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Can Bitcoin replace the US DOLLAR UPDATE DECEMBER 29 2024+

US DOLLAR OR BITCOIN

Crypto currency comes in many forms. Bitcoin being the most notable, there are many others that go by names like Ethereum, Ripple, Stellar Loomis, EOS and Lightcoin to name a few. There are an estimated 10,000 crypto currencies now in existence.

The idea behind crypto is it is anywhere and everywhere there is internet access. Not controlled by any one government, crypto is “mined” by using mathematical formulas called block chain technology. Wikipedia describes it as: “A cryptocurrency is a digital asset designed to work as a medium of exchange that uses strong cryptography to secure financial transactions, control the creation of additional units, and verify the transfer of assets”.

As a currency, crypto currencies meets some of the characteristics a medium of exchange must possess. A currency must be hard to replicate, be divisible, recognizable, have uniformity, be portable, have acceptability and maintain a store of value. On the first six characteristics, crypto coins could be argued fit the bill nicely. My objection is having issue with the last characteristic, maintaining a store of value.

Its goes without saying that at times, the price of crypto currencies can vary tremendously. Lately, that has been an understatement.

Stories of skyrocketing prices and subsequent roller coaster like plunges are common. Bitcoin itself briefly breached 100,000.00 a coin just a few weeks ago.

Although a rising price may convince some investors to believe crypto might make an acceptable currency replacement, the very fact it often moves so violently violates the store of value characteristic a useable currency must possess.

Store of value means both the buyer and seller of the currency must have faith in its stability. Stability meaning it doesn’t go up or down much. Certainly the buyer of crypto relishes the meteoric rise when it occurs, but like all things money, there is always someone else on the other side of the trade.

If a buyer of crypto makes an overnight fortune on a price spike, the seller of that very same crypto lost an equal amount in value.

For to buy crypto, one must have exchanged something else for it.

For example, if it is another currency that is exchanged, the person who sold the crypto now holds a currency that has fallen in value by an equal amount.

Given the recent price instability of Bitcoin, the very definition of maintaining a store of value is almost nonexistent and therefore, at this place in time, Bitcoin cannot be considered a usable currency replacement.

Another attraction of crypto is the fact no one or no one government can shut it down. Again from Wikipedia: “It is a decentralized digital currency without a central bank or single administrator…………”.

Since the internet is worldwide and unstoppable, the thinking goes that crypto coins can’t be confiscated by meddling governments.

However, governments of the world don’t have to confiscate crypto currencies to stop their usage. All they have to do is shutdown the exchange websites that trade them. Sounds unlikely but many countries have already done so.

Quite simply, if your country of residence decides it doesn’t want you trading crypto, it can shut down all the ways you can access it.

Internet workarounds are certainly possible, but to the average Joe, cyber space backdoors may be difficult to access.

Central governments will always strive to maintain strict controls over their respective currencies to insure their viability.

A country’s currency is the lifeblood of their economy so controlling it insures the ability to use the government check book, which means the ability to deficit spend without restriction.

History has proven time and time again a government will insure its currency remains valid and is not usurped by another. This would obviously include curtailing the use of Bitcoin or any other currency whose ownership becomes too wide spread.

That said, to say central governments aren’t fully aware of the threat crypto coins may present to their specific currencies would to be more than naïve.

The U.S. government is already looking into issuing its own version of cyber coin called the Central Bank Digital Currency (CBDC). President elect Trump has also indicated the U.S. government is looking to expand its control of the Bitcoin market by establishing a Bitcoin reserve of its own.

The U.S. is not alone. The issue is being discussed among central banks worldwide.

That said, in this analysts opinion, it’s only a matter of time before governments bring down a harder hammer on the entire cyber coin phenomenon in order to insure continued control of all things money.

“Watching the markets so you don’t have to”

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(As mentioned please use the below disclaimer exactly) THANKS (Regulations)

This article expresses the opinion of Marc Cuniberti and is not meant as investment advice, or a recommendation to buy or sell any securities, nor represents the opinion of any bank, investment firm or RIA, nor this media outlet, its staff, members or underwriters. Mr. Cuniberti holds a B.A. in Economics with honors, 1979, and California Insurance License #0L34249 His insurance agency is BAP INC. insurance services. Email: news@moneymanagementradio.com

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Update December 28 2024 How kill (or run it correctly) a resturant !

Good Resturants are pretty rare!

Read why ..

Nine out of ten new businesses fail within the first two years of startup and of those businesses, the restaurant business can be one of the toughest.

I am always amazed at how some restaurant owners just don’t get it as to how to best turn a profit and keep their customers happy.

I have never run a restaurant business but my wife’s father had one for 40 years and I frequent dining establishments a lot because of my work and the travel it entails.

First off, it matters how good the food is of course, but I’ve been served cold soup, brown, wilted lettuce, broken eggs, toast coming late, meals served sporadically instead of all patrons getting their meals at the same time. You name it, it’s all inexcusable.

But there are so many other things that can hurt a restaurant to the point where folding up shop eventually becomes necessary.

The face of the business are the staff out front, and needless to say if they are under trained, not trained at all, ornery, rude or just plain not likeable, the restaurant is off to a bad start.

Not having your ducks in a row on opening day is a killer. Sure, there are some people that will give you a break on this one, but not me and many others like me. You either have it together or don’t open until you do. Either that or give a break on the price, but of course, that never happens.

New restaurants, by the fact that they are new, will usually garner lots of customers, but if someone has a bad experience, he or she will be sure to tell their friends and there goes a whole slew of people that might have come through the doors.

Restaurants live and die by word of mouth and owners have to be sure the word will be a glowing one.

Cleanliness is tantamount. I’ve been to a sandwich shop whose bathroom was disgusting. Another supposedly 5 star steak house in Portland had a cart of dirty dishes in the entrance way. A well-known eatery up near my house had an entrance area that smelled like soured fruit. Floors with leftover food from previous customers, dirty or greasy condiment containers on your table, crumbs on your seat or gum under that table all reek of poor management.

Paying attention to the details as to what is served and when, is also a way to maximize profits and might mean the difference between staying open or locking the doors somewhere down the line.

For example, a popular chain restaurant in the Carolinas I visited was packed every night. When I asked the waitress, who was obviously very well trained what the secret was, she said she had a full week of training, both written, off duty and with a trainer in real time.

They had strict rules: Sit people at clean tables and floors always and each was checked prior to seating. Offer cocktails within 3 minutes of seating and get those to the table immediately along with menus. They knew that alcohol stimulates appetite, throws frugality out the window and that drinks are highly profitable. People with a bit of booze in them order more, are more patient and also order more drinks. They never brought breadsticks or whatever before people ordered their food as it fills them up and they order less. All meals were checked by the cook, a main cook or manager and the server as to temperature, accuracy and appearance and any one person in the loop could turn food back without fear of retribution.

“Brilliant” I thought. What a concept: Well trained, thoughtful service and timing, clean surroundings and attention to every detail.

In conclusion, a word about restaurant reviews. We have a few restaurant review social media sights and many are rife with positive reviews and positive reviews only. Post a bad review and some people even chastise the posting party for not being understanding when it comes to the difficulty of running such an establishment.

Excuse me, but reviews are supposed to be honest. Sure it might be harsh on the owners, but people work hard for their money and deserve to get their money’s worth. Brain surgery is hard too but who is going to be “understanding” if they blow it because they are new or having a bad day. Honest reviews better both customers and restaurant owners. Customers get value and owners get to know what they’re doing wrong so they can fix it and survive. And isn’t both of these goals what we’re all after?

“Watching the markets so you don’t have to”

(end)

(As mentioned please use the below disclaimer exactly) THANKS (Regulations)

Need Medicare?
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Update Dec 23 2024 Fund rasisers asking us for more money?

Those fund raising programs!

Give us a break!

With the arrival of Hurricane Helene, the advertisements petitioning for public donations pepper the news outlets.

When similar disasters befall our nation and indeed the world, as far back as I can remember the public is sought after to donate money to help those affected by the catastrophe.

Not to sound callous but I find myself reacting negatively to such fund raising programs. Not because I’m a cold unfeeling person. Lord knows, as well as many living in Nevada County, my pet peeve toward lifting others up comes in the form of my matching food bank programs called Turkey Matters in which I run several times a year.

Not to stroll too far off topic but my latest fundraiser to address food insecurity is the annual Turkey Matters matching program at Interfaith Food Ministries in Grass Valley where we buy holiday dinners with fixings and I match your donation with my own money. The program runs through Thanksgiving and you can donate by contacting Interfaith Food Ministries at (530) 273-8132.

Most agree we are constantly bombarded to donate our hard earned money to the latest catastrophe or war rescue effort. Considering the billions the governments of the world toss into the bailouts of financial institutions and add to that the willy-nilly spending on every this, that and the other thing, you have to wonder why ask us little people for our money when many of us are starving ourselves.

I continually receive those preprinted return address labels by the truck load looking for a few dollars for war veterans. The Wounded Warrior Project is another organization looking for money to help our war veterans. The flyers for address labels ask for just a few dollars if that, and the Wounded Warrior Project will send you one of their blankets for a mere $19 a month. Add in fundraisers for the homeless, distressed pets, crumbling schools and what have you, and the extended hands looking to be filled are never-ending.

Now you might ask why in the world would you and I be a bit perturbed at such seemingly worthwhile fund raising endeavors?

Well let’s see.

How about the multi-hundred billion dollar chips act that Washington just doled out to for-profit semi-conductor companies to incentivize these already cash rich companies to make computer chips here in the U.S.?

The stocks of many of these companies have gone ballistic in the last two years and the CEOs of some of these companies are some of the highest paid executives in the world, many of them having a net worth of many tens of billions.

And how about the 44 billion already spend of your tax dollars going to fight the war in Ukraine which some argue is an unwinnable war?

The infamous bailouts to the banking conglomerates over many decades totals well into the multi trillions. The Federal Reserve’s ongoing Quantitative Easing and FOMO programs are yet another direct money spigot into the financial system. Many more programs are shuttling unimaginable amounts to insurance companies, hedge funds, troubled brokerage houses, foreign entities, foreign countries, foreign banking systems and other financial entities that you will never know of. There seems to be no shortage of funds where our largest institutions are concerned.

Then I open my mail and a veteran organization asks me for a five dollar bill to help them provide for those that served our country, or perhaps a soldier needs a new prosthetic or a hospital or school that doesn’t have paint peeling off its walls.

I could go on with more sickening examples as you probably could and in the midst of writing this article they’re hitting me up again to help those impacted by the recent hurricanes.

What a travesty.

Washington has for decades, and continues to throw billions of dollars out secret windows to God knows who and for God knows what, while many worthwhile programs supporting our own citizens go begging.

Meanwhile the “ultra-connected” throughout the country and indeed the world get billions at the drop of a hat while the programs that support our citizens on the Main Street go scrounging for nickels and dimes wherever they can find them.

And in the midst of all of it, the putrid odor of government audacity permeates my olfactory senses.

Am I the only one in the room who smells the stink of the whole thing?

“Watching the markets so you don’t have to”

(end)

(As mentioned please use the below disclaimer exactly) THANKS (Regulations)

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A costly new knee UPDATE Total Knee Replacements

Total Knee Replacements

#2044

Not all things acquired are done so by monetary payment. Think of taking a walk and reaping the benefits of a healthier you. For the healthier you, you didn’t actually pay any money but you paid nonetheless through your time and sweat you expended in doing the walk.

Doing economic radio shows and newscasts for many decades now, I have come to realize there are many ways to pay for things we desire and reap said rewards and many of those transactions do not involve the transfer of money as the above walkabout example illustrate. When I realized that fact, a slew of new topics presented themselves for my Money Matters media.

Today’s musing leads us to the costs, benefits, and the how and why of total knee replacement (TKR). As mankind’s life expectancy is extended through the miracles of science, new expectations arise about how long we can stay active.

One is either a newbie to the world of TKR or a seasoned veteran. And with my second TKR done September 17^th, I am now a seasoned TKR veteran.

I was told I needed a TKR on the right knee decades back. Since the knee still worked and was only moderately inconveniencing me as to frequency and pain level, I figured if I waited a few years, technology would improve and better and longer lasting knees would be available. Additionally, although I had pretty good health insurance back then, I would still have a considerable co-payment.

Having been right on both instances, about 30 years ticked off on my old right knee and I found myself, starting around about the age of 55, really feeling the effects of the knee. It was now bone on bone.

Continuing to play a variety of sports, I ground the thing down to the point where running and jumping was almost impossible and the pain was exhausting. Luckily for me, the age of 65 sprung upon me and with it, the financial savior called Medi-Care became available.

I then began to investigate where the new knee technology had progressed to and like I had thought, TKR had become common place. The methodology, medicines and equipment utilized during TKR had vastly progressed.

Turns out that right about that time my left knee began to give up the ghost. This only made my resolve to get the right knee done that more urgent.

Having a large social media presence I ran a survey two counties wide as to who might be the best doctor to go to and three came to the forefront.

The top doctor was a four hour drive away which, at that time, was a bit of a deal breaker for me.

I then set up appointments with the next two in line which were closer and decided on one of those shortly thereafter.

Medi-Care paid for all of it and since I just had the second one done, Medi-Care paid for that one too. Good thing. I saw the bill and it was something like $150,000.00 each knee.

Ouch.

Although Medi-Care covered the cost, the transaction of my two new knees was not all monetary.

Certainly real money was paid to the doctors and ancillary care facilities and I also did pay a cost.

I had paid into Medi-Care for decades through my paychecks.

Additionally, I also paid by having to take time off from my ongoing business enterprises costing me an untold amount. But the good part is the payoff.

Not that a TKR will solve everyone’s problem 100% of the time. There are degrees of success. And on rare occasion, like with any surgery, they do have their risks and possible complications. All surgeries do.

And although my first TKR is not perfect, I can now run and jump without much if any pain.

And that fact was good enough for me to decide to do the other one.

This current knee replacement is a stark reminder of just how uncomfortable these can be during the lengthy recovery. I can say it is definitely NOT FUN.

However when I start running, jumping and playing sports again, I will be reminded only then why I went through two of these.

I can’t wait.

“Watching the markets so you don’t have to”

(end)

(As mentioned please use the below disclaimer exactly) THANKS (Regulations)

Need Medicare?

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Update Oct 12 2024 Is the AI trade ending ?

"Sell all my artificial intelligence stocks now"

The Artificial Intelligence (AI) trade may have hit the rocks. As detailed here in Money Matters a few weeks back, AI was all the rage the last few months when it came to trading stocks. I mentioned in my previous article the AI trade looked, felt and smelled like a mania. Like so many manias before it and throughout time, manias are times when everybody and their grandmother pile into the hottest stock sector like there’s no tomorrow.

But there always is a tomorrow, and that tomorrow began last month.

Stocks like NVDIA, AMD, and a handful of stocks that had anything to do with or even mentioned AI shot to the moon and appeared headed for Mars. Up and away many of these high flyers went, led by the stratospheric rise of NVDIA.

There is no doubt investors in stocks like these made money. And some, a lot of money. Such is always the case with stock manias. The age old game of “pile on” was played by many, and soon, common sense and historical precedent was tossed out the proverbial window. Investors and analysts alike knew it would end at some point, but like the CEO of Citibank Chuck Prince said in 2007 as it related to the real estate mania and the investments that fueled it, , “As long as the music is playing, you've got to get up and dance. (But) when the music stops, in terms of liquidity, things will be complicated”.

Complicated Mr. Prince?

How about catastrophic.

We all know what happened then. With the financial systems of the world in free fall, the central banks of the world embarked on one of the biggest bailouts in history. Well, that was until CoVid hit.

The mania in AI is obviously nothing like the 2008/09 fiasco, but only in degrees. This recent AI mania didn’t threaten to bring the world to an end, but AI stocks have suffered some setback in recent months. We can only guess if the fall out is over.

What is hitting the AI enthusiasm is stocks like NVDIA saw some stellar increases in revenue, and those increases were reflected in their stock prices. But the other side of the equation is will these companies be able to continue to reap the rewards of AI revenue. Some analysts argue the return on investment is yet to be seen.

In other words, its true many companies are spending billions on AI infrastructure which has boosted sales to the AI stocks which make the microchips that are required for the advanced language comprehension. These advanced chips make up much of this AI infrastructure spending as they are quite pricey.

But what remains to be seen is are the companies that are spending billions buying these chips able to turn around and reap the massive profits needed to make the AI investment worth the money.

The answer to that question remains to be seen. We never know how the consumer will react to AI and whether the demand will be there and able to generate revenue for the companies that will use AI.

Maybe they will and maybe they won’t. But if AI turns out to be a pie in the sky pipedream that will fail to turn out the increased profit to justify the investment, it’s possible we could be looking at a very large balloon busting in a very large way.

Only time will tell of course and ain’t that what the stock market is all about?

For now however, AI stocks seem to be regaining a little ground from the recent hammering but the term caveat emptor is still in play.

In English, that’s buyer beware.

Tread lightly when it comes to stock manias. They always end in some way or another making fools of somebody.

“Watching the markets so you don’t have to”

(end)

(As mentioned please use the below disclaimer exactly) THANKS (Regulations)

Need help with Medicare?

Call me (530) 559 1214

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