Seasonals Positive in Equity Land

FTX and the Reality of the Situation

We wanted to start this letter off and touch base a little bit about the decentralized currency space or “Crypto.” For full transparency, we are not advocating anyone invest in this, nor are we advocating against one doing their own research on any of the topics like this that we cover if you have an interest to invest.

We are well versed in this arena when it comes to the legacy of the space when Bitcoin was the, “one and only.” We have been through the Cypress bail-in from 2013 which really catapulted Bitcoin into the spotlight and then the debacle with Mt. Gox, which still to this day hasn’t been resolved and ongoing some 8 years later! So rest assure we fully understand what the goal of the decentralized technology that Bitcoin represents and we are well versed on the “Wall Street,” co-opting that we have seen over the last 6 years.

We can simply say this, if you are playing the Crypto space as if it is a traditional security, then you are missing the entire point of what the Bitcoin protocol stands for. We have written many pieces on this subject and to sum up the gist of it,

Bitcoin is designed to eliminate centralized control over the transfer of ones store of utility to another party

Now truly take that statement in, basically the way stored utility transfer systems work today are that transactions are Peer 1 to institution then institution to Peer 2. In regards to Bitcoin transactions, there is NOT a centralized institution, but rather nodes or networks of computers that verify the transaction and allows the flow of Bitcoin from one wallet to another. See the graphic below: