Could BlackRock Destroy Bitcoin?

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11 ай бұрын

Learn how to buy anonymous Bitcoin and do coinjoins:
www.bitcoinuniversity.com/cou...
In this video, I discuss possible downsides to BlackRock becoming a large player in the Bitcoin ecosystem.
What happens if BlackRock accumulates a lot of Bitcoin and then loses all of it, such that it is no longer accessible (private keys have been lost)?
In that case, BlackRock has just made a large pro-rata donation to the whole Bitcoin network and Bitcoiners like ourselves.
Could BlackRock issue a lot of "paper Bitcoin" and thus suppress the price of Bitcoin? Possibly, but then so can anyone else.
BlackRock is economically incentivized NOT to suppress the price of Bitcoin, if it wants the largest AUM and hence the most fee revenue as possible.
BlackRock could of course be forced by a hostile outside actor like the US gov to create a lot of paper Bitcoin to suppress the price.
One thing is certain though:
-- Central banks are not going to want to hold paper Bitcoin.
-- Nation-states are not going to want to hold paper Bitcoin.
-- Billionaires are not going to want the counter-party risk that comes with holding paper Bitcoin.
-- Serious Bitcoiners are not going to want to hold paper Bitcoin.
Issuing paper Bitcoin also comes with huge risks. If enough people ask to convert their paper Bitcoin into real Bitcoin (i.e. withdraw from BlackRock's ETF) and BlackRock doesn't have enough real BTC, then they will need to go into the open market and buy real BTC. The resulting spike caused by this short squeeze could easily bankrupt BlackRock.
It's much more difficult to suppress the price of an easily portable digital commodity than it is to suppress the price of a bulky physical commodity like gold. Taking delivery of BTC takes 10 minutes. Taking delivery of physical gold takes a lot more time, money, and coordination. It is also much easier to verify/assay Bitcoin and provide proof of reserves than it is with physical gold.
BlackRock could also fork Bitcoin and create its own proof of stake version. However, they cannot force Bitcoin node operators to run this new software or hodl the new tokens. I would take any PoS BTC tokens issued to me and dump them for real proof of work BTC. Something similar happened with BCH, which made that hard fork unsuccessful. I would also never run a PoS version of Bitcoin on my nodes.
The PoW fork of Bitcoin (i.e. real BTC) will not be just for pirates and El Salvador. It will be for anyone who doesn't want BlackRock to control their money, like:
-- Freedom-minded individuals
-- Billionaires seeking to escape the tentacles of the US
-- Nation-states
-- Foreign central banks
That's a lot of capital, and it's not going to want to house itself inside of a BlackRock or US gov walled garden.
Finally, under a proof of work protocol, owning more BTC does NOT give you additional control over the protocol. In a proof of stake protocol, it does. For that reason, Ethereum better hope that BlackRock never comes out with an ETH ETF lol.
Not investment advice! Consult a financial advisor.
BlackRock Blessing Bitcoin (Super Bullish):
• BlackRock Blessing Bit...
Satoshi on lost coins:
bitcointalk.org/index.php?top...
Croesus on FTX paper Bitcoin:
/ 1593274010434871297
The Dangers Of "Paper Bitcoin":
• The Dangers Of "Paper ...
Chris Blec on BlackRock attack on Bitcoin:
/ 1669720530432278529
BlackRock discussing hard forks in prospectus:
/ 1669475269244235776
I am not being paid or otherwise compensated by any company or cryptocurrency project that I mention in my videos. My opinion is not for sale. Please do not contact me with any affiliate or advertising deals.
#Bitcoin
#blackrock
Disclaimer
Neither Bitcoin University, nor any of its directors, officers, shareholders, personnel, representatives, agents, or independent contractors (collectively, the “Operator Parties”) are licensed financial advisors, registered investment advisors, or registered broker-dealers. None of the Operator Parties are providing investment, financial, legal, or tax advice, and nothing in this video, on this KZfaq channel, or at www.Trader.University or www.BitcoinUniversity.com (henceforth, “the Sites”) should be construed as such by you. This video, channel, and the Sites should be used as educational tools only and are not replacements for professional investment advice. Trading or investing in new and volatile assets like Bitcoin can be risky.

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@Bitcoin_University 11 ай бұрын

WARNING: There are a number of scammers who are using my image and channel name to try to connect with my viewers on WhatsApp and other platforms to scam them. Just so you know, I will never refer you to "my personal trader" or try to connect with you personally to sell you something. I am trying to ban these scammers as quickly as they pop up. You can always recognize a scammer by clicking on the image and seeing how many videos he has. All of these guys have zero videos, while I have hundreds. I also now have a checkmark next to my name, so that you can distinguish the real Bitcoin University from the imposters. Follow me on Twitter @mattkratter

@Bitcoinnaut_ 11 ай бұрын

Hey Matt! Thanks so much for all the education. Is Exodus a good/reliable phone wallet?

@Atlas_21 11 ай бұрын

This was a much needed video for all the new FUD being spread about this topic. Hope it goes viral.

@Bitcoin_University 11 ай бұрын

Thank you-- please share with your friends and on Twitter if possible. I appreciate the support

@GuitarbyRW 11 ай бұрын

Thanks

@giomusah2155 11 ай бұрын

@@Bitcoin_University Please counter this argument of possible paper btc: REhypothecation: - The norm with ETFs in tradfi is to lend out the assets in the fund in order to get some extra yield. Nothing prohibits this in BlackRock's S-1, so that's what they will do here - Means BlackRock's Trust will be massive creator of paper Bitcoin (much like FTX). Forks: - BlackRock asserts the right to decide which fork is the "real" Bitcoin - This raises the possibility of BlackRock (creators of the "ESG Score" capitalist social credit system) pushing an ESG-friendly BTC fork, with investors as hostages (Bitcoin Cash but much scarier)

@GautamSharma99991 11 ай бұрын

Seconded 💯

@tampabayrodeo2474 11 ай бұрын

Inflation hits people a lot harder than a crashing stock or housing market as it directly affects people's cost of living that people immediately feel the impact of. It's not surprising negative market sentiment is so high now. We really need help to survive in this Economy. The ETF/Equity market keeps swinging.

@hannahdonald9071 11 ай бұрын

@@finestbearhug2951 I agree, and for that reason I prefer to have a financial consultant make my day-to-day investment decisions. Given that their entire skill set is based on going long and short at the same time as well as employing risk for its asymmetrical upside and laying off risk as a hedge against the inevitable downward turns, coupled with the exclusive information/analysis they have, it's nearly impossible to not out-perform. I've been using a financial consultant for over two years and I've already seen positive.

@graceocean8323 11 ай бұрын

@@hannahdonald9071 I've been looking at comparable opportunities in the current market because I know a lot of people who made fortunes from the Dotcom crash and the 2008 crash. Could this consultant who helps you be of any assistance?

@hannahdonald9071 11 ай бұрын

It's run by SALVATORE FORTUNATO SOFIA, a financial consultant whom I learned about and got in touch with thanks to a Kiyosaki radio interview she was featured on. Since then, she has served as the point of entry and departure for the equities/stocks we have emphasised. A search using her name on the internet can be done if tracking is necessary.

@mcginnnavraj4201 11 ай бұрын

@@hannahdonald9071 She appears to be a true authority in her profession. I looked her up online and found her website, which I browsed and went through to learn more about her credentials, academic background, and career. She owes me a fiduciary duty to act in my best interests. I set up an appointment to use her services.

@ducknerddrake1497 11 ай бұрын

@@hannahdonald9071 You guys should get banned for spamming these awful ads

@Lakeland38 11 ай бұрын

Great video!! Nailed it. Just buy and hold bitcoin don't worry about price. Bitcoin is a peaceful revolution

@gerardroeterdink8508 11 ай бұрын

Great video, Matt! I just see two more (at least) theoretical risks that you didn't mention if Blackrock and partners were to create a PoS hard fork of Bitcoin : 1) If Blackrock were to force a large majority of the mining companies (e.g. by becoming their largest shareholders) to implement the new code, wouldn't that mean that the hashrate of the existing network with the classic code would go down substantially and therefore its protection against a 51% attack? 2) If a PoS variant of Bitcoin were to come into existence, governments could decide to make ownership of PoW Bitcoin and other PoW crypto illegal in the name of 'climate change' and 'energy efficiency'. As an illegal coin in the jurisdictions of those governments this would most likely decrease adoption. Such a proposal to ban PoW blockchains was already initated in the EU but in the end didn't reach a majority. Nevertheless someone could bring it up again later... What's your take on that?

@dexinvictus6103 11 ай бұрын

I was pretty damn bullish already but now I'm FUCKIN bullish

@andrewvader9077 11 ай бұрын

Thanks for the continued education I watch your videos from start to finish. It also helps you remind us the thumbs-up button 😅

@Bitcoin_University 11 ай бұрын

Thanks for helping to support the channel

@billyjean9484 11 ай бұрын

Retail to 25k (2009-2023) Funds to 10m (2023-2030) Central Banks to Billions (2030- beyond)

@DanMProductionsBois 11 ай бұрын

What is the math on these actual numbers. Not being a dick but those are wrong. Probably.

@googlesmostwantedfrog147 11 ай бұрын

@@DanMProductionsBois Hes using the widely accepted approach of Hopium Calculus 😉

@jonp.1084 11 ай бұрын

@@DanMProductionsBoisNot impossible if most of bitcoins are locked up in cold storage and bitcoin becomes a reserve asset of the world being used for daily trade. Look into Peter Dunworths work where he came up with the 7 billion number. He’s an insightful guy.

@billyjean9484 11 ай бұрын

@DanMProductionsBois Here's what we know: The coins must go into the Trillions and beyond because the money supply keeps expanding and bitcoin passwords keep getting lost.

@pawelp1022 11 ай бұрын

I like this base case

@TopShelfMontana 11 ай бұрын

We need more channels like this one where logic, reason, and critical thinking are used to evaluate the space. Using those tools leads someone to the reasons for Bitcoin only.

@stevedre6481 11 ай бұрын

What's happening is the retail consumer is realizing that they do not need Blackrock or anybody else for the matter to manage their wealth particularly when it comes to the novelty of BTC. This is the mainstream concept that is slowly and finally catching on. AND Blackrock, Fidelity, etc. are very nervous. Their existence is questionable.

@paulpyatt9942 11 ай бұрын

Exactly...and we don't need them. I hope that one day I can look at my kids and my grandchildren that they are no free of the financial giants that have kept people in chains financially. They are going to do everything they can to keep the golden goose in their backyard. Unfortunately corrupt politicians and regulators are in on the quick buck scheme and their own self enrichment. I live in hope ...

@rammuh1029 11 ай бұрын

Thank you for your objective views on the whole topic!

@bnjmn_smth 11 ай бұрын

Safe to assume BR have already accumulated a significant amount of BTC. They're bullies and focused on using their economic and political influence to shape markets for their benefit.

@gcpc1 11 ай бұрын

Thanks, Matt. You laid out the potential pitfalls + solutions.

@schauflik.8082 11 ай бұрын

Thank you for shining light on both sides of the topic!

@sharpenedge 11 ай бұрын

Can you make a short video explaining how a spot ETF works, in some detail?

@digitaldeepak21 11 ай бұрын

Why would someone buy Bitcoin ETF and not buy real BTC and store it in a multi sig cold wallet?

@Bitcoin_University 11 ай бұрын

Because it's much easier-- you just click a few buttons in your brokerage account or app. It's the same reason that people buy gold using GLD ETF rather than buying bars of gold, which is much more difficult. Obviously much much better to own the real thing, rather than a paper claim on it

@kodyk124 11 ай бұрын

Matthew, as always, your deadpan delivery of your sarcastic jokes is so good haha

@Bitcoin_University 11 ай бұрын

lol thanks

@joeharvie8362 11 ай бұрын

Thank you for great clear insightful information Matthew!

@RufusROFLpunch 11 ай бұрын

I think the fork danger is worse than you give it credit. If a few mega-institutions are the economic majority, they could exert major pressures and apply long term propaganda efforts to make favorable changes to Bitcoin. We know BlackRock is more than capable of that, it’s a primary business operation for them. This was always going to happen, however. This stage of Bitcoin is an inevitable growth hurdle. We need to get past it.

@MrRem7600 11 ай бұрын

Not really - we've already had multiple FUD attacks from various actors under the ESG narrative already. Blackrock can try all they want - it isn't getting them anywhere. Too many orange pilled people involved in Bitcoin now with too many nodes, along with failing world currencies and diamond hands where 70% of the supply in circulation hasn't budged in over 12 months.

@pablo19671 9 ай бұрын

Can they hard fork to proof of stake. What can stop them ?

@spx730 11 ай бұрын

Hey Matt, I believe it's a good idea to make a separate small video named "don't ever sell your bitcoin for fiat" and explain how it is still not smart idea even after you've made huge gains. because some people might lose their heads.

@Bitcoin_University 11 ай бұрын

Great idea-- thanks for the suggestion

@spx730 11 ай бұрын

@@Bitcoin_University somehow I can't post links but summary of meme was like: - you buy btc for 25.000 -government offers you 2.500.000 -you sell -btc pumps to 250.000.000

@sjdmcg3231 11 ай бұрын

Im interested also. How are we going to enjoy the spoils of our hoddling without selling into fiat or borrowing against it (which will be paid back in fiat? So you have to sell to pay the payments plus interest?)

@waver-hv2eh 11 ай бұрын

@@sjdmcg3231 no you keep borrowing to service the debt until you get margin called. #yolo

@user-gf5si9wd8r 11 ай бұрын

Lol why wouldn’t you sell it in a bear market ? And buy again cheaper

@ror3999 11 ай бұрын

I hope people wake up. The ease of a bitcoin audit by anyone. IS SUCH A GAME CHANGER. will be way to hard to play games with the supply. The lost of trust if caught is game over.

@sebastienbarbeau3408 11 ай бұрын

Always worth watching. Thanks

@Th3GuyWithPants 11 ай бұрын

YES

@InisMor 11 ай бұрын

Thanks Matthew. That was a really great update.

@simonroberts5 11 ай бұрын

Hi Matthew, there has been a huge amount of interest in this news, most claiming that the BTC price is going to rocket. People like Adam Cochran have claimed that gold went up between 2004 and 2011 due to the GLD ETF being started in 2004, but this ignores the huge amount of money printing that took place to bail out the banks in 2008 and the EUR in 2011. Secondly, if you buy a share of GLD, you can only sell it for USD - in other words it is a cash claim in the fund. Balckrock may be evil, but they will never be stupid enough to allow you to swap shares in a BTC ETF for anything other than USD to mitigate the risk you described in your video. Even if the fee structure is based on AUM and therefore price, that price still has to be sufficiently low to encourage new investors to buy shares which leaves me wondering just how much Blackrock will short the market to suppress the price. While I think BTC will rise in price, I’m not ordering the Lamborghini just yet! Any thoughts on BTC price manipulation/ suppression would be much appreciated. Many thanks for all your great work and the insights it brings to investors like me.

@Jizzle76 11 ай бұрын

Matt, what’s to stop Blackrock “incentivising” the nodes/miners to run PoS (or a new code) at a level far greater than what they currently make from PoW, especially after each halving?

@bitcoinpoemspro1406 11 ай бұрын

Thanks Matthew. Always good content.

@brandonrakyta 11 ай бұрын

Been subbed for awhile. Love your Videos. Gotta play devils advocate real quick tho about the hard fork argument: I was an early supporter of ETH, mined ALOT over the years, and when they forked I was in the EthPow camp. What I saw was that the group wanting the fork had much more capital than us miners, so they ended up doing what YOU just suggested, they dumped all their ETHPOW onto the market a crashed the price. Now no one uses EthPow. What I'm saying is if Blackrock (and all followers) have more BTC then the rest of us at that point, they will simply crash the price by selling the majority of the BTC on the network.

@big566bunny 11 ай бұрын

One can only speculate… Blackrock’s hypothetical PoS BTC requires staking rewards, presumably offering enough return to be competitive with other return-producing investments. But “rewards” implies/demands a constant increase in the supply of PoS-BTC. It also implies much greater voting power for large stakeholders and that suggests the temptation by these stakeholders to game code to slant returns their way. So that means depreciation in the price due to inflation (no fixed upper limit) as well as risk incurred by smaller holders vis a vis the whales. All this leads me to conclude that holders of PoS-BTC will constantly seek to flee to the stability of real BTC. I doubt Blackrock wants to endanger their original investment in real BTC. Other, wiser heads can elaborate on this.

@cryptobaecafe 11 ай бұрын

It's a solid argument that everyone is ignoring because they just want the price of BTC to go up. What if they don't have intentions to ban BTC until after the fork is created sounds insane but Blackrock shoots for long-term dominance and control.

@michael2275 11 ай бұрын

Some commentary on twitter suggesting SEC asked BLK to put forward an application in case they lose the grayscale case. Speculation is that if the SEC win against grayscale this application will be pulled. If they lose they will launch at the same time that grayscale converts. I think you're seeing a bit too much of what you want to see in this...

@Paul-jp8zz 11 ай бұрын

As always, great stuff! Technical point you probably don't care about, but sometimes you ask about audio quality and such.. this video and yesterday's have a much different "sound" to them in your voice, maybe recorded on different gear? Not better or worse, just letting ya know

@MikeStillUK 11 ай бұрын

Thanks Matthew

@breezecatcher100 11 ай бұрын

Thank you

@Mr.McMello 11 ай бұрын

thank you Matt!

@bebitcoinize 11 ай бұрын

Thanks for lessons Prof ❤️💕

@Videos-ICU812 11 ай бұрын

Thank you for the video. Great information.

@martinlukavsky 11 ай бұрын

Thanks for the insightful video

@Mr3169Leo 7 ай бұрын

Thank you!!

@reneluchinger1210 11 ай бұрын

Thanks as always!!!

@rahimlaaba2657 11 ай бұрын

important exact analysis - thank you!

@TheOcean777 11 ай бұрын

🙏 Thank you Matthew. Amazing video. Answered so many complicated areas of great concern. Great thinking and presentation.

@yasinmohamed652 11 ай бұрын

This is really good content ❤

@STP134 11 ай бұрын

Thank you, Matthew!

@ikust007 11 ай бұрын

Thank you .

@upup209 11 ай бұрын

Agree

@benoczbalazs526 11 ай бұрын

Very on point ! Perfect analysis ! Thank you ...AND LONG LIVE BTC!

@-_----- 11 ай бұрын

Brilliant - every bit of this seems water-tight. Thanks for some calm, level-headed analysis of this problem.

@BatmanBoss 11 ай бұрын

Thanks buddy

@deanwolfechannel 11 ай бұрын

thanks man

@Zimo0o 10 ай бұрын

This is an amazing video, thank you matthew I can't believe it took me this long to find your channel every video is an absolute goldmine and very easy to understand I like the way you explain things Is there a way I can donate to your channel or bitcoin university? patreon?

@KeepCalmAndHODL 11 ай бұрын

Great info as always!

@terapiabitcoin 11 ай бұрын

Great work matt

@brianbelden799 11 ай бұрын

Another great video. Matt have you looked into the new Foundation Passport wallet as another option for cold storage along with Cold card and Block stream Jade

@c.p.1090 11 ай бұрын

Awesome 👏 review. BTC rules.

@Hitngan 11 ай бұрын

Nice one Matt

@M3LTUP 11 ай бұрын

BR and Vanguard trying to do to BTC what GLD and SLV has done to physical Gold and Silver. Which is manipulate the price up , down , sideways via paper contracts.

@MarkOfBitcoin 11 ай бұрын

Good analysis. 👍🏻

@timloughnan4856 11 ай бұрын

Excellent as usual. Thanks

@Bitcoin_University 11 ай бұрын

Glad you enjoyed it

@pravanjugath 9 ай бұрын

This is why I love this channel.

@Cardio62 11 ай бұрын

I am more worried and curious about the risk of Quantum computing on the future of bitcoin you may want to elaborate in your video .

@EmilGhiurau 11 ай бұрын

Hey Matt, thank you for the video again! One question, is there something that you do see as a potential true problem with BTC? Robert Breedlove talked about ‘black swan’ as the potential problem, the unknown from no where. I’d be interested what are your thoughts?

@tomasviane3844 11 ай бұрын

What if Blackrock starts running their own nodes for a forked BTC. They should have the funds to run a few hundred nodes and maybe some of the 'old BTC' nodes might convert if they feel like it's a win for them (financially)?

@Cr4y7-AegisInquisitor 11 ай бұрын

What do you think about the possibility of a rugpull? It seems that BlackRock tries to reserve the right to choose the valid chain in case of a split. Now if they declare a new ESG fork to be the valid chain, then all ETF holders have a claim to this new fork but not to the original bitcoin. Then without any outside claim to the original bitcoin, BlackRock suddenly owns all of it. What if the strategy is not to destroy bitcoin or to change its code, but to accumulate as much as possible in a roundabout way? Not saying this is their primary plan, but it sounds like something that could happen later on. You can say we would just dump the new ESG coin ETF and buy real bitcoin with it, but the price dynamics would mean serious losses from doing this if everyone has the same idea. This is not the same as in the BCH case, because back then all holders controlled their coins on both chains. In this ETF case the holders would loose their claim to the real chain, and BlackRock would sit on it.

@Cr4y7-AegisInquisitor 11 ай бұрын

Let's say you are convinced that bitcoin is the future but you are late to the table. You could try to buy as much as possible with your own money, but why not buy as much as possible with other people's money and then rugpull them?

@Silarous 11 ай бұрын

A large holder of bitcoin does not get to declare a new fork of Bitcoin, Bitcoin. The nodes and miner's decide that. The overall network has to support the fork.

@ikust007 11 ай бұрын

@@Silarousand if they own the majority of the miners …?

@Silarous 11 ай бұрын

@ikust007 that wouldn't be an easy feat to accomplish, though possible. Still, it's your own node that decides which chain you choose to follow. Miners don't decide what Bitcoin is, either. It is a collaborative effort of the whole network that establishes that. The will of a single entity can not be enforced on the masses.

@Cr4y7-AegisInquisitor 11 ай бұрын

@@Silarous They do get to declare what underlies their ETF. Bitcoin holders would not be affected, but ETF holders would be.

@prancer1803 11 ай бұрын

Great content

@weepz 11 ай бұрын

Great video! Thank you. :)

@mrpaddingtonn 11 ай бұрын

great stuff! as always

@theskintones 11 ай бұрын

Thank you so much for clearing up those issues , this video really helps to give people confidence about the resilience of bitcoin.

@PlanetFrosty 11 ай бұрын

Matt, good job

@fonebook 11 ай бұрын

I don't think there's a grand conspiracy behind the hard fork footnote, any issuer of a Bitcoin ETF has to address hard forks. Better to write it vaguely than be specific because you can't possibly account for all scenarios. I also disagree that this somehow captures Bitcoin. Bitcoin is like a screwdriver or electricity. It will have won when everyone uses it: Average Joes, businesses, central banks, family offices and yes, financial institutions. You can't stop anyone from owning Bitcoin or putting it in an ETF. Luckily, it's a PoW network where % of ownership doesn't mean shit.

@CryptoGypsy- 11 ай бұрын

Great Vid ❤

@MalcadorTheSigilite 11 ай бұрын

Kinda interesting people have forgotten about BTC cash in terms of POW hardfork.

@Bitcoin_University 11 ай бұрын

I would call it BCH or B-Cash, so as not confuse people. BCH is trash obviously

@JML-TruthBelongsToEverybody 11 ай бұрын

Matt, do you think Fidelity rumors of Fidelity buying out Grayscale are on point?

@Bitcoin_University 11 ай бұрын

It's certainly possible that they would want this cash cow. But it doesn't necessarily mean that GBTC will go back to trading at NAV unfortunately.

@fits_and_starts 11 ай бұрын

That bit from Anil was definitely crucial info.

@bujin5455 11 ай бұрын

You didn't address half of what would happen if BR were to choose the wrong network to support. BR would still have their PoW BTC as well as their PoS BTC. So BR could dump their PoW BTC just like most of us would dump our PoS BTC. They could then choose to dump the proceeds of their PoW BTC into more PoS BTC. Which would be both a big drop for PoW BTC and a big boost for PoS BTC. Something to think about. What are the second and third order effects of that?

@Bitcoin_University 11 ай бұрын

Yes, that's true, but it wouldn't change the fundamentals of PoS BTC vs PoW BTC. Billionaires and smart people would still want the real gold rather than the fools gold. So they would basically just be allowing all of us to buy PoW BTC at a discount

@bujin5455 11 ай бұрын

@@Bitcoin_University I agree, I just felt it was pretty big point that you didn't cover in your otherwise excellent analysis.

@fv7421 11 ай бұрын

I love the NBA vs Donkey basketball. Matthew, you're the most consistent voice of reason and information for the last few years. Thank you.

@Bitcoin_University 11 ай бұрын

Thanks!

@retroatx 11 ай бұрын

❤ your channel

@c.p.1090 11 ай бұрын

BlackRock like all companies has divisions and each division will pursue their interests. Atleast in medium term for many many years will be bullish.

@yalla636 11 ай бұрын

Meanwhile CleanupBitcoin is sharing pictures saying ; TELL FIDELITY TO CHANGE BITCOIN CODE.....the direction here is absolutelty clear. Love your videos, exposing Altcoins, but blackrock will be another level of manipulation and i understand if maxis have a hard time accepting it

@Bitcoin_University 11 ай бұрын

CleanUpBitcoin is a crappy marketing campaign funded by the Ripple guy.

@yalla636 11 ай бұрын

@@Bitcoin_University and greenpeace is involved. blackrock supports climate activism, both are sharing connections to Ripple. The ETF will be a leverage for the campaign. Blackrock controls prices on much bigger markets

@soul_train8901 11 ай бұрын

So will a Blackrock ETF approval pave the way for GBTC to convert to a full ETF in your opinion? Better or worse for GBTC shareholders?

@Bitcoin_University 11 ай бұрын

Re SEC approval, it's hard to say because they are quite different products. GBTC functions more like a closed-end fund, while the BlackRock product offers daily redemptions and creations to market makers. I think it's probably worse for GBTC shareholders because GBTC fees are so much higher than what BlackRock will offer (probably closer to 0.50%)

@toejoe9105 11 ай бұрын

@Bitcoin_University Yesterday I heard that Fidelity may be in talks to acquire GBTC. If that happens wouldn't it be likely that Fidelity owned GBTC converts from Trust to ETF and management fees decrease to be competitive with Blackrock? I, for one, will never support Blackrock. And I could capture the upside of GBTC currently trading below NAV. Thoughts?

@davenielsen413 11 ай бұрын

@@Bitcoin_University The GBTC discount has been narrowing since the announcement, so investors see this differently. And of course the Blackrock ETF is much better than GBTC currently, but GBTC has been trying to convert to an ETF for a few years. That will likely happen once Blackrock ETF is approved.

@Kirkwall_RS 11 ай бұрын

I love that Satoshi quote about lost btc. I actually did a small Satoshi tribute recently to the genesis address and there's thousands of people who have done the same over the years.

@pickin6strangs 11 ай бұрын

Should be called how BlackRock destroys itself with Bitcoin 😂

@jonathanlivingston7358 5 ай бұрын

What happens to the Black Rock ETF shares if Black Rock forks BTC? Do the shares suddenly go to the new price of the shares like in Bcash?

@jonathanlivingston7358 5 ай бұрын

4:00 can you explain why the ETF’s BTC IOU are a potential problem? How?

@EE-gy1kf 11 ай бұрын

Hi Matt. Would BlackRock be legally obliged to report their holdings of BTC on a regular basis? If yes then it would be possible to verify what they claim by checking their addresses on the blockchain.

@Bitcoin_University 11 ай бұрын

Yes, they would be obligated to report it, but unless they (or Coinbase Custody) shows proof of reserves, it would be impossible to verify

@EE-gy1kf 11 ай бұрын

@@Bitcoin_University If they do not provide proof of reserves the question then is who in their right mind would buy units of this ETF given that it is so easy to buy and store the underlyimg asset.

@LClarke 11 ай бұрын

@@EE-gy1kf Same reasoning holds true with gold, yet it hasn't prevented a massive imbalance between _claims_ on gold vs _actual_ physical gold backing those claims, as MK reminded everyone at 6:09. In fact, MANY investors all over the world, both retail and institutional, don't seem to be bothered at all by this fact.

@EE-gy1kf 11 ай бұрын

@@LClarke There is a technical difference between gold and BTC. It is harder and more risky to own and store physical gold compared to BTC. That is why people prefer to get exposure to gold via an ETF.

@S0up3rD0up3r99 11 ай бұрын

@@Bitcoin_University Actually, they could get away with fraudulently reporting their holdings and pay a small fine if they get caught. It's called Acceptance Waiver and Consent. SEC allows all sorts of market fraud to occur thanks to it.

@gradym9841 11 ай бұрын

BTC basics question - what would happen if an app or BTC wallet service happened to create a duplicate address to an already existing one - would they be able to have control over that BTC on that address (if it wasnt controlled with a multisig)?

@tosgem 11 ай бұрын

Yes, then you could hack into the mainframe and take control of the server remotely through a backdoor exploit

@paullamb1100 11 ай бұрын

Yes it is technically possible, however the likelihood of randomly guessing a private key is ludicrously small (akin to searching all the atoms in the known universe)

@kevinjackson4933 11 ай бұрын

Matt, I've seen people suggesting that Blackrock's financial incentives with bitcoin might actually be outdone by their fiat financial incentive to keep fiat on top (since their whole business model is based on protecting money from financial debasement), motivating them to suppress/contain bitcoin's best features as much as possible. I think your relatively positive conclusions would still apply if these fears were true, but I'm just curious about you opinion of that prediction.

@firstnamelastname-oy7es 11 ай бұрын

If they believe bitcoin has the capacity to outperform their current area of operations by massive amounts, they might move to embrace it and profit off of it, rather than spending billions trying to suppress it.

@kevinjackson4933 11 ай бұрын

@@firstnamelastname-oy7es I think the theory goes that bitcoin would replace their entire business model and eventually render them irrelevant, but I hope you're right.

@YarikSychov 11 ай бұрын

Like a Trojan horse. The truth is, there was no way they could keep ignoring it. The only way was to try to integrate btc into the system or risk losing it all. Well, btc is in and it's a computer program (read a virus, or in this case a computer antibiotic 😅) and just like that, the Trojan is installed and encrypted. Good luck govs. If you get encrypted malware in your system, the only way is to wipe the drive and reinstall the system from scratch. That's what's going to happen eventually, a full reboot of the fiat system dominated by Bitcoin.

@TT-nk5hi 11 ай бұрын

Where does all the FIAT used to purchase bitcoin go? If it gets stolen, wasted or spent how does Bitcoin hold its value relative to FIAT?

@paullamb1100 11 ай бұрын

When people purchase Bitcoin to store their value rather than saving in fiat, that extra cash enters circulation in the market. This results in more dollars chasing the same amount of goods in the market, leading to further inflation of that fiat currency. The net result is the value of BTC goes up and the value of the fiat to purchase it goes down.

@TT-nk5hi 11 ай бұрын

@@paullamb1100 yes I see that but it’s an interesting concept. We aren’t really purchasing anything but transferring “value” to another medium in the assumption that the new medium will prevail.

@TT-nk5hi 11 ай бұрын

If it goes into "circulation" and "disappears" then you have to look to find FIAT if you need to convert back. So it seems like the BTC network needs more fiat to come into the system.

@paullamb1100 11 ай бұрын

@@TT-nk5hi Unfortunately the KZfaq censorship is strong today, so having trouble replying to your excellent points. If you haven't read it yet, I highly recommend "The Bitcoin Standard" by Saifedean Ammous.

@TT-nk5hi 11 ай бұрын

@@paullamb1100 yes all understood, I have read the Bitcoin standard. I think I have to get my mind out of conversion back and forward from BTC to Fiat.

@digital_gravity 11 ай бұрын

Excellent vid. One point: I think there is some risk in using airdropped tokens as it can expose your private keys. You would need to be careful doing that.

@_sytch 11 ай бұрын

It will expose your public keys, not the private ones. The only risk of that is if a quantum computer can calculate the private key from the public key which is currently impossible in any practical amount of time. You expose the public key every time you make a transaction and until you spend from an address everyone only knows the hash of that public key but not the key itself, and hashes aren't crackable even for QCs. So no, there's no risk in spending the forked tokens. Unless, of course, the protocol for some dumb reason requires you to disclose the private key but it makes zero sense.

@GrumpyOldGuy777 11 ай бұрын

Only public address would be exposed.

@paullamb1100 11 ай бұрын

@@_sytch Right, a fork in and of itself doesn't typically expose anyone's private keys. Instead, the way this sort of key-stealing scam usually works is that the fork comes with a new branded wallet software that is hyped up to supporters of the new coin. It is this software which the scammer uses to steal private keys. I can't imagine a big company like Blackrock playing that sort of game, though.

@digital_gravity 11 ай бұрын

Thanks guys for the response. I knew the risk was small but had read about people getting in trouble using airdropped tokens.

@firstnamelastname-oy7es 11 ай бұрын

@@paullamb1100 I don't know, they've probably done a lot worse. To be on the safe side, if you want to claim the fork tokens, move all your btc to a new wallet after the fork has been finalized. Then you can use the private keys of your old wallet to claim the forked tokens on the new chain without rising your current BTC when you put in the old wallets private key into their new wallet software.

@mazeman01 11 ай бұрын

This puts me at ease a bit.

@uncobazz3848 11 ай бұрын

don't gold etf's settle in cash not gold, if so what if BR does the same with BTC?

@gtcstorm40 11 ай бұрын

It should be illegal to issue unbacked BTC, gold, silver, or whatever. Nonsense has to stop. If we print money we go to prison.

@Bitcoin_University 11 ай бұрын

You can't rely on the government to enforce a law like this, because they want to see a lot of paper gold created

@CryptoDave17 11 ай бұрын

great video Matt. Next bull cycle I suspect you will pass 1M subscribers.

@michaelward9201 11 ай бұрын

In summary: Everything is good for Bitcoin.

@ralfbo685 11 ай бұрын

Now rumors say Fidelity wants a piece of Bitcoin ETF. This is wildly bullish.

@swamivivekananda-cyclonicm8781 11 ай бұрын

From Gold they will learn not to go for paper Bitcoin and with internet this will not be problem

@johnbeach846 11 ай бұрын

Eth etfs exist in other countries and plenty of exchanges have staking pools. Are we just going to ignore this?

@mikestaub 11 ай бұрын

They will not allow client to hold anything except paper Bitcoin regardless of what the customers want.

@fredericknewman5398 11 ай бұрын

Do we know how long it will take to be approved or denied...do we have a date?

@Bitcoin_University 11 ай бұрын

Something like 45-240 days

@crypticvega88 11 ай бұрын

What's the safest cold storage wallet?

@donrhine9071 11 ай бұрын

Matthew could you put some thought into what happens to Bitcoin when quantum computers come to fruition? These are already operational and just a matter of time before they are able to solve the algorithms with ease and win blocks much faster than traditional computers. I’m thinking this could flood the market with additional bitcoin cause the price to drop dramatically? Am I wrong in thinking this? Maybe you could do a video on the subject?

@leslieguinn6157 11 ай бұрын

I think the time has come for a consensus of the nodes to come together and take greater ownership and supervision of code development. In other words a Bitcoin mint. Clearly that's Satoshi's plan. The nodes have the power and a strong incentive to do so. The nodes enforce the code, the protocol and the direction of development. We've got the cart before the horse. I don't think ordinals are good for Bitcoin. I agree with most people that it's mostly just an attack. But even more disturbing is that they have broken backward compatibility with Tap Root. If Tap Root were to create a Black Swan it would be much harder to fix it. Developers have surreptitiously done a semi hard fork without any relevant consensus. They have essentially attempted to capture Bitcoin for their special interest. Obviously the nodes can't allow that to stand..😐

@Bitcoin_University 11 ай бұрын

What you describe is already how the system works. Bitcoin devs don't do anything that doesn't have broad consensus among Bitcoin node operators. Tap Root was a soft fork, so everything is still backwards compatible

@leslieguinn6157 11 ай бұрын

@@Bitcoin_University Sounds ok. But time will tell. Seeing a lot of red flags out there. Just want to be fortified and ready. I still think we need an informal Bitcoin Mint of virtuous Bitcoin nodes and loyalist to oversee everything. I think that's our responsibility. Thanks for your work and reply..👏👍🤠🗽🧡