Bitcoin hit $78,000 this morning and all of a sudden the markets
feel like they just changed overnight.
The Clarity Act is close according to JP Morgan, the
Strait of Hormuz is officially open again, Stocks just bounced
to new all time highs. Oil has crashed over 30% in 10
days and Michael Saylor is officially back above his break
even price. The real question though, is
this the beginning of the new bull market or a historic fake
out? That's what we're all thinking
anyways. Let's get through a lot of this
source material. So obviously when you think
about what happens in the Bitcoin price, you're always
looking for like what are the catalysts?
What are the reasons for this price movement that we're seeing
right now? And we've been hearing a lot of
different takes. Some of them have been, hey, the
Clarity Act is once it passes, price is going to go up a lot.
Obviously, the macro geopolitical uncertainty and
then just general sentiment of people actually buying Bitcoin
and stepping back into the market, which really is a tail
end of the general macro uncertainty.
But anyways, let's get into this.
So yesterday or actually this came out on Wednesday, but it
was really circulating yesterday.
JP Morgan says the Clarity Act is nearing the finish line.
As talks advance, lawmakers have reportedly reduced their
disagreements to just a few issues.
The long standing effort to create a formal set of rules for
the American cryptocurrency market is entering the final
stages, according to a new report from JP Morgan Chase.
Which I did, you know, Fact Check.
I, I did try to go find it for you guys.
The much anticipated Clarity Act is nearing a significant
breakthrough as lawmakers and regulators resolve their primary
disagreement. So after this talk here, there's
been really from our perspective, wow, my voice cry
from our perspective, there's been one key issue that's been
stopping the Clarity Act and that is of course, the stable
coin yield. Well, it seems like that is
resolved from what we're hearing from the speculation, maybe the
insider leaks, it seems like the banks have finally come to the
table and they've agreed with Coinbase over the stablecoin
yield And the other points, which didn't really get as much,
I don't know, fanfare. There's about like 10-11 other
points that were really being discussed.
Well, it seems like, excuse me, guys, it seems like we've gotten
from about 12 disputed points now to the final two to three.
And we did hear yesterday that now the essential, you know,
deadline here is still not going to be the end of April, but it
seems like we might get something by the end of April
and then they're hoping that by the summer.
So maybe this is one of the catalysts.
Maybe investors are starting to feel like, OK, this is this is
going to happen. The Clarity Act's going to pass.
Now I can actually start to in bulk in in size get into
Bitcoin. Maybe that's one of the
catalysts, but I think probably the bigger catalyst is that the
Strait of Hormuz is officially back open.
And I'll show you guys the Trump tweets in regards to this so
that we can kind of speculate over what exactly is going on.
But here we go. Here is Donald Trump tweeting
this morning at 9:57. And it goes. the US will get all
nuclear dust quotes created by our great B2 bombers.
No money will exchange hands in any way, shape or form.
The deal is in no way subject to Lebanon either, but the US will
separately work with Lebanon and deal with the Hezbollah
situation in an appropriate manner.
Israel will not be bombing Lebanon any longer.
They are prohibited from doing so by the US.
Enough is enough. And then later on, it was the
Strait of Hormuz. Here we go.
Now that the Hormuz Strait situation is over, I received a
call from NATO asking if we would need some help in all
caps. I told them to stay away unless
they just want to load up their ships with oil.
They were useless when needed. A paper tiger.
President Donald J Trump again. Further, Iran has agreed to
never close the Strait of Hormuz again.
It will no longer be used as a weapon against the world.
President Donald J Trump, Now, I think this is probably the
biggest catalyst for what's going on.
As we know, when there is general market uncertainty,
geopolitical attention, people retreat and they go into what
they're most comfortable with, which is obviously cash.
And I've showed you guys the data points.
I've showed you guys the extreme amount of capital that is in
cash and now maybe we're starting to see that that
capital is starting to go back into the markets.
And just to kind of show you what is actually going on with
that, we should definitely go look at what's going on with
stocks. So here is the S&P 500 and look
at this tear, guys. This is literally a ridiculous
chart here. Oh, wait, I didn't pull it up.
Look at this tear right here on S&P 500 the last couple of days.
Huge gap up and now all time highs.
So we've all been watching what's going on in stocks and
equities because obviously, as Trump has said in the past, he
is totally looking at the stock market as an indicator of how
he's doing as a president. Well, it seems like equities.
It seems like stocks are responding very favorably to
this idea that the Strait of Hormuz is back open.
Maybe we did avert geopolitical global calamity because now it
seems like, hey, I know you guys don't like to say it and I know
I'm not a plan truster, but maybe this was Trump's plan all
along. I don't know, guys.
It seems to be working out. And yes, I, I can hear Down
Under Blues yelling at me in the chat.
It's like you guys have been flip flopping on this.
Hey, well, you know, we're, we're just watching the markets
and the markets have been literally whipsawing here.
And then here we go. We got the NASDAQ QQQ similar
all time highs. It's ripping pretty much in the
same fashion. And then I will find you guys at
Dow Jones and we are almost back at that infamous $50,000 price
point. Everything is ripping right now.
Everything is going up in terms of stocks and equities.
So I think the geopolitical uncertainty of the Strait of
Hormuz closing, it's probably the biggest catalyst for what
we're seeing this morning. And here I will show you the
Bitcoin price because I know actually we'll, we'll do the one
minute chart just 'cause I know you guys like it.
You guys can see there, it's doing all right.
Here is kind of the what is this 7675K breakthrough?
It's looking very, it's looking very strong, it's looking very
healthy. Now the big question in terms of
Bitcoin is, is this the is this the breakout or are we seeing
the final bull trap? The the final kind of, hey, you
know, as Nico was probably going to say the dead cat bounce here.
But on that, no, you know, here is the liquidations from this
morning. You can see in the last 24 hours
we've seen about 360 million dollars in shorts liquidated.
You can see the liquidation map here another chart kind of
interesting price points above 78.
If we breakthrough 78 then we're probably going higher.
And I, I saw a lot of people saying saying that 80K by the
end of the day, but we'll we'll see who knows who knows All I'm
saying is price moves up. We all start feeling a little
better now. On that note, going over to the
strategy dashboard, remember the big concern about Michael Saylor
being liquidated because the price dropped under 75 K?
Well, as you can tell, as you can probably guess, he's back in
the green, guys. So his $60 billion in Bitcoin
reserve is now finally back positive.
He's at a 4% gain or 4.37% gain. So the biggest bull right now
and constantly still buying. Actually, I didn't even check
the stretch numbers this morning.
Maybe I'll pull that up when Nico goes.
And then another kind of indicator of where we are the
negative funding rates hit yearly high is Bitcoin test 76.
So Bitcoin's recent rally towards 76,000 faces dilemma,
leaving investors split on its near term outlook Funding rate
for Bitcoin if he paid by derivatives trader.
Wow, dude. I'm like going through puberty
to that derivatives trader to maintain the alignment between
spot and futures. Prices have remained negative
for over a month and hit the highest level this year,
according to Coin Coin Glaze Wow Coin glassed out of negative
funding rates indicate investors are shorting the recent rally
with the expectation of a reversal.
The divergent between bearish derivatives positioning and
bullish spot catalyst sets up a potential short squeeze or a
bull trap depending on which side breaks first.
Funding rates this negative tell you the market is heavily short.
It really correlates to we might, we might have, we might
have seen the bottom guys. We we might have passed the
bottom. It's basically the TLDR of this.
I don't want to jinx it. Everyone like we can't say that
guys, you know, we, we, we can't actually say that because now
the algo traders are going to short everyone because we're all
feeling good. But hey, we, we might, we might
be out of the woods, Nico, we might be out of the woods and
and now and now here, here's the bearish take.
Probably no, he was actually bullies this morning.
It's not. The bearish take.
I'm just pull this up, Sailor posting this morning an AI image
of him on his yacht Bitcoin and chill, you know, once again, a
vindication for sailor. But what I will say is like,
look, guys, we had five months, five months of negative price
action. I mean like that is basically
unheard of in Bitcoin. Terms, right?
You don't have 5 months of negative price action, so
inevitably there was going to be some type of bounce.
And I just want to kind of walk you guys through the vibes,
right? What were the vibes last week
and the week before? The vibes were not good.
It was like, you know, typical of what you would see like near
a bottom right, like you would, you, would, you would sense the
apathy, the excitement was just taken out of the room and all of
a sudden, right with Trump, kind of, I don't know if he's doing
this on purpose because I, I, I was on record.
You guys heard me saying this. I was like, look like the Strait
of Hormuz situation, like that's very difficult.
I don't know how he's going to get that straight open.
But it seems like again, he's, he's leveraging Lebanon, right?
Because that's something that's very important for, for Iran
and, and Hezbollah in the, in, in that specific region.
And you know, he did it right. He opened the Strait of Hormuz.
I think the market, including myself did not believe he was
going to be able to do that. He did that.
And of course for energy markets, as you saw oil, you
know, dropped 30% and the markets are reacting to the news
straight opening now. Of course, you know the the the
S&P, right? The S&P of the NASDAQ.
Both both the ribbon. They did.
They hit all time highs. S&P 500 and NASDAQ hit all time
highs. Dow Jones is almost at all time
highs. That's kind of like a big deal.
Now, I think on the question on everybody's mind is right, and
this is what you know, the like the famous are very popular.
Let me say, let me rephrase that.
Very popular kind of TA experts in the Bitcoin community.
They're basically like Bob Lucas and Benjamin Cohen from into the
crypto verse. They're basically making the the
case that, listen, this is this is normal in bear markets.
You tend to have these types of bounces before Bitcoin hits new
lows. Now, I don't want to take the
excitement out of the room. I, I still think it's really,
really good that we're seeing Bitcoin tear up, you know, back
to, you know, the 7880K region. I think it will tap 80K.
The question though on everybody's minds is, is this
the end? Did, did we really just bottom
out? Did we really just bottom out
was 60K58K? You know, that region was that,
you know, was that the cycle bottom?
If that is the case, again, as I've been saying for many months
now, we truly are in uncharted territory, no pun intended.
Because again, this would break the having cycle theory
completely because Bitcoin would have bottomed out a lot earlier
than what it would typically bottom out.
Typically it bottoms out about a year after the peak, which would
mean that the bottom would be around October of this year.
So could this be, you know, a, a, a, a dead cat bounce, a, a
bull trap, so to speak? It could potentially be that,
but I will say is like cherish this day.
You know, remember it reminds you that Bitcoin does go up,
right? That there is a number go up and
also pat yourself on the back because we did go through.
Well, well, it's a little early to pat ourselves.
On that we we no, but it's good to celebrate.
Live in the moment, man. We did go through five months of
literally Bitcoin continue to go down month after month after
month after month after month. That is now broken.
Now again, to bring a little bit of reality back into the room
again, ladies and gentlemen, this is typical in Bitcoin bear
markets. We do have these types of
bounces, right? This is normal.
But if the SNP and if the NASDAQ continue to tear, I don't see a
world where Bitcoin continues to go down because it's so
integrated into the traditional market.
So, you know, this time actually could be different.
And another thing that I'll mention too is a lot of these
analysts not to, not to mention any names they were wrong on the
kind of euphoric top that was potentially going to happen in
October and it never, never came about.
So we had this top on apathy, right.
So if we had a top on apathy, that has never happened in
Bitcoin's history. This has never happened.
It's completely unprecedented. You can make a very solid
argument that the bottom is going to look a little bit
different because if you didn't have that euphoric blow off top
right, what are you really going to see that fifty, that 70%
correction to the downside, right?
And again, we're just observers here.
We're on the journey with you guys, but this could be
uncharted territory. We are we are already in
uncharted territory. Now, the thing that excites me
the most and Opti talk to talk talked a little bit about this
earlier is the fact that now you have these massive banks, right?
You have brokerages like Charles Schwab, you have JP Morgan, you
have Morgan Stanley, you have Citibank.
And while all of this bear price action was happening, they were
making crazy announcements right about them.
Oh, oh, now I can mention this and Goldman Sachs, right, one of
the most conservative wealth management banks in the world,
right? And they have, they have a lot
of money under management. While this bear market was
happening, they were building, they were releasing Bitcoin
focus products, right? And Morgan Stanley is actually
going to be, and we had the CEO of Bitcoin magazine on, I think
it was on Wednesday or Thursday, something like that, Brandon
Green and he, I remember we were going through the speaker list
and he was like, Nico, you forgot to mention Amy.
And Amy is the head of digital assets of Morgan Stanley and
she's going to be making an appearance at the Bitcoin
Bitcoin conference. So not only do you have the head
of the SEC, the head of the CFTC, which again were some of
the biggest enemies of Bitcoin during the previous cycles, you
now have the head of digital assets from one of the United
States biggest banks making an appearance at the Bitcoin
conference. Do you think she's doing this
out of goodness of the heart? Do you think Morgan Stanley's
doing it out of the goodness of the heart?
No, absolutely not. They're attracted to number go
up technology. They see the writing on the
wall. This is the most successful ETF
launch in Morgan Stanley's history.
It's very similar to BlackRock, right?
So again, everyone's getting kind of pulled into number go up
technology and This is why this time could be different.
But I say that with an asterisk because every single time we say
that this time ends up not being different, right?
So it could be that again, we're having, you know, a a, a pump
before the sell in May and then go away.
It could it could be that could be the situation or Bitcoin
could actually finally break this halving cycle theory.
And if it breaks that halving cycle theory at at this point,
every other theory has been broken, right?
All the top indicators that were supposed to hit last cycle were
never hit. They were all broken, right?
I think you could make the case that the power law, but again,
they they, they kind of move the, the go post with the power
law a little bit. Yeah, I'm not the biggest fan of
the power. Law.
So like there's really no indicator for Bitcoin's price
action if it breaks. I'm going to be convinced if we
go above $100,000. If we go.
Above $100,000 in the next month, I'm going to be like, OK,
I think that there's a, there's a good possibility that, you
know, that 60K was the bottom. And I think that we could end
the year, you know, in, in new highs, which again, would be
completely, completely uncharted territory.
This has never happened before. But if you pay attention to the
fundamentals, if you pay attention to the parties that
are getting involved in Bitcoin, if you pay attention to the fact
that President Trump and his entire family have massive
holdings in this asset, they have companies associated to the
asset. I mean, dude, like, you know,
like it, it, it, it wouldn't be surprising either.
So that's the really big question that I wanted to I
want, I want you guys to take away from today's show is the
cycle theory debt is the four year cycle theory debt we should
release a pull Optie, why don't you do that well?
Well, before we do that, before I do that, I do have to
acknowledge what the chat is acknowledging that you have
finally Co opted my thesis here. So hey, it took a while guys,
but we finally got him around and but but I do.
I do want to mention though, even though we're all feeling
kind of bullish today, we're feeling good.
Obviously we're all kind of looking back at our first
principles right now. We do have to remember that this
is very normal when we see kind of the end of a bear market if
that's where we are or it could be a bull trap, like we could
have a little frothy price action like Nico said and then
sell in May and then we pull back a little bit.
That would still, I think be very normal and very healthy in
the, in the market and, and we've seen that happen before.
So before we just get too excited celebrating that, oh,
we're finally back. You know, we're going to go to
100K by end of day. I, I think it is very important
for us to kind of chill out and, and you know, Zen out a little
bit because. The, it's a very big question
right now of is this the breakout?
Are we finally breaking out? We did break out of that
downtrend from around October, which is very strong movement.
It's, it's very positive, but it's not going to just start
ripping right now. So, you know, I, I think
everyone's very cautious. Me and Nico, we're talking with
Luke this morning. He's he's bullish.
He's also a little cautious. He's all thinking like, at what
number am I, am I going to get very bullish?
I think he said somewhere around like 86 K and me and Nico are
just like, yeah, you know, that's probably not the best
place to be buying if you're trying to get back in the
markets and and get in bulk here.
If you're trying to get back in the market in size, it's
probably not the best idea to go all in right now.
Probably the best idea is to DCA like everyone's been saying and
we always continue to reiterate, like I, I wouldn't go all in
right now because it they, it's still very uncertain.
It could go lower. This could be a bull trap or
dead cat bounce, however you want to, however you want to
frame it, but it is starting to feel a little frothy.
It it is starting to feel a little bullish in in here.
Like if you're watching the prices a Bitcoin in a vacuum,
then you know, you're looking at that and you're like, OK, this
is interesting. But in the context of all of the
markets right now, I think that's probably the biggest
signal. If you're looking at all the
markets and everything's going up, then you'd kind of expect
that Bitcoin would also very healthily move as well.
So I wouldn't I wouldn't just, you know, get super bullish and
put like the HELOC on your house and you know, all of those
things that people start saying in a bull run, but it is very,
very good price movement. The the markets feel good.
Overall. It seems like the geopolitical
mess is finally behind us, at least for now.
So it it's feeling pretty good, but just don't get too excited,
you know, don't get a what's the saying?
Don't get a over your skis here, but now might be a good time to,
if you have been sitting on cash to get into the market and start
to DCA and and start to, you know, get get your position back
'cause it, this could be, it is basically what we're saying, you
know, TA for the day. It might go up, it might go
down, I don't know. Absolutely.
And by the way, guys, we started the show a little bit early
today because we have a special guest who's joining us.
We have Aiden, who's the CEO of Hive Digital Technologies.
They have a very exciting announcement and I'm really
looking forward to that conversation and it's going to
be fantastic. So he's going to be joining us
in a little bit. High Digital announces private
offering of 75 million of exchangeable senior notes due in
2031. And actually they raise it up
now. It's not 75 now, it's up.
Now it's 100 million. So really excited to talk about
that. Idan's going to be joining us in
about 15 minutes or so. So going back to the
conversation, Opti, you know, this is crazy.
I mean, is Trump playing 4D chess?
I dude, I don't like to say it because like, I don't.
Like to be a plan truster but man I want to pull up like do be
looking. Like that, I want to pull up
Mateo, the CEO of Orange Palap. I want to pull up his meme
because I think it's super fitting for this specifically.
Mateo posted this and I think it's, you know, it's hilarious.
I'm not ready to give up on this, man.
And of course, it's Trump's famous picture from the
assassination attempt before he got up and said famously fight,
fight, fight, fight. And I got to say like, I, I was,
you know, I'm going to label myself Optia.
I'm going to do it. I'm going to do it for the
views. I'm going to do it for the
audience. I'm going to do it.
I was a little bit of a
panicking bro. I was a little bit of a
panicking. I'm the first one to say it,
man, because I was just like, dude, like this is such a
terrible situation. I don't know how he's going to
get himself out of this. Israel's not going to want to
end the war, you know, because they have larger plans in in the
region, which of course you can't blame them.
And of course the United States was involved.
But it seems like the United States is seeing this and
they're saying like, look like this is horrible for energy
markets. This is this is horrible for
energy markets. This is horrible for markets in
general. And it kind of force the
president's hands to make a deal with Iran like that, that, you
know, and, and I did not believe he was going to be able to do
that. I went on record last week and I
said, I don't think he's going to be able to do that.
Like, I don't know what leverage he has, but it seems like he was
able to pull it off, right? And Trump has had this record
man of overcoming these crazy obstacles that he hasn't that
he's that he hasn't, you know, had to live through during his
political career. And, you know, it seems like he
overcame it. And it seems like the markets
are responding in kind. Now.
The question that I have for you guys, which is what we saw
during Trump's first year in office is we saw something very
similar regarding every single time the price would pump.
He would like fat finger on Truth Social to talk about all
these tariffs. The price would drop like 50%,
including the markets, right? And now we find ourselves in a
very similar situation. So like, did Trump just bomb
Iran to destroy Iran's mining infrastructure, dump the price
of everything and just buy the dip?
Like, like, I know that's a crazy stretch to say.
Well, well, it is what Tom Luongo has been saying.
Did Tom Luongo? Yeah, well, Tom Luongo has basic
been saying and he got a lot of Flack for this as as I've been
telling you guys, there's kind of two different theses playing
out right now. It depends on what side of the
aisle you are or rather who who you're listening to that are
kind of bit corners that have been analyzing the geopolitical
situation. It is like Simon Dixon on one
side and Tom Luongo on the other side.
And they're fundamentals, like their first principles are
pretty similar. It's just their conclusions that
are different. And Tom Luongo has been
reiterating the point that he's like, yo, this has all been
planned. He has been getting a lot of
Flack because he is kind of been a, a, what do you call it, a
planned truster. But from my perspective, at
least in this current moment, I have been signing a lot more
with Tom Luongo's thesis. I do like Simon Dixon.
We're actually going to do, Nico did an interview with Simon
Dixon this week. So that's gonna pop out this
weekend. But Simon Dixon has or sorry,
Tom Luongo has been saying he's like, yo, this is all planned.
This is all to, you know, get basically.
Control away from the City of London.
Exactly. And now what?
What? You know, the chat freaked out
on me the other day when I was mentioning, I think it was
Monday when I was mentioning that the most interesting thing
that happened over the weekend was that we saw all of the oil
tankers leaving the Strait of Hormuz and going into the Gulf
of America or Gulf of Mexico, whatever you want to call it.
And to me, that was the most interesting thing that led to me
kind of leaning more towards Tom Wongo, that this did seem like
the master plan. And I saw this interesting
Instagram Reel and I, I was thinking about playing it for
you guys on the show. I don't know if you saw it, but
the headline of it was like, what if Trump's plan was to
quote, lose the war in Iran because he wanted the skirmish?
And now as we've seen a result of that is the US is now
basically the biggest oil exporter.
The Petro dollar system is still in place and probably stronger
than ever. But not only that.
It's it's very interesting, like you know the.
The NASDAQ is reaching all time highs, right?
Like the NASDAQ is reaching. All time highs SP500 NASDAQ, Dow
Almost we could. Have never have imagined that
you know, a week ago it was like inconceivable like it like it
the game theory didn't make sense.
It seemed like Iran had all the cards right like they had this
warfare asymmetry where it cost them so little to produce these
drones that again could threaten the the the crossing of ships
through the Strait of Hormuz and it just seemed like there was no
card there to play. But all of a sudden, the
straight is open now. Markets are at all time highs,
right? And again, you know, Iran's
leadership has been taken out, right?
So, you know, from, like, did the United States lose the war
in that regard? It's like they definitely damage
Iran's infrastructure. Well, maybe it's a lost the
battle but won the war. Iran, Iran's hash rate dropped
by like, I don't know. 77%. Hash rate dropped by 77%.
The stock market's making all time highs.
I'm sure oil gas prices are going to start going down.
So again, Nico's been watching too much Glenn Beck.
Dude, I'm I'm just observing here.
I'm just wait wait wait. I let before you go.
I I do have to agree with the chat bro.
You think you still you think this wasn't planned.
Well, no, no, I I have to agree with the chat and with you that
you you were, I didn't. Even know what the chat.
Is saying, you said basically that you were a little bit of a
panican and the chat was losing it on you when you were going,
when you were doing your politics stuff?
Because they're like Nico's been watching way too much mainstream
media coverage. I don't watch mainstream media
but the panic and meme makes it to it makes it on X.
Like you hear the panic and memes right?
Like that's, that's the whole, you know, like that's the whole
defense by the, the, you know, by the White House.
It's like don't be a panicking, don't be a panicking.
At this point. It's like, you know, the Strait
of Hormuz is open. It seems like the war is
essentially done Iranian. Leadership.
It's a ceasefire. It's another 10 day ceasefire,
at least for now. Yeah, but we we've seen Trump
play this card before. He does it with the tariffs.
It's like, oh, we're going to stop the 5050% tariffs for 10
days, right? So it seems like he's like, you
know, pulling these strings that we're just not aware of, like.
Even wait, the real test is gonna be tonight.
I'm sure there's gonna be a tweet and it's gonna be the
complete opposite about what? You know, like totally.
Oh wait, they didn't close it. We're going to go in again.
Who knows? That's gonna be the interesting
part is watching tonight and seeing if there's a complete 180
on. The ceasefire in the Strait of
Hormuz being opened. But right now, like right now,
it just seems like it seems like it seems like the trust the plan
people. Kind of, right?
Are are are getting a right? Wait before we go.
It's one of those things of I saw a good meme.
I mean bro like even the the the guy who can't be named very
popular rumble live streamer like he got it wrong.
He got it wrong but but I I saw this tweet.
No, but he did get it wrong. Yeah, well, it hasn't resolved
yet. We haven't.
I mean that we let's let's not be too quick to say this is over
yet, but it does seem like this at at least according to the
president, that the Strait of Hormuz is going to maintain
being open. And but it is interesting when
you think about it. But but it's hold on.
It's not just him saying that dude.
Well, one thing is him saying that, but like the ultimate
source of truth are markets. Yeah, it's not just him saying
that markets actually believe. Yeah.
And well, but that that that that actually I.
Agree. But the interesting part is, you
know, we did the war in Iran allegedly over, you know,
nuclear power. The Strait of Hormuz was open
before the war. And then we literally just got
back to what we had before the war to get the Strait of Hormuz
open. So I don't I.
Don't think so, because like think about the what they've
achieved, right? They they really hurt Iran's
infrastructure. They took out the leadership
right, which is one of part of the goal.
The stock market is making all time highs.
Oil dropped 30%. Iran's hash rate fell by 77%.
Like brother, like. Brother like my brother.
Like, dude, you know, like, like maybe the stated objectives were
never really the stated objectives.
I'm judging the tree by its fruit.
I'm judging the outcome, and the outcome actually looks very
favorable to the United States. Well it is funny that you went
full panic and now you're going full plan.
Truster, I'm not saying that I'm just observing things.
I'm seeing things, bro that like are obvious to me.
That's my opinion. That's just like my take on all
this, right? So I don't know, man.
But anyways, we're going to have Aidan Killick, CEO of Hive
Digital Technologies, joining us in about a couple minutes, so.
Let's just let's hit the transition.
We'll we'll cover the numbers. Let's do it.
Yeah, Yeah. Here we go.
We'll be back in just a SEC guys.
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back. At the time of recording, the
Bitcoin price is $78,080. SAT's per dollar 1281 block
height 945,498 Realized monetary inflation .83% Market cap 1.56
trillion Bitcoin versus gold market cap 5.21% Percentage
issued 95.31% decline from all time high -38.1%.
So we're still quite a bit from the top, man.
If you're buying Bitcoin right now, you're getting a a 38%
discount. So that's a pretty, it's a
pretty, it's a pretty big discount if you're if you're
buying Bitcoin right now and you're thinking long term, of
course. But anyways, I do want to play
this clip. I found it quite interesting.
It was in reference to Charles Schwab.
So Charles Schwab CEO says the platform has already rolled out
Bitcoin trading in internally with employees actively trading.
Customer access is set to launch in the coming weeks.
Bitcoin is going mainstream. Let's check it out.
Again, all of this is happening during supposed bear market
action. Let's check it out.
Got it. Well, we rolled it out to
employees to test it and pilot and our employees are loving the
experience and actively trading on our on schwab.com today with
with crypto and we'll launch it out.
We'll launch it to clients in the coming weeks.
Couldn't be more excited about that.
In terms of the target client, I think it's existing clients at
Schwab that want to hold crypto. They're already active in crypto
through exchange traded products today and they want to hold spot
crypto. We also are excited about the
fact that many of our clients have built crypto positions
outside the firm and they've been asking to be able to hold
it at Schwab, at the institution they trust and the institution
where they keep the rest of their assets.
And so to have their financial life in one place is attractive
to them and we can't wait to make that happen when we open it
to them in the coming weeks. I also wanted to follow up on
the teen accounts that that you're doing.
I mean, clearly there's, there's demand that you're saying you
want to lock in younger, younger investors.
You know, yet last week Bank of New York Mellon and and Robin
Hood announced that they were participating in the Trump
accounts. And I wonder if you see this as,
as competitive now, this, this play to lock in kids early and,
and take that kind of share. Our, our mission is to make
clients better off in their financial life.
And one of the most powerful ways to do that is to get people
saving and investing early on in their life because they get to
see the power of compounding. We're huge, huge backers of the
Trump accounts. I think that was a great move.
There's so many people in our country who don't get it engaged
in saving and investing and to be able to offer them at birth
so they see the power of what compounding can do to your
wealth and to your life, I think is an incredible move.
The team accounts will extend upon that and, and, and we're
thrilled about that. We're thrilled to support the
Trump accounts as well. We're going to match the
Treasury's contribution to our employees.
We're excited about both programs and really want to do
everything we can to help the young investor in our country
thrive, to recognize the power of saving and investing and to
be able to differentiate that from some of the messages they
get on other platforms about gambling and and things along
those lines. So I mean, dude, that's pretty
crazy in regards to the like it is a massive I mean this is this
is full circle Opti for anyone that doesn't know the Opti lore
Opti originally when we first got into the market back in the
20/16/2017 era it. Was before I even knew about
really about Bitcoin. Opti tried to open an account
with Schwab and they they. Said get out of here, you're
broke. You can't open an.
Account they denied him and OPT which is a good thing.
It was a blessing in disguise 1. 100% I wouldn't have found
Bitcoin. Because then you got into
Bitcoin, right? But it's, it's a, it's a full
circle for you. Opti.
I want to get your thoughts. Yeah, because they're, dude,
they're going out there and they're saying, listen, we're
rolling out Bitcoin trading for our clients.
We're rolling this out. It's already live for our
employees. We're rolling this out for a
retail client. And for anyone who doesn't know,
Schwab is one of the largest brokerage platforms, you know,
in the United States, like they have, you know, a a ton.
They have a great reputation. That's a lot of high net worth
individuals use this platform. And the fact that again, you
have Morgan Stanley launching a Bitcoin ETF, you have Citibank
basically making the case that we're ready to Charles Schwab
Orange Polopti that that comment that's the top comment of
today's show. I mean, bro, that that
definitely means a lot like it it it definitely, you know, this
is full circle for you. How do you?
Feel I was right and you know, F Charles Schwab, but also thank
you so much that I was too broke to open an account because I
wouldn't have found Bitcoin. Now part of that story is if, if
you haven't heard the story, it's basically in 2016.
I asked my friend and there's actually 2 points here that are
popping to mind now when I think about this in 2016, I realized
like I was broke. I was, I was not only just
financially broke, but I was mentally in a bad place.
It was like my lowest point basically at 2016 and I asked
one of my friends who I knew his dad kind of taught him how to,
how to trade. And so I literally asked him and
there's actually funny parts of the story.
I, I asked him, yo, hey, can you teach me about trading?
And he was like, yeah, bro, like come over.
I'm like, cool, I'll buy, I'll buy you lunch.
And he basically went like this. He's like, look, all you got to
do is basically open a Charles Schwab account and watch my boy
Jim Cramer on hard money. And now I always laugh about
this because in Bitcoin we always look at Jim Cramer.
It's like inverse Kramer works every single time.
He he's literally selling exit liquidity as good buys.
And so I always laugh about that point.
But while I'm talking about this, it is interesting what
Nico's been saying, Like Charles Schwab is one of the biggest
trading houses. Like when you think of trading,
most people probably think or have a Charles Schwab account
and it's like, just go to Charles Schwab, they'll take
care of you. And essentially the short of the
story is I went to Charles Schwab.
I literally had to go to a physical location and I had
$250. And I'm like, I want to invest
this money. This was before Robin Hood.
And they basically said, oh, that's cute, you need $2500 to
even open an account. And I was like, oh, thanks,
dude. Just humble, you know, tail
between my legs. Walked out and was like, I'm too
poor to even open an account at Charles Schwab.
Like, there is no hope for me. I'm never going to escape the
matrix. I'm cooked.
It's over. Like, I just, I better just be
happy with being a peasant for the rest of my life because I
can't open an account. And then shortly after, while I
still was kind of percolating on this idea.
Is this Opti vindication? 100% no.
My other question is, do you think they're still going to
have $2500 limits to buy Bitcoin 'cause if that is the case,
there's better places to buy Bitcoin 'cause you can actually
buy $250 a Bitcoin? Yeah.
I mean, I don't know. That's a good question.
I mean, what is the minimum? I got to look that up in the
background. I don't think, I don't think
it's, it's probably not out yet, but another point actually.
Oh, by the way, we got the one and only Idan Killick joining
us. And here we go, ladies and
gentlemen, Aidan Killick, he is the CEO of Hive Digital
Technologies. He's going to be joining the
show in just one second. I'm going to pull Aidan up on
screen. Aidan, thank you so much for
joining us. Hey.
Good to be here, thanks for making the time.
Absolutely, absolutely. I love it.
I didn't.
We got thousands of people watching.
Welcome to the show. Massive, massive, massive
announcement for Hive. I'm going to pull it up.
I'm going to pull it up up on screen.
Big announcement. I didn't, I, I I'm going to pull
up the initial press release, but it seems like the number was
increased, so I'm gonna read it off screen.
Hive Digital announces private offering of 75 million of
exchangeable senior notes due in 2031.
That number is not 75,000,000 anymore, it's 100 million.
Let me hit the Aiden. This is a big deal.
Congratulations. First of all, could you walk us
through this? Yeah.
So Nico, we were incredibly happy with the outcome.
You know, I think it's a reflection of the support that
the investor base sees because when you, when you get 0 coupon,
this is a, this is a exchangeable note that there,
there's, there's no interest in, and really the upside is in the
conversion premium. Fundamentally, these are, you
know, a, a new type of security. So it also gives more liquidity
and exposure to a different class of investors that invest
in convertible bonds. So we're really, really pleased
with the outcome. There was, of course, I can't
speak to the exact figures yet, but clearly the fact that it was
upsized from 75,000,000 to $100 million shows that there was
incredibly strong demand. And really it's it's a catalyst
for us to accelerate all our initiatives that we have going
this year for the business. And we've presented, I was at
the Roth conference, I was at the Cantor conference, I've done
a virtual with Joe Vaffe at Canaccord.
So the update and story on Hive is, you know, we really, we
ended 2025 with 20 million ARR on the HPC business and the
targets to 10X that to 200 million by the end of 2026.
And so the same way that we scaled from 6 to 25 exit hash in
2025 is the same way that we're going to scale from 20 to 200
million in 2026 on the HPC business.
And you know, we're builders, right?
We, we, we will land bank, we build substations.
It's, it's heavy industrial high voltage.
I put out a photo on Twitter. I don't know if you guys could
put my handle up there. I, I think it's just I can kill
like a high digital tech, something like that.
And it was a photo of, of the civil work being done for the
100 MW expansion in Yowazoo. And you know, you're, you're
seeing them trench. They're pouring concrete pads.
Because when, when we talk 100 MW substation, what that really
is is it's 280 MVA Transformers. These things are massive.
They, they are transported on ocean freighter.
These are going to arrive in June and they'll be commissioned
over the summer. And and then you're doing site
clearing and you know, we've bought massive tracts of land by
the substation in Paraguay. So we have expanded to over 50
hectares. So that's really exciting.
And coming out of the NVIDIA GTC conference, what was remarkable
we've we've been going out for the last few years.
I think it's well known that we are an NVIDIA cloud partner.
We've been running cloud GPUGPUS on our cloud really since the
beginning of 2023, post ETH merge.
And for those that are new to the Hive story, we used to be
one of the world's largest Ethereum miners.
We had 130,000 GPUs at the peak. We represented 6% of the global
hash rate for Ethereum and that was a phenomenal business.
You know, in the best of times it was 95% profit margin.
I think the on a dollar per kWh basis.
You know, I'm an electrical engineer, so I'm always going to
bring it back to the physics and the fundamentals because Hive is
always orchestrated to compute whether it was a theory of
mining Bitcoin, mining GPU as a service.
The common denominator is what is your dollar per kWh and then
from that, what is your ROI? And you get your power bills in
dollar per kWh or dollar per MW hour.
So it's just so important to understand what is your cost
base and what is your top line and as those as either fluctuate
power contract or depending on the you know, variable nature of
your top line. Obviously Bitcoin mining, any
crypto mining is going to have a highly fluctuating top line
representing dollars per kWh. And so fundamentally
understanding that etherium mining was like $0.90 a kWh and
the bull markets and you know, maybe still 40 to $0.50 a kWh in
in bear market. So GPUs, even for Ethereum
mining, we're three to four times more CapEx intensive, but
the profit density was so much higher per per Watt.
And so that's why in 30 megawatts in Sweden, we had
130,000 GPUs, AMD and NVIDIA. And leading into the ETH merge,
we had announced in 2021 July that we bought 38,000 NVIDIA A
series cards. I'm just going to center some.
How's the lighting? Maybe that's better.
And I'm just in sunny San Antonio, just where where Frank
is of course going to be meeting him for dinner tonight.
So we're we're really excited about the deal.
We'll circle back on the deal shortly, but just to give a
refresher to everyone that's tuned in.
So we had 38,000 NVIDIA GPS, the A Series A 40s, a six thousands,
and they were mining ETH and so they were doing great.
Now, when the merge hit, we took 400 of those GPUs and we put
them in super micro servers and we transplanted them into Tier 3
data center and we hit $1,000,000 ARR for 400 GPUs.
And we're over a dollar per kWh. Now.
In some cases we're getting almost $2.00 a kWh, which blew
crypto mining out of the water when you look at that.
And of course, yeah, your base operating costs are higher, but
your gross operating margin is A, more stable and B, higher as
a result of of the very high profit density from GPU as a
service. And so of course, we scaled out,
we got 4000 GPUs going, grew that to 10 million ARR on the
GPU cloud business, which I think was remarkable.
And we then saw something really interesting.
We had 38,000 of these NVIDIA GPUs.
We had 4000 that we put on GPU as a service and we hit that 10
million. And so that the remainder of the
34,000 we're getting inbounds like reverse inquiries to have
these cards. They were getting offers at 90%
of their face value. Oh way.
Three years after the fact. Wow.
So there was no depreciation and, and just to explain it to
the audience, right, Initially you guys were using this to mine
Etherium and then you guys took that hardware and you used it to
essentially service the AI business, right?
So you, you guys took you guys took pre-existing hardware to
service the AI business. And then because the AI, because
AI, the these LLMS like there, there's just so much demands.
The depreciation of the hardware didn't happen as if it would it
normally would, right? You would have this crazy
depreciation. So despite you guys using these
cards for three years, taking them away from Etherium, using
them for the AI business, while of course simultaneously cause 5
is a dual engine mining Bitcoin, you guys were did, were you,
were you comfortable selling some of these, some of these GPU
chips? I mean, like I don't get 90% of
its original value after extracting value out of these
chips for three years. I mean, that's a hell of a
business move. Yeah.
Well, I'll tell you why. It's because we, we, we were, we
saw a strategic inflection point where we realized we could
crystallize an ROI. So those 34,000 GPU's had been
mining Etherium and then all coins for the interim period.
And we thought, OK, you know, let's, let's sell these net net
with the income that they had made from operating over those
three years plus plus getting 90% their face value.
I think they had ROI 40% on operations and then we're
selling them for 90%. So we're getting 130%, we're
clearing 30% profit on our original investment.
Then we took that capital and we bought H1 hundreds and then we
bought H2 hundreds. So we scaled up to get the newer
Hopper series and the H1 hundreds and H2 hundreds got our
revenue to 20 million ARR. And you know, we started working
with Dell and Supermicro and all these OEMs are great.
It's kind of like, you know, there's so much so much overlap
to the crypto mining game because you you you work with
bit main, you might work with Canon, whatever super micro and
so you the in in AI world yeah, it's all for the most part
NVIDIA GPU's, you know, AM DS coming out too, but really it's
a we run all NVIDIA currently we're NVIDIA cloud partner.
We're preferred partner in their AI network.
And but you don't buy the GPUs from NVIDIA.
You buy the GPUs from what's called an OEM.
Because if I just gave you GPU, you'd be like, great.
Like this doesn't do anything on someone.
It has to be in a server just like somebody for all you guys
that maybe played video games before laptops or gaming PCs
that had GPUs, you need the whole system.
You, you, you need a server. And that's really what the OEM
does. Dell is known as a, a computer
company, right? So they're making enterprise
grade servers. Now you're stacking AGP us in
there, you're going to be on the thermodynamics and making sure
you've got a good base band compute and all that stuff and
following video reference architecture.
I would say performance wise between Dell super micro HP, you
know, they're, they're constantly evolving and, and,
and trying to be better, faster and cheaper.
But the other distinguishing factor is availability and
timeline, because there's so much demand, you know, so if
you've got a client like I think right now we've got a couple of
billion dollars of, of demand of, you know, reverse inbound
enterprises, The I natives are like, hey, we'd love to get this
much compute now if you can. And of course, you know, we, we
work with the the best quality clients with the the strongest
backing and, and what we think are the best commercial terms
for our business and for our shareholders.
And we prioritize those and, and then we go to market to source
that compute and and bring it online.
And our partnership with Bell, which we'll talk about shortly.
So this is kind of how we arrive to where we are and touching on
that partnership with Bell, we which and Bell is the largest
telecom company in Canada. It's as if you partnered with
AT&T and AT&T said, OK, Nico, you're going to be our exclusive
partner. You're going to build a few
clusters. We're going to take our telecom
data centers, upgrade them for liquid cooled high power
density, so you can run AI clusters, but we're in the telco
data center business. You do the GPU sourcing, which
is very CapEx intensive. That's what we've done with
Dell, which is remarkable. And so it gives us a massive
demand funnel because they have all their enterprise clients
that they want to offer sovereign compute to.
And so it's a demand funnel for us and and Dell gets a, you
know, small single digit percentage for any customers.
They refer to us, obviously, which are going to be very blue
chip. And then on the other hand, for
customers that we bring that are not through Dell, but go in
these Dell data centers because effectively we're Co locating in
Bells data centers. Why 2 reasons QuickTime to
market because it's all again, again, time and place like
anyone can get GP us a year from now.
Like that's, you know, who can get capacity online today and
what do you need? You need it's like crypto mine.
You got to have your your data center complete.
You got to have your ASICS plugged in.
You can't if you have a bunch of ASICS on the floor or your data
center is almost complete, but it ain't.
You're not mining, you're not hashing, So you need all your
info and you need your compute ready and orchestrated and
deployed. So the Bell partnership gives us
a near term ramp to bring online that liquid cooled high power
density next generation data center capacity immediately.
And that was a big excitement. A few weeks ago we did that
press release with Bell that we expanded Forex the footprint.
So what that meant was we had a facility in Winnipeg, Canada,
kind of in the central Canada. It's like our Manitoba's like
are help me out here are Minnesota.
What what's kind of in the center of the US or maybe like
our Iowa, Manitoba's like our Iowa.
And so there's a data center there.
We stood up 500 NVIDIA Blackwell B2 hundreds.
And that was a deal through Bellin.
So that was a $30 million deal over 2 years, so 15,000,000 ARR
and that. And so we've already started
ramping. So we're at 20 million ARR
December 31, we're now at 35 million ARR and we're we're
laddering up. And this $100 million note deal
is, which closes next Tuesday, by the way, is going to, yeah,
it's, it's going to be amazing. It's just, it's just going to be
rocket fuel for us to to bring online more GPU clusters in the
Phase 2 Bell facility in British Columbia.
And so that's the big news. So now there's 12 1/2 megawatts
of capacity in the British Merritt BCS on the West Coast
where I'm based. So that's super exciting.
So we've got a big footprint of data center capacity ready.
Now was the, the new capacity in Merit was ready April 1.
And we've got, you know, 2 deals, 2 really exciting deals
with MO use in place for large GPU clusters that we're going to
be bringing to market. And so stay tuned for updates on
that as, as we announce the definitives.
And I think it's just going to be a really great quarter and
something, and the stocks performing really well.
We're up 15% today. Fantastic 58,000,000 shares, a
lot traded the last time I I checked.
So it's, it's good to be here, man.
And, and, you know, like, it's been a crazy busy week, you
know, dozens and dozens of meetings with institutional
investors. But, you know, I always got time
for simply Bitcoin. Well, thanks for joining us,
Ivan. It's always a pleasure to have
you on the show. And again, it's the, the series
of events blew my mind. So originally I got the PR
release and it was 75,000,000 and then the updated, the
updated news it, it went up to 100 million.
And I think the, the thing that's sticking out to me the
most, Ivan, is the fact that you guys don't have to pay any
interest on this. You guys don't have to pay
anything on this until 2031. Is that correct?
Correct. Yeah, it's a five year bond, so.
So that means again, please correct me and step in here.
I didn't if, if, if I'm wrong, but that tells me that the
market is extremely confident in you guys as a company to deploy
and extremely confident in you guys to make a return on it on,
on, on their investment, right? Am I wrong in saying that?
No, you're, you're absolutely right.
You're absolutely right. And that's why we were really
pleased with the outcome. And, and so I, I kind of want to
keep it super high level and just be mindful of, you know,
whatever was in the press release is the sort of the
extent of which I can opine on. But you, you interpret it
perfectly well. And I think that, you know, all
the feedback that we've gotten so far has been overwhelmingly
positive and. Yeah, so could.
You tell us, Aiden, a little bit about what you're gonna use the
100 million for 'cause that's a lot, that's a lot of money.
What? What are you guys going to use
that of course of? Course, So I I mean just to put
it into context, we're all about best ROI.
See same way we targeted when your ROI in Bitcoin mining after
cost when procuring A6, same way that we acquired the 300 MW site
in Paraguay, well 200 megawatts and and and built that out for I
think our blended average cost was 400 grand a MW in Paraguay.
We always think how is this, how is this going to make money for
the company and the shareholders in in the least dilutive way.
So fundamentally you need a low cost of capital which we now
have, I mean doesn't get much better than 0% coupon.
And in a way, just a quick note on that.
The way I think of it for myself at least, and this is just me,
me talking and I'm not an investment banker, I'm an
electronic engineer that's now ACEO and I work with investment
bankers all day and they're great.
But when you do an equity financing, usually you do at a
discount to your market price, right?
Really when you have a convertible note with 0 interest
and a conversion at a premium, it's, it's way better because
you're basically having the money to build the business.
It's way less dilutive, way less dilutive is what I'm getting at
because instead of if the shares convert, they're done at a
premium to your price, not a discount as if you didn't equity
financing. So I think it's, it's a much
lower cost of capital. And and then in terms of the
deployment to answer your question directly, as mentioned,
there's there's two large GPU cluster deals that it's in our
deck. So you know we've got we're
targeting bringing on 60 million ARR plus with one cluster and
another 60 million ARR. So again, the data center
capacity that's taken care of, it's our low CapEx strategy
because we really felt like under $5.
We're undervalued as a company. And so this partnership with
Bell, it allows us to scale low CapEx.
And then we've been meeting a lot of blue chip GP financiers.
GPS are emerging as an asset class Nikko, which is really
interesting. And what's so cool is that we're
seeing a lot of our friends shout out to Ethan at Luxor from
the crypto world that are now getting into sourcing infra for
HPC, you know, and, and I think that's really cool.
Shout out to Kevin, Kevin Zhang as well.
So all the all our friends because crypto mining is so
entrepreneurial and everyone learns so quick.
And So what we're seeing is really amazing blue chip lenders
that are willing to finance GPU purchases for single digit
interest, right high single digits.
And so for us, if we could get single digit interest lease to
own and you know, some of the earlier deals that were done in
this space on a no names basis, but you know, really expensive
debt with like press shares and and all warrants and all this
other, you know, SPV stuff, like we've not done any of that.
We just want least to own simple straight line.
What's your what's your cost, your GPUs, you know, you're
paying single digit interest and at the end of the term, you own
them. That's it.
Like no, no funky weird financing.
And so that deal with a, with a bit of a down payment is what
these the use of proceeds will be.
So it'll be a down payment for each cluster, right.
And that really gets each cluster funded and financed.
And, and then we move to definitive and, and we bring
these deals online. So again, it's, it's just a
building block. So get the data center capacity
with Bell that's announced, funding is in place, finance
large GPU clusters. And by the way, another thing
I'm going to point out just for your kind of more like investor
savvy viewers is I spent a lot of time talking to people on
Wall Street. Wall Street doesn't want to
speculate on the residual value of GPU's in two or three or four
years, even though I started with that anecdote of us selling
our A 40s for 90% of their costs.
But that was that was, I would say that was luck because I
don't think it I don't think anyone knew that they those
hardware devices would be able to be repurposed for the
incoming AI demand. Correct.
However, however, it is a real data point.
We transacted on it. We made money.
It wasn't just like, you know, we saw something on some web
page and we're like oh look at that and took a screenshot and
told everybody, you know, we transacted on 34,000 GPU's, made
that money back and reinvested it.
And just a spot check. I had Mario on our team double
check and he went back to the market to get the prices on
those a 40s today and you go, those cards we bought for 4200
and there's offers like almost $3000 per.
That's like 70% and now they're five years old, right?
And here's another, here's another stat.
I just confirmed this on our morning call.
We huddle every day, seven actually.
It's nice being in Texas. Our morning huddle is at 9:00
AM, not 7:00 AM like when I'm back home in Vancouver.
Me and Darcy always start a day super early and go super late.
It's pretty common for us to knock out 12 to 15 hour days.
But you got to love the game, right?
It's just for the love of the game and the the marketplaces.
So we have still have our A Series cards on demand, but
going forward all our GPUs are long term contracts.
We still have our A Series cards on demand, they just up increase
the prices by 10% for all our cars on the marketplaces.
So H $204.00 an hour, H1 hundreds are getting like 3
bucks an hour, a 40 is getting $0.44 an hour.
So still really strong demand which is amazing.
And I mean 4 bucks an hour for an H200 on demand that's that's
that's healthy. But, but going forward for these
large cluster deals, you know, the street wants to see
three-year plus deals because if you are aligned 2 1/2 years,
it's really simple. This might be helpful for, for
the broader audience, if you can ROIAGPU on a fixed contract in 2
1/2 years. Well, if your contract's two
years, you're almost there. Now we're really confident.
We're sure those GPS are going to be worth at least half, maybe
6070% at the end of that term. And you can say, well, I've ROI
the GPU like 90%, they're going to be worth 60% when I paid for
them net, net, I'm still had 50% on my investment.
But like Wall Street doesn't want that kind of speculation.
They want to know that you've signed a contract that's 100%
paid off that you use. And then people might say, well,
hold on, why would why would a customer sign a contract just to
lease the compute for more than the cost of the GPS?
Well, because that's just the cost of GPS.
You still have to orchestrate them, install them, operate
them, and that's the whole thing.
And that's just a different business.
The compute is way more valuable to them.
They have asymmetric upside because of compute is so
valuable to them in a timely manner.
What I keep threading through our conversation today is time
to market. So everybody wants compute
today, not in 12 months. Of course, because they, they
don't want the, they don't want the GPU just unplugs without the
necessary infrastructure, because HBC does require a Tier
3 center. They don't want, they, they
don't want the, you know, they don't want the device on a
shelf. They want to have confidence in
a company's ability to not only deploy, but to have these
computers online. And then that's I think what
they assign value to. Yeah, exactly.
And so the street really likes to see three-year plus
contracts. I think Corgi is well known for
doing 5 year GPU contracts and then you're in a pretty lofty
territory. I mean people say Oh well it's
Cypher and Wolf are getting the best multiples because they're
doing Kolo and I get that narrative.
I understand core scientific wants to get a billion dollar
NOI just from multiple long term Co location leases just selling
powered shell and then you become like a digital Realty and
you get crazy multiples that we fully get that.
And guess what, we still have New Brunswick, we still have our
Toronto airport site. We still have little Bowden.
So these are all like little Bowden.
We, we did a, a trip a couple years ago, we flew at a bunch of
analysts to tour the site. It's a beautiful data center.
Like not all data centres are built equally.
It is a GPU data center and that one is is a great candidate.
Bone's a military town by the way, our Toronto airport data
center. Also, it's not a crypto mine.
It was actual an enterprise data center that we bought.
Amazing proximity, lot of reverse demand on that.
It's only 7 megawatts. But when you Co locate that's a
beautiful edge site. So right now military and and
certain industries, hot enterprises have high demand for
edge sites. Edge sites, meaning kind of in
cities, so really good proximity and they don't need to be big.
Those are strong demand. And of course, yeah, like people
say, oh, but if it's not a 300 MW site, then, well, there's
only 5 hyper scalers on the planet really that are buying
those. And sure, they have massive
demand, but there's huge demand for 30 MW and 80 MW data centers
and everything in between. So we've got some exciting
things in the pipeline, which we've talked about.
By the way, a lot of this is in our investor presentations.
You watch our earnings webcast, you'll see all these details and
we are going to be building up the HPC Colo revenue stream as
well. And, and I think that'll be
really excited. But the, the, the, you know,
excitement for today get these large GPU clusters online ramp
that HPC, sorry that GPU cloud ARR from 20, we're at 35 million
now to north of 150 million. I'll get that out.
And, and we still have GPS incoming for Winnipeg.
We hope to do 500 GPS 1/4. Again, this is all in our
projections in the investor deck.
So net, net with, with everything in the pipeline, the
target is 200 million ARR on the GPU cloud business.
And then we've got approximately another 100 million between the
New Brunswick site, Toronto and Little Boden, which would be
2027 to bring online that compute as we retrofit those
data centers. They're all functioning today.
Toronto, Boden and New Brunswick are functioning as Tier 1 crypto
mining operations today. And we'll go through and we'll
provide the street more updates on that, which is really
exciting too. So I think that I think I've
covered it. Oh, we didn't really talk about
one way, but that's that'll you'll have to.
One final announcement as well. You guys are now on the not, You
guys are now on the Toronto Exchange, not the not the TSX
Venture Exchange. You guys are on the Toronto
Exchange. Is that correct?
Yeah, man, everything's we're, we're in the major leagues now.
We're a NASDAQ, a NASDAQ 90% of our volume.
So effective April, first of all, actually US domestic filer.
So US domestic filer, we file US Gap, our principal executive
offices here in San Antonio. But as far as our Canadian
liquidity, we have now graduated to the big board as well, so.
Fantastic. Go bigger, go home, baby.
Yeah, fantastic. In Canada and Colombia too, and,
and, and, and of course, and, and, and the NASDAQ as well,
which I was there for the, for the closing bell ceremony, which
was fantastic. Idan Killick, everybody, one of
the smartest minds in the industry, president and CEO of
Hive Digital Technologies. Hive was literally the first
publicly traded Bitcoin miner. And again, it's a dual engine.
So not only are they a Bitcoin miner, they are an AI machine.
And, and Idan just laid out their future plans for the next
couple quarters. Idan, it's always a pleasure to
have you on the show. Thank you so much for joining us
and breaking it all down. I always enjoy our conversations
and I'm going to see you in Vegas in a week, which is going
to be fantastic. So we're going to be, we're
going to have two conversations back-to-back and of course we're
going to be releasing all of this on the Simply Bitcoin
channels. And we of course the hide and
the, the, the hive, the Hive merch is, is amazing.
I'm wearing, I'm wearing the Hive Hive vest on right now.
Guests are only for the executive.
You know, the fact that you got that you're part of the extended
family, man I. I love it, I love it, I wear it
every time you guys come on the show, but I didn't.
Thank you so much for joining us man Thank you.
Enjoy your Friday and enjoy the weekend and I'll see you in
Vegas. Yeah.
And I just want to give a special shout out to Frank
Holmes, our Executive Chairman, Co Founder, Darcy Debaris.
Darcy and I, we crank through dozens of investor meetings
together and you know, our team is is functioning.
We just keep evolving. You know, we have a really high
performance work culture at high.
We've attracted incredible talent and and I'm so excited
for what we have ahead. We're the longest standing
C-Suite and two Bitcoin having is a theory emerged.
We built our own ASIC miners just first to put the income on
GPU cloud on our income statement.
So it's going to be awesome. We'll see you in Vegas, Nico.
Thank you for taking the time and it's always a pleasure.
Honored to be here. Thank you my friend.
Thank you. I didn't appreciate it.
All right, guys, we're going to be right back after the break.
Go check out HIVE, digitaltechnologies.com and then
go check out their ticker on the NASDAQ Hive.
I didn't. Thank you so much.
Appreciate it. I want to give a shout out to
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15% off anything on the store. All right everybody, it's the
Friday show. We've made it Opti.
I wish we we could play this without getting copyrighted, but
here would be an appropriate time to play.
We are the Champions for making it another week with a crazy,
crazy price action. Trump playing the 40 chess game.
Yeah man. How are you?
Are you OK? How you doing?
No, I'm dying not. Literally.
Not literally well, kind of dude guy I I was already telling you
my stomach's so cooked today. I I was eating snacks late last
night. I had the munchies not because
of any, you know, any plant usage.
I just had the late night munchies and I woke up this
morning and my stomach is is so cooked.
I don't feel that good. And then Sophie made me some
breakfast and it just made my stomach even worse.
So I'm struggling to just get over the finish line, to be
completely honest with everyone here.
But hey, Price Action's looking kind of good, so he feels a
little better, I guess. Are we back?
I don't know, man. I don't.
I don't know. Are we back?
Could be could be a bear trap. I'm trying not to get too
bullish, to be honest with you guys, 'cause I, I don't want to,
you know, come back on the show on Monday and be like, actually,
it's, it's not over. I.
Want to address this? I want to address this comment.
Nico wasn't here all week, but he wants a trophy.
This is very true. I, I want, I, I wish I had a
trophy with me. I would, I would give it to Opti
cause Opti did Opti did hold it down all week.
Guys. I I the the days that I don't
make it on the show Opti could you can you back me up?
Here, I'm not backing you up because I want to freaking end
end it all. No, you don't.
I don't want to do this anymore.
No, no, I'm I'm trolling. I did get a little black pilled
on Thursday. Niko.
Niko was trying to cheer me up before the show and I was
cooked. But yeah, Nico Nico's not on the
show 'cause he's doing stuff it. He doesn't get breaks.
But it doesn't mean I'm not going to give you shit for it.
Yeah, I mean, look guys, we just brought on a new creator.
Oh yeah, yeah. Go watch Hurley.
Let's go. Go watch his new video.
He dropped his new video yesterday and you guys have to
check it out. It's fantastic and we're so
hyped to have you know. An MVP of his caliber joined the
team. Dante, Hurley, Sophia and
Ocean's creating original content for you guys.
So this week was was the logistics of that, you know, and
just getting everything ready behind the scenes.
You know, it, it takes a lot guys, is it?
We're, we're, we're a 15 person team.
So I kind of have to wear 2 hats, which is, you know,
running the company and making sure things don't meltdown and
also being a host. So Opti is literally a
lifesaver. And yeah, but.
Well, I'm saving your life by destroying my own.
That's just part. That's just part of the problem.
Stop saying that my life's in. Shambles over here guys I'm I'm
doing my best no, I'm I'm actually good guys don't don't
worry I'm I'm I'm like actually good I'm just I'm just trolling
I'm. Just trolling.
It's just fun. It's fun.
You know the funniest part about Nico is I like constantly joke
all day every day. Like I the only time I probably
say something serious is on this show.
And even then I'm still joking half the time as you guys are
aware. And I just like rage bait and
troll Nico all day every day. And he doesn't get that I'm
making jokes the whole time that I'm like literally not serious
90% of the time. And he takes it very seriously
and he's concerned, but that's just the way it goes.
I also got a comment which is, is ocean out?
No, of course oceans is is a partner of simply.
We just haven't recorded the ad yet, but that will be out next
week. But yes, go check out Ocean No.
I think he means. I think he's spelling oceans.
Oh, oceans. The creator.
No Oceans is still with us, of course.
Yeah, I think that's what. It's O.
It's OSHINS. Yeah.
Oceans. Not I think that's what the
question is. I I think that's what it was,
but but yeah, man, what a week. What a week.
Wait down under Blues pop these 42 Iqs really taking advantage
of it's pretty. It's pretty crazy, man.
We had two C, We had two heavy hitter CEOs on on on this week's
show. We had Brandon Green, CEO of
Bitcoin Magazine and then we had president and CEO of Hive
Digital Technologies, Idan Killick on today's show.
So man, what a week heavy hitters you guys got to tune
into simply, you guys won't get this content anywhere else.
So yeah, but anyways, guys, thank you so much for putting up
with us tuning into our show. We wouldn't be here without any
of y'all. We appreciate you.
We love you all. Thank you.
Smash the like button. Consider subscribing.
I'm going to take out. I'm going to take Opti out on a
date tonight. Pause so I could do a steak.
Steak sounds nice. I'm going to take out.
Sushi. We should just go to Benny's
bro. No, I don't want Benny's bro.
Why not? Benny's is mid.
Benny's is pretty good. That's not dude.
I'm a classy broad. If you're going to Take Me Out
to dinner on a date, it's not Benihana's.
OK, So what steakhouse do you want to go to?
I don't know if I really want a stick.
I kind of, I'm kind of craving sushi.
Want to do sushi? We do catanas.
That be lit, yeah, but that's late.
Yeah, it's it is kind of late. Let's do the one right here.
So I'm hungry anyways. Let's let's or actually we, we
actually have time. I I thought we were, we started
early and I thought I had to hit the meeting right now, but we
got like 30 minutes. Should we do some one minute
charting? Should we do some one minute
chart? Boys, we'll do some one minute
charts. Just just just, you know.
Just end it with that. Just to give the people what
they want. It's not a meme meme Friday.
It's a. Why don't we do meme Friday bro?
'Cause I have to prepare a memes I gotta and also do the memes
have been pretty mid. Is it?
Is the era of memes over? Honestly like you guys want
memes then make better memes OK? Bro pizza Pizza Rustica is
absolutely terrible. That's where like all the
tourists go. Why would you?
Why would you even suggest Jake I?
Don't even know what that. Is you've lost the sauce.
But also, it's pizza. It's pizza.
There's no K in pizza. It's pizza.
I'm saying it right? There's no X, so how do you say
it? Pizza pizza.
You don't say this is SA. Pizza.
Oh, no, pizza again. Yeah, dude, there's no K or X in
it. It's just ZA.
You know, you hear people get the ZA.
Look at the comments. So Opti says Sophie's cooking
sucks. No, that's not what I said, that
she's actually an incredible chef, all right?
She's actually a very good chef, for the record.
Everything that she cooks I usually eat.
But this morning my stomach wasn't feeling good and I took a
couple of bites and I was like, wow.
So you're telling my wife's cooking no?
It wasn't how it wasn't that it was.
It was all of the syrup on the pancakes this morning.
You know where you make your stomach feel better, Benihanas?
No. All right, pull up the one
minute charts, bro. What?
No, it's just a troll. It's a troll.
It's why why don't you want to watch?
Why one? Minute.
Because it's just fun. It's just fun to look at.
Let's pull it up. All right.
What are we looking at? The one minute chart, it's
bullish. So this isn't like a day or
whatever this. Is this is?
Like a one minute price action. Yeah, this is like. 12 hours or
something like that. OK.
All right. But it's just fun.
What's your TA? Saying.
My TA say is saying that the one minute chart is crashing and you
should short it with your whole stack.
No, don't do that. Don't do that.
Don't do that.
That's not financial advice. That is, that was a joke.
I'm sorry. Bad joke.
Bad. Joke that's just Opti trolling,
but I do want to give a shout out.
Foxy gets it. We're due, you know.
What we're doing, we're going to give away some Sats.
If you guys have made it to the end of the show, I'm going to
give away some Sats right now or I also want to give a shout out
to our sponsor as well. But hold on, let me give away
some Sats first. Get your Lightning wallets
ready. Yes, get your Lightning wallets
ready. Why is this not?
Or maybe not. Maybe we're getting rug pulled.
No. No, no, I'm waiting for the
e-mail. Oh, hey, there it is.
OK, so get your Lightning wallets ready.
We're going to be giving away from some Sats from our friends
over at OH, it didn't work. Why didn't it work?
Let's try that one more time. No, OK,
we're going to try to give away some sats.
We're in the process of giving away some sats, but it's taking
longer than usual. There it is.
Let's try that one more time. Let's see if it works.
Oh, it worked. Fantastic.
OK, all right, now it's time to give away some sats because you
guys have stuck around. We appreciate it.
So every time you buy Bitcoin on Bitcoin Well, you earn Bitcoin
well points. And you could use those points
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If you if you earn 69,000,000 points, you can literally Adam
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That's right. You can, it's like $1000 I
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So we're going to be playing the Bitcoin wishing well contest
live for you guys on air. Get your Lightning wallets
ready. We're going to toss a coin into
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wishing well right now. And first person to scan the QR
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You might need to zoom. In a little bit.
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now you have won 210 sats. You got to get your Lightning
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And you got to do it before Opti does it because.
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You want to do that cool kind of fadeaway thing?
I forgot how to do it. Oh yeah.
Here. All right, all right, I'm ready.
I'm ready now. Now do it and, and All right
guys, thank. You so much for tuning in.
If you guys like the show, smash the like button, consider
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