This is a message put forth by money manager Jim Bianco.
In this video I delve into the quote and the sentiment behind it. I have phrased it in different ways but the fact it is being swallowed up by Wall Street means little differentiation between products.
▶️ 3Speak
I don't think this development was a surprise. There are a lot of companies and examples of things starting out with idealistic purposes, only for it to be successful, be bought out by big companies, and eventually forget about those ideals. OpenAI is one of the latest one after they scrapped their open source. For companies, the only way to protect against this is to remain private. For BTC though, this was inevitable.
Wall Street does Wall Street.
So no, not a surprise. I saw people in 2017 screaming for Wall Street to enter crypto. I just shook my head. These fools do not know what they are dealing with.
Bitcoin is surely the King of Crypto, but certainly not private
I always had an hunch it would come to big companies scrapping for a tittle in the crypto world and they are going for the cream of them all
Crypto is going far so that big companies are getting interest in it.
Thank you for the analysis. It good to know how crypto is going.
I think with bitcoin's lightning network the transaction speeds are rapid and bitcoin can be able to compete with the likes of credit cards even.
Summary:
The host discusses the recent comments made by Jim Bianco, a money manager, who stated that Bitcoin ETFs are "taking the soul of crypto." The host agrees with Bianco's assessment, noting that he has previously used the term "Wall Street hijacking Bitcoin" to describe a similar concept.
The host explains that Bianco's perspective focuses on how Bitcoin is failing to differentiate itself from traditional finance and is instead becoming a part of it. This aligns with the host's view that the crypto community, including Bitcoin advocates, have been more focused on the price appreciation of cryptocurrencies rather than the underlying principles and values that Satoshi Nakamoto envisioned for Bitcoin, such as decentralization, sovereignty, and operating outside the traditional banking system.
The host argues that the crypto community, including Bitcoin supporters, have been celebrating the approval of Bitcoin ETFs and the involvement of financial institutions, rather than recognizing the potential loss of Bitcoin's original vision. The host believes that as more institutional money flows into Bitcoin through these products, the cryptocurrency will become increasingly tied to traditional financial systems, undermining the core principles it was founded upon.
Detailed Analysis:
The host begins by discussing Jim Bianco's statement that Bitcoin ETFs are "taking the soul of crypto." The host agrees with this sentiment, noting that he has previously used the term "Wall Street hijacking Bitcoin" to describe a similar concept.
The host explains that Bianco's perspective focuses on how Bitcoin is failing to differentiate itself from traditional finance and is instead becoming a part of it. The host sees this as aligning with his own view that the crypto community, including Bitcoin advocates, have been more focused on the price appreciation of cryptocurrencies rather than the underlying principles and values that Satoshi Nakamoto envisioned for Bitcoin, such as decentralization, sovereignty, and operating outside the traditional banking system.
The host argues that the crypto community, including Bitcoin supporters, have been celebrating the approval of Bitcoin ETFs and the involvement of financial institutions, rather than recognizing the potential loss of Bitcoin's original vision. The host believes that as more institutional money flows into Bitcoin through these products, the cryptocurrency will become increasingly tied to traditional financial systems, undermining the core principles it was founded upon.
The host further elaborates on this point, stating that Bitcoin advocates often compare the cryptocurrency to digital gold and treat it like any other traditional financial asset, applying technical analysis and charting in the same way as stocks. The host argues that this approach fails to address the broader goals of Bitcoin, such as freedom, sovereignty, and operating outside the scope of central banks and governments.
The host acknowledges that Bitcoin's design had flaws, such as the idea of deflationary money, but argues that the vision of Satoshi Nakamoto for Bitcoin is now effectively dead. The host cites the praise for figures like Michael Saylor, a Wall Street-type running a fund that has heavily invested in Bitcoin, as an example of how the crypto community has embraced the involvement of traditional finance in the space.
The host then discusses the potential future of Bitcoin, predicting that more money will flow into Bitcoin ETFs and other products, and that sovereign wealth funds and even central banks may start to hold Bitcoin as an asset. However, the host argues that this will further cement Bitcoin's integration into the traditional financial system, making it unlikely that the original goals of Bitcoin, such as sovereignty and the destruction of the US dollar, will be achieved.
The host concludes by stating that the "soul" of Bitcoin, as described by Bianco, was lost long ago, and that Bitcoin's original vision is now effectively dead. The host believes that while Bitcoin may continue to be traded and held as a store of value, the principles of decentralization, freedom, and operating outside the traditional financial system are no longer the driving force behind the cryptocurrency's adoption.