Founders: Technicals and Q and A with Jesse Day
Housekeeping: Technicals at bottom along with a nice UBS “explainer” on tariffs from about 8AM ET before the selloff
Sat with Jesse Day of Commodity Culture1 who was nice enough to send me his questions before hand. Here they are with extended notes for the interview recorded for Wednesday publishing. Some good questions. Will send an audio soon as he gets it to me.
1- I want to kick things off with the GENIUS Act. Some are calling this a fantastic move that will ignite the lagging US Treasury market IT IS, others are saying it's a way of ushering in financial surveillance without issuing a CBDC IT IS, (BUT LESS RISKY THAN CBDC). What is the GENIUS Act and what are its potential implications for the US dollar, the stablecoin space, precious metals, and financial privacy in the US?
allows cash like instruments to be used as cash-collateral without selling them.
it secures a new “buyer” of treasuries.. and in a small way replaces the need to own treasuries to buy oil
Think of it as a money market fund alternative
it will be used, it already is by foreign nations who are enticed to invest in the US VIA FDI… it already has been…. Abu Dhabi-based investment firm, MGX, is using the Trump-affiliated stablecoin USD1 to make a $2 billion investment in the cryptocurrency exchange Binance
PROBLEMS: They will be a laundromat for global players with otherwise sanctioned or illegal money… They will spur a bubble that could take years to pop.. but a bubble will form, perhaps in UST and in the assets that these get ploughed into.
USD? not sure of a pronounced effect on the USD, but you’d think it would be supportive… the key is UST..