Speaker 1: FED Chair Jerome Powell gives this signal that quantitative tightening
Speaker 1: is over and ray cuts are coming very soon. This
Speaker 1: means we're going back to easy money and it's risk
Speaker 1: on folks, so we can expect crypto and stocks to
Speaker 1: start pumping. I'm gonna break down some charts for you,
Speaker 1: and the SEC takes a major loss in their lawsuit
Speaker 1: against crack in Exchange. This is significant and Sony de
Speaker 1: Tech Giant is looking to launch a Ethereum Layer two.
Speaker 1: We're gonna break this down and much more. Let's get
Speaker 1: into it. Hey, everybody, welcome into the Thinking Crypto podcast,
Speaker 1: your home for cryptocurrency news and interviews. I'm your host,
Speaker 1: Tony Edward. On your way in, Please at that subscribe
Speaker 1: button as well as a thumbs up button and leave
Speaker 1: a comment below. If you're listening on a podcast platform
Speaker 1: such as Spotify or Apple, please leave a five star
Speaker 1: rating and review. Folks. The big news of the day,
Speaker 1: as I'm sure many of you saw that Jerome Powell,
Speaker 1: the Chair of the FED, announced at Jackson Hall, Wyoming
Speaker 1: that the time has come for the FED to begin
Speaker 1: reducing interest rates. And we knew this was coming, but
Speaker 1: it's official, right We got it straight from the horse's mouth,
Speaker 1: and of course many folks are anticipating the first cut
Speaker 1: to come in September. So what does this mean for markets, guys, Well,
Speaker 1: right now Bitcoin is pumping off that news. It is
Speaker 1: over sixty four thousand dollars nice green candle on the
Speaker 1: daily chart, and the DXY, that dollar currency index, is
Speaker 1: crashing hard. It is at one hundred right now. Just
Speaker 1: red candles, red candles, And that's what we want to see,
Speaker 1: because when the DXY is crashing, guys, there's an inverse
Speaker 1: correlation where risk assets like bitcoin and all coins are pumping.
Speaker 1: So that's an ideal situation for the continuation of the
Speaker 1: bull market and for us to see parabolic moves. Now,
Speaker 1: if you read my email newsletter today, I shared a
Speaker 1: great chart where I showed that when the DXY falls
Speaker 1: below one hundred, it's completely risk on folks, and that
Speaker 1: means we're going to see a lot of apple will
Speaker 1: come into the crypto asset class as well as the
Speaker 1: stock market. And one of the things Nate Jerraci and
Speaker 1: I spoke about in our recent interview is that a
Speaker 1: lot of money is going to leave money market funds,
Speaker 1: which was generating a lot of high yield or interest
Speaker 1: because the rates were so high. But if the rates
Speaker 1: are getting cut, you're not going to make as much.
Speaker 1: So people are now going to move a lot of
Speaker 1: those funds into risk assets like bitcoin, crypto and the
Speaker 1: stock market, and people will see this as a bullish sign.
Speaker 1: So the market sentiment in psychology is going to change
Speaker 1: because we're now headed to the next boom cycle. We
Speaker 1: have officially ended the quantitative tightening cycle where they are
Speaker 1: raising rates and the FED is selling many of their
Speaker 1: securities holdings. Now rates will fall, it will be easier
Speaker 1: for businesses to borrow money, hedge funds and everybody, and
Speaker 1: you know, the business cycle will do really well and
Speaker 1: people will now look to invest. So there's a whole
Speaker 1: market psychology to this, right that ray cuts are coming down,
Speaker 1: it's easier to get a mortgage, all that stuff. You
Speaker 1: guys understand the economics of it. So we are at
Speaker 1: the cusp of entering the risk on era guys again,
Speaker 1: And we've seen these boom and bus cycles throughout the
Speaker 1: history of the economy. So we're coming out of the
Speaker 1: bus which was twenty twenty two a bit into twenty
Speaker 1: twenty three and entering into the next long term boom cycle.
Speaker 1: So that's very bullish overall. So you may say, why
Speaker 1: are you saying we're at the cusp, Tony, isn't it
Speaker 1: done well? Not yet, folks. And when you look at
Speaker 1: this bitcoin chart, bitcoin could retest lows again before we
Speaker 1: have the bounce and keep going higher. I'm not saying
Speaker 1: I want that to happen. I'm not saying that will happen.
Speaker 1: I'm saying it's a probability. As informed, educated investors, we
Speaker 1: want to leave our emotions at the door and be
Speaker 1: prepared for different scenarios because Bitcoin could test the lows again,
Speaker 1: go back down to fifty k. Who knows, it may not.
Speaker 1: This may be the move that takes us up. It's
Speaker 1: not going to go to straight line. It's going to
Speaker 1: be you know, kind of a staircase, right, you're stepping upwards,
Speaker 1: you're pumping go back a bit, bill support level, pump again,
Speaker 1: pull back bill support levels, higher highs, higher lows. You
Speaker 1: guys know the deal. So that's what I'm anticipating, and
Speaker 1: I believe the markets will really start to rally significantly
Speaker 1: come the second half of September when that raycut actually happens,
Speaker 1: and seasonality wise, we've seen that October into November, December
Speaker 1: Q four there is a significant rally for bitcoin. The
Speaker 1: question is will we see the blow off top by
Speaker 1: the end of this year or will it is bleed
Speaker 1: into next year. There will be a blow off top.
Speaker 1: So right now, as I stated in my newsletter, I'm
Speaker 1: going to be preparing to cash out, have my numbers
Speaker 1: and all my price targets set up accordingly for both
Speaker 1: crypto and the stock market. So that's how I'm viewing this.
Speaker 1: I hope you understand. As mentioned, check out my newsletter today.
Speaker 1: It's free to sign up. It's all free you guys.
Speaker 1: You don't have to pay anything. So I am very bolish, guys,
Speaker 1: I am very very bullish. We got the macro signal
Speaker 1: from the Fed that QT is done, that heightening cycle
Speaker 1: is done. We're now entering to easy money. We know
Speaker 1: what that means, lower rates, more money printing and all that.
Speaker 1: One of the things we've been tracking over the past month, guys,
Speaker 1: given you know the Japanese end trade and the markets
Speaker 1: pulled back significantly, is the stable coin volume and minting.
Speaker 1: We saw Tether just this month minted two billion USDT
Speaker 1: and USDC issued by Circle. They issued hundreds of millions
Speaker 1: of USDC and today fifty million was minted. This is
Speaker 1: very important because where's this Where are these stable coins
Speaker 1: going to go? People are not minting it for fun.
Speaker 1: This is going to go into the crypto acid class.
Speaker 1: So notice we're looking at the charts, we're looking at
Speaker 1: the macro, We're looking at different factors like these things,
Speaker 1: the stable coins supply and so forth, not just for
Speaker 1: USDC and not just for us DT, but both. So, guys,
Speaker 1: I'm seeing some very bullish signals here, very exciting times.
Speaker 1: I hope you are as bullish as I am. Now
Speaker 1: we got news here that Sony Detect Giant they are
Speaker 1: teasing the launch of an Ethereum Layer two blockchain with
Speaker 1: Startail Labs. Folks, it's amazing. You have the biggest companies
Speaker 1: in the world, whether they're in their tech sector, the
Speaker 1: finance sector, whatever, they are adopting crypto. They're building with it,
Speaker 1: they're launching financial products. We've crossed the chasm. It's amazing.
Speaker 1: Who's here. I am still waiting for Michael Dell to
Speaker 1: tweet out Dell has officially added bitcoin to their balance.
Speaker 1: Youet I've been sharing this with you guys for months
Speaker 1: now because Michael Dell has been tweeting about bitcoin, and
Speaker 1: it's amazing to see these legacy companies do this. It's
Speaker 1: very bullish. So global conglomerate Sony Group's joint blockchain venture
Speaker 1: with Startail announced the development of Sonium. If I'm saying
Speaker 1: that right, s O N E I U M. It's
Speaker 1: first Ethereum layer two blockchain that focuses on scalability and
Speaker 1: user friendliness when an aim for mainstream adoption. Sonium, upon launch,
Speaker 1: plans to deliver Web three apps across a multitude of feels,
Speaker 1: including entertainment, gaming, and finance, leveraging Sony's global Web two
Speaker 1: presence Sony block Solutions Labs. In a statement, Sony Group
Speaker 1: has strong distribution channels and multiple industries and existing users
Speaker 1: in our daily lives. Soda Watanabe, founder of Astor Network
Speaker 1: and director of Sony Block Solution Labs, said in the
Speaker 1: press release, through Sonium, we will make something people want
Speaker 1: to go mainstream beyond Web three. Now, I don't know
Speaker 1: if this is going to have a token. They don't
Speaker 1: mention that here, but this is nevertheless bullish. It's going
Speaker 1: to be built on. It's going to be a layer
Speaker 1: two to Ethereum. So if you hold the Eve token,
Speaker 1: this is going to benefit you, of course, and I'll
Speaker 1: try to get more details here. The other thing that
Speaker 1: Sony is working on, it was reported, is that they're
Speaker 1: preparing to launch a local cryptocurrency trading platform in Japan. Guys,
Speaker 1: I hope you are as bollish as I am. I
Speaker 1: am seeing incredible things happening here in this market. Now
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Speaker 1: next news item. Russia to launch two crypto exchanges and
Speaker 1: stable coins linked to the Yuan and the bricks currency.
Speaker 1: This is coming from Comerceant, so we are seeing the
Speaker 1: global adoption of crypto. Whether you love or hate Russia
Speaker 1: or you know, all these different things. The point is,
Speaker 1: I'm not trying to endorse any type of country. I'm
Speaker 1: just stating the facts of adoption, who's building, who's launching,
Speaker 1: what they're doing. And we know Russia is trying to
Speaker 1: bypass sanctions by using specific stable coins. They've even legalized
Speaker 1: crypto for cross border payments. So something very interesting is
Speaker 1: cooking up here, guys. But this speaks to where we're headed,
Speaker 1: and that is a world running on blockchain, whether it's
Speaker 1: currencies on the blockchain, tokenized assets, and much more. Everyone
Speaker 1: is joining the party in one fashion or the other.
Speaker 1: And it's amazing to see that Russia is doing these things.
Speaker 1: And once again, the politics of Russia in Ukraine that's
Speaker 1: an entirely different situation. But big things are happening globally,
Speaker 1: and global superpowers are making big moves. It's pretty incredible.
Speaker 1: Now we got some big updates around the SEC lawsuit
Speaker 1: against krack in exchange. We know the SEC, led by
Speaker 1: scumbag regulator Gary Ginser, has been targeting coin based kracking,
Speaker 1: Robinhood and much more, and Kraken's been fighting back, which
Speaker 1: is what we want to see. The industry's punching back.
Speaker 1: So we got news here that their motion to dismiss
Speaker 1: in the US SEC case was denied. But this headline
Speaker 1: is a bit deceiving. Let me give it a details.
Speaker 1: There's actually a big win for Kraken here in the
Speaker 1: crypto industry, so Marco Santori, who's the chief legal officer
Speaker 1: at Kraken, said today the Federal Court for the Northern
Speaker 1: District of California ruled as a matter of law that
Speaker 1: none of the tokens trading on Kraken are securities. So, folks,
Speaker 1: that is huge. It is a stark contrast to what
Speaker 1: Gary Againster is trying to pedal that all these things
Speaker 1: are securities, right, and they throw a bunch of tokens
Speaker 1: in these lawsuits, they don't litigate, eat and give each
Speaker 1: of those tokens due process. So this is a significant
Speaker 1: win for Kraken, for the principle of clarity, and for
Speaker 1: crypto users everywhere. It also confirms Kracken's long standing position
Speaker 1: that it does not list securities. Furthermore, the courts found
Speaker 1: the SEC's self serving invention of the crypto asset security
Speaker 1: concept to be unclear at best and confusing worse. The
Speaker 1: court called out the SEC straw man tactics too, wondering
Speaker 1: aloud on the record, why the SEC consistently mischaracterizes Kraken's
Speaker 1: position as requiring a written contract for there to be
Speaker 1: a security. I guess why. Because Gary Ganser is a scumback.
Speaker 1: He will lie in the courts. The SEC got subpoena
Speaker 1: in the death death box case. They got called arbitrary
Speaker 1: and capricious in the Gray Scale case. So what can
Speaker 1: we expect, right, Gary's going to do anything. He'll break
Speaker 1: the law just to get his way here, Marco continues,
Speaker 1: Yet the court still permitted the case to proceed to discovery.
Speaker 1: How read on Fundamentally, the court in Kraken's case made
Speaker 1: the same distinction as in the Ripple case. A token
Speaker 1: isn't a security, but arguments around a token could be.
Speaker 1: So it's as Judge Torres ruled right, the token itself
Speaker 1: intrinsically is not a security, just like the orange groves
Speaker 1: or the oranges and the how we test were not securities.
Speaker 1: Rather it was how we packaged them. So it depends
Speaker 1: on the facts and circumstances. But the SEC likes to
Speaker 1: have it both ways. They like to throw out facts
Speaker 1: and circumstances. But we know that the token just creating
Speaker 1: a token itself that is not a security, but how
Speaker 1: is it offered? So what's the scheme around it? Right?
Speaker 1: So the sec unqualifiedly loss on this tokens are securities
Speaker 1: theory and will not be permitted to rely on it
Speaker 1: going forward. That is huge, folks. Instead, it will need
Speaker 1: to prove for every alleged transaction on Kraken that the
Speaker 1: Howie test factors are satisfied. Now, a bunch of different
Speaker 1: people weighed in. I want to share what James Murphy
Speaker 1: metlaw Man had to say because he absolutely gets this
Speaker 1: from a legal perspective. He says, to put the case
Speaker 1: in proper context. Remember, there are no allegations that krack
Speaker 1: and defrauded anyone, so this is not a fraud case, guys.
Speaker 1: The crux of the case is the SEC alleges that
Speaker 1: the eleven cryptotokens are traded as investment contracts ie securities.
Speaker 1: This includes Cardono, Algoran ADAM filecoin Flow, ICP, Manimatic, near
Speaker 1: OMG in Solana. He says, as I read the opinion,
Speaker 1: I sympathized with the judge as he had to sift
Speaker 1: through a lot of conflicting crypto case law. That is
Speaker 1: being developed as a consequence of the SEC scattered regulation
Speaker 1: by enforcement approach. Interestingly, the judge specifically aligned himself with
Speaker 1: the reasoning of Judge Torres and the Ripple case. On
Speaker 1: a number of points. The judge rejected the major questions
Speaker 1: doctrine defense. Quoting another case, he wrote, the cryptocurrency industry
Speaker 1: falls far short of being a portion of the American
Speaker 1: economy bearing vast economic and political significance. That's interesting, James says,
Speaker 1: I wonder whether he noticed the recent headlines declaring that
Speaker 1: the crypto industry is the single largest political contributor in
Speaker 1: the land. Ultimately, the judge concluded that the binding Ninth
Speaker 1: Circuit case left him with little choice but to allow
Speaker 1: the case to move forward. At this point, James says,
Speaker 1: winning a motion to dismiss at the onset of a
Speaker 1: case is hard, So it's not a big deal that
Speaker 1: the judge is letting this move to discovery and going
Speaker 1: on right that happened in the Ripple case and so forth.
Speaker 1: This means the case will move on to discovery directed
Speaker 1: at the question of whether the eleven tokens in the
Speaker 1: case are traded as investment contracts. This discovery and potential
Speaker 1: trial will happen without the presence of the eleven token
Speaker 1: issuers as parties in a case. So this is what
Speaker 1: I've been talking about. Guys. See SEC just throw a
Speaker 1: bunch of tokens in not litigating each of those tokens,
Speaker 1: not giving them the legal due process. That is a
Speaker 1: scumbag move. James says, My overall impression is that the
Speaker 1: judge felt that the SEC did satisfy the requirements of
Speaker 1: how we at at this early stage, but he is
Speaker 1: not necessarily convinced that the SEC will ultimately be able
Speaker 1: to prove sufficient facts to show that these tokens actually
Speaker 1: traded as investment contracts on rackin. So this is very
Speaker 1: similar to the Ripple case. XRP intrinsically not a security.
Speaker 1: X AREP traded on secondary markets on exchanges, not security.
Speaker 1: But they said that the institutional sales which involve the
Speaker 1: contract are security. So facts and circumstances. Gary Ginster getting
Speaker 1: exposed and this is why we got to keep fighting.
Speaker 1: This is why the industry is punching back as they
Speaker 1: see weakness, they see lies, they see unlawful activities. We
Speaker 1: know Gary's doing this because he's doing the bidding of
Speaker 1: Elizabeth Warren, who's doing the bidding of tratify, incumbans who
Speaker 1: want to kill these cryptos startups, these exchanges so they
Speaker 1: can come in and take over. Right, I've often talked
Speaker 1: about how can two things be happening in parallel, cryptos
Speaker 1: startups getting lawsuits, wells notices, while Black Rock, Franklin, Temple's
Speaker 1: and Fidelity and all these guys are tokenizing, are launching
Speaker 1: ETFs and much more. Right, how can these two things
Speaker 1: be happening in parallel because the incumbents made the phone
Speaker 1: call to the Goldman Sachs guy who's at the SEC,
Speaker 1: and that is Gary Ginzer. If you don't believe that,
Speaker 1: if you think that's a conspiracy theory, then you don't
Speaker 1: know how the world works. I don't know about the
Speaker 1: revolving door of Wall Street and Washington, DC. Just go
Speaker 1: look it up. It's there. Gary's an example, look at
Speaker 1: Hank Paulson. There's many examples, guys. And it really sucks
Speaker 1: that these things happen. But this is why we got
Speaker 1: to hold our government accountable. We got to share the facts,
Speaker 1: call up our representatives, and much more. But one thing's
Speaker 1: for sure, Crypto's here to stay. Cryptos winning Gary will
Speaker 1: be kicked out and the SEC is on the losing
Speaker 1: side of history here with Gary Ginser. So they may
Speaker 1: put up roadblocks and try to slow us down, but
Speaker 1: we're ultimately going to win. We're getting the major victories
Speaker 1: in the courts. Guys. Now, it's costly, these these exchanges
Speaker 1: have to pay a lot of money. But I think,
Speaker 1: like I said, the industry is now going on the offensive.
Speaker 1: Not only are they countersuing and fighting back, they are
Speaker 1: proactively launching lawsuits against the SEC even if the SEC
Speaker 1: is not engaging with them. There's a lot of that happening.
Speaker 1: So I'm sure the legal department at the SEC they're
Speaker 1: head they're spinning a bit here, and an entire industry
Speaker 1: is ready to fight back. So this is a big
Speaker 1: update here for the entire crypto market, and that the
Speaker 1: judge is saying, hey, these are not securities as is,
Speaker 1: so that's a big loss for Gary. All Right, guys,
Speaker 1: that's the news. Let me know what you think. Leave
Speaker 1: your thoughts and comments below. Don't forget to sign up
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Speaker 1: Thank you so much, and I'll talk to you all later.
Speaker 1: Task Past the task pos