June 13, 2025 • 18 mins
The key to multiplying your wealth faster with Bitcoin isn’t about buying the next meme coin or trying to out-trade the market. It’s about understanding a few simple lessons the real cheat codes I had to learn the hard way.
See omnystudio.com/listener for privacy information.
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
The key to multiplying your wealth faster with bitcoin isn't
about buying the next mean coin.
Speaker 2 (00:04):
Or trying to out trade the market.
Speaker 1 (00:06):
It's about understanding a few simple lessons, the real cheat
codes I had to learn the hard way. Now today
I'm going to share with you fifteen lessons I wish
I knew sooner, and how you can use them to
play the game smarter, starting with lesson number one, the
paradigm shift. So the paradigm shift is that bitcoin isn't
a stock. It's not like another Wall Street toy.
Speaker 2 (00:29):
It's a new monetary system. Now.
Speaker 1 (00:31):
The reason why that distinction is so big and so
powerful is because when you think of it just like
a stock, you think in normal terms of like allocation
sizes and buying low and selling high, and you completely
miss out on the entire shift that's happening and how
big this is going to be, and that causes you
to take small positions sell out.
Speaker 2 (00:51):
With little bits of profit.
Speaker 1 (00:52):
I've heard countless stories of people who bought it one
thousand dollars and sold it ten thousand dollars was the
best trade of their life, right, but they missed out
as it went to thirty forty fifty and one hundred
thousand dollars. So you need to understand really what's at
stake here. So the action step to take here is
reread the Bitcoin white paper, Understand what the Bitcoin white
Paper says, and list three ways that bitcoin changes incentives
(01:14):
versus feed. If you can think about that, you'll start
to understand how big this is. Now less than number
two I wish I would have known sooner is that
the early mover advantage is real. You see, Bitcoin rewards
early conviction, not late perfection. So when I first heard
about bitcoin, it was like twenty thirteen, and I could
(01:34):
have got in for a really, really really low entry price,
but instead I wasn't really sure what it was.
Speaker 2 (01:40):
I didn't really pay attention to it.
Speaker 1 (01:41):
I thought it was just some new scam coin or
whatever it was going to be, and I waited until
twenty fifteen to get in. Now, twenty fifteen was still
still great entry. It was around three hundred dollars at
a time, but that cost me about a twenty x
move because I didn't move sooner. So I understand some
people are skeptical. I understand some people don't have the conviction.
But what I would say, is at this point most
(02:03):
of the reasons why you wouldn't have a conviction or
be skeptical or sort of gone.
Speaker 2 (02:07):
But maybe you haven't done the work.
Speaker 1 (02:08):
So the action step would be simple, buy a starter
position today for fifty dollars or one hundred dollars, because
that fifty dollars, that one hundred dollars, it's not a
lot of risk. But once you put a little bit
of money into it, it'll change your entire mindset and
allow you to start seeing it differently. Now less than
number three that I wish I would.
Speaker 2 (02:26):
Have learned back then that I know now is what
I call the core stack rule.
Speaker 1 (02:31):
And what do I mean by that sort of thinking
back to the first one I'm thinking of like a stock,
we want to decide.
Speaker 2 (02:36):
How much do want to allocate it to it?
Speaker 1 (02:37):
Now, if you watch my continent at oh, you know
that I talk about buying bitcoin.
Speaker 2 (02:40):
And never selling your bitcoin.
Speaker 1 (02:43):
Now, some people still think about it as in like, well,
if I could buy it here and sell it here,
if I could buy at the bottom of the cycle
sell at the top of the cycle, And so what
I would do is at least define what your core
stack is, so I have some bitcoin that I'm never
going to sell, and I have some that I would sell.
So for example, I think that bitcoin we'll hit a
million dollars by twenty thirty.
Speaker 2 (03:02):
That's a ten x from here.
Speaker 1 (03:03):
So what you could do is say, well, what I'd
like to do is have ten bitcoin that never gets
sold and go to my kids and my grandkids and
my great gang kids.
Speaker 2 (03:13):
But I'd also like to sell someone make a profit.
Speaker 1 (03:14):
So maybe I'll buy twenty bitcoin today, ten of which
i'll sell at twenty thirty and that'll be hit a
million dollars each ten million dollars, and the other ten
I'll stay forever, or I'm going to hold these ten,
I'll try these dinner. Whatever you gonna do, but define
that stack and know how much you're going to keep forever.
Less than number four is understand the adoption curve lens.
(03:36):
And this is what I talk about quite often, and
I think it catches most people off guard. And that
is when you understand technology, specifically technology adoption curves. They
follow something called an S curve, and when you look
at the S curve, it basically tells us how long
it'll take for a new technology to reach adoption, and
my understanding how long it's supposed to take and with
(03:57):
the stages that it's going to go through allows us
to be more patient. You see, most people that come
into bitcoin are way too impatient. They expect way too
much too soon. But if you understand the S curve,
then you know how long you're waiting for now. The
way an S curve works is that a time it
takes to go from zero to ten percent adoption, is
it the same time it takes to go from ten
percent to ninety percent adoption. And we're in the up
(04:17):
part of the S curve right now. Things are taking off,
but we're still early. But if you can understand these
historical adoption curves, and you can understand the process of
these curves, then you'll be able to wait longer.
Speaker 2 (04:28):
What I like to say is that it's much easier
to wait when you know how long you have to wait.
Speaker 1 (04:32):
Four and if you can wait just five more years,
you'll be rewarded now Lessan number five is the having
cycle playbook. Now most of you probably know at this
point bitcoin has these four year having cycles. Every four years,
the new supply, the inflation of bitcoin gets cut in half.
Now elementary one on one is that if the demand
stays the same and the supply cuts in half, the
(04:54):
price goes up.
Speaker 2 (04:56):
What happens if the supply gets.
Speaker 1 (04:57):
Cut in half and the demand goes up, it goes
up even faster, and it creates these supply shocks, if
you will, and it creates this boom and bust markets.
And so you can see over the last couple of
having cycles that we have, Bitcoin goes up, makes a
new all time high, and crashes back down. Now, without
understanding these having cycles properly and understand where they work
in terms of sequence, it's easy to get caught off
(05:19):
guard myself.
Speaker 2 (05:20):
I've gotten caught off card many times.
Speaker 1 (05:21):
I saw, like I said, I started buying twenty fifteen
to three hundred bucks by the end of twenty seventeen.
By December twenty seventeen, it was twenty thousand dollars. Then
it dropped all the way down. And I remember back
then the first one had gone through, thinking why didn't
I sell? What did I do wrong? This will never
come back. I missed my chance. And then it came
back again. And then the having cycle happened and it
(05:43):
crashed again, and I thought, man will it ever come
back this time, And because I didn't understand that, and
because I didn't have conviction of it coming back, I
didn't benefit as much as I could have. I could
have been adding aggressively to those bottom parts of the
cycle when it was at its lows, but I didn't.
Speaker 2 (05:58):
Less the number six is the QUI principle.
Speaker 1 (06:00):
Now, liquidity principle is what I talk about quite often
on this channel, which is what drives all asset prices.
Speaker 2 (06:07):
The global liquidity.
Speaker 1 (06:08):
Liquidy is what drives asset prices, including bitcoin, and we
can take a look at it and we can see
that it typically happens at about nine times sensitivity ratio,
and it happens on about a ten to twelve week lag.
So what that means is that if we watch liquidity,
not the news, not the tariffs, not the trade wars,
(06:28):
not whatever the FED is going to do, but we
just watch liquidity, we have a head start on what's
going to happen in asset prices. So, for example, I
just made a video, maybe we'll link to it right
here or put it in the shows down below, about
how liquidy has been acting in the markets for the
last two quarters and why prices are doing what they're
doing and why bitcoin is taking off again right now.
And if you understand liquidity principle, then you can get ahead.
(06:51):
How do you do that, Well, there's three people that
I follow that make a global liquidity chart.
Speaker 2 (06:56):
I think it's pretty good.
Speaker 1 (06:57):
Number one Michael Howell, number two, the Bitcoin layer, number
three real vision are all pretty good. Or you can
just watch the FED balance sheet. You could watch Global
m two and there are low fidelity ways to do it,
blunt ways to do it, but they still work pretty good.
Lesson number seven is called the psychology framework. Now, the
psychology framework is more about market sentiment than it is fundamentals.
(07:20):
You might have seen the Wall Street trader psychology where
it kind of goes up and crashes down and then
there's like the despair and people think I'll never come
back to disbelief, and then it takes off again.
Speaker 2 (07:29):
And it's all about sentiment.
Speaker 1 (07:31):
And when you understand that, you can start to understand
where sentiment's at and where we might be in the
market cycle. So at the bottom you have something called capitulation,
where everybody's done, they're tired, they're mad, they just on'm
out and they sell. When you see these things in
the market, like peak fear, that might be time.
Speaker 2 (07:49):
To start buying. I know it's really hard.
Speaker 1 (07:52):
And when you see peak euphoria, it might be time
to What I do is don't buy as much. I
don't sell at the top. So what you want to
do is you want to study behavioral finance. You want
to understand herd mentality, you want to understand what FOMO is,
and you want to start to monitor the markets for
this so you know when you might want to add
less to your stack or you want to add more aggressively.
(08:12):
Now less than number eight is the community conviction rule.
Now the conviction rule is probably the number one thing that.
Speaker 2 (08:20):
I wish I would have had sooner.
Speaker 1 (08:22):
I wish it would have had more conviction because you hear,
oh man, you bought back one in twenty fifteen, it
was three hundred bucks.
Speaker 2 (08:26):
You're so lucky, you must have made so much money.
Speaker 1 (08:29):
Well, not really, because back in twenty fifteen it was
so risky. We didn't even know what it was. To
put like one thousand dollars into it back then seems
so risky, whereas today you could move millions or billions
into it, but you couldn't do it.
Speaker 2 (08:40):
Back then, we didn't have the conviction.
Speaker 1 (08:42):
Now, all of these lessons that I'm giving you now
and the ones that I'm going to contende to give
you will help you build the conviction.
Speaker 2 (08:47):
But you can't borrow conviction. You can only earn it.
You can only live it.
Speaker 1 (08:52):
And the fastest way to accelerate that conviction and your
belief and resilience is to be around other people that
you can learn from and share from and are back
and forth with.
Speaker 2 (09:01):
And one of the best ways to do that is
by going to an event.
Speaker 1 (09:04):
So you've seen me speaking at conferences all the time,
and the greatest ROI for me speaking at these conferences
is to be around these other people and share these ideas, relationships,
set of relationships that I've built, friends that have friendships,
that have developed, business opportunities that have popped up, And
so I would recommend attend a bitcoin meetup or a conference.
You can find bitcoin meetups all over the country. I'm
(09:25):
sure they're happening in your local area. A small business owner,
are you buried in all types of work keeping you
from the real thing that makes you money. Well, that's
where just works comes in. They're the all in one
platform that supports small business growth.
Speaker 2 (09:38):
You can get all.
Speaker 1 (09:39):
Their tools that help with benefits like payroll and HR
and compliance with transparent pricing. Now they help you hire
top talent internationally, internew markets, quickly scale international operations without
the workload, and for every how do I do it?
Speaker 2 (09:54):
Question, you can reach out to.
Speaker 1 (09:55):
Their expert staff from sole proprietor or a team of
twenty Works empowers all kinds of small businesses with real
human support. So visit Justworks dot com slash podcast to
join the thousands of small businesses that trust Just Works
to take care of payroll, benefits, compliance and more. Again,
that's Just Works dot Com slash podcast. Now less than
(10:19):
Number nine is the time preference shift. Now, time preference
is something that we talk about all the time in bitcoin,
and it takes you from a high time preference to
a low time preference. Basically, it's delayed gratification, instant gratification
or delayed gratification, and Bitcoin lowers your time preference and
what that does improves your decision making because unfortunately, nothing
(10:42):
good in life comes in short term thinking. If you
I used to have this friend and always like a
month before summer, he's like all right, I got thirty
days to get in shape. It's like thirty days to
get in shape, Like you should have started that a
year ago, right, We need that time, we have to
think about that. And that's what bitcoin does for us.
It helps us to realize is that these short term
gains or short term movements aren't what's important. We start
(11:04):
to think longer, and we start to think longer about
our money. We start to think longer about our businesses,
and our health decisions and our relationship decisions. And so
the lesson is to shift your time preference, start to
think in things of five year cycles. I still get
asked all the time, mark where will bitcoin be next month?
It's like, who cares about next month? Someone asked me
last night, you know, where will it be over the
(11:25):
next six months? I'm like, who cares about six months?
Where will be in five years? That's what I care about?
And so shift your time preference. So an action step
easy to apply this is basically to journal monthly on
how bitcoin is changing your thinking, how you're starting to
realize your health, the relationships are starting to be affected
by this.
Speaker 2 (11:43):
So you can start to build it.
Speaker 1 (11:46):
Out in our life less than number ten is the
self custody rule. Now, in the bigcoin community, we have
a saying that says that not your key's not your coins.
And I wish I would have learned this one sooner.
And the reason why is because I've lost a lot
of bitcoin by not custody on my own. Well, I've
actually lost it from not custody on my own and
from custody on my own.
Speaker 2 (12:03):
So let me break that down.
Speaker 1 (12:04):
Number one, not custody on your own means that you're
leaving it in someone else's custody. So, for example, you're
leaving it on exchange, and that happened to me. I
left it on an exchange. I left it on an
exchange called bit tricks. I'm just going to call them
out right here. I've talked about it before, and somebody
hacked the exchange and my bitcoin got taken, and we
(12:24):
went to court over it and found out that they
weren't liable even though they recognized in discovery that they
had a problem. They didn't have the proper security measures
in place. But because I had checked the box that
says I hold them, I don't hold them liable for
anything that happens to my bitcoin. I was responsible, so
I trusted them. They made certain promises of the security,
(12:45):
they didn't follow through.
Speaker 2 (12:46):
They got hacked. I lost my bitcoin. The other step
was I was using it.
Speaker 1 (12:49):
I had a wallet on my phone and I was
putting some bitcoin on my phone, and I was staying
at the Airbnb in Mexico. And one day I had
the bitcoin in my wallet and the next day the
bitcoin wasn't in my life wallet. So the action steps
are here. Number one, take custody of it yourself. But
number two, do it in a hardware wallet. Leave get
it off the exchanges, and don't put it into a
software wallet that you have on your phone or on
(13:11):
your computer. Put it into a heart hotware wallet. Don't
make the same mistake that I've made lesson. Number eleven
is what I call the spend regret rule. Now that
means if you spend your bitcoin.
Speaker 2 (13:23):
You'll probably regret it later.
Speaker 1 (13:24):
Early on in the bitcoin days, like I said, it
was three hundred bucks, it was five hundred bucks, it
was a thousand bucks and two thousand bucks. And I
was kind of just throwing these things around like chick lits. Man.
Speaker 2 (13:33):
We were just dropped spending them all over the place.
Speaker 1 (13:35):
You know, somebody would want to get paid in bitcoin, Sure,
why not some of my friends I'd want to get
into bitcoin, so I owed them some money, a couple
thousand bucks. Hey here, take a bitcoin kind of things
like that. But what I wasn't doing is I wasn't
going and replenishing those bitcoins.
Speaker 2 (13:47):
So I regret that.
Speaker 1 (13:49):
Now, if I can go back and get all of
that bitcoin that I was just throwing around instead of
just using fiat like I could have, and I had
that bitcoin today, it would be a massive amount. But
I don't can't go back and change that. But what
I could do is not make the same mistake. So
use fiat for your expenses and save in your bitcoin.
The rule is Gresham's law that good money drives out bad.
(14:12):
So we want to save in the good money, spend
the bad money. Don't spend your bitcoin for things that
you can spend fiat on. Less than number twelve is
the hold over trade rule. And what this means is
that holding, or as we say in the bitcoin space, hodling,
it beats trading for pretty much everyone, ninety five percent
of people. I know this because for a period of
(14:33):
time I wrote a cryptocurrency research news that we ran
a trading service, one of the biggest in the space,
and most people just lost their money. I've been around
this law, and it's to know that most people lose
their money. And so while you think you're trading mean
coins or whatever it is, and these DeFi protocols so
you can get more bitcoin, eventually, what you'll find out
is that just holding the bitcoin for the long.
Speaker 2 (14:52):
Run would have done better.
Speaker 1 (14:53):
If I can go back and get a doover back
to twenty fifteen, back to twenty sixteen, or twenty sixteen,
before twenty seventeen I started tree. If I could just
get all that bitcoin back and I could have just
had that today, my life would be way different. But
I can't, and I trade it most of it a way.
So the action step is hold. If you want to trade,
it's fun, maybe fun to speculate, fun to gamble, You
don't gamble all your money. Put ninety five percent into
(15:15):
your core stack and lock it away forever, and then
if you want take five percent, speculate with it.
Speaker 2 (15:19):
Trade with it.
Speaker 1 (15:20):
Less than thirteen is what I call the sound money principle. Now,
sound money principle thinking is.
Speaker 2 (15:27):
What makes bitcoin inevitable.
Speaker 1 (15:28):
It's what underlies all of this, because you see, solutions
are supposed to come to problems.
Speaker 2 (15:35):
That's the way the world works. We have a problem,
we'll come with a solution.
Speaker 1 (15:39):
So when you start thinking about it, well, what is
the biggest problem in the world. The bigger the problem
that we solve, the more value that's created. Well, the
biggest problem in the world is money, and the problems
with money. For example, central banks around the world continue
to print more money. For example, what we're seeing today
with Trump and tariffs and China is manipulation of currency.
And so what we need is a money that can't
(15:59):
be manipulate and can't be printed, a money that nobody
can control, nobody can conflate. And when you start to
think of things and that terms and realize that this
is actually solving the biggest problem in the world. And
you also realize why bitcoin is different than all of
cryptocurrency because of the sound money principle. Now, the greatest action,
the action stuff that you can take in this would
(16:20):
be read the Bitcoin standard, learn Austrian economics, learn the
history of money.
Speaker 2 (16:25):
And I say the Bitcoin standard because it actually takes.
Speaker 1 (16:27):
You from the history of money from feathers rocks and seashells,
all the way through the gold Standard and all.
Speaker 2 (16:32):
The way through today.
Speaker 1 (16:32):
It's a really great place to start your journey all
right now. Lesson number fourteen is the compliance playbook, and.
Speaker 2 (16:40):
This one is one that you really need to be
careful for.
Speaker 1 (16:42):
This is planning your taxes, planning compliance, and it's way
and do it way before it's too late. The RS
doesn't want to be messed around with. They're pretty serious
about this. And so a lot of people think that
they can buy and sell bitcoin, trade bitcoin and they
don't have to report it. But they're catching on to you,
so don't get caught in that. Couple things that you
can do about this. Number one, The easiest thing is
(17:03):
don't sell your bitcoin and don't trade your bitcoin.
Speaker 2 (17:05):
That's just the easiest part.
Speaker 1 (17:07):
I talk about it all the time. I don't plan
on selling my bitcoin. If I want some of the
equity out of it, I can take a loan against
it by borrowing against the bitcoin.
Speaker 2 (17:16):
That is not a taxable event. I don't owe the
taxes on that.
Speaker 1 (17:19):
I still own the bitcoin, but I can unlock the
equity tax free.
Speaker 2 (17:23):
That's what I plan on doing. Otherwise, if you do
sell it.
Speaker 1 (17:26):
Or you do trade it, make sure that you use
an exchange that allows you to get your reports, or
use some type of a software that can do that,
and make sure you get those reports and give it
to a CPA, an accountant that understands bitcoin and cryptocurrencies
so they can get.
Speaker 2 (17:42):
Your compliance done properly.
Speaker 1 (17:44):
You have to understand, like bitcoin doesn't just change your portfolio,
it changes who you have to become to keep it.
You know, a lot of times you hear people like, man,
you bought it at ten cents, but they probably wouldn't have.
Speaker 2 (17:54):
It today because you have to change who you are
in order to keep it.
Speaker 1 (17:58):
Now, these lessons they cost me any years of time
to get here, missed opportunities, expensive mistakes, but now you
have them. Bitcoin is the cheat code for building real
wealth and real freedom. And if you're wondering where bitcoin
could be by say twenty thirty, twenty forty, and twenty fifty,
that's exactly what we're diving into next in this video
(18:19):
right here.
Speaker 2 (18:20):
Now, make sure you're subscribed.
Speaker 1 (18:22):
Hit like if you've got value common below which lesson
hit you the hardest and I'll see you over the
next video
The key to multiplying your wealth faster with bitcoin isn't
about buying the next mean coin.
Speaker 2 (00:04):
Or trying to out trade the market.
Speaker 1 (00:06):
It's about understanding a few simple lessons, the real cheat
codes I had to learn the hard way. Now today
I'm going to share with you fifteen lessons I wish
I knew sooner, and how you can use them to
play the game smarter, starting with lesson number one, the
paradigm shift. So the paradigm shift is that bitcoin isn't
a stock. It's not like another Wall Street toy.
Speaker 2 (00:29):
It's a new monetary system. Now.
Speaker 1 (00:31):
The reason why that distinction is so big and so
powerful is because when you think of it just like
a stock, you think in normal terms of like allocation
sizes and buying low and selling high, and you completely
miss out on the entire shift that's happening and how
big this is going to be, and that causes you
to take small positions sell out.
Speaker 2 (00:51):
With little bits of profit.
Speaker 1 (00:52):
I've heard countless stories of people who bought it one
thousand dollars and sold it ten thousand dollars was the
best trade of their life, right, but they missed out
as it went to thirty forty fifty and one hundred
thousand dollars. So you need to understand really what's at
stake here. So the action step to take here is
reread the Bitcoin white paper, Understand what the Bitcoin white
Paper says, and list three ways that bitcoin changes incentives
(01:14):
versus feed. If you can think about that, you'll start
to understand how big this is. Now less than number
two I wish I would have known sooner is that
the early mover advantage is real. You see, Bitcoin rewards
early conviction, not late perfection. So when I first heard
about bitcoin, it was like twenty thirteen, and I could
(01:34):
have got in for a really, really really low entry price,
but instead I wasn't really sure what it was.
Speaker 2 (01:40):
I didn't really pay attention to it.
Speaker 1 (01:41):
I thought it was just some new scam coin or
whatever it was going to be, and I waited until
twenty fifteen to get in. Now, twenty fifteen was still
still great entry. It was around three hundred dollars at
a time, but that cost me about a twenty x
move because I didn't move sooner. So I understand some
people are skeptical. I understand some people don't have the conviction.
But what I would say, is at this point most
(02:03):
of the reasons why you wouldn't have a conviction or
be skeptical or sort of gone.
Speaker 2 (02:07):
But maybe you haven't done the work.
Speaker 1 (02:08):
So the action step would be simple, buy a starter
position today for fifty dollars or one hundred dollars, because
that fifty dollars, that one hundred dollars, it's not a
lot of risk. But once you put a little bit
of money into it, it'll change your entire mindset and
allow you to start seeing it differently. Now less than
number three that I wish I would.
Speaker 2 (02:26):
Have learned back then that I know now is what
I call the core stack rule.
Speaker 1 (02:31):
And what do I mean by that sort of thinking
back to the first one I'm thinking of like a stock,
we want to decide.
Speaker 2 (02:36):
How much do want to allocate it to it?
Speaker 1 (02:37):
Now, if you watch my continent at oh, you know
that I talk about buying bitcoin.
Speaker 2 (02:40):
And never selling your bitcoin.
Speaker 1 (02:43):
Now, some people still think about it as in like, well,
if I could buy it here and sell it here,
if I could buy at the bottom of the cycle
sell at the top of the cycle, And so what
I would do is at least define what your core
stack is, so I have some bitcoin that I'm never
going to sell, and I have some that I would sell.
So for example, I think that bitcoin we'll hit a
million dollars by twenty thirty.
Speaker 2 (03:02):
That's a ten x from here.
Speaker 1 (03:03):
So what you could do is say, well, what I'd
like to do is have ten bitcoin that never gets
sold and go to my kids and my grandkids and
my great gang kids.
Speaker 2 (03:13):
But I'd also like to sell someone make a profit.
Speaker 1 (03:14):
So maybe I'll buy twenty bitcoin today, ten of which
i'll sell at twenty thirty and that'll be hit a
million dollars each ten million dollars, and the other ten
I'll stay forever, or I'm going to hold these ten,
I'll try these dinner. Whatever you gonna do, but define
that stack and know how much you're going to keep forever.
Less than number four is understand the adoption curve lens.
(03:36):
And this is what I talk about quite often, and
I think it catches most people off guard. And that
is when you understand technology, specifically technology adoption curves. They
follow something called an S curve, and when you look
at the S curve, it basically tells us how long
it'll take for a new technology to reach adoption, and
my understanding how long it's supposed to take and with
(03:57):
the stages that it's going to go through allows us
to be more patient. You see, most people that come
into bitcoin are way too impatient. They expect way too
much too soon. But if you understand the S curve,
then you know how long you're waiting for now. The
way an S curve works is that a time it
takes to go from zero to ten percent adoption, is
it the same time it takes to go from ten
percent to ninety percent adoption. And we're in the up
(04:17):
part of the S curve right now. Things are taking off,
but we're still early. But if you can understand these
historical adoption curves, and you can understand the process of
these curves, then you'll be able to wait longer.
Speaker 2 (04:28):
What I like to say is that it's much easier
to wait when you know how long you have to wait.
Speaker 1 (04:32):
Four and if you can wait just five more years,
you'll be rewarded now Lessan number five is the having
cycle playbook. Now most of you probably know at this
point bitcoin has these four year having cycles. Every four years,
the new supply, the inflation of bitcoin gets cut in half.
Now elementary one on one is that if the demand
stays the same and the supply cuts in half, the
(04:54):
price goes up.
Speaker 2 (04:56):
What happens if the supply gets.
Speaker 1 (04:57):
Cut in half and the demand goes up, it goes
up even faster, and it creates these supply shocks, if
you will, and it creates this boom and bust markets.
And so you can see over the last couple of
having cycles that we have, Bitcoin goes up, makes a
new all time high, and crashes back down. Now, without
understanding these having cycles properly and understand where they work
in terms of sequence, it's easy to get caught off
(05:19):
guard myself.
Speaker 2 (05:20):
I've gotten caught off card many times.
Speaker 1 (05:21):
I saw, like I said, I started buying twenty fifteen
to three hundred bucks by the end of twenty seventeen.
By December twenty seventeen, it was twenty thousand dollars. Then
it dropped all the way down. And I remember back
then the first one had gone through, thinking why didn't
I sell? What did I do wrong? This will never
come back. I missed my chance. And then it came
back again. And then the having cycle happened and it
(05:43):
crashed again, and I thought, man will it ever come
back this time, And because I didn't understand that, and
because I didn't have conviction of it coming back, I
didn't benefit as much as I could have. I could
have been adding aggressively to those bottom parts of the
cycle when it was at its lows, but I didn't.
Speaker 2 (05:58):
Less the number six is the QUI principle.
Speaker 1 (06:00):
Now, liquidity principle is what I talk about quite often
on this channel, which is what drives all asset prices.
Speaker 2 (06:07):
The global liquidity.
Speaker 1 (06:08):
Liquidy is what drives asset prices, including bitcoin, and we
can take a look at it and we can see
that it typically happens at about nine times sensitivity ratio,
and it happens on about a ten to twelve week lag.
So what that means is that if we watch liquidity,
not the news, not the tariffs, not the trade wars,
(06:28):
not whatever the FED is going to do, but we
just watch liquidity, we have a head start on what's
going to happen in asset prices. So, for example, I
just made a video, maybe we'll link to it right
here or put it in the shows down below, about
how liquidy has been acting in the markets for the
last two quarters and why prices are doing what they're
doing and why bitcoin is taking off again right now.
And if you understand liquidity principle, then you can get ahead.
(06:51):
How do you do that, Well, there's three people that
I follow that make a global liquidity chart.
Speaker 2 (06:56):
I think it's pretty good.
Speaker 1 (06:57):
Number one Michael Howell, number two, the Bitcoin layer, number
three real vision are all pretty good. Or you can
just watch the FED balance sheet. You could watch Global
m two and there are low fidelity ways to do it,
blunt ways to do it, but they still work pretty good.
Lesson number seven is called the psychology framework. Now, the
psychology framework is more about market sentiment than it is fundamentals.
(07:20):
You might have seen the Wall Street trader psychology where
it kind of goes up and crashes down and then
there's like the despair and people think I'll never come
back to disbelief, and then it takes off again.
Speaker 2 (07:29):
And it's all about sentiment.
Speaker 1 (07:31):
And when you understand that, you can start to understand
where sentiment's at and where we might be in the
market cycle. So at the bottom you have something called capitulation,
where everybody's done, they're tired, they're mad, they just on'm
out and they sell. When you see these things in
the market, like peak fear, that might be time.
Speaker 2 (07:49):
To start buying. I know it's really hard.
Speaker 1 (07:52):
And when you see peak euphoria, it might be time
to What I do is don't buy as much. I
don't sell at the top. So what you want to
do is you want to study behavioral finance. You want
to understand herd mentality, you want to understand what FOMO is,
and you want to start to monitor the markets for
this so you know when you might want to add
less to your stack or you want to add more aggressively.
(08:12):
Now less than number eight is the community conviction rule.
Now the conviction rule is probably the number one thing that.
Speaker 2 (08:20):
I wish I would have had sooner.
Speaker 1 (08:22):
I wish it would have had more conviction because you hear,
oh man, you bought back one in twenty fifteen, it
was three hundred bucks.
Speaker 2 (08:26):
You're so lucky, you must have made so much money.
Speaker 1 (08:29):
Well, not really, because back in twenty fifteen it was
so risky. We didn't even know what it was. To
put like one thousand dollars into it back then seems
so risky, whereas today you could move millions or billions
into it, but you couldn't do it.
Speaker 2 (08:40):
Back then, we didn't have the conviction.
Speaker 1 (08:42):
Now, all of these lessons that I'm giving you now
and the ones that I'm going to contende to give
you will help you build the conviction.
Speaker 2 (08:47):
But you can't borrow conviction. You can only earn it.
You can only live it.
Speaker 1 (08:52):
And the fastest way to accelerate that conviction and your
belief and resilience is to be around other people that
you can learn from and share from and are back
and forth with.
Speaker 2 (09:01):
And one of the best ways to do that is
by going to an event.
Speaker 1 (09:04):
So you've seen me speaking at conferences all the time,
and the greatest ROI for me speaking at these conferences
is to be around these other people and share these ideas, relationships,
set of relationships that I've built, friends that have friendships,
that have developed, business opportunities that have popped up, And
so I would recommend attend a bitcoin meetup or a conference.
You can find bitcoin meetups all over the country. I'm
(09:25):
sure they're happening in your local area. A small business owner,
are you buried in all types of work keeping you
from the real thing that makes you money. Well, that's
where just works comes in. They're the all in one
platform that supports small business growth.
Speaker 2 (09:38):
You can get all.
Speaker 1 (09:39):
Their tools that help with benefits like payroll and HR
and compliance with transparent pricing. Now they help you hire
top talent internationally, internew markets, quickly scale international operations without
the workload, and for every how do I do it?
Speaker 2 (09:54):
Question, you can reach out to.
Speaker 1 (09:55):
Their expert staff from sole proprietor or a team of
twenty Works empowers all kinds of small businesses with real
human support. So visit Justworks dot com slash podcast to
join the thousands of small businesses that trust Just Works
to take care of payroll, benefits, compliance and more. Again,
that's Just Works dot Com slash podcast. Now less than
(10:19):
Number nine is the time preference shift. Now, time preference
is something that we talk about all the time in bitcoin,
and it takes you from a high time preference to
a low time preference. Basically, it's delayed gratification, instant gratification
or delayed gratification, and Bitcoin lowers your time preference and
what that does improves your decision making because unfortunately, nothing
(10:42):
good in life comes in short term thinking. If you
I used to have this friend and always like a
month before summer, he's like all right, I got thirty
days to get in shape. It's like thirty days to
get in shape, Like you should have started that a
year ago, right, We need that time, we have to
think about that. And that's what bitcoin does for us.
It helps us to realize is that these short term
gains or short term movements aren't what's important. We start
(11:04):
to think longer, and we start to think longer about
our money. We start to think longer about our businesses,
and our health decisions and our relationship decisions. And so
the lesson is to shift your time preference, start to
think in things of five year cycles. I still get
asked all the time, mark where will bitcoin be next month?
It's like, who cares about next month? Someone asked me
last night, you know, where will it be over the
(11:25):
next six months? I'm like, who cares about six months?
Where will be in five years? That's what I care about?
And so shift your time preference. So an action step
easy to apply this is basically to journal monthly on
how bitcoin is changing your thinking, how you're starting to
realize your health, the relationships are starting to be affected
by this.
Speaker 2 (11:43):
So you can start to build it.
Speaker 1 (11:46):
Out in our life less than number ten is the
self custody rule. Now, in the bigcoin community, we have
a saying that says that not your key's not your coins.
And I wish I would have learned this one sooner.
And the reason why is because I've lost a lot
of bitcoin by not custody on my own. Well, I've
actually lost it from not custody on my own and
from custody on my own.
Speaker 2 (12:03):
So let me break that down.
Speaker 1 (12:04):
Number one, not custody on your own means that you're
leaving it in someone else's custody. So, for example, you're
leaving it on exchange, and that happened to me. I
left it on an exchange. I left it on an
exchange called bit tricks. I'm just going to call them
out right here. I've talked about it before, and somebody
hacked the exchange and my bitcoin got taken, and we
(12:24):
went to court over it and found out that they
weren't liable even though they recognized in discovery that they
had a problem. They didn't have the proper security measures
in place. But because I had checked the box that
says I hold them, I don't hold them liable for
anything that happens to my bitcoin. I was responsible, so
I trusted them. They made certain promises of the security,
(12:45):
they didn't follow through.
Speaker 2 (12:46):
They got hacked. I lost my bitcoin. The other step
was I was using it.
Speaker 1 (12:49):
I had a wallet on my phone and I was
putting some bitcoin on my phone, and I was staying
at the Airbnb in Mexico. And one day I had
the bitcoin in my wallet and the next day the
bitcoin wasn't in my life wallet. So the action steps
are here. Number one, take custody of it yourself. But
number two, do it in a hardware wallet. Leave get
it off the exchanges, and don't put it into a
software wallet that you have on your phone or on
(13:11):
your computer. Put it into a heart hotware wallet. Don't
make the same mistake that I've made lesson. Number eleven
is what I call the spend regret rule. Now that
means if you spend your bitcoin.
Speaker 2 (13:23):
You'll probably regret it later.
Speaker 1 (13:24):
Early on in the bitcoin days, like I said, it
was three hundred bucks, it was five hundred bucks, it
was a thousand bucks and two thousand bucks. And I
was kind of just throwing these things around like chick lits. Man.
Speaker 2 (13:33):
We were just dropped spending them all over the place.
Speaker 1 (13:35):
You know, somebody would want to get paid in bitcoin, Sure,
why not some of my friends I'd want to get
into bitcoin, so I owed them some money, a couple
thousand bucks. Hey here, take a bitcoin kind of things
like that. But what I wasn't doing is I wasn't
going and replenishing those bitcoins.
Speaker 2 (13:47):
So I regret that.
Speaker 1 (13:49):
Now, if I can go back and get all of
that bitcoin that I was just throwing around instead of
just using fiat like I could have, and I had
that bitcoin today, it would be a massive amount. But
I don't can't go back and change that. But what
I could do is not make the same mistake. So
use fiat for your expenses and save in your bitcoin.
The rule is Gresham's law that good money drives out bad.
(14:12):
So we want to save in the good money, spend
the bad money. Don't spend your bitcoin for things that
you can spend fiat on. Less than number twelve is
the hold over trade rule. And what this means is
that holding, or as we say in the bitcoin space, hodling,
it beats trading for pretty much everyone, ninety five percent
of people. I know this because for a period of
(14:33):
time I wrote a cryptocurrency research news that we ran
a trading service, one of the biggest in the space,
and most people just lost their money. I've been around
this law, and it's to know that most people lose
their money. And so while you think you're trading mean
coins or whatever it is, and these DeFi protocols so
you can get more bitcoin, eventually, what you'll find out
is that just holding the bitcoin for the long.
Speaker 2 (14:52):
Run would have done better.
Speaker 1 (14:53):
If I can go back and get a doover back
to twenty fifteen, back to twenty sixteen, or twenty sixteen,
before twenty seventeen I started tree. If I could just
get all that bitcoin back and I could have just
had that today, my life would be way different. But
I can't, and I trade it most of it a way.
So the action step is hold. If you want to trade,
it's fun, maybe fun to speculate, fun to gamble, You
don't gamble all your money. Put ninety five percent into
(15:15):
your core stack and lock it away forever, and then
if you want take five percent, speculate with it.
Speaker 2 (15:19):
Trade with it.
Speaker 1 (15:20):
Less than thirteen is what I call the sound money principle. Now,
sound money principle thinking is.
Speaker 2 (15:27):
What makes bitcoin inevitable.
Speaker 1 (15:28):
It's what underlies all of this, because you see, solutions
are supposed to come to problems.
Speaker 2 (15:35):
That's the way the world works. We have a problem,
we'll come with a solution.
Speaker 1 (15:39):
So when you start thinking about it, well, what is
the biggest problem in the world. The bigger the problem
that we solve, the more value that's created. Well, the
biggest problem in the world is money, and the problems
with money. For example, central banks around the world continue
to print more money. For example, what we're seeing today
with Trump and tariffs and China is manipulation of currency.
And so what we need is a money that can't
(15:59):
be manipulate and can't be printed, a money that nobody
can control, nobody can conflate. And when you start to
think of things and that terms and realize that this
is actually solving the biggest problem in the world. And
you also realize why bitcoin is different than all of
cryptocurrency because of the sound money principle. Now, the greatest action,
the action stuff that you can take in this would
(16:20):
be read the Bitcoin standard, learn Austrian economics, learn the
history of money.
Speaker 2 (16:25):
And I say the Bitcoin standard because it actually takes.
Speaker 1 (16:27):
You from the history of money from feathers rocks and seashells,
all the way through the gold Standard and all.
Speaker 2 (16:32):
The way through today.
Speaker 1 (16:32):
It's a really great place to start your journey all
right now. Lesson number fourteen is the compliance playbook, and.
Speaker 2 (16:40):
This one is one that you really need to be
careful for.
Speaker 1 (16:42):
This is planning your taxes, planning compliance, and it's way
and do it way before it's too late. The RS
doesn't want to be messed around with. They're pretty serious
about this. And so a lot of people think that
they can buy and sell bitcoin, trade bitcoin and they
don't have to report it. But they're catching on to you,
so don't get caught in that. Couple things that you
can do about this. Number one, The easiest thing is
(17:03):
don't sell your bitcoin and don't trade your bitcoin.
Speaker 2 (17:05):
That's just the easiest part.
Speaker 1 (17:07):
I talk about it all the time. I don't plan
on selling my bitcoin. If I want some of the
equity out of it, I can take a loan against
it by borrowing against the bitcoin.
Speaker 2 (17:16):
That is not a taxable event. I don't owe the
taxes on that.
Speaker 1 (17:19):
I still own the bitcoin, but I can unlock the
equity tax free.
Speaker 2 (17:23):
That's what I plan on doing. Otherwise, if you do
sell it.
Speaker 1 (17:26):
Or you do trade it, make sure that you use
an exchange that allows you to get your reports, or
use some type of a software that can do that,
and make sure you get those reports and give it
to a CPA, an accountant that understands bitcoin and cryptocurrencies
so they can get.
Speaker 2 (17:42):
Your compliance done properly.
Speaker 1 (17:44):
You have to understand, like bitcoin doesn't just change your portfolio,
it changes who you have to become to keep it.
You know, a lot of times you hear people like, man,
you bought it at ten cents, but they probably wouldn't have.
Speaker 2 (17:54):
It today because you have to change who you are
in order to keep it.
Speaker 1 (17:58):
Now, these lessons they cost me any years of time
to get here, missed opportunities, expensive mistakes, but now you
have them. Bitcoin is the cheat code for building real
wealth and real freedom. And if you're wondering where bitcoin
could be by say twenty thirty, twenty forty, and twenty fifty,
that's exactly what we're diving into next in this video
(18:19):
right here.
Speaker 2 (18:20):
Now, make sure you're subscribed.
Speaker 1 (18:22):
Hit like if you've got value common below which lesson
hit you the hardest and I'll see you over the
next video
Host
Mark Moss
Show Links
The Mark Moss ShowMark's WebsitePopular Podcasts
On Purpose with Jay Shetty
I’m Jay Shetty host of On Purpose the worlds #1 Mental Health podcast and I’m so grateful you found us. I started this podcast 5 years ago to invite you into conversations and workshops that are designed to help make you happier, healthier and more healed. I believe that when you (yes you) feel seen, heard and understood you’re able to deal with relationship struggles, work challenges and life’s ups and downs with more ease and grace. I interview experts, celebrities, thought leaders and athletes so that we can grow our mindset, build better habits and uncover a side of them we’ve never seen before. New episodes every Monday and Friday. Your support means the world to me and I don’t take it for granted — click the follow button and leave a review to help us spread the love with On Purpose. I can’t wait for you to listen to your first or 500th episode!
The Breakfast Club
The World's Most Dangerous Morning Show, The Breakfast Club, With DJ Envy And Charlamagne Tha God!
The Joe Rogan Experience
The official podcast of comedian Joe Rogan.