Climaxed kaiser, this is the kaiser report. Have we hit peak bitcoin . That is a good question because you know more and more billionaires around the world are getting into big coin and massive sort of Asset ManagementCompanies Like black rock are getting into big quine. So max keiser this week, you tweeted a serious big question is developing a supply on exchange, dries up prices will start gapping higher looking for sellers. What do you mean by this max kaiser . Well remember the old peak oil or peak gold arguments that were running out of oil or running out of gold. That of course, is not true, but in the case of bitcoin, because it is absolutely scarce then because the demand is approaching infinity, we are potentially hitting peak bitcoin, where it will become increasingly impossible for the average mom and pop to acquire bitcoin. Because all the 900. 00 coins per day that are generated through mining will be sucked up by the institutions that will never hit the market. And of course, what does hit the market every single day is new, fresh printed dollars, new fresh printed euros. I believe it was Christine Legarde over there at the e. C. B. In the past week. She said they will never run out of your eyes that they could print. So theyre printing printing printing. And in the meantime, we have these major billionaire investors. Weve covered almost all of them entering the big question space, calmly, fomalhaut willing as we call it. So theyre removing their big question from the exchanges. Unlike in 2017, when it was a bunch of Retail Investors around the world who panic bought and then panic sold, you know, these guys are, you know, steady calm, just gobbling out all the big kind they can get and removing it to their hard wallets, their own under their own control, right . Still waters run deep. And what were seeing on the exchanges, all the major exchanges is that their inventory of coin that they keep on hand to make markets is disappearing. Theyre running out of coins and very few coins are coming into the market and just the 4 biggest institutional buyers, including cash and Digital Currency group, and a couple of others. Their daily demand is almost 3000. 00 coins. They only have 3900. 00 per day are being created. Theres outstripping demand to supply already 3 to one thats going to go 2121211021, then it doesnt really make any difference because you just wont be able to get any years and years ago. Here on keiser report, we reported that big question would displace gold that is turning out to be true. You see it in the numbers. You see people selling gold e. T. F. , and you see them buy coin e. T. F. H. E. B. T. C. And now the biggest fund manager in the world, which is black rock, theyve managed 7 trillion dollars, black rock c i os, says big queen will take the place of gold to a large extent. Because Network Effect has forced traditional financiers to change their tune on the Digital Currency. And this is black rocks, c i o, o of fixed income. He told c. N. N. B. B. C. Last friday. His name is rick reader, he said, big queen is here to stay while conceding, that he is not a big bowl reader, said the flagship currency will quote, take the place of gold to a large extent because it is so more functional than passing a bar of gold around, right . This is a remarkable statement because weve heard the argument that big coin is goal to point out that its a prayer to gold, but that has come from the internet from social media, from heterodox thinkers like ourselves. Its not come from a 7 trillion dollar managed fund like blackrock and were hearing it from other folks like Paul Tudor Jones stands out to melbourne. Although theres 100. 00 trillion dollars out there looking for home as part of a managed money environment. They are 7 percent of that 100 trillion dollars of only one or 2 or 3 percent of that money goes into bitcoin. That means the price triples overnight. So im going to ask you a question because i want to try to elicit an answer that you gave to me on the magical crypto conference, our special this weekend about black rock. I asked you about the fact that black rock is the Number One Company to reference your patent on virtual specialist technology. So what do you think about how that applies to virtual currencies, digital currencies, crypto currencies, big queen in particular, and perfects prices. Right . While blackrock is believed the biggest purveyor of the e. T. F. Market, the Exchange Traded funds, and those are derivatives and they are, theres more e. T. F. Than there are stocks. There is a few 1000 stocks and there are many more actual e. T. F. That are packaged to reflect the underlying number. That is the price, but its not actually ownership. And so thats a derivative based on a virtual securities. So my patent and the virtual specialist is how do you make markets virtual markets using virtual securities in a virtual currency. So thats why they would reference that and they probably have come out their own intellectual property to move in that direction. And in the case of pick when, of course, its the private key owners that make a difference. And this is why well never have the problem. We have in gold with gold, its driven by derivatives traders, and its highly centralized. And so the gold prices are very slow and lethargic, because wayne is decentralized and its impossible to control from a centralised player. A matter of fact, it is always spinning out toward decentralization. So it has 2 properties that gold wishes it did have, but it doesnt have and then add on top of that, the absolute scarcity which gold doesnt have that either. Plus the utility value. Ok, yes, i can store my value in it and i can use it for payments. Thats true. Yes, its all up. And you can understand why Paul Tudor Jones stand druckenmiller. Bill miller over over there. It is major fun group. He has his own fund, but he used to be at legg mason was a massive, massive invest at Asset Management company as well. So, you know, miller was early in pick line years and had johnson abby johnson from fidelity. So these are major institutions with trillions of dollars under management even beyond anything that Paul Tudor Jones or stan, talking miller or the Hedge Fund Guys manage these are big, big Portfolio Managers in the face now. Right. I mean, this is like when gorillas make, you know, it makes a complete, makes quite a ruckus. Well, i had not heard about this group situation, but it is interesting, nevertheless, to look at the, the giants of black rock now entering the space. And the fact that were at all time highs again where we were in 2017 on the retail investor. And now were getting to the institutional investor, the guys with not 10000. 00 to their name, but tens of billions of dollars to their name and trillions of dollars to their name. So you know, thats something to look forward to as we go into the end of the year and 2021 we did mention and recent episode that citibank itself is now saying that they believe that queen will go to 318000. 00 by next year. And a lot of people say, oh, thats ridiculous because who has 318000. 00 while these guys have 318000. 00 . They have several trillion dollars. 318000. 00 is like a lunch tab for them. Right. Rim or coin is the black hole of money and it sucks. Everything in all 3. 00 out money will be sucked in by bitcoin. Gold pricing will be sucked in by bitcoin. All stores of value will be eclipsed by bitcoin. Everything in the planet, earth will be priced in decline as we head into hyper because it is ation. The mona lisa will be priced in bitcoin faberge, eggs will we bought and sold in bitcoin and it will be the most sought after commodity in the multiverse. And those 2 without any will be feeling like there are heroes. In the midst of this, in the midst in the, in the midst missed. Yeah, the missed where the gorillas hang on the mess they mate. Or like the elephants mating. You know, the earth moves is what im trying to say. The earth moves when the thundering herd of black rock and the citibank and bank of america and Paul Tudor Jones delegate, the will to beasts of the low, the money moral fidelity, and the buffalo. They go on a rampage in the earth moves, and this is whats happening now in big coin. The biggest Money Managers in the world are thundering yes, across the open plains, toward a price point called 3000028 1000000. And everyone in the path is trying to grab as many so toasties as they possibly can to take advantage of this once. And im in a millennial multiverse, old phenomenon. Thats a good way to look at it, the running of will the beast. Thats like one of the safari journeys that one takes. If youre going to go to africa, to look at a meat, you know, the 5 big game or the will the piece, you know, shot some helicopters that are all the documentary and for b. B. C. Makes you see the running of the will to be. So theyre like, as many will to be says, there is millions to codas, you know, texas size herd of, well the beasts just wondering, cross their wide open plains toward their destiny. And thats why i always get really nervous. Watching the, you know, they always out on the b. B. C. Documentaries. They put a camera right next to all the crocodiles waiting for the one that is a little bit slower than the all theyre the rest of the herd to be in. So there is like some p. Will get wrecked and the exchanges. Some of these will, the beast of finance will get wrecked. Like that guy who runs a soft bank, one of the biggest, most successful funds in the world. Remember they lost, a lot on air b. N. Not air b. N. B. , but we work and they made a lot up on the other side. But they got out of bitcoin and the guy said, because he couldnt stand looking at big claim prices anymore. His position, he sold us down, he lost basically 130000000 by selling too early, but he said he couldnt get over looking at the price. Im familiar with the type. So this is a guy whos allergic to success rate. So he couldnt take the easy trade and bought bitcoin and made billions of dollars. But instead, as we know from the fine journalism from the Financial Press of the wall street journal in the Financial Times and other outlets, he has been bullying hims. His purchase of nasdaq listed stocks in an attempt to artificially boost their price beyond what you would normally expect and they supply and demand environment and using options as well to enhance those bullied returns. This is, this is like poetry yet. This is like a that which really works. This is it. And as a result he is digging a bigger and bigger hole because the soros is the law of reflexivity. Where you can create your own outcome by simply buying lots of stuff in a concentrated way. Only works to the extent that there is finally a bigger sucker who is going to buy all that from you at the end for you can make an exit, but what hes finding is that hes bought so much of this. Nasdaq stuff that he cant exit and he could have bought up big point, you know, who is exiting the u. S. Treasury i. E. The taxpayer because theyve been, you know, this reflexivity is in this final headline here. Here are the 12 Financial Market metrics, new 10, listed as reasons for letting the feds bondholder bail out, s. P. V. Expire on december 31st. So i remember early in this panda and lockdowns story that we have the fed do all sorts of quotes of the easing about the, the treasury and the government issued all sorts of programs issuing tens of billions of dollars, hundreds of billions of dollars across the u. S. Economy or one of the things they did is they created s. P. V. Special purpose field goals. And they created like a dozen of them for the fed. So they gave them actual cash, real money from the u. S. Government for the fed to disperse, to various, you know, buy junk bonds and things like that. Well, announcing it did the work so well, they only ever dispensed like theres 455000000000. 00 and real equity, real treasury bonds, real u. S. Wealth that never got spent. So many new chinas asked for a back because the talking up, the job owning the markets, did the work. Everybody, trillions of dollars poured into the markets to front run the fed and their purchases via these s. P. B. s. But the fed never actually spent much of the money at all. So now the taxpayer is about to get that back. And there, i guess, mission on the trumpet, ministration, want to give this 455000000000 and a fiscal stimulus before they leave the white house, right . Half a trillion here, half a trillion there, you know, eventually it adds up to real money. Well, were going to take a break, and when we come back, whats more coming your way in the postmortem . How did you Major Political parties change through this election cycle . Joe biden maintained an already weakened and divided democratic. Is there such a thing as trump is, or did he change the g. O. P. Or did he change a memory, a little cruiser with the sleeves. You would need a new epoch times to lead you to surround us one in some of these which youll see in the local, which is the one with your leanings leakers, the start of the digital ship to the of lucas, which you welcome back to the kaiser report, im max keiser time now to go to march alone. The o. G. Bit calling minor down there in texas. Marshall. Welcome back. Big macs. Thanks for having me. Always a pleasure. All right, so we have some comments from the u. S. Comptroller of the currency. Had to get your feedback on this, he suggests that it is americas geo strategic interest to make sure american bitcoin miners control Bitcoin Mining rather than china, which he claims controls. 51 percent. Ok. 1st of all destroying a control. 51 percent flat out. No. That used to be the case, it feels like this guys living in 201415 against kind of weird seeing as how he used to work for coin base. Very interesting. Take that shift. Verifiably false. So its verifiably false for a couple reasons. You know, and curiously, your comments are, number one, youve got a lot of pools in china, but the geographic location of those people all in those pools could be anywhere in the world, not necessarily chinas. So thats problem number one. Prob, problem number 2 is as we discovered in 2017 during the block size, wires miners dont control because the notes control because so that those are 2. Very simple things to rebut his argument. If i got it about right. Yeah, you know, its about right having for better or worse, started becoming classic with a few of the people i got 1st hand experience there. All it would take is for the nodes around the pools in china to simply just stop accepting release from them and their pay, their blocks to propagate much slower and other pools would be able to win that race. So thats the 1st thing. 2nd thing, a lot of people are quoting a report online with this interactive map. The problem is its only pulling data from about 3 pools and those 3 pools collectively only control about 2530 percent of network castrate. And of those, those all 3 were chinese pools. So the reality is thats extremely slanted information where most people are getting from. I did some back of the armful of math and what my colleagues can till ive kind of pulled together some information. Just back of the overload numbers. Were looking right around 65 to 70 percent of the hash rate being outside of china. And you can even see that with the big migration that happened a couple of difficulty adjustments ago as the network pass rate dropped by about 30 percent. When the miners in china moved from from the north, down to the south. So, i mean, all those numbers kind of make sense. Plus with a little bit inside info, its pretty easy to debunk that. Now the good news is that the u. S. Controller of the currency has woken up to the fact that big point is a jester teach asset. That if a country doesnt have any in reserve, they are in trouble because theyre moving off a foreign c. Standard to a bitcoin standard globally. And some countries have jumped the gun iran as i think last i checked 4 percent of the hass rate. You know, he never mentioned that that seems like a pretty important number. China obviously does have a significant part not anywhere near a controlling interest. And some other countries also are in the game. The us is lagging now. Could you describe this as a sputnik like moment . Remember, the soviet Union Launched Sputnik and then america entered the space race. Is this kind of like a global hash race were seeing marshall. Its really easy to start getting spooked when 22 percent of the dollars that you created in existence came out this year. You know, we got drone power over here printing like a madman, and then people start to realize that its not working anymore. And you also realize that youve got countries that you dont like i. E. Iran been a swale of getting into mining. And once you have virgin, because theyre really hard to track, not really much you can do about it when you talk about censoring transactions and all these things that you might be able to do. If you have virgin corn based transactions, you cant really do anything with them because you dont know really know who has the coins. So the reality here is comptroller of currency or whatever his title is. She has a lot of experience in big going. So i think net net this is a good as we have a guy on the inside, but it seems like hes still peddling this anti china narrative which have been going on for ages. Its just getting a little bit old in my opinion. So well see more of all, it all is, motivates people, politicians, you know, if you throw out an existential threat. Remember, last year 2 years ago, russia, russia, russia, now its china, china, china, or iran, iran, iran, right . So they need to motivate people to act. They need an enemy because theyre simple minded and stupid, but nevertheless, because in a smart and will usher in a new era of leaders that are enabled by bitcoin. Let me ask you this question that i threw out there on twitter quite liberally. And since youre actually a professional in the field, you would have a better answer from play and correct me if what ive been saying is wrong. But look for you got all these big guys comin in, blackrock to said, oh, we love bitcoin stan druckenmiller. Paul tudor jones, michael saylor, you know, over there, micro strategy, theyre buying more big coin then. Miners are, you know, creating a sense they are as the protocol is admitting, product daily basis. So theres a huge supply gap. Is it possible were going to see a situation where the majors, the big guys are looking to buy 1000000000. 00 at a click, would just go directly to you the miners and just say look, will buy directly from you will pay a premium. And its going to be hard for retail people to have any access to pick one at all because its just going to go right to the big guys. Are going to see a vacuum of price just gallon pyar it. Tell me if were missing anything of anything in that scenario. So thats about right. I can see that price action is going to continue on for pickling the same way as the feds balance sheet, and thats opened up enough. The as far as institutions going to play directly with minors, were already starting to see some movement in that field as far as like, you know, k y c based pools. This was really common in 20131415. I can remember selling some big coin to some brokers at a Midsized Bank in the states as affords contracts where you would make a deal month. They want of the month and lock in a premium. So that gives you, you know, forseeable upside over your power price. So thats usually something that happens when the price dips low. As we start to see this bear market fade away in the bull really start to rage here. A lot of its really interesting to see the g. P. To see perrys fun having so many big point over the course of the last quarter. More than you know, was mind. And this will just continue on because the next having skin to come right on schedule and theyll be even less supply. So you know, this kind of stock to flow model, take it or leave it seems to be right on track. So i think you hit the nail on the head there. You know, the thing about declawing is that it is for all intents and purposes on confiscate a ball and americas got a Foreign Policy where we bomb countries and take their oil. We hoard a lot of gold for other countries and threaten to keep it if they dont stay in line with our objectives here in the United States. And for the most part, the violence that is perpetrated by the u. S. Umpires, pretty severe and sanctioning of payments, etc. With bitcoin doesnt this give countries a way to hoard, immutable wealth, and america bug off basically, and just create their parallel economy based on big point and leave america out of it. Yeah, and you already start to see this with some of the few systems, you know, youve got china making deals with pakistan and you know, some of the not so quote unquote friendly u. S. Nation states. You know, theyre doing infrastructure deals in africa and all these things to try to usurp this u. S. Dollar. Reserve currency status. And then chinas just not really interested in the fighting as much as just like making money and taken over on the states is more interested in taking over. And if you dont comply to kill you. So the reality of the situation is that says, kind of Like Old School way of doing business, you know, coming from all the way back from teddy roosevelt. So there, the reality here is, if theres only one way to really do things, right, theres all their options to outside a big coin. You know, us, but its all just crypto centric. So if you need to be even more private, there are solutions for that. But other countries are starting to wake up to the oppression that the states has applied to other countries, is just, theres a way around it. All right, so lets talk electricity prices because this is something, you know, youve said in the past that youre not act in the pickling mining business, youre in the Energy Arbitrage business. So we can talk a little bit about what that means. And so after i recall, he said Something Like 85 percent or more of the cost of mining is the electricity cost. And texas has incredibly cheap electricity. And so whats happening and thats part of the game theory. Reno, this whole industry is going to migrate to where the electricity is cheapest. And right now, texas is very cheap. So talk to us about the selection of the component. And does it make sense for the United States instead of subsidizing fracking, which is, which is a hugely more lost making enterprise that is actually makes no, makes no money. Anybody, any money in a rip, you producing gas at a loss when it makes sense for the United States to subsidize big coin mining to get into the game instead of being obliterated by it marshall . Its interesting because there are some still cheap places to find power. The way the brits laid out is texas and a little bit of oklahoma, a little bit of c. N. R. Carved out into one grid. And then youve got the east coast grid in the west coast grid, texas being its own kind of regulatory body and being, you know, very kind of regulation shy in general. Texas is kind of a great place for that. The other interesting thing that ive seen outside of the subsidies is people from china who mine, theyre not interested in mining in the states because of all the anti chinese sentiment. And theyre scared that if they set up Operations Long till i have issues where the government says, oh, you guys are an american, the try to start problem. So they would rather pay a little bit of a higher price in china than dealing with all the, you know, regulatory b. S. That might come down from the federal level. As far as subsidizing fracking goes. Yeah, its a really interesting take, but you know, if youre not make an oil, what are you doing . I guess so at this point, youre seeing a very large build up in, you know, guys like core scientific. Theyve got a nice place in the carolinas. Close. You guys are there, texas still has a lot of room to grow. Youre seeing a lot of people move back from sweden and iceland just because the pricing has gone up because facebooks made a giant data centers in sweden now. So yeah, theres an interesting migration back to the states which from a compliance standpoint is both interesting and maybe somewhat fear some due to people being able to exert more kind of political influence or whatever. But i can tell you that theres only room to grow here in the states. Ok, sounds exciting. Well, thanks for checking in march along. Thanks so much max. Well, thats going to do it for this edition of kaiser report was kaiser and stays here, but want to thank our guests, marcello, and so much time by all for yours will pull you out of the mountains in what about and i didnt do it will always be the glue. It is also going to hold on a promise. He said hed keep it or dont or dont let you. People come up with you throughout the night about the holonomy have been, im mad at them and them on the numbers. Im not bad with the internet, but oh, november. And if i say i give them their genitals, one thing about nanami, but i have the only thing it is about the u. S. President elect joe biden reveals his picks for the white house that says donald trump finally relented. Son agrees to begin the transition process. Of the Mining Operation in the disputed nagornokarabakh region leaves one azerbaijani soldier dead and a russian safir injured. We were right next to the city of full of returning refugees. People whove been scarred by the war, people still in shock and feel full for the future. The last thing they need is more will explode