All Episodes
Previous Next
April 16, 2025 - Health Ranger - Mike Adams
01:06:53
Digital assets expert Chris Sullivan joins Mike Adams to discuss FINANCIAL SURVIVAL...
| Copy link to current segment

Time Text
All right.
Welcome, folks, to this emergency financial interview with the founder of Hyperion Decimus, or Hyperion Decimus.
I don't know.
We'll ask him how he describes it.
Christopher Sullivan, who we – this is his return to our show.
We interviewed him once for Decentralized TV.
It was a hit.
People love the information.
He's a portfolio manager of digital assets and much more.
He joins us today for commentary.
Welcome, Chris.
It's great to have you back on.
Thank you, Mike.
Happy to be here.
It's great to have you here.
So how do you pronounce your company's name?
Hyperion. Because it does have Thracian in addition to Greco-Roman roots, there are, you can say, like Apollyon.
For Apollo, you can say Hyperion.
So we kind of shorten and just say HD.
It makes it easier for everybody.
No offense, Mr. Langone.
I'm not trying to take your rights on Home Depot.
Yeah. Okay, no worries.
I just figured high definition.
That's what I thought.
Okay. That too.
We are, you know, HD strategies.
Like, they are high def strats.
Yeah. It's really neat machine learning and combo of alphas.
It's super fun because it's almost like a child, right?
You get to curate, advise, and optimize.
You know tech real well, Mike, so I'm preaching to the choir, but it's really neat.
Well, we'll put your website URL on screen, HyperionDecimus.com, just in case anybody has any trouble spelling it.
But let me ask you this, and the reason I call this an emergency interview is because over the weekend I was listening to a lot of talk, interviews, and speeches by other world leaders.
For example, the Prime Minister of Singapore gave a really eloquent 25-minute speech where he basically said, I mean, I'm paraphrasing, but he said, look, We're all going to decouple from America.
We're going to trade among each other.
We're going to use each other's currency.
We're not going to use the dollar.
And we're going to de-emphasize importing and exporting from the United States.
And it seems to me like what Trump has unleashed, one way or another, perhaps unintentionally, is forming into a large global embargo of the United States.
Not from the UK or Australia or Canada, obviously, but all the rest of the world, which is actually most of the world.
You know, as a macro guy, I would argue soft is probably the right word.
A lot of these groups are paper tigers.
So long as we are 34, 35% of the world's economy in the United States.
And then I would tack on Mexico and Canada because, you know, we do trade quite a bit with both.
And if you really had a free trade agreement that was reciprocal, I think the resource-rich areas with the right rails and logistics could make the western half of the world kind of completely self-sufficient.
So I think, yes.
They already are trading outside of US dollar.
And who would blame them, right?
The petrodollar has really exported our, meaning US inflation, you know, at least since the early 70s, right?
Or you could go all the way back to Bretton Woods.
Yeah. So I would, if in those countries, I would be frustrated.
But then at the larger scale, it's also been a requirement.
This is maybe the real, you know, where the...
The pounding of the pavement occurs.
The real reality is that as a result of that, those countries are forced into the treasury market to collateralize trade, right?
And so why would China buy treasuries?
Okay, well, it's collateralizing the interaction with the United States consumer.
So as the bond market has really destroyed a lot of capital all over the planet the last few weeks.
I think you've gotten maybe a little bit quicker of a come-to-Jesus kind of moment from other countries that are super solvent, like a Singapore, where, all right, well, we are not going to maybe want to hold Treasury bonds or any bonds, for example.
Certainly Chinese bonds are probably 50 times more risky than the U.S. bonds.
But we're also going to look to our regional trading partners.
You know, I think the Indo...
Area is very successful, has basically most of the goods most people would need from an ag perspective, and there is some metals as well, where the dependence isn't there.
So I wouldn't blame Trump.
This is the fault of the globalists.
And in fact, this is part of their agenda too, Mike.
So do you think that the actions that Trump is taking here, despite some of the...
What's the best way to describe this?
A little bit of friendly fire damage or something.
But is it actually designed to take down the globalist agenda or globalist control over trade?
It could.
It's hard to say definitively, right?
I'm not in the camp that there's this masterful 4D chess going on.
But I do know that there are the right folks around him that are aware of this.
You can see that the announcements are very much a negotiating tactic to bring people at the table.
So I do think it's perhaps a 4D way of getting out of the globalist system.
But it's so intertwined.
This is not something that's going to happen overnight.
I think it could take a couple of years.
It could take even 20 more years, right?
Yeah, right.
And that's just the reality of how entrenched everything is.
Yeah, because it's really interesting.
Trump wants manufacturers to set up factories in the United States, and some are, like NVIDIA just had a big announcement this morning, right?
Saying, you know, they're going to put hundreds of billions of dollars into U.S. manufacturing of their microchips, which is great.
I'm a customer of NVIDIA.
I spend way too much money on their hardware, you know?
But their gear's great, Mike.
You know that.
Yeah, it's worth every penny, you know?
It's not like you add water and it pops up, right?
I mean, these things take years to build.
And then my big question or criticism of this plan is I don't see that there are millions of skilled, ready, willing, healthy Americans ready to work in factories.
I mean, I don't see that.
I don't know how that happens.
You got any ideas on that?
You know, I have a little hope that where there's a will, there's a way.
But if I'm in that camp, like NVIDIA, for example, I'm not as concerned with the filling of the roles, per se, from a skilled labor standpoint, although that does matter.
I'm more concerned of labor costs with respect to insurance, general liability, potential union exposure.
There are huge regulatory concerns of being able to do that.
And then how many different...
In-house and outhouse councils do I have to have to get this thing going?
And all those have to be factored in.
So equal to getting a commitment for investment, which unfortunately for our sake may just be a political move, Mike, to be very frank, I'd love to see...
Going in tandem with that material deregulation to make it easier on small businesses to become large businesses and then for companies that have offshored a lot of their manufacturing to have a more seamless process.
In fact, you know, you could even make it sort of a bonded type process where they can raise equity and or debt to be able to do it faster.
So I don't think anybody is really thinking of it in a capital markets perspective.
As much as they should, nor are they really thinking of it in a gross cost perspective.
I see.
And we are aware that a lot of these, like they were last administration, Mike, a lot of these are just commitments.
So NVIDIA is probably not because there is real strategic benefits to doing that here and not just, if you're just in Taiwan, that's probably not good either.
So every big company that can afford to do it should diversify their manufacturing base.
Yeah, well, yeah, absolutely.
But what you just said, isn't this, this is really breaking globalism.
It's fun.
Right, because, and look, I think globalism went way too far, right?
I think that for the U.S. to send like...
Chickens to China to be processed there and frozen and shipped back.
It's like, really, we can't process chickens in America, you know, or broccoli or whatever.
That all seemed really insane, but it was based on this ultra cheap transportation by ocean freight with relatively stable ocean.
You know, sea lanes, right?
Basically defended by the U.S. Navy.
Well, those sea lanes are breaking down in the Red Sea and the Suez Canal and a lot of conflict over what's happening in Panama right now as well.
So is Trump on the right track to bring a lot of things back home given the less secure access to sea lanes?
I do think that that is a net benefit.
And I think large pools of capital are identifying that.
It's funny you mentioned Panama.
That actually could be another good location for manufacturing.
If we actually did just kind of take over over the past five or ten days, there's a lot of synergies that we should have with Latin America that I would explore further if I was Trump.
And especially in Mexico, you actually really do have very skilled labor.
Absolutely. Overarching, I love the intent.
The modality, I'm a little critical of because I'm maybe thinking of myself more as a gentleman.
But what he did end up doing, I hope on purpose, was zeroing in other trading partners of the United States on, wait a minute, China's the bad guy, right?
And there's not really any free trade because if America's getting charged 125, 85, 250% to ship our stuff, well, what...
Why has nobody gotten in the way of that?
Why has no one negotiated this over the last three decades?
So I think it brings forward into everyone's consciousness the reality of the global system being an export of wealth wherever they're going from and then to, and then they make money three ways from Sunday, owning the entire supply chain and logistics chain from both countries.
Let me bring in this kind of counterpoint on that and see what you think.
So the U.S. has been mostly exporting currency, you know, currency and debt in exchange for goods.
And of course, the U.S. exports a lot of services as well, but I'm not going to include that in this thought experiment.
But let's say the U.S. is trading China.
The U.S. is giving China treasuries, you know.
Dollar debt, IOUs, and China is shipping us physical goods, lots and lots of physical goods, right?
So China ends up holding debt and currency, and the currency is debt, and we end up holding all these physical goods.
That causes a trade imbalance in physical goods.
And then Trump attacks the trade imbalance, and he calls that a tariff that China has placed on us.
So like the 67% tariff that he said China was charging.
Actually isn't a tariff per se.
It's a trade imbalance calculation.
But how can you blame China when we're actually kind of ripping them off?
I mean, we're sending you debt and you're sending us computers.
That seems like we're getting a good deal.
I agree with that part of it.
Just not everybody is far down the path as we are as debt is negative money, Mike.
So I think...
When they entered the World Trade Organization, that was the easy entree.
And in literally financial terms, these are assets.
You can lever them, in the basis trade case, 100 to 1, which we can discuss on how that's kind of blown up a few trillion bucks over the last few weeks.
So I think this is a different picture than when they didn't have their own central bank.
They just entered the WTO and, oh, well, okay, we buy treasuries.
We're getting some kind of return in dollars.
We need that to collateralize the trade.
Okay, now we have an imbalance.
But really, I think there's a political side to why China did that as well, not just within America's relationship, but their own.
They needed to employ people, Mike, because the regime doesn't exist.
That I think we could see this American-style revolution there.
Oh, really?
It's just out there in the ethos, right?
Like, these people are more oppressed than most, right?
And now they see the wealth build for some.
They're literally ghost cities all over the country, right?
Yes. And you've now got this, wait a minute, I'm not moving further up from, okay, farm to three-bedroom condo, and now my banks are wiping out my capital, which you've seen plenty of that over the last couple of years.
And I think you run the risk.
I don't know what the percentage of Delta to instigate this response from the populace there, but I do think it's possible.
People aren't really taking that into account, that you could see a regime change bottom up in China as well.
So this tactic by Trump of really singling out China for very steep tariffs, I think it's over 150% now when you add it all up.
Coming into the U.S., that Maybe Trump is thinking that this could spur a social revolution in China.
It could be one of the parts of the calculus.
It's just from me observing the macro effects and then following capital flows, which capital flows can kind of speak to at least possibilities and probabilities into the future.
And it became self-evident to myself and my team that, hey, you know, well, maybe, you know, if Europe's now super behind, but not as bad as China, and maybe they wake up and then the Europeans grab their balls and wake up too.
All of that's possible.
It's not out of the realm of occurrence even this year.
That's interesting.
You know, along those lines, I saw that Germany and France are now begging to repair Nord Stream and get cheap gas from Russia in order to stop the plummeting of their industry, which, of course, you know...
I talked about that.
I'm sure you did, too, three years ago.
We're like, you're done.
If you don't get energy back, you're done.
And now they want Russian gas again.
They also need fertilizer.
And then you probably are also aware, Mike, they've been burning low-grade coal in Germany as a replacement.
Right. And forests.
I don't know the exact multiple, but it's multiples on high-grade coal in terms of so-called carbon output.
I'm not a polluter, but...
Carbon dioxide.
It's not a pollutant.
Yeah, right.
Exactly. So I think it is...
They definitely did that self-inflicted, Mike.
That was to pulverize the economy of Germany, much like a Versailles Treaty did after World War I. But it is very hilarious and unfortunate for the constituency in the EU and Europe and France and UK in particular.
Like, you know, they're paying...
Thrice for stuff that was already theirs.
Yeah. Stuff that's in the ground that they just refuse to touch in their own countries.
All right.
Let me ask you about four asset classes here.
So this is going to be a four-part answer, I suppose.
But in light of the, you know, really this chaos in global supply chains, this collapse of trade with China or this imminent collapse, let's say.
And a lot of...
You know, a lot of raw materials and China's blocking rare earth minerals, etc.
Let's talk about the four asset classes.
First, crypto.
Bitcoin has seemed very resilient in the face of this.
Gold then, you know, so crypto and then metals.
Gold has been skyrocketing and still above $3,200.
Silver kind of lagging.
Let's talk about stocks, which are taking a beating, but it's up today.
And then let's talk about treasuries.
The debt market.
So on each of those four, how do you expect things to play out if this China trade war continues?
Let me preface with what does matter the most, and that's the bond market.
Yeah, yeah.
Ladies and gents, the bond market can nuke capital faster than anything on the planet.
And unfortunately for all of us, the total credit derivatives on top of the bond markets, roughly 4.2 to 4.3 quadrillion.
Right. That's lots of zeros.
And then when you look at things like, well, shit, I can buy Caterpillar stock down 30%.
It might go down 50 more, but at least I own a piece of the company that's going to be needed forever.
We'll just remind people that the volatility of equities, which, like you said, Mike, was actually 4.6 standard deviations to Bitcoin's 1.4.
Oh, interesting.
Extremely resilient.
Just matter not when compared to the bond market, because there's, you know, 200x the amount of capital in the bond market than there is in the stock market.
And treasuries...
Treasury rates are creeping up.
I think they're over 4.5% right now, right?
Yeah, they've had some humongous individual sellers.
And China's largely been out of the treasury markets basically from 2015 to now.
They've been net sellers constantly.
So they're not our largest debt holder by any stretch.
And I think, unfortunately, for U.S. Investors, a lot of exposures coming in target date funds, 401ks, money market mutual funds.
And so there's a lot of maybe non-transparent exposure to the treasury markets that U.S. investors are maybe deflected from being aware of.
But let me go back to what you said first.
So Bitcoin, because of its scarcity, that's really coming into play here.
Not to say it can't puke.
And make another new low around 67-ish K. But the fractals retested previous highs from previous cycle.
There's enough pulled off exchange.
We actually have, Mike, less than 13% of supplies even available to buy now.
Interesting. While there's futures, there's papers, shorting, et cetera, et cetera, options, paper Bitcoin and ETFs, fine.
But when push comes to something, you're seeing it in gold.
Almost infinity paper gold, yet it's still ripping people's faces off going upwards.
So I think you could see where the historical relationship, gold has about a nine-week lead to Bitcoin.
And if you draw the chart out, Mike, you can see the correlation.
So if Bitcoin has the potential to follow gold's lead, gold might cool off a little bit here in the short term.
And then too, silver is interesting because...
It looks very forced lower every time it rallies, Mike.
I think it's a very unnatural price fractal in that chart.
I was a buyer on the pullback of palladium and copper.
I think those are undervalued here.
Yes, clearly.
And palladium has a lot of uses.
So does lithium, actually.
Lithium should be used to create energy, not to store it.
And that's a whole other podcast, Mike.
You're an expert on, not me.
So I think those offer kind of deep value plays in the space.
If you're all allocated to gold and you obviously don't punt, maybe out on a pullback, but putting a new fiat.
I'm sorry to interrupt, but copper, I just want to point out, I could not understand why copper was falling as all these companies were announcing new data centers of hundreds of billions of dollars.
They're going to need copper to make all that stuff and aluminum.
Whenever you get these big standard deviation moves, these panics, right?
We call liquidity one events where everything goes down all at once because people are not very bright or not very strategic.
Then you go, oh, hey, what do I know has some kind of inelastic fixed demand over the next five, seven, whatever years?
Well, copper and silver sure as hell are in that field.
So I would almost always be buying.
Local oversold conditions in those because the bang for the buck you're going to realize later is a lot higher probability.
Absolutely. And then just to move from Bitcoin press mills to stocks, Mike, stocks did an absolutely beautiful retrace almost to the point on the S&P of where the uptrend that's held the rally from 22 lows,
I think it's 48.63, I don't have it right in front of me, without violating that trend.
So what I always do when I'm analyzing price, and everybody feel free to try and replicate or copy this, we want to kind of set up three scenarios.
You can call it bull, bear, base case, whatever.
But you just want to define things and what can possibly happen in the near term.
So if we can count this as a just correction within a bull market, it literally went to the exact trend change pivot and didn't change the trend yet.
Huh. Interesting.
So the quote-unquote bullish option would be that was a correction and that maybe the market makes a minor new high over the next two to four months.
And when we spoke last, I kind of alluded to downside materializing near term.
I gave it a couple months and it was like four days and then it started happening.
So I do think timelines are pulled forward.
Time is actually moving faster in rate of change terms now too, which is...
Again, another podcast.
So that's the bullish view.
It's like a 6,500 kind of target is out there.
What has to happen to maybe get over that is get above.
There's a confluence between like 56 and change and 5,700 and change on the S&P.
It's also big resistance.
So it will react when it hits that resistance and probably pull back.
If it doesn't make a new low, then it's got room.
To the upside.
And then the bear case, which is perhaps what's most on everybody's mind, is that we are a day or two away from completing a bounce and we roll to take out that 48.60-ish low to keep running in a bear market.
And then there's kind of the base case, which is why I call this the base case.
People need to understand markets were designed to destroy money.
They're not designed to make money.
Right? They're designed to destroy capital.
So what is the path?
I mean, yeah.
You're going to have to explain that more.
Well, Mike, what's the stats on accounts?
Somewhere between 70 to 90% of all wealth management, personal trading, accounts, hedge fund, whatever, lose money every year.
Not on purpose, though.
Well, obviously, no one loses money on purpose unless you need tax write-offs.
But that's just the nature of the beast, right?
The middleman, the globalist who own exchanges.
And deal securities and then warehouse them or transfer agent, DTCC.
These are all globalist institutions.
They feed off people reacting, right?
Yeah. So it's not because they want to make everybody wealthy.
In one sense, okay, we get defined benefits to then force all the risk on you, the consumer, and call it defined contribution plans and put everybody in programmatic trading within 401ks, which allows Market makers, banks,
et cetera, if you're the buyer of last resort and the greater fool, when an algo runs from 330 to 4, rebalancing all the holdings in 401ks, and every two weeks, there's new capital going that they feast on.
All of that was engineered on purpose, Mike.
So that's kind of explaining markets are designed to destroy capitalism.
Capital destruction or destroy capital, which is a feature of capitalism.
Capital destruction is a feature of true capitalism.
So noting that is a backdrop for the base case.
What kind of nobody is expecting, and this is my personal view that's possible, is for months of sideways chop with high volatility.
Everybody's, oh, it's a bear market.
Well, when everybody's saying that, it's highly probable it's not because bear markets materialize when no one's expecting them.
I'm just giving you three scenarios that the market could do near term.
And, you know, you can assign like a 30, 40, 40 kind of probability to it.
I do think even if the market does rip, that may be the final high of this cycle.
Really? Yeah.
Yeah. Okay.
We need to see, like, whatever Trump does now that's awesome, the lag's two or three years.
So we can easily go into a six to 12 month bear market to cleanse what hasn't been cleansed while I've been alive, Mike, and most likely while you've been alive, too.
Yeah, well, it harkens back to the subprime mortgage collapse bailouts, right?
So 2008, and I think all of us knew, all of us who understand Austrian economics anyway, we knew then that the bailouts were just going to set up something far worse to come in the future.
But is what Trump is doing now, is this going to be the giant, you know, the cleansing brush fire that takes out all the, you know, all the trash and leaves us with a healthy forest to grow again?
I hope so, Mike.
It's an extremely violent and painful transition that will occur.
I'm ready for it, and I don't really care the net present value of my so-called net worth and fiat.
Whatever. Whatever I have to go through to get through it, great, fine.
Because the longer this rubber band gets pulled, the worse it's going to get for everybody.
So I think being able to, the features that we have now from a technological standpoint, you can opt out into physical precious metals.
You can opt out into digital assets, both Bitcoin and privacy tokens, and even stable coins to a large degree.
Which have nuances that are super interesting.
You know, in 08, where could people go?
Right? Most people have been shied away from gold.
They still are now.
And most people still don't know how to get Bitcoin.
Right? Or Monero.
Or any of those.
Okay, so let me pivot slightly.
Because over the weekend, I saw Ray Dalio and Mark Faber both said some pretty big things.
Dalio said, That Trump's moves really threaten to break the global economy.
And, of course, that's been repeated by other world leaders, perhaps as attacks on Trump.
But then Mark Faber said that all the Western fiat currencies are going to zero, you know, eventually, right?
They're almost there, Mike.
Since 1913, you mean?
Yeah. Oh, since 71, since 2020.
50%, 40%.
40 and change since 2020.
And then, but like Mark, in all seriousness, look at the yen.
How many yen is it per dollar?
And what was it in 1989?
Like, there's no current, there's no fiat you can hide in.
Right, right.
That's true.
So, I would have liked that.
I did see both of those statements.
I would have liked it said, Trump has catalyzed an awareness of the, you know, impossible situation we have in bonds and fiat.
That's a more truthful statement.
So, how far is he going to push this, though, is the question.
I can't.
I don't know, but I hope to where it all destroys itself.
And the implications of that, though, among those who are not prepared...
Look, most people own everything in fiat.
Everything's in fiat.
Aren't they going to get hammered hard?
Yes. I mean, you know the answers to those questions.
I've been listening to you for 10 years.
Of course, you know the reality of that.
Yeah, it's uncomfortable, right?
So what Ray Dalio is saying triggered, right?
Well, it's because we were constantly bailing out the system in many different ways than just, here's TARP.
Hey, Mr. Paulson.
Here's $765 billion.
You and Ben Bernanke make sure the ATMs open up the next day.
Okay. Well, and then he was begging.
He was literally on his knees begging Pelosi, by the way, for that.
Now, fast forward, that was a license to print, right?
You've got 14 magic money computers.
You've got USAID funding the own invasion of America.
And you can't even count the amount of fraud, whether it was the stimulus money.
Or SBA?
It's just too far.
So if we don't want to just kick it another whatever amount of years, if they QE and the Fed comes in, they'll buy maybe six to eight months.
Because every time they've come in since 08, whether it's 2012, 2016, 2018, August of 2019, March 2020, 2022, every time they've done it, Mike, it's just lessened the impact.
So, you know, last time it was $8-9 trillion.
It'll have to be $15 trillion.
And what, do we want to bankrupt four generations from now?
No. I don't want to.
And okay, we'll take some short-term pain.
Bring it.
We're like 20% through it already if we just started it.
So then let's talk about, for the people listening who understand that fiat is not the place to be, many of them are trying to decide things like, okay, How much gold should I have?
How much Bitcoin should I have?
How much land should I have?
Should I buy treasuries?
Whatever. And of course, just as a disclaimer, we're not your investment advisor, so do your own research, get your own experts, make your own mistakes.
It's going to make mistakes because you learn.
Yeah, right.
How do you think I got so good, Mike?
We all made mistakes.
We all have expensive educations along the way.
But how do you walk somebody through this process of the...
The mix of assets that are not fiat.
So I try to just thread a peaceful needle, as I like to say, right?
When you look at real estate, there's a lot of ways to subdivide that, to use a real estate term.
Not all real estate's equal, right?
So from an allocation perspective, I would first separate your homestead.
And look at that and focus on the prepping elements of that homestead and make sure you've got all that covered before it's, I'm buying raw tracks of land or potential farmland, or I'm buying into equity of a hotel or a gas station.
So it's not a one-size-fits-all answer, Mike, to be very humble and honest.
But I think when you look at probably one of the most successful investors of all time, much more successful than Warren Buffett, Peter Lynch.
How he looked at portfolios was 25% cash, cash equivalents, 25% commodities, gold, 25% land, and then 25% dividend-paying equities, right?
That's a great sort of top-down starting point.
But I think the reality of the perilousness of the current situation, people need to understand, okay, whatever I have in treasuries or in equities, That's subject to two humongous things.
One, utter devaluation from a huge QE in purchasing power terms.
And then, perhaps more importantly, a great taking where they just confiscate it through bailing.
I don't think that that's possible unless they somehow oust Trump as well as the entire cabinet and administration.
They're not going to let that happen.
Like, he knows what he's doing.
He didn't even want to do it, Mike.
You probably know the whole story.
They begged him to.
Disinterestedness is unique for leaders, and I think he's perhaps one of the best we've seen in modern times.
And he gets it.
Everybody knows what's going on, and I don't think the globalist rollout of that is probable if that administration's in charge.
But within real estate, I would separate The homestead and food production farmland segment from cash flow.
And I think it's important to have both.
Whatever the matrix is of that, because real estate could still be confiscated.
You don't pay a property tax, they come take it.
They want to do a highway, they eminent domain it.
You're on the bad boy and girl list, they come shoot you, like they've done in Bundy, etc.
It's certainly not safe from a valuation perspective.
In my opinion, the high for multi-generations in real estate in a per square foot price was already hit.
Oh, that's interesting.
Now, so you think that real estate is going to slide everywhere?
Or are there certain areas, like where I live in Texas, everybody wants to live here because of Elon Musk and Tesla?
Mike, everybody always says that every cycle.
Yeah. Now, when you're putting it into an aggregate chart to get a, here's the median of U.S. price per square foot, that's what I'm going off of to note that we're now in a downtrend.
So, will that market go down 25% versus 70%?
Sure. Right.
Okay. But you still only have a willing buyer and seller to transact.
So I think land holdings and homestead holdings should be, this is in my family and portfolio forever.
If it's not meeting that standard, try to liquefy that immediately.
Same if you own hotel interest or multifamily or strip mall or whatever cash flow real estate you have, maybe make sure your leverage ratios are kosher, you've got reserves.
How part of the great taking will materialize is all the bonds that people think are credit lines or mortgages, they can call all of those.
Right. Commercial real estate is about to see a lot of that, I would imagine.
Well, you had $300 billion in the last 15 days.
Go bye-bye.
Wow. Speaking of hundreds of billions...
Well, actually, trillions.
The U.S. government is going to have to refinance.
I've seen $9.5 trillion later this year.
Five by June, Mike.
Wow. I mean, this is going to get so fun.
Yeah. So, I mean, nobody in their right mind is going to buy a trillion dollars in U.S. dollar debt for 4.5%.
I mean, really?
So who's going to buy all that debt?
Historically, so let's talk about two permanent buyers of it, right?
Pensions, insurers, and then effectively large hedge funds, right?
So let's look at the large hedge funds side because I'm sure your listeners have seen the so-called basis trade.
Let me walk you through the construction of that.
The problem with the Wall Street periodicals and even Fox, they put out these headlines.
And they're just patently false.
So let me kind of undermine their hyperbole and propaganda and give you facts.
What is the basis trade?
It's as follows.
All right, you can buy a treasury bond and certain, whether it might be Goldman, might be CME, most places will allow you up to 100x leverage because it's backed by the full faith and credit, blah, blah, blah.
And so I buy a treasury bond, then I go to the futures market.
The natural state of the futures market is a condition called contango, where as you go further out, these are monthly, quarterly, and yearly contracts, the interest or expense gets higher, right?
So the basis is arbitraging the delta between the price in the future versus the price now.
So hedge funds can buy a treasury bond, get that four and a half, lever it.
30 to 100 is the typical leverage ratio.
Take the money they borrowed to short to extract the basis.
Well, the fun part about volatility is that most people don't factor for it properly.
And so what happens is the bond price tanks, right?
Which affects that contango price because now the price going forward declines.
And then because the price of what you own went down, interest rate went up.
Which technically would be good because you're getting potentially more interest.
But the problem is you collateralize based on the price when you bought it.
Price goes down.
Your leverage ratio got all out of value and you get margin called.
Right. And poof, there goes $3 trillion.
So that's what happened.
I think it was like April 4th-ish, plus or minus.
This also happened on the yen.
In the fall and late summer of 2024.
So that's the basis trade.
And then what you'll see from the Dalios and the Mark Fabers and a lot of really bright peoples, they say the following.
Liquidity has dried up around the planet and we've got bad liquidity conditions.
The Fed needs to step in for liquidity.
What they mean is the following.
That two standard variations from bid and ask.
Bid and ask is in an order book and it's measuring who's willing to buy and sell.
Close to the money of a price set that day.
It's really material in the bond market.
And so most of the time, Mike, when they're saying, oh, there's no liquidity, they're looking up and down an order book, two standard relations for bid and ask, and they're seeing it thinned out is the technical term for it.
And right now, I would say it's dropped like 70%.
Wow. And that's logical because you're just like poofing capital, right?
It's just blowing up.
So, even if investors did want to buy and sell, they don't have the capital to do it.
And that is a very, very real condition right now.
Yeah, and, you know, it reminds me of long-term capital management back in, I think, 1997, except, you know, private fund placing currency bets, I believe, involving Thailand and Russia, if I'm not.
Correct. Yeah.
So, they miscalculated.
Things shifted.
Their leverage then caused nearly the collapse of the entire global debt system.
Into a hedge fund.
Yeah. Right.
That's about to happen now, too, man.
But who's got the exposure that's going to have to have the bailouts now?
Is it the banks now, or is it other large funds?
You know, recently I don't know the bank's full exposure like end of quarter, so I don't want to misspeak, but they definitely have exposure, both from the credit default swap and they're the one issuing the quadrillions of derivatives, Mike.
So they might not have that basis trade exposure that's historically pension funds, insurers and hedge funds, but they absolutely have the derivatives on that that are like 200 times leveraged, right?
You know, six ways from Sunday, I think.
So yes, banks, I don't have the math, so I don't want to misspeak in front of the audience.
I definitely come back to you with actuals.
But effectively, how I view it, the six banks that own shares of the Federal Reserve, they're just going to cover it up.
So maybe there's an iteration where the central banks, you know, come in and...
Turn everything off and then confiscate and do a huge bail-in.
I just don't think they can materialize that with Besant and Trump.
And it's certainly maybe not in the next couple quarters.
They're going to try it in Europe first, I think.
So would that qualify as part of the great taking then?
Yeah. And in the great taking, do you think people will lose their bank account?
Deposits? Or the deposits will be turned into shares of the bank that you can't redeem?
You know, most of these iterations of these takings, and you're familiar with Mr. Webb's work, I think the best extrapolation is the savings and loan crisis, right?
In the 80s, yeah.
Yeah, through the early 90s.
What that was...
Was a change of legislation, literally a couple lines.
And then all of these banks that were doing commercial and developmental loans, mainly in the Rust Belt and in the South, were instantaneously bankrupt because they claimed that their loan, even if it was good, was now not good.
And so that was a way that they confiscated not just the assets of the creditors and the debtors of that instance.
In the case of the banks, The creditor and then the developer in the case of the debtor, but then they took the actual material business line of issuing loans to real estate developers.
That was a version of great taking, much like 1933 when they confiscated wealthy people's money via confiscating the trust system, which was over a holiday weekend.
The same time that they made gold illegal, they did a bank holiday taking at that point for accounts that were a million bucks and above.
Wow. Wow.
Okay. So this brings us to the self-custody question then on crypto and gold.
So I believe you're an advocate of self-custody in both cases.
Obviously. Yeah.
You have to be.
On gold, it's harder because it weighs so much.
Yeah. Right?
So I was talking to one of our clients today, Mike, and he's like, oh, man.
You know, I really have a hard time buying gold at this price, and man, I've got, like, vault worth, right?
That's a lot of gold, man.
Right, good, good.
You've done well, and you've got to say, but it's like, it's not enough to put in two go-backs, which is kind of my recommended minimum, right?
So, you know, call that 40, 50 ounces, right, that you can run away with.
I think any high net worth investor above.
That can afford to do it.
That's your bare minimum.
If you've got too much gold to carry, you're doing pretty well.
Right, but in a grid-down situation, that's actually a liability.
Yeah, I hear you.
Well, good thing he doesn't have all that money in silver then, for God's sake.
He'd need a dump truck to drive that silver around.
So, as important as Bitcoin and any...
Any and all digital assets, self-custody, is you ought to have a responsible and reasonable amount of physicals in your possession.
Hopefully, if you have two residences or multiple real estate investments, you place them accordingly.
But you definitely can't go out on your skis with gold if you've got 50 million bucks.
It's just too much.
And that's really where, okay, I've done that.
Now I'm moving to Bitcoin and Monero and other digital assets that are super scarce.
It doesn't even matter what your opinion is.
They are a vehicle to do this, and they're one of very few.
Well, this is the great thing about Bitcoin, is an unlimited amount of Bitcoin still fits in the same, well, really the same seed phrase in your head.
So you use ledgers?
Is that a ledger?
Yeah, I've got them all.
This I just...
I don't know why it's still next to me on my conference table.
It's next to my Jedi frequency healing thing that blocks all ELF and EMF from our office.
This is like 700 yards of a halo.
Interesting. It's still relicue I sent you on text.
But yeah, I've used them all.
I do like Treasure.
Their new one's got kind of a really nice interface.
So does Ledger's.
But I have multiple.
And then Wife.
It has multiple kids have their own cold and hot wallets, and I've trained my 9 and 11-year-old how to use them.
And I think that's as important as training them on how to plant a seed, how to fire a gun, and how to light a fire.
Like, these are just skills hopefully we don't need, but aren't going to harm you to have.
Right. Right.
Well, I agree, and I think that liquidity in all of this is going to be key.
And, you know, crypto is...
Especially Bitcoin is very liquid.
You can move it instantly.
And unless you're working through a KYC exchange, you don't have to fill out a bunch of forms.
The bank can't stop it.
Even if, I mean, they really can't, but there's a lot of layer two upgrades that most people aren't conscious of.
And I think it's not a one size fits all, but only 2.3% of...
Accredited investors globally are even exposed to Bitcoin.
Is that right?
I wish that number was a lot higher because I really feel like the precious metal investors are maybe about 5.8, 5.6 because the boomers were really trained not to buy precious metals.
Yeah, that's true.
I'd like to have at least a quarter of the planet be semi-well capitalized with both of those.
Because the window is, I don't want to be, you know, alarm raising, but I think that the window of time to really get yourself prepped is waning.
Yeah, I agree with you.
All right, so in wrapping this up, and by the way, thank you for taking the time here.
Tell us about your company, what you offer, and I mean, can individuals work with you, and do you have a minimum amount that you require?
Yeah, the minimum is I have to like you.
No, I'm not kidding.
I say that in a hopefully not arrogant way.
Basically, since we were kind of blessed with being self-financed and then kind of blackballed from Wall Street anyways because they initially hated crypto and then certainly hate freedom-loving, truth-telling anarcho-capitalists.
So we screened people on how we can add value and then How we fit in the portfolio.
We offer two hedge funds.
We do have to comply with accreditation status for U.S. for offshore.
That's not applicable.
And then we're very light minimum relative to other hedge funds of around 100K.
We do take gold.
Sorry, we don't take gold physical gold.
We do take Bitcoin and Ethereum as contributions as well.
And then we also offer distributions and redemptions.
Fiat, Bitcoin, or Ethereum.
So the point of the vehicles are really to replace equity exposure within somebody's portfolio.
Because if you look, especially if you apply the recent 10-day vol data's annualized, Mike, if you look at, call it risk capital, $1 in the S&P or NASDAQ and $1 in Bitcoin, at this point, you're literally getting about 15% lower volatility for three times the return.
profile. So how we fit in addition to the consultive self-custody practice and the fact that we actually set up the wallets to go back and forth with our clients and pre-label, white label everything so that in a Armageddon grid down scenario,
we can get everybody their capital really quickly in about 20 minutes.
So it has that prepper and hedger element to it.
But really the vehicles exist as comps to equity hedge funds in both
Long-short discipline in one and a multi-strategy discipline in another where we're actually trying to stack large amounts of crypto while algorithms produce gains no matter what the market conditions are.
So it's been fun.
Okay. But one final question then about crypto and self-custody.
So people have to give you their crypto or buy it, I guess, with you for you to manage it.
You have to have possession of it to manage it, right?
If someone actually listens to us, Mike, what they do first is they come up with a number they're comfortable with having on hard drives and having in self custody.
We help them execute that number into Bitcoin, at least initially, and go further down the pipe from there.
Get everything, all the seed phrases.
We call it wallet hygiene.
Get all that dialed in.
And then when you're looking at your liquid portfolio, all right, I'm 60-40, I'm 73. All right, well, Mike, let's take 15% of that 70 equity exposure and then put it in the fund.
And oh, by the way, that is going to massively outperform anything you've ever done in your life.
And give you the hedging element of integrating it with your self-custody so that we can distribute gains.
You can add more and it can be two-way so that the allocation means more than just a number on a statement, Mike.
And that's when we built the firm in 2010.
That was the intention of what we ran then.
And then going for digital assets since 2017, it's been able to realize a hedger and prepping thesis and mandate that was not possible in trading Apple, for example.
And also, I mean, you can send people their...
Digital assets, obviously, wherever they are.
So it's very portable.
It's instantaneous.
And do you do anything outside of Bitcoin?
Do you handle any privacy coins?
Yes, we were.
I think I mentioned Dash was one that we were heavily involved in back in 2018, which was a privacy token proof of work.
We actually ran nodes on it too.
So yeah, we kind of stay in.
To be very humble and honest, it's hard to underwrite.
Everything because there's like a million tokens.
Yeah. We'd like to stay in about four or five segments of digital assets, privacy tokens, DeFi, layer one, layer two, and Bitcoin.
Okay. And within those sectors, we tend to have the top two to five holdings in those categories.
And that way we're giving clients, now, you know, a third of the fund, it has to be Bitcoin because of its liquidity and we keep it off exchange cold in five different qualified custodians.
So like, that's the...
The bookend hedge to everything.
But you're pretty much an expert at privacy tokens.
These have so many different use cases up above and beyond store value.
We don't know which one the market's going to pick, so we need to make sure and own allocations to each of them.
And DeFi, like Uniswap and DYD, there's so many different interfaces for people that are now multi-chain and interoperability and have shared security that All of the replacements for Wall Street already exist in DeFi,
whether it's borrowing, which would be on Aave, or it's transacting, which would be on Uniswap.
It's fascinating.
So those, especially here, Mike, if you look at Unis chart, it was in the 40s six, seven months ago.
It's like five bucks now.
But the thing is, the infrastructure is becoming a lot more mature pretty rapidly.
Oh, my God.
Yeah. They just exceeded two and a half trillion.
I saw, too, I don't know if you've looked at Xano, but I interviewed those guys, and they're rolling out the, what do they call it, confidential layer, which is a way to wrap Bitcoin inside a Xano privacy token so you can effectively, you can move Bitcoin around privately.
So it's not like one or the other.
Sometimes you can combine these tech, these different technologies, and achieve things.
You have the liquidity of Bitcoin and the privacy of Xano.
Even if you just use it for two minutes while you're moving it around.
It's unreal.
And I'm looking forward to demoing that when it goes out of testnet, Mike, because we've done the cool part about the wrapping.
Like on wrapped Bitcoin, for example, which is wrapped with Ethereum, you can then have all of these DeFi applications, whether it be YoFarMate or Lend.
And then, okay, Xando's coming out with privacy, which is hopefully going to continue to protect peer-to-peer.
And I'm sure it's going to work well because they're phenomenal developers.
And it then speaks to the valuation and the value proposition of Bitcoin in the first place.
Exactly. Yeah.
I don't see anything ever replacing Bitcoin, but I see a lot of augmentative technologies adding kind of the missing pieces of Bitcoin, like privacy.
Well, and the throughputs on the Layer 2 side, Mike, that really enabled the B2B.
Because last year's 154.2 trillion B2B transactions at 611 basis points gross.
Yeah, you have to have layer two on Bitcoin and Ethereum.
But that was the fiat side I was quoting.
Bitcoin's only two basis points.
Oh, but you're talking about layer two solution.
Right, and so that enables the competition with Bitcoin for B2B payment solutions.
Got it.
Like I said, $154 trillion at 611 basis points.
Think of the extraction from humanity.
611 basis points is annualized.
Well, that's why Visa and MasterCard are so happy.
Well, and that, I mean, that number, they obviously skew it to the upside because it's in the 20s.
But when you just look at Bitcoin, even without all the layer two, it's two bips.
But then layer two cuts that in half.
People, I swear to God, people are going to end up looking at an interface, a graphical user interface, and unbeknownst to them, they're operating on a huge blockchain apparatus, and Bitcoin and maybe a few others are collateralizing that.
And applications like Zeno's doing to make sure all the peer-to-peer can happen free and clear are how that enables itself.
Wow. Well, I didn't even get a chance to ask you about AI, but we'll do this again.
But I forgot to ask you, we'll save it for next time, but the competition for electricity between Bitcoin and AI.
Like, they both need power.
A lot more power.
Yeah, but you know what the solution is already, Mike?
Free energy.
Yeah, it's coming.
It's coming.
It's coming.
And what's amazingly beautiful about that is you solidify, I mean, you solidify everything, but with respect to crypto, you then are able...
The miners, specifically, are able to lessen transaction fees, potentially pull forward a lot of the unknown unknowns where people are having questions after the last halving.
And then, well, if we don't have this giant input cost called kilowatt hours, we might be able to have a lot of fun.
I'm not saying this is going to happen a couple quarters from now.
If everybody's talking about this ZPT stuff, Mike, it's coming.
Absolutely. It's going to be radical.
I'm so stoked for that.
Because I want that.
Desal plants.
Stop raping and pillaging the whole planet.
So much good can come out of this.
Yeah, for sure.
All right.
Well, Chris, let me give out your website again.
It's HyperionDecimus.com.
And I encourage people to reach out to you if they would like to connect with you about portfolio management, including digital assets.
Thank you so much, Chris, for your time today.
It's been great.
My pleasure, Mike.
Thanks for having me.
All right.
Take care.
And Chris, stand by.
I'm also going to send you a new song I just did called Trump the Tariff Sheriff.
So that's coming your way out.
And we'll throw it on the end of this interview here because it's fun.
It's satire.
But thank you for joining me today.
And thank all of you for listening.
I'm Mike Adams, the founder of Brighteon.com.
and enjoy the song, Trump the Tariff Sheriff.
Trump the Tariff Sheriff
Yeah, he hiked him and spiked him and raised the walls to spite him.
If you extend your hands, he's gonna cut him off and bite him.
He's hungry for a pound of flesh, even if there's nothing left.
Making everybody pay and call and collect.
There's nothing you can do.
Don't even try to stop it.
Even if you crazy, my orange man can top it.
Trump the tariff sheriff.
He's a-coming to town.
Trump the tariff, sheriff, gonna burn it all down.
Economic earthquakes, existential high stakes.
Trump the tariff, sheriff, isn't messing around.
Taiwan and Korea, sure was nice to see ya.
Wouldn't wanna be ya since you're paying such a fee ya.
Singapore and China, they falling far behind ya.
With economic warfare, we gonna decline ya.
Decoupling from Asia, commie China plays ya.
Triple down, tear a plate, don't even
There's nothing you can do.
Thank you.
Trump's gonna make you pay through the nose, you're clueless.
You're dumping situation, currency manipulation.
Even if you nuke us, you can't stop this nation.
We ain't even started yet.
Don't you forget.
Cause our secret weapon is infinite debt.
There's nothing you can do.
Don't even try to stop it.
Even if you're crazy.
My orange man can top it.
Trump the tariff, sheriff.
He's coming to town.
Trump the tariff, sheriff.
Gonna burn it all down.
Economic earthquakes.
Existential high stakes.
Trump the tariff, sheriff.
Isn't messing around.
Trump the tariff sheriff, he's coming to town.
Trump the tariff sheriff, gonna burn it all down.
Economic earthquakes, existential high stakes.
Trump the tariff sheriff isn't messing around.
He's not messing around.
He's not messing around.
No matter what you do, he make you look like you're not.
He's not messing around.
Thank you.
Thank you for supporting us at HealthRangerStore.com.
We have new products and we have some products back in stock.
I want to show you some of this.
Show the side view on my desk.
Right there in the center, we have two new products in the yellow dropper vials.
One of them is liposomal vitamin D3 plus K2.
And that's a 2-ounce or a 59-milliliter bottle.
And that combines the properties of vitamin D3 with K2, which, as you know, work synergistically.
Of course, it's a lab-tested formula.
It's very pure.
You can look at the ingredients.
We've got everything listed here.
It's on the website, healthrangerstore.com.
This formula is known to be supportive of a lot of natural processes in your body for supporting healthy bones and healthy skin and so much more.
So check that out.
Available now.
HealthRangerStore.com.
Vitamin D3 and K2 combination in a liposomal format.
Then we've also got brand new organic dandelion leaf and root liquid extract.
And this is really fantastic.
It's a combination of glycerin and alcohol for the extraction.
And, of course, this has all kinds of great benefits for supporting normal, healthy liver function, detoxification support, and the ingredients are incredibly just simple here.
Cane sugar, alcohol, distilled water, and organic vegetable glycerin, in addition to the, of course, dandelion leaf and root.
So that's what this is made of.
It's very potent.
It's laboratory tested like everything we sell.
And then on top of that, we have many favorite products back in stock right now.
For example, here we have the Health Rangers Organic Wheat Free Macaroni and Cheese with no added salt.
And that's what's in the bucket there.
I want to show you this on the website.
This is extraordinary.
People love this product.
The formula is amazing.
I want to show you the ingredients on this because you almost won't believe.
How amazing the ingredients are.
So it's all organic, but look, the pasta elbows are made from organic quinoa, organic rice, and organic amaranth.
And then it has actual organic white cheddar powder, organic heavy cream powder, organic butter powder, and organic whey protein powder, and then, you know, onion and pepper, a couple other things.
But it's not artificial.
This isn't made with maltodextrin and fake cream flavors or any nonsense or artificial colors.
Nothing like that.
The only thing that this recipe is lacking is salt.
We made it really low salt.
We did not add any salt to the formula, so you'll want to salt it to taste.
But it's incredibly delicious, and it's made with real food ingredients.
And then, check this out.
Our MagPlus Brain Boost Nootropic MagTeam Plus Bacopa.
For cognitive performance.
This is a favorite among many of our audience members who are up there in the years and they're looking for that extra brain boost for six to eight hours of enhanced cognitive function or I should say good cognitive support for normal cognitive function.
This product really helps people in so many ways.
Of course, it's laboratory tested.
You can see the ingredients and the label right here on the website.
Laboratory tested, heavy metals, glyphosate tested, We do all of that.
We test for E. coli, salmonella, all of it to make sure that you get the cleanest foods and superfoods and nutritional supplements that are available today.
So check out healthrangerstore.com.
We've got all these products back in stock and then some of these new products as well.
Go to the homepage at the website and you'll see what we have available.
You'll see what we have on sale right now.
And here's a seed kit, the backyard seed kit.
Various categories.
We've got loyalty points that automatically kick in when you purchase products and so much more.
So check it all out at healthrangerstore.com and thank you for your support.
We couldn't do it without you.
And our mission is to help heal the world with clean food.
So that's why we do all the testing and have all the laboratory.
In fact, here's my microscope right here that we're doing demos with.
And we're looking at some crazy stuff that fell out of the sky.
Very interesting.
Not food.
But we're all about making sure that you have ultra clean food.
So thank you for your support.
▲
Export Selection