Your daily dose of (plausible) conspiracy theorizing
First, in video form (below the fold). h/t before it’s news.
— And then in the form of press releases / info-ads talking about bitcoins, one of which includes a video of its own.
Here’s a bit of the transcript, which, sure, reads like a late-night infomercial. But tell me: has anyone here invested? Because my wife and are seriously considering it. It’s only because we are building a new home (perfect timing, right?) that we haven’t looked at it more closely…
You know, Mike, this is a really fascinating piece of economic history in the United States.
It all started in 1921.
Now back then we were in the middle of one of the worst depressions in U.S. history.
Remember, this pre-dates the Great Depression, but this is a big one.
It was a scary time in America.
Our GDP plummeted, the equivalent of $1 trillion of our economic value today.
Gone, in the blink of an eye… in 18 months.
Our dollar plunged over 17%…
Dropped right off a cliff.
So Thomas Edison blames all of this chaos on the Federal Reserve.
And you know what, he was right.
He believed that, even though we had a gold-backed dollar…
The Fed still had far too much power to manipulate our money supply and economy.
It sounds like Thomas Edison hit the nail on the head here.
That’s exactly what caused our 2008 recession, our financial crisis.
Edison saw it coming.
Edison’s Plan to Decimate the Fed’s Power
Edison’s solution was to weaken the Fed’s power.
Now, how do you weaken an institution with centralized power?
You decentralize it.
So as an inventor, Edison does what inventors do.
He sits down and invents a free market-driven dollar.
Edison Engineered His Money to Be Decentralized…
Decentralized across 36 commodities…
Decentralized across 12 warehouses…
Six in the cotton states, six in the wheat states.
And the only way new money could be created, would be if new commodities were added to those warehouses.
So Edison takes his plan to the Governor of the Fed, the New York Fed…
The heads of national banks.
Mike, guess what?
They buried Edison’s Dollar movement before he could ever get it started.
So how was Edison’s vision kept alive all these years.
An Underground Movement Kept Edison’s Plan Alive
evalution of the edison dollar
By a trail of breadcrumbs, Mike, that a few influential people followed.
Edison Dollars were initially championed by Henry Ford.
So a free market capitalist gets behind a free market dollar.
And the trail starts…
Edison, to Ford…
Then it leads to Irving Fisher.
Fisher was a famous economist, who believed that the money supply should increase along a fixed set of rules, with no Fed intervention.
He was a major supporter of Edison Dollars.
Now, it leads to one of Fisher’s protégés…
John Maynard Keynes.
In 1944, at the Bretton Woods meetings…
Keynes proposes his own, commodity-backed currency…
He called it Bancor.
Here’s the difference…
This is important…
Edison wanted to overhaul the U.S. dollar.
Keynes wanted to overhaul all currencies.
Now we have to follow those breadcrumbs again.
Nobel Prize-Winning Economist, Milton Friedman enters the scene.
Dr. Milton Friedman Had a Critical Role to Play
You interviewed Milton Friedman years back.
He discussed the role you found he played in this evolution of Edison’s new money.
That’s correct, Mike.
Dr. Friedman and I were talking at his condo in San Francisco…
His wife was with him, you know, they’re great people.
So we’re having this incredible conversation, and at one point he tells me, point blank…
Michael, we don’t need the Fed.
Just replace it with a computer.
And, I should say, he started promoting this idea heavily after we talked.
He wanted this computer to print these dollars on a set schedule.
Month after month, week after week, year after year, like clockwork.
The same number of dollars is printed.
No more, no less.
Edison Dollars were low tech.
Friedman fixed that.
From Edison to Ford to Fisher to Keynes to Friedman…
They kept upgrading the original vision…
But in 2009, we hit a point where the economic conditions were just right for a 21st century version of Edison Dollars to appear.
21st Century Edison Dollars Rise Up
Mike, what emerged was a perfect version of Edison Dollars…
Backed by multiple commodities
Free market driven
The money supply is controlled
Same amount printed on a set schedule
It cannot be manipulated by any central banker, or any government
Because it eliminates, not only the Fed’s centralized power…
But that of all central banks.
The only way to make all of this possible was for Edison Dollars to be reborn high-tech.
As a digital currency.
One created to act just like virtual gold.
But also backed by an even more powerful commodity…
Every day so much energy is allocated into maintaining this virtual currency…
It could power 31,000 American homes.
And its network isn’t 12 decentralized warehouses across America…
These modern Edison Dollars are stored in a decentralized network of millions upon millions of computers across the world.
If you took the top 500 super computers on the planet…
All 500, and combined them…
This virtual currency’s network would be 8 times stronger than that.
And this movement is growing at light speed.
We just saw a 1,500% increase in trading activity on it.
In U.S. dollars…
In euros, you name it…
In only 3 months.
These modern Edison Dollars have now surpassed the total value of 20 national currencies.
When have you ever heard of something that big, growing that fast?
Mike, these are 21st century Edison Dollars.
I’m talking about Bitcoin.
Bitcoin is the Realization of Thomas Edison’s Dream.
Michael, a lot of folks have heard of Bitcoin.
And it’s unleashed a firestorm in the press.
I want to read some of these quotes for you now.
Forbes, Bitcoin: “the currency of a $10 trillion dollar global market.”
Time magazine, this concept is “perfect money.”
Fox Business, Bitcoin may become “the world’s payment method of choice.”
The Washington Post, quoted experts calling Bitcoin:
“The Holy Grail…”
“Invisible to the Taxman…”
“It Could Soon Rival the Dollar.”
And it’s not just the press supporting Bitcoin, Michael.
Ron Paul said dollar alternatives like Bitcoin are:
“They offer freedom of choice.”
“They’re commodities that offer better value than what the Fed is printing.”
The VP of PayPal, Bitcoin “the perfect currency by design.”
Bill Gates: Bitcoin is a “Techno-Tour de Force.”
Now, this one is particularly intriguing.
The CEO of Google, Eric Schmidt, had this secret meeting in the UK.
He was there with the vice president of the council on foreign relations…
And a former advisor to the Secretary of State…
They were talking about how Bitcoin helps overcome problems people have with central banks.
It operates like gold, like gold mining…
And that Bitcoin is going to be worth a lot of money.
Michael, you’ve got the Bitcoin Revolution covered from a lot of angles.
Your background in venture capital where all this money is flowing into Bitcoin.
Your Silicon Valley, technology background.
Your investment background.
So let’s start with a very important question.
How in this day and age is Bitcoin even possible?
What Sparked the Bitcoin Revolution?
The global economy is based on hocus pocus, on magic.
The magic wand of central bankers and greedy governments.
So to understand the “how’s and why’s” of Bitcoin, you have to step back and look at all the pieces of a very big puzzle.
Take our dollar.
It’s lost 96% of its value since 1913…
The Australian Dollar, it’s fallen 99% over that same period.
The Canadian Dollar, 95%.
The British Pound, down 99%.
Warren Buffett recently stated the obvious about all of this.
He publicly said:
“People are Right to Fear Paper Money.”
“It’s Only Going to Be Worth
Less and Less Over Time.”
– Warren Buffett
These currencies are dying in front of us.
None of us are blind to what’s going on.
Think about 2009, when Bitcoin launched.
The entire world was stuck in the middle of the worst economic downturn since the Great Depression.
Everyone, starts pointing their fingers at their banks, their governments…
And of course, people started looking for options.
Now, what’s been happening since 2009?
Ungodly amounts of money printing, quantitative easing, and zero-percent interest rates, as far as the eye can see.
Mike, people just get fed up.
Bitcoin is a Global Rebellion Against the Fed,
Against All Corrupt Central Banks.
At Its Essence, Bitcoin is About Control.
But, the picture is still bigger than that.
Go on Mastercard’s website, why do they think Bitcoin is popular?
Their words, not mine…
“Desperate times call for desperate measures.”
And with Bitcoin “there’s no sovereign credit risk.”
Look at Cyprus, the government tried to steal money from its citizens’ bank accounts.
So more people start looking around…
They’re saying who can you trust?
What currency do you trust?
What investments do you trust?
And from all of this demand for trust and control comes the Bitcoin Revolution.
And it became unstoppable.
But is Bitcoin Even Money?
Now, the fact that Bitcoin is this virtual currency…
Every currency is a virtual currency.
I don’t think there are too many people who disagree with that notion.
But this is what led a lot of folks in world governments and central banks to ignore Bitcoin until it had grown so big and powerful, they couldn’t anymore.
But is Bitcoin even money?
Yes, Bitcoin, absolutely is money.
Because there is no central bank, it’s money that runs through this decentralized network around the world.
Bitcoin is created at a set amount…
In set time increments.
There’s no manipulating it.
That’s why everyday folks look at Bitcoin, how it behaves, as a virtual gold standard.
You’re absolutely right there, but governments and central banks, when Bitcoin emerged they looked at it as some fly-by-night operation.
The Foolish Mistake Central Banks Made
When They Overlooked Bitcoin
They made a very big mistake, Mike.
This foolish view overlooks an important detail.
Just to keep Bitcoin running, it requires vast amounts of people to pool their computers to power this decentralized network.
I talked about this figure earlier…
Take the top 500 supercomputers…
The ones being used by governments, militaries, monster tech companies…
Combine them all into one super-super-super computer.
Then make eight of them.
That’s how powerful the Bitcoin network is.
It’s worth mentioning that, you don’t have to, I don’t have to…
We don’t have to join this network to trade Bitcoin, or invest in Bitcoin.
No, we don’t.
All folks need to understand is this network isn’t going anywhere.
And Bitcoin is not some fad, or some hyped-up story.
You can’t walk into Walmart, CVS, NIKE, Lowe’s.
Into 700,000 American businesses…
They’re not accepting seashells for purchases.
Western Union has been in business 160 years.
It transferred $79 billion to over 200 countries last year.
MoneyGram has been in business 70 years.
Last year it transferred $1.26 billion dollars across 197 countries.
They aren’t doing money transfers with baseball cards.
The French Banking system has fully integrated Bitcoin – meaning you can get your salary paid in it.
And there are 200,000 American businesses equipped to pay salaries in Bitcoin…
They’re not equipped to pay salaries in fancy beads.
Look at Bitcoin as an electronic transaction or payment.
One with no borders and no country.
A Currency With No Borders… No Country…
No Crooked Central Bank
That really is the best way to explain it.
I mean after all, when we pull that dollar out of our wallets and put it in our bank account…
Or you pull out your credit card, make a wire transfer, go online and pay a bill…
Those are all electronic transactions.
Exactly, like Bitcoin.
Now, MoneyGram becoming a major Bitcoin player…
And the president of PayPal admitting they’re considering accepting Bitcoin…
This is a big deal.
We need to take a moment to stop and think about what this means.
It’s critical folks understand where everything could be heading.
PayPal processes 60% of all web transactions.
So imagine Bitcoin getting some slice of that.
eBay is a $14.5-billion-a-year business.
And its Latin American divisions are already accepting Bitcoin.
Imagine if every eBay division does the same thing.
But now, let’s step back and think even bigger.
Bitcoin is in the Early Stages of Being Integrated
into Every Internet Browser… All Of Them
This technology is already available for both Chrome and Firefox…
Microsoft prepared an internal report on Bitcoin where they described it as “a radical new approach to monetary systems.”
That means Internet Explorer may not be too far behind.
We need to take a moment to stop and think about what this all means.
When this next phase happens…
It will instantly put Bitcoin in front of every person with an internet connection in the world.
Now let’s add another piece…
The Technology Has Now Been Launched to
Integrate Bitcoin into Every Email and Every Cellphone
There are 107 trillion, that’s trillion emails sent out a year.
So put those pieces together.
MoneyGram, Western Union – online wire transfers.
eBay – online auctions.
Every internet browser.
Mike, we’ve got global online sales, landing somewhere around $10 trillion a year now.
And Bitcoin is on the verge of being in the mix with it all.
Michael, if Bitcoin captures 1% or 5% of these markets look out.
It’s not stopping there.
We’ve got to keep going down this road.
world map/cell phone
Cellphones are also in play.
iPhone and Android apps have already been built to integrate into the Bitcoin network.
There are 6 billion cellphones in the world.
And it’s estimated mobile phone transactions will soon surpass $617 billion a year.
So now imagine you open up the box of your new cellphone and Bitcoin is already built inside.
Can the free market defeat cronyism, corporatism, and currency manipulation? Or is the world just about to be taken over by a bunch of progressive computer nerds who’ll probably hire Barrett Brown as one of their chief spokespeople?
I have no clue.
But I’m interested in hearing your thoughts.