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hey everyone welcome back to the channel
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your number one source for income
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oriented investing I had to change
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location today so I apologize for the
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bad lighting I will not go into the
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reasons why I had to leave the uh my my
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my office it's it's pretty gross but uh
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uh anyway moving on I figure I was to do
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a video a quick video about this today
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because I was watching one of my
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favorite podcasters pbd and Michael
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sailor the king of Bitcoin CEO of micro
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strategy was on obviously this is he's
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been on with pbd many times but this was
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a really
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fascinating uh podcast and I saved some
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really nice bits for you here some
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important bits uh and Michael Sailors
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even talks about and mentions
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MST the yield Max uh micro strategy ETF
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which I I found was really really
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incredible I I like who I was really
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surprised when he talked about it he
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literally said MST MST y so let's check
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out a few Clips together here
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where he's talking really about the
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volatility of micro
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strategy um the he talks about Bitcoin
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different ways to invest in Bitcoin if
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you're you know if you're you could
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invest in Bitcoin but you could invest
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in micro strategy what are the
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differences between the two I thought it
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was really interesting so let's listen
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in uh to what I feel is really the best
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part and now where he's talking about
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MSD and so we have uh well now we have
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$30 billion worth of capital and when
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we're we're spending it at 100 Vol
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that's a a huge opportunity for options
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Traders so there's a massive options
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Market a massive amount of liquidity a
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massive amount of uh volatility and so
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the convertible Arbitrage guys let me
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say it different way if you have a 100
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Vol you can generate 100% interest just
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by selling Yi the upside like so people
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they're he's literally talking about
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cover cost strategy selling the upside
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right cover calls like MST all they do
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is just sell the calls they they just
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sell the volatility and they generate
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like 180% dividend you that's true so
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who Who loans us the money people that
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want that volatility because the
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volatility is worth a lot more than
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getting paid 12% interest so who is who
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is giving you the money so this is who
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is really buying micro
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strategy who's it coming from who do you
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what does a typical investor looks look
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like well there's uh it depends for the
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for the equity um it's Bitcoin
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maximalist in people that believe in
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Bitcoin that that want to out for
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Bitcoin uh it's also institutional
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investors that like Bitcoin but they
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can't buy Bitcoin because of their
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Charter they can only buy an operating
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company many investors have large pools
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of capital and they're not allowed to
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buy the commodity they have to buy a
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company so the question when a lot of
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people ask and says why would you why
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would you give your money to micro
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strategy to invest or why not just go do
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yourself and buy Bitcoin this is because
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some can't do that right well there as a
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lot of answers that one is uh can you
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borrow a billion dollars for free for 5
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years with no recourse and unsecured
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probably not right individuals can't
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borrow money for free for a long periods
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of time it's difficult companies can so
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so one reason why is because we can
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borrow $4.2 billion do unsecured for a
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long period of time and pay less than 1%
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interest so when you're investing with
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us you're not just getting the Bitcoin
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you're getting the access to the company
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that has the cheapest cost to cap we
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probably have the cheapest cost of
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capital in the entire market like if you
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look at every S&P company if you look at
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every in the market who else can borrow
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billions of dollars for less than 1%
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interest so one thing they want is they
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want our our financial power but then if
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you go to Europe uh so this is very
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interesting so they're explaining how
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you know basically micro strategy is a
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software company but they're Bitcoin
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they're a pure playay Bitcoin strategy
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now so they've been raising a lot of
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debt this is what he's talking about
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very very very cheap debt and they they
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issued debt to buy more Bitcoin so it
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it's it's really a genius strategy so
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now you might be asking okay should I
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buy the Bitcoin ETF should I buy the
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Bitcoin covered call ETF should I buy
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micro strategy the micro strategy
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covered call ETF like MST well at a
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certain point and I'll get to it now he
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explains the difference between these
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three types of Investments so there's
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actually I would say four or five ways
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to invest in Bitcoin directly or
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indirectly let's see what Michael sailor
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says about it right now okay well the
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investors are investing in the company
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because they want uh more Bitcoin they
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don't want Bitcoin performance they want
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to invest in a stock that can outperform
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Bitcoin micro strategy talking so we are
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a Bitcoin treasury company and the way
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to think about us is if you just want
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straight Bitcoin exposure you buy ibit
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from Black Rock and and that's like
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overnight deposits I'm putting I'm
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buying you know a million dollars of
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Bitcoin and a Bitcoin goes at 50% a year
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I'm getting 50% a year and I'm getting
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the downside and the upside um micro
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strategy will sell you bonds we're
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basically the leading issue of Bitcoin
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back Bonds in the market so what if you
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wanted the upside of Bitcoin without the
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downside I you know I want like 75% of
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The Upside but but no downside or or
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something like that you buy the
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convertible Bond and so a lot of
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investors of ours are Bond holders and
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what they want is low risk low
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volatility Bitcoin and you can do that
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through those fixed income instruments
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and then the equity holders they want
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high voltage Bitcoin they want 1.5x or
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2x Bitcoin and so you can imagine when I
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give someone half to return a Bitcoin in
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the bond I can give the I can give the
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difference to the equity holder so I'm
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stripping the risk and reminds me of a
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split share fund right where the
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preferreds get less risk but the the
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appre more appreciation goes to the
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class A shares I guess that's that's the
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structure he's built so micro strategy
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is issuing bonds fixed income
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instruments I'm sure you could buy them
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may maybe you can but I I'm pretty sure
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there's a stock symbol for micro
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strategy those those fixed income and
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he's saying that that has less risk than
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buying micro strategy or or Bitcoin uh
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and then buying micro strategy itself is
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like an enhanced or uh way to buy
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Bitcoin because it's it's outperforming
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Bitcoin or it's looking to outperform
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which it has been doing so let's just
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finish up here allall and the
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performance off of the bonds I'm handing
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it to the equity holder and um then
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you've got derivatives and the options
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guys they want
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10x leverage and they want 10x long and
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10x short so you could use options
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obviously to get even more leverage um
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so I thought that was pretty cool guys I
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mean this is I highly recommend you
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watch the whole podcast from start to
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finish it's very very interesting
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especially the first 30 minutes so you
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see the multiple ways he's describing
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that you could actually invest in
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Bitcoin so you have Micro strategies
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fixed income or bonds which is pretty
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much the lowest risk then if you just
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want Bitcoin itself just pure Bitcoin
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you buy the ibit ETF which I believe is
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one of the lowest fee or the lowest fee
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Bitcoin ETFs on uh the US Stock Market
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ibit that would be btcc pretty much on
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the Canadian Market but unfortunately
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has a much higher
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fee then you could also buy um msty
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which which he actually mentioned this
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is the yield
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Max uh the yield Max micro strategy ETF
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so they're writing covered calls not on
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on bitcoin but on micro strategy and
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like he said investing in micro strategy
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is like a leverage play on bitcoin
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because they're borrowing money to
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invest more in Bitcoin so he says if if
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I'm not mistaken 1.5 or 2x times
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bitcoin's performance so this is and I'm
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super happy I switched um from
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Maxi in my Lia my lra account you guys
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know that I went all in on MST you see
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it right here and look at the massive
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massive increase I mean it's worth
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$882,000 Canadian and you could see my
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p&l I'm up $24,000 on it this is like in
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in the last month or two it's absolutely
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insane could just imagine micro strategy
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would have been much higher and then
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there's even micro strategy 2x which
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would be like a 4X Bitcoin performance
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Defiance has one called mstx which is
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two times micro strategy performance
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which translates into I guess four five
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times the performance of Bitcoin Bitcoin
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so if Bitcoin just keeps going up and up
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and up and that's the case that the very
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convincing case that Michael sailor
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makes in this
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podcast uh obviously it could lead to
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some massive massive returns so I find
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that really interesting we have many
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many ways to invest in Bitcoin uh
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indirectly directly or indirectly
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through micro strategy so my personal
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you know way of investing you guys know
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it's all about income so there has to be
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a covered call version of of it but I
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think if uh this is where I'm hoping
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maybe Harvest or purpose I'm really
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surprised purpose didn't to come out
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with this to launch a micro strategy on
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the Canadian Market here micro strategy
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covered call ETF I think Harvest is
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going to come out with one hopefully
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they add 25% leverage to it with covered
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call so you'll pretty much get similar
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performance to micro strategy itself
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which means it'll probably outperform
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MST that does not use any leverage so we
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got plenty of ways to invest in Bitcoin
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guys like you heard you got ibit or btcc
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for Pure Bitcoin exposure you could just
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invest in micro strategy itself on the
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US market you got MST which is covered
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calls on micro strategy you have Maxi
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ybtc and btci now from NEOS which are
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basically writing covered calls on bitto
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the Bido uh ETF and and uh Michael
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sailor talks about it a lot and how
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micro strategies options Market is a lot
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bigger than even bidle itself there's a
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lot lot lot more volatility that's why
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when you're writing cover calls on micro
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strategy you're getting a lot more yield
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than if you're writing covered calls on
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bidle right so Maxi doesn't write
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covered calls on bidle they just do put
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in call spreads with bidle or Futures
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exposures but y BTC and
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btci these guys both write covered calls
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on bidle you could actually see the ble
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calls here for y BTC and if you look at
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BTC I which I'm I'm about to talk to
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Troy Kates about this new ETF but if you
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look at the Holdings it looks you know
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they're pretty much doing very similar
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to what ybtc does they're writing calls
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on Bido so this is another way where you
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don't you know it's a probably lower
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risk because it's calls and exposure to
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bitcoin not calls and exposure to micro
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strategy which is enhanced Bitcoin so
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obviously you're going to get less yield
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and then the if you want the maximum
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really craziest uh in enhanced exposure
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to bitcoin that would be a 2X micro
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strategy right and Defiance has one
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called mstx so me myself personally I
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went with
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MST I know that even roundhill is
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supposed to come out with their own
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micro strategy covered call ETF with
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weekly dividends it's not out yet we'll
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have to see I think Granite shares is
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about or is trying to launch um an an
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options or a cover call ETF that's going
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to do calls on MST X or the granite one
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so that could be even more yield
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obviously if you're writing covered
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calls on mstx or a 2X micro strategy you
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should be able to get more yield than
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just writing it on micro strategy itself
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so who knows what that yield is going to
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be but that's not out yet so I know I'm
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getting a little ahead of myself I'm
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excited this is all on the on the US
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market on the Canadian Market we don't
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have a micro strategy covered call ETF
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yet I'm hoping Harvest will come out
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with one maybe purpose will launch one
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and if they add l leverage to it that
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would be even better I'm definitely
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going to be thinking about moving my
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btcy which just announced a massive
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distribution increase uh to micro
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strategy inste instead and this podcast
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really convinced me because basically an
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investment in micro strategy an enhanced
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investment in Bitcoin and because micro
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strategy is super super volatile that's
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a perfect storm for a covered call
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strategy but right now there isn't any
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on the Canadian market so we still have
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I still have btcy but it is a a
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possibility so super happy that I
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switched my maxi position in my lra here
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as you could see to MST I think MST just
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like M Michael sailor said these massive
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100 plus percent yields as long as micro
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strategy stays this volatile I think MST
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is going to keep cranking out these
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insane uh monthly yield so I uh
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appreciate you watching give me a thumbs
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up if you found this um this video
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interesting I know I went a little bit
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all over the place but hey again I
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highly recommend I really think it's
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worth it if you're on the fence about
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Bitcoin if you're a Bitcoin investor you
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want to hear uh Michael sailor I tried
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to get the best Clips but he talks a lot
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more about it uh highly highly highly
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recommend this amaz amazing podcast from
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pbd just uh search pbd pbd Michael
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sailor and you'll find it so uh that's
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it for now and see you next time
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