Bitcoin, BlackRock, and the “Big Club”

“It’s a big club, and you ain’t in it.” [Altucher Confidential] June 23, 2023 [WEBSITE]( | [UNSUBSCRIBE]( When BlackRock introduced its gold product, the firm made a killing. They see the same opportunity forming in crypto. Simple. [Hero_Image] Bitcoin, BlackRock, and the “Big Club” By Chris Campbell There is MASSIVE change happening within our company. And I want you to [hear about this – from me]( – otherwise this new policy could blindside you. This has gone into effect immeditaly, so I want you to understand exactly what it will mean for you. [So please, watch this video for my full announcement.]( [Chris Campbell] CHRIS CAMPBELL Dear Reader, “It’s a big club, and you ain’t in it.” Contrary to popular opinion, comedian George Carlin wasn’t talking about politicians. “Forget the politicians,” he said. “The politicians are put there to give you the idea that you have freedom of choice. You don't. You have no choice. You have owners.” Who are they owners, you ask? Well, they’re the people who own everything, of course. Those who decide your fate. Carlin: “They own all the important land. They own and control the corporations. They’ve long since bought and paid for the Senate, the Congress, the state houses, the city halls, they’ve got judges in their back pockets. They own all the big media companies, so they control just about all of the news and information you get to hear. They got you by the balls…. “It’s a big club and you ain’t in it.” But how does this club work? How The “Big Club” Works Let's pretend that owning shares in a company is like being part of a club. Every member of this club gets a vote on important decisions. But, imagine if there's one member who isn't just in your club, but in hundreds of other clubs as well. He’s in the Big Club. This is what's happening with large asset management firms in America. These firms, like BlackRock, own lots of shares in different companies. But they don't use their own money to buy these shares; instead, they use money from other people who've invested in their funds. And because they own so many shares, they have a lot of voting power. But here's the catch, they're not actually using these votes to reflect the wishes of the people whose money they're managing. Instead, they're voting based on their own goals and agendas. Dead On Arrival This isn’t always the way things work, nor is it the way things should work. When brokers hold shares for their clients, they're only allowed to vote if they have specific instructions from the people who actually own the shares. Some senators tried to change how the “Big Club” operates -- with the INDEX Act (“Investor Democracy is Expected” Act) -- but, surprise, their efforts were dead on arrival. The INDEX Act would’ve required index fund managers to ask shareholders how they want the votes cast. (And they wouldn’t be allowed to charge for this service.) No longer could they whip their weight around with passive shares. They could advise, but not choose the vote. But that’s not what happened. (Instead, Blackrock got a half a trillion dollar deal to "rebuild" Ukraine.) Urgent From James Altucher! Hey, it’s James Altucher. I just announced a massive new change to Altucher’s Investment Network, and as one of my readers I wanted to make sure you know what’s going on. [Click here now to see my urgent announcement.]( Why Fink Loves Crypto Last week, as you know, BlackRock caused a stir in both traditional finance and the cryptocurrency community by filing for the iShares Bitcoin Trust, an exchange-traded fund (ETF). This development was notable for two main reasons. Firstly, the regulatory environment for cryptocurrencies in the US appears, on the surface, pretty bleak. Secondly, the proposed fund is a spot Bitcoin ETF, a structure that the US Securities and Exchange Commission has consistently denied in the past. Thus, it is entirely reasonable to ask: "Why now?" Caitlin Long, CEO of the crypto-focused Custodia Bank, said it’s not a coincidence that the firms are launching an exchange in the wake of harsh enforcement actions from the SEC. “Suddenly, we've got these big Wall Street firms that are coming into crypto right after the runway's been cleared,” she said. “It sure appears that there's an incumbency bias.” But an even better question: “Why at all?” In 2018, Fink was pretty cold on crypto. What changed? In a more recent interview, Fink said: “I believe the next generation for markets, the next generation for securities, will be tokenization of securities. And if we can have that distributed ledger, it changes the whole ecosystem. You don’t need Trust Bank.” For this reason, he said, bank fees will dramatically decrease due to decentralized finance and cryptocurrencies. Fink elaborated on how BlackRock is not a custodian. The firm pays fees to those who custody their assets for them. So crypto isn’t as disruptive to BlackRock as it is to banks. In fact, it could be a boon. It’s Simple. When BlackRock introduced their gold product, they made it a part of their model portfolios for advisors. This incentivized advisors to advocate for gold as a perfect portfolio addition to hedge against inflation and other risks. From there, it went from a $1 trillion market to an $11 trillion market. BlackRock made money every step of the way. BlackRock sees the same opportunity forming with crypto. Some interesting numbers: → 2022 global assets under management reached $111 trillion. (That’s expected to grow to $145 trillion by 2025.) → Currently, only 2.1 million Bitcoins are on exchanges, worth roughly $60 billion. Blackrock alone manages over $10 trillion. But it’s not just BlackRock… Fidelity, with over $4.2 trillion in assets, is believed to be filing for an ETF, too. Fidelity, Charles Schwab, and Citadel have backed a crypto exchange, EDX, while NASDAQ is launching a crypto custody service. Of course, the media has told you that crypto is dead. And meantime, the Big Club nodded its big head. Until next time, [Chris Campbell] Chris Campbell For Altucher Confidential Warning: Will “Bidenflation” Destroy Your Retirement? [James Altucher]( If you’re like most Americans, you’ve worked hard for decades to build your financial legacy. And now, as a result of Biden’s disastrous money printing policies, that’s all at risk. According to one top retirement expert, “Bidenflation” threatens to destroy your retirement and make your hard-earned savings worthless. That’s why you must take action right away to protect yourself… [Click here now to get the simple, step-by-step actions to survive “Bidenflation.”]( [Paradigm]( ☰ ⊗ [ARCHIVE]( [ABOUT]( [Contact Us]( © 2023 Paradigm Press, LLC. 808 Saint Paul Street, Baltimore MD 21202. By submitting your email address, you consent to Paradigm Press, LLC. delivering daily email issues and advertisements. To end your Altucher Confidential e-mail subscription and associated external offers sent from Altucher Confidential, feel free to [click here.]( Please note: the mailbox associated with this email address is not monitored, so do not reply to this message. We welcome comments or suggestions at feedback@altucherconfidential.com. This address is for feedback only. For questions about your account or to speak with customer service, [contact us here]( or call (844)-731-0984. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized financial advice. We allow the editors of our publications to recommend securities that they own themselves. However, our policy prohibits editors from exiting a personal trade while the recommendation to subscribers is open. In no circumstance may an editor sell a security before subscribers have a fair opportunity to exit. The length of time an editor must wait after subscribers have been advised to exit a play depends on the type of publication. All other employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of a printed-only publication prior to following an initial recommendation. Any investments recommended in this letter should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company. Altucher Confidential is committed to protecting and respecting your privacy. We do not rent or share your email address. Please read our [Privacy Statement.]( If you are having trouble receiving your Altucher Confidential subscription, you can ensure its arrival in your mailbox by [whitelisting Altucher Confidential.](