Mm.
The digital asset treasury trade has been hot and cold this year.
A few months ago, Penny stocks would consistently rip on the announcement of a debt.
But now some of the larger debts are struggling.
Michael Saler's strategy is near 52 week lows, while Tom Lee's bitline immersion is down double digits in the past month.
Now Staple X Technologies has a digital asset treasure.
They are storing both fluid and chain links native token, and recently announced BIO as the custodian for its treasury.
Well joining me this morning is James Alterger, who is a digital treasury asset manager for StableX Technologies.
James, great to have you here.
Thank you so much for joining me.
I was just joined by Jim Rickards earlier and what a coincidence.
So the last time.
We were all in the same room together, right?
It was back in 2018 and it was in a comedy club, Stand Up New York, and the debate was Bitcoin versus gold.
So so much has obviously changed since then.
You and Rickards were together in Nashville with the second debate on Bitcoin versus gold.
But tell us your take about the role of digital asset treasuries.
Well, you know, for one thing, people want exposure to crypto.
Crypto is still hard to get.
The average Main Street investor isn't really going to open up a crypto wallet, you know, has sometimes even has a hard time opening up an accounted coin base, but digital assets, there's about almost 200 digital asset treasury companies now, meaning public companies whose sole purpose is to buy crypto, the best example, the biggest Examples micro strategy buying Bitcoin, but you mentioned BMNR with Tom Lee buying Ethereum.
There's my company SPLX StableX Technologies, which is buying any tokens related to the infrastructure of the stablecoin industry, which is exponentially growing.
This is a way for the mainstream investor to get access to sophisticated and growing crypto strategies to get access in your 401k.
There is no other way to do it, so these companies.
Yes, they're going to go up or down like any segment, but these crypto strategies take stablecoins.
There were $26 trillion worth of stablecoin transactions last year compared to Visa's $15 trillion.
This is an exponentially growing industry.
The only way to get exposure to that industry is SBLX, StableX Technologies.
It's the only way to get exposure to it in your 401k.
It's very valuable to have these datas around.
Yeah, and you just mentioned stablecoins, James.
So I want your take on this.
Earlier this morning we heard from Stablecoin, the company that went public on the New York Stock Exchange earlier this year, and stablecoins have been another dominant crypto theme.
So can you tell me your perspective on their role in the industry and how you're utilizing stablecoins?
Sure.
So just real briefly, a stablecoin is a crypto token, just like Bitcoin or Ethereum, except it's always valued at $1.
So anything that you might want to buy in the digital world that costs $1 you could use or that is Valued in dollars, you can use stablecoins to buy it and as I mentioned last year there were $27 trillion worth of stablecoin transactions.
By the way, this year we're probably on track for $50 trillion worth of stablecoin transactions.
And here's the thing.
Stablecoins themselves you don't invest in.
They're always worth $1.
But just like a dollar bill needs an infrastructure, it needs banks, exchanges, lenders, lawyers, accountants, trillions of dollars worth of infrastructure, stable coins also need crypto infrastructure, you know, lenders, exchanges, and so on.
So.
You're seeing not only a growing number of stablecoin transactions, but all the tokens related to that infrastructure, they are all just inning one of a very long 9 inning game.
They're all going to be exponentially growing as this industry grows again, just like the whole industry around the dollar bill.
And by the way, the US government is all in on stablecoins.
Just passed the Genius Act, which, which regulates stablecoins.
The stablecoins are going to become the largest lender to the US because all stablecoins have to be collateralized by Treasury bills.
So this is a very valuable part of the American ecosystem now that most people are not even really aware of, which is why as a as a public company, StableX Technologies is the only company all in on the sector.
Yeah, and James, we're limited for time, so I'm going to ask you about gold because I know last time I spoke to you about gold, it was back in 2018, and the price of gold even this year has rallied over 50%.
So where does gold stand right now when it comes to your portfolio?
Yeah, so I would not own gold.
I mean, first off, there's no, there's no functional use of gold.
You can't use gold to pay for anything because what are you going to do, bring a gold rock into a coffee shop and sliver off little pieces of it to pay for a cup of coffee.
You can't use gold for anything.
It is just a rock that for Yes, albeit for 6000 years, people have pretended it's a store of value.
But with, with Bitcoin, the supply of Bitcoin, the supply of crypto in general does not go up.
Gold, the supply increases 1 to 2% every year.
We don't even know how much gold is in the ground.
With, with crypto with stablecoins, you can actually pay for things.
There's functional uses.
There's there's.
Many applications and use cases of crypto.
I think gold, the older generation has always viewed gold quite reasonably as a hedge against inflation.
It hasn't always been a hedge against inflation.
It's been roughly flat for decades, although recently, it's burst up.
But crypto truly is a hedge against inflation.
It's digital money.
Programmable money.
It's again, there's $0 worth of gold transactions per year.
There's almost $50 trillion worth of stablecoin transactions this year.
So just comparing the two, I don't really, I think the new generation, younger people, when they make their first investments, they buy crypto.
They don't buy gold, and you know, I think.
Look, there will always be a role for gold, and you could say eventually crypto will flip gold.
Let's say there's $30 trillion worth of gold in the world.
Only the entire crypto market is only $2 trillion.
There's $250 trillion worth of currency.
So there's there's kind of a flipping that's going to be happening between crypto and gold, crypto and currency.
Not that these things are going to go away, but crypto is certainly here to stay, and it's an inning one.
Gold is in like inning 8 or inning 9.
Well James, we will have to leave it there, but thank you so much for joining us and hopefully next time you'll be on with records here at the New York Stock Exchange.
Thank you so much for joining me.
That would be great.
Thanks.
So good to see you, Remy.
Thank you so much.
