MARKET UPDATE: Hunter Biden Scams Us, $INTC Rips, Commodities Onchain, Anthropic's Skynet Risk

0:00Avi, AGI is here. This technology is too real. It may end up destroying us as a species. And I'm starting to get a little bit ex-istentially worried about that. But between now and the point when SkyNet decides to terminate us all, I don't see how markets don't melt up. Hello, hello, Jonah. Hello, chat. How are we doing? Jonah, I think you're on mute. You have the AV issues. What's going on? Yeah, it's usually somebody else. This time it's me. We are doing Avi. We're doing good. Listen, I have a question for you. So I was listening to that intro music that I made a while ago. I was thinking with the new retro future 80s, but also 2020s thing we have going on.

1:07Would you like me to compose a different intro, but a variation on the theme for the interview? Segment? And if so, can you opine on what you would want to be different about it? Yeah, I guess we're doing business on the pod now. Maybe we can get some people in the chat to let us know what they're thinking. I mean, yeah, look, I think just channel your inner American psycho. Channel go find the composer who did the music for American Psycho or Wall Street or the big short even and just try to come up with some inspiration and put it in there. While I do love the music, we need to inspire trust. That's really the key. I need to see when you're listening to this music. We do know a little bit about this world of

2:07trading, which can be complicated and difficult. Maybe even something like what would be kind of interesting is like thematically a complicated intro and then a very simple outro. So I mean, can we untangle the mysteries of the market through music for you? I don't know. Let's find out. That's basically Hans Zimmer in his master class on Composite. This is the guy who made the music for like Gladiator and a bunch of other awesome films. A bunch of Christopher Nolan stuff. Basically his music composition, big piece of advice was like question and answer. Like have the music like raise a question and then answer it with the remainder of the music. And so I tried to do that with the composition that's the intro to this. It's like intriguing piano music and then boob like an electro version of the piano music with the same kind of theme and harmonies and whatever and melody. Same notes. Basically you just do

3:11a slightly different order. It's like question and answer. So I'll do that. So basically what you're telling me is like address like piano intro with like some complexity and then electronic resolution. But the electronic resolution should probably be like 80s Wall Street American Psycho, a little bit of Huey Lewis in the news, but also inspiring trust. I'm not really sure about the Huey Lewis in the news part, but the rest of it I'm very much so on board with. And yes, I think that I think that's good. I mean, I look I know very little about music composition for those of you that don't know. Jonah is a phenomenal musician. She played Carnegie Hall when you were like seven or something like that. No, but you played somewhere. I'm touring Italy. Yeah, that's not bad. That's pretty damn cool. And so I'm very excited to see what you come up with. And I think over the coming weeks we're going to be rolling out maybe over the coming months. We'll see. We'll see how long it takes, but we're going to be rolling out a sort of brand update for 1000X, especially heading into the heading into the new year.

4:14This is a start of the new business here, guys. And also the start of the new Jewish year, which coincidentally lines up or maybe not so coincidentally, because who runs businesses. But it's going to be a fun, it's going to be a fun couple of months. I mean, this is when people really lock in. This is when the market tends to come back alive when new opportunities arise. And man, have new opportunities been abound. I mean, since the last time we talked, we've got a ton of moves in the market. Zcash ripping through 1000. We've got VVV going straight to 25 bucks courtesy of this Navier Stokes fiasco that we'll dive into a little bit later. And also, I mean, look at Intel. This is something that I've been obviously bullish on for quite some time. And basically everybody forgot about it when I was trading around $88. I said, don't forget, don't forget that this is a phenomenal company. This is a phenomenal stock. It has great leadership.

5:14It's extremely important to national security. And it's going to have a comeback. And since then, I mean, I'm up about 20% on my position, which is, which is good. I mean, about 300 grand on that, which I'm happy about. So I mean, I want to start by talking about, I mean, did you, if you paid attention, what's happening with Hunter Biden and this laptop coin? Yeah, I mean, Republicans seem better at meme coining and crypto in general, having it benefit them than Democrats do. Like what blew my mind about this dollar sign laptop fiasco was, like during the Biden administration, Elizabeth Warren, creator, anti crypto army sued literally every American company trying to build in crypto and some offshore ones as well via her, like puppet Gary Gensler. And it cost them, right? Like crypto, anti crypto isn't a popular issue. It's not an, like people have bags that got hurt as a result of that. And it contributed to Democrat loss.

6:17It's not going to say it was the sole contributor. It was a combination of things that hurt them during the last cycle, but like being anti crypto hurt them. Now you have Hunter Biden kind of a, you know, a democratic talking head coming out with a meme coin trying to do a Trump. And it doesn't even pump. It just like, it just crashed straight into the terrain. I don't know what the heck happened there, but to me, it's just like, it's kind of like they sold low and bought high and other selling low again. It's, it's sort of pathetic to me. It's like, come up with a coherent policy as a group and just run with it through, through thick and through thin don't, don't like attack crypto when it's unpopular to do so. And then launch a meme coin and scam a bunch of people when it's unpopular to do so. Like what's going on there, Abby? It's totally nuts. I mean, I want to start by saying this meme coins never have staying power. And so when you have somebody like Trump or

7:17Melania or Biden, Hunter Biden, launch a meme coin, what they're explicitly telling you is that we are going to extract money for you. I mean, if the president of the United States with all the levers that he has to pull cannot maintain a high valuation for their meme coin. I mean, I don't know what it's trading at, but it's less than $10 billion, which is totally nuts. In my personal opinion, for a meme coin associated with the president of the United States, these things are extremely unlikely to have any sort of staying power. I mean, basically the only tokens that have any sort of of staying power are the ones that are going to be generating revenue. Attention is not enough. I mean, even Ansem who has every single person in crypto pays attention to this guy. He can't support a meme coin. Right. And so what that tells you is that this is just pure grift. Now, maybe, I mean, look, I'm willing to be wrong. If we can get Hunter Biden on the podcast to talk about this, that would be great. I'm happy to have that conversation. But the main problem here

8:20is that it casts a bad light on our entire industry when people realize that crypto can be a tool solely for extraction. Now, it's fun. It's gambling. It's great. You know, have a blast if you were able to come up with some sort of strategy to go trade this laptop launch. By all means, it was a place to make money. If you were a sniper, if you were smart, if you were a caught, and for your average person, this is just going to put a bad taste in the mouth. And the reason that I say it's going to put a bad taste in the mouth is because when you have people like Trump and Hunter Biden launching a coin, it's very different from an Ansem. Ansem is launching a coin. And basically the only people that are going to hear about this are the people that are already in crypto. Most of these guys already know the game. They understand what they're getting into. They know that it's a gamble. But it's very possible that Hunter brought in new market participants. Like when Kanye launches going, probably bringing in new market disciplines when Trump launches is going to bring in new market participants. And if their first experience with crypto is effectively that they're getting

9:23farmed for liquidity, that puts a bad taste in everybody's mouth. And that makes it harder for any of the cryptos to succeed because once you get burned on something once, it's very hard to come back and put your money back in the same thing. And you feel like an idiot. And so this is just terrible for the industry in general. While I do think it is quite funny that he's you call it laptop. I mean, that's, you know, I have to give it to him. He has a very funny Twitter. He seems like a funny guy. Although we all know that the copy that he's posting about this coin is not a chance from him. It is, you know, it's it's it's at least entertaining, which I'll give it to him. At least he's an enter, he's an entertaining guy. But all in, I mean, this is something that you probably just stay away from now. I do think like if you go take a look at the chart, right? If you go look it, if you go look at laptop, things trading at a 630 mill valuation came out at a 1.5 bill,

10:23immediately crashed, had a little bit of a bounce. I do think that if you hold these levels, for some period of time, let's say like two, three days, we don't go below that 500 mill mark. It's probably worth like just a pure, pure trade on technicals and flows. Looks like there could be a trade there. So set your set your alerts. Make sure to check back in next next Monday. And basically if it's still trading above 500 and below like 600, I think that 650 like take a maybe maybe I'll go take a punt on it and I'll let you guys know what I'm doing. I'll go tweet about that. But I mean other than that, like I think the craziest part is like when you look at the liquidity, there's like no liquidity on this thing. Why not just short it till it goes to zero. Yeah, because it could pump in your face. Like I would much rather short, like if it doubles, I'm short that, right? I'm not like I don't want to short it here because you could go back to

11:241.5 fill. Like if we do, the thing is a very good trader once told me, if you're bearish, you don't have to be short. And if you're bullish, you don't have to be long. You can wait for the trade to present itself. So while I am bearish on this coin, the best form of the trade would be you know, wait for this thing to have some sort of relief rally. You get above a billion. You short it. It's probably not going to two billion. It's probably not going to three billion. You can size it properly so that if it does, you just double down there. But I mean, look, my take on this is you sort of just have to wait for trades to present themselves, especially in the world of meme coins just because they're so volatile. You have to get yourself on the right side. I mean to me, I couldn't agree more. I tend to wait for long trades to present themselves. Like I like to, you know, I'm not always first to a theme or an idea of it, you know, when there's a dip to buy, I like to be there, especially after it's already bottomed out and started to rally. That's

12:27sort of my sweet spot as an investor trying to jump in at ride waves. I don't usually like catching falling knives. And for the same reason, it's probably hard to like set some limit offers out there on laptop and wait to get lifted. It might spike 50% above your level before it comes back down. Probably want to wait for it to top out and then start tanking again because you know no matter what Hunter Biden is saying, he's absolutely putting money into side wallets and selling like crazy. Like to me, launching a meme coin is kind of what you do when you're like, you've run out of other options, right? Like it's sort of the last thing that you do. If you launch a meme coin attached to yourself or to something in your sort of orbit like Hunter in his laptop, if you're branding a meme coin around your own personal image or your livelihood and you're actually like shilling it actively as some sort of community coins and sort of SPX 6900 community movement, like you're

13:31washed up. It's over for you. And so, you know, like Hunter Biden is an actual crack head, right? He's not somebody that you should trust when he goes on the tape and says, Hey, I'm going to be a good steward of your money. I'm not going to rug you. Like this dude, this dude like basically had relations with his recently to, or maybe still live brother's wife. He everything on that laptop is Sodom and Gamora. He's definitely going to take your money without any qualms about it. Like just whoever, whoever's buying this thing is crazy. They probably are realizing it if they haven't already. And any pump is to be sold with like maximum velocity in my opinion. This is this is like the ultimate uh clown world asset. 100%. I mean, if you guys remember, do you guys remember the barisma scandal? Anybody out there where he was taking money from a Ukrainian energy company. And look,

14:36it actually pales in comparison to whatever the hell the Trump family does. I mean, now that's truly generational grift. So I can't really blame him that much. It's just what politicians do. I mean, you have mananty policy making tens of millions of dollars off of options trading, probably looking at insider information. And then you have the Trump family just extracting as much money as they possibly can likely going back and forth trading all sorts of things like oil and energy codes while they're dictating the markets. But this to me is just such a blatant and grift and also executed quite poorly. I mean, look, the price of laptop is $600 right now. I mean, you know that it's there's a unit price bias in crypto, right? Like the smaller the actual amount per coin, the better it does. I mean, you should have launched it. So it would be like half of a cent at a billion dollars, not a thousand dollars. I mean, this guy's not only stoop. I mean, not only in in competent, he's corrupt. But you know, all that all that aside, it is this kind of thing that

15:41makes crypto fun in some ways, right? It's the fact that it's the only industry that incentivizes people like Biden, like Trump to get in, play around because this is where all this is this is where it happens, man, this is this is this is why we stream, which I am I am I am a cognizant of that if this wasn't if we weren't able to do this in crypto, then like what the hell even is crypto. It's the fact that it is the freest market in the world, Jonah. Yeah, I guess we can't really moan about meme coins when the whole reason why crypto exists is to allow everybody to access any type of exposure, right? And they're, you know, obviously the bad is that you have like, you know, world's most famous crackhead making crackhead coin. The good is that, you know, I'm optimistic like the reason why I got into crypto is because I was sort of hopeful that commodities would come on chain that the illiquid smoke filled back room where deals get done that

16:45control the world's price of oil that dictate the price of everybody's energy, you know, that there's just this layer of extraction and margin and drift and that getting gobbled by, you know, basically a few British guys who trade North Sea crude like it bothered me. I'd like to see those diffs that all and transparently on chain and I've everybody be able to trade them instead of just like a handful of companies between foreign 430 PM London time often in collusion, right? So to me, that's sort of what I was hoping for with commodities on chain and I think it'll eventually happen. Well, by the way, it is happening. I mean, you're seeing this. So actually a great, a great piece of data that went around recently. So one of the things that people often look at in order to figure out whether the top of the market has arrived or not is whether open interest and alt coins exceeds open interest in Bitcoin because that's, but that basically says to people, hey, there's a ton of speculation in this market. If people move over from trading the majors to really pouring all their money and alt coins, maybe we're too far out on our skis on the risk curve. And so there's this website

17:50Gold Coinalize, which a lot of people were retweeting this saying, okay, now we finally reached that point. We've reached that point where all coin open interest is above Bitcoin open interest. Maybe it's time to be a little bit nervous. Now what they missed is that coinalize in the other bucket, which is the chart that was going around. It was charting Bitcoin open interest versus others was actually contained equity perps as well. And so what was happening more than people moving over their assets into alt coins was that people are actively trading equities on chain now in a way that hasn't really happened before. Cardiacy of lighter and hyperlipic. And so you do need to really pay attention to this sector. This is why I'm so bullish on lighter. This is why I'm so bullish on hyperlipic. These are, this is the future of trading. In many ways, this 24, 7 market. This is how we get that, right? And NASDAQ is going to be way too far behind. The traditional market where this bins are going to be too far behind. And I think a lot of volume is going to move over to lighter and hyperlipic, which is why even though right now, which we'll get into,

18:53I'm not as constructive on Bitcoin mainly due to its failures to break 80k and just that the stalling that's happening here. I am still bullish on hyperlipic with and lighter. And I think that it is what you're saying it is happening. I think commodities are not as they're not as traded right now because they're not as interesting to people. But you bet your ass that if we start seeing gold rip again, if we see gold break 5k, if we see any sort of movement in the Iran war that has oil trading above $100 a barrel, you're probably going to see crypto people, especially if crypto is a little bit boring, which it has been for the last few days, two days, which feels like an eternity in this market. You're going to see people trading that. I'd like to see new commodities trading on chains. Like I'd like to see some sort of consolidated price at the pump or maybe, by state, California gasoline, New Jersey gasoline, you should be able to trade all of that on hyperlipic and lighter too. I think it'll be there one day. Polly markets cool, but the fact that

19:56there's a settlement is kind of bad to me. I think these are, these commodities really lend themselves well to perps, as well as calendar futures if you want the hedgers to get on there and trade what their actual exposure is, swaps, etc. So with a little bit of regulatory clarity, I think it'd be super cool to have actual commodities, you know, jet fuel. You can hedge your airline flights or lock in airline ticket pricing. You know, I had a time, I think it'd be super cool to do that on chain. I think that's sort of, you know, maybe entirely new categories of commodities arise, like rice or, you know, certain crops, I think it'd be super cool, but I guess we're just not there yet. We will be soon. You sort of need delivery mechanisms and you need exchanges that are entrepreneurial. I think ice and nimex, which are the two big commodities exchanges in America. They are so bad at launching new products. They're still just writing the co-tails of these benchmarks that were established decades ago. Like, you know, wheat, corn,

21:00WTI, bread, Henry Hub, natural gas, those commodities that I just alluded to aren't the only commodities out there. Like, there's tremendous demand for new commodities, but market structure doesn't lend itself very well to like a couple of old school guys in a super bureaucratic layered organization in Atlanta. That's ice, just sort of like, or CME in Chicago, which owns nimex, which used to be in New York. Like, those sorts of bureaucracies don't innovate quickly. Actually, ironically enough, the most interesting attempt at commodities trading platforms that I've seen recently was FTX. Like, before Sam took the whole thing down via the Alameda backroom dealing that was going on, FTX was actually like, innovating really quickly on the tradeables front and listing a bunch of stuff. I remember there was like, active lumber trading during that crisis.

22:00So basically, my point here is that it's not just a retail thing. It's not just like, oh, let's create a way for DGENZ to gamble on commodities. I think there's a lot of institutional demand to lay off risk and speculate at scale on a lot of commodities that are just being very poorly served by the major commodities exchanges. And furthermore, you know, like types of crude oil, I think, you know, dated Brent benefits the few at the expense of basically the many, everybody else on earth, other than, you know, the shareholders of a couple of big trading companies. Like, why shouldn't, why should it be that the world's benchmarks, WTI and Brent, cumulatively represent like 20 basis points of global physical oil consumption? Like, there should be a Nigerian differential. There should be a, you know, Indonesian Petronas or Malaysian Petronas differential. It should, there should be Saudi dips if they want them listed. It should all be, should all be live and tradable on chain.

23:01I think that would be super interesting. But I guess I'm kind of just pontificating and philosophizing here. Well, that's, that's what we do. It's kind of fun. I will say that I really do miss FTX. I mean, for all of their faults, they were an extremely innovative exchange. And they were just the number one in terms of pushing out new products when other exchanges find it quite difficult to. And that takes, it takes skill, it takes a tremendous amount of outer oil and stimulants apparently. But most importantly, it takes vision. So, you know, I do, I do give Sam his props, despite scamming a ton of people. That was great. Now, I do want to mention a few other things there in what you said, because I don't know if I agree with everything. No, no, number one is when it comes to new products, it definitely is valuable to launch new products. But you have to generate interest and liquidity for them, right? And so the question is like, if you're just going to have institutional interest in these types of products, then why isn't ice launching them? Why, why are they not launched? And I think it's because a lot of these products don't exist because there isn't institutional interest in them, because people don't actually

24:02want to want to go trade them. And so there's obviously in the world of, in the world of crypto, there are a ton of people that are willing to speculate on a ton of different types of products. But I think it's going to be hard to get them to speculate on like the very niche stuff that you've mentioned, because the reason that people speculate in crypto is often because there is no edge, right? You go punta meme coin, you go punta z cash, you go punta all these things because you think that you can generate just as much edge as anyone else by reading public information and really not thinking too hard about it. When it comes to all these other types of products, like a Nigerian differential, you're going to look at that and you're going to say, there's no chance I'm touching this. There's somebody much smarter out there that's going to be able to figure that out. And I actually have literally no way to generate edge. Therefore, I'll probably not going to not going to speculate on it. Whereas for the big products like oil, like Brent, like Brent specifically, you can kind of say, well, Brent is very basically tied to my view on what's happening in Iran. And I think I can generate a view on Iran that is different from the market. And therefore,

25:03I can bet on it because it's not that's complicated, right? Like that is the main driver right now. And so that's why people are willing to speculate on it. So I don't necessarily think that crypto is going to be a place for like super niche products in a way that the traditional markets aren't. But I do think it is going to bring a ton of liquidity to the big commodities in a way that doesn't already, that doesn't happen right now. The only other thing that I'll say on this topic is that dated futures are the product for physical manufacturers, right? Like a perpetual doesn't, like if you know that your harvest for wheat is in August, you're going to sell August futures on a wheat on like your wheat product to lock in whatever price is trading at the moment. And you know that it expires when you collect your physical so that you can close out that trade. And perpetuals obviously don't have that dynamic. You actually don't know your cost a

26:05pre-ory because it can change pretty radically heading into that date. And so there's no way to lock in the price in the in the same way that you can on a on a dated future. And so I do think that it's it's less important for these institutional guys to be trading on perpetuals. It's really at the end of the day onboarding a new class of speculators and liquidity is really important. If we can get every if we can get every single sports better in the world to go trade commodities contracts or equity contracts and increase liquidity in the market, that's actually better in my personal opinion. But that's better for the world than having liquidity for you know whether the jets are going to win. Which should be zero by the way like that liquidity which should be completely. Yeah, I mean I had a couple a couple of takes on what you said. I think this is a really important conversation to have because it's kind of the future of crypto right. So basically the reason why ice and nimex are so bad at launching new products is not because I think it's not exactly

27:07why you said it was like you were saying what was your argument it was like in stuff there's that there's no demand for it. No, that's not true. So basically take something like gasoline right if if I'm a refinery and there's this like gasoline futures are pretty popular. So maybe that's a bad example. Let's take like jet fuel. If there's this raging bonfire trading going on on jet fuel between like retail like some jet fuel part on hyperliquid like retail de jens are just going crazy trading this thing. Hedgers will come in and hedge and speculators will come in and speculate. Basically the thing is like whenever you know that jet fuel swaps are tradable they're kind of exchange listed sort of people do OTC block trades with each other but it's basically big and they're like the institutional community of interest and that isn't big enough for it to generate like a really big flourishing active market. But I do think that if you had a perp with retail interest or a series of dated futures with retail interest that would sort of add the like that would add

28:12extra liquidity that would that would bring in more institutional interest and make it a more interesting product than if you only get it so that it's institutions and nobody else which is kind of how these big exchanges work like if you were me want to onboard our PA to the ice to trade a jet fuel swap and the minimum size is a gazillion dollars and there's like an mountain of paperwork and margin and all this other stuff. It's just it just doesn't work. Meanwhile crypto has this like seamless onboarding process that allows people to just start gambling right away. So I'm saying you kind of have to merge the two worlds to create an interesting market and then for markets like the Nigeria and crude oil differential that I mentioned you're absolutely right. You're not going to have a raging retail degen gambling community punting that around or maybe you would in Nigeria but let's assume that you probably don't right and AMM is a way better settlement mechanism for a differential to a liquid benchmark than what's currently like a phone call and fax machine and like teletron tell ex I don't even know how they do the the North Sea window or

29:17the Nigerian window but it's basically like a few guys haggling with each other on some sort of like basically 1970s technology right that's not inclusive. There are many more people who need to hedge those dips many more refineries who are interested than the window allows to participate. So I do think like an AMM would be a better settlement mechanism for that a perp would be a better gambling mechanism for jet fuel and then in terms of you know if you're commodity producer consumer there are many financially settled things that best match your cash flows like a swap that's not physically settled oil comes out of the ground every day so a producer will hedge with a swap because they swap settles daily it literally provides it prices out each day at every at a daily settled time over the course of the month for physically delivered stuff that's actually becoming less and less relevant as the hubs become less and less relevant and the commodities community becomes more and more global like for WTI if it was just a sort of pad three meaning like sort of

30:20south and midwest type market then yeah cushing a storage hub and cushing Oklahoma with a bunch of storage tangs is like a very useful physical transmit location into which you deliver product and out of which you draw it but like that's kind of not that relevant anymore these are global benchmarks so I actually think that perps and swaps on perps are probably better than like physically settled futures at this point even though you probably need physically settled futures to avoid market manipulation but the point that I'm trying to make is that like just to sum it up crypto is the best place in the world to spin up a new market and attract interest and I think if you light the fire with the huge logs which is what ice and vatniks try to do the fire never starts if you try to light the fire with kindling and gasoline which is kind of what crypto is that's a great way to get something started then you need to throw the logs on which hasn't really happened yet in crypto but I I hope it does I hope institutions the logs like pile on to the fires that that we're seeing ignited in these sort of nascent venues like hyperlipid

31:27and lighter very cool stuff they're building there yeah there's one thing that stood out to me that I think I'm actually I haven't really thought about before which is that if you do have access to trade markets you can get a whole new set of participants in so for example with the Nigerian differential like if you have people working in that world in Nigeria right now it's quite difficult for them to go express that view or whatever view that they have it's quite difficult for them to express and so in the future what you might see is you might see people that work in specific worlds that work in specific areas that are now because of crypto because of the access to markets able to express their views and able to put money where their mouth is in a way that you've never really had before like I was actually just talking to a guy recently that worked at a Lockheed skunk works and I'm sure he's not able to actually speculate on the on the stuff that he's specifically doing but he was a procure so he would actually go and go out there and buy

32:32specific things from companies for the new planes or for the new assets that Lockheed was Lockheed was generating and so there's a there's a world in which somebody like that if there's market for some sort of laser tool that uses a ton of components that he knows that we're going to need to massively increase the amount purchased on that he's able to actually buy up maybe a niche commodity that is used in that manufacturing process and that actually they're no insider trading laws for that and he might be able to express that view and that might draw in people in so I mean there might be an argument there that crypto increases access right it makes it easier for you to speculate on these things you can sign up with like three three clicks of a button it reaches people that it wouldn't necessarily reach before and it convinces them to come into the market and therefore we get new information expressed in the market that we wouldn't necessarily get otherwise which then leads us to the conclusion that we might be able to launch new products because that new information has somewhere to go right and so that I think maybe is a steel man argument for

33:36uh for for for you but I mean look regardless of any of this like the niches the the niche ways that this this might play out I think we both agree that this type of investment and this type of trading is the future and it's the future for a variety of different reasons not only the technological advancement but the deep desire that individuals now have to speculate and gamble is never going away and it's never going away because of the fears about AI because of the fears about the economy because of the stagnate in in people's minds a stagnation of their wage growth which isn't actually happening that that's a crucial point but it people do fear it now and so there's this tremendous desire to escape the quote-unquote permanent underclass and that is only going to grow and it's only going to grow in one big reason Jonah because the markets are going to continue to do so extremely well like if you project out three to five years in the future it's very

34:39possible Nasdaq doubles that's the S&P doubles the rich continue to get richer and leave and leave behind from a net worth perspective the people that aren't invested in the market I tweeted out recently that it is a national security issue to and to get people to invest in the market and that's why meme coins might be good and that's why crypto might be good because it provides an incentive mechanism to put their capital to work now this sounds crazy but it might genuinely be that somebody's first investment I was talking to say on or say of a a FOMO last week on Friday and he was saying that sometimes the people that are buying meme coins it is quite literally their first financial investment and so while they might lose money on it it opens the door to actually investing responsibly if you buy a meme coin and it goes to zero I'm not going to pretend to get in the head of people that do that but I'm going to try and say that it's likely that you're probably not going to swear off investing in totality you might say wow that was really stupid of

35:42me to go put my money to work at meme coins maybe I should go invest in something safe right as opposed to not invest at all and that's really what we're trying to get people to do is in order to make in order to escape the permanent underclass you have to be invested in the market now because we are on the cusp of technological revolution because the world is about to change you have to put your capital to work because companies are going to be more profitable than ever and if you are not invested in those companies you are not participating in the upside of the American dream anymore that's the whole reason why Trump launches the Trump accounts puts a thousand dollars in every baby's basket you're now invested in the S&P that's your savings account that's the way that you escape you need to have a piece of the pie because before what would happen is wages would be the way that companies would distribute their profits that would that sustain the American public for a long time if companies made more money you would make one money

36:42the actual problem is that companies are making so much money that they can't increase your wage because you're actually not even providing that much to you're not providing nearly that much value to the company so they can't increase your wages but how do you get around that you buy in I actually worked when I graduated university I worked at capital one and one of the things that was really interesting about capital I worked there for like two months before this thing called Iota 10x and I was a really big Iota fan because I was a total idiot back then I thought it was going to change the world silly me it did change my portfolio 10x and I suddenly had a you know few hundred grand in my bank and I was like look it's time for me to quit and do this crypto thing full time and I actually quit literally a week before Bitcoin top so that was just know that whenever I um decide to step away or quit something that is almost always the top it's happened a lot now capital one to go to to run a back I'm doing the weave doing the doing a little Trump weave to bring it back to capital one they actually as part of their employee compensation

37:49program allowed you to buy their stock at a 15% discount to the current trading price it was literally free money obviously you can sell it for a year it vusted but every every two weeks you could put your paycheck to buying the stock at a 15% discount and one of the reasons that they did this is articulated to us is that they wanted people to be one aligned with the company and to not feel bad if the company did extremely well and they didn't participate in the upside right very few public companies do this I think a lot more public companies should that would be a great way to get people aligned with them um you know that this type of stock purchase program I do think a few like they're obviously are a lot of companies to do it but basically every company in America should be doing this every public company in America should be doing this and this is they they were early to that sort of idea of you need the people invest it in the economy because it's very possible that we have a breakaway in the next 10 to 15 years and if you're not if you're not invested you're

38:51totally yeah I mean no I agree with you I think I think that that's what's been so painful politically for so many people on both the right and the left is the this the goal posts have moved right it's got we've gone from a world where it's like a penny safe is a penny earned you should go to college um like try to get a pension your company like earning is the path to wealth to escape velocity to like LOL your college degree doesn't matter you cannot earn your way out of the income bracket that you're in unless you get really lucky you get a really amazing job it's super hard to get but for most people it's like the median job is not gonna do what it did for the boomer generation which is buy a house in the hills that the real estate 10X is you can retire right like that's just so not a possibility for anybody from like younger Gen X on down that you know

39:52everybody's super pissed off so I think the way you know the way to navigate this is definitely it was a seminal moment when Trump did the you know what's it called again with a thousand dollars in the equity market the Trump account yeah the Trump accounts that was a seminal moment not because he did it but because what it telegraphed the sort of layer of the onion below the the top layer was like hey cash is trash like in case it wasn't already obvious to you your new mechanism for for like for just keeping the keeping your purchasing power somewhat the same is the S&P which is pretty wild because the S&P appreciates like 10 plus percent per year that's kind of what you need to do just to preserve purchasing power that CPI number is not real that is not if you if you think that you know investing in T-Bills is going to protect your purchasing power you are mistaken especially at the higher ends of the the sort of like purchasing spectrum maybe in an outburger

40:55costs 3% more this year than it did the last year but it feels like everything is is there inflation in an out as well a little bit not much it's pretty cheap still yeah good if you want the double double animal style which I don't do anymore it's not kosher sort of like that's probably go inflating a little faster than just your average burger need list to say um you do need to you do need to have your money in the markets it is a national security issue people will go fricking insane if their wealth keeps getting teapaced at the rate that it's been getting teapaced and I honestly think from the perspective of new markets and new gambling opportunities mean coins are you know obviously we've expressed our opinions it's the wrong vehicle I do think that these crypto exchanges like hyperliquid and lighter are important token stone I don't know lighter tokenomics but just hyperliquid you got to own some of that because what what hyperliquid is doing is basically throwing spaghetti at the wall or maybe curating spaghetti and then throwing the curated noodles at the wall because like unlike the ice in the

41:57nimex which have to do a whole song and a dance to launch a new product that almost inevitably will fail because these companies are just milking decades old benchmarks that are never going away hyperliquid it has to be a little more ambitious and hungry and so they're going to constate you know kalshi hyperliquid these companies just throw stuff up there and if something doesn't stick that's fine but like a lot of stuff is sticking obvious and that's what's so important like you you have to find some sort of investible asset class it's never been easier to use AI to back test a strategy or to identify some class of things where if you just apply a basic set of rules and get long them you generate decorrelated returns and excess of the s&p 500 I do not think that throwing darts with a blindfold on is going to work you have to have a process which is what we emphasize on this podcast but like what you know what's an example I'm not going to give you my process but like what's an example you could basically identify it anomaly whereby anytime any

43:02sports team it's kalshi trades at x discount to vagus odds just buy it and do that at scale in a diversified way you can write yourself a bot in fabular astra that does it for you click bot crop bot can do it for you if you just do it consistently um you know if you will perform according to your back test so if you identify a back test that looks profitable or smooth you can probably just deploy capital consistently and earn money that way unfortunately it's not as easy as just doing what you did with iota and being like well just just like writing it up it is actually by the way it is something that everyone should be looking at and that i'm starting to do a lot more of which is it is so much easier to be a quant that it's ever been before i mean you can literally just hook up astra now to your accounts and just basically use use art you can use your terminal thousand x terminal to figure out you know where strategies might lie because it does it a lot of

44:02you can do a lot of quantitative analysis for you but then once you've done that analysis you can automate it using astra or using using it scaffolding like an army's agent or or open router and it's easier than ever to be a quant and try to figure out these strategies and i highly suggest people poke around with it i mean like set up something even as simple as like buy you know like find find find a meme find a meme coin the trades download its price history figure out what hours of the day seem it seems to have a bid in one hours of the day it seems to have a lot of supply and then just set up a really simple strategy to go buy and sell during those strong hours and short during that during the week hours and like put in like 20 bucks see how it goes for a month and then re up the strategy if it's if it's working i mean this this kind of stuff is now literally easier than ever i mean another great place to do would be to hook up to pair protocol because you can do all these really easy like rebalancing pair trades i've been using that and and i love it but it is now sort of a golden age of being a trader in many ways but it did i did also promise

45:10a big a bitcoin update to to our loyal followers and unfortunately for you my bitcoin update is i don't know it's kind of looking kind of looking sketchy out there i mean what i said before as i was kind of i was always nervous about the a i trade coming back and that siphoning flows from btc intel is up 20% over the last 10 days sandasca's up the same you're starting to see flows come back into the a i trade big points at the highs of 80 and i'm like like i probably need to reduce crypto exposure i mean i bought intel like i told you guys on the stream a while ago but i might need to re up buy some dram sell out of my hood which has done extremely well so like reallocate a little bit more now to the a i trade especially as people aren't really thinking about it and now that we have astra out i mean i this is like truly a revolutionary model i'm just doubling down on that idea that not enough people are thinking about the a i trade and you should probably trim down your crypto exposure and move back a little bit to intel sandasca i mean in in in

46:14in video maybe a little bit if you're interested in being a loser and making like 3% whenever it makes 40 because they're along the they're along the memory stocks just kidding but i am i am a little bit more nervous short term short term short term you're nervous in what specifically yeah you know like look maybe maybe you maybe you just run the due trade which is sell rochashana buy back after you keep or because you know everyone's going to be taken that every market participants going to be taken the next week off but it is it is something like i do think that the probability of trading back down below 70k is quite high right now and we are seeing we saw a lot of froth in the market right the hundred-biden laptop going robin hood chain totally popping off and now coming coming down i do think that it's probably smart to reduce your crypto exposure now instead of waiting for later when when we've already sold off time i i'm going to be rebying sub 70

47:16but until then i'm i'm going to be reducing reducing reducing reducing buying intel buying sandas buying dram and yeah also also reallocating to my reallocating to my to my biotech guys until went up 20% like that's pretty good that's pretty good these man these people in the chat they're brutal this pod used to be called a thousand x command guys recommending intel for five percent gains lol it's like if you can compound five five percent here there over the course of a year you can one to two extra money or sorry two to three extra money 100 to 200 percent returns like give me a break so do you think i will really underestimate the effects of compounding i mean look uh there's uh there there's there's a tweet that i saw the other day that's like i forget who was referencing maybe who's referencing face 16z is like this guy sits in cash for seven months and then doubles his portfolio in that in in a month and then like goes back to setting in cash

48:16like you can do that you can you can try to do that or you can just consistently look for small wins and those really stack up over time and if you're calling 20% a small win these days like i don't know your brain is totally fried but i do think that that is you can't you have to have respect for the dollar jona like you got to appreciate it and one way to really win and outperform your peers is to have patience you don't always have to hit the two x in a week you don't always have to hit the thousand x you have to consistently win over time actually crystallize those wins and then move on to the next move on to the next rate and i think like the win like the the crypto the easy crypto trade is in peril right now and so if you haven't taken profits if you haven't trimmed a little bit if you were one of those lucky people that managed to buy to buy the lows like now is a great time to go trim bit uh yeah that's just just just my two cents

49:23yeah no i think it's i think it's great so i guess as we ponder you know it's funny we started the podcast talking about what it takes to make music and i'm gonna bring this all the way all the way back in with the weave here you know it used to take me like 24 to 48 hours to throw together a grade track of like concentrated music making in ableton astra can coordinate the you know in ableton in the in the actual digital audio workstation and you could probably craft you know there's obviously like make a track with a prompt that happens in three seconds but like i'm talking if you actually want to build a track and have control over the knobs you can probably squelch that what for me would take 48 hours or maybe it would take like dead mouse two hours you could probably squelch that down into one hour for even an amissar right with actual control over the levers um that scaled across every possible discipline within the endeavor of human work

50:31to me feels like translates back into the markets in the form of like a crazy parabolic acceleration i think we're going to see tremendous price increases across the board not everything but in a lot of things i don't think we're gonna thousand x the way that like scammy meme coins did in 2017 and again in 2021 and maybe for 10 seconds in 2023 um where like slurph and popcat are getting people the few people rich i i think i don't forget boating jona that was your big win that was my that was my trend forget that was my trench warrior moment i i think we're gonna like the a i traded the sand disc the physical memory stocks now to be fair with physical memory right now the markets actually cooling off a little bit some of the consumers are like this is literally just too expensive i can't patent on to the consumer or stomach it anymore i'm gonna take a breather and wait for some supply to come online so memories not one of those things that can just go to infinity but there are other

51:34bottlenecks they call them bottleneck bros on x like there are other bottlenecks as a result of this a i trade that probably will thousand x your money and um it won't just be like a set it and forget it thing you'll have to keep rotating from one trade to the next but this like Avi a g i is here this this technology is too real it it may end up destroying us as a species but like and i'm starting to get like a little bit ex-extentially worried about that but between now and the point when sky net decides to terminate us all like i don't see how markets don't melt up this is the most this is this is the most bullish technology the most bullish productivity bullish output bullish gdp like extraordinary phenomenon i've ever seen in my life's time and if i can like you know bedroom producer style make tracks in one forty eight the time it used to take me and do work faster and

52:36self-loyer and all the other stuff like i just don't see how a group of eight billion agents called humanity that have been communicating with each other like dial up modem speeds and then suddenly we unlock the t one line you know of interconnection across everybody on earth like how that doesn't just accelerate price action across every endeavor that passes value back to stakeholders so that would be you know like hyperliquid doing token buybacks equities literally anything except bots 100% i mean as you heard you heard it here first sky net's coming for us all all right Jonah i unfortunately i got i got to wrap it up here but we're going to be streaming so two things don't forget to like and subscribe really helps us out just like click that subscribe button if you're listening on youtube if you're listening here live with us go to youtube click that button really helpful and we're going to be back on friday we're actually going to be

53:39talking with g-money on friday and a little piece of fun information i don't know if you guys know who dasha is we just confirmed her for the pod the next few weeks she's the one the interview Nick Fuentes and has a meme coin that is a ridiculous meme coin she somehow wants to she would she i asked her to come on the pod she said yes so we're gonna have a little bit of fun with that one nice well right good talking to you Abby have a good one take care so nothing said on the thousand x podcast is a recommendation to buy or sell any investments or products this podcast is for informational purposes only and the views expressed by anyone on the show are solely their opinions not financial advice or necessarily the views of one kx media our hosts guests and the one kx team may hold positions in the company's funds

54:42or projects discussed