CRYPTO SHOWDOWN! BANKS VS CRYPTO INDUSTRY BATTLE HEATS UP!

thousand dollars. So we're seeing a bit of a pullback as we've been discussing over the past couple of days. That was anticipated based on a whyke off accumulation model shared by user Marty Party on x So no need to panic, just we're going to see a downturn and then we're going to see the spring upwards. So it's all cyclical, just all market cycles playing out here, retesting up support levels and much more. As long as we keep forming higher highs and higher lows, we are good

and we got the macro on our side. Now. This Friday, as we've been discussing, we're going to hear from the Supreme Court about the tariffs. We'll see what that to market. That could be a catalyst that makes the market go down right before fighting the bottom again and moving back up. So patience is so important here. We're going to have to wait and let this all play out. Now, here's

another contributing factor to liquidity. And we know the Fed is full on QI even though they've started the light version on December twelfth of purchasing forty billion dollars in treasury bonds. Well, President Trump this evening highlighted that he intends to raise the US national defense budget in twenty twenty seven to one point five trillion dollars. So it's currently at one trillion and they're going to raise it

by half a trillion. So Lynn Alden, who often talks about nothing stops his train, essentially saying nothing stops the money printer. She reposted Trump's whole post on truth social saying that's a whole lot of words to say nothing stops his train. So regardless of what the narrative is, regardless of this and that and the semantics, nothing stops the money printer. They have to keep printing. So that's

why I've been saying. My foundational thesis, regardless of what happens in the short term, is that as long as central banks keep printing money. I am bullish because risk assets will move accordingly, guys, So you have to make sure you have that foundational knowledge and you have that thesis as to why we are here investing. Yes, to make money, but part of it is outpacing the debasement and the inflation and the stealing of your purchasing power.

Once you grasp that, it makes investing a whole lot easier, and it helps you to a whole longer term despite the short term volatility. And obviously crypto is the fastest horse in the race. Now. I know twenty twenty five was not great, but if you look throughout the past ten years, bitcoin has outperformed everything, not to mention all coins, right, so it has outperformed goal, the stock market, the NASDAK, the S and P five hundred, real estate, all that stuff.

We had a kind of a down year last year, you know, the yearly candle closed negative six percent, which was a big deviation for what we've seen historically. But if the thesis is correct that you know, liquidity is coming back. We should see new all time highs this year. But look, we don't have a crystal ball, so we're gonna have to wait and see. I've been sharing my

two scenarios. Number one, that is, Bitcoin simply does a relief rally and all coins follow in a relief rally type of format, so we don't hit new all time highs and then we roll over into a bear market, or this bull market continues and we make new highs for Bitcoin and the all coins go bananas and we

see the actual euphoric blow off top zone. Because you have contributing factors such as the market structure, bills, you have Trump saying he wants to send out stimulus checks to people using the tariff revenue, and much more so, there's a lot on the table here that could set up a bullish move and narrative, and we shall see. Guys. This is where you know, as much as we want new all times high prices, we're gonna have to sit

back and let some of the dust settle here. But clearly, guys, they're going to continue printing money and we know our assets are going to follow. So patients is the key now, folks. This episode is brought to you by Propy, which is leading to charge with putting real estate on chain. Folks, you can buy and sell homes on Propy's platform for cryptos. If you want to sell your house for bitcoin or buy a house for bitcoin, you can do that on Propy.

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And Folks, they use coinbase with a crypto escro service for the buying and selling and all that stuff. And they've put deeds on chain, They've created NFTs for properties. They are doing a lot of cool things with blockchain in the real estate industry. And Folks, we know every asset class is going to be tokenized. So Propy is certainly leading to charge in this disruption. So if you'd like to learn more about Propy, goo to propy dot com. Link would be in the description. Okay, folks, we got

an all out war happening in DC. You know. It's something we've been covering over the past month or so, and that is the banks are lobbying hard to try to stop you from earning stable coin yield and staking rewards on crypto exchanges and platforms. They don't like that, right,

We've talked about it at nauseum. They don't like that you can earn a higher return there because right now they're giving you next to nothing zero point zero one percent interest, right they pocket all the money, and of course they don't like that you can bypass them and go earn higher yield. So personally, I use Uphold with their stable coin program to earn yield, and I also use coinbase And guess what, it's more than I'm getting at my bank is JP Morgan Chase, by the way,

So it's more I'm getting at JP Morgan Chase. So it's so horrible at JP Morgan that I move my money to other types of accounts and even the stable coin yields to earn higher rewards. So the banking lobby, they're trying to stop this, they're trying to re litigate the Genius Act. But it's already law. They're going to their crony friends like Elizabeth Warren and Maxine Waters, you know, handing them some checks come on midterms of coming up

in all these trying to win people back, right. In addition, they want to stop D five. So let me share what farijarisher Zah, chief policy officer at coinbase, had to say it because he summarized it really well, and a lot of different folks in the industry weigh in as well. He said. The Senate Banking Committee marks up the Market Structure Bill next week. The stable coin rewards remain under debate.

Congress already settled this in Genius Reopening it now only creates uncertainty and risks the future of the US dollar as commerce moves on chain. Here's why Congress should protect the Genius Act and why rewards help consumers without harming

community banks. It's no mystery why big banks want rewards ban and US banks earn one hundred and seventy six billion dollars a year on the approximate three trillion dollars they park at the FED and another one hundred and eighty seven billion dollars a year from cards wife fees

about one four hundred and forty dollars per household. That's three hundred and sixty billion dollar plus annually from payments and deposits alone, and massive unused lending capacity that the Federal Reserve pays the banks to have sit in a drawer somewhere so that money just sits there. Right. So he says stable corn rewards threatened those margins, not because it reduces banks ability to lend, but because they introduce real competition in payments. Lower payments cost mean billions and

savings for consumers and businesses and a boost GDP. This is not a community bank issue. It's the big banks that's the real fight. This is spot on. You think, Jamie Diamond and these big CEOs that the banks alike, that you can bypass them. How dare you bypass them? Right? But disruptive technology always wins. But they're the cumbents. They're gonna fight, they're gonna lobby hard, but they're not gonna win this. And I'll share what even Trump and his

family is doing today. So he says, the data is clear and it doesn't support the bank position. This summer, Charles River Associates found no statistically significant relationship between USDC growth and community bank deposits. Different users, different use cases, and people don't treat stable coins as bank deposits substitutes. Now, a bunch of different folks weighed in. Even Mike Novograts weighed in. He said we would be fools as a

country to reverse the newly passed Genius Act. What I say to banks who are whining like mad fourth graders, toughen up and compete. This is what innovation looks like. In addition, Patrick Witch, who's the White House crypto advisor who works with David Sachs. You guys may have seen

my interview with him from Chainlink smart Con. He says, for the anti rewards slash yield crowd currently threatening to witholdhold their support for the Clarity Act, I would remind you that tanking the bill over the issue preserves the status quo which you allege is intolerable. You will have achieved nothing be reasonable. So this is targeting to the people who are being lobbied by the banks, some Democrats, possibly some Republicans as well. So the gloves are coming

off here, folks. Ron Hammond, who used to be at the Blockchain Association, he's now at Winter Mute said, the White House siding with crypto industry on stable coin rewards issue within the market structure legislation not ideal for the bank lobby. So this is important because Trump look at this because today Trump backed World Liberty Financial seeks US bank charter to bring USD one stable coin fully on shore. So Trump is bullish on crypto. His family and all

these guys have crypto businesses. They have their own stable corn via World Liberty Financial. Whose side do you think they're going to be on the bank side? No? No, So I think the banks are in a losing position. That's not to say they're not going to try to fight, right, That's not to say they're not going to hand checks out to Elizabeth Warren and Maxine Waters and all these people, or they're going to fight. But I think they're on

the losing side. So while many of the banks are adopting crypto, they're launching tokenization efforts, crypto products, and much more. On the other hand, they're trying to control it as much as possible. Again, they don't want you to bypass them. They want to control. They want you to come through them. But of course they're not being fair, they're pocketing a lot of the money. If they want to compete, why don't they launch your own stable coin and give rewards

or give a higher interest rate. People wouldn't have to move to stable coins to get a higher yield if you simply up the interest rate. But they don't want that, guys. End of year bonuses, big fat checks, right, Jamie Diamond doesn't want to cut to his bonus. Are you kidding me? Right? So that's what's happening here, folks. And in addition, Cody carbon and who I of the Digital Chamber, who I interviewed yesterday and that interview will be published tomorrow morning.

I want to miss it, he said. Tomorrow, fifty five Digital Chamber member companies will meet with over twenty Senators on Capitol Hill to shape market structure. This is how change happens. Grateful for our members flying in from across the US and globally to lead a critical moment before markups. So this is really great crypto industry going in meeting with the key stakeholders in the Senate to discuss what

they need to do, what the crypto industry needs. So this is really great guys, And like I said, these banks and these people are fighting it. They're on the wrong side of history. We already know that. But I think it's the last hurrah, the last attempt to try to change things and maintain control. But it ain't going to happen. Now, that doesn't mean the crypto industry doesn't

have to fight. They have to fight. They have to build their war chest and continue to lobby because that's how you get things done in Washington unfortunately, so we shall see how it all plays out. Guys. We got to keep an eye on this. But at least we're seeing progress. You know, this dialogue and discussions between the crypto industry and the members are come and then next week we get the markups. So that's gonna be really great. Now, look at this news, folks, This is huge. This is

a milestone in financial innovation. Wyoming issues first state back stable coin on Solanum. Now we got news about this that that was the plan to launch a stable coin, but it's the first state back and you can imagine other states are going to do this in the United States and they may use different blockchains, but Wyoming is using Solana. So this is a huge endorsement and adoption of Solana. So I feel like Solona is going through this maturation phase where it's moving beyond meme coins. It's

getting big adoption. Even Western Union, if you all recall launching their stable coin on Solana. So front FR and T, issued under the Wyoming stable Coin Act, represents the first blockchain based asset backed by a US state. The Salana based Wyoming Frontier stable coin will also be initially available on six EVM chains, including Ethereum based Layer and Arbitrum based Optimism and Polygon L two's as well as Layer

one Avalanche. Huge news, folks, huge, huge news. This is, i mean, just amazing and a sign of things to come. And I'm curious how you know these stable coins from these different states will you know, compete so to speak with you know what, it's already in the market, but it could be they're just building this for their own state US. It won't necessarily cross state lines, like if you want to pay your taxes or you know, they'll give you maybe certain benefits for using it within Wyoming.

You know, that could be part of it. We're gonna have to wait and see how all this will play out logistically, but this is a big, big moment right here, and states have been you know, launching bitcoin reserves, buying bitcoin et ups, and much more. So we're seeing that once one of them makes a move, the first domino falls, the other follow right, game theory plays out, So very very interesting news here now, folks. I'm not sure how

many of you heard about this, but Ledger says Global E incident did not compromise crypto wallets. So there was a data breach of global E, a payment platform integrated by Ledger in twenty twenty three. So we've seen data breaches across different industries. Guys, this is a problem. This is where data needs to go on the blockchain. But it's as always, guys, you have to make sure that

you verify, don't trust verify. Always double check your links, Always double check emails, double check any messages you get because it's tough out there, right You got hackers constantly looking for ways to exploit and hack anything they can within crypto, so just be careful. It would really suck if you lose your fund. So with this data breach, watch out for bad emails, watch out for physical mail. I remember getting some of these things years ago when

Ledger had leak. I forgot what year was, but this is like twenty eighteen ish, twenty nineteen ish or something, and I got letters in the mail and I'm like, what the hell is this, you know, and it looks very official, so be careful, you know. I don't use the Ledger of hardware walts. I personally use Treasure, you know. I feel they make a better device with better security. And if you are a Ledger user, just make sure you watch it for these books. Okay, look at this news.

This is really big as well. Tether and video platform Rumble launch a non custodial crypto wallet. So the wallet is built to facilitate crypto payments to Rumble's content creators from users on its video streaming platform, and the wallet will initially support Tether's dollar, pick stable, coorn usdt telor gold xau t the a tokenized commodity product, and Bitcoin.

According to the announcement from Rumble, it looks like Moonpay is also integrating here, so Moonpay will provide Fiat currency on and off ramps for Rumble wallet users, enabling them to cash out crypto into local currencies. This is huge. I personally have my channel on rumble, so I upload there as well. YouTube is obviously bigger, and I wouldn't be surprised if YouTube is like, wait a minute, okay, we need to get on board and does something similar.

I think that's coming right. And even the streaming platforms they podcast audio streaming platforms like Spotify and Apple that they do the same as well. So this is really really cool and I think it will lead to more adoption of crypto. Okay. Babylon receives fifteen million dollars from

A sixteen Z crypto to expand Bitcoin native lending. Many of you know A sixteen z is a powerhouse. They have been for a long time investing in Web two you know Mark and Risen and Netscape and the Web one whirl of the nineties. The big investors guys huge, huge, and now they're all in on crypto and AI and much more so. Babylon decentralized protocol focus on enabling native

bitcoin staking and lending. Receive fifteen million dollars in funding from A sixteen Z crypto through the sale of Babylon's native baby BA by Tokens, two D Digital Asset arm of Entries and Horoitz. Okay, Guys, what if I always told you watch where the VC and hedge fund capital is going. So if you know they're investing in this and they're buying the token, you know what I'm saying. You know, you could anticipate the price going up. So that's not financial advice, but it's one of the factors

I use to invest in tokens. Now again, one of the factors. You have to go through the checklist, right, You got to look at the tokenomics, their release schedule. You got to make sure this is a legit project, because not everything that these firms invest in will pan out. They invest in a bunch of different companies and some are winners and some or not. So just make sure you do your research. Don't blindly invest just because a

sixteen Z is doing it. But this is certainly a checklist item that you can check up and say, Okay, something to pay attention to. You've got some liquidity that's going to be coming in here. So again, you know, I like to call out certain things to you. Guys. I told you all about Canton Network, I'm telling you about this one. Now. I don't hold this token, but if I do, add it to my Portfoilo. I'll let you know final lose item here. Polymarket Dow Jones deal

puts prediction markets data in the Wall Street Journal. So Polymarket, many of you know blockchain powered. These prediction markets are certainly the future and we're seeing mainstream integrating them. So again, mass adoption bridges being built between the traditional tech and trad fireworld to crypto and web three. This is really

really amazing. So in a Wednesday notice, Polymarket and Dow Jones said the predictions market data will be available on the Wall Street Journal, Baron's market Watch, and Investors Business Daily, among others. According to the companies, Polymarket will be featured in dedicated data modules on website and select print placements. So we are just at the tippity iceberg, folks of

mass adoption. The building is happening. We need market structure to pass to allot us, all to go exponential as far as adoption and building, and we are going to see valuations skyrocket. But you know, there's a process to it. So that's why I'm not just bullish on this cycle, but future cycles as well. And yeah, folks, it's exciting, Okay, folks, that's the news. Let me know what you think. Leave your thoughts in comments below, hit the thumbs up button.

Subscribe if you haven't as yet, be sure to support the podcast by subscribing to my free email newsletter. It is one hundred percent free. Link would be in the description. Check out my book on Amazon grab a copy. It's available in paperback, in digital, and my course at mycrypto course dot com. Folks, thank you for tuning in. I appreciate you all, and I'll talk to you all later