FOMO Intensifying

Assalamu alaikum everyone. Today is Friday, July 19th. Jamaamu Warak and Bitcoin is right around 67,000. So we've had a very strong recovery in Bitcoin. We've had a confluence of very good news related to Bitcoin and really of the caliber that could be called game changing for Bitcoin. So let's talk about that news. And without further ado, let's get started. It's not financial advice. So be sure to do your own due diligence before making any investing decisions and do leave a like. I really appreciate all of you who consistently leave likes on these lives. I see them all and they are very much appreciated. All right, so we were reminded today of the brittle centralized world that we live in. We've had we had outages caused initially by CrowdStrike, the security company, cyber security company, which impacted Windows operating systems. And so we saw outages in banks, we saw outages in airlines, people's flights were delayed and canceled. We had brokerages that weren't working correctly. And I think everyone was reminded globally of how dependent we are on the digital systems that we use and how interconnected these digital systems are. And the risk of their centralization for CrowdStrike holders. And I actually initially had CrowdStrike in our portfolio and initially we were actually following this company quite closely. At one point, it's it reached an uncomfortable level in terms of its ties with Israel. So we ended up selling our position in CrowdStrike for those who were asking me whether or not it may be a good swing trade. I've actually changed my assessment of CrowdStrike a while ago to uncomfortable. So there's your answer. But actually from a financial perspective, I think that there is still some risk here. It's not a clear cut swing trade or something that is as obvious as some of the other swing trades that I like to do. And the reason for this is that it's hard to assess the damage that CrowdStrike took to its reputation. And really when you're in the security business, a reputation is a big part of your value as a company. And I've been hearing some things about CrowdStrike's hiring and perhaps, you know, relying too much on DEI and the same mistake that Boeing made. And so perhaps this is indicative of the deeper problems that the company has in its processes. So, you know, a word of caution aside from my general discomfort with CrowdStrike because of its association with Israel and really associations with Israel have made investing in cyber security. The companies quite hard because it just so happens that many of them do have associations with Israel. But back to our topic. Today, I want to focus on the confluence of good news that has been flowing in Bitcoin's direction. So the silver lining here with regards to what happened in terms of outages and the difficulties from that is that it highlighted the need for decentralization. And there's a decentralization in many of the key sort of infrastructure services that we rely on. And the benefits of decentralization were highlighted by Bitcoin having basically no problem weathering the global outage that other banks and financial institutions had to deal with today. And I basically had 100% uptime really passed the stress test. So to speak of the of today's global IT outage with flying colors. And so this, I think, contributed to the bounce in price that we saw in Bitcoin today. A lot of investors are realizing that the merit of the coin as a means for storing value, especially in light of its proven robustness. And as a means of accessing that value reliably and moving it from wallet to wallet whenever you want with a very high likelihood of the system being up when you need it to be up. Now investors were flocking to Bitcoin. They're also flocking to Bitcoin derivatives and basically anything with exposure to Bitcoin. So if you look at the Bitcoin miners, they did quite well. You can see the top four we have a bit there in iron. Two stocks that have spoken about favorably before. And I think this is going to continue. We also have huge, huge breaking news with regards to coin, which is the possibility, unconfirmed, but rumors that Trump may announce a USA Bitcoin strategic reserve. In the coin event that is slated to happen next week, I believe July 25th to 27th, there is a Bitcoin event in Nashville. And perhaps there is a major announcement that is done at that time. This also probably contributed to the bounce in Bitcoin's price today. And perhaps we'll contribute to a run that Bitcoin makes leading up to this event. It all depends on how much the market takes this rumor seriously and if we get any additional clues with regards to the merit of this rumor. Now, it's not necessarily surprising that this would come from Trump considering that he has been warming up to Bitcoin for a while now. So initially, Trump mentioned that he thought Bitcoin was perhaps going to be used by criminals. He wasn't a fan of the fact that it was backed by nothing. But now it seems like in a recent interview with Bloomberg, he mentioned that he actually used Bitcoin and it was an eye opening experience. He was blown away, China is using it and it's not going away. So he's become somewhat of a proponent of Bitcoin. He mentioned many times that and the Republican Party has adopted this as in terms of their opposition for a centralized digital currency, mentioning that they thought that a central bank digital currency would actually weaken the dollar. And so they were going to oppose it. This was one of the promises that he has made on the campaign trail. So Trump has been changing tone recently, I think, you know, announcing his plans for using Bitcoin as a strategic asset for the United States would be really a paradigm shift for Bitcoin and crypto generally. And his VP, actually JD Vance, although I'm hardly a fan of his, is known to have close to $250,000 in the coin. So his vice presidential nominee is actually, I wouldn't say necessarily a proponent, but he does believe in the merit of Bitcoin as a sort of wealth or else he wouldn't have had so much money in it. And the U.S. reserves currently, I mean, if you take gold as well as the different baskets of foreign currencies that it holds, are you talking about around a quarter trillion? So we're not talking about Trump change by any stretch of the imagination. But more importantly, what a move like this would do is spread the formal from the retail investor to the central banks of the world, wherein if the central banks see the U.S. using Bitcoin as a reserve asset, it would become a lot easier for governors of other central banks to propose doing the same. And in fact, it may be in a hurry to do so before it's too late and they're priced out of that move. So this would really change the dynamics and take us. I mean, we've always mentioned that Bitcoin is the sort of digital gold or gold of the future, but in our minds, this has always been a many year process transitioning from physical gold to digital gold. But this would move like this would expedite this process tremendously, many, many years. And just to put the reserves into perspective, we've made a lot of commotion over the BTC ETFs that were approved earlier this year. And we saw BTC price of Bitcoin go from around 40,000 to now close to 70,000, largely due to the fact that these ETFs have become accessible to investors. But the total assets under management for these, the new BTC ETFs is just over 50 billion. So you're talking about something that would have a much larger impact than the BTC ETFs have had thus far on the price of Bitcoin. Now, we may end up now. I think that Bitcoin is gearing up for a run very quickly, very, very soon. And this run maybe, and I mentioned this many times on this channel, this run maybe, you know, quite dramatic and surprising. So definitely, I think if you're, if you're, if you have this conviction and you don't have exposure to Bitcoin, whether it's true Bitcoin ETFs or Bitcoin miners, I think the time to pack your bags. So to speak, fill your bags with coin exposure is probably, is probably now. That being said, this is not financial advice. I'm just telling you what I would do with my money. And in fact, I share my moves with our PIF members. By the way, if you're not a PIF member, do become a PIF member and join our community of halal conscious members who are helping each other build wealth in a halal conscious way. With that, let's take some questions. Alaykum Salaam Abdullah, it's always nice to see you interested to know your opinion about perhaps I'll cover it in a different semiconductors in general. Perhaps, I mean, we did see a pullback in semiconductors. Perhaps there's some buying opportunities out there. Generally speaking, obviously, I am. I think semiconductor should be a good investment, even though they've run substantially in the past years. And even if you take the last week and the pullback that happened, if you zoom out, they've still run substantially. So it's important to get the right name at the right valuation. And when you think the bull run will start encryptorizing dramatically, I think we're kind of due at this point. So within a week or two, I think we may have some movement here on a crypto, especially in light of the Fed meeting at the end of July. So I think we might have a run, like I said, within a week or two. When do I think recession will start? It's hard to say because there are so many factors. Right now, it's looking like their recession will be a mild one. It won't be really severe. Insha Allah, I'm hoping. So, yeah, it's something that we'll keep an eye on for sure. All right, guys, leave a like if you haven't already. And enjoy your weekend. Until next time, make sure to take care of yourself. As salaamu alaykum and peace be upon you all.