The potential for Bitcoin to redefine economic structures in emerging markets.
A bullish forecast for Bitcoin, predicting a value of $1.5 million in 5 years (by 2027).
The low correlation of Bitcoin returns with other assets, making it an attractive option for diversification.
The scarcity of Bitcoin, with a maximum of 21 million coins, and its potential impact on price.
Observations on institutional investment in Bitcoin and its effect on price dynamics.
Analysis of on-chain analytics, particularly the behavior of long-term Bitcoin holders.
The unusual stability of long-term holder wallets despite recent price increases.
The role of different blockchain networks like Ethereum and Solana in the crypto ecosystem.
The importance of competition among blockchain networks for maintaining integrity and innovation.
Discussion on reducing transaction costs and the impact on global purchasing power.
Addressing the question of whether the current crypto market is a bubble and the argument against it.
The potential overvaluation in the market due to an excess of capital chasing the same assets.
A shift in focus from Nvidia to undervalued companies with potential in AI and domain expertise.
The significance of proprietary data in determining the success of companies in the AI space.
Invitation to subscribe for updates on crypto news and market insights.
Transcripts
Bitcoin congrats on your ETF it's done
very well you're number three now number
three you know this was David against
Goliath and you know uh so this is a a a
a very nice win for us now we're not
finished and in fact in our business
what's interesting is the wirehouses
which dominate our customers so Morgan
Stanley all the advisers at these
warehouses Morgan Stanley UBS maryn at
BFA Wells Fargo not one of them has
approved Bitcoin on its platform that
hasn't even happened yet and those are
our primary clients when that happens
wait until you see explosion in the
institutions coming on um and then
governments following um I mean the the
the ship is sailed yes it has and this
there there this is not just a
technology
um it's a new asset class right and
beyond that it's a global monetary
system you know it is the first
Global uh private meaning no government
oversight digital and
decentralized rules-based that's the
most important word here rules-based
monetary system in history it's a big
idea we we did um something called
Bitcoin brainstorm we do a Bitcoin uh uh
brainstorm monthly and one of them was
the converence between uh Bitcoin and Ai
and we had uh you'll probably know of
his his developer name Rose be uh from
the lightning from the lightning Network
on and he was talking about how in
Africa already this convergence
is redefining division of labor uh I
mean the gig economy we understand here
in the United States put that on
steroids in terms of micro micro gig
economy in the emerging markets and you
have a a a whole whole new kind of
economy so yes very exciting well uh we
have all kinds of uh metrics but when I
was uh at uh abundance
uh the uh the forecast was our bull case
was $1.5 million in 5 years so that
would have been 2027 we still have time
and uh and we still think that's going
to be right um if you just look at the
institutional push into Bitcoin this new
asset class they have to consider it as
fiduciaries when you use that Co those
code words new asset class what it means
the the correlation of these returns are
very low compared to those of other
assets especially as bonds and stocks
are becoming more correlated you need
something uncorrelated yes absolutely
absolutely and so they have to consider
it now what are we saying there are 19.6
million Bitcoin out there right now and
the highest it will ever go is 21
million uh well okay there's real
scarcity value and what what is going to
happen the price increase for every
institutional dollar pushing in now is
going to be much higher than it
was last year two years ago it's you
know we're going to get uh into if these
institutions really want to own it what
I found fascinating recently just
learned it this morning is uh typically
when you go through a a price move a
bitcoin price move to the upside you
usually see long-term holders which is a
metric we monitor it's an onchain analy
analytics metric um and it means people
who have not moved or wallets that have
not moved their Bitcoin in 55 days or
more yes well normally when you go
through a price move to the upside a
very nice one like we've seen in the
last year that tends to start moving
down and it did that true to form but it
has reversed in recent days because what
we learned is uh
gbtc sold some of its Bitcoin so that
was those wallets hadn't been changed in
a long time right now that is done at
least for the time being now that is
done and um it's going back up again as
the price goes up that's highly unusual
and I think it is because um the
long-term holder saying why would I sell
now when I know all these
institutions which own nothing own
nothing in this realm in this new asset
class they have to consider it because
it is a new asset class and so so uh yes
we're um very excited about the ethereum
network and salana and so they all play
different roles and what I love is
there's kind of a little competition I
think competition is always good uh to
keep the other networks honest yeah when
we did our digital Wallet work um you
know we we're saying okay let's try and
figure out how much it how many steps it
takes for a merchant or for a consumer
to pay a merchant and that was nine
steps including the two of them uh and
that's and and you know there are many
other middlemen but these were the most
direct steps and that is a one well a 2
to 4% tax on every purchase in the world
if you're using uh intermediaries credit
cards and so forth so uh just think
about that cutting you know that tax
rate dramatically is is going to
increase access dramatically yes and so
here is the question there that we're
getting all the time is this is this a
bubble
and the way we are answering it is no
this is not a bubble this is there's
something Elric electricity a bubble
exactly exactly now is there too much
Capital chasing you know chasing the
same thing um that could be I can tell
you you know we've had in in uh and you
know the headlines I'm I'm not saying
anything that that you don't know but uh
we have been pulling away from Nvidia
mostly because we see how well
understood that story is and it is um
and and all praise to Jensen Wong and
his incredible team uh you know they
have done so much of the heavy lifting
uh uh up you know as we've evolved to
this uh level now however
it is we're the companies in our
portfolio that are hugely undervalued
and not recognized for uh what AI is
going to enable are those with deep
domain expertise and especially in one
of your favorite areas Peter um the
multiomic space so deep domain
expertise AI expertise take this
seriously this is going to determine
winners and losers good distribution
whether alone or with partners and then
finally most important harnessing that
proprietary data data that a company has
that nobody else has thank you for
joining us today on this insightful
journey into the world of crypto and
investing if you found value in today's
discussion and want to stay updated on
future crypto news and Market insights
don't forget to hit subscribe button
below and click the notification Bell by
subscribing you'll be part of our
growing community
gaining exclusive access to timely
analyses and strategies I look forward
to having you with us in the next video
استعرض المزيد من الفيديوهات ذات الصلة
5.0 / 5 (0 votes)