2367: $500B Bitcoin Signal - SpaceX Keeps Bitcoin Reserve

**SPEAKER_1** (0:00)
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**SPEAKER_2** (0:27)
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**Justin Verrengia** (0:30)
Everybody assumes they can buy Bitcoin later, then the bigger money shows up, and later never comes. Can you relate? A 500 billion dollar Bitcoin signal just appeared. Most people are focused on SpaceX, but they're missing the math. Because if hundreds of billions of dollars start moving into Bitcoin, there aren't even enough coins for everyone. Think about it. Bitcoin's currently worth roughly 1.3 trillion. Total market cap. I know it sounds enormous until you compare it to the capital sitting on the sidelines. Charles Schwab alone oversees approximately 12 million in client assets. Most of that capital has little or no Bitcoin exposure today. But what happens if that changes? What happens if the Clarity Act passes? What happens if wealth managers can finally recommend Bitcoin? What happens if retirement accounts, pensions and institutions stop waiting? That's where this story gets interesting. Because a 1% allocation doesn't sound dramatic until you realize 1% of enormous numbers is still enormous. Now imagine the SpaceX thesis is right. Investors make fortunes. Some of that capital starts looking for the next opportunity and Bitcoin becomes the obvious destination. Then another company adds Bitcoin to the balance sheet. Then another and another. Suddenly 25% of the Magnificent 8 become 50%.
Then 50% become 75%.
And now before you know it, every CFO has the same question. Why don't we own any Bitcoin? That's when the rate pricing begins. Not because everybody buys, but because the largest pools of capital all arrive at the same conclusion at roughly the same time. And here's where the math gets crazy. A 1.3 trillion asset doesn't need every dollar on earth. It only needs a small percentage of global capital to seek exposure. Now, ask yourself this. What happens if Bitcoin captures just 10% of gold? What happens if Bitcoin captures just 5% of bonds? And what happens if Bitcoin captures just 2% of the global real estate wealth? Gold is worth today 29.5 trillion. 10% of that is nearly 3 trillion. The global bond market is worth roughly 143 trillion today. 5% of that is more than 7 trillion. Suddenly you're not talking about billions anymore. You're talking about trillions. Bitcoin doesn't need to replace gold. It doesn't need to replace bonds. And it doesn't need to replace real estate. It only needs a small allocation from each and every cycle. The same thing happens. The available supply shrinks. More coins move into the stronger hands. More coins disappear into treasuries. More coins disappear into ETFs. More coins disappear into long-term storage. Then a new wave of buyers arrives competing for the same scarce asset. That's the signal. Not that Bitcoin is becoming popular, but that Bitcoin is becoming acceptable. The history shows acceptance arrives before the stampede. The question isn't whether will it be more money? The question is what price will be required to convince the current holders to finally let go?
Now here's the crazy part, fam. The people managing the largest pools of capital are starting to see it too.
Take a look. This just in. $12 trillion Charles Schwab just said it's confident. The Bitcoin bottom is in when we just touched $59,000 last week. Financial firms all over the world are adopting crypto. There is strong support at 60 G's. Check out this video clip.

**SPEAKER_2** (4:05)
We've been vocal that we think there's pretty strong fundamental support near $60,000.
And that's what we saw. Just because there's support doesn't mean you can't briefly trade through there. If you look at that level, that's the 200-week moving average. And that's typically been an area of support in these large bear markets. Additionally, you have miners with the lowest energy costs and the most efficient ASIC fleets. And they mine in the low $16,000 as well. So that's the cost for them to produce a Bitcoin. So it's a good fundamental level where, again, Bitcoin has historically found support.

**Justin Verrengia** (4:39)
So there you go. Charles Schwab analysts say the bottom is in. An interesting point they brought up is that the most energy efficient ASICs Bitcoin miners, it cost them right now roughly $60,000 to produce one Bitcoin. And if you don't have the most efficient setup, you could be paying as high as $90,000 to mine a single Bitcoin. But they say they're strong support at 60 Gs and the bottom is in. I want to know if you agree or disagree with that thesis. Drop it in the comments. Now, Michael Saylor just posted here this morning. He wrote, congratulations Elon and SpaceX on a historic IPO.