QE Infinity with James Lavish & Greg Foss

 
 

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“There are five institutions that control $30 trillion of assets in this world. You’ve got Fidelity Vanguard, BlackRock, State Street, and UBS, that control $30 trillion. So when they get in, and they actually put it in their portfolios, it becomes a no-brainer for other asset managers to do it as well.”
— James Lavish

SHOW DESCRIPTION

James Lavish is a Bitcoin advocate and writer, & Greg Foss is a Bitcoin strategist, and they’re both co-founders of Looking Glass education. In this interview, we discuss FTXs lack of checks and balances, how fiat is struggling to find yield, zombie countries and the the debt spiral, and how Bitcoin is the best asymmetric bet of our lifetime.

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We live in strange times. Central bankers tell us up is down. Politicians peddle myths. And the seeming robustness of capital, institutions and the state is turning out to be a facade. And yet, the economic machine needs to keep running. Finance needs to generate a return. In this environment, where the economy has turned from being an engine of sound principles into a casino, it’s no wonder charlatans like SBF can turn into powerful entities in the blink of an eye.

Checks and balances are empty words spoken by people in suits in meetings. A lack of resources, a revolving door, well-financed lobbying, and sheer complexity have all but neutered any meaningful oversight of crypto. On the ground, the reality is bluff and bluster are as effective as following the law. Perhaps such tactics are more effective: after all, FTX nearly achieved regulatory capture.

What is the fundamental issue? Arguably it is that the whole framework of state-organised economic control is falling apart. The impacts are manifold. Price and value have no real meaning. Reasonable returns on investment are evaporating. Financial opportunities are being drowned by risk. The real concern is that confidence is rapidly ebbing away.

The fiat economy is fundamentally a confidence engine. Trust has replaced hard assets. When trust goes nothing is left. We now live in a world where disillusioned experts are telling us the game is up. State debt is unmanageable, and governments have no obvious solutions. This is why many such people are turning their attention to Bitcoin. When we’re facing QE infinity by zombie countries it is wise to go back to first principals: sound money.

TIMESTAMPS

00:01:43: Introductions
00:03:05: James' background
00:08:18: Understanding inflation
00:12:21: NHL and a career-ending injury, to Wall Street
00:20:07: Bitcoiners are hustlers
00:22:05: FTX fraud and the lack of due diligence
00:34:02: Requirement for regulation, and FTX due diligence failures
00:42:04: Reaching for yield - the fiat disease
00:48:38: Bitcoin's asymmetric valuation
00:57:25: Macro driving the current cycle
01:05:37: US debt spiral, and zombie countries
01:23:06: Financial repression, and QE infinity
01:26:41: All paths lead to Bitcoin
01:33:19: Final comments

 

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SHOW NOTES

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