"The Fiat System Has Terminal Cancer" - Digital Credit is the Answer | BMP w/ Matt Cole Ep 12

**Matt Cole** (0:00)
To the extent that the interest paid in these digital credit instruments becomes more of a continuous stream, it has a high likelihood to reduce the volatility. I think what digital credit's ultimately gonna become is this thing that's gonna drive people crazy when I say it, but I really believe it.
Something that's better than money market accounts, something that increasingly becomes better than cash in this transition period, and ultimately will accelerate the hyper Bitcoinization of the world. Watch for that.

**Brandon Green** (0:36)
Hello, and welcome back to the Bitcoin Magazine Podcast. I'm your host, Brandon Green. Today we have the Matt Cole from Strive coming to talk about really everything from the current Bitcoin bear market. Today's June 2nd. We had a pretty gnarly downturn today, it was an interesting sell off.
All the way through talking about SATA and the digital credit ecosystem that's starting to emerge, some of the narratives around it, the adoption trends, we go deep into sort of who's buying it and why are they buying it and how does that evolve over time? It was a phenomenal conversation and honestly couldn't have happened on a more interesting day. So I am excited to share it with you and I think you're going to find it really informative. And I learned a lot. So without further ado, ladies and gentlemen, Matt Cole. All right. Well, Matt, welcome to the Bitcoin Magazine Podcast. It's an exciting day to have you. Whenever you get a nice volatile day for Bitcoin, it's fun to talk about it. So I'm sure we won't release this today, but it's June 2nd. We've seen the Bitcoin price take a little tumble here.
Give me your just immediate take on where we're at in the market. What are you seeing in the Bitcoin price and the Bitcoin market today?

**Matt Cole** (1:58)
Yeah.
So first, thanks for having me, Brandon.
I see this as a classic, but so far actually a pretty mild Bitcoin bear market. So Bitcoin bear markets can always test your convictions, but for someone that's been around for a long time, and I know a lot of your audience has probably been around even longer than myself, when I got into Bitcoin in late 2016, after several years of being skeptical of it, that the first question I always ask myself is, have the fundamentals around the thesis of Bitcoin changed? Are they better? Are they worse? And my belief is that the fundamentals around Bitcoin have never been stronger and that they're just growing stronger by the month and by the year. And the fiat currency debt crisis is not getting any better. Institutional adoption of Bitcoin is continuing to grow. ETFs are just starting to filter throughout the retirement accounts of everyday Americans. And that's a process. ETF growth typically occurs most massively in years three through five. And there's kind of a structural reason for that. So I think we're in the early stages of ETF adoption. Digital credit, which right now Strive is one of a couple issuers of digital credit with SATA and obviously strategy with Stretch. And as we're recording this, digital credit's actually, it's having a bad day today. But I think the demand that we're seeing, the exponential demand for digital credit is providing a substantial bid for Bitcoin. That is not someone selling Bitcoin to buy digital credit. That's I think almost where none of the demand is coming from. It's fresh demanded into the ecosystem. It's fresh powder for Bitcoin. And regulation is becoming more clear. And so I think when you combine all those things together, the future for Bitcoin has never been stronger. AI I think is an accelerant. We're kind of moving into this era of abundance. And Bitcoin is the most scarce asset ever known to man. And I think in an era of abundance, that'll become increasingly valuable. And so I've never been more bullish. And like every Bitcoin bear market that's ever happened since I've been around, that happens and it stays true during the bear market. And so sometimes you just have to wait out the flows of liquidity and people that are at the cell pressure.
But with that unwavering confidence, and I think if you had to have me guess on Bitcoin right now, I think we're in the bottoming process. I don't think that we're in the middle innings of a bear market. I think we're working to form a bottom here. I think that's not to say the bottom is in.
If you had a gun to my head, I would probably still say Bitcoin 67,000 right now. It's down a lot over the last couple of weeks. I would probably still guess the bottom is in, but I don't have a ton of conviction in that. But I do think we'll likely move higher north of 80k into probably back six figure range on the back of this year.