Transcription
Bitcoin could be trading at, you know, several hundred,000 in 10, 10, 10 years, but that doesn't mean that everything else attached to Bitcoin will also be successful. I think one of the next things to fail. Most treasury companies, I think, will fail. And the ones that I think have a better chance to survive are the ones that do not entirely depend on Bitcoin going up.
It is absolutely hypocrisy at its finest. It's it's just greed taking over. You have a responsibility to not just gamble your entire net worth on a single asset because like you don't want to be the guy that like just put everything you've ever earned into one thing.
I'm going to say something controversial.
This market analysis features a major highlight from Benjamin Cowan where he calls out some crypto and Bitcoin treasury companies that could seriously harm Bitcoin. This video will be in two parts. The first explains why a market wipeout could come and why many of these companies will go to zero. The second covers why you shouldn't put all your money in one basket and should diversify your portfolio. He'll also talk about Bitcoin's future and where we are right now in the market.
If you go through a period of a few years without without Bitcoin going up as much as you think, a lot of the companies that had that don't have the ability to raise capital in maybe the same way that someone like Michael Sailor does. A lot of those companies, they're not going to survive. They're just not. And most of them are already down 97, 98%.
For years, the guy, a lot of these guys that launched these treasury companies for years, they they mocked the people that were launching altcoins and profiting on altcoins and, you know, giving themselves allocations in these altcoin projects and then dumping on everyone when the altcoin launched. They would dunk on those guys and say how they're just, you know, doing these awful things and they're they're just looking out for themselves and how altcoins only exist to make their found the founders rich, right? So they they do that,
but then at some point they realize there was a way that they could try to become rich, but not through the lens of the altcoin market, but through launching a treasury company. So basically just creating a leveraged version of Bitcoin, which you could argue that in a lot of prior market cycles, altcoins were operating as a leveraged version of Bitcoin. So they would look at these altcoins and be like, "Oh, look, they're down 98%. There's no reason you should ever pay attention to these." And now their own treasury companies are down 98% from the highs.
So it is absolutely hypocrisy at its finest. It's it's just greed taking over. It's it's finding something new that you can kind of pretend like it has okay ethics and the morals are okay, but then recognizing that like optically or from a from a price perspective, there are a lot of people and I this go this this is hard to say. There's a lot of people that would have been better off buying altcoins at the top than buying some of these treasury companies at the top because the treasury companies are down that much. So, I think a lot of them are going to zero. And I I I think that's just the way it's going to go. And I know I know they they they'll pretend like it's not a it's not a competition, but it I mean it it absolutely is a competition to attract the capital.
So, I think that people have to be careful. And in crypto, if you think about it, if we all are honest with ourselves over the long term, the only asset you really need is Bitcoin, right? If you want to have exposure to this market. I'm not saying you can't buy other things. I occasionally buy other things, but the other things that you buy should not be considered long-term investments. They are more so short-term investments that, hey, if you buy it, the idea is you're going to sell it within, you know, 6 months to maybe two years. it's a short-term investment. Whereas Bitcoin, if you go buy it, you know, maybe you want to hold it for the long term.
I I think the underlying asset Bitcoin is is something that could be doing Bitcoin could be trading at, you know, several hundred,000 in 10 10 years, but that doesn't mean that everything else attached to Bitcoin will also be successful, right? Like Bitcoin has a way of like getting rid of the the uh the froth in the bare markets and then becoming strong again in the next bull market while the things in the bare market just went to zero and and and never recovered. Think about last cycle, Voyager, Celsius, FTX, think about all these things that simply went to zero. And you know, had they been able to wait for the Bitcoin bull market, a lot of them might have been fine, you know, if they weren't underwater. But Bitcoin has a way in every four years of punishing the bad actors, liquidating them, and then after they're liquidated, then we go into another bull market.
I mean, look, I I'll never put all of my net worth into a single asset. I I think it's absurd that people are ridiculed for, you know, saying that, hey, maybe it's a good idea to not,
you know, to to not be all in on one asset. I've been all in in one asset before in prior bare markets like a decade ago and it's not fun, you know, like it's really not fun in in bare market years and you know like if you're if you're married, if you have kids, you have a responsibility to not just gamble your entire net worth on a single asset. Um because like you don't want to be the guy that like just put everything you've ever earned into one thing and and then you lost it all because you believe that things couldn't go down.
One reality and I I pointed this out several times is you know Bitcoin let me today is at the same valuation against gold as it was in 2017. Right? So, a lot of people have made fun of gold, but a lot of people were unable to pivot, you know, and and I know we've been talking about gold for the last couple of years on here. I mean, it's looked like it's been I mean, today it's under a pretty large correction, but this is in line with the idea that once metal's correct, it the party's over everywhere else, too. There's no rotation into higher risk assets.
So,
for me, like I know people pretend like there's no way that you can time Bitcoin. But I mean, the reality is that it it literally I mean, we sat here for how many years talking about, oh, it's probably just going to top in Q4, the post having year just as it always does. And everyone's like, "No, no, it can't happen." And then guess what? It still topped in Q4 when it always does.
Uh, just like it did the cycle before that. Just like it did the cycle before that, and just like it did the cycle before that, right? So for me, like it's okay to have a diversified portfolio because you don't want to be the schmuck that is watching your entire net worth go down 80% in a bare market because you were not able to diversify into any other thing. And by the way, in crypto, diversification does not mean putting like 30% in a Bitcoin and then 70% into alts, right? Like that's not like that's not diversification. It needs to be arguably in in other assets that are that are not correlated to Bitcoin.
Benjamin Cowan continues to urge people to be very cautious with these treasury companies. No matter what it is, if you're investing for your future or retirement, it's much safer to invest directly in Bitcoin rather than in these companies that promise higher yields but still depend on Bitcoin rising. This can be very dangerous. So, you should take time to learn about these treasury companies and carefully decide what you want to do because the risks are high. It's also extremely important not to put all your eggs in one basket. You need to diversify so that during bare markets, draw downs or crashes, you don't panic from volatility since your money is spread across different assets for better protection.