Robert Breedlove and I discuss the path to mastering finance, through exploring topics ranging from Bitcoin, peak oil, and the global debt supercycle.
Summary: Artificially suppressed interest rates have led to a global debt super cycle, and the concept of equality of outcome is nonsensical.
Key insights
Economic and Financial System Observations
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The debt super cycle is characterized by artificially suppressed interest rates, leading to a constant decrease in the cost of capital.
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The central bankers needed something like covid to hit because the system was coming unglued under the hood in late 2019.
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The artificially suppressed interest rate creates distortions in the marketplace, leading to a global debt super cycle.
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The concept of deflation is actually beneficial for the economy, leading to more wealth creation and productivity.
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“Equality of outcome obviously BS. We’re all born different.”
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“Equality of outcome is a nonsensical concept.”
Cryptocurrency and Blockchain Insights
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The centralization aspect of eGold led to its downfall, while Bitcoin’s decentralized nature impressed me as 100% market force in action.
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Bitcoin is the TCP/IP of non-state anti-fiat money, while other cryptocurrencies are more like startup applications rather than decentralized money.
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Bitcoin’s current penetration is probably less than 2% of Bitcoin’s total addressable market, making the risk reward disproportionately in favor of Bitcoin.
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The idea of inscribing a name server delegation onto an ordinal and putting it on the blockchain to create uncensorable domain names is intriguing and potentially revolutionary.
The Transition Overview article discussed throughout the interview is here, and the updated tweet thread is here:
The very first Bombthrower post was called “The Transition Overview: Building Companies That Matter”. Since the last two #Bitcoin cycles have proven it to be on point – I’ll summarize it here in a thread 👇https://t.co/vQlaULfiMQ
— Mark Jeftovic, The ₿itcoin Capitalist (@StuntPope) February 21, 2024