A Wave of Orange-Pilled Corporate Speculative Attack on the Dollar

Most people will eventually be exposed to Bitcoin, whether they like it or not.

Most people think that people only invest in Bitcoin with the money they already have. That's because most people think that Bitcoin is risky. They think it's risky because they don't understand it. Let's say most people will never invest in Bitcoin. They will always listen to some TV news anchor who thinks that Bitcoin will go to zero.

If most people are not going to invest in Bitcoin, we think that Bitcoin's price can't go up exponentially. That's it's one of the reasons why we try to convert as many people as Bitcoiners as possible. But we also kinda feel that Bitcoin's upward price movement cannot be stopped and we don't want people to miss out on it. It frustrates us that they don't get it. Let's assume that most people will never get the idea of Bitcoin and will never invest. That doesn't mean that they are not investing in Bitcoin indirectly.

No coiners think in terms of interest rates because the fiat world infected with inflation forces them to get a better rate of return with other assets that beat the inflation. That's why they buy equities, real estate, and sometimes bonds. But at some point, inflation will be higher than the returns that other assets apart from Bitcoin give. But they still won't invest because they can't handle the volatility. And we assume that unless all of them become Bitcoiners, we can't get to hyperbitcoinization.

We forget that all people want is returns in fiat terms. And if they cannot become Bitcoiners and despite the volatility, Bitcoin continues to give astronomical returns beating every other asset, then these people will still invest in Bitcoin indirectly through Bitcoiners and Bitcoin companies.

That's exactly what is happening with MicroStrategy right now. Bitcoiners will feel like the people who lend money to MSTR are fools because they could get a better return with Bitcoin itself than lending money to MSTR to buy Bitcoin. But let's assume they can never get out of the fiat mindset and they are only looking for returns. Bitcoiners will bridge that gap. They will take debt at a fixed interest for a minimum four-year term by giving something else they have of value as collateral and then buy Bitcoin with it.

When you take a car loan, the car itself becomes the collateral. When you take a house loan and don't pay back the loan, the lender can take back the house. Because the car and house are "real" assets that have market value, they are confident of giving away that loan. However, no one is confident in Bitcoin to give a loan to someone to buy Bitcoin. They could buy the Bitcoin itself if they are orange-pilled. So to give a loan to a company that wants to buy Bitcoin, they need collateral. They are lending to the business and let the business decide how to deploy that capital. The business that has a certain market value can give their shares are collateral for the lenders to feel safe in lending out that money.

Until we get to hyperbitcoinization, there is little chance that a business will make better returns on the capital than the return of Bitcoin itself in fiat terms. So only the companies that put Bitcoin in their balance sheet will be able to raise money from investors, irrespective of the performance of their business. During the phase of capital movement from traditional assets into Bitcoin, Bitcoin will give more returns than any business venture, or most business ventures.

Hence, even the nocoiners, just chasing higher capital, will lend money to companies that put Bitcoin on their balance sheet, which means they are indirectly investing in Bitcoin, with a hedge because they will not get out of their fiat mindset. This trend will accelerate and any company that doesn't hold Bitcoin on their balance sheet is bound to lose to a company in the same competitive category who has Bitcoin on their balance sheet.

This kind of institutional Bitcoin money glitch is more likely to push us into a hyperbitcoinization phase than retail investors getting orange pilled en masse. Most people might become Bitcoiners only when there is no other option. It's audacious for us to think that we can orange pill the entire world. Companies run by Bitcoiners are going to do a speculative attack on the dollar and indirectly get the whole world to invest in Bitcoin. We are on from craziness in the next two decades.