Summary:
Phillip discusses how to bet against government spending. He draws parallels between the 2008 financial crisis and the current state of government debt, emphasizing the importance of understanding financial statements and debt accumulation. He also explains how bitcoin was created as a solution to protect against government debt default and inflation. He highlights the transparency and limited supply of bitcoin as factors attracting investors seeking to safeguard their assets.
Chapters
| **Timestamp** | **Summary** |
| ------------- | ----------- |
| 0:00:01 | Introduction to the podcast and topic of betting against government spending |
| 0:01:29 | Introduction to Wealthbuildingmatesimple US newsletter |
| 0:02:09 | Explanation of the movie "The Big Short" and understanding debt |
| 0:04:23 | Debt accumulation in the system and the transfer to governments |
| 0:06:27 | Increase in money supply to absorb debt and manipulation of interest rates |
| 0:08:02 | Explanation of market movements and the tipping point |
| 0:10:36 | Introduction to bitcoin as a solution to government debt default |
| 0:12:14 | Comparison of bitcoin to the banking system and gold |
| 0:15:21 | Money gravitating towards bitcoin as protection against inflation and defaults |
| 0:17:50 | Bitcoin as the arc to protect value in the next economy |
Quotes
"No, debt is debt, whether it's on an individual, whether it's on a company, or whether it's on a country."
"If you look at an individual's income, if their expenses are more than their income and the expenses are growing at a higher rate than their income is growing, then you can just do the math and say, at some point in time, they're not going to be extended credit anymore and their financial system blows up."
"Debt had been accumulating in the system for a while, really since the 70s, when we came off the gold standard, which was kind of a US default. We defaulted on our promise to exchange dollars for gold for our international trading partners who stored their gold here.”
"We need a way to short government debt that will protect our money when that happens."
"For a period of time, it appeared as if there was no problem because interest rates stayed relatively low for a long period of time. You're able to suppress and manipulate energy for a period of time, but for every action, there's an opposite and equal reaction."
"The tipping point is when the majority of the market comes to realize something, then you see the movement in the market."
"The fire (overindebtedness) never went out. The fire transferred to the government balance sheet."
"Bitcoin, from what I understand and believe from what I'm seeing from my research and where I put my money, is the arc that's attracting more and more money to protect from all these governments having to wash away these debts through massive defaults and inflation."
Social Media Handles
Follow Philip Washington, Jr. on Instagram (@askphillip)
Subscribe to Wealth Building Made Simple newsletter (https://wealthbuildingmadesimple.us)
Phillip Washington, Jr. is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Past performance is not indicative of future performance.
Investing: The basic building blocks of an economy
Business: The Growth Phase of Apple, Inc.
Innovation: A Deep Dive into 3D Printing
Real Estate: ”Interest rate hikes” for home buyers with good credit
Replay: How to deal with people acting funny as your wealth grows
Wealth Mindset: The Universal Algorithm of Money (and Life)
Business: Insights from studying Apple Computer as a start up
Innovation: The future of manufacturing
Investing: Deflation trends towards abundance
Investing: Why banks keep failing in this environment
Investing: Buying Louis Vuitton as a bet on NFTs
Business: Embracing technology in your business
Investing: Emotional Intelligence is really all you need in investing
Real Estate: Building your real estate empire in the new world
Media: The intersection of NFTs and podcasting
Investing: Inflation is good for the future, not so much for the past
Business: Using ChatGPT in accounting
Finance 101: The nuts and bolts of how our economic system is financed
Real Estate: Turning homes into NFTs on the blockchain
Media: The economics of podcasting
Create your
podcast in
minutes
It is Free
The Commercial Edge: Unleash the Power of People
The emPOWERed Half Hour
U.S Property Podcast
Aligned Money Show
Dubai Property Podcast
The Ramsey Show
The Clark Howard Podcast