Bitcoin And Crypto Just Got MASSIVE New Buyers

0:28Hello everyone, we've got a lot to discuss today. currencies in their 401k retirement accounts. This is a massive development for the crypto industry, and it's one that should have happened a very long time ago. Now, there's an estimated $43 trillion in all US retirement accounts. That's a lot of money. And that includes about $9 trillion in defined contribution plans like 401ks. To put that in perspective, the entire crypto industry's market cap is less than$4 trillion. So this executive order will open up a significant pool of capital to flood into Bitcoin and crypto assets. Now, plenty of people, they're going to moan and complain about the White House doing this.

1:02Who cares? Go cry somewhere else. They're going to claim that Bitcoin's risky. They're going to screech about how inappropriate it is for individuals to be given the ability to allocate their retirement funds how they see fit. That's all nonsense. Literally, it is just noise. First of all, every American should be allowed to do whatever they want with their money. If you want to gamble, knock yourself out. I wouldn't recommend it. But why should the government tell you what to do with your money? And if you want to speculate on a new company, go for that too. And if you want to invest in Bitcoin, there should be no politician or regulator that gets in your way if that's what you want to do.

1:34Now for the critics, your job is not to stop people from doing what they want with their money. Your task is to increase financial education in America so people make intelligent, rational decisions. If you don't want people gambling, go explain to them the high loss ratio. If you don't want them speculating on a penny stock, educate the person on the benefits of long-term compounding and high-quality assets. The days of treating American citizens like they are a bunch of idiots, it's over, baby. The rise of sophisticated, self-directed retail investors is upon us. Many of these individuals are outperforming the institutional investors.

2:07Are there people who will screw up and make bad decisions? Of course, but that's also how you learn. We must bring back personal responsibility. We don't need a maternalistic state micromanaging the individual investment portfolios of our people. In fact, if the critics really wanted to take up an important cause, I got a better idea for them. They should start questioning why so many American retirement accounts are directed to holding US treasuries. These assets are essentially guaranteed to lose value over long periods of time. And a retirement account is reportedly optimized for the long term.

2:39So if we are willing to let people put their retirement account in the high-risk asset of treasuries, why can't they buy Bitcoin? For example, the iShares 20-plus-year treasury bond ETF, the treasury bonds, has lost nearly 50 % of its value in the last five years. Antiquated financial advisors are out here obliterating boomer portfolios with the outdated 60-40 portfolio allocation. Treasuries are down only and Bitcoin is up only over the long run. So unleash the retirement accounts, give people their freedom back, and let the investors have a fighting chance to save themselves from the financial disaster that awaits them if they can only allocate to the quote-unquote safe investments of the past.

3:18These investors need a fighting chance to invest because the U.S. dollar is being destroyed. Creative Planning's Peter Maluk writes that over the last 50 years, the purchasing power of the U.S. consumer dollar has fallen by over 83%. At the same time, the S &P 500 has increased by over 150x, even after accounting for inflation. That's why you need to invest. So this is not rocket science. People just need a shot at outpacing this insane currency debasement. Galaxy's Mike Novogratz was on CNBC this morning, and he explained the significance of opening this retirement account market to Bitcoin and crypto.

3:54Take a listen to what he had to say. You know, bull market, enjoy it while it lasts, never does. You know, we're in a bull market. Trump last night came out and talked about crypto assets being eligible for 401ks. I mean, that's a monster pool of capital. And what we're just seeing is through these treasury companies, through all kinds of different avenues, the aperture of being able to buy crypto being widened and widened and widened, more avenues bringing people into the tent. I think one of the things that I actually didn't even comprehend is these treasury companies have done so well. The public equity markets are so much bigger than what the crypto markets were.

4:36And so as we're really broadening our reach through public equities into our asset class, you're just seeing tons of money pour in. So game on, ladies and gentlemen. The critics are up in arms, but they're on the wrong side of history. Bitcoin and crypto is here to stay. And now they're coming to a retirement account near you. Now, you've probably heard people complain and say that student loans are a scam. They claim that all of the money that they took out to go to school, actually, they pay back way more. But how much more do they really pay? Well, there's a viral video on X right now that is going to blow your mind.

5:09Take a watch of this. I'd like to know what type of crack Sallie Mae is smoking that they think for the amount of$40 ,922, they should receive back$118 ,305.59. Well, I understand that this is an estimated cost. The fact that for financing the money, they want$77 ,383.59 is asinine. Now, back in my day when I was in college, I don't even think I paid that much for the four years I went to school. So to think they should get that for one year of schooling is insane. And I get it. This is the fixed interest rate, 13.500 percent. And then the APR is 13.474 percent. But then they got the audacity to tell me that to finance this$40 ,922, they should receive$77 ,303.59 is the most SMD.

6:08Now imagine taking out a$40 ,000 student loan and you actually end up having to pay back almost$120 ,000. That is crazy. But you know what? People are signing up for it. It's all about personal responsibility. When you sign the paper, you know how much money you're borrowing. You know what the interest rate is. And sure, people may not be able to think long-term. They may not be able to do great math, but they still are signing up to take on a loan. And so we have to give them some degree of ownership of the decisions that they make. but I still think that student loans are a scam, not because of the interest rate or because people are signing up when they're young.

6:44Instead, I think that student loans are a scam because we pretty much have erected an entire economy that is predicated on the fact that we require people to go to college. How many people would have been better off not actually going to college? Remember, whether a male has gone to college or not, their job prospect is about the same right now in the economy. And so the real scam of student loans is not the interest rate, And it's not how much money people are taking on. Instead, the scam is that people have been convinced that the only way to get a real job, a good job, is to go to college. There's a lot of paths for it.

7:17I went to college. Many people I know didn't go to college. It's all about what's best for you and your family. So instead of yelling and screaming and complaining about a loan you took out that you signed the papers for, instead, start taking personal responsibility and educate your children that maybe they're not gonna have to go to college. The best thing they can do is simply be educated, to have actual skills and be able to create things in the world. I hire a lot of people across all of our companies. I don't ask anyone, where'd you go to school? Do you have a college degree? I don't care.

7:48Can you do the job? That's ultimately what I care about. That's changing because 20 years ago, that wasn't the case. And so maybe the big scam now is that people are going to realize they don't need to go to college. And ultimately, that'll help solve the student loan problem. Now, ChatGPT has been all the rage. And guess what? I use ChatGPT all the time. It's a pretty good product. It is incredible in terms of generating images, answering questions, doing data analysis, or simply helping me do my job better on a day-to-day basis. So that's why it was so surprising when this viral chart on X showed that ChatGPT usage has fallen off a cliff starting in June.

8:25Why is it that a product that has gone from no users to hundreds of millions of users so quickly, all of a sudden seeing its usage drop? And why is it that something I find super valuable on a day-to-day basis, and many of my friends do as well? Why are people stopped using it? And then all of a sudden, some big brain genius out there said, you know what it is? It's that school got let out. All the young kids, they're using the new technology and they're using it in school. And there's plenty of people who say they shouldn't be allowed to use AI, but instead of saying that they're going to use AI to cheat, we should instead think about it.

8:56Why would we want our students who are going to go work in the workforce, not use new technology? We should put artificial intelligence in every classroom. We should help them understand how the technology works, how they can use it to actually become better students, how to learn better using this technology. This whole idea that AI is cheating, well, guess what happens in the real world? I use it on a day-to-day basis. Am I cheating at my job? No, of course not. So teach the kids how to use the technology, let them use it, encourage it, and embrace it. That's the future that we're headed towards.

9:29And we need our students to be better suited to actually operate in the real world. But it is hilarious. All of a sudden, school got out. ChatGPT usage went down. And my guess is when school goes back in session in a few weeks, we're going to see it explode back up again. That's it for today's show. Hope you guys are enjoying this. I'm having a blast putting it together. Please make sure that you're following us on X. And please, please, please make sure you subscribe to this YouTube channel. And I'll see you guys live tomorrow from the desk of Anthony Pompliano.