Twitter shares soaring on a rumor the company is looking to build a Subscription Service a source close to the situation tells me that a Subscription Service is one of many Revenue Generating options that twitter is considering, but that no announcement in that area is imminent Ceo Jack Dorsey has said hes kicked around the idea of creating a subscription tier and twitter management has talked about building new revenue stream the focus on new ways twitter could make money as tiktok opens a new platform senator tom cotton warned americans against use ticktock. Secretary of state mike pompeo said late monday that the United States was looking at banning chinese social media apps including ticktock. Ticktock responded to pompeo by pointing to the companys new american ceo, former disney executive kevin mayer, saying we have never provided user data to the Chinese Government nor would we do so if asked. I want to go to dan nathan first. As i recall, dan, you had fast pitched twitter back in june, i believe. Here we are. Was this a part of the possibility . A week and a half ago no, not really listen, i think the subscription idea has been in the background for a while. Theres a number of ways they could probably charge users. One of the points i wanted to make last week was their average revenue per user lags compared to facebook, 20 versus 30. These guys are going to have to figure out how to get that higher, how to get better margins, how to better monetize the users that they have i think from a sentiment standpoint which is good news even if its just a rumor and it puts the company in a position where they might figure out some tricks theres a whole host of things theres buy buttons theyve had in the past. Theres a lot of things this company can do senator cotton, mike pompeo, they obviously dont have teenage daughters. The idea of banning tiktok here in the u. S. Would tear apart families right now because its been a fantastic app i know my girls are using it like crazy. In other words, to keep them occupied so you dont have to worry or deal with them. Yeah. Guy adami in terms of twitter, could this help the site move away from advertising and also monetize their sub skr subscriber base. No question i think people have come to the realization that twitter is a much more valuable property than the stock suggested over the last couple of months. I remember in the middle of may when President Trump went after twitter, twitter briefly traded below 29 kudos to dan without question, that power pitch he did was outstanding, one of his best. I think he got thumbs up across the board. I do think our smart audience voted for him as well. I do believe twitter is going to the february high of 39 jack dorsey is now inserting himself into the conversation for ceo of the year. It is remarkable that jack dorsey was under fire not that long ago for being ceo of two companies and here we are with two companies that are just on fire its quite a turn. It is quite remarkable. I think he was also under fire for being ceo of two companies and then wanting to move to africa for at least half the time i think that was one of the things that elliot management thought maybe thats a little bit too far. Kudos to him hes taken a leadership role in what is the place for social media, what do they need to do, what is it their responsibility to do. Thats been important. And i think that all of these stocks in the last two or three days of social media stocks are getting a bit of a tiktok bump it would really be a disaster for a lot of households if tiktok were gone i feel like twitter has played with this idea before a couple of times i dont know if they will ever get around to it i guess for my money i still prefer alphabet and even facebook right tim, do you think if twitter went down this road, are there other social Media Companies that could also go down this subscription road which would sort of diversity themselves away from ad revenue yeah, but its not good for the daily active user growth and the engagement trend we still dont know what the subscription model will look like but for a company that are north of 75 in terms of ad revenue thats what it comes down to the advertising growth has been good its been a massive underperformer relative to both social and even just whats been going on in technology there have been some head winds on doj they are mentioned along facebook every time these things come up. But i do think that twitter has been looking for catalysts this stock is attractive and there is Intrinsic Value to this user base. Ad targeting and the ability to use analytics to drill down and get more value for what they provide, i think twitter is undervalued. Pinterest was also up today perhaps on this notion if tiktik were banned in the United States, that could help some of these other sites. Tiktok crucial in this time of pandemic in terms of keeping peace in an average American Household but 2 billion downloads globally of this particular app. Im one of the 2 billion. Ive become a huge tiktoker. Its like that synchronized dance that you do with three other people snapchat, kudos to 386 steve grasso was talking about that stock many months ago and said its going to break to the upside facebook had the opportunity to squash them and i think they took their eye off the ball. On top of the tiktok news, whats going on at facebook is a huge tail wind for snap. You mentioned pinterest. By the way, some of the crew from mad money working with us this week, i hope theyre able to put up my pinterest page for the folks at home. It is a thing of beauty. Excellent lets bring in gene munster. The pop we saw in twitter shares if the subscription model came to fruition, is that pop justified . Unlike. The reason is its likely that twitter will have some other form of other subscription business about 15 of their Business Today is selling data to organizations thats a form of a subscription business. While it is likely they had other subscription businesses, these types they target are going to be a consumer facing data Subscription Service. What that means is maybe 10 million users at 600 a year that would add about. 2 to twitters revenue. Sounds great from the leaks, but the substantiveness of this is unlikely to move the needle. The ability to segment twitter from a Premium Model to a paid model could krcreate some massi destruction. Companies like spotify have done a great job. Its a great, very attractive road but i suspect this is not going to drive valuation higher. What ultimately will drive valuation is focusing on what they have been focusing which is engagement and increasing advertising revenue per user. Even if they said, hey all you users, pay 5 a month or whatever it is, that wouldnt move the needle in your view that would. Unfortunately if they just said you want better access to news, for example, theres some provisioning around the types of news and the speed that you get it if they metered that and put a paywall around that, i think that would cause anarchy in twitter base twitter would turn against itself effectively it reckons to an anology analogy should google charge for its services i think a lot of people would say theres a ton of value in google and they would be willing to pay 5 a month. To really build a powerful Subscription Service for twitter or google, youd have take out its most critical piece. I think people would not want that. On the potential ban of tiktok here in the u. S. , how would the chinese in your opinion retaliateretaliate would it be apple in their app store, the Android App Store how do they retaliate . The way china operates is theyll likely just make it more difficult for some businesses. I dont think apple will be targeted part of the reason is with this chapter weve had over the past year with huawei being banned, the Chinese Government struck an incredibly supportive tone toward apple during that period. I think Companies Like apple, its the biggest u. S. Company that has exposure to china both on the manufacturing and the user base. I dont think there will be a direct retaliation i think it would be more subtle. The risk in the truth lies several layers beneath the surface when it comes to ticktock. It seems this is just a political stunt thats riffing off whats going on with china and india in an election year. It seems to have some merit to it because china bans all social media, facebook, google maps, pinterest. Thats all banned in china it makes sense for the u. S. To ban tiktok i want to mention one quick side point. Tiktok, the data gets back to china. The truth is this, that the u. S. Is the most profound country when it comes to global tech if the u. S. Decides to ban tiktok, beyond what the rift would be in families with teenagers, it does create a precedent of other countries starting to look toward the u. S. , maybe a country that wouldnt even be china it could be you pick the country that somehow has issue with how facebook was provisioning some news around it and bans facebook or maybe does more regulation on facebook or google that is the truth behlow the surface that needs to be factored in here and thats the reason why i think tiktok will remain available in the u. S. You raised an interesting point. It seems like tiktok is trying to walk this fine hine tiktok has also said theyre going to deny the Chinese Government user data from hong kong yet theyre perceived as abchinese company thats being potentially banned in the United States you remember a couple years ago there was some sort of bans on jewels on tuuls on the tobac products then the Trump Administration learned it didnt poll particularly well with a subset of voters and they kind of stepped away from it they are flailing in trying to show their might a little bit or the potential to do something. Tim censorship of u. S. Social media and Internet Companies is a big issue. The u. S. Has plenty of sword rattling to do at a minimum. I thi im not so sure theyre going to care about the ramifications, the Collateral Damage of what it might mean for u. S. Companies around the world i think theyre serious and i think there may be a solution that we can have here. Companies typically and were seeing this in hong kong, u. S. Companies are pushing back and not giving up this data. Lets see how this prevails. I dont think this administration is going to back down from this one. By the way ive been getting a lot of twitter messages about how to find guys pinterest page were going to show you the pinterest page its a lot of good content on that page. And its a Family Friendly page nothing to be scared of there. You should look, tim in the time of pandemic it would be a good pastime. Pretty good looking page, i think. All right. I have a wonderful picture of Audrey Hepburn on that page wearing a hat in case anybodys interested im sure many are lets move on. Another big move in the market today we found in gold, the precious metal soaring above 1800. The gold miner is also seeing some gains, jumping more than 3 guy, youve been on the trade for a very long time yesterday night it was theres a saying, as heard on as heard on cnbcs fast money, and this dates back to the fall when we were do this at the nasdaq in new york citys times square we were talking about the move in gold and silver and the reason you needed to be in these mining stocks. Pan American Silver has broken out to the upside. Most of the revenues are driven by their gold business i know everybody is talking about gold now, but i do think gold is going to continue to move higher. I dont think were anywhere near to the end of this thing. I actually think were closer to the beginning. Ive said this on the show a number of times. Youre going to walk in one day and gold is going to be up 200 and its going to happen again the next day and gold is going to be on the front page of all the news stories now this dollar weakening, which i think will continue, its absolutely going to be a tail wind for the precious metal. Our next guest sees gold heading to new highs the founder of galaxy digital. Great to see you. Great seeing you. In terms of gold, whats your thesis here, new highs driven by what listen, the macro setup is so perfect for Something Like gold. Central banks around the world just keep printing money, more money, more money, more money. So gold is going to take out the old highs of 1950 or something and its going to keep going i think were just starting this move. Is this any sort of a hedge or is this independent of your thesis in the markets . You know, i think were in the irrational exuberant zone of the markets but its hard to figure out where that stops. You look at any of the story stocks like tesla, theyre beyond what would normally be a huge move. You cant use a discounted cash flow model and come back with anything rational. Theres so much liquidity. You dont know where it ends a good friend of mine said, hey get on the airplane, just make sure youre on the seat closest to the exit. Were in a bubble. I think you could see stocks in gold decouple at one point where weve got an election coming up. I think biden is going to win by a landslide and hes going to jack up Capital Gains tax to ordinary income. Hes going to announce that this week quite frankly and that will be good for the stock market but theyre going to continue to pump in liquidity. Gold, i also love bitcoin for the same reason, Core Holdings of mine. I think were early in the cycle. Mike, its karen. So you mentioned bitcoin and gold theres a lot of overlapping elements to the thesis, inflation kind of run amuck. Which of the two do you think will do better if we start to see inflation really kind of kicking into gear . Its a little unfair to compare them because bitcoin is a 5060 vol asset and gold is 1 6 of that. I think bitcoin will outperform gold because were still in the adoption cycle theres more and more people working on making it easier to buy. At one point well get an etf. My sense is bitcoin way outperforms it but i would tell people to have a lot less bitcoin than gold just because of the volatility. Youve seen multiple commodity cycles gold silver ratio looks interesting. But other commodities here, some of the same setup works for copper and possibly even for oil. What do you think . I there will be supply constraints. If the economy comes back, if covid doesnt crush us, you could see oil spike back to the high 50s or maybe even 60 its a bit of a different thesis simple to play gold, silver, bitcoin in this monetization three ti thesis the real economy has issues. Certainly in the u. S. Were stumbling through this covid i was in las vegas a few weeks ago and already the numbers are down because of the covid resurgence were having a hard time getting a lot of our economy restarted you cant travel abroad if youre an american i was going to go to greece. They said no, you cant come were in a fairytale world because the fed is giving so much money its hard to see where markets end, but you dont really want to bet on things that are geared to the real economy, then. You said you trade the s p 500 range. I wonder if that range has changed at all you also mention some of these momentum story stocks like tesla. Have you been in any of these trades, recognizing that momentum is carrying these stocks yobeyond what their fundamental state might be a little bit. I didnt make nearly as much money as someone who went all in and went bullish on the thesis i fought it for a while, then quit fighting. I have a ton of bitcoin and bitcoin is part of that story though it hasnt done as well. I have a bunch of gold stockwise i havent done as well i courageously tried to short tesla yesterday and today. Well see. It felt like 37 in three days was too much im still picking some spots to be very shortterm on that stuff. I havent played the big momentum so my friends are getting richer than i am. Guy adami, youre laughing. If he has 800 friends, maybe thats true. I know a lot of people dont know this. He was a bad ass krwrestler in h day at princeton university. I agree with him 100 . I do think the precious metal story is just starting and that the stock market is completely decoupled from the real economy. At a certain point, that has to sort itself out. I dont think its going to sort itself out with the economy magically catching up with the stock market. This is the debate weve had every single day since the march bottom you may intellectually believe that the economy is a certain way and the market should trade a certain way, but this is the market you have and you have to trade what you have. Yes its funny because he used the metaphor of be on the airplane and sitting near the door. Another great one is called dancing by the door. I think you have to be dancing by the door on a lot of these risk assets and you have to put some stops underneath you. It is the market we have and you can hold your nose and you can still make money here. I think the liquidity, i continue on. The feds vice chair, the things that came out yesterday were to me shockingly dovish i think considering where we are in the cycle, the fed is showing no signs of laying back. Gold for sure going higher i think silver is a better trade if you look at that gold silver ratio. In this environment with the falling dollar, guy talked about the gdx. I dont always love that trade but its a good place to get back involved. Buyer beware sending a warning to wall street that this one sector will halt the market rally plus used car sales in overdrive as customers scramble for a set of wheels. Later tweet us your burning questions cnbcfastmoney its pretty inspiring the way families redefined the word school this year. Its why, at xfinity, were committed to helping kids keep learning through the summer. And help College Students studying at home stay connected through our university program. Were providing affordable Internet Access to low income families through our internet essentials program. And this summer, xfinit