Financial, Economic and Social Mood Update (March 1, 2021)
Bitcoin reached yet another record high on the primary markets on February 21, 2021 of USD $58,330.57. Bitcoin comprises 61 percent of all USD $5.629 TRILLION global cryptocurrency and Blockchain technology market capitalization (as of February 26, 2021) – this greatly enhanced figure includes “fully diluted market capitalization” as well as the circulating supply of the top 75 cryptocurrencies worldwide plus the market value of companies such as Telsa and others who now accept and use cryptocurrencies for financial transactions (such as VISA and MasterCard). Bitcoin and its direct derivatives (coins launched as Bitcoin spinoffs and/or launched by the founders of Bitcoin) comprise 95 percent of all global cryptocurrency market capitalization. More importantly, prices on the secondary markets (i.e., legitimate offers of sales & purchases between any and all individual potential sellers & buyers) have already gone to the moon – a Bitcoin BTC domain name at USD $11,001,600.00 and an Ethereum ETH Wallet at USD $1,222,406.11 for sale from Austria as of February 26, 2021 (this is NOT a typo), single Bitcoins have sold for at least USD $60,000 on E-Bay, asking prices for single Bitcoins on E-Bay are as high as USD $299,999, Litecoin LTC at USD $795, Basic Attention Token BAT at $15.99 and Orchid OXT at USD $3.00 are but a few valid current examples.
The so-called pseudonym of the Bitcoin founder “Satoshi Nakamoto” is not a real individual person, but a group or consortium of people and companies in places such as northern California’s Silicon Valley and beyond. The world’s 2,095 USD billionaires are worth a combined USD $8 TRILLION, and much of this is now due to the extremely high value of high technology. So-called “old money” has died off to a very large degree – it is not what it used to be either demographically or financially.
The Blockchain is about the high technology Artificial Intelligence (AI) and robotics being developed day and night in locations such as northern California’s Silicon Valley, in other countries (including the likes of Mainland China and North Korea), by corporations (such as Telsa and Google) and by individuals located to a large degree in the Silicon Valley. It is rapidly leading to higher stages of AI such as Artificial General Intelligence (AGI) and Artificial Super Intelligence (ASI) closely modelled on the human brain. This will very soon surpass the level of all human intelligence on earth if it has not done so already. This has already resulted in the loss of roughly 500 MILLION jobs worldwide, with yet another 800 MILLION jobs on the chopping block (in the planning stages of being eliminated). The remaining 1.7 BILLION jobs in the world will follow over the coming decades – there was a maximum of about 3 BILLION jobs worldwide before this process commenced. Pretty much every single job is on the line – not merely those of taxicab drivers and truck drivers (due to automated driving) but those of medical doctors, nurses and medical assistants as well. Ditto for other job occupations requiring a formal higher education and a trade school / college certification or university degree – those of lawyers, researchers, accountants, bookkeepers, realtors, tax preparers, investment advisors, retirement planners and the list goes on. New AI, AGI and ASI will develop and write its own software and will progress and advance at exponential rates not constrained by human limitations. The renewed push for space exploration, colonization and exploitation is related to this. Ditto with the launching of entirely new cities and communities based upon the Blockchain in many parts of the world including China & Asia, Siberia, the former USSR, Europe, Latin America (Colombia) parts of the USA such as in Nevada (near Reno), California (Los Angeles County) and Hawaii (Maui).
The 8,613 cryptocurrencies currently in existence have a much better chance of enduring because of the fact that they now behave as “banks” and “lenders” while eliminating the middleman functions of traditional commercial and investment banks (all of those employees, branches, ATMs, offices, divisions and groups). Every cryptocurrency now pays an annual “yield” in excess of what commercial and investment banks pay. Their investors (“depositors”) can choose to lend or not to lend their cryptocurrency funds. Funds are not “guaranteed” by government entities such as the FDIC (Federal Deposit Insurance Corporation), but then the FDIC is really nothing more than the federal government promising to print yet even more worthless fiat currency. Cryptocurrency decentralized finance applications can now lend money to anyone in the world with a Smart Phone or a computer on the Internet. As an example, a farmer in Africa can thus borrow $200 (or any person anywhere on earth for whatever amount and for any reason) to expand their farm via their Smart Phone. No more banks. No more lending officers. Note that there are already 5 BILLION Smart Phones in existence throughout the world.
The recent massive arctic cold snap in the USA is yet another example of the collapsing value of fiat money. At least half of the state of Texas went dark and without running water, much like a Third World country. Recent deregulation of the public utility industry means that energy customers can either choose to have monthly utility bills which are more “fixed” or stable in nature or which are very subject to changing market conditions and prices. What does this mean? Many public utility customers in Texas have seen their monthly bills skyrocket beyond USD $17,000.
In past monthly posts I said that a $100 grocery store bill will likely soon skyrocket 10 fold to $1,000 or 100 fold to $10,000 or 1,000 fold to $100,000. I was not kidding. When (not if) cryptocurrencies increase 10, 100, 1000 fold (and more) in value, the opposite will happen to certain paper fiat currencies.
