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The Next Blockbuster
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The next five years of crypto innovation will be a golden age… Banks are completely fucked… The banks and the corrupt government steal consumers’ money… If only American Express had a stablecoin… All this is going to happen over the next 36 months… A major disparity in equity wealth… |
Table of Contents
Why five years from now, banks (as we know them) will no longer exist.
We are going big on digital assets… so what we want to do is to apply the highest U.S. regulatory and AML [anti-money laundering] standards to digital assets, especially stablecoins… could create $2 trillion in demand for U.S. Treasury bills versus $300 billion today.” – U.S. Treasury Secretary Scott Bessent
Banks are completely fucked.
And no bank is as fucked as Bank of America (BAC).
To everyone (like me) who hates banks of all kinds and especially Bank of America, the next five years of crypto innovation will be a golden age. Right now, as you’re reading this, there’s a crypto programmer who is saying “hold my beer, watch this” as he begins to drain $6.6 trillion in deposits from the banking system.
And, as you’ll see, I am not making that number up. It comes from a recent U.S. Treasury report.
Who is most at risk to the internet revolution of banking: Bank of America.
What follows below might be hard to understand. So just think of it this way. Remember 20 years ago when Blockbuster DVD rentals were the state-of-the art way of distributing digital content?
Back then, was there any expense more annoying than paying late fees? It was those late fees, which every customer hated, that prevented Blockbuster from doing the most logical thing in the world – distributing DVDs over broadband networks.
Even as Netflix (NFLX) launched and boomed – by explicitly ending late fees – Blockbuster wouldn’t change its business model. Why? Because it wasn’t really in the business of entertaining its members. It was in the business of collecting late fees.
What’s going to happen over the next year to the entire banking system is exactly what happened to Blockbuster: The internet is coming for banking.