The Halving Report

Inside El Salvador's Circular Economy w/ Pete-Toshi

December 17, 2023 Brad Mines Season 1 Episode 107
The Halving Report
Inside El Salvador's Circular Economy w/ Pete-Toshi
Show Notes Transcript Chapter Markers

Ever dreamt of catching waves in a far-off land where Bitcoin is the norm? Well, our recent guest Pete did exactly that during his recent visit to Bitcoin Beach in El Zonte, El Salvador. Pete narrates his fascinating journey in a land where Bitcoin isn't a futuristic concept, but the everyday reality. He shares the warmth he found in the local community and the surprising level of security, debunking the country's infamous reputation for gang violence. If you love surfing, Bitcoin, and an adventurous tale, this episode is just for you!

But it's not all just sunshine and sandy beaches. El Salvador is undergoing an economic revolution, with Bitcoin at its heart. Pete shares his first-hand account of how Bitcoinโ€™s adoption is changing the lives of the locals and transforming El Zonte into a real-world Bitcoin testing environment. He discusses his experiences with the lightning-fast transaction network and the impact of low-fee lightning wallets on small businesses. Plus, as a cherry on the top, Pete gives us a glimpse into the future, predicting Bitcoin's exponential growth and value, reaching $100 million per Bitcoin!

Finally, we untangle the threads of the financial world and the role of Bitcoin as a tool for monetary freedom. We discuss the challenges and potential threats facing Bitcoin from centralizing entities. We also discuss traditional themes like bonds and inflation and how Bitcoin could prove to be a game-changer. Pete also shares his struggle to find a Bitcoin community back home and how he leveraged price fluctuations to his benefit during his vacation. So, come along as we decode the Bitcoin revolution in El Salvador and beyond, the surfboard way!

Show Notes and Chapters:

0:11 - ๐Ÿ›ฌ Pete's Arrival and First Impressions
1:06 - ๐Ÿ–๏ธ Discovering Bitcoin Beach & Local Safety
3:02 - ๐ŸŒ Bitcoin Community and Economic Insights
4:10 - ๐Ÿน Local Bitcoin Economy and "Orange Pill" Experience
5:07 - ๐Ÿ’ก Supporting Local Bitcoin Initiatives
6:30 - ๐ŸŒ Bitcoin's Impact in El Salvador and Beyond
8:41 - ๐Ÿ”ฎ Future Predictions for Bitcoin Globally
10:27 - ๐ŸŒŽ Rising Tide of Bitcoin in Other Nations
11:24 - โšก Utilizing Lightning Network in El Salvador
13:55 - ๐Ÿ’ญ Essence and Misconceptions of Bitcoin
15:00 - ๐Ÿ  Bitcoin Community and Lifestyle Back Home
16:08 - ๐Ÿ’ธ Spending Bitcoin in Daily Life
17:00 - ๐Ÿ๏ธ Vacation Highlights in El Salvador
18:23 - ๐Ÿก Real Estate and Bitcoin Investment Opportunities
20:32 - ๐Ÿค Attraction of the Bitcoin Community
22:29 - ๐Ÿ›ก๏ธ Best Aspects of Bitcoin and Addressing Misconceptions
24:12 - ๐Ÿ—ฃ๏ธ Engaging Newcomers to Bitcoin
25:36 - ๐Ÿ’ฐ Bonds vs. Bitcoin in Financial Landscape
27:26 - ๐ŸŽจ Personal Creative Projects Related to Bitcoin
29:00 - ๐Ÿ“Š Demographics of Bitcoin Adopters
30:03 - ๐Ÿ“š Importance of Bitcoin Education
31:24 - ๐Ÿšซ Advice on Altcoins and Bitcoin Investment Strategy
32:43 - ๐Ÿค” Addressing Bitcoin as High Risk
33:32 - ๐ŸŒŸ Engaging with Bitcoin Newcomers
35:54 - ๐ŸŒ‹ Potential of Volcano Bonds and Bitcoin Mining
37:10 - ๐Ÿ” Future of Bitcoin Bonds
38:17 - ๐ŸŒฑ Personal Projects and Explorations
39:30 - ๐Ÿ’ผ Traditional Finance vs. Bitcoin
42:43 - ๐Ÿ“ˆ Impact of Money Supply on Investments
44:05 - ๐Ÿ“š Favorite Bitcoin Resources
45:36 - โœ๏ธ Creative Writing on Bitcoin
47:04 - ๐ŸŽ‰ Future Plans and Bitcoin Halving Party
48:04 - ๐ŸŽฌ Wrapping Up and Final Thoughts

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Speaker 2:

the and the the let's, let's Pete to see, yeah. Pete, oh, she okay sweet man, that's my birth. Um, you got a cool new hat.

Speaker 1:

Yeah, thank you beach break we got matching, but yours is yellow.

Speaker 2:

Yeah.

Speaker 1:

I'm a real. Mine is orange. I have nice Brand new.

Speaker 2:

I'm a real yeah, I don't have, I'm not even gonna do this because it's recorded.

Speaker 1:

But so, pete, let's, let's start from the basics. Man, what? What brings it? A Bitcoin beach Elzante, el Salvador.

Speaker 2:

Uh, I heard that there was some Bitcoin life here and uh, you know, I wanted to check out the circular economy. Yeah, I don't trust verify, wanted to see if max and stacey were lying to me they're not and uh, you know, uh, there's also great surfing here. So I'm doing both, I'm doing all of it bitcoin surfing, riding all the way, riding all the waves the sat wave, the ocean wave, so if it was just bitcoin or just surfing, would you still come here? Yeah, I mean, uh, I would have came here if it was just bitcoin, if it was just surfing, absolutely for sure. Okay, in your first time, right, this is my first time in El Salvador and in elzante, so I'm pleasantly surprised. I've had a lot of experience with central american countries, uh, costa Rica, nicaragua, uh, by elzante seems to be one of the more developed. I was surprised actually. Um, you know, as an american, you hear a lot about being a murder cop of the world and I could not have met any nicer people on the planet.

Speaker 1:

I think elzante, everyone is so kind and everyone says hello and Well, and it's interesting because elzante has a Known history of gang violence, as as we heard and you know everyone's saying you know, ever since bukele kind of took office and up security, was there any moments on your trip? Sorry, three weeks here. Yeah, was there any moments on your trip that you did?

Speaker 2:

you felt unsafe uh, no, not unsafe from crime. You know the driving could be crazy, but that's the only thing is. Uh, when I was in a car with uh, ronnie, Just get it. I would the bus now shout out to ronnie. He handled that situation great. But no, honestly, uh, the crime is not even a factor here. I'm from new jersey, so, uh, we're specifically in the jersey shore.

Speaker 3:

Yeah, the jersey shore.

Speaker 2:

Yeah, yeah, it's, uh, it's real and uh, I'm from there and uh, ronnie, though yeah. Different ronnie, different ronnie, but uh, yeah, they're there. The security situation here is really More secure, very safe. So, yeah, it's really cool here. I mean, if you are interested in a vacation in a tropical paradise where you can spend some bitcoin and Check it out for yourself and maybe catch a few waves, I don't think there's a better place in the world, honestly. So it's uh, it's legit. Okay, I'm really legit.

Speaker 1:

So let's get into, because I know you got, you got a flight to catch. You've been here for yeah weeks, you, you got a flight to catch tonight, yeah you're out of here. As much as you didn't want to leave, you're gonna catch that flight out of here.

Speaker 2:

Yeah, sadly I can't reschedule and do the farce. Try to rave tomorrow. Really tried. Yeah, they did. It's not a joke, but uh, I appreciate the effort, boys, really glad to meet you now Are those.

Speaker 1:

Are those orange pills? Did we get orange pills?

Speaker 2:

This may be a strawberry pill Red pill.

Speaker 1:

We'll get the red pill. Yeah, I think the next one will be orange.

Speaker 2:

We're gonna get some orange pills here for the yeah, we'll get some orange.

Speaker 1:

We'll get a second one. Yeah, we're gonna get as much alcohol into your system as you'll allow us to before your flight. Thank you, I appreciate that.

Speaker 2:

I'm not a big drinker, but, uh, I make exceptions, so this is it.

Speaker 1:

Absolutely so yeah, let's, let's dive into bitcoin. Man Sure, what was your exposure? How did you get into it? Was there somebody? Was there an influencer? Was it max keiser?

Speaker 2:

I wish I could say it was max keiser, because then I would have probably had more bitcoin. But uh, you know, because I would have heard about it earlier. But Uh yeah, yeah is that?

Speaker 1:

is that the orange pill?

Speaker 2:

Yes, all right, we got an orange pill everyone.

Speaker 3:

Uh, thank you.

Speaker 2:

No, how's it taste? Wait let me see, it's good.

Speaker 1:

Two more of these.

Speaker 2:

Yeah, what's in it?

Speaker 1:

Vaca bourbon. Maybe a neat. Uh anita, you can help us out with the ingredients of what's in the orange pill, Can you? Can you take this?

Speaker 3:

Hi guys, the orange pill is aparol.

Speaker 1:

Yeah, uh, a splash of champagne.

Speaker 2:

Oh, nice and some vodka Really good.

Speaker 1:

Oh, a little vodka and bourbon. Nice, love it. You're gonna be feeling good.

Speaker 2:

Come on down to the beach break for that real orange pill Absolutely.

Speaker 1:

The real orange pill. This is the, the owner right here. So, uh, and you've stayed at this, at this place the whole time, or where have you stayed?

Speaker 2:

Yeah, you know, I stayed here for one week after the bickering conference and we had a. The last year in alzante we had the meetups, all the meetups here in zonte. The bickering farmers market was a blast. I mean truly, if you come here and you only have a week, please schedule it on a week where you can go to the farmers market and spend some sats, get some soaps from nicky and james. Uh, meets from jamey and kiki. Uh, you know, everyone is just uh there to help jamey. Shout out to jamey for a little sats knowledge. They'll help you with your phoenix wallet if you're me and uh. So, yeah, no, it was, uh. It's a really great Experience for the farmers market and, like I said, you're coming down here to open up a business. You can be at the farmers market and sell some stuff for sats so Now you have a special interest in the farmers market.

Speaker 1:

You want us to capture Initiative that you're part of oh yeah, absolutely Well.

Speaker 2:

Uh well, it's just for this week, but we actually are raising money for the alzante minions, the kids football team, you know. So go minions, and that's a project that sabrina hernandez is working on. She's the masseuse, owner of lua massage, and uh yeah, she's great. Go get a massage after surfing, she'll fix you up. And also, um Support the kids. Let's get these kids some cleats and jerseys. People, they're looking rough out there.

Speaker 1:

Quinty crypto and I are going to be there on sunday, so we'll we'll definitely report on that as well.

Speaker 2:

Yes and uh, please send me some videos and I will, we'll be, we'll be, uh, all cool, you know yeah yeah, yeah, super excited for for some of the events coming up here.

Speaker 1:

Yeah, now, as we know, bitcoin, bitcoin blockchain is Uh slow, right. So we've seen adoption of lightning. Yeah, it can be. It can be very slow for, uh, you know, uh Practical situations we need to pay for something in a moment's time.

Speaker 2:

So we've seen for retail, absolutely yeah. So for transactions, yeah, like that.

Speaker 1:

So have you been utilizing the Lightning network since?

Speaker 2:

you've been here, absolutely, I mean uh, but uh, I do want to preface this with saying that if you are going to send 100 million dollars somewhere, 10 minutes is actually rather fast, or even 10 000 dollars is rather fast. But, uh, for the retail purposes, yeah, I am definitely utilizing lightning. It's so important to come here with a lightning wallet that is not going to kill you. On the fees, like moon wallet, submarine swapping my On-chain for lightning, and I incurred a huge fee every time I bought something. Um, even like a two dollar cookie, I paid a three dollar fee. You know so. But once I got my money from my On-chain wallet, my on-chain hot wallet, to my phoenix wallet, after I opened up a channel and everything was settled with those initial costs, I'm paying for stuff left and right very quickly. Um, you know, uh, instantly, we bought those tacos in altunco. And, uh, coca-cola, and Mike Novogratz said no one would buy a soda with bitcoin. But Shout out to Mike Novogratz, I bought a coca-cola. So you know, yeah, he's a luna guy anyway. Oh, no, he's got a luna tattoo. Yeah, does he? Yeah, I'm pretty sure. Uh, don't quote me on that, but we'll see, we'll look at it, we'll make check, we'll fact.

Speaker 1:

Check that fact check that yeah so what's been your, what's been your, what's been the overall impact on the community, from your perspective, of the bitcoin adoption in this country?

Speaker 2:

Well, obviously this is a Some real world test environment Um, you know, uh but I think there's something to be said about being the first place to test that economic revolution because, let's say, you have some bugs and kinks along the way. Overall, if it gets worked out which it is You're gonna benefit a lot from being the first and already established Financial, physical, financial, you know economic zone of this monetary revolution. So, essentially, you have All these business owners that may or may not be taking their bitcoin and trading it for dollars to pay their bills. I'm sure that's happening a little bit but they also they are keeping the stats. I know a lot of people keeping the stats. So this next bull run you're probably gonna see have these restaurants get extensions or, you know, adding on to the restaurant growing their menu or whatever. But there there's a lot of benefit to that type of purchasing power increase. So even if the volume of their business isn't growing, the purchasing power of their business will grow.

Speaker 1:

So this is all good stuff. You're gonna have a great impact on the community, yes, citizens, and, yeah, the country, the nation as a whole, right, oh yeah. So what would you rising tide? What do you think about other nations? You predict that other nations are gonna follow this and they? What's the timeline on that in your, in your mindset?

Speaker 2:

Yeah, definitely other countries are gonna do this. I have to say, I feel like the United States and Canada are gonna be the last two to do it, and that probably won't benefit them, or well, it won't benefit the citizens. Might benefit the governments, depending on their agenda, but I can see Central America being the leader On the Bitcoin train. I think the Arab states are messing around a little bit with it, but they're kind of messing too much with the crypto rather than the Bitcoin.

Speaker 1:

Yeah, you know what do you got there?

Speaker 2:

Ah gracias, what's that? Is that for me? They're all for Chris. We'll have to edit this out. I was gonna make one first.

Speaker 1:

Check that out. That's a great thing about pre-recorded podcasts, yeah.

Speaker 2:

You know we can do that kind of. Oh, thank you so much, you're welcome.

Speaker 1:

Gracias, nah man Red. They started a new one on New York.

Speaker 3:

Okay, though it's down there.

Speaker 1:

Amazing, cool, cool. So I want to jump in to your predictions because we're going to the having and Chris and I, when you told us your Bitcoin bull, I know Chris and I had a moment where we're kind of like whoa, like this guy is crazy, very bullish, he's crazy. So can you give us that range that you predict for going into this next cycle, after this having coming up in April 2024, and what do you think to be the biggest catalyst?

Speaker 2:

of it. Well, you're asking for 2024 prediction.

Speaker 1:

I'm looking for this next cycle prediction of what you think maybe the top, what you may think the bottom, between the years of 2024, after the having 2024, up until 2028.

Speaker 2:

Well, I guarantee you, one Bitcoin equals one Bitcoin, yeah, and it always will. And in terms of a purchasing power increase standpoint, we definitely are going to see a 100 million dollar per Bitcoin in the next eight years. I know, I know, I know, but maybe let's see. I think also I have the other bullish sentiment I had was that this next 2024 cycle, 2025 cycle, we're going to be in the 700000. To 1.5 range, 1.5 million range, and then you know, you might see your crash to 500 K. Lower fluctuations. I think we're going to see definitely lower fluctuations in price as it. As it grows, it gets more stable, right? So yeah, but I the real number to look at is how many sets you can get for one dollar. So currently, that's, we're under 2500. Right now, I believe, one dollar only gets you 2500 sets, whereas a few months ago it was almost double. You could get over, I think, 3500, 33000 sets for a dollar. So right now we are fast approaching dollar Satoshi parody one dollar, one Satoshi parody and obviously, when that happens, you have a 100 million dollar Bitcoin. So who's to say what you can buy with a hundred million dollars at that point is beyond me, but I think within eight years you have that 100 million per coin.

Speaker 1:

So obviously very bullish and I yeah, I mean yeah but part of your reasoning for that isn't just the increase of Bitcoin, but the rate of inflation. Exponential inflation is that. Is that right.

Speaker 2:

Yeah, I mean, the expansion of the M2 money supply on the Federal Reserve balance sheet is becoming exponential and scary for the common person. They don't know what the M2 money supply even means, because most people can't even admit that Inflation is and only is the expansion of the money supply. But you know, people will believe whatever propaganda and that's fine. But inflation is solely because you expand the money supply and that's it. So because of that expansion, the M2 money supply chart clearly shows that we're at an exponential rate of 40% plus per year. Easily, I think in my country they stopped using it as a metric. So yeah, my country, yeah.

Speaker 1:

What's the Bitcoin community like back home for you?

Speaker 2:

Just me, and it's just me. And you know I have some friends that have to hear about it because they want to be friends still. But one of my friends is starting to stack sats I think my cousin has a little and my dad is interested also. But there is no community there like this. I mean we are really in a circular economy. I can go to any restaurant here, essentially, and pay with lightning. I bought my coffees this morning with it. I bought my tacos yesterday with it. You know so many places accept it that I wanted to stop using it because I had fiat on me, so I wanted to just get rid of the trash. You know, keep the gold, so it was Well.

Speaker 1:

Similarly, like I didn't want to actually spend the Bitcoin that I've been saving, I've been buying, I've been actually buying and then replenishing my lightning wallet since I've been here. And so, like I'm spending it within, you know, a very short time frame, so I'm not really seeing much of a fluctuation.

Speaker 2:

Well, yeah, to speak to that point, actually I did do a similar thing, right, so obviously here at Beach Break. They are Bitcoiners, right, so they offer the discount if you pay in Bitcoin. I had the fiat to replace it, so actually I got a purchasing power bump right there. I replaced my fiat I mean my Bitcoin with the fiat and actually a little over whatever the original price was actually, so actually saved some Bitcoin and got a discount, and this situation kind of repeated a few times, and then, of course, tried to use the price fluctuations to your advantage, but I wasn't really concerned too much about the price fluctuations. It just so happened to work out that the price pumped while I was here and got a bit of a discount on my vacation Excuse me, essentially and yeah, so what's?

Speaker 1:

been the highlight of your vacation here.

Speaker 2:

Oh man, you guys For real, yeah, yeah, the having report.

Speaker 3:

We go to the having report. Yeah, yes, the having report. Cheers, cheers, cheers, cheers.

Speaker 2:

Cheers, cheers.

Speaker 3:

And girls, oh yeah that's a good one.

Speaker 2:

I think I like this one just as much, though.

Speaker 1:

So our first, just for reference context for some of the folks that will be watching this like we met you our first day in Alzante and you were very helpful and we actually talked shop till what three in the morning was that?

Speaker 3:

In this restaurant. No, no, no that first night.

Speaker 2:

You guys were here for ten hours, I think.

Speaker 1:

We were literally here in this restaurant for time.

Speaker 2:

I thought you were here, yes of the hotel you were here for so long.

Speaker 1:

I know right but now you are.

Speaker 2:

So now we are. Yeah, we like to bump around. You're going to be part of the furniture soon. You guys have been here for so long.

Speaker 1:

So you're sad to leave.

Speaker 2:

Very sad. There's a jungle party tomorrow night Jungle rave Jungle rave, excuse me and a lot of fun stuff now that it's the Christmas time and the high season is starting and you know, but you do want to come back.

Speaker 1:

Is that like? We obviously own? And when you're on vacation, you're on the get those vacation highs and everyone always says you know, I'm moving here. It wasn't that? Yeah, we've talked about coming back for the having party. Yeah, we talked about looking into real estate. How realistic is this for you for coming back or coming here for maybe a longer period of time?

Speaker 2:

Well, it's not that guy trying to convince myself how much I loved it because I was here. I really came here to do some recon and I was here for the better part of three weeks at extremely critical of everything. I honestly did not want to like it because in a weird way, you don't want to have to admit that you're going to have to leave home from the inflation and the living conditions and the standard of living dropping. But coming here was absolutely an eye-opening experience, even under the very critical, skeptical lens that I was looking through, because, aside from the affordability, the weather is perfect, the surfing is amazing, the people are great and, you know, the standard of living is not that different from, let's say, somewhere like New York City, which is modern city. Quote unquote you know, san Salvador is just as modern in many ways. The sidewalks are a little worse, but other than that it's you have Uber and amazing restaurants and all you can eat sushi joints, so everything is pretty similar in terms of standard of living. So, given that fact, I really now have to consider like, hey, this really is an absolute option for me to have a start, a business or have some property or a place to live because I can't afford a home at home. And then in New Jersey you can't afford a home. So I mean, where am I going to live? In a cardboard box, you know. And I'm not even a home. Like, yeah, my van, I have a van, I built the van for this situation. You know, covid kind of showed me a lot that you need a go bag and a go vehicle and my escape vehicle is built and ready to roll down here with my stuff.

Speaker 1:

So yeah, we'll see, well, you mentioned affordability and you know, interestingly well and maybe not surprisingly to Bitcoiners, but real estate, in this area specifically, has gone absolutely bonkers from what everyone's been telling us since we've been here and like, do you think that there's going to be like a, you know, a time frame, like a closing gap of opportunity here in terms of owning property? In Alzante or maybe not Al Salvador as a whole, because that will take a long time, but Alzante specifically.

Speaker 2:

Yeah, good question, because you know, like Bitcoin, there's only a finite amount and Al Salvador is a very small country. There is only a finite amount of Al Salvador and the land. That for me at least as a surfer, I want to be by the beach, but I do love coffee, so coffee farm up in the mountains wouldn't be so bad. But yeah, so, yeah, there's a lot of options for a lot of people. If you like the mountains and the drier area, there's a ton of that. If you don't mind sweating all the time and being at the beach is fine. It's a good way to lose weight quickly and surf and get in shape. But San Salvador is great in between, because I think it's only 3500 feet, so I know you guys are on meters, but it's, you know, not too high up, but it's dry and, man, the weather's perfect. Every night. I needed a sweatshirt one night. I couldn't believe it. So, yeah, that was a shock, because my only experience with Al Salvador was here at the beach. We're so hot, so it was definitely cool to see the range of climate and the range of activities that you can do.

Speaker 1:

So let's say a hypothetical situation. If you were to reside here, was the mountain something you would kind of go for? Would you want to be around this type Bitcoin?

Speaker 2:

community. Yeah, see, that's the thing, man like I love being around Bitcoiners. I think when you all are operating off of a base layer of a certain philosophy, there's a lot to be said about that. I mean, there's only so much. You could dislike someone if you believe in some of the most important things about life, right? So we disagree on a lot of things and we still agree on the most important things, right? So there's a lot to be said about that. But I think I would have, ideally, a place here at the beach. Use that as some kind of rental income property, be here when I want to be here. Have a place in San Salvador or some agricultural land to grow food, maybe sell it to my own surf hotel or something who knows. There's a lot of ways you can do it, but there's something here for everyone.

Speaker 1:

So yeah, very cool. So you know, just kind of pivoting back to Bitcoin, you know what's in your mind, you know what's, what's the best thing about Bitcoin.

Speaker 2:

Oh, it's a broad question, but yeah, you know I have an answer. I think the best thing about Bitcoin and especially with my experience with COVID and the lockdowns and all that stuff Bitcoin is an economic shield to defend your values, right? I don't have to sell myself out when the pressure's on, you know. So essentially, it is a sword and shields to defend my values. I think that's the best thing about.

Speaker 1:

Bitcoin. So what's the biggest misconception about Bitcoin?

Speaker 2:

You know, I heard a lot that we're in a cult, but I don't actually disagree with that in a way, because cults are just a group of people that believe in something very passionately and I don't think that it's a negative cult because, I mean, I don't think it's essentially a cult either, because you can question it. Most cults you can't question and if you question your ostracized here questions are welcome.

Speaker 3:

Everything is a cult. The culture that we live in is, yeah, going to work nine to five, yeah, right. Everything we believe in our sports team is a cult. Oh, yeah, right. This is everything that we do in a daily basis is a cult. We call it a culture, and so if you use the word cult in a negative tone, it sounds bad, it sounds satanic, almost. Yeah and so it's. It's okay. It has to be a cult. If it's not a cult, they won't succeed. That is the nature of the game, right? Sure, the fiat system, the Fed, is a cult. They're an actual cult. They're an actual cult.

Speaker 2:

They might be a.

Speaker 3:

Yeah, but anyways, there's my two Satoshis.

Speaker 1:

Yeah thanks, brother yeah yeah, yeah, man, yeah, no good point. How are we doing for time, quincy? Oh, I think we don't want to. We don't want you to miss as much about you to stay.

Speaker 2:

Yeah, we're cool man, I'm okay the driver, so whenever he comes home, it yeah.

Speaker 1:

So when you're not knee-deep in in Bitcoin stuff, what else do you like to do, pete?

Speaker 2:

I like to surf. I'm an artist, you know I I haven't had enough creative energy or time to Really sit down and do my oil painting like I would want to. I need space. I can't afford a house. So really the fiat life is cramping my style because there's a lot of things I want to do and I feel like I there is an energy drag and there is a physical Constraints on some of the dreams I want to live. So actually my standard of living is already dropping a lot in that sense. But other than that, you know, I like to surf and, like I said, and just just go out and live life. Man, you know, whatever that means for that day, whatever that means for that week, you know, just cool, yeah, yeah, very cool.

Speaker 1:

Yeah, you have anything, give me Questions, quincy, that you would maybe the better understanding, because Pete's kind of you know he's a, he runs his own node, you know he does very deep, so the node.

Speaker 2:

Yeah, I'll send you some pictures, you can just.

Speaker 1:

Little easier. Yeah, what else about your note?

Speaker 2:

It's an umbral node. You know it's very basic node. I built out of it at raspberry pi and, yeah, raspberry pi and one terabyte hard drive piece of wood that I burned a Bitcoin be logo in and you know it's a basic, umbral node. But, yeah, I made it and I love it and I get a little bit of Hash rate on it. But although it just cost me money like a dollar a month essentially but Jack Mahler's reached out and congratulated me for it on Reddit. That was cool.

Speaker 1:

I had no idea who he was at the time, so I was just thumbs up you know, and for those who still don't know who Jack Mahler's are, that might be watching. Is the creator of strike? Yes, is what a mosque for? For?

Speaker 3:

Oh.

Speaker 1:

Yeah.

Speaker 2:

We got some bit coiners over there, huh.

Speaker 1:

Germany, oh wow.

Speaker 2:

Hey, we got the second.

Speaker 1:

Use my throwing that over there podcast. We'll do a quick introduction, yeah.

Speaker 2:

Yeah, let's do it, let's do it.

Speaker 1:

We're doing a. We're just doing a recording here. I'm Brad, nice to meet you, jacob, right there. So yeah, we got a camera behind.

Speaker 2:

We're doing a little recording so you come this way, if you are.

Speaker 1:

Pick introduction. Maybe we could talk to you guys and do a video later on too, if you guys are interested. Cool man. Yeah, yeah, yeah what do me we're? He's got to catch a flight, so we're on my yeah almost on this with him, and then we'll yeah, don't meet and greet with you guys, if that's cool.

Speaker 2:

Okay. Okay perfect, we're here for a few more days too.

Speaker 1:

Yeah, awesome, look, looking forward to it. All right, thanks guys. Oh man, they just keep bit coiners just keep flooding in this place.

Speaker 2:

Yeah, and you know, I bet you, I bet you, they are 34, 35, yeah, how old are you guys? How old are you guys? How old? 27, okay okay.

Speaker 1:

So yeah, we've been.

Speaker 2:

Yeah, we've been seeing a lot of 27 to 35 year old young man.

Speaker 1:

It's interesting like the first couple days. It's like everyone.

Speaker 2:

I met was 35 years old.

Speaker 1:

That was the magic number. We got a couple younger fellows, yeah, so that's good. They'll be a little bit ahead of us when they get to our age.

Speaker 2:

Yeah, a lot of Disenfranchised young men with self-respect looking for a new way of life, you know so. We're all out here trying to find Something better, as our countries are not allowing that life.

Speaker 1:

So yeah, you again going back to affordability, like right, like affordability for people coming up Like it's a massive, massive issue, and I think you know to quote our Bitcoin god. But there's a, there is a quote that he says Bitcoin solves like half the world's problems. And so that's like you said, like, although a lot of us to disagree on many things, we agree on the most important thing, which, which is the monetary system, and maybe get money make the world go around, right?

Speaker 2:

Yeah, fix the money, fix the world, yeah we close up and ask a question. Yeah, yeah, yeah, I think we're good on time.

Speaker 3:

So what would you say to somebody who is buying shit coins or non bit coins, but maybe, maybe they're still heavily allocated to Bitcoin, but they're still buying some shit coins for whatever reason they might have? Yeah for For a friend maybe it could be for any reason, maybe because smart contracts are not on the Bitcoin blockchain. There's a lot of utility there. So what would you say to people that are buying anything other than Bitcoin but but are also still buying bit, but are also still in Bitcoin?

Speaker 2:

I Would say Don't do it in a way, because you don't have enough money to Play around. I mean, look, if you want to allocate 1% of your income to Investing or gambling, I mean it's your money you can do what you want For me. I'm a super conservative investor. I only invest in Bitcoin because I don't have enough money to mess away, to take away from my investment goal, which is every spare penny I have. I want to save it in something I know that is gonna grow. Now, I mean, having said that, if you're gonna trade and Make money, then I'm not gonna tell you that that's a bad thing if you made money. But I Think it's important to note that none of these altcoins are gonna be the next money or the next monetary system. And the word is cryptocurrency, right, that's the name of the space. So, if you're investing in a cryptocurrency, there is only one cryptocurrency and that is Bitcoin, because it's the new money and it's the only money. So I mean, that's what I have to pretty much say about all coins. I I don't hate altcoiners. I just, you know, think that maybe your money is better spent and Bitcoin right from the get. Don't, don't try to make a Quick buck. You know, you know. I know that Some people do make money on altcoins just trading. You know you could do that with stocks. You can do that with anything, so I'm not gonna knock someone for making a living, but definitely don't chill an altcoin in place of, instead of Bitcoin, because that's a Immoral in a way that is immoral, I think so.

Speaker 1:

No, that's very well said. Interestingly, you know you said that you're a very conservative investor. However, a lot of people may see Bitcoin is ultra high risk. You know it's a cryptocurrency, it's something new. It's a new technology. It's very volatile.

Speaker 2:

No, what do you have thoughts around that? I think anything that you don't understand is high risk. You know so. For example, if I'm in a house and it's completely dark, it's high risk because I maybe I've never been in this house before and now it's dark. I can't see anything. It's the unknown. It's risky, but at my house that I've lived in you know the house I grew up in for 33 years I could lose both my eyes and walk through that house because I know everything. I know it. It's not high risk At all. You know, I have the knowledge.

Speaker 3:

So the goal in the house that you know.

Speaker 2:

Yeah but it's only the house that you can understand through research, right? Maybe that wasn't the greatest example, but definitely you have a fear and an insecurity because there's a lack of knowledge.

Speaker 1:

So yeah, okay now, and I'm back to community a little bit Now. How do you approach folks that have no idea what's going on? How do you put Bitcoin into layman's terms? Yeah, start.

Speaker 2:

I listen because most times people are complaining about something that Bitcoin can fix right. So I politely interject that hey, I heard you have this problem because you have to get a second job or whatever the complaint is. I explain that inflation is theft, stealing your time. Time is energy, money represents your time and most times people see that, hey, maybe this is a solution. A lot of times you have to have that conversation two or three times. It's hard to conceptualize, especially when you're with someone, they're not working and they're on their free time and maybe they don't want to hear something like that because we're just trying to hang out. So you have to pick your time and place and wait for someone to explain their problem because you might be able to explain their solution via Bitcoin. So that's kind of my take on that From your perspective, what's the biggest threat to Bitcoin? I wrote this article to capture, not kill, and I guess, essentially Bitcoin. If you can't kill it, you could try to capture it with gold, like what they did with gold, and just contain it and take it off of the market. So I think the biggest threat to Bitcoin right now is creating selling pressure for normal people that are fighting back the plebs that are fighting back to essentially give up all of their sats and to a centralizing entity like BlackRock or the Bank of International Settlements or any of these perceived to be evil entities. Right, because if they have all the Bitcoin, they take it out of play, they take it out of the game. So that means they're taking the self sovereign tool of freedom away from the people. No access.

Speaker 1:

On the other side of the coin, though, do you see the approval of the ETS, the coin, ets being a big catalyst in prices coming here.

Speaker 2:

Yeah, sure, I mean supposedly. There's $25 trillion of asset of liquid money on the sidelines waiting to be allocated into Bitcoin, which is around a 700 billion market cap right now, and obviously this would make the price explode. But with all fiat money endless, infinite money you could use that to pump the price up to astronomical numbers and create that selling pressure for the normal person to give up their Bitcoin to trade into dollars or whatever. But I think the Hodlers are smart enough to know that, as this happens, now you become a major player in the new world. You don't have to sell your Bitcoin for dollars. You can keep it yourself and manifest and create and pay people to bring in your vision of the new world. We will have the monetary power to do that, the purchasing power to finance the new world, if you hold on to your Bitcoin long enough, because I believe that they will create that selling pressure. So it's all about what you do with it.

Speaker 1:

Now are you versed in what's happening here in regards to the volcano bonds and the billion dollar volcano mining startup? What's up?

Speaker 2:

Yeah, no, I think I'm okay. I don't know he's okay for now. Yeah, I don't know, it's my driver here.

Speaker 3:

I don't even know what time is it Give a time check.

Speaker 1:

Give a time check Quince.

Speaker 3:

I think we're okay right.

Speaker 2:

You want another one? No, no, I want one of those strawberry ones.

Speaker 3:

Sorry, I'm making a strawberry.

Speaker 2:

Is there time? Is there time? Is he here, whenever you want to go? Okay maybe one more, drink real quick and we'll go, is that okay?

Speaker 1:

It's okay with me, Pete? Yeah, thank you.

Speaker 2:

I feel bad now. Is that okay? It's okay yeah.

Speaker 1:

Okay, so back to my question. Are you versed in terms of the use of volcano energy, with mining in the volcano bonds? You know? I, you're going to be launched early next year.

Speaker 2:

Yeah, no, I'm not that well versed, but I did go up to Berlin and I met Gerardo and Vanya, I believe, and although that crew up there Nicky and James and those guys were all great, I went up there with the plastic to Bitcoin. Guys Shout out to Plastic to Bitcoin. These gentlemen are developing a way to turn plastic into electricity and then mine Bitcoin and then give the Bitcoin back to the people that bring in. So they have essentially monetized plastic garbage here in El Salvador, which is incredible. So that creates an incentive for everyone to clean up after themselves for sats. But no, I'm not well versed on all that, but I did. I was near the site where they were mining Bitcoin with geothermal energy, I believe. I saw it a little bit as I was driving. Not totally sure I couldn't imagine that that was not the facility because there's not much up there. So, yeah, it was pretty much. I don't know much about bonds, man, I have to tell you I'm not a traditional market guy. I was fascinated by Bitcoin when I started and I pretty much have only stuck to that. I mean, it's the fastest source of the race.

Speaker 1:

You're needing all that bonds Well, luckily we're sitting with a guy that used to work in traditional finance and has, we'll say, transcended that space and kind of gone all crypto. And maybe to wake Quincy up for a moment maybe you can tell us what's a bond and how do you think that might play out.

Speaker 3:

What is a bond? Bond is theft. Bond is trash. A bond is if you want less money back or I should say, to be specific, less purchasing power back at the end of the bond. So if the bond pays whatever percent I don't even know, I don't keep up with it it could be 3%, 2%, 7% You're less than inflation. So this is the big thing. This is why Bitcoin is so much better, because we're not only maintaining our purchasing power, but we're growing our purchasing power. So the dollar amount to your point earlier about how much is a million dollars going to buy or whatever amount it was you said that's a great point because that matters. So Zimbabwe has trillionaires that are homeless. I know Venezuela is going through a tough time because of hyperinflation. Germany was the first example in the post-war war two yeah, why am I a republic? And where they had and we learned about this all in history class, where there's wheel barrels full of cash to buy a loaf of bread. I mean that's unacceptable. It's simply unacceptable. Bonds are unacceptable. Mutual funds are unacceptable. So the average medium risk investor, which is what you could say, are most people. They're making seven to ten, even if you want to call it twelve percent per year. Well, like you said earlier, the true inflation it's the M2 money supply, it's not the CPI. The CPI is manipulated on purpose, lying with those numbers down, because the less money, the less purchasing power you have. That means you're gonna buy a lesser quality good. Yeah, so they move, they remove baskets of goods from the CPI index. Yeah, because less people are buying them, and they put the goods that they are buying right. So that keeps it relative, which is it's a fake metric to fake measurement. So Bonds are sorry. Dvd players were they actually on it. You know what I mean. I don't know why I would still have it. Why would they still have it until this year is silly. But Different measurement and so it's so. I always use to use this example, and you can cut anything you want here, but I'm just saying so. The example would be If there was ten. If there is ten bars of gold in the world, right, your bar of gold is worth one bar of gold and you can buy X amount of corn with, unless there's tungsten in it. Oh, okay, we're not gonna add variables to this example for the time being, but if all of a sudden they found another ten bars of gold, well, your bar of gold, if you had one of them, is now worth 50 percent less because there is 100 percent more.

Speaker 2:

Yeah that's mathematics right.

Speaker 3:

You can't really argue that, and so that's what the money supply is. If you increase it by a hundred percent, which? How much have they done it there? 40%, I think, was I think 40% of the money right now was created in the last two years. Yeah, that is.

Speaker 2:

Yeah, we're alarming. We had a president that locked us down and printed all the money and and all around the world, but anyways to cut it short yeah, don't buy bonds.

Speaker 3:

don't buy bonds, not, not for your grandma, not for your mom, you know, if you want to buy a mutual fund because you're super, super scared, yeah, don't do it.

Speaker 2:

If? What if? The country issuing the bonds is acting responsibly?

Speaker 3:

Okay, so now we're talking about the.

Speaker 2:

Bitcoin bonds. We're talking about a solid or Bitcoin bonds. I don't know. Yeah.

Speaker 1:

I'm just gonna say, like well, maybe we can talk to some more experts on this while we're in El Salvador, how how this new volcano bond will Intersect with the traditional bonds and how that works. So maybe something we can look into a little bit more.

Speaker 3:

But I thought maybe, yeah, I don't know.

Speaker 1:

Yeah, I mean maybe we'll get better returns because you know we're with, you know Networking with now the best performing asset in history, yeah, so it could be a part, perhaps change that game a little bit, I'm not sure.

Speaker 2:

so probably a political element to that as well. So I'm sure that's a variable, but I think the long and short of it is by Bitcoin.

Speaker 1:

Yeah, so, pete, you have any favorite books in this space or podcast or Resources in general?

Speaker 2:

Oh man, yeah, you know hard to think after all these orange pills. But no, love the Bitcoin standard, love the orange pill. Podcast Max and Stacy. You know that's pretty General stuff there, but really anything that can just help you understand it in the way that is Unique to you, because the information is all the same, but maybe someone says it in a way that really gets to you and and I think it's important for Some people to hear it some ways and others other ways.

Speaker 1:

But yeah, it's a very good point. Yeah, and you know, traditionally, a Lot of Bitcoiners come from you know, one camp of thinking libertarians it's come out of, yeah, yeah, thinking so like I've. You know, I got a you know stack of Stack of different Bitcoin books at home and you know I do try to diversify, get different perspectives and it's exactly. Yeah, you know some things are gonna hit home for some people and other things, yeah, you know, for others. So, and you have a creative side to you you mentioned yeah, I'm not sure how public you want this information, but I know you've done some Bitcoin writing, not that you published or anything like that, but you not publish enough. You want to extract those thoughts and put them down on somewhere. Is there anything you can tell us about that?

Speaker 2:

Yeah, you know I have a bunch of just like revelations we'll call them Bitcoin revelations, right, and I would say some of them are pseudo blasphemous. Even you know I've equated Bitcoin to Jesus before and I know someone wrote something about that also, but I didn't find that out until after I wrote this article for myself, so I'm not taking anybody's work here. But yeah, there is a Christ-like element monetizing peace and love and coming back to destroy the central bankers, which is, you know, the enemy of Jesus. Right, the central bankers were in the money temp the temple and they were. He was put the what do they call that the table over in the temple. I can't remember. But yeah, there, there is a Christ-like element to this Bitcoin thing. Now, if you're not a Christian, that's fine, and I'm not saying Bitcoin is Jesus. Obviously it's a computer program, right, but there is a philosophical Christness to Bitcoin, which I thought was one of my. That's a bigger, larger, more recent revelation to the Bitcoin articles that I've been writing. So I mean, I have a lot, there's a lot there, mostly to do with incentive structures and stuff like that. But yeah, we can totally get together and do another episode with a bunch of those if you guys want.

Speaker 1:

But yeah, I would love to, like we were talking earlier, like we're all want to come back here. We love it here. You know, realistically, for myself, I think the having party might be the next time I we come back. I can't wait for that, yeah, so that would be awesome. Come here. I mean, it's only two days at the resort, but there's gonna be more. And For folks that want more information, my last previous episode was all about the Bitcoin having party on. Oh, and we got another guest walking in. Oh, my god.

Speaker 2:

Oh, buddy dude. What's up, brother? This is Skyler. He's not a big winner yet. Bro, we're doing a podcast. You're on the podcast.

Speaker 1:

Yeah, yeah, join us in but I have to.

Speaker 2:

I think I actually have to go soon, okay, well, hey, man, you're not it.

Speaker 1:

So you're not an online guy, so we can't really Not fall you anywhere at this point. I'm off the grid.

Speaker 2:

You're off the grid but you don't have my number. You can't contact me. So I but you hear you have my number. Scholars got my number. Yeah, we got your number. Yeah.

Speaker 1:

Man, thanks for doing this.

Speaker 2:

It was really hopefully we can do it again at the having party?

Speaker 1:

Yeah, but all works out, man, yeah brother, Thank you.

Speaker 2:

Have fun at the jungle tomorrow night right?

Speaker 3:

Yeah, you know, it wasn't Christmas next week.

Speaker 2:

Oh you know, that's just sweet. I'm jealous. Cool, yeah.

Speaker 1:

Well, well guys, yeah we'll call that, just that. Yeah, we'll call that one. Maybe we'll choose one the day one last time. Oh, we need, we need to get this guy.

Speaker 2:

Yeah, this guy in orange. We need to get this guy orange pilled on a few different dimensions right now, and everything.

Bitcoin and Surfing in El Salvador
Bitcoin Adoption and Impact on Community
Bitcoin Predictions and Vacation Impressions
Bitcoin, Altcoins, and Investing Advice
Bitcoin, Bonds, and Monetary Power
Off-Grid Future Plans