Powell and Yellen are dismissive of cryptos/DeFi. Dalio thinks it could be banned. Singer/Buffett think it's dangerous.

I fear all of this could lead to the US "sitting this out" as the rest of the world designs a new financial system. This would be a huge mistake ...

3B+ people in Asia, Africa, the Middle East, and Latin America that would happily embrace a DeFi as the world standard.

But can they?

The number of mobile phone subscriptions in these countries is more than 1 per person, similar to the US/Europe.

They have the tool.

And they have no problem accessing services on these phones.

Americans have little idea how much better service is in the rest of the world, including much of the 3rd world.

The US is 27th in mobile download speeds, 95th in upload speeds


The Global Standard for Mobile Association (GSMA) estimates that at the end of 2020, Asia, Africa, the Middle East, and Latin America collectively had about 1.2 BILLION registered MOBILE money accounts.

Of these, over 425 million were used at least once in Q4 2020.

But a DeFi system would not have consumer protections. This is largely a 1st world demand.

GSMA shows that Asia, Africa, the Middle East, and Latin America do not really enjoy these protections now.

The lack of AML/KYC rules are not holding them back from adoption.

And they are already big players in the crypto space, according to this recent survey.

Note the coutnries at the top, and bottom, of this list.


Sum it up and a new DeFi world is coming, with or without our involvement. CeFi is going to get disrupted in ways they cannot imagine.

Wall Street already knows this. For the last 25 years or so, bank stocks cannot beat 0% Tbill returns.

Taxis in a ride-share world

But the wealth of the world is not in these countries. So, what can they do to force a DeFi standard?

They could demand that trade, including crude oil, industrial commodities, and finished products, be conducted in this new standard instead of to the U.S. dollar.


• • •

Missing some Tweet in this thread? You can try to force a refresh

Keep Current with Jim Bianco

Jim Bianco Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!


Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @biancoresearch

25 Mar
By their nature, cryptocurrencies and decentralized finance (DeFi) are decentralized and permissionless. We are not sure how they would be ‘outlawed’, as Dalio describes in this story.


His example of gold being banned was only possible because of the government’s centralized system. Governments could ban the exchange of fiat for cryptocurrencies, but the DeFi system is being built to work on its own merit, with no ties to fiat.

Furthermore, countries that attempt to outlaw cryptocurrencies would risk their seat at the table. As the chart below shows, crypto adoption is highest among impoverished nations, lowest in the developed world.

Read 6 tweets
12 Mar
Some COVID charts

The US continues to plunge from its January 8 peak.

Vaccinations, % of population (as of Mar 11)
First dose, 19%
Fully vaccinated, 10.2%

Worldwide, cases might be bottoming

Vaccinations, % of population (as of Mar 11)
First dose, Less than 1%
Fully vaccinated, 0.2%

Israel leads the world with 44% fully vaccinated, and its case counts continues to plunge

Read 4 tweets
28 Feb
Tell me what is right/wrong here:

The US Crypto exchanges allow USD trading so they also have to adhere to AML and KYC rules.

So, this prevents US crypto accounts from seeing or understand DeFi's potential. US can access it via a wallet (metamask), but this is hard!

Coinbase … no ADA, BNB, USDT (NY), and XRP. No DeFi, limited farming, margin trading just started (in 12 states, no NY), no perpetual futures. etc.

I'm not endorsing doing any of this. But blocking prevents the US from "getting it."

So US thinks "Crypto" means gambling on BTC and shitcoins (DOGE) and constantly ask what is the potential/use case. This comes from being in the dark.

1 day (years from now) we are going to wake it and realized we have been passed by. Regs are putting us at a disadvantage.
Read 4 tweets
25 Feb
No this is not a month old story, this is happening AGAIN today.

$GME is getting squeezed all over again. It was trading $43 earlier today and tonight, after hours, it just traded $200!

Which hedge fund(s) is getting squeezed on their "re-short?" Same as last time? Image
It looks like the meme stock squeezed was so much fun we are going to do it all over again ... AMC is up 60% from this morning's low. Image
All the meme stocks are going ballistic tonight
Koss is up 200% since this morning (I think the last trade is a bad tick)

Express (EXPR) has nearly doubled. ImageImage
Read 5 tweets
15 Feb
Quick rant ...

What's wrong with politics? It is not red or blue. It is elderly versus not-elderly.

For 100 years the average age in the Senate (more so) and the House (less so) was fairly stable. But over the last 40 years the average age has sky rocketed.

If gets worse

Boomers (57-75) and the Silent Generation (76+) are WAY over-represented compared to their share of the wealth and population (noted on chart).

Generation X (41 to 56) and Millennials (26 to 40) are relatively under-represented.

Ditto the House
Tech is generational and it is disrupting lives/business, both good/bad. How we use/regulate this tech is THE ISSUE moving forward. It folds into equality, climate and nearly everything else.

Our elderly leaders are not capable of understanding this.

Read 4 tweets
15 Feb

Seems like I've been posting a lot of commodity charts breaking out to multi-year highs. Will this be next?

At a minimum every commodity chart looks like this chart (and the one above) … straight up the last several months.

Here is my favorite commodity chart today ... about a point away from a 10-year high.

(Why my favorite? Explained on the chart)
Read 4 tweets

Did Thread Reader help you today?

Support us! We are indie developers!

This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!

Follow Us on Twitter!