Crypto Unwind

Crypto Discussion – Part 11

Previous Crypto Discussions

Much has happened in crypto since our last discussion….

As the graph above shows, Bitcoin (the flagship cryptocurrency) has plummeted by nearly half. So what is driving this?

I want to highlight our August 2025 discussion about Bitcoin treasury companies. We discussed the leverage and the downside risk this posed (by creating artificially high prices through borrowed money – creating something from nothing). And sure enough, the recent drop in crypto (down) reflects this bubble bursting. But is the sell-off over? There are several market forces selling into price rallies…

Market Forces

• ETFs are popular paper Bitcoin and can be shorted
• Bitcoin treasury companies trading discount to NAV
• Cost of Bitcoin mining (hardware and electricity)
• Stablecoin companies holding Bitcoin on their balance sheets

Thought-provoking explanation by Glen Beck…

One more thing: Stablecoins

What is a Stablecoin? Under normal circumstances, a Stablecoins’ value isn’t supposed to change. It is pegged to the US dollar. It is used to quickly trade in and out of other speculative cryptocurrencies, such as Bitcoin to “lock in a sell price” without having to bring the dollar value into the banking system. But it affects the banking system and puts it at risk (read the articles below). Plus established payment companies are trying to enter Stablecoins to protect market share (such as Visa and Mastercard).

• Why banks are getting into stablecoins (Forbes)
• Deep dive into Genius 2025 legislation regarding stablecoins and banking
• Example stablecoin risk: Circle and Tether balance sheet risk
• Breaking news: Mastercard buys BVNK for $1.8Bn

What is the Storehouse biblical alternative?

We can’t depend purely on the world’s systems for our resource and supply. Whether the USD based financial system or crypto. When we do, we are serving another god (spirit of this world – 1 John 4:4) and worshipping an idol of provision. The key to this is to trust in God, whether using the tech or not. Whether transacting in buy/sell structures of the world or not. We must exercise our faith in God and even supernatural provision (miracles, signs, wonders) no matter what. Otherwise we get conditioned to “accept the mark” (Revelation 13 verse 16) which is to say to bow the knee to Babylon when faced with no free-will alternative.

The Storehouse vision is where a Christian community operates in the heavenly economy of giving and receiving, instead of pure buy/sell transactions of the world. Trusting God rather than the “almighty dollar”.

It also forced all people, great and small, rich and poor, free and slave, to receive a mark on their right hands or on their foreheads, so that they could not buy or sell unless they had the mark, which is the name of the beast or the number of its name

Revelation 13:16-17