I don't think the EX hedge fund manger of $8b dollars that produced that book was a doomsdayer. Being a securities law specialist he produced the free book to warn people that legal mechanisms have been put in place to usurp your property rights. If there is a financial problem with the banks and brokerage houses like 2008 your deposits are no longer safe, you instead stand at the back of line of unsecured creditors behind the too big to fails, the counterparty risk has never been higher. Thats a bit too basic of a summary, i would recommend reading it.
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Last edited by biglentil; Jan 9, 2024, 07:53. -
He uses an analogy at the 37minute mark in the above film. Say you paid cash for a car from a dealership, unbeknownst to you the dealersip used your car and every car they sold as collateral and the dealership goes under. The secured creditor now has legal title to your car and seizes it. Every financial security across the world is now in that position. The cake has been baked and with rising rates the everything bubble is set to pop. The protected class is but a few too big to fails.Comment
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Hilarious a thread on counterparty risk, something we are all exposed to when marketing and hedging commodities gets redirected.Comment
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Now that the US SEC has paved the way for ETF's on bitcoin...
we can buy ETFs(paper, not real) that own options(derivatives, not real) on bitcoins(electrons not real) with fiat money(not real) printed by a government wanting to keep voters happy to get reelected.
Everything is fine...really.Comment
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I hear PP thinks it is a good idea.
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You are smart and creative enough to come up with your own original material, you don't need to emulate Chuck every step of the way.Originally posted by agstar77 View PostI hear PP thinks it is a good idea.
He's hardly a role model.Comment
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