#119 Productive Crypto - Generate Cash Flow Without Selling Your Coins With Brandon Diggs

**Roy Coughlan** (0:02)
Welcome to The Crypto Podcast. You can find all the references on the cryptoadvice.org.
You bought Bitcoin early. You held true to crashes, the media panic, and you never sold. So why is your daily life exactly the same? My guests today say there's a third option. Most crypto holders don't even know exists, and it doesn't involve selling a single coin, picking up trading, or becoming a DeFi nerd. Brandon Diggs from Overseas DeFi is here to show you what productive crypto actually looks like. So welcome to the show, Brandon.

**Brandon Diggs** (0:41)
Thank you very much, Roy. I don't know about the DeFi nerd part. I might have to push back on that one.
But certainly, you know, these days, the narrative and the sentiment is very negative for crypto. So we don't have, we're sort of a shrinking breed of people that actually invest in Bitcoin and these other crypto assets to begin with. But where we take it to a couple of orders of magnitude beyond just buying and holding crypto, that's where we would get into the DeFi. And that's the interesting part of our business, our portfolio structure, and really what we teach at Overseas DeFi. Our goal is to, so we're heading into a brand new, completely different global financial system. All of finance is gradually migrating to blockchain rails. And so there's a whole new area of financial literacy that's starting to play out. And so we specialize in helping to teach people and make them financially literate in this new system that we're all migrating to.
And we think these assets are spectacular. We can get into the details of why I'm so bullish on Bitcoin, why I'm very bullish on certain layer one blockchain coins. A lot of people don't even invest in Bitcoin. They don't even know what Ethereum is. So there's just a learning curve here, and that's what we hope to do at Overseas DeFi, and hopefully dispel some of that mystery today.

**Roy Coughlan** (2:18)
So I suppose let's kind of learn your own crypto journey first.

**Brandon Diggs** (2:23)
Yeah, these assets, I have a T-shirt that says, just hodl it. So that's sort of the mantra in crypto, Bitcoin, ETH, whatever asset you're interested in, the mantra is hold on for dear life. And we've seen, let me give you an example of this.
I used to have a video called The Hodl Mindset, and I alluded to the fact that in 2011, it was actually possible to buy one Bitcoin for one cent. There was a flash crash.
I doubt anybody got filled at that time. But the point is, you could have bought a coin for less than a dollar, and then later on, that coin, that same coin, hit a price of about $69,000. So it was a chance to have a 6.9 million X return, but that's not available to anybody except for someone who bought the coin and then just held on for a long period of time. So that's the mantra. And what we do at Overseas DeFi is we teach people not only just investing in these assets to begin with, but then we enable someone to have patience and generate a cash flow, turn these assets into productive assets. So you really have, you're literally getting paid to wait.
There's a good analogy. If you purchase a piece of real estate as an investment, you purchased a single family home, for instance. After you purchase that property, what's the next thing on your agenda? You're going to try to rent that out and bring in some cash flow. You purchase that property as an investment. You hope that it goes up in value or at least maintains your purchasing power. But while you're holding on for the ride, you want to generate income. So we do the exact same thing with our crypto assets. That's where decentralized finance comes in. We can get into that as well.

**Roy Coughlan** (4:29)
I mean, you mentioned like the bad press because a lot of people are seeing what's happening, and then the obscene list, and there's mention of him being involved with Bitcoin, and then everyone is in on social media is just going to left and right, whatever people decide. When you're trying to get people in and they're listening to all the noise, how do you navigate that?

**Brandon Diggs** (4:52)
Yeah, like I said, the sentiment is just absolutely in the toilet right now.
And I think a lot of that has to do with what we call the hotball of money. So there's constant capital rotation.
It used to be that crypto was the gambling asset. Crypto was your opportunity to get a 100x return on your money. And that hasn't happened anymore. That's not happening anymore. And instead, that hotball of money is chasing assets, particularly the AI assets, the stocks that are benefiting from the whole AI data center build out and all the capex and all that. Those are your opportunities these days in recent times to make a 10x or 100x. And that's where the retail gambling mentality, investors and traders, that's where they're gravitating towards. And the capital has left the crypto market and entered those markets. So what we try to do, look, we follow two core narratives in our business and this kind of dictates how we structure our portfolio. So first and foremost, we want to invest in certain crypto assets that we believe in, that we believe are going to appreciate over the long term. Again, that hodl mindset we have to hold on, and that's the way we can make amazing returns with these assets, is being able to just hold on to the assets and wait for that narrative to play out. So the two narratives are, number one, currency debasement. Pretty much that's a lot of what you hear on YouTube and different podcasts these days. Fiat currency is continuously being debased. It's like death and taxes. You can always count on the government is going to spend more than it brings in. And I don't care if you're talking about the US government. It's all governments around the world are printing more and more units of the fiat currency, whether it's dollars, the Australian dollar, the Canadian dollar, the euro, the yen, the Great British Pound. I don't care which fiat you're talking about. They are all being debased. And so what you want, that narrative steers you towards an asset that is scarce. So gold, gold has been doing well. It's a scarce asset. A lot of people don't understand this, but Bitcoin is actually more scarce. It's a harder form of money. It's more, the supply of Bitcoin does still inflate. A lot of people mistakenly believe that it's a fixed supply, 21 million coins. That is the end point. New Bitcoin is being minted every 10 minutes. That's the block reward. It's what the miners get paid to secure the network. But the inflation rate for Bitcoin is something on the order of less than 1% a year. And if my recollection is correct, the supply of gold inflates maybe 1.5% to 2% per year, depending on the technology. And of course, there's always improvements in technology. They're able to dig gold out of the ground with more efficiency. And so that supply increase, the inflation rate of gold could actually increase, probably will. You never know. We're going to find gold on the moon or gold on an asteroid or something like that. And so Bitcoin is our asset of choice to really store our wealth. And that's the narrative there. If you want to put a pin on it, it's store of value. This is an asset where it's competing with approximately $100 trillion in assets. That's the global slice of store of value use case, let's call it, where people want to store their wealth for the long run. They're going to buy some real estate. They're going to buy rare art. They're going to buy wine. They're going to buy Rolex watches, or they're going to buy gold, or they're going to buy Bitcoin. So that store of value, very clear narrative. I don't think I need to preach that to... It's fairly obvious, especially these days. You have folks like...