4.8 • 710 Ratings
🗓️ 24 January 2022
⏱️ 79 minutes
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0:00.0 | One thing that comes to mind here is, I don't know if you've ever read Dahlio's book Principles, |
0:14.2 | he goes through this scenario where he basically structured an options strategy, I guess, for McDonald's, to where it enabled |
0:26.9 | them to have the chicken McNugget for sort of a similar reason. |
0:29.7 | The prices of chicken were fluctuating too much. |
0:32.3 | So they went in and put a collar around this thing so they could get predictable long-term |
0:35.9 | chicken pricing, which led to the production of the chicken nugget, which is sort of what you're saying here in this competitive environment of fiat currencies that a sovereign or an issuer would then put these parameters in place. |
0:51.0 | I guess it would be a soft guarantee on purchasing power, right? |
0:54.2 | Yeah, it's soft because, of course, in a true shortage, that price is going to run away from you. |
1:00.6 | You should have to let it go, right? |
1:01.6 | Yeah. |
1:02.2 | But that's actually something, which is a, it is a reasonable product to offer. |
1:08.1 | Mm-hmm. |
1:09.1 | So I agree with all this. |
1:11.0 | I guess the issue would be you're still having to trust the issuer. |
1:14.6 | Like if they're giving you this long-term predictable inflation. |
1:17.1 | Yes, but that's portfolio theory because you wouldn't put 100% of your trust. |
1:21.6 | Yeah, you'd put zero. |
1:23.0 | Yes. |
1:23.5 | Right, right, right. |
1:24.1 | That makes sense. |
1:25.1 | So in this type of future, you end up, I mean, I guess as a sovereign individual, you're holding most of your reserve in Bitcoin. And then if you're operating in a particular jurisdiction for a particular amount of time, you're funding that fiat currency to go in and live or do business or whatever it may be. |
1:42.1 | That's right. Or in a truly internationally competitive environment. |
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