I’m not sure about you, but I love old Warner Brothers Loony Tunes cartoons. Growing up they were funny. Saturday mornings, a bit of Bugs, Wiley Coyote, Foghorn Leghorn…classic.
They were entertaining. I must admit, even today I’ll still watch a couple on repeat, just for the nostalgia.
One of my all-time favourites is, ‘Rabbit Fire’. It’s the first in a trilogy of ‘hunting’ cartoons. The basic premise of the whole trilogy is Elmer Fudd is hunting and Bugs and Daffy are the targets.
If you’re at all familiar with Looney Tunes you’ll know what comes next. Chaos.
Part of the reason I love it is because there’s no political correctness. It’s a cartoon, a silly cartoon. But it’s full of casual destructive violence. It’s socially and politically charged. It’s satire. And it’s where a duck gets shot in the face, and it’s harmless. That’s the way cartoons, satire in general, should be.
But for all the un-PC nature of Looney Tunes, it’s a classic dialogue between Bugs, Daffy and Elmer that I love best.
Elmer Fudd: Now I got’cha you – you, Wabbit! Hahahah.
Bugs Bunny: Say doc. Are you tryin’ to get yourself in trouble with the law? This aint rabbit hunting season!
Elmer Fudd: It’s not?!
Bugs Bunny: No, it’s duck hunting season.
Daffy then irate storms towards them both pointing his finger at them.
Daffy Duck: That sir is an imissagated fabrication! It’s wabbit season.
Bugs Bunny: Duck season.
Daffy Duck: Wabbit Seathon!
This goes on for a while before Elmer points his gun towards Daffy and fires. Resulting in Daffy’s bill spinning around his head, as explained earlier.
I don’t know why I love this so much. Maybe it’s because of the shrewd way Bugs goes about things. Maybe it’s because Daffy, so irate at Bugs, simply gets himself into trouble out of sheer stupidity.
Whatever it is, today this wonderful bit of animated nostalgia came flooding back to me.
And of all the things that triggered this memory, it was a short interview on Bloomberg TV.
The bitcoin love/hate relationship
I think the Bugs and Daffy monologue sprung to mind because of the pot shots at the cryptocurrency phenomenon from major Wall Street heavyweights.
You may know Jamie Dimon’s negative position on bitcoin. If you don’t, check out yesterday’s Money Morning, here. But he’s not the only one to declare ‘hunting season’ on bitcoin and cryptocurrency.
Mohamed El-Erian is the former CEO of PIMCO one of the world’s largest asset managers. As of 30 June 2017 PIMCO had US$1.6 trillion in assets under management. That’s no typo…US$1.6 trillion.
El-Erian is now Chief Economic Adviser at Allianz. And today he too had his shot at bitcoin. His belief is the price will collapse. It should be worth one third or half of what it is now.
Of course on the side of bitcoin (aside from I) you have plenty of others saying it’s a true monetary revolution. John McAfee is a huge long-term bitcoin bull. Even famous entrepreneur Mark Cuban has come around to its potential. Of course Bill Gates has thrown his support behind it. And Sir Richard Branson is a massive backer of bitcoin and other cryptocurrencies — even Australia’s own recent ICO, Powerledger.
But even amongst business pioneers and tech evangelists, some of the biggest fans of bitcoin are the ones that also seem to hate it most…Wall Street banks.
In December 2013 Bank of America Merrill Lynch said bitcoin had potential as a ‘major means of payment for ecommerce’. They also said it could become a ‘serious competitor to traditional money transfer providers’.
In 2014 Citi highlighted bitcoin as a ‘big opportunity’ in their ‘disruptive innovations’ paper. They made note of the ‘more than 200 digital currencies [that] exist today, with 12 having marketing capitalisations > $5 million’
The best quote of all however said,
‘Imagine a currency that isn’t subject to the whims of central bank money printing, could be used for transactions seamlessly and almost without cost across the world, is more secure than any money transfer system, can be extended to non-monetary transactions and will make you rich. Who could conceivably argue against it?’
Goldman Sachs had their say too, ‘bitcoin likely can’t work as a currency, but some sense that the ledger based technology that underlies it could hold promise.’
But as reported by Tech Crunch,
‘In December 2014, former JPMorgan Chase global head of transactions Paul Camp left the firm to become CFO of Circle, a digital currency wallet company. Former head of global commodities Blythe Masters also left JPMorgan Chase in March 2015 to become CEO of Digital Asset Holdings, a company looking to use bitcoin technology to make trading more efficient for financial institutions.’
So is it duck season or rabbit season? Well in our view it’s duck season, and the banks are the ducks…sitting ducks. The smart, shrewd Bugs Bunny is our world of cryptocurrency. And it’s dancing rings around the banks.
The banks are overconfident, ignorant, and starting to get a little angry about the potential of bitcoin and cryptocurrency. They’re the ones storming back at cryptocurrency, waving their angry little fingers, saying, ‘It’s crypto hunting season, not bank hunting season!’
There’s only ever one winner
But the truth is it’s ‘bank hunting season’, and has been for about a decade now. And it’s not going to stop any time soon. The very existence of bitcoin and cryptocurrencies threaten the entire system that companies like JPMorgan, Goldman, Citi, PIMCO and others are built on.
It challenges them with the fact that elitist greed and excess has an expiry date. And none of them like that idea. Of course they argue they’re winning. And the recent bitcoin price falls of 20–30% might appear to be a win for Wall St.
But it’s something we’ve seen before, several times. In fact, every major price fall of bitcoin before now has been worse.
We’re not worried at all. We’re playing the long game here. These movements are an opportunity, in our view. In fact, we’re personally going to be topping up our own holdings.
And will continue to do so, because the crypto opportunity has a 5–10 year horizon minimum. We think you’re seeing the start of a monetary revolution. And like all revolutions there will be fighting, there will be casualties. But there will be change. Radical change. And we believe it will be for the better.
Of course when you realise it’s duck season and not rabbit season, you also realise something else. And if you’ve ever seen a Bugs and Daffy cartoon, you’ll get this. The rabbit always wins in the end.
Editor, Secret Crypto Network