WOW - such amount of value and that too from a free substack.
Accurate analysis of how Crypto industry will eliminate (or minimize) the middlemen across all industries (it's a layer worth 10s of trillions of dollars) - and a lot of that revenue will eventually flow to the Crypto tokens
We are no doubt experiencing inflation. Persistently high inflation means ever increasing price levels. Inflation is the rate of change in price levels so high inflation is a high rate of change and it's clear that that can only happen if there is rapid growth in the money supply.
Right now, everybody spends like a drunken sailor, spending trillions. Discretionary fiscal policy is not good stabilization policy. Fiscal policy has been revived en masse but let's be real that's less about the potency more about fitting into other political objectives. They float the idea of 'infrastructure investments' as that's likely to have some reasonable return on capital but we know the reality is a lot of the money does not go toward that purpose and instead feeds govt bureaucracy.
If you remember nothing else, just know, Savings = investment and investment is the engine of growth. Countries that save more will be richer and grow faster. Also a reason why you don't want to have a huge gov't that eats up all the debt. Also, during financial crisis money's most valued trait is that its a store of value. Since none of these things are really true right now you need to find an alternative.
Set yourself up for success by doing your own research and using the information you have in front of you. Crypto is the only way out and if its not we are so fucked anyway, adapt and give it a go.
Fed can also take money out of money supply if they choose - correct? Different tools are available but they do want their special 2% target (as reflected in their spreadsheets not in what we buy everyday)
>2017, joined the military after getting bored with corporate America
>still have an interest in finance and entrepreneurship so read WSP old blog
>they mention in Triangle Investing on how crypto isn't just a flash in the pan
>fuck it, imma get me some of that LINK
>hodl, still hodling lmao
>turned about $5000 USD token into (lmao not gonna self dox), still hodling. Not enough that I've "made it" by any means, still need to work, but now got breathing room as far as multiple years of living expenses in USD token terms and could throw some into setting up a side revenue stream at some point
>only regret is not buying more but that's all I could scrape together at the time
Now just gotta make a decision on if I harvest SOME profit in a month or two to pay for grad school living expenses. GI Bill pays for tuition but as far as housing, food, etc. Since I'm a full time student, apartments want to see 12 months rent in USD token on a bank statement, which is doable...but that LINK potential tho. Good problems!
You have a income problem, you should think about ways to earn some small amounts of money (to start) off your knowledge base. As always worst case scenarios you can fix iPhone screens as that's not going away any time soon.
Concur - thanks for the response. Working on it. Had a time for money gig doing some online tutoring but the hourly (through a service, not my own) just wasn't worth it - exploring some other options. Also looking at launching an info product geared toward financial advisors; before I joined the military I worked in wealth management. Will it work or be worth the time put in? I have no idea. But I think it might be practice if nothing else for future products.
There's an academic debate whether inflation or deflation ultimately cooks the goose, but that's mostly a question of how exactly the fiat rugpull is performed and not whether it will happen.
I love that BTB trying to teach us to fish for ourselves. For a guy who has spent his life studying biology and medicine with zero finance or computer science background what would you suggest to start studying first?
1) finance 101 stuff - basic concepts of how markets work, liquidity, how staking works, CAPM, etc
2) trying to understand the mechanisms behind cryptocurrencies - a strong understanding of how the blockchain works, wtf is a node, how mining works, hash rate, etc
Or if I don’t know those things already at this stage NGMI? Either way I’m having fun so far
Coming from a similar background, this substack and their earlier writings have been the most helpful for me. The other thing that really helped was doing. I would recommend doing in small amounts, for when you screw up (but gas on the Eth chain is crazy, so also good to practice on something like PancakeSwap or go to Polygon). Doing one new thing a week or pushing the comfort zone has helped me learn, even if some of them have been mistakes.
Mechanisms and theory haven't been terribly useful to me so far, because they all seem to be mostly the same basic level. They also usually don't explain what to *do*, or how things work out in practice. What has mostly worked for me so far has been to practice, go down the Youtube rabbit hole when needed, and follow along here to learn. I'm also trying to learn Python and animations.
Part of it also depends on what you want to do and your risk tolerance. Buying Eth and Btc, transferring to cold storage, and HODL seems to be 70% of it, so anything else is gravy.
Regarding 1 though, don't get too deep into TradFi ideas.
For example, it makes sense to theoretically understand the relationship between risk/return and how a Discounted Cash Flow Analysis is supposed to work (these are simple stuff once you grasp them), but getting to the point where you're learning how to rank bonds based on duration (a bond-related technical term) is a complete waste of time imo. Same for Technical Analysis (TA), especially before you have a grasp of blockchain fundamentals (including how BTC and ETH work as well as how the two differ).
Essentially, most of the finance-related knowledge required in crypto revolves around:
1) Valuing tokens/protocols, which more or less follows the same logic one would use to value a stock/business (if you're on the paid substack then you have already seen BTB perform something like this)
2) Understanding market cycles (doesn't fully apply to crypto since the market's cycles are very tech dependent, but it's still essential - BTB talked about this in the very first paid substack)
That being said, the fact that you even mentioned CAPM shows me you must have at least a foundational knowledge of Finance, so I'd focus more on the tech for now. The Bitcoin whitepaper is certainly a great start, though you can build up to it via some videos and less technical resources if that feels too demanding. (https://www.youtube.com/c/Finematics/videos - this is a great YouTube channel I personally visit frequently).
For anyone else reading this who's lacking more on the Finance side, then an introductory course that talks about the risk/return relationship, how (stock) valuations work, as well as a basic explanation of the most common financial instruments like options and futures should be more than enough to start with. Websites like edx.org have free courses from Ivy League Universities that you can take.
With enough effort, WGMI. Just have fun and enjoy the ride.
"one area where we see massive growth: work in anything creative." This resonates a lot with me. In Efficiency, in addition to the 3 talents (intent, synthesis, quant), there's an addition of Artistic call (creative work) - if you're in the top 1% go for it, since winners take it all.
But I guess now with DeGen, you don't necessarily need to be top 1%, because:
- Fewer middle men, direct payment with audience.
- 1000 true fans. you need only an unique/unusual talent stack (top 20% in several skills)
- A niche ecological system where your work can add value, i.e: this Jungle hopefully.
Any thoughts on what the talent stack for Creative work might be, fellow Bow Tied Animals?
WOW - such amount of value and that too from a free substack.
Accurate analysis of how Crypto industry will eliminate (or minimize) the middlemen across all industries (it's a layer worth 10s of trillions of dollars) - and a lot of that revenue will eventually flow to the Crypto tokens
just commenting to say i love you
10/10 article. Great analysis and examples. Perfect balance of text and diagrams.
We are no doubt experiencing inflation. Persistently high inflation means ever increasing price levels. Inflation is the rate of change in price levels so high inflation is a high rate of change and it's clear that that can only happen if there is rapid growth in the money supply.
Right now, everybody spends like a drunken sailor, spending trillions. Discretionary fiscal policy is not good stabilization policy. Fiscal policy has been revived en masse but let's be real that's less about the potency more about fitting into other political objectives. They float the idea of 'infrastructure investments' as that's likely to have some reasonable return on capital but we know the reality is a lot of the money does not go toward that purpose and instead feeds govt bureaucracy.
If you remember nothing else, just know, Savings = investment and investment is the engine of growth. Countries that save more will be richer and grow faster. Also a reason why you don't want to have a huge gov't that eats up all the debt. Also, during financial crisis money's most valued trait is that its a store of value. Since none of these things are really true right now you need to find an alternative.
Set yourself up for success by doing your own research and using the information you have in front of you. Crypto is the only way out and if its not we are so fucked anyway, adapt and give it a go.
This is unreal free content. Sent this to a bunch of open-minded potential Degen Island residents. Hopefully saved them from eating grasshoppers.
Update: at least one will be a Degen Island resident
Amazing summary. I can't believe this was free. $100 US token paid substack is also a steal -- I would pay at least $1k US tokens per year.
Such high quality work 👏👏 it’s crazy that this is free, and that the paid version is only $10
...are a lot of things in society obvious to autists and not obvious to normal people?
The world doesn't deserve you guys.
Fed can also take money out of money supply if they choose - correct? Different tools are available but they do want their special 2% target (as reflected in their spreadsheets not in what we buy everyday)
The Fed is stuck. If they take the money supply down, they risk a major crash.
>be me
>2017, joined the military after getting bored with corporate America
>still have an interest in finance and entrepreneurship so read WSP old blog
>they mention in Triangle Investing on how crypto isn't just a flash in the pan
>fuck it, imma get me some of that LINK
>hodl, still hodling lmao
>turned about $5000 USD token into (lmao not gonna self dox), still hodling. Not enough that I've "made it" by any means, still need to work, but now got breathing room as far as multiple years of living expenses in USD token terms and could throw some into setting up a side revenue stream at some point
>only regret is not buying more but that's all I could scrape together at the time
Now just gotta make a decision on if I harvest SOME profit in a month or two to pay for grad school living expenses. GI Bill pays for tuition but as far as housing, food, etc. Since I'm a full time student, apartments want to see 12 months rent in USD token on a bank statement, which is doable...but that LINK potential tho. Good problems!
You have a income problem, you should think about ways to earn some small amounts of money (to start) off your knowledge base. As always worst case scenarios you can fix iPhone screens as that's not going away any time soon.
Concur - thanks for the response. Working on it. Had a time for money gig doing some online tutoring but the hourly (through a service, not my own) just wasn't worth it - exploring some other options. Also looking at launching an info product geared toward financial advisors; before I joined the military I worked in wealth management. Will it work or be worth the time put in? I have no idea. But I think it might be practice if nothing else for future products.
Helium mining and akash cloud network look them up.
Forgot MXC miner which is a bit more expensive but it could earn you more passive income.
Obviously agree with the premise. Came across this interesting blog post regarding the labeling of money supply: https://www.collaborativefund.com/blog/the-fed-isnt-printing-as-much-money-as-you-think/. According to this, 80% of new M1 money supply is a re-labeling of M2 accounts. I think the message is still the same.
Same thing just go to M2 which is growing like crazy.
There's an academic debate whether inflation or deflation ultimately cooks the goose, but that's mostly a question of how exactly the fiat rugpull is performed and not whether it will happen.
Do a log regression of M2 USD money supply vs BTC - I did one a while ago (don't have it on me) but the correlation was enormous.
I love that BTB trying to teach us to fish for ourselves. For a guy who has spent his life studying biology and medicine with zero finance or computer science background what would you suggest to start studying first?
1) finance 101 stuff - basic concepts of how markets work, liquidity, how staking works, CAPM, etc
2) trying to understand the mechanisms behind cryptocurrencies - a strong understanding of how the blockchain works, wtf is a node, how mining works, hash rate, etc
Or if I don’t know those things already at this stage NGMI? Either way I’m having fun so far
teachyourselfcrypto.com.
Here you go mate. I used this and it helped a ton.
Thanks!
Coming from a similar background, this substack and their earlier writings have been the most helpful for me. The other thing that really helped was doing. I would recommend doing in small amounts, for when you screw up (but gas on the Eth chain is crazy, so also good to practice on something like PancakeSwap or go to Polygon). Doing one new thing a week or pushing the comfort zone has helped me learn, even if some of them have been mistakes.
Mechanisms and theory haven't been terribly useful to me so far, because they all seem to be mostly the same basic level. They also usually don't explain what to *do*, or how things work out in practice. What has mostly worked for me so far has been to practice, go down the Youtube rabbit hole when needed, and follow along here to learn. I'm also trying to learn Python and animations.
Part of it also depends on what you want to do and your risk tolerance. Buying Eth and Btc, transferring to cold storage, and HODL seems to be 70% of it, so anything else is gravy.
In short, both.
Regarding 1 though, don't get too deep into TradFi ideas.
For example, it makes sense to theoretically understand the relationship between risk/return and how a Discounted Cash Flow Analysis is supposed to work (these are simple stuff once you grasp them), but getting to the point where you're learning how to rank bonds based on duration (a bond-related technical term) is a complete waste of time imo. Same for Technical Analysis (TA), especially before you have a grasp of blockchain fundamentals (including how BTC and ETH work as well as how the two differ).
Essentially, most of the finance-related knowledge required in crypto revolves around:
1) Valuing tokens/protocols, which more or less follows the same logic one would use to value a stock/business (if you're on the paid substack then you have already seen BTB perform something like this)
2) Understanding market cycles (doesn't fully apply to crypto since the market's cycles are very tech dependent, but it's still essential - BTB talked about this in the very first paid substack)
That being said, the fact that you even mentioned CAPM shows me you must have at least a foundational knowledge of Finance, so I'd focus more on the tech for now. The Bitcoin whitepaper is certainly a great start, though you can build up to it via some videos and less technical resources if that feels too demanding. (https://www.youtube.com/c/Finematics/videos - this is a great YouTube channel I personally visit frequently).
For anyone else reading this who's lacking more on the Finance side, then an introductory course that talks about the risk/return relationship, how (stock) valuations work, as well as a basic explanation of the most common financial instruments like options and futures should be more than enough to start with. Websites like edx.org have free courses from Ivy League Universities that you can take.
With enough effort, WGMI. Just have fun and enjoy the ride.
Thanks for all the great info! WAGMI
Thoughts on storing 6 month savings on Celsius in USDC to earn 10% APY? Or should this be absolutely kept in a traditional US bank account?
Dude read the post lol not your keys not your coins
for defi options you could try yearn or rari capital. or fund an lp on curve
How many BTC and ETH do you recommend owning before moving to DeFi protocols?
"one area where we see massive growth: work in anything creative." This resonates a lot with me. In Efficiency, in addition to the 3 talents (intent, synthesis, quant), there's an addition of Artistic call (creative work) - if you're in the top 1% go for it, since winners take it all.
But I guess now with DeGen, you don't necessarily need to be top 1%, because:
- Fewer middle men, direct payment with audience.
- 1000 true fans. you need only an unique/unusual talent stack (top 20% in several skills)
- A niche ecological system where your work can add value, i.e: this Jungle hopefully.
Any thoughts on what the talent stack for Creative work might be, fellow Bow Tied Animals?