Hello? This is Geun-young Kim, the host of WTIA TV. Many people will suffer from the corona incident, my I started YouTube because I wanted the report to be of little help to my life. I sincerely hope that it will be a little information and comfort to many people.
Professor Yoonsik Choi, a scholar in Korea, In his book “The Big Change,” he mentioned 10 factors that will determine the limit of human destiny in the 21st century. First, the population explosion. Second, global warming. Third, the war of water, the war of water is the third It is now being evaluated as the biggest factor causing a battle. Fourth, the side effects of genetic modification to solve the food problem.
Fifth, in the variant file Crisis, biological time bomb. Viruses emerge as new species between 11 and 39 years and launch a massive attack on humanity. Sixth, ecological suicide due to environmental destruction. Seventh, the repeated economic crisis. Second, the Religious War and the New Crusader War. Ninth, military expenditure and future war. Tenth, side effects of surveillance society. These ten elements are mutually organic They are in a relationship and generally judge that the reinforcement feedback action on the bad side is stronger than the mutual good side.
Faced with a crisis for all these ten factors, however, our first-class Through challenge and response, a new civilization was being developed. Currently, the fifth factor among these various factors, the crisis of the variant virus, Let me first tell you about the origins of the current Corona for biological time bombs. What is the crisis we think about, the crisis caused by corona? It can be summarized in six ways.
First, Corona does not harm anyone. Second, signal understanding is important, and above all, transparency is important. Third, the initial response is important. Fourth, we need to respond in all directions, and fifth, if we overcome quickly, it will be an opportunity. It’s a matter of speed. Sixth, let’s overcome the crisis in crisis. The corona crisis can be summed up into these 6 types, and probably many people are talking about oil ETFs as their investment techniques.
Among them, Contango, Backwardation It is advocating something like Modern Monetary Theory (MMT), which I think is a basic element of the current crisis. However, there are crises and solutions, and let me first talk about the correlation between those crises and solutions. The current corona crisis is also a crisis called A.
Like our humanity or Korean government, but through an emergency meeting, A1 We came up with a solution called. However, this solution does not always work late. Second, another crisis, called B, comes. We also created a solution B1. However, in this way, the solution does not keep up with the crisis.
Crisis for C, solution C1 for C, crisis for D, solution D1 for D, If you go about F when the crisis of F comes, and if the solution F1 comes out, then you The crisis is reduced and delayed. The F1, prepared late, works and is a solution to the crisis.
The crisis is over. In other words, it is a story that the drum was beaten. If you look here now, let me talk about the debt issue for a moment, we What is the real reason for the countries, companies, and individuals that are sustaining the economic situation even with large debt right now? It’s that simple. It is a story of luck. Because the interest rate is low.
Now, the Chinese economy, which was good in the past, is not very good. Debt is blocked by debt. China definitely needs debt deleveraging. If China does not do this, it will be able to enter into long-term low growth, as you can see in Japan in the past or as an example.
When interest rates go up and the roll-over cost exceeds about 10%, the balance we’re talking about So let’s take a quick look at the relationship between this krona crisis and cryptocurrency. What is the future of cryptocurrency? Why is Bitcoin price soaring? Why are people investing in Bitcoin? What is Bitcoin? The definition is simple.
Bitcoin is an online currency created based on blockchain technology. The advantage is safe. It is durable. Supply is limited. There is scarcity. At the end of 2018, 3 million won, at $3,000, March 2020, 6 million won Why is the price of Bitcoin, which was $5,000, rising so fast? The reason is the increase in the amount of money in countries around the world due to the corona crisis.
For example, 20.4% of the US, 9.1% of the euro, and about 6.4% of the previous year There was an increase in the amount of money, and due to the promotion of digital currency in each country, It means that the reliability of the technology has been proven.
Next, post-transaction services such as PayPal or Visa card. It is said that there was some entry into the system, such as dollar linkage and the introduction of a cryptocurrency payment system, and Bitcoin with a total number of 21 million issued. Scarcity, Mining ends in 2040 in the issuance process.
Currently, about 18.6 million have been mined, but in the next 2040, It’s about being done. About this bitcoin soaring The biggest factor is the change in common perceptions of people around the world, and the factors of America and China.
What is the change in world common perception? It could be included in the short and long term returns. 400% or more after corona Soared. As I mentioned earlier, in March 2020, the minimum amount of KRW 6 million is currently exceeding KRW 25 million. Also, if the governments of each country to introduce a digital currency, the corresponding cryptocurrency will not disappear, and the use will increase. The reason is that it currently accounts for about 20% of the world’s underground funds, which is 20% of GDP.
I judged that it should be posited, Since humanity survived, underground funds have always existed. Of underground funding now 90% is circulating in dollars. In addition, unlike the dollar, CBDC, Central Bank, and Digital Currency that pursue the value as gold, value as digital gold, and dominant power. Centralized Bitcoin is recognized as a global currency. Also, the supply of global common awareness will be short. In 2020, there is a shortage of supply for the half-life of supply every four years, which is reduced by a half.
The specific explanation for this is in the next set. I will deal with it. Then, a shortage of supply and an increase in demand occurred at the same time. These days, DeFi the refinancing centralized market is dramatically 26 times this year It has grown by about $20 billion.
To buy this stable coin Bitcoin is required as a medium. For this reason, It can be said that we are suffering from a shortage of supply right now. If I talk about DeFi for a moment, there was no interest in cryptocurrency in the past DeFi is what makes it possible to utilize loans in the cryptocurrency market.
Interest income was generated by lending it to someone else. It is creating a DeFi market in cryptocurrency units. When cryptocurrency is in the DeFi business, Bitcoin acts as a stable coin. It means like this. Let’s look specifically at the United States. US is S&P The rate of return is between 10% and 15% in 2020, the rate of increase that is several times higher, and Bitcoin has increased by 160% to 180%.
In addition, institutional investors like JP Morgan prefer Bitcoin over gold. Third, institutional financial sectors and cryptocurrency markets are expanding their entry into the cryptocurrency market. There is hedge Fund Institutional Investors’ Most Assets Increased by 88% It accounts for the proportion, which means that the value of the asset is recognized, and in the case of digital asset manager Grayscale, Bitcoin It has been announced that it has 520,000 units as a standard.
It also added a bank. Major bank JP Morgan We provide banking services to the cryptocurrency asset exchange Coinbase and Gemini. Open a real-name account It is a story that allows it. Also, companies have joined. Publicly traded company MicroStrategy Over the second round, we bought $420 million worth of Bitcoin. There are about 38,050.
As a result, the company’s stock price rose. This is a story of a positive reaction to the market. It also has the PayPal effect that everyone says. With the news that PayPal supports cryptocurrency trading, about 30% surged in October alone. PayPal is now the world’s largest It is an online payment company. If you pay with cryptocurrency through about 26,000,000 affiliated stores, This is a method of sending and paying by converting money.
It means that PayPal exchanges cryptocurrencies and real currencies to relay transactions. Online payment company PayPal will launch Bitcoin, Ethereum, Litecoin, Bitcoin Cash, etc. from next year. Probably the biggest reason is that the company said it supports payment systems with 4 types of cryptocurrencies. Also, after the current US presidential election, Biden became president, and Biden works.
Biden continues its low-interest rate trend at zero interest rate by 2020. And the fiscal expansion has led to a surge in liquidity now, and the dollar value is falling accordingly. Real inflation is also increasing. He said he would increase taxes for the rich. In addition, Joe Biden chaired the former Commodity Futures Trading Commission, Gary Gensler, who was well versed in cryptocurrency.
Appointed as the head of the bank and securities regulatory review team. There are many other factors and in terms of the company, Treasury stock. In the Trump era, corporations boosted stock prices by buying back treasury stocks with surplus cash gained from corporate tax cuts.
Currently, the meaning of the buy-back is that the company itself judges that the stock price is too low. I’m thinking of that, but if Biden’s symptoms come true, the advantages of Buy-Back Falls. So, perhaps treasury stock purchases will also decline.
Now, specifically, the Director of Monetary Supervisor Brian Brooks of the United States We are promoting the convergence of existing finance and virtual currency. In July, we allowed the US bank’s cryptocurrency storage business, I am promoting a cryptocurrency exchange bank through a special permit system, and my friend is a major shareholder.
The Kraken Asset Exchange licensed the Virtual Asset Exchange bank for Kraken in September. Given. Congratulations. In addition, the PayPal virtual asset service in October 2020 DBS, the largest bank in Singapore, is preparing a digital asset exchange. Looking at China, China, which was the largest market for virtual currency, is now intensively cracking down on cryptocurrency OTC transactions. Chinese miners Cryptocurrency cannot be converted into cash, and the channel is frozen.
About 74% of mining pools are having a hard time converting cryptocurrencies into cash. Why are people investing in Bitcoin? There is a scarcity network effect, I think it’s digital gold. If you compare Bitcoin and gold for a moment, if there is a side that bitcoin wins, the supply is more limited.
The greater the network effect of Bitcoin than gold, the more secure and convenient the transmission era. On the other hand, if gold wins the judgment, jewellery is possible. There is a brand value to reach. There is still a bigger network effect. But perhaps, in the opinion of economists, the current market capitalization of gold is about $9 trillion. The total amount of cryptocurrency is 0.5 trillion dollars, of which 70% of Bitcoin is 0.35 trillion dollars.
In contrast, stocks around the world are estimated to be around $90 trillion. So, since the market cap is about 20 times, Bitcoin sees that there is enough upside potential if compared to digital gold. Why are people investing in Bitcoin? Currently, even in Korea, bonds with less than 1% interest a lot. In terms of macroeconomics, the value of the local currency is 50% in the last 50 years It has declined.
Also, the inflow of money is not only in the US and China but also in emerging countries and dictatorships. The amount of money issued by the countries and the corrupt funds they wanted to hide It has flowed a lot into bitcoin, which has anonymity as its strength. Again, half-life Since 2010, the half-life is now halved about every four years, which can be compared to the rate at which the money is printed.
The fact that the half-life gradually decreases means that the speed of printing money is much slower. The mean and the same. Will the Bitcoin price continue to rise now? Or is it a temporary phenomenon? Or is it an illusion? Insured value against currency depreciation continues to reach $200,000 Will rise.
One of the major shareholders of the Kraken exchange, which was previously licensed for the cryptocurrency exchange This is a story from my friend Sean Okono in December 2017. It will go up to $200,000. Also, the investments Lynn Alden, He said it would go up to 500,000 dollars. Also City The bank said it would go up to $318,000 by the end of next year.
While there is such a good and optimistic opinion, Ray Dalio, CEO of Bridgewater Associates, a well-known investor, said that if governments all over the world It is said that there is always a possibility of a sharp decline or extinction immediately. What is the correct story? For the time being, we can probably put weight on the rise in value.
More than any other factor, even if the money was released, too much was released. Then, what about cryptocurrencies other than Bitcoin, which is our true boss? Since Ethereum is a two-headed pair with Bitcoin, there is a high probability of sharing fate. In other words, the rate of increase is different until some point, You can continue to work with Bitcoin to climb.
Many other cryptocurrencies are not satisfied with the two cryptocurrencies as alternative means or speculation. People who think of themselves as investors will repeat the cycle of creation, growth, and extinction. If it is assumed that the two representative cryptocurrencies, Bitcoin and Ethereum disappear in the shadow of history, Other cryptocurrencies will disappear faster.
So what kind of situation opens up an independent survival scenario? If you look at the bitcoin valuation by famous investor Paul Johnson, Bitcoin as compared to metal. Precious metals, industrial metals, bitcoin It was evaluated as a medium of storage and exchange of gold, silver and wealth. That rest other Cryptocurrencies won’t die if they are rated at least as high as industrial metals that are directly involved in the business.
In other words, copper, iron ore, aluminium, cobalt, lithium, nickel, etc. are referred to as industrial metals, and they are used as raw materials for direct business, construction, manufacturing, and other equipment. If it becomes a usable metal, it will survive. In other words, other cryptocurrencies, like industrial metals, are not necessarily precious metals. Is that you can survive.
Investors who want to take advantage of cryptocurrency in an instant Sometimes they say that they are speculators, but as long as there are such people, the market is already open, and they have directly benefited from here for even a moment, or Those who have heard the rumours of those who have gained profit will pay attention to other cryptocurrencies for the time being. However, really if the general decline. What will happen if the chapter of extinction comes? There is only one way to survive.
Direct project and The cryptocurrency issued by the business, the connected cryptocurrency, and the cryptocurrency used will survive. At least we say we are self-improving. In other words, the cryptocurrency-related to the project rises in value in the rising market, slowly declines in the declining market, and I won’t die even. As seen in Paul Jones’s distinction, even if it is not a precious metal, Bitcoin, Is that it becomes an industrial metal.
Changed by those who want to keep the cryptocurrency presence to a minimum Even if it happens, a natural cycle occurs. So what is the most important part? Real Digital Currency is connected to Real Project. There are many things to be aware of about cryptocurrency.
There is also high volatility, and people Will you believe it? What Happens When Competing With Other Cryptocurrency? What about the state’s interference? Realistically, in 2017, when the futures market was listed, a third was sometimes cut. Someone like Masyoshi Son is saying that it will crash in two months. However, the present and the future are different.
It can be said that it will be different. What is the conclusion of the current assessment of Bitcoin? Among the three functions of currency, the trading function of exchange, The function of storing value, the function of a measure of value is now performing part of it. Until now, as a digital crypto-asset, It would be correct to evaluate. There are many concerns and strategic solutions to the current corona crisis.
There is, but the big conclusion about the current situation is simple. Predict ahead of time, develop strategies, Respond quickly, turning a crisis into an opportunity, not a risk. This is not only the corona incident but also the bitcoin incident, Ten things that have determined the limits of human civilization in the 21st century that Professor Choi talked about Whatever the factors come, if we are preparing with such a big conclusion as humanity has been, we believe that we will be able to develop into a better world through challenge and response.
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