Jim Cramer on Bitcoins Performance and Future

The Pomp Podcast
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Automatic TRANSCRIPT

Our guys bang bang. I have demand himself. He is back jim. what's going on. Man here's what's going on. You made me a ton of money. I had to keep out the experts there. Because when someone's they'd be as much money as you have. What kind of peppered with the authentic language. I did exactly now. I know you probably hear a lot of people say you know what i did what you told. No i went and called my cfo. All right. and. I said listen. I just talked to this guy and i went tomorrow and i said i want hoping to get trouble. I said i want a half million dollars in this and you can buy over a couple of days but i don't want anyone who's this guy was your. Thank you and i studied before it wasn't just like you know i didn't just off the tournaments but said this guy is compelling i even use and i don't know whether you have any but the brokerage you suggested and i mentioned the money because it's never happened to me before i bought a lot of stocks in my life but i wanna thank you. Some the reason i called is it. Can i please come on your and thank you because it happened. It happened just as you said. It also happened much faster than you said. But i'm very grateful. Grateful mike kits so thank you very. Well listen as as many people who watched our first episode together i think noted The most compelling piece of it was how open minded you were and how intellectually curious you are on. I think that is something that people forget is important in the investing world. So i can yell and scream from the rooftop all. I won't but it takes courage and conviction for you to do something about it. So it doesn't work invoked by the way i mean you can say well i'm sucking up sucking and just a tremendous respect. A lot of what you said to me. I of course told others and is there things that you would say. I mean i always do the door. So limited number. I always knew that there should be protection. And i regard it as an asset class. But i i have for years said that you should have go and i think what i had going for me was the recognition. That what you're saying is what i really searching for with gold. All but gold media goal is that is subject to many vicissitudes is subject to a mining issues. It's frankly are subject to fail in many cases. Where do you think that's what's going to happen. Do you think that people are gonna drop gold by bitcoin. Or what do you think's gonna happen now. If they listen to me going to drop goal. I've been saying kemper senegal since one thousand nine hundred eighty three and now say five percent gold piper centric and. I did not say that before. I talk with you. I had thoroughly research. I was skeptical on our skeptical. Frankly because i said you know what. I thought okay with my goal. This is the dog new tricks thing that i want. I run up against with the web with the wall street. People like they're constantly saying. Oh listen you know. You're old baby boomers forgotten. I guess to do with how young your mind is. And i listened to you a friend of mine go said i heard you pop a cup hops. The smartest damn straight and do what matters is how old you are. It's whether you're young enough in hearing someone who knows more than you and gonna love. What you have to do is accept the fact that someone who's more now we did in school. It's funny you chemistry and you guys were juice chemistry. And you're going to get blown. I walk into a bitcoin class. What do i think more than the bitcoins i. It's different from chemistry class. No different from an engineering class. I will do the progress. M when i got not schooled but talk by i said what am i doing not protecting myself in what i have been saying. That people could be hyperinflation. But even if there's just plain old inflation why not get in and i did. The thing that have is confused about was was this notion that help your currency versus asset class. Because i think that i am. I'm conflicted and i'm conflating. You can help me say what it really is is. I think that there's three things people are using it for right now right so you have people who are using it. As a medium of exchange people are using historic value and people using it as a speculative asset right. Those three things serve different uses for different people. But i think that a currency obviously historic value. It's hard to deny that people are storing value. I think that's pretty. Well accepted the digital whole narrative. And then when you look at like on chain transaction volume right in some days now. It's ten twelve fifteen billion dollars in a single twenty four hour period of transaction volume. That's putting it into trillions of dollars on annualized which know visas. These guys are eight to twelve trillion dollars in annual volume. So you're talking about maybe twenty five to fifty percent of the largest card networks in the world Super using it now. What they're using it for is very hard to determine but they're using some sort of medium of exchange and then i think the third one and probably the one on focuses on is the speculative nature. People are absolutely in some cases buying it because they think it's gonna go up in us terms and they're going to sell it at a profit later. It's i think that what we gotta figure out here is what's the dominant use case or. Most people speculating or most people using it as four value or most people using it needham of change. My guess is when you look at the data. Sixty percent of bitcoin hasn't moved in the last twelve months. So that tells me that the majority is being used as a store of value over everything else today. Now what happens in the future will find out. But that's how i kind of think about from a use case perspective is it. A currency is an asset. will technically. It could be both right right. Well you know for me because of my my here. Something is all dog. I always said the people. Listen if you could ever ever ever be a situation where you can play with the houses money you take what you put in then your blast and you never have to touch it. And that's what. I'm don neurological may have only took. That took out the money put in. But now i've been i'm never going to touch upon. I'm not. I may never because you traced data scenario for those of us who those of you that watch it you chase down scenario. That doesn't stop at one hundred thousand and a lot of people laugh. I didn't it. Was the twelve thousand. And i started thinking i've gotta get in before it got to fifty and i went home and told my wife i said lisa. I'm doing this thing. And she said why described there since fiber talk. You sound mesmerized. I said no. I i sent. Educate these are two different things. It's not been as rush. It was educated and the course that you laid out made me think you know what it isn't just a car. I borders currency. But i realized it was the store value and a better store value i was using and did i have the belief that it could grow up. Go and i did believe that. It could be speculative staying power but more importantly what i realized is ideal with the company square and instead of saying that they arrive this way. I knew that this cash app people kids are buying a little business. Schnitzel is gone. They're buying a slivers of bitcoin. And i said to myself you know what i want to be with them because they represent future but i also recognize they may be doing for whatever reason but i can be part of that way too and not feel that we've is is a boss. It's not was speculation. Not after the way that you late young you laid it out. And i am sure that you can lay it out for just in one minute. You've gotta just lay it out again or capsule probably not fair but why you know exactly what may be portrait.

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