Get Ready for the Rage Stage

By ,

The tell-tale signs a Great Crypto Lock-Up is underway all around us.

If you want to know which bombed-out cryptos the smart money is circling, read this.

One of the most recent signposts from this weekend…

South Park just put out a new episode that takes the absolute p!ss out of the crypto industry.

Literally!

Taking aim at the recent ‘fortune favours the brave’ campaign from exchange Crypto.com — you know, the one with Matt Damon — they changed the product from crypto to urine.

With the tagline:

‘Matt Damon is in. Are urine?’

Pretty funny!

But as a long-time fan of South Park, I think it’s a little lazy. I mean, beating up on an industry in the depths of a bear market isn’t that clever by their standards.

Personally, I find it more amusing that the world still entrusts these types of people with control over money:


Fat Tail Investment Research

Source: Twitter

[Click to open in a new window]

Good comedy punches up, not down.

Still, they have a point…

Looking at it all wrong

I’ve been in crypto since late 2013, and every bull market brings out your usual assortment of charlatans, chancers, money grabbers, and frauds.

And frankly, a lot of it is a load of p!ss.

However, I see a lot of people correlating the bad parts of crypto with the entire industry. Which is a mistake.

Most of these people are long-time critics of crypto, and it’s usually in their interests to kick it when it’s down.

They delight in the price falls as a vindication of their viewpoint every bear market.

Which makes me scratch my head…

I mean, what type of horrible person takes enjoyment out of other people making losses?

And it’s not even true for anyone who’s been in the industry longer than two minutes.

For example, I first got into Bitcoin [BTC] at US$600. It’s more than US$20,000 today. And anyone who’s been investing for more than two years has probably made a decent amount of money, including a lot of my long-time subscribers.

But most — including me — had to get over at least one bear market like the current one to truly understand the technology and its value.

Anyway, that’s not the point I want to make.

It’s this…

If you just see crypto as a ‘gamble’ or a ‘lotto ticket’, you’re looking at it all wrong.

I certainly don’t see the crypto industry as one giant roulette wheel.

At least, not the parts I focus on.

In amongst the pretenders and dodgy operators, there are truly game-changing ideas taking off faster than many people realise.

Some of my favourite crypto projects are onboarding the likes of Disney, Adidas, Adobe, Facebook, Stripe, Google, Oracle, Square Enix, Block, and many, many more.

I’m not talking sometime ‘soon’ but right now.

Indeed, I think the next evolution of crypto will be a silent mass adoption process where people use the underlying tools of the blockchain ecosystem without even knowing it.

We’ll see this happen across the board in consumer brands, logistics, entertainment, and even in the banking industry itself.

And when it happens, haters will be in disbelief!

In fact, they’ll get very angry about it as I’ll explain shortly.

And it’s why today’s situation is such an opportunity.

I showcase the exact opportunities I’m personally targeting at a free online event this Thursday.

It’s called The Great Crypto Lock-Up Seminar, and you can register to attend for free here.

What you’ll see is this…

As the entire industry is being mocked, pilloried, and laughed at, the value on offer for people who take their time to understand what’s actually happening is immense.

But we’re not quite there yet.

Indeed, the next stage is where it gets very interesting…

First, they mock you

Super-famous technology investor Marc Andreessen is at least one person who agrees with me.

His firm, a16z, recently raised US$4.5 billion to invest in ‘urine’.

Andreessen recently sat down with popular podcaster Sam Harris to talk about some of the reasons why.

The thing about Andreessen is that he grew up investing in internet stocks from the early ’90s onwards.

He literally experienced firsthand how a nascent industry grows from almost scratch, and the extreme challenges it has to overcome.

As Andreessen says, for a long time, people were just as sceptical of the value of the internet as they are of cryptocurrencies today.

Indeed, it’s a natural process when it comes to new technologies.

As he explains in the interview from around 26.30 onwards (slightly edited for clarity):

Stage one, the new technology is ignored…

Stage two is vigorous protest…

Stage three…when the name calling begins. Stage three is basically rage. The existing power structures go incandescent with rage. Because any new technology that works is a re-ordering of status and power.

It’s worth a listen (you can hear the first 40 minutes for free here).

And I think this ‘rage stage’ is fast approaching…

From the ashes

Right now, the regulators, central bankers, and government power brokers still think they have control.

Though, this control looks more tenuous than ever.

The masses are witnessing the failure of a bureaucratic system that seeks to control money, energy, markets, and everything else.

As Austrian economist Ludwig Von Mises noted more than two centuries ago, this is how monetary systems always destroy themselves:

The boom cannot continue indefinitely. There are two alternatives.

Either the banks continue the credit expansion without restriction and thus cause constantly mounting price increases and an ever-growing orgy of speculation, which, as in all other cases of unlimited inflation, ends in a “crack-up boom” and in a collapse of the money and credit system.

Or the banks stop before this point is reached, voluntarily renounce further credit expansion and thus bring about the crisis. The depression follows in both instances.

We’ve seen central bankers play the first hand ever since the 2008 GFC. And now it seems they’re giving the second option a go.

But this is a dangerous moment for them and their continued existence.

As the effects of this financial repression filter down to ordinary people (it is already), my view is they’ll blink hard soon and reverse course to stave off a possible depression.

The prospect of an angry mob baying for blood will be too great for them and their political masters to bear.

In short, they’ll restart the great money printing boom of the past decade and a half.

And, in turn, destroy the existing credit based monetary system once and for all.

Emerging from ashes will remain the only asset class not beholden to this dead system. A new monetary system built on bitcoin and running on crypto tech.

Ironically, maybe fortune will favour the brave after all.

To find out where the smart money is making their early bear market plays, register for free to attend The Great Crypto Lock-Up Seminar this Thursday…just go here.

Good investing,

Ryan Dinse Signature

Ryan Dinse,
Editor, Money Morning

About Ryan Dinse

Ryan Dinse is an Editor at Money Morning.

He has worked in finance and investing for the past two decades as a financial planner, senior credit analyst, equity trader and fintech entrepreneur.

With an academic background in economics, he believes that the key to making good investments is investing appropriately…

BlackRock, the World’s Largest Asset Manager, Dives into Bitcoin — Should You?

BlackRock announced a new private Bitcoin [BTC] trust for institutional investors, you know things are getting serious. Because with this new service, some of the firm’s biggest clients will now be able to gain direct exposure to the largest and most well-known cryptocurrency.

The ‘Crypto Amazon’ to Rise from the Ashes of the Crypto Bear Market

Crypto is in a bear market right now, but history suggests this is a great time to accumulate quality crypto projects. One such project — let’s call it Crypto X — can be the ‘saviour of the bear market’, according to veteran crypto expert Ryan Dinse.

The US’s Orwellian Recession Proves the Need for Decentralisation

Overnight the US GDP data was released, and the result was damning. A 0.9% decline for the second quarter in a row has tipped the US economy into a technical recession.

The Fed’s Monetary Madness Continues, but Crypto May Be the Big Winner

Overnight Jerome Powell and his colleagues delivered the expected news: a 75-basis-point rise has been declared for US interest rates.

Examining the Future of Crypto

While many think of bitcoin as nothing but a currency, bitcoin’s protocol and the underlying blockchain technology have much wider implications. Princeton computer science professor Arvind Narayanan wrote that bitcoin’s underlying technology may cause a rethink on centralised institutions

Philip Lowe Backs Stablecoins over a CBDC, but with a Catch…

Don’t expect any one stablecoin, whether it’s backed by the government or not, to rule. It seems much more likely that we’ll see a variety of tokens thrive and see successful adoption.