Shorting The Next Big Shortâ„¢


Remember 2008? How many times do I have to say it? When we hear 2008 we immediately think of The Great Recession aka The Great Worldwide Recession of 2008 which then makes us think fraud and shenanigans in the financial markets. Michael Lewis does an excellent job telling the tale in his book, The Big Short, also brought to life in the theatre. This is required ready and watching.

For the First Time

I'm a Certified Fraud Examiner (CFE) among other specialties and I dedicated a chapter on explaining how 2008 episodes happen in my book, The Ultimate Bitcoin Business Guide™. My mind was completely ripped apart after watching the movie even though I've studied every other documentary on the topic. I was overwhelmed by the 2008 financial meltdown as told in The Big Short as if I was hearing it for the first time or it was from a time before I was born.  

The Choice

There's no better segue for spotlighting the raw power of bitcoin and cryptocurrencies than The Big Short. Do you really enjoy the 1950's technology of Credit Card Chaos™ or the trappings of its older stodgier cousin the Banking Burnout Bonanza™? These are simply access points to play in a one game gig called the worldwide financial markets. Before Bitcoin there was no financial choice and without choice you're forced to play a game where the rule followers lose and the rule breakers win. Bitcoin's groundbreaking technolgy gives us a choice to play the opposite game where rule followers win and the rule breakers lose. 

Affirmation

Bitcoin is the most revolutionary technology in human history. Every major bank in the world finally understood the greatness and the power of bitcoin in the last 6 months. They've invested in multiple blockchain projects and formed massive consortiums. Bitcoin the digital currency was the first use case of Bitcoin the technology opening the way for an unlimited number of potential use cases. The banks have now entered the scene because they fear being disintermediated or that only 5 big banks are needed instead of 10. (insert Bitcoin: banking without banks) Bitcoin's greatness has been affirmed by the world's banks. 

Brexit Waiting Room

I was in a hospital waiting room all by myself on the day of the Brexit vote. As I was catching up on some cryptocurrency news articles I heard Brexit news breaking on the waiting room TV. The article was discussing how the price of bitcoin was rising in reaction to the Brexit vote. Then I looked up at the TV as the commentators discussed how worldwide financial markets were all down in reaction to Great Britain’s exit from the European Union, the Brexit. So worldwide financial markets go down and bitcoin goes up. 

Inverse and Independent

This inverse relationship demonstrates how bitcoin is independent of financial markets which are completely intertwined and affect one another especially with big time Brexit news. Bitcoin's independence of financial markets predicts the inverse bitcoin goes up world markets go down relationship proves bitcoin is a choice. So market independence = inverse relationships = financial choice. The reason bitcoin's a choice in a previous one choice world is it's the only place to go when markets are spiraling down and Brexit proved it. 

The Next Big Short™

The 2008 Big Short and the band aid approaches to reform will not stop The Next Big Short™. Do you remember the savings and loan crisis in the 1980's? Well 2008 happened just 25 years or so later and there has been a financial crisis about every 25 years at least in the United States back to the 1700's. Some were more notable that others but there's a pretty regular pattern nonetheless. Bitcoin and other cryptocurrencies are the 21st century tools for Shorting the Next Big Short™. Get some of your assets into bitcoin will keep them independent of the next worldwide financial crisis likely to surface in 2033.

3 Powers of the Bitcoin Short

1) Market Independence

2) Inverse Market Movement

3) Financial Choice

Bitcoin Magic

It takes a little work to understand how Bitcoin is independent of financial markets which is why you should get my book, The Ultimate Bitcoin Business Guide: For Entrepreneurs & Business Advisors™ available in audiobook, eBook and paperback. It's the best place to start for savvy minded business professionals who need to understand this 21st century technology before their competition does. Required reading on the topic is also available at The Ultimate Bitcoin Business Blog™.

The Bitcoin CPA, Kirk Phillips