CLARITY Vote Fails as $526M in Crypto Longs Get Liquidated

0:00Good morning, everyone. Welcome to the modern market where we discuss all the things to do with the various markets. That is the equities market, the crypto market and then the other market where we can make some more lot of money on the internet today is Wednesday the 16th of September. We're about to get into it. I have got legendary and bread in the co-host seats with me. We're looking forward to get into it today. We just remind our friends before we do nothing that we say on this show is financial advice. The market is very, very risky. We don't know anything for sure. So please proceed with caution and exercise your own judgment. I've also got Corona in the chat. Good morning. I've got mandalore, motors in the chat. I absolutely love to see it. The two early birds at the moment I know as I start the news. Everyone else is going to turn up in the chat as well. Let's get into it on Wednesday the 16th of September. First, your first headline is Bitcoin price rules below 75k or hit 75k while bonds continue to rip higher. Not great for crypto. But it's

1:09still in a range, guys. People are absolutely losing their minds about this kind of negative price action. I know some of the ults have got completely destroyed. But the other stuff is fine. If you just zoom out a little bit, all right, fine. If we lose the range, we lose the range. And then we go a lot lower. But it's basically just in the range. So no need to crucify yourself just yet. Second headline is Claret T. Axe triggers over 500 million dollars worth of long liquidations in the last 24 hours morning to mayhem and Diableto checking in in the chat. Third headline, Mark Zuckerberg, defends matters, internal safety precautions, citing the muse rollout. We've got a little bit of AI, got a little bit of crypto liquidations, got a little bit of yield stuff as always. And of course, remember today we've got the FOMC meeting, which basically is what everyone's eyes is on. And that's been the main focus for a long time now. I think the pricing of odds for a rate hike has,

2:12it's approaching 90% if it isn't there already. We can confirm that during today's show. Almost priced in, I hope that maybe the bleeding of the price action can stop. In other headlines, we have the news that FOMC and rate hike decision, decision lands today at 2 p.m. Eastern time. You have the open AI, which is weighing their funding round at a 1.2 trillion valuation before an IPO, strange how you can say that you're about to destroy the world and you need to slow down and you're also worth 1.2 trillion. I guess maybe it makes sense if you're capable of destroying the world. SK Hynix is in talks with Intel to make memory chips in the US for the first time. That, I think, is pretty important if you're in the memory complex at the moment and trying to figure out what's going on there. Jetson Huang will join Trump State, and I'll see you, Jim Ping, later this month. There's also a meeting between Besent and one of the Chinese counterparts this weekend, which I think people are saying, look, this is the pre-meeting. Maybe a lot of stuff needs to get eyeing out on that meeting. Keep an eye on that too. US long term unemployment is at crisis levels

3:16according to the Kabeisi letter. Chinese gold ETFs added 11 tons of gold in August, making their second consecutive monthly increase. We know China has been adding gold, not just recently, but also at the start of this year. The House voted 220 to 204 to end the Iran War, passing a war-powered resolution for the third time. Arq Mayna is launched today. Remember that's by Circle, the team at Circle. Let's see how that goes. Entropy has surpassed $1 billion in total trading volume. This is the kind of trade XYZ competitor built on top of Hyperliquid for pre-IPO markets built by a team funded by Ribbit Capital, which is Mickey Malker's VC, very prominent VC. I watched a long interview with him the other day. It was very impressed. I liked him, made me want to look into entropy more. Justin Sun, established as a bounty system, mathematics prize came in. Current prize models are outdated. Good man, Justin Sun, always coming through for the people. In terms of price action,

4:21to get you up to speed, let's get into it. I hope, when we talk about these charts, just have zoomed out, just a touch, so people can stop losing their minds. We've got Bitcoin at 75.9K. Yes, it's down 1.5%. But if you look over the last two weeks, or three weeks, also, this is just the range that is in. ETH is down 3%, granted 2.4K, again, same story looking at that chart. Hyperliquid is down a grand total of 0.6% in the last 24 hours. Yes, it's at 78, bottom end of this range. That's where we are. Zcash on the other hand is ripping plus 5, almost 6% to 1,200. So that is much higher than the others, maybe demonstrating a bit more strength. So that's the one towards the top of the range at the moment, whereas everything else is maybe towards the bottom of their range. That is very, very interesting to note. Good to be Zcash

5:25denominated at the moment, which was my portfolio decision maybe a month or a month or a half or two months ago. S&P is basically flat, sold down 3%, oil is up, brands up half a percent, where's WTI gone? I don't know where WTI has gone. WTI is up a percent as well, still at as high as 98. Not great with oil at these prices. Space X down 2% to 144. Silver's up 2,500. Gold is up a percent and a half to 4,350. Circle did get hammered. Circle got hammered on the clarity, Acne use. Maybe that makes a bit more sense. Coin also got hammered. Both of them were down around 10% yesterday. Light is down 2,500. Still, but it's bounce really hard off the $4 level. I think that could be an interesting one to see because they're going to get clarity via the SEC or the CFTC irrespective of whether the clarity that goes through. That's our general take. Arb trims up 16% today. Bounce super hard

6:30up to 0.15. In general, you're seeing just a bit of more green across the board today. Intel more less flat at 99. Samsung up half a percent near up almost 2%. What else do you have? Google's more less flat. BNB is down a percent. VVV up 2%. Cash cut up a percent. Z-POO up 6%. So just a bit more green today. Yesterday seems to have been the day where people were worried most. But now maybe some of its past is it all priced in now when Kevin Watt comes in talks later for the rate hike will definitely discuss that now. So that is that. Let's check in with the guys to see how we're doing. Just quick checking with the chat. Good morning to English morning to burn, burn, tree morning to GGWP, monitor YG drops, monitor, diabetes again. And good morning to Loll. McShiz in the chat on Twitter, YouTube wherever you are. Welcome. Good morning to you.

7:35Coming to you first here, Ledge. Any response or thoughts to the kind of price action we're seeing here? Still in the range for the majors. Z-Cache at the top of the range. Maybe other things at the bottom of the range. I feel like people really ate a lot of pressure yesterday as maybe the Alt Scott destroyed. But to me, stuff looks okay here. I don't know what your perspective is. Stuff generally looks okay. But stuff is down. I think it's an inshoyess today that I didn't think that neither clarity nor the rate hike are priced in because the sentiment changed very quickly in opposite ways. It's clear to where rather confident that something could come out of it and with the rate hike it looked like a coin flip and both sentiments turned towards their negative. So this is why I'm not too surprised to see a bit of a cell of. I'm rather impressed by seeing stuff like Z-Cache performing so well by Abitrum being up 17% as you said on the day. As concerns, my own traits as an amundated assault, SK Heinix and some of the riskier positions,

8:41watch the SK Heinix go down 7% today. Yesterday, sorry for that. Today it's up one and a half percent. I'm still waiting for the FMC and the rate hike to say it correctly this time. And let's see if it's going to be a bit more of a discount to rebuy there. Apart from that, I am still looking at SpaceX. I want to buy SpaceX. It's down another 2%. Here, the same picture for me waiting on the the FMC but I don't want to wait too long because I think GROK 4.7 is overdue by a couple of days already and it's supposed to be a really good model. So I would quite like to buy that before your potential model pump. And I'm getting more interested in meta. We talked about meta yesterday. And meta is trading in quite, let's get meta real quick. It's trading quite a broad range. While you're getting a chart up, while you're getting the chart up, just an observation on meta, I don't know, I just, I think it's good the Zuckerbergs taking like the other side of the AI

9:45trade like everyone else is they're catching a lot of flak for the way that they're behaving all of the front AI labs. Saying that they need to slow down that all of the stuff. Whereas I think it's quite a nice asymmetric thing for them for meta to carve out their own things. They say, no, we're good. We will talk about it in today's headline. I think bread will get into it. But we're good. We did the slow down that we needed to. We're obviously going to do stuff responsibly, which is actually the correct professional response to the call for slowing down. No, we are pacing ourselves because we are doing things properly. What are you guys doing? Go on, speaks to the chart, Lege. Yeah, chart is trading. If this is a one year view, and this range from going all the way down to volatile, $500 is going all the way up to 700. And it's hitting this low of $550, four times, three times, it hit it, one time went under that.

10:46It's gone above 674 times, five times as well. So it likes to move in quite the range. Obviously, now it feels a bit expensive because it's on top of the range that you've seen for the last year. But to me, the more you think about now, the four AI companies, a Thropic, OpenAI, and then SpaceX AI and meta, ignoring Google or alphabet from them because already have alphabet exposure, and I'm happy with that. It's just like OpenAI and Thropic are purely from to your LLMS. And then you have meta and SpaceX who have a business attached to them, obviously, meta with an enormous access to user data across Meta, across Facebook, across Instagram and WhatsApp. And then you have SpaceX with, well, X for the social media part, but then a successful business when it comes to Starlink and a future of potential space exploration. And it feels like just made a bit of a simplistic view that you have these companies

11:50or SpaceX trading at what one and a half trail, two trail, whatever it is right now, the one and a half trail, roughly. And then you have OpenAI at trying to raise at 1.2 and Thropic on the Hyperlegate pre-market trading a two-trial and purely being an LLMS model provider. It kind of feels like nice to get that bundled discount with someone who's also able to build a frontier model, but has another actually profitable business in case of meta-highly profitable business in case of SpaceX, depending if you look at the starting or the SpaceX way attached to it. So this is why I am a bit more intrigued right now to add to build a SpaceX position because I also think again if they manage to do whatever they want to do with space exploration, that's probably a multi-decade like 10 to 20 horizon, then it has like immense growing potential. And even if they don't, but they manage to win the frontier with 4.7 and then 5, they should do quite well as well.

12:52I didn't realize you're already at 1.7 trillion. Who is? I didn't realize they're already at 1.7 trillion. SpaceX? Yeah, no meta. Oh meta, yeah. It's pretty high. It is. Yeah, you're right actually. When you put it, I guess people have only been comparing because SpaceX was the cursor integration and the value and the valuation of Grop Bart and whatever it's doing, it was not necessarily been taking so seriously recently, but they've made some meaningful upgrades and I think the experiences have improved markedly. So it's never really been baked into the conversation. And I think you're right when you add in all the things. It starts to look. It's like, well, you have to assume if you think if you're going to assume that Anthropic is going to be 2 trillion and you're going to say that, okay, open a eye is going to raise at 1.2

13:52again, then your son say, okay, assuming that is true, which maybe some people will think, well, that they're overvalued at those points, then maybe yes, SpaceX seems undervalued given that it has so many different arms. So I'm open to that. I'm open to that. I'm not looking to build a position there yet. Grop, Brad. Have you used Muse? I've heard of it. These are things with Muse, which is Meta's new, new agent. So that is a Muse Spark 1.3. They roughly claim it's an Opus 4.6 level. The way I use it, I use it via the Open Code Go plan. There's two pricing tiers in that. It's actually quite, quite useful because it's just $10 a month and you get GLM 5.3, quen models, and you get Muse and you have two options of how you can use it. You can use it in the Descored. Founders mode, builders mode, whatever. Basically, it's the mode where data sharing is on and you share your data with Meta for them to train the new model and then you get a massive discount now and you get to use roughly around 500 million tokens a day with a $10 plan or

14:56you could turn the data sharing off and the model is going to be a bit more expensive. And I've been using it not in the Open Code harness. I've been using it with Codex. So you can also use the Codex harness to host other models. It's open for that. The harness basically being the models, eyes, hands, and feet and how it can interact with tools, your computer, the browser, and other things. And the lake is quite a lot. So I'm very, very happy to have a goal or have some things set up with Astra, with GPT-6 and allow it to extensively delegate to both Muse and GROC. And I find them to perform on a quite quite similar level. Very nice. Okay, we're going to dive in more to the Zuckerberg stuff, the Muse stuff and breads headline towards the end of the show later. So I think it is interesting the way Meta's kind of carving out their own narrative and path of in comparison with some of the other frontier

16:01labs. So we'll double click there more in a second, just saying morning to de-ify, morning to overarch and all argonaut holders. I think he might be adding a few more quantum says. Took a quick look at ARC, the circle chain that has just launched fully decentralized with 11 validators. This being a bit sarcastic and not necessarily as decentralized. As I think, maybe people would like, look, these new chain launches, I don't feel anything particularly for them. I think there's a few people in the modern market chat, for example, sharing some tokens that are flooding around on them and maybe people are speculating on things. You know, you can go for that. Right now, I think front and center, there's bigger things that play. If you want to go further down the risk curve, there's a better place to do that. And also, you know, there's like huge factors happening in macro right now that are that you've got to be on top of. So we're going to dedicate some more time to those things today, but thanks to quantum

17:03for bringing that up. What I want to do before we get into the main stuff today and we want to talk FOMC, we want to talk the yields, which continue to push higher. I just want to get a shout out to our new mobile perps partner. We are excited to announce an exclusive mobile perps trading partnership with Sway, the best new way to trade narratives on your mobile back by $3,000 every month in trader rewards for people who sign up with us at the modern market. So, Legendary is going to drop the referral link. If the referral link doesn't work for whatever reason, it takes you to the wrong place and maybe you need to go to the site. Just make sure you use our code. Our code is mm 3000 to represent the $3,000 every month, who that will be rewarded to traders over the course of the month. It'll be $500 every week plus a bonus at the end of the month.

18:07And we've got more details on that when we talk about them in our specific segment in just a little bit. So, we'll drop more details in a second. Legendary is shared the link in the YouTube chat in the Twitter comments. We'll come back to that in a bit. But let's go into the first headline today in the interim. We're going to be talking Bitcoin, price falling and yields going higher, Ledge. What do you tell us when we need to know? Yeah, absolutely. You said it at the start of the show, we have a clarity being rejected, the markets reacted to that, although in my opinion, not as strongly especially if we zoom out a bit on the Bitcoin chart, you need to zoom out that much on it. Just look at it. The last month, we can see that Bitcoin mostly has moved between 75K and 81K, and now with news yesterday. It is done 1.5% on the day, but it's still very well trained

19:08trading within, if not just to touch slightly on the range that we have seen it oscillate between over the last month. That is one part of the news. The other part of the news is yesterday, the headline was that yield did go about 5% in the states for the 10-year yield. That is, now it's just the touch today. It's just the touch on the, now it is trading at 4.996, essentially still at 5%. But we also tell the show yesterday, it is the highest level we've observed since October 2023. Before that, it was in 2007. It was with a financial crisis that we've seen yield levels that high, but it's not only the United States, we can also see capacity that is reporting on that across the globe that yields have been on the rise since 2020,

20:13where they marked the low point. We see the UK with 5.4% with Germany with 3.57 France with 4.55 Japan with 3%. Even China being a bit of the outlier here, one of the rates of 1.7 for them that is actually a bit lower, then it used to be, but apart from China, definitely a very high yield environment for the bonds market. I think the expectation, we have the chart of ones, we can see the 10-year yield, and then you can see basically the forward-looking yield, which is what the market is thinking that the 10-year yield will be in 10 years from now. That has been, for all of these markets with the exception of China, has been higher than now, and that is just another way to express for the market of the market things that 10 years from now in 20,

21:1737, the 10-year yield is going to be even higher than it is now. Interesting. Okay, so what's the view here? Maybe let's link this to the FOMC today. So just for people's clarity, the FOMC decision will be released, or scheduled to be released at 2 p.m. Eastern time today, immediately followed by a press conference at 2.30 p.m. Eastern time with Fed Chair Kevin Walsh. The market's obviously heavily anticipating a potential 25 basis point interest rate hike. It's funny how they wanted to get rid of all the forward guidance and stuff, right? But in the end, it seems to be the case that the market kind of does the forward guidance for

22:17them, and Polymarket is now, what's the percentage ledge for a 25 basis point interest rate hike? That is unchanged from yesterday still at 88%. 88. So pretty damn high. Let's see. I think it will be really interesting to see whether that this de facto forward guidance can be relied upon, or if they could do anything to surprise. That's what he's always said, right? He's saying, look, we don't want to do forward guidance anymore. We just want to react to data. We're just going to do whatever we think based on the data, and you're not supposed to get forward guidance anymore. We need to stop giving forward guidance. So let's see. Let's see where they shake out. The question then, Lege, that people want to ask, and I'll come to bread as well for his perspective in a moment, is what do we do here? Now, like, if we do hike, what are your scenarios here? If you get the 25 basis point hike,

23:22is that fine? I'm like, it's fine with that now because it's people are betting on that being the case. Have people digested that reality? Or do you think it's going to depend on what he says in this 230 conference? So I thought about that because you were speaking about that yesterday. You said one thing, which I thought is very accurate and very smart. That was to say, you watch the actual speech because the media is delivering that in the very contracted, often biased or if not completely wrong version. And you get all the info there and you get a bit more color. You can read in between the lines. I'm not even reading between lines. You can actually listen to what the guy has to say and what he's thinking or what they are thinking. And the media is contracting them. That made me think that in the previous periods where you had the forward guidance, maybe one of the reasons was that people were not actually listening to the thing. And they were

24:23not able to digest that much information. And the forward guidance was exactly of the media could pick up in the correct way saying, oh, we might have a high grades. We might cut grades because it's looking like this and not. And maybe this is why forward guidance was provided because nobody is listening. Nobody is reading properly these days. So now the question is, how do you deal with that then discrepancy between what listening to that and getting the actual information versus what is misrepoint in the media because if people mostly still adhere to what is in the media and then trade after that, then you don't really directly benefit by actually listening if people move against that. But I think at some point they will, whatever they've been talking about, that will come through. And so I still think that for me then the smarter thing is listen to the FMC read it. Whatever they just more than what it says in the end trade according to that and rather ignore what is what is happening in the media. The other takeaway for me is especially if we look at the

25:25the polymarket oil the last month, we can see that multiple times the odds half-fliped with what the market thought is more likely. It's quite erratic. So with that, because we started at, there was just a month ago, August 16th, no change, 75% flipped once, flipped twice, flipped the third, the fourth, the fifth time, the sixth time and now, went in the overwhelming different direction of thinking 90% is great hike. So that is getting quite erratic and I that is not a chart, that is not a market I want to trade if I look at this chart. That is completely ridiculous and I don't want to then massively trade the FMC either, but I think that what I did start of the week, so the fear with the riskier stuff that I like, but I I'm not like I said, if I get a dip, I want to buy it and I still think that, but if I'm not getting that, I'm not going to be too fast about them, I'm happy to sit in an additional trade out on that, so maybe not over trade the day. And also, you only sold your more volatile stuff,

26:30you know, like the core positions because of this, right? Completely untouched. The core positions are exactly the same, yeah. Yeah, and to be fair, just to speak to that chart, no one thought we'd be going into FOMC with $100 oil again. Like I think people thought that was done, that was on the control, and that is basically as oil ripped, the chance of a hike ripped, like these two things are very, very correlated. Okay. Bread, what is your perspective on all of this political and shenanigans, this FOMC stuff, what's your take? I mean, as a tradition. Yeah. I mean, as a tradition, I don't have super deep thoughts on the macro. I will side with legendary, like I think we've all acknowledged that the market just does not like unpredictability, and you can pretty clearly see with the hike percentage chances moving on probably market that

27:32it has not been something that has been predictable. So all you can bet on at this point is volatility. So if you like playing volatility, this is the market for you, but you have to pick a direction, and you have to be ready to cut losses if you pick the wrong direction. I think it's get weird at the FOMC stuff. I'm not personally playing any of it, but I think that's, you can see that as much just from the volume market charts. And this probably doesn't surprise anyone, but I mean, Lege said he's not changing any of his core positions. Your positions, I says, your core positions, but I suspect are untouched of maybe there's an account that you trade to a detriment, detriment more than often. Well, it takes a lot to get me out of my seat. We know that very much. But as we've said multiple times, you've got to give credit, it works. You also have a core position in hype. That has done very, very well for you by you ignoring that because we've said everyone's become a macro trader this year, right? And

28:33the thing that I reflect on is the amount of stress the world has gone through in the last year. And yet, main markets resolved higher hype went from 20 something dollars up to 78 now, even in spite of all of the stress that the world has gone through. So this is what I mean, you haven't, you know, you didn't touch the maybe maybe there's some of the cool positions. I have a common sense. You should have touched both hood and you think hair now. It's not because of anything external macro stuff, whatever. It's literally just like looking at them and going, all right, we're at a point where it's actually, you know, it's appropriately priced and we're building in a lot of growth, right? Like if you look at the actual volumes and fees if they're accruing like it actually hasn't really progressed heavily. Like the big difference, or the thing that's stopping me from doing it is one, I don't know. I haven't decided what I would roll it into right now, frankly. And then to like I still think they do have even though the

29:35product mode isn't necessarily there. The product is the product and switching costs are pretty low. I do think they, speaking specifically hype, like I do think hype has a, a really strong regulatory mode that like it's starting to build out with Jake Drew Vitsky and it's, you know, it's for deployment over in the US. So I think there's going to be more headlining type stuff that comes out for them. But like I think it'll just continue to push it into the fairly fairly plus priced sector. I don't think I'm going to get like a 2X in an each short time frame or anything like that. So it's like, all right, is it? I caught like everything, right? I did it, I wrote it, like is it now time to get off the train and look for the next opportunity to keep a smaller portion there or whatever. And same with hood. It's like also doing really well. So it's like if it's a multi-year thing, then I'll probably leave a portion of it, but it's like, you know, if there's a better opportunity in the market, that's probably where I would peel the value from. I think that's pretty smart. If you've seen a lot of it, a lot of the win.

30:43And to the extent, I know maybe you do this less, I'm always layering in the political, the whatever else is on the horizon. I just think we're going to, you know, we've seen a lot of nonsense this year already. Like when we look back on this year, it's going to be hard to remember the amount of nonsense that we've been through as a, you know, collection of countries that are either aligned with each other or not aligned like real, real crazy stuff that have not happened in a really, really long time between allied countries and between non-allied countries. And I just think with the midterms coming, we're going to see some of the dumbest stuff that we can even imagine. It's which was just kicked off the other day with this $5,000 for everyone who votes Republican if we win. Like we're just going to, I think it's just going to reach levels of complete, unseriousness, which people would argue maybe where they're already. But I'm, what I'm saying is we haven't seen anything yet as we go into the rest of the year. And so,

31:50you know, layering that in, you know, talking about someone that's locked in a huge win across a particular asset class like, why the hell not, man? Why the hell not see the W like, could it resolve higher? And I think most people are thinking, yeah, sure, it could. But, you know, sometimes you've got to manage the emotions as well. So I don't think I would begrudge you for taking it off there. Anything else, Brad, before we just move on to the chat. I'm not, I'm not, I'm not actually trading as much as I was, I say even a month ago, um, between life and work, it subticked up. So mostly just sitting in my, my core positions. Nice. Okay. Well, I think we're going to be kicking off some more, some more trading as we hit some more volatile periods here. But let's just check in with the chat. Uh, morning to Brutoshi checking in, morning to Tomo checking in, morning to Eleni checking in, over Arch on this point of FOMC, most interesting FOMC for years as

32:53it's a new Fed that feels pressured, obligated to hike despite, warsating, he will no longer do that and be trend driven, not single data point driven. Let's do you think he's, he's kind of feels pressurized by whether it's Trump, anything that he said prior, the main takeaway for me, listening to the things that he said is that he will do what the market tells him to do. I think the market is telling me he has to hike it. If he doesn't hike, I'd be very, very surprised. Um, mainly to remember, I thought there would be no hike, absolutely no chance, whatever. I didn't know all was going to be at $100. And so I think the market is screaming at him that that's required at Evita. I don't think he's too pressured in a sense. I think he seems quite calm with how he has been presenting himself. Obviously, I don't know how much pressure Trump is trying to

33:55put on him, but at least it doesn't transport that strongly publicly. And I think that is also important. I think he is pretty much sticking to that look at that. Uh, whatever it is. That he thinks is the right, the right call here. If he doesn't hike today, then he's obviously actively under pressure. Well, and to be fair, it's not just him, right? Um, as I said, he's just one vote. The split will tell us how independent they want to be going forward. Like super important point. It's not just him. It's the whole family that he keeps. You know, when you start listening to the full thing, you pick up these phrases, you keep saying that he likes having a good family fight with the family in the Fed. Um, with making a point here, it wasn't for everyone who votes Republican. It was for everyone. I think this is in relation to Trump's $5,000. I don't know. I don't know what the rules are for the $5,000. It's clearly nonsense. Go if it's just Republican. If it's for everyone, that makes even less sense. But why not? If you're opening up the coffers,

34:59just get everyone involved. Uh, why the hell not at this stage? I don't know. Let's see. Morning to MacKale checking in as well. Um, look, let's hit the second headline, moving away from FOMC, maybe just to put an underlying on our maybe general position on the show. We've not trimmed our core positions. Ledged took some positions off. I think at the start of the week, you said, I put a post out in a in a circle chat on two days ago, which I get was a start of the week. The only thing that I was doing was building an ether five position, which I liked. And cutting meme exposure. Like I cut some meme exposure to the start of the week. I thought that was something to do. Did I cut enough? No. But at least I cut some, which I'm very grateful for. And started building some positions in the NASA that I like to learn a little bit more. Um, and then yeah, which is holding the other stuff. The ranges look good for the, for the good stuff. If it breaks, then we can maybe get a little bit worried, but they haven't broken. So let's see, we will see holding the main stuff. Um, headline number two is, I think, going to be me.

36:06We're going to talk, um, cloud, I'll do this one quickly. Clarity Act triggers over 526 million dollars worth of long liquidations in the last 24 hours. So this vote failed. Bitcoin slid from near $80,000, $76,000 as the count came in, with circle, bullish and coinbase adding to earlier losses. The bill died. Um, it was. So, I mean, so Brian Armstrong actually came, responded to the failure. Said the SEC in the CFTC already had the tools, under existing authority, geniuses are law and more permissive on rewards and some clarity concessions were tough to swallow. So this may be the better passage. Um, what one of the reasons given for why clarity is not going through is, you know, all of the Trump family administrations, uh, winnings that, you know, allegedly they made some concessions on the ethics, but it's, I don't know if it's going to be enough clarity, but I think the

37:10key point, uh, the key takeaway is that it is expected that this, um, for the bodies who need some type of regulation needs some clarity, uh, that the SEC or the CFTC will be stepping up soon to provide some interim regulation. If you can't get clarity over the line, the, those kind of administrative bodies will step up and provide the regulatory clarity needed in the interim. And I think that's what people will be betting on, therefore, I think our general position is that don't need to get too worried about crypto and maybe even a bigger position that we've had on the show, a bunch is the one I shared in the inner circle yesterday or day before in the telegram chat, which was roughly in line with this, uh, Carl Soska tweet, ledger if you want to bring this one up, saying blaming a lack of regulation on, or clarity is cope. The best product Bitcoin, hyperliquid, never asked for permission and companies like Uber asked for forgiveness. AI labs distilled the internet without permission yet. You're dying blockchain company, begs an 80 year old senator

38:11to cosine. This is what I've been saying, crypto is not good. Crypto to not become valuable and will not continue to be valuable because of the clarity act. So I think yesterday's selloff was actually completely undeserved for crypto given that some of it literally was on that news. I think other stuff is baked in as well, but not a reason to be selling off for me. I would take the other side of that for sure for the same reason that Carl shared, which is the same reason I shared two or three days ago in the inner circle telegram chat. Um, perspectives. Brett, you want to come in there? Yeah, my pushback would be that so like sure, it's not a requirement to become valuable, but I think it's pretty foolhardy to neglect or not acknowledge that having a path to being normalized is a way for something to go up in value. Like that's, I think. So like it's a tiered thing. So like, of course, this thing are these things. If they are,

39:12if they're a way for people to build successful companies inside of America and use crypto rails and like all of these things, people can actually like structurally depend on these things. Then they can bring more value to the thing because they can offer it to more people. It could be a normalized thing and remove the stigma of this like a lot of the bullshit meme corny stuff that is like predominant in this industry because that's the only thing people can have access to because the real builders are having to move out and do other stuff. So like, yes, it is freedom technology. Yes, you can do a lot of stuff without permission. No, it is not a zero impact thing to say that, oh, we need to make sure that people can actually use the thing and still like probably have a job and claim it and the claim it on their taxes and do like to do all the normal human stuff you want to do as a user of it. So like, I get it, but like also that applies to like 0.001% of the use case of this technology, which is effectively just Bitcoin and Monero and Zach and like this thing of like own it without anyone telling me what the hell to do. That's it.

40:16And maybe the, I mean, I agree on the store value stuff like this stuff should be sort of value irrespective of Bitcoin's that in particular, I would maybe argue though that, yeah, I guess what happens as a consequence of this and you're right that it just means it won't happen in America. So high-plicate, not built in America. And ethify, I guess not built in America. Liter built in America, doing pretty damn well. I think it's built in America. I don't know where the foundation is set up. I would need to double check all that stuff. But this is, I mean, pump fund. Some of you, I think pump might be built in the UK. I don't know where they're headquartered. Maybe the foundation itself isn't. But my point, maybe my point is these companies are getting built and they're doing well. And it's maybe the first cycle where there are genuine companies that you can invest in and maybe for the future leg up of the industry and for more people to have been built and more value to be added, then okay, America needs to have regs. But if it doesn't want to, well, high-plicate still going and still did it, pump still did it.

41:20As a company outside of America. Yeah, I think, yeah, sure, like those things will still exist or cancel exists if you do the necessary things. And like the requirements to do that is like, dude, Jeff was super fucking wealthy. He had millions of dollars to spend on the legal teams to be able to set up the, to like even locate the place where he had to deploy the country to make sure he had the legal structure to do the thing. Like, there's so much bullshit that a crypto company has to put up with in order to become just a company and operate that like the threshold for anyone to experiment with the stuff like legally and proclaim it and put it on their taxes and say, this is my job and this is my business is really fucking high. And it's like that needs to come down so more people can build things that are, or meaningful. Ideally, ideally, you just needs to get it over the line eventually. Okay, so look, that's that situation. That's our view. Good, good debate. Good both sides of perspective there on what's going on with clarity with a

42:20little bit of price action, a little bit of, you know, maybe approaching from two sides, right? You got pure price action on store value assets versus industry, defining company building that kind of perspective, which I also think is important. I want to, before we get into the final headline, just want to do this little trade idea segment as we're talking through like what what trades you might be thinking about in relation to chat, in relation to clarity. I'll think there's two two to go through. One is by Gamma Chan, Ledge, if you can bring this one. Talking about the second local bottom being in a bull run is the best one to buy. The general concept here is the idea that like, look, if you're catching the falling knife is very hard, catching Bitcoin exactly at 58. It's always hard. You don't know if it's going to go lower, many people are waiting for lower. Now we've gone up. Maybe we pull back a little bit here. Is the thinking?

43:21Well, that feels a little bit easier to buy because you think, well, you know, looking back now, maybe we're at the bottom. None of this is guaranteed by the way, but it feels a little bit easier to buy the second dip. That's the general principle he's trying to articulate here and that if we did have a pullback, he as a smart trader would be trying to reallocate. One of the main things I thought is helpful, which is I've been saying in the in a circle chat quite aggressively, is the thing that Rhino said, which is a very popular trader. If we go below these weeks, I'll be cutting. I do think overall we are in a situation favoring patients heading into Q4. Realistically, though, we've made such tight ranges on majors. There's not much upside down. I'm only longing some parts because invalidation is so tight clear. That's what I've been saying, which is a bit quite at 75. If you look at the chart of last month, it goes from about 76 to about 81 and all like anywhere within there, we're at the bottom of the range. So you can take a position here.

44:21And if you go the wrong way, just cut it. And then who knows where it goes? You actually don't know where it goes. There's a goal all the way back down to 72. Does it bounce? It doesn't matter, but the point is you don't need to know that if you're on a purely short time frame trading environment, whereas, you know, so your downside is super short because you know, you'd cut where you could ride it up to the top of the range or beyond if it decides to kick on beyond that. So purely from an invalidation thing, the bottom of this range looks pretty good to me to be completely honest. That's what I think. Guys, do you have a view on that? I feel like it's super clear here, at least from that perspective. I think I'm comfortable to hold what I have right now. You're not much, you haven't been doing perps as much though, Lege. So what about now? No, but in terms of the course, but positions, I still don't want to do perps. I just don't like the leverage trading too much plus it is super tax inefficient for me. This is why I don't like it. But what I have been doing in a totally before the show is, you know, how it refused to be in the

45:25ZCache trade. I entered the ZCAT trade a week ago. So I'm happy to hold that. So I don't have the appetite to go massive. You know, I'm pretty sure ZCache holder now, right? Exactly. Why my whole ZCache when you can earn ZCache by holding ZCAP, right? Make your money work for you. Make your cuts work for ZCache for your cash. Beautiful. And Brad, what do you think about this set up? You've been on parps with me a lot more in the last few months. We're getting ledgering involved more, but what's your perspective? We are. I mean, like if we're doing astrology, yeah, that's, I agree with you. That's what we are doing. Astrology. Which is valid fare and like, especially in something that doesn't have a fundamental value, I think astrology is especially important. And I think if you're, that's how you're reading it, it's like, that's how you want to do it. Right? You look at an opportunity, you see the trend, okay, like you hold this line, go long. If it cuts below it,

46:26it loses the bottom. You just cut, you go, like, move on. But as with, as we're legendary saying, like right now is a, it's a patient moment thing. You just kind of like, all right, let's see what it does. Don't try to force it to do anything. I think the problem a lot of people have with this stuff is they go, oh, this is definitely the one. And then they get convicted and they get caught in the trade if it actually loses it. Just like have it, yes, stop and get out. Exactly. Be disciplined. Be disciplined. The thing that I was explaining, the reason why I've been able to run up the perper count quite a lot and the thing I'm trying to articulate to people, when we talk about it, I can lose 10 in a row with this kind of thinking because the thing that allowed me to run the count up was being really just been about cutting. And I don't think people put enough value on that. It's like taking the small loss when something moves in the wrong way and not letting it become a big loss, enabled the wins to stack, the losses to be really small. And then the delta between the two is your, is your overall winning. So,

47:29huge, huge learning. I don't think people quite know how many times I cut when it just goes the wrong way. It's like playing poker and folding. You should be actually folding. And this is the way I do, perhaps maybe some people take everything they have, go all in on one thing, ride that one I said, they move the neck. That's not how I do perps. I'm like, I'm playing poker in perps and folding a lot. And then hopefully catching some wins and then the delta is what you take, you take home. So, that's my way of doing it. And checking in with the chat, got a lot of activity here. I've got Whitsang. Trump should launch 10 meme coins immediately. Yes, that's what you should do. Now the clarity is not passed. Not sure that's going to get to the correct objective. WWE says there's been worse tips on any random Tuesday than yesterday's dips. I think that is accurate for the majors. I think the memes got hammered a little bit harder. Man, so I think that is fair. Matthew coming in, always smart investor saying, crack and just launched hyperliquid in the US via payward. Use came out about an hour ago. Interesting. Ledge, can we just pull that up or

48:32have a little look to see what that even means? What does that mean? They launched hyperliquid in the US via crack and so is that like a pseudo takeover or merge of some sort? Very interesting. Very interesting. The upward intends to bring on chain perpetual futures to US clients starting on hyperliquid. Can we pull that up? Ledge, if there's a news article. I'm trying to find a good article on that. Amazing. Thank you. Ledge, Brad, if you found it, just share it with Ledge. I'll just go through the comments while you guys find it. English agreeing with the general kind of idea for perps that we were just sharing. Very clear and validation. Entro, Entro, joining the chat saying, Zek is so strong. Yeah, I mean, Zek's up 5% everything I was holding not bad. Zek at the top of the range, everything else at the bottom of the range. Pretty interesting to see whether significant strength is in this very bullish on Z-cat legendary. You'll be happy to hear. Let's see what else people are saying. Michele saying, don't forget about Bitcoin

49:41cat. I can't keep up with all these cats. It's interesting that it's really a bit of cat cycle this year. No dogs allowed. No dogs invited to this cycle so far. Rizwan saying market looking bullish here. Gosh, things really changing fast in this market, right? People yesterday tearing their hair out. Things are settled. Things are a little bit green looking. Brad, do you want it to come in? Yeah, so I'm reading a little bit of payword stuff. They're just going to be a hip-3 builder. It looks like deploying around markets. My guess is, payword itself, you're unfamiliar with it. They run financial royals since 2011 for clients, 190 countries, follow a lot. It's got all the regulatory clarity stuff. My guess is there's been test net murmurs of hyperliquid doing KYC permissioned markets that they're able to enable. My guess is for someone like this to be able to ramp up their own markets and then be able to know who's trading. If you

50:42have to know who you're trading against, which has been the biggest thing that's been, had people skeptical of people actually going to be able to play with in the US market on hyperliquid. So you're not going to be able to go and play with the liquidity of the BTC market. You can't, because you don't know if North Koreans on the other side of your trade taking your long or short. So you literally can't do that in the US. So what has to happen is you're going to have these entities have to spread up these new markets where you know the people that are opted in to look at the which you know exactly if you're trading against. So it'll be like trading an XYZ pair. But it's a US regular regulated employer. How has the hype price reacted up a little bit up from 70. Where are we? Up from 77 to 79. Is that significant move, maybe, but wow, Zekz. Zekz, he catches pushing even harder. On past, 1200 now, plus 9% on the day,

51:45hype has moved a little bit higher on the back of this news, but not hugely. Okay, I think that's something to digest more. There's like, kid, that's right at the end of the show. Definitely going to digest that more. I think that is pretty huge for hyperliquid and crack and just want to think it through a little bit more. I think shout out to Matthew for bringing that to our attention. Thanks so much, Matt. Always super, super smart, intelligent investor has joined us on the show once as well. It was a great conversation. Right. Before we get to our final headline, just want to do our shout out for our partner today and for the next few months. This is Sway. We're excited to announce an exclusive mobile perps trading partnership with Sway, the best new way to trade narratives on your mobile. Backed by $3,000 every month in trade of rewards for people who sign up with us at the modern market. Details on that in just one second. We've always wanted to find opportunities early and follow the news closely here. We've decided to partner with Sway now because they've

52:48built a new kind of news and trading experience. In one place, you can discover what's happening in the media. Follow emerging narratives, act on your views and win by placing trades on your convictions via an amazing mobile application built on top of hyperliquid. You can connect and use an existing hyperliquid wallet or a sub custodial wallet made available by privy. As part of this partnership, modern market community members who join Sway through the modern market link and use our ref code will be eligible for Sway pro membership and $500 of weekly giveaways plus a bonus of $1,000 for the highest volume most active user at the end of each month. So we're excited to bring our communities together and build a toward a more social way to experience markets where the ideas people share can become the markets they trade. You can sign up here and use our code modern market 3000 legendary will drop the code once again in the YouTube chat and in the Twitter comments. If you're

53:50watching on Spotify or Apple or YouTube later, it will be in the description of the show as well. Shout out to Sway for partnering with us on a multi-month basis really looking forward to kick off this partnership and start to trade narratives on Sway. Shout out to them. Okay, final headline before we close for the day. Bread, we kept saying we're coming to you for the Zuckerberg news, a bit on news, you touched on a little bit earlier. What do we need to know here and what's your thought on maybe placing this in context versus the other frontier labs at the moment? Yeah, I don't know if news is the right term for this, but it's, you know, it's Zuckerberg establishing his position in this AI race as meta is obviously creating a model and pushing forward on stuff. So I'm going to break it down into two different sections and one is going to be as meta has rolled out some of its newer products, what they have done and some of it and those sections is going to be

54:51what Zuckerberg believes in when it comes to developing these things. So the first section is just like what Met has done, especially the news, is they delayed mues for months working on a safety insecurity without asking for other labs to pause first. They use independent evaluators and advisors in several of the areas for evaluation and they committed most of the computer serving people rather than raising a recursive self-improvement. So they were really reflective, they did all the necessary internal steps they think. They were just operating as a good business and something that what they should do to create a better product for their users and for themselves just as a capitalist. And then again, Zuckerberg in this post expressed some just general beliefs of developing in the AI model front and what other labs should do. A few highlights from that is superintelligence should go to individuals, not a few labs or one centralized system. They believe that alignment is a competitive advantage because people won't use agency to ignore them. Legal liability already gives labs a reason to prevent harm. You would think that would be enough incentive to prevent some of these

55:55teams. Each lab should set its own safe pace, none industry rides slow down and then safety comes from a balance of power, not one aligned AI. So now this is just to say like I actually heard a conversation yesterday of comparing a lot of these AI founders to Avengers or Marvel characters because they all kind of have their own personas. And Zuckerberg is kind of this like he's a good guy, can be perceived as kind of bad. If he's like Amade, right, the founder of Anthropic, he's like Thanos, he thinks he's the only one that can save the world. He's just like dude, I'm I'm not to do this crazy shit. But I'm the only one that can do it and it's like this archetype of a person that's actually pretty dangerous. Then you have like obviously, you know, Grock ex, that's Elon Musk, he's Iron Man because like that's even what he wants to be, right, he does the memes with it. Who was the other ones? It was, uh, uh, uh, his old Sam, Sam Altman was like

56:57Loki, right? Because he's like this like the set to be the set to first, but he don't know how full he is. Like he's actually kind of good in some way, but he's like, again, super capitalist, he probably like impacts the people in his immediate circle because he's just like so ruthless with some of this shit, but like I don't know that he's out for like burning humanity down. He's just kind of like this, whatever. But I thought it was a fun like little play on, you know, the different archetypes that are performing and you're right. You said earlier that like Zuck is kind of positioning himself in this void that has existed in this because like almost everyone is just like a bad character, frankly, like kind of like, like we don't know if we can trust these people doing these things and he's just like, yeah, like I hear with his post, he's like, you know what? Like we owe it to ourselves and to our users to build in the open. We need to, you know, give access to this stuff. We need to do the right safety checks. We don't need to have like this universal kumbaya like everyone's fear, whatever. So I'm just like treated appropriately and then move forward. Yeah. This tweet is an adult tweet. It's just it and it makes up the other people seem so immature.

58:01And yeah, immature because I'm a little bit of opposing about having a universal basic income dictated by AI. Like it evaluates us and says like, this is what you're worth. This is what you're going to get. That's the truth. Also, it just implies by by them saying that they need other people to make them safe. It implies that what they're doing is not safe. Like what have you been doing and why are you as the CEO allowing your company to do unsafe things? Like they're just admitting that they're doing incredibly unsafe things or they are incubating that or that they are going at a pace where they are potentially going to create some type of destruction. Whereas obviously as an adult CEO, you're supposed to say, well, no, I'm in charge. Why would that happen under my watch? Like it's not allowed to happen under my watch. We have to be thoughtful. We have to be responsible. We have to be adult about this stuff. And so, and look, to be clear, I don't just talk about either at all. But if you're going to write something, write this as an adult CEO.

59:08Ledge, what do you think? I mean, you've been using all this stuff across the board. I think bread set that up really nicely. What's your view? Well, I think if you're grown up, adult, you write this. Let's get through the social up. And you say, this is coming from Donald Trump, I am the hoax buster. And I'm right now breaking another hoax that AI is going to take over, consume and destroy the world. And the robots will be marching into our cities in getting rid of us all. This is even louder than Russia, Russia, Russia hoax or the global warming scam. Thank you for your attention to this matter. And Trump also said he is the only safety guardrail AI needs that is a smart iiq president and he can provide none for the US. So we don't need Daria with UBI. We don't need this. I'll come back to come out and be the reasonable human here because we have our great hoax buster and AI guardrailing in human flesh protecting us from all the evil that would happen. This is the thing that happens, right? And this is why I think the rest of the year

1:00:08this year is going to be so wild. In fact, even the rest of the whole presidency. In every family, like kids are in the image of their parents. Parents on the image of their parents. Like, if you're an employee, you're in the image of the founder. If you're a company CEO, you're in the image. Like in a way, like everything's in a reflection of the president at the moment. And I just think things are going to like if the president is going to communicate like this, be like this in general, conduct themselves like this. I just think we're going to be in for such crazy stuff. But if you can just like block out that noise and just look at the fundamentals of things, whether it's your equities, whether it's your crypto, like I don't think you need to, well, there's going to be volatility for sure. But I think we're going to be in for something complex to close it out and to ultimately just like tie this segment to a trade, right? The full, like bringing it back to the middle. All right. So we brought up meta earlier. Right? If you think I do think it if Zuck is going to be entering the arena as the like the dependable person or

1:01:15like entering as a personality, we know how impactful it can be to be a personality as opposed to like having a fundamental value, frankly, when it comes to trading. So like if he's going to continuously be the one beating the drum for this stuff and get motion for that and activity for that, you know, some of that is going to trickle down to meta. Now the question is how much and it is at one point, definitely, and like do you really anticipate it to move very much? Like I think it is a good, a good reflection from from legendary earlier to like look, it meta, if they do actually like meaningfully enter this race, it they do become like the SpaceX style bundled offering for something that is, you know, oh, they have that this component. They have the obviously marketing, they've been crushing for the longest of times, right? Which is super valuable. So like they, they, it is an interesting thing. I have now starred meta. It's something I want to continue to watch. But I don't think like right now, it's just like an obvious, oh my god, it's undervalued. If he's

1:02:15going to be entering this arc, one point of the trillion, it's going to take a little bit to move it. But it's time to keep an eye on. I wouldn't enter anything now though because of this. Okay. Hold your good positions. That seems to be one of the takes. And yeah, don't get too stressed. Also good stuff. Not just the memes. All right. So look, FOMC today, that's going to the decision will be at 2 p.m. Eastern time. And I really, really encourage you once again, listen to the conversation, which will definitely be misrepresented in the media after with those kind of fast news headlines that just sometimes even 30 minutes after the talk will present something that was said in a way that wasn't. If you've listened to it yourself, you know what was said. You can just learn so much from the way people communicate and the questions that people ask and the things that they say highly recommend giving it a listen as well. That would be 30 minutes after at 2.30 p.m. Eastern time. So I'll be listening in. Good stuff, guys. I hope you enjoyed the show today. Hope you're set up.

1:03:21Hope you have a wonderful day. We'll be back same time same place tomorrow. Thursday, September, same time, seven AM Eastern time, live on next video, YouTube, and you can catch us on Apple. And Spotify, thank you again to our partners for today. Sway, do sign up with our referral code. MMM 3000, the links are in all the relevant places. We'll be back same time same place tomorrow. See you then. Bye bye.