Dennis Lewis 0:01
And Hello, everybody. Welcome. Hi, I’m Dennis Lewis. This is another weekly installment from crypto trader news with our very fine and the experts Stuart Pritchard, co founder of Blockman Capital. And yeah, we’re gonna just jump right into things today.
Today we’re going to be talking about alt coins, what they are, what they should mean to you. But first, let’s just talk a little bit about the markets and what’s going on. And it’s kind of starting to look like we’re having at least one interesting day after a very boring week. So yeah, Stuart, tell us what’s going on.
Stuart Pritchard 0:44
Yeah, sure. So, exactly, as you’ve said that Dennis, over the last almost two weeks through the course of June, the markets have been particularly sideways moving incredibly boring, low volume. facility, not much going on. Normally what you see when you get towards the back end of a period of low volatility is a bit of a break one direction or the other.
It’s important to catch the break, if you can. My apologies that we’ve sort of dropped on this fairly sharpish at the end here, the last 24 hours. Finally, we’ve had some excitement. We predominantly trade Bitcoin, here at Brightman capital, and he’s gained sort of 600 points or so in the last 24 hours. Which sounds like a it is it’s a good percentage improvement.
Dennis Lewis 1:38
Go up here and pull up coin market cap here just so people can actually see that we are actually live and in talking about what’s going on at this very moment in
Stuart Pritchard 1:48
real things. Absolutely. So yeah, I mean, if you want to click into bitcoin there, for example, you can see that pretty pretty clearly that the last 24 hours have finally gone. A little bit livelier. And we’ve had a nice bump up. I think that’s a bit of a stretch chart. But if we go into the one day chart or something, we’ll see something. Or maybe Yeah, there we go.
Again, we’ll just see there’s been a nice tick up in the last 24 hours. So that’s pretty cool. And we’ve caught I think you’ll see it there. So it gets a bit clearer there. So started yesterday evening, and yeah, we were the right side of it. Luckily, he was a luckily I mean, obviously, that that’s what we’re here to do is to is to trade this type of thing. But we had a couple of irons in the fire, so to speak.
And it’s a 24 seven markets and for anybody who doesn’t sort of fully get a 24 seven market people on here may trade forex, for example, which has almost a 24 seven market, they may trade commodities which have almost a 24 seven market but all those markets have a break at weekends. They have a break at bank holidays and they have a break at Christmas. New Year kryptos don’t. So kryptos are truly, truly 24 seven. So it’s a the moves can happen at any time during the day.
It’s great when they follow the UK market. You know, typically I’m scanning screens from sort of 6am onwards through till 9:10pm on a day shift on an evening shift, it can be, you know, midnight through to sort of 6am something like that, but, but, you know, it’s often it’s, it’s sort of other parts of the world that drive the crypto market, especially in Asia. A lot of volatility, a lot of movement happens between sort of midnight and 6am.
UK time, obviously, you know, 1am to 7am European time, so, it varies greatly that this started happening whilst I was scanning last night. Took a nice jump followed through a bit this morning. First thing So I managed to bank a couple of bits and pieces at nine, six. And now we’re just looking to sort of get back in and have a go. So, yes, finally, we’re starting to see some blue, which is good.
Dennis Lewis 4:11
So that brings me to a question for you, Stuart. So, um, for normal people like me, I mean, we’re not I’m not a day trader, you know that. But, you know, in the 24 hour cycle, it’s it sounds kind of exhilarating, but kind of exhausting, at the same time. But that’s something you guys live with their blockchain capital, right? You’ve got somebody 24 seven looking at that at those screens, right.
Stuart Pritchard 4:37
100% so so there are two ways to trade kryptos if you’re not closing your positions off at the close of whatever your working day is, and some people do you know, day traders will take a win or loss at the end of the day, regardless of their position and close down and have no exposure overnight. But if you’re trading a slightly more mid term view, swing trade This top thing which is fairly typical with with kryptos, what you have is a choice.
If you don’t have eyes on screens 24 seven, you have to trade with very tight methodology and sticking to discipline. And what that means is you’ll normally have what’s called a stoploss order. So that means you know where your loss is going to be if if you’ve got the call wrong, if you’ve got the call, right, and it’s going in your favor, you might have a limit order to close on the upside. So you tend to cover you know, both top and bottom.
So you know, your risk on a trade, and you know how much profit you’re going to gain on a trade. And that way you can comfortably leave a position open overnight, if you believe that you’ve got the direction, right. So that’s option number one, and that’s what most people will will adopt. Well, I say that that that’s actually wrong. Most adults should adopt whether they actually adopt that or not is slightly different.
But what they should adopt is, you know, color and covenant and just making sure that they’ve got a risk and a defined gain on the table. So if something crazy happens overnight, you know, they’re not wearing a huge loss. They may miss a bit of a potential big game but but simply speaking of profits profit, so you can’t go broke banking profits. So it’s so one method is do nothing at all and hope for the best. Good luck.
Dennis Lewis 6:38
This sounds awfully familiar to me.
Stuart Pritchard 6:40
Absolutely did the discipline way is stop loss and limit order, which is fairly typical. To be fair, most people I would guess, would adopt that in all fairness, who have been trading the markets for a while anyway. Because most of those will have gone through the pain of the first method, and I’ve realized that you’re going to lose a hell of a lot of money. Get it rolling on that way.
And then then the third way is is to actually have a team that is able to dedicate the time and the effort to scan in screens. 24 seven, we’re lucky to be in that position. We’ve got a team of traders, we all including myself, draw the short straw, you might say, from one week to the next. And we do the night shift, simple as that.
So we take over the screens, we sort of deal with that split a bit more unusual recently and because of lockdown, the COVID lock down doing all of it remotely managing remotely took a little bit of time and effort but but we’ve got there now, and away we go. So yeah, I handed over last night and picked up again this morning.
And yeah, it’s been it’s been okay. It’s been a good fun 24 hours. He’s been it’s been a lot more interested in that has been for about two weeks because I can assure you the night shift where the markets aren’t moving at all is pretty hard work.
Dennis Lewis 8:00
That’s You mean, you don’t just sit around watching Netflix?
Stuart Pritchard 8:03
Well, yeah, let’s be realistic. Nobody sits there staring at screens all the time. All the traders have got three screens open at any given time or three screens, three monitors in front of them. I’m sure that one of them will have something more interesting in the markets, but there will be alerts in place anyway, we all we all have the alerts on our phones.
So even when the market moves, it has to move a reasonable bit. But if it does, even if I’m not doing the night shift, I’m aware of it. And I’m, you know, what’s happened to, to make sure everybody’s aware of what’s going on. You know, it’s just one of those things. We have some fail safes in place.
Dennis Lewis 8:40
Sure, sure. Because, like everything, I mean, I guess, you know, having that confidence in your team and knowing that your team is disciplined is equally important, right? Because, you know, they could be staring at the screens, but if they if they don’t really understand what the strategy is, or, or they don’t execute Well, you know, that 24 seven that it’s almost worse than then not you know not having the having somebody yeah for sure.
Stuart Pritchard 9:09
I mean you know, we’re lucky enough that the team I have around me a team that I’ve traded with for literally a good number of years. Some guys up to 12 years and you know, we’ve come from the equity market the FX market the commodities market.
So, so we just we know what we’re doing, you know, it’s one of those things where that that that familiarity, and that experience means that everybody can rest easy on a night time that isn’t isn’t isn’t going to the screens, but it but again, you know, everybody wants the market to move.
Nobody wants real volatility, everybody wants momentum, that that’s really what everything is about is momentum. And if you get that and it starts overnight, then that that’s great.
Dennis Lewis 9:55
Sure, and then you get these little charts like this where you start seeing a nice little Ah, climb up right?
Stuart Pritchard 10:03
Absolutely hundred percent and you can see actually looking at that screen which is pretty cool. And you can just see the correlation across, you know, the sort of major what what you were going to refer to in a minute about the alt coins, you know, you’ve got the stable coins there, your tether, etc, that are just going sideways as they obviously do matching the dollar.
But pretty much all of them have got a very, very similar pattern, they’re in the top 10 and you know, that there’s often a high degree of correlation. It’s very rare that you get a break in correlation between the odds and Bitcoin sometimes happens but but generally speaking, they’ll all follow a fairly similar pattern. One individual coin might suddenly have a breakout.
So for example, ripple. If you go back, you know, sort of 24 months, maybe two and a half years when they started getting their ties together with with international banks, such as Santander, etc. You know, that ripple went off to the races. Against all the rest, and they all have that ability from time to time. But those things tend to be more news driven, rather than market driven.
So, overall, in a normal trading market, most of the alt coins will have a degree of correlation with Bitcoin. But each of them has the ability to have a piece of news that makes it you know, go north or south up or down at a rate of knots. So, yeah, that that, that’s pretty much we’re looking for that that’s a good, good screen, you’ve got there just to show that correlation.
Dennis Lewis 11:36
Sure. And so that brings me to my next question. Is there anything that are coming up for the net in the next week that traders and investors should maybe, you know, keep on their radar? What are you guys looking for in the short term here?
Stuart Pritchard 11:50
Yes, sure. So So there’s a couple of things really, if we look at Bitcoin to begin with, and we’ll talk about the alt coins a little bit, because one of the topics we want to discuss today so when we look at Bitcoin What we’re now doing is we’re getting up towards a real resistance zone. If you recall, last week, we were talking about it being a bit boring. And if it dropped down to nine too, you might buy in and hopefully get sort of a few hundred points.
Well, that’s what we did. With that. That’s what I was saying we’re able to capitalize on that and make something out of that. We raised our stop losses this morning 296 are actually out again, although the market is now back above that nine six, but but again, disciplined trading is you take the risk off the table as you go along. if the market goes in your favor, you don’t just leave your stop loss your automatic sell order where it is you start locking in profit.
So what I mean by that is if you get in at 9200 on Bitcoin, your stop loss might be at say 8800. And what that means if the market drops to eight eight, it automatically close your position and you take a 400 point loss on your trading depending on how many Bitcoin you bought, will dictate the value of loss. But if you get in at nine, two and it goes up to say nine, six, you then might move your stop to nine two.
And what it means is you bought in at nine to your stop losses at nine, two, you’ve effectively got a risk free trade, because if the market drops back again and hits nine, two, you close out but you’ve not gained anything you’ve not lost anything, then moves up, let’s say 298, as it did the early hours of this morning or close to nine, eight, we moved our stop loss to nine six.
So we locked in 400 points of profit. Price, then drop back kicked us out at nine six. So we’ve taken a 400 point profit on our trade in Bitcoin. And again, you might depend on how confident you are in the market will decide on how much of your portfolio you invest on an individual trade.
If you are red hot on it, you might go 100% if you’re a bit wishy washy, you might go say 10% or 20% and so on and so forth. So Bitcoin, we’re actually in for 30% of our pot. That was our sort of confidence level on the trade. Because we felt there’s an opportunity that it was going to break below 992. It held it ran up, we got out at nine, six. So it’s that type of trade, or that’s a type of trading methodology that we adopt here at Bob. So, where are we are we?
Dennis Lewis 14:24
Yeah, and how do you decide when to get back in?
Stuart Pritchard 14:27
Yeah, exactly. Right. So So if nine six now forms a bit of support, so support and resistance so if nine six now looks as though it’s going to hold its level, and at this stage, it looks as though it is you might use nine six as your re entry point. Even though you’ve got our nine six, you might still go back in at nine and see if you can get 10 so you know there are 400 points out of it with a bit of a tight stop.
So you might have said 200 points stop looking for a 400 point gain. So the two to one ratio on profit and loss and that Something that we’re sort of analyzing at the moment, because the next part, which is the important part, we think it’s going to be a struggle to get more than 400 points. 10,000 is quite a resistance level, it’s quite a level that the markets sort of fails at, on an ongoing basis.
And also, it’s, there’s what you might call emotional resistance there, which is, there’ll be a lot of sort of fairly decent size traders that will be thinking, Oh, if I get to 10, I’m happy with that, and I’ll back the profit. So they’ll sell and that will push the market back down. So we’re trying to sort of gauge at the moment whether nine six is a good entry to exit 10.
We don’t feel that there’s much, there’s much reason to believe we’re going to get too far past 10 at this stage, unless there’s a positive catalyst in the overall markets now, that positive capitalist at the moment, if you actually Compare the crypto market to equity markets. There has been a real degree of correlation through through Jim. There’s been a lot of if you look at the s&p 500 The footsie 100 and Bitcoin, for example, they’ve all been really quiet.
So they’ve all followed a fairly similar path through the course of June. And global markets, in particular equity markets are really picking up on this coming out of lockdown situation that’s going on. So, going on to that that’s that thing gives us a couple of couple of issues.
The first one is if this is successful, UK is be making big announcements today about the Fourth of July, and restaurants opening hotels, opening, pubs, opening, headrests opening yet basically life getting back to normal, reducing the social distance down to one meter. If this works, then the economy probably will pick back up money will start coming through the markets.
Everything should go up, including cryptocurrencies, in our opinion. However, as we’ve seen in Germany, over the last 24 hours, they’ve had 1500 cases in a particular area too, due to a meat factory, and a big outbreak there. And obviously, then the contaminated products have gone out from that particular particular area that that situation can create maybe a second wave software, again, is also making noises about a potential second wave.
We’ve we’ve heard in the last week about the story in China about potential second wave etc. So but there’s there’s it’s a bit of a knife’s edge. Everything’s pointing towards relaxation and life might get back to normal. Great. But equally speaking, if if it doesn’t quite work out as everybody’s hoping that maybe we’ll go into a second phase of lockdown, which could be which could be quite interesting for global
Dennis Lewis 17:56
markets. Hmm, definitely. Okay. So So let’s talk a bit about coins First of all, you know we you know, we throw terms around sometimes just way out there I mean what is an old coin? What what you know what’s it mean?
Stuart Pritchard 18:10
So no coin basically refers to pretty much anything that isn’t Bitcoin in easy terms. So I don’t know what the number is now 5000 6007 if you lose track of it, but well however many of coins are on if you look at coin Gecko, it’s one number coin market cap it’s another so different exchanges will list different coins.
Effectively when they get listed theoretically they become one of the alt coins and you know that could be on an on a market such as by Nance bit tracks bit Mex, whichever one can list a coin and therefore it becomes what you might call a legitimate coin. But coins also trade on really small exchanges.
And so they could be kept classed as legitimate but what well there are there are in our opinion and your coins that goes basically from aetherium down in terms of market cap. And again, looking at your your chart, you know, or the graph that you have before from coin market cap, you can see the thousands upon thousands. Basically starting at number two, their theory. Yeah, that’d be page one of however many pages.
Dennis Lewis 19:20
So, yeah, if I scroll down here Yeah, because well that’s one page, you know that there’s just so so what you have is you have
Stuart Pritchard 19:30
three types of alt coins already, you have alt coins that have what you call an intrinsic value. Now, these are coins that are effectively used for transactional purposes. So for example, aetherium I think we touched on this last week, is used quite often in the IT professions for actually payment of bills.
So an IT company might take on an IT professional and they may exchange smart contracts. In aetherium, to make the transaction to actually pay for the services, so that there’s a transactional value in some of these alt coins, you then have stable coins, so the likes of tether, PACs, etc that are essentially a method to reduce your exposure in actual crypto currencies.
Although technically speaking tether for example is a cryptocurrency because of its stable nature I matches the US dollar typically. So one USD t tether is worth $1 if you were trading on by Nance and you thought that Bitcoin was going to drop very heavily, you may sell all of your Bitcoin for tether and it essentially locks in the price that you’ve got right there and then because tether is pretty much always worth $1 so if if For example, bitcoins trading at 9600 keep the numbers simple and you believe it’s going to drop to 8000 bucks, you could sell it all for tether.
So you’ve got one bitcoin, you know you’ve got 9600 tether in your account. If the market then drops to 8000 you’re effectively buying Bitcoin for 8000. So instead of buying one bitcoin, you’re buying the 1.2 1.3 Bitcoin that you can now buy because the price of bitcoin has dropped down to $8,000.
So stable coin is the second variety of all coins you might call and then the third one is really utility coins. Now these are coins that have they’re traded there on the secondary market. You can trade them on by Nance you can buy and sell with them, but they’re rarely used as a transactional coin.
You know, you you can’t go your Amazon store and buy By products with with with certain, you know, most of these coins, in fact, by far and away the majority of these coins, but they are traded on the secondary market, but the utility behind them will be derived by whatever it is so, you know, you know, medical chain, for example, is trying to digitize health records and this type of thing so, that there is a utility, it’s got a, it hasn’t got an intrinsic value, but they are actually trying to solve a problem using blockchain technology.
So, it’s been used to sort of raise finance for that project. So, it almost becomes a share in that way. You know, you might, you might start looking like blue chip, you know, mainstream and you might look at, you know, the sort of aimless stock what we call the aimless market in the UK, which is just speculative.
You know, have a have a bio of it, if you think that whatever their project that they’re working on is good value if you think that the the underlying business got a value, then buy some of those coins, you know, and, and some of them are traded, if they get listed on an exchange, they can they can the price can jump pretty meteoric Lee.
So again, you just have to be a bit lucky really with it, you just got to have a look at the the team that’s behind it, you have to have a look at what problem they’re trying to solve. And you want to have a look at you know what resources they have, and whether there is actually something at the back end of this that will give it an intrinsic value. So as a round in if you want to just sort of get exposed to crypto currency Bitcoin is is by far and away the way to do it.
If you want something that has an intrinsic value, you might look at ripple, you might look at a theorem. If you want to take your exposure off the table, but not get back to fit currency, such as dollar or euro or Sterling, then you might trade to one Stable coins such as either, but if you want to trade one of the what you might call a true old coin, the really really speculative down there, it’s sort of number 4000 on the market cap.
The the key to that is absolutely have a look at it. But do your due diligence, have a look at the team behind that coin, have a look at what problem they’re trying to solve and have a look whether or not that means it’s going to derive a revenue by solving that problem using blockchain technology.
And if you put a tick in the box to all three of those bison, but certainly don’t put all your eggs in one basket with it, have part of your portfolio you know, and looking here at the at the chart here a bit there you know one of the categories that you that we haven’t talked about yet and that is kind of on the on the rise lately.
Dennis Lewis 24:42
I mean, I see the by Nance coin, I see the crypto comm coin you know you scroll down to it. There’s there’s more these are sort of exchange base, cryptocurrencies that are almost like a kind of like a rewards platform for being on an exchange but now they’re they’re traded as well. It’s kind of a funny little hybrid there you’re 100% right and you are right I sort of overlooked it but your rights are by Nance coin is right up there now.
Stuart Pritchard 25:18
And what it means is effectively your fees for trading on by Nance get half by using by Nance coin and you can get rewarded with airdrops and all sorts of things as new coins come onto the market etc.
I think that those exchange coins that you might call them the by Nance coins of this world are worth having in your portfolio because they do open up opportunity to new listings, new coins, you’re on the sort of newsletter for things that are happening and lower fees so You know, we we always have we trade predominantly on by Nance and we hold a decent number of by Nance coins.
For exactly that reason, our transaction fees are halved. And it means our net profit there is improved so yeah, that they’re also they’re very, very much a valley coin. Huh?
Dennis Lewis 26:21
Okay. Ah, let me see here I’m and I’ve been warned not to put on my glasses because of the funky lighting situation but I don’t know how long we’ve been it looks like we’ve been out 26 minutes there so sorry about that if I have any weird things going on there. I had a few news articles that we could maybe just kind of just briefly maybe chat about and give them a few minutes. Yeah, yes.
Stuart Pritchard 26:50
When I I’m gonna say I’m getting a little bit blind on these but but yeah, stories, so let’s go for it.
Dennis Lewis 26:53
Yeah, okay, you’re on the spot. Here’s, we’re gonna give Stuart the hot potato today here. This is a Yeah, one of Trumps economic advisors is leaving and the headline is everyone should be worried. This is you know, he’s leaving the White House and he says, I think everyone should be worried about how this is going to turn out in the end, because it’s a it’s a shock, unlike anything we’ve ever seen.
And you know, coming from somebody who probably, you know, just a few days ago was harping on how great everything is going to be in the near future. It just caught my attention. I thought, well, maybe maybe it’s time that this man is going to tell the truth or maybe he’s always thought that way. But now that he’s going out the door, he feels like he has the liberty to say what he thinks but
Stuart Pritchard 27:40
so here’s, here’s my view on everything Trump related of this nature. And this isn’t the first time that somebody has come out and spoken against Trump, especially once they’ve left the White House.
So the reality is that anybody who’s unaware of Trump’s positives and negatives by this point, as always, you know, so anybody who isn’t aware that you’ve got both strengths and weaknesses by this point, you know, I don’t know where they’ve been for the last four years, you know, in a cave you know, so so I can’t I can’t see any top White House aide leaving his leaving his his sort of inner circle.
And, you know, not knowing some secrets or some craziness that is coming along. I think what that’s referring to is the shock to the economy, about how bad things actually are over there or, or this this type of thing. I’m guessing that’s where it’s angled?
Dennis Lewis 28:43
Yeah, I think so.
Stuart Pritchard 28:58
And again, unless we’ve been living in a cave, unfortunately, to be fair, most of us have in a way And certainly, there is a there is actually probably a real valid point that and what that is because especially In the UK, I don’t know what it’s like around but you know, I don’t know that, you know, without sort of first hand experience, I’ve got first hand experience to the UK.
Everybody’s been at home, pretty much within reason 8% of people have been at home for the past 12 to 14 weeks, most of us have been paid for it in some way or another, whether it’s a business grant or business loan, you know, with with very good terms, or whether it’s an employment fair loving scheme, or whatever it is that there’s been support from the government to to sort of get us through.
Now, behind the scenes, the UK has therefore been entered into record boring. We’ve had a 20.4% drop in GDP in April. Mays number hasn’t been sort of put out there yet. obviously can’t be any different. We will close the whole of May. We’ve been closed the most of June. But because we’ve all been sat at home, but you know, most people have been out in the garden.
Some They’ve been paid to do this type of thing. Okay, more hands. I don’t know how to describe it. But it’s just a reality. The world could have been going to the, to the dogs, so to speak. And if you’re sat out in your garden and kind of being paid to do it, you’re blissfully unaware at this stage of how bad the situation is.
Now, when we get towards the back end of this year, and we have to start paying for this, and we have to start paying in taxation, etc. And maybe the economy hasn’t quite got off to those expected. Businesses have started closing people have been laid off, which is already starting to happen quietly, but will gain momentum absolutely is going to be a shock.
You know, at the moment, everybody’s kind of going, oh writer isn’t really affecting us now. Because you’re not you’re not going out to the shops. You’re not going out to do anything. When you try and go out to do something and those things aren’t there anymore. It will be a real shock.
Dennis Lewis 31:02
Well, you know, I can tell you firsthand, you know, here, you know, you know, I’m in Spain, and we’re a little bit ahead of you on the curve here. You know, and, you know, I think the same argument applies, people still haven’t realized, but you do see it now you walk down the street and I would say easily somewhere around 15% of the shops are no longer they’re closed and they’re not opening. Okay, it’s not like they’re waiting. It’s just they’re not coming back. So what what’s the you know, the,
Stuart Pritchard 31:34
the, the employees that the employer the guy the person that that got off his his rear end and had a go at something, you know, what’s one of the one of what is he or she now doing you know, it’s and this is just the start of it really because yes,
Dennis Lewis 31:51
it started I think so, but yeah, it sometime around September, October. Reality is gonna sink in. And because there’s no way around it, I mean, you know, you say, Oh, well, it’s only 15% maybe? Well, you know, 15% of every store in a city is a is a heck of a lot. I mean, that’s a lot of people. It’s a lot of it’s a lot of, you know, close businesses. It’s not, it’s not insignificant.
So, you know, maybe that’s where this, this was going. I’ve got another one here real quick. We’ll do one or two more. And then let me see here, come back here. Okay. This is Vanguard, which, you know, is a very big financial company. They ran a digital asset backed security pilot in 40 minutes. Yeah.
And what they did was they use the blockchain to, to, to basically it was it was a pilot, it wasn’t a real group of assets. But you know, companies like these, they buy up you know, be it car loans or be at whatever it is mortgages or whatever it is. And they, they package them into a into a package, they put a bow on them and they sell them as securities. so bad.
You know, they did this an example and it took 40 minutes compared to 10 to 14 days it would have taken their organization normally to do
Stuart Pritchard 33:19
it. It’s a great example of the future. Anybody who thinks that blockchain isn’t going to be a game changer is wrong. And that’s why we were so keen on on cryptocurrencies. We’re not keen on all cryptocurrencies. You know, I want to make that very clear that some of them, in our opinion, don’t don’t have any intrinsic value.
But blockchain as an underlying technology is absolutely the future. safe, secure, unhackable peer to peer, everything that it needs to be to control data. And everything can get digitized in the correct manner. So you think about things that, you know, I’ve touched upon it before health records, bank records, house deals, everything that historically is just been on different systems in different places on different types of software and all sorts of things and some actual physical paper copies.
It’s just it’s just beggars belief that it’s taken this long with, with technology rushing ahead, like it is that so many important parts of everyday life are kind of left behind, you know, how many times do you hear about the NHS here in the UK, having this old system this hold this old IT system that, you know, all everybody’s digital records are held on? And that’s why there’s the famous NHS hack, you know, a few years ago where hundreds of thousands of health records were were hacked, you know, people’s data was taken.
So if they can run a this time poof, this type of deal where you can digitize pretty much anything, any any sort of bit of information you want. And you can hold it on blockchain. It’s just a massive game changer. Simple as that. And I know the coins, they’re trying to crack those nuts. You know that that’s, that’s what I mean about what’s the problem they’re trying to solve. And if it’s a problem like digitizing health records, there’s something there, you know,
Dennis Lewis 35:25
there truly is. Yes,
Stuart Pritchard 35:27
yeah. 100% So what these guys have done here 100% I think that’s exactly where it’s gonna go. But how quickly it’s embraced is a different model.
Dennis Lewis 35:37
And then just the last one we’ll talk about here because I thought it was interesting just for the conversation, your PayPal Venmo is to roll out crypto buying and selling soon. Yeah. And I think this is just a great example of how the this wave is coming. I mean, there is no doubt that this is it’s, it’s now unstoppable.
It could go faster or slower, but when we see companies, you know, big companies like PayPal, and, you know, and, and Vanguard and you know, the list goes on and on that are that are no longer just sticking their toes in the water, but they’re actually, you know, they’re actually thinking this is important.
This is, you know, this could you know, what does this mean? This means that, you know, literally, overnight, you could have another, you know, 50 million users in the cryptocurrency space.
Stuart Pritchard 36:32
Absolutely. We’re across the story and you’re 100% right, Dennis, you know that this is about adoption. And this is the thing that Bitcoin in particular has been sort of waiting for, is mass adoption. There have been sort of small, smallish breakthroughs like this Amazon, you know, had a number of stores that allowed you to buy things through Bitcoin and some of those have now dropped away.
And but the reality is, as soon as it onto one of these platforms such as PayPal, etc. And a lot of banking licenses an Arab issue to trade with kryptos you know, the there’s companies that we we’ve got an eye on, there’s a company called tap, for example that has a Gibraltar and banking license, you can get a MasterCard, and with that MasterCard you can spend crypto.
So if it’s happening, you know, and that that’s live now you know that that’s a live product. It’s something that we have blattman have an entry into, it’s what we’re getting some clients into, because it’s a market you know, and certainly, as real life problems start getting solved, such as PayPal, such as using your debit card, your credit card, and using kryptos but just becomes another currency becomes a euro dollar and whereas the dollar I don’t know, do you know what I don’t even know how fast those printing presses are printed.
Another Print it but we talk about printing money. And the reality is fear currencies that just become not a not a joke, but because it’s it’s a global issue, you know, the countries are having to effectively print more of their their own currency to support the economy. We can’t do that with Bitcoin, you know, it’s a finite resource. So if people want more of it, demand goes up supply stays the same, the price goes up Simple as that.
So the value of Bitcoin will go up, which means you have to use less of it to make your transaction and that’s where Bitcoin if you like, won’t get printed, but it you know, you’ll only have to use point one of a Bitcoin instead of one bitcoin in a few years time for the same residual value for the same underlying value, the intrinsic value.
So, yeah, I mean, we all know or like to think that we will know that Bitcoin over a period of time is only going to go north because Because it’s a finite resource.
Dennis Lewis 39:02
And I think with that, I’m going to say the quote of the day is that Stuart said was nobody ever went broke banking a profit. We’re gonna make that retrievable that is that’s awesome. That was great. I loved it. And thanks to her, we’re gonna we’ll keep going next weekend was a real fun talk. And my apologies
Stuart Pritchard 39:25
that I came on it a little bit sharpish. Normally I’m a little bit more prepared. So apologies for that. But yeah, I’ve just been a little bit of a busy day, but but next week, much better prepare the problems.
Dennis Lewis 39:38
Great. Thanks a lot. Take care. Have a great week. Cheers. All right. Bye bye.