Paper Bitcoin (FTX And GBTC)

𝐋𝐄𝐀𝐑𝐍 𝐓𝐎 𝐁𝐔𝐘 𝐀𝐍𝐎𝐍𝐘𝐌𝐎𝐔𝐒 𝐁𝐈𝐓𝐂𝐎𝐈𝐍➜➜➜
Use the discount code YT99 to get the best price.

In this video, I discuss how the unravelling of crypto exchanges like FTX helps to destroy both paper Bitcoin and paper Bitcoiners. If you thought you were holding your Bitcoin on FTX, it turns out that neither you nor FTX were holding any real Bitcoin.

If everyone withdraws their Bitcoin off the exchanges, it will cause the bad exchanges (who are not holding real Bitcoin) to go under, and it will also provide a lesson to surviving exchanges that they should never only partially reserve their Bitcoin.

Grayscale is refusing to provide cryptographic proof of BTC backing their GBTC product. I think that this is a huge red flag, and may suggest that the trust is not fully backed by real Bitcoin.

Why else would they be trying to raise new capital, while refusing to provide proof of reserves? This goes against the whole Bitcoin ethos-- to ask someone to trust you, rather than allowing them to verify your Bitcoin holdings for themselves.

When paper Bitcoin is destroyed (as it was in the FTX blow-up), it should (all else being equal) exert upwards pressure on the price of real Bitcoin.

Not investment advice! Consult a financial advisor.

Bitcoin-only exchanges:

How to buy Bitcoin and withdraw it:

The Dangers Of "Paper Bitcoin":

Can Governments Keep Bitcoin's Price Down?

GBTC trades at a huge discount:

Grayscale refuses to prove that they own actual Bitcoin:

Bitcoin IOU's (BlockFi, Robinhood, GBTC, PayPal):

Bitcoin has no future as a payments network, says FTX chief:

FTX had zero Bitcoin, only Bitcoin liabilities:

How To Prove That You Own Bitcoin (Signed Messages):

I am not being paid or otherwise compensated by any company or cryptocurrency project that I mention in my videos.

My opinion is not for sale. Please do not contact me with any affiliate or advertising deals.

#bitcoin
#ftx
#grayscale

Disclaimer
Neither Trader University, nor any of its directors, officers, shareholders, personnel, representatives, agents, or independent contractors (collectively, the “Operator Parties”) are licensed financial advisors, registered investment advisors, or registered broker-dealers. None of the Operator Parties are providing investment, financial, legal, or tax advice, and nothing in this video or at www.Trader.University (henceforth, “the Site”) should be construed as such by you. This video and the Site should be used as educational tools only and are not replacements for professional investment advice. There is a high risk in trading.

[Bitcoin_University]

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[Lakeland]

Absolutely amazing how spot on you have been over the last two years

[digital_gravity]

Gentlemen, it is with great pleasure I announce this is my 497th Trader University video.

[captainotto]

"A necessary cleansing of the space" - Couldn't phrase it better.

Anyone who's gotten or getting rekt through this period PLEASE do not fail to learn this critical lesson in life. Counterparty risk is real and forever. And never forget the mantra: Not your keys not your coins.

And don't be fooled into thinking this only applies to Bitcoin. If you hold paper gold or silver, bonds, cash or any other asset that you do not physically hold and control, you only have an IOU. Given sufficient financial stress, those assets can and MUST be expected to disappear.

[elchico]

I have lost a total of zero btc, I feel so good about my decision of always withdraw after buying btc. Thanks for your advice!

[JohnEJay-whth]

This guy got me out of BlockFi. I am eternally grateful!

[DASWEDE]

"It's all about Bitcoin. Not crypto" 100% true

[volvo]

I had a feeling that one day an exchange would be exposed for not having real Bitcoin.

[digitalbobby]

All these bad players tried to artificially inflate the btc supply with paper btc this much is clear. You have been advising "not your keys, not your coins" in almost every video and I thank you!!!

[MartinMcAvoy]

Hope you are feeling a bit better today Matthew. Don't feel you have to make a video everyday. Take some time off whenever you like, we'll still be here when you return! 😀

[CC-iihg]

Welcome back, Matt. Hope you're feeling better and get well soon.

[bricklawson]

Thank you.
Bitcoin seems to be doing just fine considering the environment it's in right now. Maybe I'm crazy but I'm actually not worried about Bitcoin. In fact I just bought more ; )
And I removed it from the exchange of course. ; )

[thewellnesswarriors-truth]

No satoshis lost in our group, thanks to your wisdom!

[Pikachu.UseEmber]

Dude, you da man. I’ve been asking people what paper bitcoin is and no response.

[chrismullarkey]

Matt, keep up the prescient videos! In response to Charlie's Bits comment below, a video showing the purchase of Bitcoin from soup to nuts (ie, setting up an account, buying a hardware wallet, transferring Bitcoin off said exchange etc etc) would be an incredible service to all.

[Asterix_The_Gaul]

Thanks Matthew. Fascinating as usual. A question, if I may: As BTC has a finite supply, and as the world's population on Earth (and eventually beyond) keeps growing, if BTC ever becomes the standard, will there be enough sats to go around? By which I mean, will a sat one day become too valuable for the smallest purchases? Will we need to divide up sats? Many thanks.

[pooroldgreyhaireddaddy]

Hope you are feeling better. It's definitely going around!

[robtomx]

I was able to get my btc off of Ftx 1 day before they locked down ftxus. Into cold storage forever now.

[inkaacero]

Why does no one ask if hardware wallets can not be compromised?

[jairunet]

Thank you for all your education and proof of work Matthew.