Preston Pysh: Understanding Bitcoin from a Macro Perspective

Published on
March 31st, 2021
Duration
65 minutes

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30

Preston Pysh: Understanding Bitcoin from a Macro Perspective

The Interview ·
Featuring Preston Pysh and Ed Harrison

Published on: March 31st, 2021 • Duration: 65 minutes

Preston Pysh, founder of The Investors Podcast Network, joins Real Vision managing editor Ed Harrison to discuss value and valuation in the context of central bank policy at its limit. Pysh shares his journey from U.S. Army veteran to value investor and Buffettologist to crypto and Bitcoin advocate. As a value investor, he found it hard to continue looking narrowly at ‘value’ when he had serious doubts about the entire currency regime, given today’s aggressive monetary policies. Eventually, that led Pysh to Bitcoin as an alternative store of value—and he believes Bitcoin is going to make markets free and open again. Filmed March 26, 2020.

Key Learnings: Pysh explains some valuation metrics of Bitcoin and why he looks at it in four-year cycles given the supply halving schedule, which he calls the quantitative tightening cycle. He highlights that a long-term chart of the price of Bitcoin looks similar to Metcalfe’s Law, which he uses as a Bitcoin price projection metric.

Comments

Transcript

Chapters

  1. 00:01:32
    Background: From Army Vet to Value Investor
  2. 00:05:29
    The Importance of Discipline Investing
  3. 00:09:11
    Monetary Policy Reality Check
  4. 00:13:07
    How to Sustain a Low Interest Rate Environment
  5. 00:18:55
    Crypto & The Rise of Alternatives
  6. 00:25:07
    The Fungibility of Bitcoin
  7. 00:31:34
    Bitcoin's Valuation Metric
  8. 00:36:37
    The Network Effect of Fiat
  9. 00:42:56
    The Appreciation of Bitcoin
  10. 00:48:37
    Looking at Alternatives to Bitcoin
  11. 00:56:39
    What's Driving the Adoption for Bitcoin?

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