QUESTIONS: “Why is it so hard to get ahead? Why does the government controlling the money supply massively increase income inequality? How does bitcoin fix that?

00:00 All 00:02 right, let's talk about why is it so 00:04 hard in the modern world for the average 00:06 person to get ahead? Why does government 00:09 money printing and controlling of the 00:11 money supply massively or what I 00:14 consider it the number one cause for 00:15 wealth inequality in the world? And how 00:18 does Bitcoin fix that? All right. So, 00:20 the reason it's so hard to get ahead, of 00:21 course, there's a bunch of reasons, but 00:23 one of the primary ones is that everyone 00:25 in the world that uses government money, 00:28 which is everyone who's not living on a 00:30 Bitcoin standard, you know, using or and 00:33 saving their wealth in Bitcoin, is 00:35 standing on a conveyor belt that is 00:37 going backward. So, you are trying to 00:39 get ahead. While you are trying to get 00:41 ahead, the government is printing more 00:44 money. That is decreasing the value of 00:46 your labor, decreasing the value of your 00:48 work, decreasing the value of your bank 00:50 account, and decreasing the value of 00:52 anything that is priced in uh US dollars 00:56 like wages and bank accounts and that 00:59 sort of things, checking accounts, 01:00 savings accounts. The value of all of 01:02 those things is going down as the 01:05 government prints more money and dumps 01:07 it slowly, sometimes quickly, but always 01:09 slowly into the economy. As a result of 01:12 that, you're always moving 01:15 backwards at least 4% to 9% per year. 01:19 Now, it used to be 2%. The government 01:21 used to say, you know, scouts honor, we 01:23 promise, you know, 2% that's as far as, 01:25 you know, we're we're only going to take 01:27 away your purchasing power by 2% per 01:29 year. Now they've given up on that and 01:31 said, "Hey, 3%'s not so bad." But when 01:33 you really accurately, you know, 01:35 accurately calculate it all, it's more 01:37 like 4% to 9%. And then at times of sort 01:40 of runaway inflation, it gets into the 01:42 double digits. That's in the United 01:43 States. Other countries are almost 01:45 categorically worse and some are far 01:47 worse. um in a handful of countries 01:49 around the world your purchasing power 01:51 of your money drops in half uh every 01:54 single year which basically means you 01:56 are on a um you know you're on a reverse 01:59 you know a walking sideway going 02:01 backwards at running speed. So if you're 02:04 in a country with hyperinflation you are 02:06 on a moving sidewalk it is in reverse it 02:09 is in high-speed reverse mode and you 02:12 are trying to run forward. 02:13 regardless of whether you're in the 02:15 United States and you're trying to move 02:16 forward and the government's trying to 02:19 move move you backward between 4% and 9% 02:22 uh per year and you're having to 02:24 overcome that. So you have to keep 02:26 running faster just to stay in the same 02:28 spot. So if inflation is you know let's 02:31 pick a number. If inflation is 02:34 7%. That means, you know, 17th of 02:38 whatever you've saved up disappears 02:40 every year, which means you're you're 02:42 having to move you basically 17th of 02:45 your forward motion is eaten up by the 02:49 government. And then on top of that, you 02:50 got to work really hard to to get uh to 02:53 get ahead of that. So if you have, let's 02:55 say, I'm going to use round numbers 02:57 here. If you have $100,000 in the bank 02:59 and you're trying to save up $7,000 per 03:02 year, you should be getting ahead. The 03:05 government's got you on a moving 03:06 sidewalk goingwards a 7% a year that 03:09 every year new $7,000 you save. All it 03:14 really does is make up for the the 03:17 reverse moving sidewalk you're standing 03:19 on resulting in you not moving forward. 03:21 You're just not movingwards. So, how 03:24 does this increase income inequality? 03:26 Well, in the world is largely divided 03:28 into two groups. People with assets and 03:30 people without assets. Assets are things 03:33 like real estate, stocks, bonds, you 03:36 know, any sort of financial instruments, 03:38 investments, anything like that is an 03:40 asset. Most of the world does not have 03:43 assets. Most of the world lives on a 03:44 paycheck. Their savings are in a bank 03:47 account or, you know, stuffed under 03:49 their mattress or something like that. 03:51 and they don't have stocks or bonds or a 03:54 401k or an IRA and most of the world 03:58 just doesn't have those things or if 03:59 they do it they don't have them in a 04:02 significant you know in a significant 04:04 way. It's not a large part of you know 04:07 maybe maybe they have savings but all of 04:09 their savings are you know 10% of their 04:11 annual income and that's it you know so 04:14 I if if you divide the world into people 04:17 with assets and people without assets 04:19 when the government prints money what it 04:22 does is it decreases the value of 04:24 anybody who already owns money and a 04:27 portion of that newly printed money goes 04:30 into the assets that people already own. 04:32 Which means if the government doubles 04:34 the money supply, let's just say all of 04:36 a sudden the government doubles the 04:37 amount of money in circulation, which 04:39 is, you know, largely what the 04:42 government's done. Yeah, it's like 04:43 quadrupled it since, you know, the 2008 04:45 recession, but it's, let's call it 04:47 double since, you know, I don't know, 04:49 2018. I don't know what the numbers are, 04:51 something like that. Um, most of that 04:54 doubling of the money ultimately ends 04:56 up, not all, because it hurts everybody. 04:59 When the government prints money, it 05:00 hurts everybody. It hurts rich people. 05:02 It hurts poor people. It hurts 05:03 everybody. But it hurts poor people. It 05:06 hurts the people without assets much 05:08 more than it hurts the people with 05:10 assets. So let's call it somewhere 05:12 between 50 to 80% of the new money ends 05:15 up chasing, you know, real estate, 05:18 stocks, bonds, investments, all those 05:20 things that drive the prices of those 05:22 things up. Which means those things are 05:25 now harder to get for the people that 05:28 are in that are trying 05:31 So the people without assets are 05:33 watching the ability to buy assets at 05:36 all disappear into the future as houses 05:39 and the stock market and all of these 05:41 things become more and more expensive. 05:43 Uh and they watch the value of their 05:46 their labor and their wages go down. So 05:48 they might have got a 2% raise, but in a 05:50 2% if you get a 2% raise when inflation 05:53 is 5% when the government prints 5% more 05:57 money then you're moving backwards 3%. 05:59 So when new money comes into the 06:01 economy, which is what the government 06:02 does when it prints money out of thin 06:03 air, some of that money chases assets, 06:06 which drives up those asset prices, 06:08 benefiting the people who already have 06:10 those assets. But all of that money 06:12 takes away purchasing power from the 06:15 people who don't have assets. So the 06:17 number one cause of wealth inequality in 06:20 the world is the fact that government 06:22 controls the money supply. Government 06:24 prints money. The people who have assets 06:26 see the value of those assets go The 06:29 people without assets see the value of 06:31 their wages go down because the the 06:34 people without assets are living 06:35 entirely on wages which go down uh in 06:39 purchasing power when the government 06:40 prints money and the people who have 06:42 assets see the value of their assets go 06:45 comparatively. Now again they don't go 06:47 up as much as the money printing. So 06:49 when the government doubles the money 06:50 supply maybe asset prices go up 50% or 06:53 80%. You're still worse off because they 06:56 didn't go up 100%. But you're a heck of 06:58 a lot better off than anyone who did not 06:60 have assets to start with. So government 07:03 control of the money supply and 07:04 government printing money out of thin 07:06 air is the number one driver of wealth 07:08 inequality in the world. There are other 07:10 drivers. Obviously some of it is by 07:13 differences in education or I should say 07:16 access to quality education. Some of it 07:18 is caused you know different 07:20 upbringings. Some of it is caused by 07:22 different access to healthcare. But the 07:24 number one driver is caused by the fact 07:27 that the government is printing money 07:28 and putting poor pe people who depend on 07:31 the US dollar and depend on wages and 07:34 salaries basically working people. It 07:37 puts them on a reverse walking sidewalk. 07:40 They're always trying to get ahead but 07:43 always being pulled backwards. 07:45 Meanwhile, the people who have assets, 07:47 that newly printed money is artificially 07:50 inflating to some degree the value of 07:52 those assets, which are pushing the 07:53 people with 07:54 assets while pushing the people without 07:57 assets down. Obviously, wealth 07:59 inequality is largely a function of if 08:03 you got assets, you have attached 08:05 yourself to a helium balloon slowly 08:07 tugging you up. If you don't have 08:09 assets, the government has basically 08:11 attached you uh you know a uh millstone 08:14 around your neck. That is always pulling 08:16 you down. It doesn't mean you can't swim 08:18 against it. It just means every little 08:20 bit you try to swim is being offset by 08:24 the fact that you're being pulled down 08:26 by the fact that the government's 08:27 constantly putting you on a reverse 08:30 treadmill. So, how does Bitcoin fix 08:32 this? While Bitcoin is the first 08:34 monetary system in the world, the first 08:36 money in the in the world, and the first 08:37 monetary system in the world, that is a 08:39 fixed supply. It is not controlled by a 08:42 government. It's not controlled by a 08:43 company. It's not controlled by by 08:44 anyone or anything. Um, it's just it's 08:48 controlled by the Bitcoin network, which 08:49 is controlled by everybody who uses 08:51 Bitcoin. And everybody who uses Bitcoin 08:53 has a veto over changing the total 08:56 amount of Bitcoin that will ever exist, 08:57 which is 21 million. So when you get 09:00 paid and you immediately turn those US 09:02 dollars into Bitcoin, you have insulated 09:05 yourself against the government money 09:07 printing, you have guaranteed that you 09:09 are not on a sidewalk, a moving sidewalk 09:12 going backwards, it's not as a result of 09:14 the money or I should say the government 09:16 money printing. That doesn't mean that 09:18 Bitcoin is not volatile. You're going 09:20 backwards and forwards, you know, at 09:22 various points because we're so early in 09:24 the Bitcoin adoption cycle. But in 09:26 general, the Bitcoin moving sidewalk is 09:28 going forward. The directional flow of 09:31 the Bitcoin moving sidewalk is forward. 09:34 It goes back and forth and back and 09:35 forth some on its way forward. Uh what I 09:38 like to say is it goes up and down on 09:40 its way up. Now, I said the word up 09:42 twice and the word down once. Bitcoin 09:44 goes up and down on its way up. So 09:48 that's two ups, one down. Two steps 09:50 forward, one step back, two steps 09:51 forward. So it's volatile. It goes up 09:53 and down but directionally it is always 09:56 eventually going forward. The US dollar 09:59 never goes up in purchasing power. 10:01 Inflation has never in the modern era 10:05 ever been negative. Meaning you never 10:08 woke up and you could buy more with your 10:10 money tomorrow than you could buy with 10:12 your buy today. Directionally the US 10:15 dollar is always going backwards. It is 10:17 always losing purchasing power. It is 10:19 you are always in 10:21 reverse. So the biggest thing we could 10:24 do to solve income inequality is move 10:26 the world from a fiat currency. Fiat 10:29 means made up. It means created out of 10:31 thin air by fiat. Fiat means by command, 10:35 by dictate. Basically the government 10:37 just makes up money. As the world moves, 10:40 which has already started, we're still 10:42 very early in that process. But as the 10:44 world moves from fiat currency, 10:46 governmentmade money such as the US 10:48 dollar and the euro and the yen and the 10:50 Juan and the you know etc etc. As the 10:54 government moves from that money to 10:56 money that nobody can make out of thin 10:58 air which is bitcoin the uh the 11:01 difference the disparity between those 11:03 who have assets and those who don't will 11:05 shrink. So income inequality will start 11:07 to reverse as everybody gets to use 11:10 money that is not working against them. 11:13 So Bitcoin is a money that is working 11:15 for you. It is volatile. It goes up and 11:17 down on its way up. But it is the 11:20 directionality is it is working for you 11:23 in the long term. The US dollar is only 11:25 ever working against you and you're 11:29 constantly having to fight against its 11:31 loss of purchasing power every single 11:33 day. So how do I summarize this? Why is 11:35 it so hard to get ahead? Because 11:37 governments have put you on a moving 11:39 sidewalk going backwards. That is why 11:41 it's so hard to get ahead. It's the only 11:43 reason it's hard to get ahead. The 11:45 primary reason it's hard to get ahead is 11:47 that the government has put you on a 11:49 moving sidewalk. Moving 11:52 backwards is a tough position to be in. 11:54 And that is where we all find ourselves. 11:56 So that is the number one 11:59 reason. Uh it has paused. Hold on. Give 12:01 me one second here. 12:06 the uh 12:10 so the uh I'm watching Tesla navigate a 12:14 very complex intersection there. It did 12:17 it did it admirably. I appreciated its 12:19 uh its actions there. Anyway, so um so 12:23 it's why it's so hard to get ahead is 12:25 governments have put us all on a awards 12:27 moving 12:28 sidewalk. 12:30 Government money printing increases 12:32 wealth inequality by watering down the 12:36 money of the people who don't have 12:38 assets and watering the people who do 12:40 have assets. Even though everybody 12:42 loses, the people who have assets lose 12:45 less than the people who don't. 12:47 Therefore, everybody's worse off by 12:48 government money printing because 12:49 everybody's having their purchasing 12:51 power watered down. But some of that 12:54 watering down sort of waters into 12:56 assets. the watering down effect of the 12:58 people who do not have assets go down 13:00 and it never goes up. It's just always 13:02 down. And then what do we what do we do 13:04 to fix that? We move to Bitcoin. We save 13:06 our savings in Bitcoin. We save and in a 13:10 currency that the government cannot make 13:12 more of that nobody can print more of. 13:14 There's only 21 million. When you own 13:16 Bitcoin, you know that nobody is making 13:19 your savings less valuable. And if you 13:22 hold on to it long enough directionally 13:24 as Bitcoin goes up and down on its way 13:27 up, it will be up. And it'll be up in a 13:29 manner that far outruns the government 13:32 money printing that is trying to hold 13:34 you back and hold you down and water 13:36 down your life savings and water down 13:37 your work and water down your efforts. 13:39 Bitcoin is the antidote to inflation and 13:43 uh Bitcoin fixes all of that. So a great 13:45 time to buy Bitcoin and my my advice has 13:48 never changed. Buy as much Bitcoin as 13:49 you can. Hold on to it for as long as 13:51 conceivably possible and live a life 13:54 that is much easier without the 13:56 government taking away your purchasing 13:58 power. Have a great day, everyone.