Summary: Oct. 27, 2017 Featured Guests Guest order - alphabetical Please Listen Here Show Highlights Arch Crawford, head of Crawford Perspectives, discusses the worst natural disaster in California history, the 2017 firestorm. The host proposes that 40 lives and 8,000 structures might have been spared if clay / terra cotta roofing panels were required by state building codes. The onus of most of the fires stemmed from smoldering embers spread by the 40 mph gusts to adjacent roofs, where highly flammable tar tiles quickly ignited. Californian officials are URGED to implement a statewide roofing upgrade.Using tax credits and incentives, clay tile roofs would protect against future firestorms. The show dialogue turns to the Bitcoin miracle; much of the recent strength is arguably due to accumulation ahead of the upcoming Segwit2x Hard-Fork.The event is slated for mid-November; hard forks represent a token dividend. While detractors cite the extreme volatility of Bitcoin, the host refutes the argument.The king of cryptos differentiates itself in many ways from traditional currencies, including divisibility down to .00000001, as well as a nearly instantaneous transaction rate, essentially eliminating most of the volatility issues. Bob Hoye of Institutional Advisors rejoins the show with Part II on the Bitcoin phenomenon. According to the mythical founder of Bitcoin, Satoshi Nakamoto, in Bitcoin: A Peer-to-Peer Electronic Cash System (2008), trust in financial transactions was hijacked by the financial intermediaries. The solution emerged from the elimination of the blockchain signature / hashing system. A simple way to view Bitcoin is a CPU powered network where each node votes via CPU power to verify its block in the block chain. Antonopolous estimates that not even the computing power / financial resources of an entire superpower could falsify a single transaction. Antonopolous' defense of Bitcoin / Block chain is arguable comparable to the Constitutional Convention of 1776 (figure 1.1.). Although an unpopular view, the host confirms the notion that Bitcoin = Digital Gold, or a close facsimile. For the first time in 50 years of digital commerce an identical contract or Bitcoin has a unique signature, emulating the gold content of a coin. In true Talebian fashion, the Bitcoin network is de facto anti-fragile, i.e., similar to the internet / email, if one node or several fail, the network is safe.Based loosely on Metcalfe's Law governing any digital network, a unique Bitcoin valuation model emerges.The square of the number of users of ANY network times the average transaction rate over the total users. Given the 4.2 million users, figure is squared it and multiplied by the daily average transaction per block and voila, near the current price. To identify a forecast, apply Google's Trend analysis to anticipate the new number of Bitcoin Users, which reveals that the number doubles every year. A basic BTC valuation model results in a 1$ million Bitcoin price in 7 years.
