Bernie Who?

My how things change. In this week in 2008 Bernie Madoff went to jail for running a Ponzi scheme that was a fraction of the size of BitCasino. In the eight years since that time, pot was "medicinalized" to wean addicts off of the mega tons of heroin sold by big pharma. And since Social Security was no longer solvent, they decided to legalize Ponzi schemes as well. Last count, 1,357. Not including Dow Casino...

If, as Zerohedge asserts, male Japanese gamblers "control" BitCasino, then it only makes sense to quote Bitcoin in Japanese Yen.

And if 40% of global Bitcoin trading is denominated in Yen, what happens to the Yen carry trade if Bitcoin goes RISK OFF?

I think we all see where I'm going with this...

In other words, the only reason why Bitcoin is near its all time high against the dollar, is because the dollar is losing value, deja vu of 2011 versus gold:

This is the whole Fed rolloff, debt ceiling, government shutdown scenario all over again:

Here is where it gets interesting:

"One huge Tokyo-based BTC exchange is letting people borrow up to 15 times their cash balances to purchase the crypto-currency"

The exchange in question is called bitFlyer: "His Tokyo-based exchange has an 80% share of BTC trading in Japan and 20% to 30% of the global market

It's not just in Tokyo that people are borrowing to buy BTC

"We've seen mortgages being taken out to buy bitcoin. … People do credit cards, equity lines."

"I wonder whether anyone can now map out how much money has been lent to people who are trading BTC around the world and -- were BTC's price to collapse -- how much capital would be wiped out."

I'm going to go with half a trillion, not including margin calls and domino asset sales in speculative condos, stocks, and any other form of collateral...