"Crypto Volatility is just Opportunity" - here is HOW to USE the Opportunity ------------------------------------------------------- Get the insider info on crypto investing! Join the INNER CIRCLE: https://www.boroncap.com/cryptoinnercircle ------------------------------------------------------- Volatility is a circumstance that will not control the investment return. That's the mindset we have. And with that, we will still outpace Bitcoin; we believe we'll still have a strong return, no matter what's happening in the volatility. Get that tactical advantage, find the right people, and get connected to remain ahead in this season. But when in doubt, zoom out! Focus on the bigger picture of investing for the long haul... Join our weekly live show to learn more about Bitcoin!
KEY TAKEAWAYS:
00:00 Intro
01:15 What does the government correlate with Crypto?
02:13 Impacts of Inflation
03:28 Downward pressure impacting the market
05:34 Strategies during bear market
08:00 Earning interest while in the bearish market
08:53 Derivatives, liquidity pools, futures strategy
10:22 Staking on different nodes strategy
12:11 Why volatility is an opportunity
12:42 What is active management?
14:12 Make a decision based on tactical advantage
#bitcoin #boroncapital #thesolomoninvestor
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Get the insider info on crypto investing!
Join the INNER CIRCLE: https://www.boroncap.com/cryptoinnercircle
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*Other Episodes of The Solomon Investor Show CRYPTO ADDITION*
Bull or Bear? Is Bitcoin Broken?
https://www.youtube.com/watch?v=AuUKnZHt5vA
Management and Investment options that active and prospective crypto investors didn't know they have
https://youtu.be/UKmLgHDxKYU
Are we at the END of the CRYPTO Cycle?
https://youtu.be/powZY_Y9whI
Kazakhstan. Crypto Mining. Market Crash. Is it time to SELL?
https://youtu.be/-IhRNDLOezQ
What the smart money is doing now (plus 2 top altcoins)
https://youtu.be/80iRH-4nfjI
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-- DISCLAIMER: Past performance is no guarantee of future results. Any historical returns, expected returns or probability projections may not reflect actual future performance. All securities involve risk and may result in significant losses. No communication by Boron Capital, LLC Inc. or any of its affiliates (collectively, “Boron Capital, LLC™”), through this website or any other medium, should be construed or is intended to be a recommendation to purchase, sell or hold any security or otherwise to be investment, tax, financial, accounting, legal, regulatory or compliance advice. Nothing in this episode is intended as an offer to extend credit, an offer to purchase or sell securities, or a solicitation of any securities transaction.
Blake Templeton 0:17
Hey guys, welcome to The Solomon Investor show state of the markets talking cryptocurrency, you've seen the volatility if you're watching the news, your emotions are going one way or the other. So we're gonna talk about a lot of practicals. How we see the market in our fund, what we're doing specifically in our fund, the two millimeter moves that we do when something happens, especially when maybe everyone's thinking something's gonna happen. And then there's a bloodbath on certain Kryptos, which Kryptos to be in. And you know, the overall macro economics. So let's get started on there's specific things in the government that are correlated to the emotions of others in crypto. So Zack, let's touch on the Fed. What's, how is what the Feds doing? What's kind of the news? What's going on? And how's that correlate to what's happening crypto?
Unknown Speaker 1:18
Yeah, great question. So what we're gonna do is, I'll touch on this a little bit. And then of course, we'll start sharing with you guys some strategies of how you can take advantage of the shift. So it's kind of kinda one of those things where, just to be pragmatic about it, you just have to look at it without emotion and realize that there's certain things you can't control and certain things you can't. And so one of the things that maybe we all wish was different is how the market is always holding their breath to find out what the Fed is going to say. And obviously, there was a meeting yesterday, and we were kind of joking. Before we came on life, you're talking about Jerome Powell is kind of want to have his cake and eat it too, not really share how it's gonna go, what's gonna happen. But, you know, when it comes to Federal Reserve, and what's happening with the dollar, and how everything is correlated, we are seeing inflation hit, we are seeing the impacts of it. And that really has created an environment that was growing these major markets. And as we know, the growth wasn't necessarily just a dictated outcome of real life, tangible value growth, but it was an outcome of everybody is following along with what the Feds saying doing and where it's going. And so we, we would obviously adjust and do the same with them. And now as we're looking at seeing where the tightening goes, they're talking about more than likely, we're going to see a reduction in interest rates, a reduction in at least the amount of quantitative easing that's going out, meaning an overall tightening from where we're at. And I think that we've seen the market reacting relatively heavily, in anticipation of what's to come. And you've seen a lot of downward movement in all major markets. And with yesterday, we still don't know exactly what's gonna happen. But you know, I think it's a consensus here on the between between us that we'll likely see anywhere from three to four interest hikes this year. And with that in mind, you know, it's going to create downward pressure. And that downward pressure will impact the markets, and we're going to see prices adjust accordingly. And one of the things that I think everybody needs to understand is remaining active or remaining in tune to, you should be actively managing and actively engaged with all this. And if you don't have the time to do that, you should be getting with people that do have the time to do that, that are staying on top of this, because there is going to be a lot of volatility. And in that volatility, there's a lot of opportunity. And so, you know, we're going to shift shift gears and talk about some of that opportunity of what you can be doing now, different strategies that, you know, we're employing, and you obviously can as well. And so, with that, I'll probably turn it over to Austin. Real
Blake Templeton 4:16
quick before you do I think that's it's a really good point, you made it about the active management and so we have like active viewers, and then we have like active management, active viewers aren't managing, you know, anything and that's actually where the vault you're watching the volatility with hopelessness. That reminds me of a couple of different individuals who have come but bought quite a bit of crypto in 1718. And then they just put in cold storage kind of set and forget it that worked in 2020. But as as the as the crypto markets growing in multiple different ways as specific assets, or you know, currencies rather like Bitcoin with a blockchain is growing, and there's different things happening in depth in depth and width. And there's, you have to have something actively managed. That's a really valid point. So in this in this time when, when active management matters, let's kind of talk more about that. So going back to Austin, so like, we've got bear market strategies that we employ in the boron digital fund. So let's process some of that, what are some of the creative ideas that people can be doing in a bear market like this?
Unknown Speaker 5:34
Yeah, totally. So in a bear market, or times of uncertainty, it's really important to have income producing strategies. So that way, you still have a way to produce some alpha while the market is deciding what to do. So for us, we base all of our positions around, we look for interest bearing accounts, whether it's lending or staking. So platforms like Voyager block, five Celsius, Nexo, even, even coin base offer some in binance, as well. So these, these allow you to earn interest on your coins, while you're you're holding. And that includes USDC, or any other stable coins. So in boron digital, yeah, these are scary times. But we're sitting on 30% Plus in a stable coin that's earning interest, paying us to pay paying us to be patient and just wait for the market to tell us the next direction. And then we'll make our calculated risk, proper risk reward move. So those are, those are a solid strategy to have these on time, or in these uncertain times.
Blake Templeton 6:39
Yeah, so you're, you know, for just simply to kind of bring that down to layman's terms, you're saying, taking that out of Bitcoin or taking it out of lunares, or harmony and putting that into a stable coin, within that stable coin, like a bank, you know, maybe a bank like two decades ago, you could get good interest in your savings account. This is kind of like that we're gaining a interest bearing account at a fixed rate. And so whether that's 3% or 10%, depending on a couple of different terms, way better position, because now you're literally ready to go in and buy at this proper time at the proper currency, versus writing the bloodbath wave and losing power, before anything goes back up.
Unknown Speaker 7:29
Yep, exactly. We're earning nine or 10% minimum on our cash position, which is great. That's I think, 100 times better than a traditional bank account. So yeah, it is, it is easy to compare it to a bank, but the returns are not comparable at all.
Blake Templeton 7:45
You know, it's so funny, because I had a guy yesterday. So he had four or 5 million in Bitcoin bought in 2017. And so his mind says, Okay, it's cold storage. Yeah, it goes down, but it's gonna come back up. I'm like, okay, but you got to process something. So just use $100. For example, your 100 went down 30%. So now your 70, our 100 didn't go down. 30% or 100, went into a stable coin, and it went up a little bit earning interest. And then when it comes back up, your basis is down here. Our basis is up here. And so if we're doing that 12 months out of the year on the entire portfolio strategy, man, that's how we outpace Bitcoin, it's how we have a stronger position than someone in a vault of market it just puts in cold storage. I love that. Jeff, what's another strike here too, that we implement in bearish in during a bear market are uncertain times.
Unknown Speaker 8:50
Yeah, so as a hedge, one of the easiest things you can do is use derivatives. So you can use perpetual futures, which most people know there's also options as well that you can use to hedge the market. Another few things that you can do, which is really specific to the defy space is liquidity pools. So you can if you look at the richest people in crypto, they almost all of them own exchanges, and they benefit from volatility, it doesn't matter if the volatility is up or down. They are making money on the transaction. So you can actually provide liquidity in these pools. And instead of with a centralized exchange, like awesome listed a few of them, they're more like lending platforms like Celsius, Nexo block five, right those are all centralized. You can then go to the decentralized space and go into something called indexes which is like uniswap Sushi swap curve fracks different platforms like that and actually provide liquidity and you can even provide liquidity in stable coins that earn anywhere from 10 to you know, 40% interest just by providing liquidity in the stable coin pairs so they don't even have volatility. You can also provide liquidity and multiple different assets as well. You can do like, you know, wrapped Bitcoin against wrapped eath. And you can play in a certain liquidity window. And every single time people are swapping, you're getting paid, you know fees, and you're also in the fees are paid in kind as well. So that's also increasing your position. And then another, you know, valuable thing that we enjoy as well, because it helps the whole space grow is actually staking on different nodes. So a node is just a computer and it just validates transactions. So with each blockchain there, there needs to be validators that validate each transaction, you get paid to be a validator by providing liquidity on these different notes. So that's another thing like ASA mentioned, and actually, I'll go back to what Zach said, you know, volatility is just opportunity. It's not even, you know, a lot of people get really emotional when prices going down. And that's because you don't have an actual strategy. So if you have a strategy, and you use proper portfolio allocation, like awesome mentioned, we're sitting in over 30% Cash, because we do believe, I mean, it's already been bearish, we do believe we are likely to head lower, just given where the overall macro economy is heading, that is more opportunity for us not only buy the dip, and then there's multiple other strategies that you can implement, where you do have more of an income base. So we love to shift our portfolio over to a more conservative by holding a larger cash position. And then we're being paid to hold that cash. And then we're also implementing other things that are producing income, which allows us to actually take advantage of these times, instead of being emotional and, and sitting there and just worrying about everything dropping.
Blake Templeton 11:34
Yeah, it's really good. And so guys, there are strategies for every single thing that's happening and boron digital, boron digital, these are the guys behind the, the actual fun these the mad scientist behind what we're doing. And it's good for you guys to see how we think how we process because we believe will still outpace Bitcoin, we believe we'll still have a strong return, no matter what's happening in the volatility, because the volatility is a circumstance and that does not control our investment decisions. Neither should it control yours, Zach, anything else you want to share in the big picture?
Unknown Speaker 12:20
Yeah, I kind of circle back on mindset, whenever you were talking about the investor that, you know, had a few million in crypto, and they really just have the buy and hold and buy and hold is a strategy, but it does create, you're subject to the whims of the market. Right. And when we're saying active management, what that means is you're continuously assessing the market on a regular basis, and you're updating your positions, your allocation, based off of the things that are shifting and changing. And so obviously, in the last couple couple years, I think that market, the markets as a whole movement is happening at a much faster pace, and changes are happening at a much faster pace. And therefore it does require at a much greater commitment to remaining updated, remaining informed and remaining educated. And so, you know, for those of you out there who are watching, we appreciate you tuning in and watching we do this, to be able to help provide some of that education so that you guys can stay up to date. And just kind of as a broad strategy, from a mental standpoint, it's about remaining on offense, right? When When Austin says, we go third, we've moved to 30% Cash, well, we had more cash, and then we deployed that on a downward and then are continuing to bring in cash, and looking forward into the future. But most people think cash is a defensive position, they're pulling out because they're scared, or not pulling out because of fear, we're moving to an active position based off of the changes and variables in the market ready to deploy and take advantage of opportunity. So whenever you're making decisions, I would encourage you not to make it from a position of fear, but make it from a position of tactical advantage. And the only way to remain in a tactical advantage is to have the right information. And so that continuous allocation, you know, we cover new and updated positions, new and updated portfolio allocation, and on a regular basis inside the crypto inner circle that that Jeff runs. And so if anybody is interested in that, make sure you go down to the description, you can get connected to that there. And it also comes with a full course to dive in deeper. You know, I was doing an interview just earlier today. And large group of investors and investor listener base and majority of them are super interested in crypto, they just haven't pulled the trigger yet. And it's because they're looking for the right information before they can do it. And so, we hope that this helps you And if you're looking for that information, get connected, whether it's just tuning into the lives going down in description getting connected to the inner circle and the course, or whether that is, you know, if you're an accredited investor, and you're just looking for somebody to help you do it, reach out again, you can text us call us, everything's down in the bio, um, this is what we do full time. And so, you know, I just, I just want everybody to know, the options that are available, because I'm always talking to investors. And they basically said, I didn't know that having active management was an option. Good point. Yeah, I had to do it all myself. And it's important to know your options. And then you can make the decision that's right for you based off the options, and so remain on offense, get that tactical advantage, find the right people and get connected, that's going to be what you need to do in this season to remain ahead.
Blake Templeton 15:53
Awesome. Alright, guys, that's it for this State of the Union address. Enjoyed it. Look forward to your comments, we would like to know what you think about what the markets happenings we'd like to see if you think is gonna be a downtrend in the market. Or if we're out of the bear market or going up, we pay attention to your comments, and we'll respond accordingly. So again, as I said, if you have any desire to learn more, or if you're an accredited investor, getting into our fund, all that is in the details below. And then if you want to be an inner circle, and be on the cutting edge and seeing exactly what we're doing as we're doing it to do it on yourself if you're not accredited. Again. that's there for you guys as well. Be blessed with the Lord bless you. And we'll see you guys on the other side.
Transcribed by https://otter.ai