Chico Crypto has been on fire lately (like a REAL reporter) on connections between the US Treasury, Coinbase and the Digital Dollar. Lots to unpack here, but we are on the right track. I suggest watching all of his videos on this subject (not affiliated in any way) as they are way better than Netflix and may just save you life.
100% PROOF the Dollar Is Going DIGITAL! When? Soon! https://youtu.be/GzHSC_OzbUM
Welcome to another Money Today. This is the second video I’m posting just because this just came out. I’ve talked about Chico Crypto before. I simply think that the information that he is providing right now is the single best information on the entire internet that I’ve found. If you know of something better, please send it to me because what he is consistently bringing to the table is beyond anything else that I can find.
And on any subject, because literally money in the future of money right now is just so important. And what’s actually going on in the financial system or in the world system is, nobody’s telling us, there’s no information that kind of — What happened to reporters by the way? Isn’t there such a thing as an actual investigative reporter anymore? Whatever happened to that? I digress, but let’s listen to this. I’m going to jump in from time to time and just say things sometimes just my comments and sometimes I’ll add things, but I think this is just really really important content. And let’s get into it. But what a generic thing. All right, just watch.
Speaker 1: In to the world of Stablecoins, the digital dollar and the private sector Crypto projects who could be involved. Now, the Chico channel and the army have been on the investigation of the possibility of the USD going digital here soon for some time. We already have three videos posted each with better and deeper research regarding who could be involved, the tech being used and if the federal government is going to create a fed coin or just use the private sector. All three of those videos are in the description if you want to check them out. And I highly recommend each and every one you get a fuller picture and to understand the progression of what is going on.
But to begin, we need to target one person in particular, Brian Brooks. So, why is he so important in all of this? Well for one, he is a former Coinbase Chief Legal Officer and he is the one credited with figuring out all of the regulatory red tape for the successful launch of USDC, Coinbase’s own digital dollar. Well, in March during all of the craziness, he was brought on to the US Government, specifically the Treasury Department at The Office of the Comptroller, which he is now on their website. And as we can see, he is —
Host: Okay. So, already things are a little strange. Coinbase, which is kind of the onboarding for all of Crypto for the United States at least. It’s the only really easy legal way to — in fact, that’s how I got started. That’s how most everybody I know that got started in Crypto, went through Coinbase at least to begin with. And now working with Steve Mnuchin. But it gets more interesting.
Speaker 1: As a Senior Deputy Comptroller and Chief Operating Officer, which is the second highest position at the OCC. I wonder who is number one? Well, from the leadership page, the comptroller of the currency is Joseph Otting. What does the comptroller and this Bureau of the treasury do? Well, they regulate all the national banks and federal saving associations across the United States. The big banks, Wells Fargo, Citibank, JP Morgan, and all of their subsidiary. So, right now the power of banking control in the US goes like this. Treasury Secretary is Mnuchin Snoochie Boochies.
Speaker 2: Snoochie Boochies.
Speaker 1: So he has most to say regarding anything regarding the banks. Then you have Joseph Otting, comptroller of the currency, and finally Brian Brooks, Senior Deputy of the OCC. It’s so funny that it goes like this because these three, Snooch the Booch, Otting and Brooks, they all worked together once before at One West Bank after the 2008 financial crisis. They’re all friends, they are all buddies. And Mnuchin, he has been trying to bring on Brian for some time. He actually tried to hire him for an even bigger position back in 2017 as Deputy for the Treasury Secretary. But that didn’t work out. Well, Steve Mnuchin, he got what he wanted, Brian on board.
Host: Okay. Are you for real right now? So, three guys from a bank are now all three at the same position running basically our treasury. Do you think this hasn’t been planned for a long time? Come on. I mean, let’s even be real right now. So, there’s a lot more to this than even this video is not going to get into, I suggest you watch his other videos. Because there are other Crypto players involved here, but this information is just absolutely necessary for you to make decisions in finances right now. Hold on, we’ll continue.
Speaker 1: But you have to ask yourself, why did Brian go into the world of Cryptocurrency after leaving One West and why did Mnuchin go the way of the government? Is there more to this than meets the eye? Well, to figure this out, we need to understand the words of Brian Brooks. He was actually on the Barefoot Innovation Podcast about a year ago talking about Crypto. Let’s hear what Brian had to say.
Brian Brooks: But it turns out custody is even more important in the Crypto world than it is in hard asset land, because it’s one thing to custody a gold brick and a vault; that’s not that hard. And you can insure the gold brick and if somebody steals the gold brick, you can pay them in dollars so they can buy a new gold brick. But in the world of Cryptocurrency where you’re just talking about a computer code stored on a flash drive, if that code gets stolen and somebody uses that code, that money is gone and can never be replaced. Because all that it is is a representation of a Cryptographic code.
So, you have to build the same infrastructure for custody, for chain of title, for identity verification, for KYC, for a whole series of other things, just like you would if you were running a bank. And as we build those things, what increasingly becomes clear to me is that we’re trying to develop really an alternative financial system for the 21st century where all the things that you need intermediaries for today, you can now do on a distributed basis. But that’s where I sort of come at. You’ve got asset developers, you’ve got exchanges like us and then you’ve got the people building infrastructure, the custody businesses and things like that. So, all of that’s going on. It’s like the banking system 1862, one year before the National Bank Act, it’s a little bit like that.
Speaker 4: Oh, yeah. I’m an [inaudible – 00:07:00] Controller of the currency. Not everybody remembers, since we weren’t there, but the reason it’s called the comptroller of the currency was they were trying to figure out how to control the currency.
Brian Brooks: Exactly.
Speaker 1: Well, howdy doody, my friends. He said everything going on with Crypto, the infrastructure building and more is like 1862, one year before the National Banking Act of 1863. What did that Act do? Created the Office of the Comptroller and federally chartered banks like Wells Fargo; and so funny, in the podcast they were talking about the office of which Jo Ann, the host was previously a part of, and they say it was originally made to control the currency.
Host: All right, crazy crazy again. So, it seems pretty obvious that Coinbase was started to be exactly that, the new comptroller of the currency. That may seem way out there and crazy, but when you have looked at, what I’ve looked at and a lot of the information that was presented by Chico Crypto. So, I think what we really need to look into here is, well really the constitution, with Crypto, what they’re going to require is probably something like ID 2021 or ID 21 or whatever. So, a new biometric ID likely, this is something that is really scary and I can see them scaring us into that because we could lose all our money with Crypto. So, it needs to be tied to this exact person. Anyways, let’s go on.
Speaker 1: And now Brian has her former position as deputy. So, if I didn’t know any better, I would have to think that Brian is setting up the National Crypto Act of 2020, maybe 2021. He literally said it himself one year ago, we are one year away from an app and he knew back then he was running for this position and would get it eventually, I mean Snoochie Boochies and Joseph Otting. Yeah, it was known. So, when you had the bad last week making its rounds at central banks were planning on banning Stablecoins. You just got to look deeper than mainstream news and the financial stability board document. Yeah, that’s just a recommendation internationally from the G20. It has nothing to do with regulations here in the home state of the USA.
Host: Okay. Quick note on that, that paper didn’t actually say you should ban Stablecoins. What it said is that it should ban non-approved Stablecoins, which obviously the Coinbase stable coin would be the one that’s approved. He’s going to get into that, but you should know that ahead of time.
Speaker 1: Where things are actually looking pretty damn good for Stablecoins. So, what could this National Crypto or Stable Coin Act to look like? Well, we need to rewind a bit before they brought on Brian, but made a very suspicious move with the OCC and how national banks were regulated. In July of 2018, the OCC began accepting its first applications for national bank charters for financial technology companies. And guess who was one of the first ones to speak with the office of the comptroller back then in the path to acquire one of these National Banking Charters. Coinbase, although nothing has come of this yet, I wonder why New York.
Speaker 5: I’m going to move for surreal Brooklyn pizza.
Speaker 1: They stopped it. Back in October of 2019 a federal judge ruled that the OCC did not have the authority to grant FinTech banking licenses, which was the result of a lawsuit by the New York department of financial services. Well, the OCC appealed the decision in December of 2019 and now they brought on the lawyer, Brian Brooks, a legal guy in March of this year. I wonder when the deadline for their appeal was set at? Well, according to this blog, the original deadline was set at April 2nd, 2020 although they got a 21-day extension due to the global situation.
So, the OCC is looking to win this appeal. If you can’t tell and it has a whole hell of a lot to do with Crypto and the digital dollar and we should be hearing about it very soon like this week hopefully. So, everyone, the first step in getting a digital dollar is getting this appeal, one Coinbase is riding on it. Brian Brooks is riding on it. The OCC and treasury department is riding on it, all the connections, they’re there. And from Brian’s last long-winded personal posts before he got brought on to the government, we see it Coinbase which has the closest ties. He wrote this piece with fortune magazine back in November of 2019, A Digital Dollar for a Strong United States Financial System and in it he says the true question facing our policymakers is whether our government needs to create the digital dollar or whether the private sector can do so effectively. The best path forward is one that harnesses our country’s remarkable capacity for innovation and also reflects government’s historical practice of setting broad guide rails for private innovation within the financial system that —
Host: Okay. One thing he doesn’t bring up here is the Federal Reserve, which is literally the same thing. Pretty much he’s talking about here, a private bank, which is the Federal Reserve that lends money to the government. Well, this would be Coinbase now how that will all work we don’t know yet, but as he speaks to later here it’s all tied to the dollar, but somehow the dollar has got to get wiped out. There’s just no way that we can fund the liabilities that we have. So, everything has to go bankrupt and implement the system. So, we still got some weird stuff ahead of us, but we’ll continue.
Speaker 1: Means letting innovators event and letting government regulator. In short, the private sector should build the technology and the public sector should set monetary policy. He goes on to continue, the US is a world’s leader in technology innovation, but that leadership is provided by the private sector, not the government. We think USDC and other fully backed Stablecoins like it, are great examples of how the US can take the lead without exerting unnecessary control over technology decisions that are providing increased access to our financial system. This can all be done while still empowering central banking authorities and building trust between individuals and institutions.
So, what fits the bill of a good private sector stable coin? Well, Brian, he tells us, the amount of Stablecoins like USDC in circulation is constrained by the availability of dollars as determined by the Federal Reserve. Meaning they pose no threat to the government’s control of the money supply. All transactions exist on a mutable public ledger and all participating institutions have from compliance and customer identity controls in place. Every token can be redeemed for $1 effectively providing a price stable Cryptocurrency that fits within the existing financial regulatory structure. So, number one, it has to be backed by US dollars audited and able to be redeemed for a dollar. So, tether you are Gonzo MC bonds.
Host: Yes, that would be one major plus that we can get rid of the BS Stablecoins that are literally just destroying the market. There’s a lot of other things I’m super concerned about here, especially the fact that all this is being done behind everybody’s back. Just like the original Federal Reserve act.
Speaker 1: Dai Maker Dao would have been excluded, but they recently added a new collateral type, suspiciously USDC. So, Dai could fit the bill still. But then he says all transactions must exist on an immutable public ledger, not private. So, the Stablecoins have to be built on Bitcoin or Ethereum. That is it right now. Other chains, Binance, Tron, EOS, and more. They do not fit the bill because they have not proved they are fully immutable as they are still centralized.
And finally, all of the participating firms in the stable point ecosystem must comply with KYC and AML. So, based on Brian’s own words, of course Coinbase is USDC is contender number one for the digital dollar as Brian helped build it and get it to where it is today. And it’s built on Ethereum. Number two, who fits the bill? Well, those are the other ones who took a similar route to the USDC, TrueUSD, Paxos Standard and Gemini dollars. Now, I know some of you are, “Hey, what about BUSD, Binance and stable coin?” That was created in partnership with Paxos Standard. So, that should be a contender. Doesn’t that mean Binance finance chain is good to go? Well, no guys, as BUSD, Binances own stable coin is built on Ethereum, like all those others. Yeah, the other stuff, it’s just noise. Ethereum is the programmable dollar. Ryan even said it.
Ryan: But then a second Cryptocurrency was invented called Ethereum. And Ethereum was not scarce in the same way that Bitcoin was, but it was a little bit faster and it had a feature called a smart contract, which had amazing things that they’re going to have. So, whereas Bitcoin we refer to as digital gold, because it’s scarce. So, it retains value. Ethereum, we call it the programmable dollar. So, now I can send a dollar, but I can also send the dollar contingent upon certain things occurring inside of the smart contract. So, it’s like a self-administering contract where you don’t need a third-party escrow agent. The technology knows what to do.
Speaker 1: You know how we seal the deal. Cheers, I’ll see you next time.
Host: Well, I don’t know about you, but I think this is just absolutely amazing content. I may never do anything like this again because seriously, I don’t really want to just project somebody else’s video, but I thought this one was just so — it just came out and I was just so blown away by the information and if you haven’t got the information from before this, maybe it might not affect you quite as much when you start seeing the ties between say Chain Link, Oracle, Ethereum. There’s and the major players that are coming together for this. There’s a lot been going on behind the scenes and I don’t know about you guys, but knowing where this is headed might be very important for us. You can bet that these people on the inside know. So, there’s probably a lot more to this that he hasn’t seen. So, if you guys have seen anything beyond that, please post it, post it in your comments and we’ll keep an eye on this. This is the subject that I’m going to be talking about at least for the next few months. All right, see you.