Weekend Rundown - September 26, 2021
What happens when the US government runs out of money?
Is September almost over? Seems like it just started!
October could get a little crazy in the US because our government is on schedule to shut down on October 1. A few weeks after that, it will run out of money.
This may seem worrisome. And if you live outside the United States, you may wonder how something like that could ever happen.
Here, you get used to it. The problem is 100% political and too complicated to explain. There’s no financial or economic reason the US can’t pay its bills and keep its government open, it’s all politics.
In the past, these conflicts got sorted out without long-term damage. Let’s hope the same holds true this time, too. And there’s always a chance the politicians fix the problem this week.
What about crypto?
I wouldn't be surprised if there’s some short-term fuss across all financial markets. Whether that changes anything about crypto? I don’t know. We shall see.
For my thoughts on the markets at this time, catch my two most recent updates:
Here’s some content you may enjoy.
In a recent episode of On the Margin, Jim Bianco and Mike Ippolito talked about inflation, MMT, and DeFi's disruption of banking.
Towards the end of the episode, pay attention to the conversation about traditional financial professionals and their perspectives on DeFi.
More memes from Crypto Daily.
Bottom line: Twitter’s using bitcoin’s Lightning Network.
My take: hard to argue “bitcoin doesn’t do anything” when one of the world’s largest communications networks integrates it into a free, seamless user experience. The question is what happens once authorities realize what’s going on? Facebook got the shit kicked out of it for just broaching the idea of embedded payments in a social media platform. Twitter does the same thing and gets nary a mention among the political circles.
Why we care: Twitter just killed the legacy remittances business. Now anybody can send money to anybody who has a Twitter account for free, instantly. Need I say more?
Relax and enjoy the ride!