Hello All,
This is a letter from Gordon, your super hero of crypto-truth.
November 3 is U.S. Election voting day. There are a lot of opinions to the left, to the right, and all of the wonderful misinformation from all sides and everywhere in between.
This is not an electoral bargaining chip, a prediction of outcome, or a rant on how evil the other side is. I have very, very, very strong convictions on these topics, but there's plenty of that to go around, and for any one person to speak what they see as a clear truth, there is a triggered baby on the other end just waiting to be bitter- lol.
So.....................
Gordon has a few words about how deeply connected cryptocurrency is to this election.
As many are aware, U.S. regulation has a global impact on cryptocurrencies. But, the U.S. is not alone in this; it just has the greatest impact on how people trade, store and HODL their coins. Truth be told, the U.S. often acts as a more vocal front to the real rules coming from the United Nations, and in this case it is yet another example of how they often rule by soft policy and fear. The concerns over money laundering and payments for illegal activity are, in their global governance perspective, more important than a person's right to privacy.
The overwhelming majority of us want an opportunity to build personal wealth, want a little distance from central banks and corrupt governments, thank you very much. We'd be willing to take our own responsibility to help our community avoid scams, hacks, blackmail extortion and general Telegram group trolls. In trade, we'd love for the UN and their over reach to back off. Seriously, C'mon man! hehehe.
Now that the over reach is there, however, it provides something interesting; a little bit of a nod to the market that things are going to be okay. Are they? Well, a lot of that is in the hands of people causing unrest, fear, and intimidation. Once again, a nation divided sees much what they are brainwashed to see, so the left takes that as a nudge of the right, and the right takes that as a nudge about the left. So be it. Again, not what this is about.
Either way, I do wish to speak some truths about the election itself, and the fact that much of the financial world is going to be shifting billions of dollars and assets around based around the polls and violence at voting stations. How well these things are handled and how biased independent footage is edited will cause instability. Keep an eye on your assets, and don't leave positions sitting that you think are vulnerable to one extreme or the other.
Generally speaking, there are some truths for you to keep in mind. With as unbiased an assessment as I can offer, the crypto mindset has classically been to own your own coins, keep them safe, only use them to make a profit or spend on something cool, but never to expose them for long periods of time, and at the same time there are serious investors who buy the dip to varying degrees, and if there weren't the actual crypto economy would collapse- more on that later!
One truth, is that from a leftist perspective, the outcome of the election does in fact mean more regulation. It is a "where there's smoke, there's fire". Don't believe me? Ask California. Okay, perhaps bad joke but "just statin' the facts, ma'am"! BTW pray for the people of California. The primary focus is compliance with a Great Reset, as outlined by the IMF, BIS, World Bank and the World Economic Forum itself. Now, whether they actually get what they are after is an entirely different bag. Sometimes, it is a simple cautionary tale of "careful what you wish for". Much of the crypto world, while wishing for independence, privacy and the chance to take their financial destiny into their own hands, has a bit of a blind spot when it comes to a UBI, or a universal basic income. Equality and equity aren't always well-designed into an economic framework. Imagine if equity were built into Bitcoin and Ethereum gas fees. No matter how low a side-chain might reduce fees in bundles, the truth is there's no limit to where a government draws the line on equity.
On the flip side, 2020 proved that with a big enough scare, every single government will agree to a lockdown and a temporary UBI, so the question of the election outcome is more about perspective and perception than it is about truth. This thought piece is about both.
On the right side of the election, we do have a President who is still at the beginning stage of learning about cryptocurrency, and while his assessment is the most accurate, it doesn't change anything about where we are at all. The regulations in place are the exact one's desired from the top. There is lack of clarity on securities, commodities and capital gains, but the lack of clarity isn't in the rules, rather in the market that they represent. Congress attempted to slip the outline of a digital payment structure in one of the last checks to be issued to citizens, and it was instantly removed once revealed. The national digital currency war is underway, and will largely play out under the next administration. Russia and China are looking to make deals that are easements on current regulatory sanctions. These are in place for a reason. The current administration will become increasingly focused on a digital nationalized coin to compete against the other super powers. There are signs that things are in a good position if the left doesn't tighten on the Great Reset, and the right doesn't try to over-separate the difference of balance between one form of crypto verses another.
In truth, I'm surprised that there is not more of an understanding of the huge difference this could make in our landscape in the crypto world, again not for who you vote for, or who you side with, but the potential in a shift in markets.
A short year ago, and in some cases today, a lot of people who dislike Tether USDT still had the impression that it is relatively unimportant to the market. I hate to break it to you, but value comes from movement. Movement means transactions. Even virtual currencies lose value if they are not being used. If everyone hodl'd, no one would buy. There is an extreme out of bounds any coin can go. If no one held, then people would run out of people to sell to. Both extremes matter. But, in the current market, without stable coins, people would only enter or leave Bitcoin with fiat, which limits some decision making and liquidity, or the speed at which things can transact. What is more, is that every coin that trades against Bitcoin would lose a counter-structure of how much it also trades against the value of the dollar, which means that Bitcoin would assert its dominance massively over everything else, limited only by its reduced volume against stables.
What does this have to do with the topic? Everything. It has everything to do with the elections. No matter what country you live in, the election is about you. You may hate a personality, or distrust what is happening in potential prosecutions, but the digital national coins that are coming will either reside on the exchanges or they won't. They will either impact the current market and what we are allowed to trade from state to state, country to country, or they will not. The side that each party takes towards their alliance with the great reset will largely decide whether the rules tighten or whether the current market is allowed to trend where it is headed.
In my next article coming around the corner, I'm going to look at the angles on the banks specifically. If we remain in a situation where countries look after their own interests to remain in the digital currency fight of ownership, much like current gold acquisitions, then we are going to see extreme price spikes, mostly only in the top coins based on supply. If we buy in to the globalist view for a great reset, we are going to see more of a shift out of the current freedom-based individualism of the market and more of a controlled market. The truth is, that this global governance will use similar anti-bank messaging to convince people it is good to go global and centralized, but there is nothing more powerful and centralized than the World Bank, IMF and the BIS. Equity is not the position of political financial planning; freedom to make one's own path is the only true fairness in finance.
Conclusion: keep your eyes on your funds over the next days and weeks. Do not get the rug pulled. Do not get liquidated from extreme swings. Right now, we are still in a whale market. The masses are coming, with the irony of it coming largely from the banks and bankers that spent 2017-2019 telling us how stupid and obsolete crypto is, while scoring patents and coin deals behind the scenes. The next wave is going to help us out tremendously, but lets take charge of messaging, remain in the game, and whether we get a left or right U.S. term around the corner, consider what everything says about the world of crypto. Sometimes a blessing from the government is a blessing in disguise. The less it interferes with a market that is already working, the better for all of us.
Gordon Freeman, the free man, wishing all a safe election week! And for now, Gordon Freeman out.
