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What’s Wrong With News And Social Media Today?

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What’s Wrong With News And Social Media Today? 

A democratic society values a free-flowing media ecosystem. A healthy media ecosystem is one of the characteristics of a democratic society. Mass media outlets such as newspapers and cable TV networks were prominent in the past. Today, the internet and social media platforms allow for greater communication across society. 

Journalism, investigative correspondents, and even freelance writers are essential to that ecosystem. High-quality reporting revealing brutal truths and users' scope and exposure on social media to either create or access information are forces that can drive genuine societal change. And even keep the power structures in check. 

Despite the positive aspects mentioned above, harmful practices and negative external forces related to the media ecosystem often eclipse them. These issues are usually easy to recognize once they’re identified. Therefore, it is important to acknowledge them and spread awareness about their potential risks. 

Doing so will help you make informed decisions about how you use media and how it can impact your life and the lives of others. The following are a few issues pervasive in many digital news sites, forums, and social media platforms. 

 

Image source: VisualCapitalist

Implicit Bias vs. Explicit Bias
An explicit bias in media has two types: explicit and implicit. It is possible for publishers with explicit biases to control the framing of stories in their publications by overtly dictating the types of stories that are covered. They push their agenda by using narrative fallacies or false balance. 

Implicit bias refers to unintentional filtering or skewing of information. This can occur by turning a blind eye to specific topics or issues because they would tarnish an advertiser's image. These are known as no-fly zones, and because the news industry is financially troubled, these zones are becoming increasingly dangerous. 

Difference between Misinformation and Disinformation
Inaccurate information is known as either misinformation or disinformation. While misinformation is unintentionally disseminated due to a lack of knowledge or truth on the topic, disinformation is purposely designed to mislead people. For example, a deepfake image, video, fake news story, or concept is considered disinformation. 

The term 'fake news' is frequently used to describe poorly written news content or inaccurate news reporting, as well as conspiracy theories and poorly written or incorrect tweets by politicians. Fake news might refer more broadly to information that an individual disagrees with.

Context Stripping
Through social media, stories are shared widely by many participants, and the most compelling framing usually wins out. More often than not, the truncated, provocative posts spread the furthest. The process of stripping context away from an idea may distort its meaning.

Sharing video clips on social platforms is a perfect example of this context-stripping process. Despite the absence of context, much discussion occurs around the video, especially if it’s controversial or shocking. As a result, viewers are unintentionally encouraged to stereotype the individuals in the video and to bring their own preconceived notions to the discussion table, helping fill the gaps. 

Cherry Picking 
Media contributors search for attention-grabbing story angles to make their point in an article. This may result in cherry-picking information and ideas. Because the content is usually accurate, it makes sense on the surface, but it is missing critical context. 

So cherrypicking can be questionable and compromising. It is tempting to create simplistic narratives that are compelling such as good-vs-evil, but real-world situations are often much more complicated than they appear. 

Desperate Times Call For Desperate Measures
Journalism is experiencing difficult times. Newsrooms are working with less staff and budgets, and 'churnalism' is one outcome. This term describes the act of publishing articles directly from wire services and PR releases. Even if it isn't widely known, 'churnalism' replaces more rigorous reporting. It is also an avenue for advertising and propaganda and harder to recognize as news. 

 

Image source: VisualCapitalist

Paywalls
The drive to generate revenue is leading to other issues as well. Quality content is increasingly being restricted to subscribers only, otherwise called paywalls. This has resulted in a two-class system, with subscribers receiving in-depth, well-researched news and everyone else having access to trivial or sensationalized content only. 

It’s not only about people with limited incomes; young people are also widely included. The average age of a paid news subscriber is 50 years old, raising concerns about the future of the subscription business model. 

Advertisement Clutter
Desperate times have led to desperate measures for advertising-reliant outlets. User experience has taken a backseat to ad impressions, with ad clutter (e.g., auto-play videos, pop-ups, and prompts) constantly interrupting content. One or two ads on a web page are manageable, but when ads overrun the site, it's distracting and disorienting. 

Surveillance Capitalism
In surveillance capitalism, organizations collect large amounts of data about their customers, employees, and other groups that are viewed as valuable sources of information. This information can be used for various purposes, such as generating revenue by selling data or predicting consumer behavior and targeting them with highly personalized advertising campaigns to increase their profits.

Some organizations capture and profit from individual information utilizing browser fingerprinting. When you visit certain websites, third-party companies scan your device and browser settings to track you online. Despite all the opt-in privacy prompts, these third-party trackers can still watch your every move digitally. Most people are not aware of this process.
 
Deplatforming
Many individuals and communities have been banned from social and publishing platforms for various reasons. While harassment and violence, fake accounts, and bots are obvious reasons to remove the offenders’ accounts, many would argue the rules are inconsistently enforced. Users are falling victim to being suspended or deleted from a platform for having a different point of view than the mediators of the platform. 

While we all are responsible for our online behavior as individuals, platform owners must also be careful to preserve the value of their platforms by avoiding over-zealous enforcement tactics that could lead to deplatforming. Invariably this causes irrefutable damage to the individual or company with a loss of followers and content. 

In many cases, this behavior from specific platforms is seen as a structural bias and agenda-setting from the top down by placing importance on selected topics and is very quick to censor legitimate political discourse or other forms of honest expression. A problem that seems ingrained with legacy social media and a battle we can’t win. 

 

Image source: VisualCapitalist

Argument Culture
It’s ultimately deviating to an adversarial approach when encountering people with an opposing worldview. Two examples of this are Twitter flame wars and broadcasts where hyperpartisan critics argue. While these are fun for some people, these activities do not require critical thinking or problem solving and are not helpful for the overall health of our society. 

A flame war is created when multiple users engage in inflammatory responses to an original post, sometimes flamebait. Flame wars often draw in many users, including those trying to defuse the flame war, and can quickly become a mass flame war that overshadows regular forum discussion.

When engaging in argument culture, people will often cherry-pick facts to strengthen their argument, ignore facts that weaken their argument and dismiss facts that reinforce the opposing argument. This approach to facts is often referred to as post-factual. Similarly, people often use hyperbolic language when arguing with others.

Brigading & Social Bots
Social media companies can be powerful enablers and disrupters where users can communicate in new and meaningful ways to help foster community engagement. On the other hand, they can also pose some unique challenges. They are driven by algorithms that privilege engagement with certain kinds of content over others. 

There are autonomous or human-run accounts on certain social media platforms that manipulate discussions and boost specific messages. This alters the tone of online discourse and artificially inflates the spread of messages. These accounts often promote particular agendas, benefit specific groups, or spread misinformation. This type of social media manipulation is referred to as brigading.

Some websites use bots to delete specific comments that they feel do not fit into the narrative of their website and promote what they consider “positive” comments instead. The potential consequences of using bots to promote or suppress specific comments will negatively impact the website and be perceived as one with an agenda that does not allow open discussion. 

 

Who Can You Trust? 
The issues mentioned above have led to a significant decline in confidence and trust across the various media outlets. A study of news media perception from 40 nations revealed that trust varied widely around the world, with European media trusted the most. Western Europeans trusted their media more than those in other parts of the world, and the Finnish were the most trusting, with 65%. The United States and Slovakia scored near the bottom regarding how much consumers trusted their news media at 26%.

The source is one factor that plays a significant role in whether or not an individual trusts news. On a global level, social media was the least trusted news medium, with Europe and North America leading this sentiment. A survey of U.S. adults found that most news on social media was regarded as biased.

Young people worldwide find it difficult to rely on mass media due to its current climate of polarizing political events and fake news. Older generations also share this viewpoint, and one of the top reasons for avoiding news was the inability to rely on its truthfulness.

Alternative Conservative Platforms Stand Up
Participants who lack trust in these disingenuous and agenda-driven platforms or feel their voice is not heard are migrating to other websites where they can be heard. More alternative media are popping up, Conservative-based, bi-partisan, and some are even non-partisan, with their only agenda being freedom of speech, liberty, and sovereignty. 

Conservatives are expanding their media outlets, aggressively building a conservative ecosystem with their own apps, cryptocurrencies, social media, and publishing houses. It includes Trump’s Truth Social and Gettr, launched by ex-Trump aide Jason Miller, with Rumble, the conservative alternative to YouTube, driving the news.

It is their effort to counter the perceived escalating liberal internet and media institutions and stand up against the developing cancel culture and censorship rife in legacy media. That is very commendable; however, it may well be perceived as still having a right-wing agenda that has the potential to stifle the platform’s ability to proliferate. 

 

An Alternative To The Alternative
Where can the people go who have no agenda, are critical thinkers, and have a completely unbiased worldview? People with an entrepreneurial spirit and a “live and let live” attitude that can rise above the injustices, evil trickery, and pettiness of the world. 

Today, the Markethive Social Market Broadcasting Network is growing in prominence as the ecosystem for entrepreneurs with a non-adversarial, bipartisan free speech ethic and a collaborative culture. It is a system of all things media, including a video platform and news broadcasting. It is a culmination of several distinct mechanisms that will harmonize, delivering the resources we need for everything we do online in a decentralized sovereign environment. 

Markethive Media has embraced blockchain technology and cryptocurrency, building an ecosystem that belongs to “we the people,” eliminating many of the issues plagued by media outlets today. With its meritocratic culture, dynamic social media interface, and growing community, Markethive is enhancing and bringing the platform into the future internet with new technology and interfaces, but still in keeping with the human touch.

There is no simple solution to the current problems facing news and social media. However, suppose we are more media literate and aware of what’s happening. In that case, we are better equipped to circumvent or even help fix these broken systems by encouraging honesty and transparency in communication channels that bond society, given that these mediums have become the primary source of information and interaction in the current dystopian climate.  

Reference
Visual Capitalist

 

 

 

 
 

Tim Moseley

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オンラインカジノファン

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オンラインカジノランキング 2022年

こういった種類もそれぞれルールが違って、バカラが人気である理由を押し上げているのではないでしょうか。 しかし、ゲームルールのシンプルさや演出、その他の攻略法などを醍醐味としてカジノゲームの中では最も人気のあるゲームの一つとなっています。 お金を賭けるプレイヤーは、テーブル上のプレイヤー枠とバンカー枠、そして引き分けのタイ枠のどれかに賭けて当たるかどうかを予想したゲームになっています。 www.casinoonlines.jp それぞれのオンラインカジノに違った特徴がありますが、中でもよりバカラの本質から楽しめるカジノを厳選。 基本的なルールは通常バカラと同じですが、ノーコミッションゲームモードを設定することにより、手数料5％がかからずバンカーベットが可能です。 バカラ特有の醍醐味である絞りを楽しめるライブカジノとして、絶対に遊んでおきたいバカラになっています。

ハウスエッジはオンラインカジノ側の取り分を指すのですが、プレイヤーにとってはハウスエッジの低いゲームを選択したほうが勝率が上がります。 それに注目してルーレットの種類を選びましょう、まず、ヨーロピアンルーレットのハウスエッジ(控除率)は2.6〜2.7%なのに対し、アメリカンルーレットのハウスエッジ5〜6%です。 ヨーロピアンルールの方が、断然低いハウスエッジになっており、それを選択するだけで既に勝ちやすい勝負になっているのです。

賭け条件は5倍なので＄100分賭ける必要がありますが、無理な金額では無いでしょう。 BeeBetの入金不要ボーナスはスポーツベットのみ使え、ボーナスコード「SPORTS10」を登録時に入力する必要があります。 最大賭け額に上限は無くオッズにも上限が無いので思い切って勝負してみましょう。 無料登録するだけで誰でも＄20の入金不要ボーナスが貰えるコニベット！

  • 1日にオンラインカジノをプレイする時間などを設定しておくと、それ以上はプレイできなくなります。
  • またアカウント凍結などの厳しい措置をとられる場合もありますので注意が必要です。
  • 不動産投資家として成功を収めた柏木氏は、莫大な富を蓄積し、ラスベガスとアトランティックシティで最高のカジノのいくつかでプレーしました。
  • 6リールからなるスロットで、それぞれ最大で7つのシンボルが登場する可能性があります。

日本語対応が優れているオンラインカジノは、カジノフライデーがおすすめです。 年中無休で毎日午後3時から深夜0時までの日本語ネイティブサポートがあるほか、サイト全体の日本語ローカライズも隅々まで行き届いています。 マルタ共和国のライセンスを取得していてイカサマがないのはもちろんのこと、ギャンブル自己抑制機能やギャンブル依存症診断ツールなど、安全最優先でゲームを楽しむことができます。 「オンラインカジノは還元率が高く、95%〜98%ほどになることもある」。 みなさんも、耳にタコができるほど聞いたことがあると思います。 たしかに、日本の宝くじや公営ギャンブルと比べた場合は高いと言える還元率ですが、決して100%を超えない＝遊び続ければいつか資産は0円になる、ということを覚えておいてください。

親しみやすく、遊びやすい外見をしていても、実は「悪質カジノ」ということだってあるのです。 そういったカジノを選ばないためにも、当サイトの紹介情報やプレイヤー様の評判・生の声を参考に、じっくりと検討した上でオンラインカジノをプレイしましょう。 まだまだ一流と呼べるほどの産業ではありませんが、サービスクオリティは少しずつ改善され、オンラインカジノ業界自体の認知度は着実に上がってきています。 摘発事例で一時危惧されたオンラインカジノの違法性についても、一人のプレイヤーが不起訴処分（無罪）となったことから、現在ではほぼ安心できる状況になりつつあります。 もちろん、100%の安全と断言できるものではありませんので、当サイトの「オンラインカジノは違法？合法？」を参考にじっくりと判断してください。

入金不要ボーナスを貰うには電話番号認証と個人情報認証が必要ですがボーナスがお得なのでしっかり貰っておきましょう。 オンラインカジノブログとは、オンラインカジノごとの解説、各ゲームのルールや攻略法などが載っているブログを指します。 必勝カジノオンラインZの場合、それらに加えて、カジノ協賛の賞金付きイベント、日記メンバーによるプレイ記事といった、読者さんが楽しめるコンテンツをお届けしています。

入金・出金手段

業界のプロフェッショナルはもちろん、法律のプロフェッショナルもボーディングメンバーに在籍しています。 取得が厳しいライセンスだけに、このライセンスを取得しているカジノはそれなりの信頼性が確保されています。 オンラインカジノは日本で人気が出つつありますが、まだまだ外国が主導しているマーケットです。 日本人好みのゲームを揃えているところもあれば、しっくりこないゲームばかりのことも。 エンターテインメント性に富んだ楽しいゲームが次々に見つかるようなオンラインカジノを選びたいですよね。 日本でオンラインカジノをして年間50万円以上儲かったら(サラリーマンの場合は70万円)確定申告しないと、違法行為になります。

現在の状態では、違法行為になるため、仮想通貨を現実のお金に換えることはできない。 オークションサイトでの取引も法律に抵触するため、eBayなどの大手サイトでも、「仮想通貨や仮想アイテムの出品や取引は認めない」と注意事項が表示される。 いったんゲームを休むと「無料で毎日遊べます」とDJ風の音声が素早く入る。 仮想通貨を使い果たすと、購入するか、翌日にアクセスすると無料で少し追加される仕組みだ。

オンラインカジノとランドカジノの違い

大吉カジノでは、日本カジノレビューを非常に真剣に受け止め、細部にわたって比類のない非常に信頼できる情報を読者に提供しています。 最高品質のサイトのみを推奨するように、カジノが満たさなければならない包括的な一連の基準を開発しました。 これにより、大吉カジノのチームが探しているものと、各オンラインカジノ 日本をどのようにテストするかを確認できます。 入金不要ボーナスで禁止ゲームを遊ぶと最悪アカウントの停止もあり得ます。 禁止ゲームはオンラインカジノ毎に異なりますので、必ず確認しておきましょう。

また日本語サイトであっても、違法となるカジノがある可能性もあります。 当サイトでは細心の注意を払い、逮捕の可能性がないカジノを紹介していますが、自分の目でもチェックするようにしましょう。 キュラソー島のライセンスは、ベラジョンカジノだけではなく、ビットカジノやライブカジノハウスなど、人気のオンラインカジノも取得しているため、安全性が高いと言えます。 その点、オンラインカジノサイトはカジノが合法とされている国からのライセンスを得て運営されているので、日本の賭博罪は適用されず違法ではありません。 かといって合法でもないので、難しいところではあるんですが‥。

また最大出金額が「＄100～＄300」程になっていますので、高配当を得た時に損した気分になる可能性もあります。 フリースピンに50倍の賭け条件が付くので魅力は下がりますが、合計3750回のフリースピンが貰える点は魅力的だと言えます。 365日1日10回のフリースピンですので、毎日が楽しくなる事間違いなしです。 フリースピン専用ではないのですが、3日間で60回のフリースピンを獲得する事ができます。 ムーンプリンセス・ハワイアンドリーム・マジックメイドカフェと大人気のスロットが対象なので楽しめる事間違い無しです。 その数百円がジャックポット当選で数十億円になる可能性はゼロでは無いのです。

日本語サポートの質やサイト上の日本語のレベル（不自然な表現があるなど）は、カジノによって異なります。 カジノを選ぶ際には、日本語の質も各サイトのレビューを参考にしてみるとよいでしょう。 とはいえ、日本国内で海外で合法的に運営されているオンラインカジノを利用する行為については、適用される法律がまだ存在しないため、グレーゾーンと評されることがあります。

リアルマネー残高が０の場合は、次にボーナスマネーが使われるようになります。 この節は特に記述がない限り、日本国内の法令について解説しています。 連勝すれば利益をコツコツ積み上げることもできるので、高額勝利より損失額を最小限に抑えたい方向けの攻略法です。 は、負けたらベット額を倍にしていき勝ったら最初の金額に戻すという方法で、一度勝てば損失分を取り戻すことができます。 二重登録やマネーロンダリング（資金の不正使用）防止のため、登録者本人であることを証明する必要があり、身分証明書の提出が求められます。

お気に入りのオンラインカジノを決めるならスロットのプロバイダーはMicrogamingやNetEnt、ライブゲームはEvolution。 日本で局所的な人気があるJTGなどが幅広く遊べるカジノを選びたいところです。 プレイオジョカジノは、2022年4月に日本に上陸した最新カジノです。

野党議員からオンラインカジノを「放置するのか」と迫られた岸田文雄首相は「違法なもので、厳正に取り締まる」と述べた。 オンラインカジノが注目を集めたきっかけは、山口県阿武町で起きた４６３０万円の誤給付問題だ。 電子計算機使用詐欺容疑で逮捕された男は誤給付された金を「オンラインカジノに使った」と供述。 事実関係は今も判然としないが、大金が一瞬で消えるとされるオンラインカジノの怖さを多くの国民が認識した。

公式で「モバイルカジノの王様」と謳っている通り、操作性が非常に高いサイト設計でストレスのないプレイ環境を実現しています。 ボーナスも手厚く準備されており、特に条件のつかないフリースピンは非常に人気が高いです。 当サイトの限定ボーナスでもご用意がありますので、是非お役立てください。 オンラインカジノに日本語カスタマーサポートがある事は、私たちプレイヤーの強い味方です。

さらにカジノシークレット専用のライブカジノスタンドを設けているのも人気の理由の一つ！ VIPのような快適なライブカジノの時間をお楽しみいただけることでしょう。 遊雅堂 とは 遊雅堂 (ゆうがどう)は、あの人気NO.1オンラインカジノであるベラジョンカジノやインターカジノと同じ運営会社から誕生した姉妹ブランドです。

彼のお気に入りのゲームの1つはバカラでしたが、ゲームのプレイに関しては、通常の賭けについては話していません。 柏木昭男は、1ハンドあたり約$ 100,000〜 $ 200,000の賭け金を何時間も配置します。 残念ながら、1992年に柏木さんが殺害され、事件は解決されませんでした。

ゲームの種類TVショープロバイダEvolution GamingDeal or No Dealは、海外の有名なテレビ番組をモチーフにしたおすすめのライブゲームです。 他のカジノゲームと比べると、運よりも判断力によって得られる配当の大小が決定するのが大きな人気の理由となっています。 表示を別々にしているカジノもありますが、内部的には入金したお金もボーナス扱いとなるので賭け条件を達成するまで出金することはできません。 確認書類の撮影は、書類の四隅を画像内におさめ、文字がハッキリ移るように撮影しましょう。

登録する項目は氏名、メールアドレス、電話番号、住所などで、一般的な会員サイトと大差はありません。 「会員登録」ボタンを押し、表示されたフォームに入力していくというごく一般的な登録方法で、どなたでも簡単に行えます。 興味はあるけど、お金を賭けて遊ぶのにはまだ抵抗があるような方は、まずデモゲームでのプレーをおすすめします。 ギャンブリングコミッションはイギリスのギャンブル監視機関です。

実際にプレイする前に、日本 オンライン カジノか信頼して使用出来るものかどうかを確認するようにしましょう！ 安心して遊べるオンライン カジノ 日本であるかどうかは以下の項目をチェックする事でセルフチェックする事が可能です。 オンラインだからこそ、本当に安心できるオンライン カジノ 日本であることをしっかり確認したうえで楽しくプレイしたいですね。

このページのカジノリストを見ての通り、オンラインカジノの種類・特徴は千差万別です。 現在、各オンラインカジノがボーナスで他のオンラインカジノより抜き出ようと努力しています。 また、ランドカジノとは違いオンラインカジノは落ち着いた雰囲気の中で集中してゲームをプレイする事ができます。 ランドカジノって周りの人の目もあるし結構ガヤガヤしてますよね。

ベラジョンオンラインカジノでは、各種電子マネーや国内の銀行口座への出金に加え最近では仮想通貨への出金も導入され、たくさんのプレイヤーの方々に利用していただいています。 今なら当サイト経由の登録で無料30ドルボーナスや30日間のフリースピン、その他もたくさんの登録ボーナスがつくのでこの機会に無料登録して遊んでみましょう。 覚えておきたいのは、ライセンスを取得したからと言って、「全ての国を対象にオンラインカジノを提供できるわけではない」という点です。

1人で複数のアカウントを作成し、同一のボーナスを複数回受け取ることは禁止されています。 複数アカウントを作成するだけでも違反行為とみなされ、アカウントの凍結などの措置を受ける可能性があるので絶対にやめましょう。 その条件を満たさないとボーナスを出金することができません。 マネーロンダリング対策以外でも出金出来ないケースがあります。 それは入金したキャッシュに対して課せられる賭け条件がある場合です。

自分のプレイ頻度やスタイルに合わせて、よりメリットのあるカジノを選ぶことが重要です。 を行っていることもあり、お得なオファーを受けられる機会が増えることもアプリの魅力の一つです。 すべてのカジノにアプリがあるわけではありませんが、大手カジノはアプリに対応していることが多く、特にレオベガスのアプリはその使いやすさから高く評価されています。 オンラインカジノはパソコンでしか遊べないというのは、もう一昔前の話。

また、セキュリティ面では万全の体制を整えてプレイヤーの皆様の情報を大切に保護しております。 具体的には、金融機関でも採用されている256ビットのSSL暗号化通信方式により、皆様の資金や取引情報を守っています。 このように、LIVE CASINO HOUSEはデータ保護および個人情報保護規制を含む法令を遵守した安心・安全に遊ぶことができるオンラインカジノです。 ライブカジノハウスでは、信頼性の高いキュラソー島発行のネットカジノライセンスを保持しています。 ガイドラインに沿った運営をしており、第三者の監視もあるため、不正は起きません。 トラブルが起きても、カスタマーサービスが日本語ですぐ対応してくれるため安心です。

オンラインカジノには、楽しみながら人生を変えるような高額の勝利金を稼ぐチャンスがあることは間違いありません。 しかしながら、インターネットカジノはあくまでギャンブルです。 娯楽として支払える金額の範囲内で、楽しく責任をもってカジノオンラインの醍醐味を満喫しましょう。 オンラインカジノでキャッシュを使って遊んでいると、必ず1度は必要となるのが証明書類の提出です。 主な書類としては、パスポートや運転免許証などの写真付きの身分証明書、氏名と住所が確認できる住所確認書類、さらに、決済方法が本人名義であることが確認できるものが要請されます。 よって、一般的には18歳以上、カジノによっては20歳以上の年齢制限があります。

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Who Says Bitcoin Mining Needs To Be Profitable?

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Who Says Bitcoin Mining Needs To Be Profitable?

by Mickey Koss

 

In addition to profits, bitcoin mining can also offer consistent electricity demand and can clean up the air by utilizing electricity made from wasted methane.

This is an opinion editorial by Mickey Koss, a West Point graduate with a degree in economics. He spent four years in the infantry before transitioning to the Finance Corps.

I’ve heard some recycled fear, uncertainty and doubt recently about transaction fees on the Bitcoin network not being able to sustain the miners, and thus maintain security once the block subsidy gets too low and or disappears. This got me thinking about how incentives might play out. 

 

Besides the obvious observation that they’re assuming no network usage growth and perpetually low fees on the base chain, I believe there are two key underlying assumptions that need to be addressed:

  1. Mining hardware will continue to exist in its current form as standalone, single-use computers.
  2. Mining companies will continue to exist in their current form as large, stand-alone companies that must constantly strive for profitability or go out of business.

Mining Hardware: One Man’s Trash Is Another Man’s Treasure

The name of the game here is utilizing waste. In its current form, electric heating elements create heat through the use of resistors. Resistors resist, changing the “flow” of electricity and dissipating the electrical power in the form of heat. You’re essentially utilizing poor electrical conductors in order to create heat. Seems pretty wasteful to me.

In terms of miners, their main waste product is heat. Imagine the applications you could build utilizing Bitcoin-specific ASIC chips. I see a future when every furnace and water heater produced utilizes ASIC chips as the heating element rather than the traditional electrical resistor types that exist today.

MintGreen in Canada is already doing this at a pretty large scale. They utilize their waste heat from the miners to heat local businesses like breweries, sea salt distilleries and even greenhouses.

This changes the home mining-profitability math completely. When utilizing dual purpose applications and harnessing the heat originally characterized as waste, the applications don’t need to be profitable in the traditional sense anymore.

The use of the newest generation of ASIC chips for heating purposes is not necessarily needed, nor desirable. Bitcoin mining heating applications, especially at the retail level, simply need to use the same amount of electricity or less than their non-mining competitors. The little bitcoin that is mined is simply an added benefit for upgrading your system or an incentive for builders to put into new homes.

Why would you want to buy a home that wastes electricity by simply heating it? That’s old school. I want a home that heats up and pays me when I heat it. I want a Bitcoin smart home.

Electric System Explained

To understand the second assumption, you first need to understand how electricity is generated. Electricity generation capacity consists of three main generating sources: base, peak and intermediate load generation. Base load power generates the minimum amount of electricity in order to satisfy the minimum level of demand in the system. Peak load generation is used to meet peak demand periods when demand spikes. It is ramped up and down, making it less efficient and more expensive. Intermediate load is also a variable source which responds to changes in demand, bridging the gap between base and peak load.

If we have variable capacity on hand, that means that at least some of the time we have unused capacity — valuable capital — that’s not being utilized. What this means is that your electricity costs not only have to cover the cost of production, but also must subsidize the cost of all the unused, but necessary capacity electricity producers have to maintain.

U.S. Energy Information Administration, U.S. Hourly Electric Grid Monitor (source)

Why so much complexity? Because demand is not constant. The above graphic shows the average demand for electricity and just how volatile it is, not only by region, but also by season. If power plants produce too much electricity, it can actually damage the grid, leading to a blackout.

There are a few techniques to store excess energy such as pumped storage hydropower, but they all have limitations such as access to water, space and battery technology. Simply put, once your battery is full, there’s nowhere else for the energy to go which ultimately leads to power curtailment. It’s also why intermittent sources like wind and solar will likely never be a sole source of power for the grid. There’s simply not enough storage capacity to keep the system running when the sun isn’t shining or the wind isn’t blowing.

Bitcoin, of course, fixes this.

Miners Don’t Need To Be Profitable

Right now, we see miners as standalone companies, buying electricity on the markets from electric companies. If the bitcoin price goes down and/or costs go up, miners get squeezed and go out of business. It’s a viciously competitive industry, but what if it wasn’t? What if mining became a service rather than a standalone business?

Service One: Elimination Of Variable Load Energy Sources

In my humble opinion, the only way forward for a truly sustainable energy system is one that is based on nuclear power. Nuclear power, however, is a base load energy generator; you can’t really ramp it up and down. The electricity produced must be consumed or literally wasted by sending it into the ground. So what do we use for variable demand?

My answer is bitcoin.

Instead of building capacity in variable forms — using up a bunch of capital for assets that are only used some of the time — why not build a massive base load of nuclear energy and use bitcoin mining as the variable demand to smooth the electricity demand curve. It flips the paradigm on its head. Not only do we get a massive source of clean and sustainable energy, we also utilize all of our capacity all of the time. The only variable being how much hash rate the power plant produces throughout the day.

In the meantime, bitcoin can be used to utilize all of the grid’s energy producing capacity. It will increase power company revenues, providing them with more capital to invest and build out infrastructure. Through the integration of bitcoin mining and energy production, bitcoin mining no longer has to be profitable in the traditional sense; it simply needs to outweigh the opportunity cost of not producing electricity at all.

Furthermore, the increased utilization means that consumers are no longer subsidizing unused capacity in their monthly bills. Imagine electricity rate-freezes or even cuts. At the very least, power rates wouldn’t need to rise nearly as fast. What’s good for the goose is good for the gander.

If a clean, sustainable, resilient, reliable and affordable electric grid is your goal, bitcoin is the way.

Service Two: Cleaning Up The Air

Waste products like natural gas and methane have been nothing more than an expensive cost of business for some time. All of that is beginning to change at a rapid pace.

Whether the gasses are produced through the breakdown of buried trash at a landfill, the drilling for oil, or the excrement of livestock and people, those gasses can now be harnessed and monetized through the use of generators to mine bitcoin.

It’s already happening.

ExxonMobil is just one of the companies starting to do this. Natural gas is a byproduct of oil drilling and extraction. In many cases, it was simply not economical to bring the gas to market, forcing producers to flare, or even worse, vent the gas directly into the atmosphere. Now the waste gas can be routed into a generator and used for mining bitcoin. It incentivizes companies to be more careful with that waste gas because it has been transformed into an income-producing asset rather than a pesky cost of business.

Landfills are also facing the same incentives. As garbage breaks down under the surface, it produces methane gasses. Those gasses, much like oil producers, were often flared or vented. With bitcoin mining, the methane is now an asset to those companies, incentivizing them to become better stewards, reducing air pollution.

Even human waste can be monetized with bitcoin mining. Wastewater treatment plants typically use anaerobic digesters to break down the solids after separating them from the bulk of the water they process. This process produces, you guessed it, methane.

Much like the power plant examples, bitcoin waste mining creates a situation in which miners no longer need to be profitable. Mining simply needs to outweigh the opportunity cost of not mining. In the situations where the gas cannot be brought to market, anything is better than nothing. I think I see a world where gas flaring and venting is a thing of the past.

No Profits? No Problem

Satoshi Nakamoto had to think differently to bring about the creation of an entirely different network of money and value. We now need to think differently to not only ensure the network survives, but to ensure human flourishing continues into the foreseeable future.

Energy is not scarce, nor should it be. Bitcoin is the incentive that the world needs to become truly innovative to ensure cheap, clean energy is available for all. Bitcoin is human flourishing.

Tim Moseley

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Will 1700 become a sustainable support level for gold?

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Will $1700 become a sustainable support level for gold?

Over the two trading days gold futures have traded below $1700 (marked X) and, on both occasions, recovered closing above that case psychological level. So, it is not illogical to wonder whether or not this price point will become a sustainable level of support or simply a pause before gold heads to lower prices.

Historically speaking the last time gold traded below $1700 occurred on August 9, 2021, the day of the "flash crash”. On Monday, August 9, 2021(marked a) gold opened at $1765 traded to a low of $1678, and closed at $1726. In this instance, $1700 played little technical importance within that one-hundred-dollar trading range. Before that gold traded below $1700 on two occasions in March 2021.

In both instances, gold traded to a low of approximately $1678. At the beginning of March 2021(marked b) gold traded below $1700 for three consecutive days before it moved above that price point. During the second instance that occurred at the end of March (marked c) gold broke below 1700 and then on the following day open below 1700 but closed well above that price point.

While historical studies can reveal many aspects and identify technical support and resistance levels, each identified example was caused by underlying fundamental events based on a unique set of factors and therefore may only offer fractional insight. More so, in each example over the last two years in which gold traded below $1700, it resulted in much lower prices before concluding and trading back above that price point. In fact, in all three examples highlighted on the chart, the price decline resulted in gold quickly moving below $1700 and trading to approximately $1680 before finding support.

The chart above (chart 2) is also a daily chart of gold futures. It references the same instances when gold broke below $1700 per ounce on three occasions. However, it highlights those lows which indicate that on each occasion gold broke through $1700 and did not find any price support until approximately $1780 per ounce.

Given that during each instance different fundamental events resulted in gold's price decline. However, on each occasion, gold found support technical or otherwise at $1680.

As of 5:23 PM EDT gold futures basis, the most active August contract is currently trading up $0.70 or 0.04% and fixed at $1706.50. Like yesterday gold broke below $1700 and effectively closed above that price point. However, if past studies result in any real insight it seems more likely that gold prices will not hold at $1700 only based on technical indicators. There would have to be a fundamental event that resulted in a dynamic pivot or shift in the current bearish market sentiment that has been prevalent in gold. With the latest CPI and PPI report this week indicating that inflationary pressures have increased since last month and remain persistent, the possibility that the Federal Reserve will raise rates by a full percentage point at this month's FOMC meeting is real. This fact could certainly move gold lower.

 

By Gary Wagner

Contributing to kitco.com

Time to buy Gold and Silver on the dips

 

Tim Moseley

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British Royal Mint sees gold bullion sales increase 8 in Q2 silver sales jump 47

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British Royal Mint sees gold bullion sales increase 8% in Q2, silver sales jump 47%

The paper gold market has struggled to find consistent bullish momentum as prices dropped nearly 7% between April and June. However, the physical market saw solid growth, according to the latest report from the Royal Mint.

Thursday, the British mint said that sales of its gold bullion coins increased by 8% quarter-over-quarter. At the same time, silver bullion sales increased 47% compared to the sales in the first three months of 2022.

The mint added that it continues to see strong international sales, with specific demand growing among American consumers.

"Internationally, growth has also been seen in all three metals, with a 52% increase in the amount of gold ounces being sold, a 58% increase in silver ounces sold, and a 67% increase in platinum," the Royal Mint said in a statement.

"We are famous in the U.K. for making coins and bars from precious metals and have developed a strong international base of investors. It's encouraging to see such strong international sales, particularly from the U.S. and we look forward to expanding globally, providing a range of products to appeal to investors," added Andrew Dickey, director of precious metals at The Royal Mint.

The latest report from the British mint appears to be bucking the trend of slowing sales among significant mints. The U.S. Mint sold 315,000 ounces of gold during the second quarter, down 26% from the first quarter.

This is why gold is below $1,800 even as U.S. inflation hits a 40-year high at 9.1%

The U.S. Mint saw a demand drop sharply in June as it sold 52,000 ounces, according to the mint's revised data.

Meanwhile, the Perth Mint sold 244,737 ounces of gold in the second quarter, down 6% from 261,357 ounces sold in the first quarter.

Some analysts have said that the drop in bullion demand reflects nuances in the marketplace as higher premiums are pricing consumers out of the market. Premiums are high because of a supply and demand imbalance as bullion investors are holding on to the physical metal.

At the same time, analysts have said that the sharp drop in gold prices is expected to lead to an increase in physical demand. Thursday, gold prices dropped below $1,700 an ounce, hitting a nearly one-year low.

By Neils Christensen

For Kitco News

Time to buy Gold and Silver on the dips

 

Tim Moseley

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Gold’s year-end target is 2050 and here’s why 17 price surge still possible Wells Fargo

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Gold's year-end target is $2,050 and here's why 17% price surge still possible – Wells Fargo

The strong U.S. dollar has been hurting gold's price, dragging the precious metal down to 8.5-month lows as it steals its safe-haven appeal. But this is not a game-changer for gold, which can still end the year above $2,000 an ounce, according to Wells Fargo.

The U.S. dollar index rose to another 20-year high Tuesday, while the U.S. 10-year Treasury yield was at 2.921%. August gold futures were flat on the day, last trading at $1,731.60 an ounce after dropping below $1,725 overnight.

"The U.S. dollar has risen 12% since the start of the year. Almost half of that gain has come in the last month. Such big moves are quite rare, but when they do happen, commodity prices typically suffer. The reason is that most commodities are priced in U.S. dollars," Wells Fargo's real asset strategy head John LaForge said on Monday.

The broader commodities index has also suffered due to higher U.S. dollar and rising recession fears, hurting the demand outlook for industrial metals.

As the U.S. dollar gains, emerging market currencies drop, giving these countries less buying power.

"This loss of buying power can often negatively influence commodity demand and commodity prices," added LaForge. "Considering the strength in the U.S. dollar over the past month, it is not surprising that most commodity prices have been falling, gold especially."

Gold retreated 6% in June, primarily because of the U.S. dollar strength. The precious metal is one of the most sensitive commodities to the U.S. dollar price moves, according to LaForge.

Going forward, Wells Fargo is not expecting another significant move higher by the greenback, seeing it near its peak. However, for gold to move higher, it must create its own momentum.

LaForge's year-end gold price target is still at $2,050 an ounce, which he sees as reasonably achievable due to the recession narrative. He added that he would review his year-end targets soon if there is no movement.

"Gold needs its own surge of sorts — about 17% now — to hit our 2022 year-end target of $2,050 per ounce. For now, our year-end 2022 target remains unchanged, as 17% is doable. With recession around the corner, and gold being quite cheap versus most other commodities, investors may begin to buy. That said, we understand that time is running out, so we are reviewing our targets," he said.

By Anna Golubova

For Kitco News

Time to buy Gold and Silver on the dips

 

Tim Moseley

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Question Everything

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Question Everything

by Jeff Thomas, editor, International Man Communique

 

Question Everything

 

The average person in the First World receives more information than he would if he lived in a Second or Third World country. In many countries of the world, the very idea of twenty-four hour television news coverage would be unthinkable, yet many Westerners feel that, without this constant input, they would be woefully uninformed.

Not surprising, then, that the average First Worlder feels that he understands current events better than those elsewhere in the world. But, as in other things, quality and quantity are not the same.

The average news programme features a commentator who provides "the news," or at least that portion of events that the network deems worthy to be presented. In addition, it is presented from the political slant of the controllers of the network. But we are reassured that the reporting is "balanced," in a portion of the programme that features a panel of "experts."

Customarily, the panel consists of the moderator plus two pundits who share his political slant and a pundit who has an opposing slant. All are paid by the network for their contributions. The moderator will ask a question on a current issue, and an argument will ensue for a few minutes. Generally, no real conclusion is reached—neither side accedes to the other. The moderator then moves on to another question.

So, the network has aired the issues of the day, and we have received a balanced view that may inform our own opinions. Or have we?

Shortcomings

In actual fact, there are significant shortcomings in this type of presentation:

1. The scope of coverage is extremely narrow. Only select facets of each issue are discussed.

2. Generally, the discussion reveals precious little actual insight and, in fact, only the standard opposing liberal and conservative positions are discussed, implying that the viewer must choose one or the other to adopt as his own opinion.

3. On a programme that is liberally-oriented, the one conservative pundit on the panel is made to look foolish by the three liberal pundits, ensuring that the liberal viewer’s beliefs are reaffirmed. (The reverse is true on a conservative news programme.)2Each issue facet that is addressed is repeated many times in the course of the day, then extended for as many days, weeks, or months as the issue remains current. The "message," therefore, is repeated virtually as often as an advert for a brand of laundry powder.

So, what is the net effect of such news reportage? Has the viewer become well-informed? In actual fact, not at all.

What he has become is well-indoctrinated

A liberal will be inclined to regularly watch a liberal news channel, which will result in the continual reaffirmation of his liberal views. A conservative will, in turn, regularly watch a conservative news channel, which will result in the continual reaffirmation of his conservative views.

Many viewers will agree that this is so, yet not recognise that, essentially, they are being programmed to simply absorb information. Along the way, their inclination to actually question and think for themselves is being eroded.

Alternate Possibilities

The proof of this is that those who have been programmed, tend to react with anger when they encounter a Nigel Farage or a Ron Paul, who might well challenge them to consider a third option—an interpretation beyond the narrow conservative and liberal views of events. In truth, on any issue, there exists a wide field of alternate possibilities.

By contrast, it is not uncommon for people outside the First World to have better instincts when encountering a news item. If they do not receive the BBC, Fox News, or CNN, they are likely, when learning of a political event, to think through, on their own, what the event means to them.

As they are not pre-programmed to follow one narrow line of reasoning or another, they are open to a broad range of possibilities. Each individual, based upon his personal experience, is likely to draw a different conclusion and, thorough discourse with others, is likely to continue to update his opinion each time he receives a new viewpoint.

As a result, it is not uncommon for those who are not "plugged-in" to be not only more open-minded, but more imaginative in their considerations, even when they are less educated and less "informed" than those in the First World.

Whilst those who do not receive the regular barrage that is the norm in the First World are no more intelligent than their European or American counterparts, their views are more often the result of personal objective reasoning and common sense and are often more insightful.

Those in First World countries often point with pride at the advanced technology that allows them a greater volume of news than the rest of the world customarily receives.

Further, they are likely to take pride in their belief that the two opposing views that are presented indicate that they live in a "free" country, where dissent is encouraged.

Unfortunately, what is encouraged is one of two views—either the liberal view or the conservative view. Other views are discouraged.

The liberal view espouses that a powerful liberal government is necessary to control the greed of capitalists, taxing and regulating them as much as possible to limit their ability to victimise the poorer classes.

The conservative view espouses that a powerful conservative government is needed to control the liberals, who threaten to create chaos and moral collapse through such efforts as gay rights, legalised abortion, etc.

What these two dogmatic concepts have in common is that a powerful government is needed.

Each group, therefore, seeks the increase in the power of its group of legislators to overpower the opposing group. This ensures that, regardless of whether the present government is dominated by liberals of conservatives, the one certainty will be that the government will be powerful.

When seen in this light, if the television viewer were to click the remote back and forth regularly from the liberal channel to the conservative channel, he would begin to see a strong similarity between the two.

It’s easy for any viewer to question the opposition group, to consider them disingenuous—the bearers of false information. It is far more difficult to question the pundits who are on our own "team," to ask ourselves if they, also, are disingenuous.

This is especially difficult when it’s three to one—when three commentators share our political view and all say the same thing to the odd-man-out on the panel. In such a situation, the hardest task is to question our own team, who are clearly succeeding at beating down the odd-man-out.

Evolution of Indoctrination

In bygone eras, the kings of old would tell their minions what to believe and the minions would then either accept or reject the information received. They would rely on their own experience and reasoning powers to inform them.

Later, a better method evolved: the use of media to indoctrinate the populace with government-generated propaganda (think: Josef Goebbels or Uncle Joe Stalin).

Today, a far more effective method exists—one that retains the repetition of the latter method but helps to eliminate the open-ended field of alternate points of view. It does so by providing a choice between "View A" and "View B."

In a democracy, there is always an "A" and a "B." This illusion of choice is infinitely more effective in helping the populace to believe that they have been able to choose their leaders and their points of view.

In the modern method, when voting, regardless of what choice the individual makes, he is voting for an all-powerful government. (Whether it calls itself a conservative one or a liberal one is incidental.)

Likewise, through the modern media, when the viewer absorbs what is presented as discourse, regardless of whether he chooses View A or View B, he is endorsing an all-powerful government.

Two Solutions

One solution to avoid being brainwashed by the dogmatic messaging of the media is to simply avoid watching the news. But this is difficult to do, as our associates and neighbours are watching it every day and will want to discuss with us what they have been taught.

The other choice is to question everything.

To consider that the event that is being discussed may not only be being falsely reported, but that the message being provided by the pundits may be consciously planned for our consumption.

This is difficult to do at first but can eventually become habit. If so, the likelihood of being led down the garden path by the powers-that-be may be greatly diminished. In truth, on any issue, there exists a wide field of alternate possibilities.

Developing your own view may, in the coming years, be vital to your well-being.

 

New Opportunities Are Emerging For Citizens of The World.

Freedom and democracy may appear to be struggling to stay alive in America, but there may be a knock-out punch ready to be released. The evolution of the blockchain-enabled metaverse is going to enable the 'Citizens of the World' to gain their own Freedom by democratizing power and creating a new world with new rules, new players, and new opportunities. For 99.99% of us, the metaverse will improve our real-world lives through the democratization of power and opportunity.

Along with the major long-term trend of society towards decentralization and smaller-scale organizations, there are new opportunities developing to help 'Preparers' in the cryptocurrency sector. Businesses are beginning to issue their own Crypto Coins that can be traded on Cryptocoin Exchanges.

Markethive.com for example will be releasing its HiveCoin (HIV) in the coming weeks. It has tremendous upside potential that is outlined in a Video by Founder Tom Prendergast, "Entrepreneur Advantage…".

Not only that, if you go to their website and register as a FREE Member, you will be given 500 HiveCoins for "FREE" along with access to several Earning Opportunities and online tools to increase your HiveCoin balance.

Be sure to check it out today – Markethive.com

Markethive

Tim Moseley

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Is gold about to go mainstream?

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Is gold about to go mainstream?

Every week Merrill Lynch publishes a Capital Market Outlook Letter. The letters provide market commentary, research and analysis, and the occasional investment idea. Merrill Lynch (together with parent Bank of America) is the third largest brokerage firm, managing over $3 Trillion in client assets. When a firm of that size speaks up, you should listen.

Starting around March of this year, they disclosed an investment thesis called FAANG 2.0. It's a fascinating idea and gold plays a prominent role. Let's unpack it.

Transitioning from FAANG 1.0 to FAANG 2.0

The original FAANG acronym described the high-growth, tech-centric companies that accounted for an outsized portion of returns over the last decade, and then catapulted even higher once the pandemic hit. FAANG 1.0 included:

Facebook – Apple – Amazon – Netflix – Google

And yet, these companies have experienced meaningful price declines year-to-date.

Merrill has been chronicling the "great rotation" out of FAANG 1.0 and into FAANG 2.0.

What's FAANG 2.0?

If FAANG 1.0 are the new kids on the block, then FAANG 2.0 is the old guard. They include:

Fuels – Aerospace – Agriculture – Nuclear/Renewables – Gold and Metals/Minerals

The reasons to favor FAANG 2.0 in today's market are intuitive. Let's explore a few of the salient points.

Why FAANG 2.0?

Geopolitical tensions

The ongoing war between Russia and Ukraine will drive demand for fuels, agriculture, energy and other "hard assets" such as gold and metals/minerals. It remains unclear how the conflict will resolve and whether it will escalate further. Merrill notes that "gold is now the preferred asset of central banks" in the face of such uncertainty.

Inflationary pressures

They're likely to persist longer than previously thought. And while the focus is typically on what you pay at the pump, world food prices are at all time record highs. For anyone following Keith's work on inflation, it's unlikely the items he highlights (trade war, tariffs, lockdown whiplash, regulatory compliance, and green energy policy) are going to be resolved any time soon.

Supply and Demand Imbalance

There seems to be two primary reasons behind the supply/demand imbalance driving FAANG 2.0. One is the leftover supply chain disruptions from the pandemic. Equipment shortages, labor dislocations, logistics bottlenecks, and higher input costs arestill keeping products from getting to market. Two is simply greater demand than supply for these materials. For example, increased defense spending is driving greater demand for fuels and aerospace. Germany is doubling its annual budget. NATO is requiring all participating countries to devote at least 2% of GDP to defense spending by 2024. Likewise demand for energy alternatives (nuclear and renewables), and EV's is exploding, creating intense demand for the metals/minerals needed to scale production.

This paragraph from the May 2 letter sums up the case for FAANG 2.0 nicely.

In a matter of months, we have gone from a pandemic to Putin; infections to inflation; Big Data to Big Oil; zoom to zinc; masks to mascara; E-commerce to electric vehicles; jabs to javelins; swabs to sanctions; Webex to weddings; boosters to bombs; Non-fungible tokens (NFTs) to liquefied natural gas (LNG); Centers for Disease Control (CDC) to North Atlantic Treaty Organization (NATO); work-from home to work-from-office; the cloud to cobalt; and lite assets to hard assets.

Gold's Role in FAANG 2.0

Gold plays a prominent role in Merrill's FAANG 2.0 investing framework. Specifically, they cite investor concerns over inflation and war as reasons for why the "safe-haven" asset should enjoy consistent demand over 2022. Gold has posted strong YTD performance relative to other assets (gold is up about 1% compared to an average of -41% for the FAANG 1.0 crowd).

Why is gold considered a safe-haven asset?

The answer is simple but profound.

Gold is solvency you can hold in your hand.

In a world that poses significant risks of default, whether from inflationary pressures on businesses, aggravated by higher interest rates, or an escalation between Russia and NATO, gold is the asset you own when you don't want to take that risk.

Merrill's endorsement of gold as a major part of its FAANG 2.0 investment thesis could be a significant driver for gold going more mainstream. Despite many large asset managers paying lip service to the importance of owning gold in a diversified portfolio, and the fact that the benefits of owning gold have been well documented, it still remains one of the most under-owned assets.

There's another way gold could go mainstream though; it's called gold 2.0.

Transitioning from Gold 1.0 to Gold 2.0
 

What's gold 2.0?

It's gold with yield, specifically a Yield in Gold, Paid in Gold®. We've said it over and over again, everyone should own some physical gold as an insurance against the solvency risks outlined above. But insurance only protects wealth, it cannot grow your wealth. Monetary Metals offers gold with yield—gold 2.0—which protects and grows your wealth.

You can own physical gold, in secure vaults, outside the financial system, with the option of earning 2% to 3% interest, paid in more gold (silver too).

Whether from increased safe-haven demand, or greater demand for gold with yield, the 2020's could be the decade that gold breaks back into the mainstream in a big way.

By Keith Weiner

Contributing to kitco.com

Time to buy Gold and Silver on the dips

Tim Moseley

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Supervising Crypto In Europe

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Supervising Crypto In Europe

 

End of June 2022, Cointelegraph.com published an article on the new agreement reached by the European Council to form an Anti-Money Laundering (AML) body that will have the authority to supervise certain crypto-asset services providers (CASPs).

But let's start with a summary first. The first flurry of regulation of crypto-assets appeared in Europe even before the pandemic in December 2019. Debugging took place throughout the first half of the following year, and in September 2020, the European Commission adopted it under the legislative designation draft regulation on markets in crypto-assets (MiCA for short).

A definite topic in the world of finance is currently the government regulation of cryptocurrencies, which is taking place across the globe. The approach in different states is diversified –  some states give cryptocurrencies a clear green light, others treat them more cautiously and introduce many regulatory regulations, and finally, there are states that have said a clear “no” to cryptocurrencies and banned them on their territory. 

The market segment with cryptocurrencies, estimated at $2.1 billion, is still subject to inconsistent regulation, which prevents the creation of legislative regulations that should prevent money laundering while protecting investors and creditors. 

However, increasing regulatory pressure is preventing crypto companies from innovating their products. For example, the cryptocurrency exchange Coinbase global warned that over-regulation would hamper innovation.

Image Source: Cointelegraph

Wild West Of Crypto Is Nigh

“We are putting an end to the wild west of unregulated crypto, closing major loopholes in the European anti-money laundering rules,” said European Parliament member Ernest Urtasun.

The European Council said it had agreed on a partial position of a proposal to launch a dedicated Anti-Money Laundering Authority or AMLA. According to the regulatory body, the AML body will have the authority to supervise “high-risk and cross-border financial entities,” including crypto firms — “if they are considered risky.”

First proposed in July 2021, the AMLA should be operational in 2024 and “start the work of direct supervision slightly later,” according to the European Commission. 

It is evident that the taming of cryptocurrencies in the EU is imminent. By regulators who don't understand it much.

Europen Central Bank, Frankfurt,  Germany

The European Central Bank (ECB) is calling for decisive regulation of cryptocurrencies. People are speculating on life savings because of them, which is not to the liking of the head of the bank, Christine Lagarde. Its approach does not seem to many analysts, according to which most regulators propose measures that are not really applicable in practice.

The first application of the new regulatory conditions around cryptocurrencies could come in the next few months. The European Commission has already presented such measures, and the European Parliament should finalize them soon.

This is MiCA regulation and, therefore, regulation aimed explicitly at crypto-assets. But analysts recall that most regulators do not understand cryptocurrencies at all and are therefore rather skeptical about the proposals.

In addition to Christine Lagarde, other ECB officials have previously expressed concerns about cryptocurrencies. One of them is executive board member Fabio Panetta, who said in April that crypto assets are creating a new wild west and compared them to the subprime mortgage crisis of 2008. 

On the other hand, European monetary policymakers have confidence in their new digital euro project, which could take place as early as the next four years.

"Basically, almost all traditional institutions view cryptocurrencies as something dangerous and potentially exploitable or as a tool for money laundering and unfair activities. In doing so, these fears are completely odd and senseless. Regulators mainly want to achieve the greatest possible monitoring of financial movements, " said Czech analyst Martin Kysela.

Cryptocurrencies And Crime

The suppression of illegal cryptocurrency trading is taking place on more fronts than it might seem at first glance. The fight against money laundering has already moved to Europe. 

German authorities announced a raid on the world's largest darknet market, in which they seized bitcoins worth 25 million euros. This raid was carried out in cooperation with the German cybercrime centre and the federal criminal police office (BKA). For what reason did the raid occur, and what was its result?

In a raid on the world's largest darknet network called Hydra market, 543 bitcoins were seized. This illegal network has reportedly been operating since 2015 and has read an incredible 17 million customers. 

In the Hydra market, more than 19 000 sellers were registered who focused on the sale of illegal narcotics. According to the press release, other items were seized during the raid, which brought profits to the sellers.

 

                      

 

Nanny Mentality Undermines Freedom Of Choice

On Dutch television, the president of the European Central Bank (ECB), Christine Lagarde, said this in May.

“Cryptocurrencies are based on nothing and should be regulated so that people avoid speculating with their life savings.” 

She is afraid that people who do not understand the risk can lose everything and be very disappointed. Therefore, she believes that cryptocurrencies should be regulated.

First of all – if Ch. Lagarde and others believe that cryptocurrencies are worthless, they would not be so afraid of them, which leads them to the regulations to which the cryptocurrency market is already subject today. 

Many people see cryptocurrencies as a sign of freedom (and it doesn't matter what anyone thinks about it), and the EU obviously doesn't like that. It seems the representatives of the EU think people are unruly and should be regulated. 🙂

In the black scenario, some crypto specialists think that regulation could significantly damage crypto services in the EU. It may trample on user privacy and expose users to the risk of personal information being hacked. As a result, it may have a minimal impact on the fight against money laundering, which the EU seeks with this law.

Cryptocurrency exchange Coinbase stressed that it is cash that continues to be a popular means of money laundering. Blockchain technology, unlike cash, has allowed authorities to track suspicious transactions using advanced analytical tools.

Cryptocurrencies are highly speculative investments (and therefore attractive). The principle of any highly speculative investment is that money moves from those who lose a lot of money on the speculation to those who make a lot of money on it. It is difficult to regulate anything on this.

It’s All About Control

Crypto is unwanted by the top politicians because it gives the owner immense freedom to dispose of their finances in their own way and store them wherever they want – without the need for control by any regulator.

By the way, this control requirement is fully in line with the current direction of EU policy. Therefore, it is undesirable for someone to have access to finances that can not be regulated. The regulation or abolition of bitcoin and other cryptocurrencies would bring us a step nearer to totality.

 

Source:

cointelegraph.com

Idnes.cz

Cryptosvet.cz

Forbes.cz

 

 

Tim Moseley

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June headline inflation to exceed 86 the annual inflation rate in May

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June headline inflation to exceed 8.6%, the annual inflation rate in May

Economists, analysts, and market participants are laser-focused on the Labor Department's CPI (Consumer Price Index) report for June which will be released on Wednesday, July 13. The advanced forecasts released have a common theme or consensus and that is that inflation will continue to run exceedingly hot. Expectations are that headline inflation which includes changes in food and energy costs rose 1.4% compared to the previous month and come in at 8.7% YoY.

"The strong price increase of this year accelerated further in June 2022 and is expected to have climbed to 8.7 %. This is shown by an advanced estimate of Statistics Austria. This means that the inflation rate has risen to its highest level since September 1975. In the meantime, inflation has picked up speed in almost all areas. In addition to recent increases in fuel and heating oil prices, we also see significant increases in restaurant and food prices", according to Statistics Austria Director-General Tobias Thomas.

U.S. News today reported, "On Wednesday, the Labor Department will report the consumer price index for June, with forecasts that it will top the 8.6% rate for annual inflation recorded in May. A run-up in energy prices last month that has since abated is likely to make for an ugly headline number."

CNBC also reported, "The June consumer price index on Wednesday is expected to show headline inflation, including food and energy, rising above May's 8.6% level."

The consensus among different new services is overwhelmingly anticipating that inflation will continue to grow. The CPI report on Wednesday coupled with last week's jobs report will almost certainly result in another aggressive rate hike of 75 basis points at the July FOMC meeting which will convene at the end of this month.

The overwhelming majority of economists and analysts are anticipating that the Federal Reserve will announce and enact the fourth rate hike this year with consecutive interest rate hikes that began in March.

The Federal Reserve raised interest rates for the first time since 2018 in March. Before the first-rate hike, the fed funds rate was at ¼%. The Fed raised interest rates by 25 basis points at the March FOMC meeting, 50 basis points in May, and 75 basis points in June. It is now expected that they will raise interest rates by 75 basis points in July. The July FOMC meeting will begin on the 26th and conclude on the 27th of this month.

This matches the probability forecast by CME's FedWatch tool, this probability gauge is indicating that there is a 93% probability that the Federal Reserve will raise rates once again by 75 basis points this month.

The net result of the current inflation outlook has pressured U.S. equities lower, taking the U.S. dollar index higher and continuing to pressure gold prices lower on the first trading day of this week.

As of 4:45 PM EDT, the dollar has gained 1.11% or a total of 1.184 points, and is fixed at 108.005. Our studies indicate that there is no major technical resistance until the dollar index reaches 113. This assessment was created by using a Fibonacci extension from the lows of 79.012 in May 2014 up to the high of 103.952 during the first quarter of 2017.

The widely anticipated 75 basis points rate hike by the Federal Reserve has continued to pressure gold pricing lower. The most active August 2022 futures contract is currently fixed at $1731.90 after factoring in today's decline of $10.40. Based on our technical studies the first level of potential support comes in at $1720 with major support at $1680.
 

By Gary Wagner

Contributing to kitco.com

Time to buy Gold and Silver on the dips

 

Tim Moseley

The Artist that came out of the Winter