Ask Jack: Can Wall Street Control Bitcoin?

[0:00] the Jack Mer Show. I am your host, Jack,
[0:06] Anyone in the world can call in and ask
[0:13] no noise on this show. Once a week,
[0:19] Sunday, October 18th. Uh, I told you
[0:25] Europe. So, I'm speaking at Bitcoin
[0:29] Europe, bounce around for about a month.
[0:33] really excited about getting to know the
[0:36] be more valuable. All the all of you've
[0:40] All of our European customers and those
[0:43] have been listening. I really appreciate
[0:47] I've got about 30 45 minutes max. So
[0:52] show on the road. First question, David,
[0:58] let's hear what you got. David,
[1:04] Thank you for the for being the beacon
[1:09] have much hope right now.
[1:14] financial industrial complex. It seems
[1:20] the price of gold and the price of
[1:26] I would love uh your take on
[1:36] or how the financial industrial complex
[1:42] control Bitcoin's price for years and
[1:48] for another 10 years, miners go broke
[1:53] perhaps fails.
[2:00] think that would not happen. Uh thanks
[2:07] >> Thanks for the kind words, man. Uh you
[2:13] actually one of the more fascinating
[2:18] mean, obviously he solved the Byzantine
[2:23] of proof of work. I mean, these are a
[2:28] that Satoshi has gotten. I think one of
[2:34] is how he was able to fairly distribute
[2:39] individual, to the street. And I'll and
[2:44] why that's so relevant to your question.
[2:47] financial industrial uh complex, can
[2:53] David is also referencing
[2:58] these guys have been controlling the
[3:03] you a quick story. Uh David, um so
[3:07] youngest ever chairman uh of the Chicago
[3:12] Exchanges here. This story is overblown.
[3:16] unfortunately. It wasn't like it is
[3:20] Street is where all the big money was.
[3:23] became chairman, I mean the exchange
[3:27] were like, you know, financial markets
[3:30] my grandfather really helped try and get
[3:34] my trolls and my internet conspiracy
[3:39] relevance is the Hunt Brothers. So, one
[3:44] audience that isn't, one of the famous
[3:49] was the Hunt Brothers, a Texas brother,
[3:54] to corner the silver market. and they
[4:00] and were, you know, back in the day the
[4:05] open accounts and your your uh uncles
[4:11] at the Chicago exchanges and and they
[4:14] market. And my grandfather ran them out
[4:18] is not New York. If you guys are going
[4:21] Wall Street." Uh we don't play those
[4:27] market. This is Midwest America. So, I
[4:32] you know, sometimes people say, "Oh, do
[4:35] precious metals markets? Is that
[4:38] know, my grandfather's mouth is not a
[4:42] tried to show up into the Chicago
[4:46] Um, they ended up putting their
[4:49] you guys can go Google how that story
[4:54] just even take a a step further back.
[5:01] Screw, you know, uh, price controls and
[5:07] talk about the fact that gold was money
[5:11] trying to engineer our way out of this
[5:16] bring a little bit of optimism and hope
[5:20] gold was demonetized because gold needed
[5:27] corporation, a bank in order to achieve
[5:33] what's the gold monetary network? It's
[5:40] got to walk it across town. I got to fly
[5:45] in an economy with a communication
[5:51] and billions of people. Gold was great
[5:55] my local butcher, my local groceryer,
[5:59] within a six block radius. all of a
[6:05] things on my cell phone, if I need to
[6:09] economically have a relationship with
[6:15] state, another
[6:19] and get an IOU in exchange. And so this
[6:27] capital Bitcoin and lowercase Bitcoin.
[6:35] bearer instrument, right? And then
[6:39] most fascinating underappreciated part
[6:44] can achieve finality in a transaction
[6:50] need to trust. And I could do it across
[6:57] day. And that was the problem with gold.
[7:02] was deposited with governments and with
[7:07] "Oh, the IUs that you guys are all
[7:12] good anymore. And what the [ __ ] are you
[7:16] happened. And so, how do these guys
[7:19] market and the the paper claims that
[7:24] and the ones that are now called US
[7:27] claim anymore. It's because the physical
[7:32] we had to trust. And obviously that's
[7:38] that core fundamental problem is that
[7:42] also a monetary network. The gold
[7:48] walking these things around, shipping
[7:53] them in vaults, and issuing IUS. Now,
[7:59] of his most underrated and
[8:03] going to create a new money to solve
[8:07] important things in the early days is
[8:11] fairly? Because to your point, David, if
[8:16] "Hey, I solved the Byzantine general's
[8:20] um where I can get a distributed network
[8:26] without anyone being trusted or in
[8:32] I need to list it on the New York Stock
[8:35] took a 20% position as the sponsoring
[8:41] have had first dibs on the 21 million
[8:46] had a chance to buy it on a public
[8:51] would have gotten a raw deal and these
[8:57] physical. The most fascinating thing is
[9:02] issued these via proof of work. He said,
[9:07] every What's the currency of the
[9:10] you can get yourself some bitcoins. I'm
[9:17] don't care who you are, where you live,
[9:21] eyes, the religious beliefs you have,
[9:24] matters. energy in, energy out, and
[9:30] where he somehow distributed to the
[9:36] Bitcoin supply and and and obviously
[9:41] that issuance. Almost all of the Bitcoin
[9:47] I don't think it's far too late for Wall
[9:53] this thing because they don't have the
[9:57] from us. They can't say, "Oh, well, you
[10:04] going to have to everyone's going to
[10:07] you going to use it in an economy
[10:11] We would tell them, "Fuck you. I don't
[10:16] the protocol. I don't need you to help
[10:21] send it. And there's nothing you can do
[10:25] and aggressively tax it, uh tax me on
[10:30] from me, how are you going to take 12
[10:34] fascinating the the embedded level of
[10:40] have a bunch of gold in a room over
[10:44] head and says that gold is mine, and
[10:50] kill me, they walk away with my gold. If
[10:54] only way to guarantee you can't get my
[11:00] keep me alive if you want my Bitcoin. So
[11:04] and distribution to the people, we all
[11:10] we all have the asset and there's
[11:15] I first got into Bitcoin, did I think
[11:20] 100%. If the government aggressively
[11:26] reward, block subsidy was 50 bitcoins
[11:30] issuance of this monetary policy. Yeah,
[11:34] because if they aggressively came after
[11:39] physical supply, but you cannot price
[11:46] where you don't have all of the
[11:49] Bitcoin is too freely traded and too
[11:54] need you holding our asset and we do not
[12:00] exchanges. We can settle between each
[12:05] physical. That is why ultimately why
[12:09] a modern economy
[12:15] I supposed to order Door Dash? I had to
[12:19] and one day my IOU wasn't an IOU
[12:24] lands and gets you fired up and makes
[12:29] relative to gold is it's both a monetary
[12:34] is better literally fixed in supply. I
[12:38] I can't submit a feature to gold. Gold
[12:43] nature made. Bitcoin is we engineered it
[12:49] it's better, it's lighter, it's cheaper
[12:53] faster, it has a harder monetary policy,
[12:59] engineer it forever. We can change it.
[13:03] Like I said, I cannot submit a feature
[13:08] be gold. The part that gold is entirely
[13:13] beings or the monetary network. Very
[13:18] in an economy of billions of people that
[13:22] of other constraints. Bitcoin has a
[13:27] God bless him, somehow found a way to
[13:33] didn't go to Goldman Sachs and IPO it.
[13:38] economic hedge fund douchebags figured
[13:45] already got it. And the last thing
[13:50] when people say, you know, oh, don't you
[13:57] Street. I mean, ultimately, we all we
[14:01] have to realize some of this wealth. you
[14:04] trading your bitcoins in for a house,
[14:09] whatever, for a sports team. But you
[14:14] philosophical view I have on this is
[14:17] asset. And the rest of the world is
[14:22] love nothing more than a Wall Street
[14:27] customer, you know, millions and
[14:34] little tiny portion of their stack of
[14:38] you, you know, but you can think of the
[14:42] wealth. They own a lot of houses and
[14:47] boats and sports teams and monuments.
[14:52] exchange. We're we'll take some of those
[14:57] of sats, but you know, we put in the
[15:01] asset was fairly distributed. We are
[15:06] podcasts like the Jack Mauer Show to
[15:10] accessible and it's there and all of
[15:13] understandable so that we we cannot get
[15:20] nonsense that we're not going to be
[15:25] I David my honest I think it's just too
[15:30] there's no reason for us to ever need to
[15:38] reason.
[15:41] late. Satoshi found a way. By the time
[15:47] all the bitcoins were gone. That's the
[15:51] incentivizing
[15:57] every four years is so genius because
[16:03] It can't be like, I'll just see if it
[16:08] there's none left, right? It's like, you
[16:13] say, you know, hey, there's going to be
[16:18] hungry, don't worry about it. Just go
[16:22] whenever I'm hungry, no need to rush. No
[16:26] like in the first 10 minutes, a lot of
[16:32] as time goes by, less and less food
[16:35] hour, the all the food's gone. Even if
[16:39] you get hungry, you better get up there
[16:44] going to be starving and it's all going
[16:48] of using proof of work, fair
[16:53] to entice early speculators to come in
[17:00] if this thing worked. Um, anyway, I just
[17:06] genius is astounding is the most
[17:11] seen ever. And I think it's too late. We
[17:18] physical. It's too late. What? Sailor
[17:23] what 3% of the supply. It's a tiny in
[17:29] do anything like what they did to
[17:33] the asset. I mean, nobody's got nearly
[17:42] looking at the clock. That was a
[17:45] I really appreciate the support, David.
[17:49] comments if if that answered it. Um, I
[17:54] question. Let's go. How do I pronounce
[18:00] know. I hope I said that right. Uh,
[18:06] second question. Here we go.
[18:14] on all your content, but I'd love to
[18:18] you're always talking about providing
[18:24] then obviously stacking sets, but what
[18:31] what happens when your future wife isn't
[18:37] more value for the whole family, but I'm
[18:42] when maybe you aren't able to work. Are
[18:47] or what are your thoughts on retirement
[18:52] thinking you're probably not super into
[18:57] just living off of your funds later. um
[19:06] provide value uh to society. So tell me
[19:12] Yeah, awesome question. Um, listen, I
[19:20] brings about things like delayed
[19:25] preference, which I think are critical
[19:29] and healthy well functioning family
[19:35] me says, "No, never sell."
[19:41] Guys, I've sold Bitcoin before in my
[19:46] pulled a a painting I have in the other
[19:50] six Bitcoin. Maybe it I mean, this was
[19:57] every time you spend Bitcoin, especially
[20:04] year on average, you're going to look
[20:09] to the point that I think you were
[20:13] value money
[20:17] something that very um at the root of
[20:24] understand. I don't value a billion
[20:28] billion dollars can get me. Of course,
[20:34] bytes of data sitting on a hardware
[20:40] can get me. Um, and so, you know, life
[20:45] I I I'm not against realizing some of
[20:53] thing, too, I actually think it's
[20:58] um use we're we're on the right side of
[21:06] transfer in human history. And I've
[21:10] of um the responsibility that I carry. I
[21:16] Bitcoiners need to carry um for future
[21:21] of this massive wealth transfer. We're
[21:26] and I think that that is great because I
[21:30] and ethical and principled and we care
[21:35] aligned with our broad broadly speaking
[21:39] type of world that we would like to see
[21:44] that we use some of this newfound wealth
[21:48] would love to see Bitcoiners whatever uh
[21:55] beautiful architecture
[21:59] disease. Right? I can I can totally
[22:05] 30 40 50 trillion asset to know
[22:11] of incredibly moral low time preference
[22:17] clear I'm not against selling Bitcoin at
[22:24] about it? Well, I built, you know, some
[22:28] initially for myself and now we we sell
[22:33] Bitcoin for me uh and how I live my life
[22:37] product. If I can continue to find
[22:43] capital gains tax that I'd have to pay
[22:47] oh man, how how could it be 8 n 10 11%
[22:52] know how much it is if I sell the
[22:55] wire to the government. So, it's far
[23:00] one for taxes. And then the other is
[23:04] growth that I expect in every single
[23:09] single time frame that you want to wire
[23:13] 10 11%. And so these credit products
[23:20] build, I think are awesome uh and
[23:25] people to make use of them responsibly.
[23:30] fire. It burn your house down. It could
[23:35] not you know, so many people like you
[23:40] how I'm not your dad. Okay? You got you
[23:45] So, I'm not your guys' daddy. You guys
[23:49] need help, reach out to us. Call our
[23:53] happy to help. Use these things
[23:57] people to look into that. And then one
[23:59] fascinating philosophical point that I
[24:03] what's funny is I I
[24:09] there like there's no yield. So
[24:13] if if you if you can generate yield,
[24:17] retirees, boomers will be sitting on an
[24:22] collecting yield and they have fixed
[24:25] they don't have to work and they're
[24:29] savings and they're they're retired and
[24:33] owning government debt. And I think that
[24:38] Bitcoin is you must be productive to
[24:46] Bitcoin terms.
[24:52] no risk-free any of that because all of
[24:56] It's all a scam, right? They're they're
[25:00] 5% risk-free, but your rent is getting
[25:04] they're extracting wealth from you on
[25:08] these things to death, right? Um, in the
[25:14] you aren't working, yeah, you in Bitcoin
[25:21] to have to go down. And that's okay.
[25:27] redistribution of wealth. The Bitcoin is
[25:32] productive. And so if you have a 100
[25:36] income, sure, in nominal terms, in fiat
[25:41] continues to go up and up and up and up,
[25:45] maybe your 100 Bitcoin is worth 100
[25:48] grand and 300 grand. And so, sure, in
[25:52] going to end up being 99 and then 98 and
[25:57] free yield. So the rich don't just get
[26:03] the thing that I love is like in in this
[26:08] effect and the rich just get richer, get
[26:14] yield, it's all [ __ ] In Bitcoin, if
[26:19] you're consuming, in Bitcoin terms, your
[26:23] go down. Um, and like I said, I'm not
[26:29] Like guys, my dad's retired. My dad
[26:34] Bitcoin 10 years ago than he does now.
[26:40] like from a philosophical level, I and
[26:46] is starting to get credit products
[26:51] sell pressure off the market the more
[26:54] products. But uh I love from a
[26:57] that's how wealth should be
[27:02] was immensely productive in their life
[27:06] then yeah, some of those savings need to
[27:10] productivity is happening today. And I
[27:16] There should not be a I retire and get
[27:20] any sense. That would make any sense to
[27:24] was a valuable answer. I I hope it was.
[27:28] on the right side of one of the greatest
[27:32] serious responsibility that um this
[27:35] should carry seriously. I hope that um
[27:40] ultimately I mean so much of the world
[27:45] demonetized and so much of Bitcoin is
[27:48] I hope that we can realize some of that
[27:53] generations to come. I would love that
[27:57] have kids. I would love that for my
[28:01] products are going to be immensely
[28:04] better, only going to get cheaper, only
[28:07] certain issues like potentially retiring
[28:11] long as Bitcoin is going to outperform
[28:16] taxes are higher than the rate you're
[28:19] obviously, if Bitcoin is the only one
[28:23] realized, then it makes maybe less
[28:26] that. And uh, yeah, I I do I to answer
[28:32] stacks just got to go down, but that's
[28:35] not be able like the the idea that the
[28:39] risk-free yield. It's ridiculous. It
[28:44] if you're not being productive, then
[28:48] redistributed and that's the way it
[28:51] I'll I'll end it with this. Becoming
[28:57] is arguably harder.
[29:03] right place right time maybe you had a
[29:06] something but then staying wealthy
[29:12] got to be productive I got to be product
[29:17] accountable to that be productive and
[29:22] where you're like I you know those days
[29:26] my time and energy on this planet and
[29:31] expression that's totally okay but then
[29:35] theoretically get redistributed to uh
[29:39] I love a money that holds us accountable
[29:44] wealth great whe you inherited it uh you
[29:50] investment or or you worked hard
[29:53] have a money that holds us accountable I
[29:58] okay last question. Let's do Christian.
[30:05] always, guys, thank you guys for calling
[30:09] and for anyone that wants to call in,
[30:13] ask.jackmowers.com.
[30:17] want. You could also leave your name and
[30:19] anything you want. I really adore these.
[30:24] record. All right, Christian. Last one
[30:27] before I go to the airport.
[30:32] I don't have kids yet, but I'd love to
[30:37] for thought. A lot of Bitcoiners talk
[30:41] wealth for their kids, but I've heard
[30:46] money often ruins families by the second
[30:50] worth insane amount of money in 50 100
[30:56] a lot of money. So do you think
[31:01] Or is it better to give your kids a
[31:05] but not so much that it changes who they
[31:11] become?
[31:15] That's my my dream is to be a dad. I
[31:20] investors, they're like, "Who do you
[31:24] my answer is always my firstborn child."
[31:29] willing. Um, but I'm not yet. So, I'm
[31:36] to Maybe this is a question for my dad.
[31:42] bill and how he thinks about it. Um
[31:47] family uh children is the most natural
[31:54] I think human beings uh naturally
[31:59] things. We want to be part of something
[32:04] part of something that will last longer
[32:08] have that desire. You don't want to do
[32:14] experiment this whole thing called life
[32:18] an inter mural sports team uh whether
[32:23] that is being part of a book club you
[32:29] thing alone and you want the time that
[32:32] worthwhile and be long lasting and so I
[32:37] fulfill those innate desires incredibly
[32:42] than myself. I mean quite literally
[32:45] anyone. And then it obviously is such an
[32:51] not about the government. It's not about
[32:55] collective. And Bitcoin will last longer
[32:59] about 10 minutes on
[33:06] the other very natural expression I
[33:12] can't family by definition is greater
[33:18] extending your bloodline and uh
[33:25] hopefully last longer than you will. So
[33:30] uh and being a net contributor to
[33:39] and passing it down to my bloodline that
[33:46] think these are like this is
[33:50] think about it. Um, I haven't really
[33:57] have to pass down where it would go. I
[34:04] about it or considered it. Um, you know,
[34:08] cool that Bitcoin in this way I mean
[34:13] our money is really just human time,
[34:19] form. And the fact that I can take I
[34:23] hopefully, knock on wood, God willing,
[34:29] complete idea of all the [ __ ] I've been
[34:35] in El Salvador before it was one of the
[34:40] of the time, energy, effort, and labor I
[34:44] fact that I can capture and save and
[34:51] one can no one can print that nobody can
[34:59] didn't get in like the it is the
[35:04] be able to acquire and the fact that I
[35:09] kids like you guys want to know how hard
[35:15] asskicking your dad was. Look at these.
[35:21] the most competitive, scarce thing,
[35:26] dad was out there in El Salvador making
[35:32] to be left behind. So, I don't know.
[35:37] There's never a doubt in my mind that I
[35:41] as I can and I'm just gonna accumulate
[35:45] society and hopefully um my children are
[35:52] bitcoins I'm able to pass down. So, I
[35:57] I don't I I actually have no experience
[36:01] an [ __ ] I I don't I don't know.
[36:06] Bitco Bitcoin brings about
[36:11] preference, delayed gratification, true
[36:16] know, I'm hopeful that my children and
[36:23] be fiat, you know, trust fun. Um I'm
[36:33] from experience there. Anyway, but I I
[36:37] philosophical stance. Family, Bitcoin,
[36:42] part of something bigger than you and
[36:46] longer than you. And I love the fact
[36:50] the effort and labor in this finite
[36:56] this blood, sweat, and tears uh to my
[37:02] I mean Bitcoin, you know, money is you
[37:08] transporting across space. So, it's got
[37:13] It's got to go from Chicago to London,
[37:17] the blood, sweat, and tears right now
[37:22] to 2126? How do I take human effort and
[37:28] now so that my grandchildren could, you
[37:34] and all the work that he was doing at
[37:39] neutral inclusive monetary system, like
[37:45] someone that is not is only going to be
[37:49] So, I don't know, man. But it would
[37:55] dick. So, I guess [laughter]
[38:00] you uh I'll get back to you. I'm getting
[38:05] children shortly after that. So, um I'll
[38:08] years, brother. Um all right, guys. I'm
[38:14] Bitcoiners, keep DMing me. Let me know
[38:21] really what I'm focused on. I think
[38:26] the bees knees when it comes to these
[38:30] book is through the roof, skyrocketing.
[38:33] got our Mika license, I don't know
[38:37] want, do you guys want to borrow in
[38:42] them? None of them. Um I just don't live
[38:46] out with you guys. I'll let you guys
[38:50] when and where uh probably next week. Uh
[38:56] I'll see you guys uh for Mailbag Monday
[39:01] comments, questions, as always, leave in
[39:05] the comments uh below. Love you. Peace.