Welcome back to The Breakdown with me, NLW.

It's a daily podcast on macro, Bitcoin, and the big picture power shifts remaking our world.

The breakdown is sponsored by nexus.io and bitstamp and produced and distributed by CoinDess.

What's going on, guys? It is Monday, May 24th, and today we are talking about why hedge fund billionaire

Ray Dalio has officially bought Bitcoin. However, I have to say that without a doubt, the most

important news I could be exploring right now is digging

into everything that happened over the weekend. It feels to me like we could be on the verge of

one of the more significant shifts that Bitcoin has ever seen, at least from a network standpoint.

I'm referring, of course, to what could be a massive redistribution of hash power out of China. The reason I'm not

going to do that show in full right now is that there is still a ton of rumor, innuendo, speculation,

and not a lot of information, flying thick and fast. I think a day or so more and will have a lot more

clarity. That said, I do want to give a bit of a

debrief from the weekend, so we're at least prepared to have that conversation when we do it.

First of all, the banner headline was another significant crash. The first crash was Wednesday,

and that one was driven by a combination of FUD, Elon's Environmental FUD, China Banning FUD, and a number of others,

and leverage. I discussed this quite a bit last week, the positive feedback loop between

FUD driving small moves that got exacerbated by liquidations, that made those small moves

look bigger, which made the FUD seem scarier, and so on and so forth all the way down.

I also spent a fair bit of time breaking down what the fud actually was, specifically around China. Remember,

the first China fud of the week was a reiteration of policy on the book since 2017,

that financial institutions really couldn't interact in any meaningful way with crypto or

crypto-related companies.

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