Where is the image uploaded? I saw something about that but don’t see buttons?
Remind me why the FED isn’t an #oracle instead of a committee of subjective human opinions?
truflation.com #truflation
It was the first big book read on what is money when it came out. It started the rabbit hole. Parts were slow and boring but it laid the foundation of questioning everything you thought you knew about money.
A couple of high points / thoughts on an import tweet from #[0].
https://twitter.com/kanemcgukin/status/1635986836496498692?s=46&t=BCZ86Q6VE35kiDHSK1Vf6w
1. The shortcomings of #Keynesian / #MMT show up in the never ending need for more credit facilities in order to expand supply.
These accounting gimmicks create the appearance “wealth” (paper wealth) at the expense of the population’s purchasing power.
2. It’s no different than an individual w/ $100k in credit card debt. The interest expense feeds on itself.
The possibility of pay off becomes zero.
So, the individual rolls the debt to a 12/mo 0% interest card, doesn’t pay it off, & continues spending on the old card. Repeat.
3. If banks have $600b+ of impaired bonds, that can now be borrowed against at 100% of par.
Did we not just create an additional $600b out of thin air? Or 90% of - $540b?
4. A wise man once said, “Therefore, get rid of all moral filth and the evil that is so prevalent and humbly accept the word planted in you, which can save you.” JAS 1:21
From a business perspective, 10 years make sense. Look at most businesses. They rarely hit stride, become a force, get global recognition until around 10 years in.
Or, that’s about the window where the original business owner sells to someone who can really take it to the next level.
That is odd, but then again we’ve known for years these agencies don’t communicate well, if at all, and have huge egos.
Slight adjustment, most assets you only lose if you sell. Any choice is risk.
You never know which choice (asset) will go to zero but all can.
We just live in a world now full of infinite credit lending facilities keeping zombie companies, banks, individuals, etc from going to zero.
Banks break down.
#Bitcoin breaks out.
The path is never a straight line.
Regardless of price return (%) #bitcoin ‘s price has been the signal for most moves in financial markets for the better part of the past 2 years.
Agreed. Writing is all over the wall. They’ve been looking for an opportunity.
Retail investors are akin the fourth and final alert in a Discord or Telegram pump and dump scheme.
They are exit liquidity by nature of where they live in the flow of information.
There was a definite shift in culture that wasn’t aligned with the original goals.
Who would have thought… bonds with a duration greater than 1-3 years and a yield of < 2% were a terrible idea.
Yield tells you everything you need to know.
Is that not wrapped in the woke mob bitcoin stage? The two kind of went together as the progressives came larping in.
Wonder if these banks have ever heard of the Lightning ⚡️network?
It’s uncanny how similar the two look.
With the unwind of Silvergate and the failure/takeover of Silicon Valley Bank and Signature bank, what does this do to exchanges and apps that had on-ramps only because of these entities?
Credit is okay when managed. Leverage kills.
