I showed my 9 year old daughter this video and she asked questions about how Bitcoin works for the next hour. She now understands mining, mempools, blocks, transaction fees, and SHA256. She probably understands bitcoin better than 99.9% of the global population. This is one of my proudest moments.

⚠️ US 30yr just closed at the highest since 2007. If Treasury demand collapses further, the pressure on Kevin Warsh to relent on the balance sheet would test his anti-QE conviction. History suggests the Fed blinks when bond markets break. Powell learned that lesson in 2020.

The same firm behind the 10am Bitcoin dumps, the Terra short, and the $567M Indian freeze just rotated $800M out of Bitcoin and into Ethereum in one quarter. If you haven’t read my article that got 6M views, read it now. The 13F headlines this week confirmed every prediction in this piece, and the same firm is already setting up its next target while everyone calls the Bitcoin sell-down bullish. IBIT shrank by 71% in a single quarter. FBTC fell 60%. Strategy was cut 78% after a 473% buildup the quarter before, and the miners (IREN, Cipher, TeraWulf, Core Scientific) were all trimmed alongside it. Over $800M of Bitcoin exposure erased in 90 days. Now look at what got bought with the proceeds. ETHA nearly doubled. FETH was raised sharply. Galaxy Digital went from 17,000 shares to 1.5 million, an 8,700% jump in a single quarter. $82M of new Ethereum ETF exposure stacked while the Bitcoin book came apart. SEBI documented this exact sequence in India. Build the cash long, layer the derivatives, then move the market. The 13F is the setup cost. The options book is where the money is made, and the options book is the one thing a 13F will never show you. Ethereum is the easier target. Bitcoin futures open interest sits near $60B. Ethereum’s is $34B. Bitcoin’s market cap is $1.6T against Ethereum’s $273B. The same capital that nudges Bitcoin a dollar moves Ethereum closer to six. ETF penetration in ETH is still below where Bitcoin sits at 6.67%, which means no institutional demand floor exists yet to absorb a coordinated sell. Basically, smaller markets cost less capital to push and that is the whole rationale here. If you hold ETH or IBIT, you should want to know what sits on the other side of these long positions. The Terraform Labs case is the only venue forcing that question, and discovery is going to be very, very telling.

If you haven’t been a fan of Scott Melker, now’s the time to become one.​​​​​​​​​​​​​​​​ Sit down, watch this carefully and then study Bitcoin with renewed urgency. 🧡

Searching for the world that came before you is profoundly healing. You learn to speak to yourself, to listen to yourself, to discover yourself. In that way, books have completely changed my life. Harold Bloom on the power of reading​​​​​​​​​​​​​​​​:

@DavidFBailey / @nakamoto This centre piece was block worthy? All I did was depict your stock in a visual. Im a shareholder & down 99.47% on my investment. Thank god that investment is a grand total of 1 share cause Im sure some had life changing consequences believing in you.

NAKA’d (verb) — /nah-kahd/ To lose substantial money in a Bitcoin-related stock while believing you were getting safe or amplified Bitcoin exposure. To be destroyed by dilution, leverage, treasury-company hype, or secondary offerings despite Bitcoin itself remaining stable or rising. Example usage: “Bitcoin was flat but my portfolio got absolutely NAKA’d.” “He thought he was buying BTC exposure. Instead he got NAKA’d.” “Read the ATM filing before you get NAKA’d.”

When we're old and Bitcoin is the world reserve currency, those who debased the network with their non-monetary "use cases" will live in hiding from defenders of sound money, fearing for their lives, scrubbing their identities and praying they're never found.

Ordinals was and is an availability attack on Bitcoin. Their proliferation degraded the system for monetary users. I'm glad to see their failure. I still worry about another frenzy in the future, though.