Lsinclairegendary Gold Trader Jim Sinclair Doesn’t Mix Words…

From Rory Hall:

I have argued that bitcoin, along with all the other cryptocurrencies, plays into the hands of the banking cabal. Virtual currencies, online only currencies or cryptocurrencies, in my opinion, have built in flaws that make them extremely risky, on a good day, and a tool of enslavement on their worst day. We recently learned there is a cryptocurrency that is available now and was designed specifically for central banks – the Utility Settlement Coin

It is no secret the banking cabal would like nothing more than to remove every piece of physical currency from the planet and replace the illusion of money (paper fiat currency) with a mirage of currency (plastic card or online currency). Why would I want to assist them in achieving this goal? As we recently reported the number of people using physical cash, globally, is already dropping at an alarming rate, which begs the question – why encourage these criminals to move it to the next level?

I have found that Jim Sinclair doesn’t really mix words. He tells you what he thinks, like it or not, about a given situation. On the subject of bitcoin he doesn’t really hold back and explains to, what I presume is one of his readers, exactly how he feels about bitcoin. I dare say Jim’s feelings are not restricted to bitcoin but to virtual currencies of every stripe.

Below are Mr. Sinclair’s comment to the reader

Dear G,

Bitcoin is a virtual game that is being made look better than gold or silver, to sell the concept of a world wide virtual currency.

It should change its name to “Nintendo Virtual Foolishness,” as it’s purpose is to win the hearts and minds of a public.

After that to construct a “Dollar Index Bit Coin” backed by tickets to Mars from Space Inc. with a picture of Elon Musk.

There is no computer game that can not be hacked, and there never will be.

Regards,

Jim

Seems pretty clear to me that Mr. Sinclair has little to no time for cryptocurrencies. I like Jim Sinclair.

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  1. I’m no rocket scientist, that’s for sure. Jim Sinclair & Bill Holter too, for that matter are held up as wise Yoda type masters….whatever. I’m seriously -underwater on both Au and Ag….if you measure in USD. Not unhappy about it–and still add as often as I can….

    However…..having been urged to get Bitcoin —and stubbornly resisting that counsel throughout the summer of 2011 while stacking phyzz like mad (Now with the benefit of 20/20 hindsight, had I put my “beer money” as it was being suggested at the time into Bitcoin  that I could have picked up for under $2…let that sink in..) and just let it sit there….I’d have like 250 Bitcoin today had I only added BTC until New Years day 2012…or basically House paid off free and clear for money I just pissed away….you tracking with me here…Jim/Bill or Rory?
    Well one, as I didand still do, can list all the reasons why Cryto’s are risky. Fine. I’m a Phyzz –if ya can’t hold it ya don’t own it guy- okay? Screw that….Despite my leaning on my own understanding and being blinded by my own biases… I totally missed the boat on Bitcoin…and it’s gonna bug me for a long time.
     
    Hoping that I can adjust and adapt as I grow older…In the last few weeks, with my Bitcoin learning experience so clearly in sight, I’ve jumped into the Crypto would, adding Ethereum at $8, roughly half what it was going for in June….it’s a small move, a move that might not only help me learn with skin in the game & diversify some. What NO ONE CAN DO, Including Jim Sinclair who’s ‘great wisdom’ hasn’t helped me a lick, NO ONE  CAN ARGUE WITH WHAT HAS ACTUALLY HAPPENED with bitcoin.

    • I would agree that no one can argue with what has actually happened with bitcoin. I think Jim’s position is that because bitcoin does not retain all of the properties of money, it is still just another substitute for actual money, subject to the risks of any other substitute for money.

      That said, with the advent of e-commerce and a real world economy, bitcoin might be the best way available to conduct transactions online (I’m sure not sending real money through the postal service to buy electronics any time soon).

      Bottom line though is that there is always a risk of any currency (paper or electronic) reverting to its inherent value of 0 while real money has and will always be a store of value.

    • @4 Oz- I hear you. Bitcoin first came to my attention in 2011 when it was trading around $40 or so on Mt Gox. At the time that was the only Bitcoin exchange out there. I was very close to putting in some money as a pure spec play but Mt. Gox scared me away when they asked me to fax them a copy of my driver’s license or passport to open my account. That was the deal breaker for me.

      Fast forward to late 2013 or so and I had another chance to get in with some friends who had decided to go heavily into Bitcoin mining. At the time I think it was trading around $170. I declined to get in once again as I was too busy buying physical silver. I should have thrown a grand or so at it as a pure spec play and forgotten about it but hindsight is always 20/20.

      Those that have been bashing Bitcoin have been proven very wrong over the past several years. It has performed the way gold and silver were supposed to perform during these very uncertain years. I do not own any and I still prefer silver and gold due to their physical nature. But with that being said I am not rooting for Bitcoin to fail. If nothing else it does have utility as a shield from local currency devaluation (see China & India).

    • Most of us missed out on Microsoft and Apple too.  No use crying in your beer… the difference is, bitcoin is dangerous, IMHO, look at Mt Gox, and the IRS being able to force exchanges to provide them with holder info… hacking, EMP, government control, Sinclair is correct, bitcoin plays into the war on cash and is EASILY controlled, manipulated or confiscated.  That said, as a trade, short term, might be some room to run yet…

    • >And on cue, Bitcoin drops 30%.

      It is called a pullback.  BTC already recovered to level yesterday.  Meanwhile silver down 80%.  That is not a pullback

      @JustTheFacts  Mt. Gox is an actual mountain.  I only used it for price quotes, and not much even then.  Your point is no different than approaching some street urchin selling you the Bronx Bridge and entrusting him with your money.  Bronx Bridge is unchanged.  Exchanges are for exchanging small amounts.  Using them as a vault is financial suicide

      A fool and his money are soon departed.  BTC does not protect the stupid from themselves

    • I too could have got in on Bitcoin under ten bucks but I believe that some form of this type technology will lead to the Mark of the Beast System , so I have stayed away . I believe in the end Gold and Silver will Shine .

      He that endures till the end will be saved.

    • The nexus for evil, or the psychopathic best effort, is Western Jew currency.  If you seek something less sinister look at holycoin or some variants.  In any case money is only a tool, colored by the hand that wields it

    • Always interesting to read Mr Sinclair’s opinion on such topics, much appreciated.  I’m still not convinced about the cryptos though.    …BTW: The term is “mince” words.

    • I am no rocket scientist either, but in June of 2011 I became aware of Bitcoin, and on day one I saw the most important feature of crypto-currencies, which was the ability to defeat capital controls.  I also saw who the smart guys in the room were, and who the REALLY dumb guys were.  The smart guys argued intelligently and eloquently for Bitcoin, while the dum dums had the same dumb arguments that have since been debunked a thousand times, while people like Chris Duane and Jim Sinclair are still reciting these dumb arguments six years later.  They are controlled opposition.  Discernment is everything.

  2. Bitcoin’s value is based on fiat currency. If the fiat loses its purchasing power so will bitcoin so you’d be no better off holding it. Imagine if bitcoins were worth 1000 Venezuelan Bolivars. A couple of years ago that would have been swell, but now…

    On the other hand, gold and silver are having their day in Caracas.

    I have a sneaking suspicion bitcoin was created as a honey pot to catch people fleeing fiat.

     

    • @Don Quixote Wrong.  BTC value reflects energy required to mine it.  Fiat is just a baseless number in a log book documenting a loan that must be repaid, with interest.  Debt is not money.  USA built upon debt.  All dollars belong to banksters, and you own nothing.  Look at real estate.  The title is not ownership, but only a receipt.  Only a land patent proves ownership

    • @Don Quinoxte   “I have a sneaking suspicion bitcoin was created as a honey pot to catch people fleeing fiat”

      BINGO…. you are absolutely correct.

      The cia inspired bitcon will see to it that the guvmint gets their “fair share”.

    • Good one, SN   ” years ago when silver was on a tear & lots of homes where getting left empty. I though about buying a neighborhood  for cheap, but then I figured the property tax would ruin me.

  3. Jim’s main point being,

    All Computers can be Hacked and especially true of the Chief Hacker, the US Government, NSA.

    BITCOIN is a Tar Baby looking to attract as many suckers as possible. Isn’t it odd that the the US Gov leaves it alone? They can and will hack Bitcoin when it finally becomes a threat to the USD Fiat lie.

    Got Phyz?  Got GOD?

    • Hackers build systems.  That is not the same as code breaking.  Your point is baseless.  Chinese supercomputers the size of a city block spend years breaking codes.  The 400lb Russian hacker eating Cheetoes in Texas lacks the skills.  Also the encryption of cybercurrency will adapt with technology.  Of course the cavemen will still banter about how airplanes cannot fly etc.

      PM is only good until you pass a metal detector, which is a $1 children’s toy

  4. Bitcoin train has left the station but if you gotta it’s not too late to climb aboard.  If you bought gold at $500 you’ve doubled your money.  Now sell and move into bitcoin.  In round numbers you are effectively acquiring bitcoin at $500 instead of current price of around $950.  Sleep better now?  Naturally as soon as you do the other shoe will drop and there goes bitcoin down the tubes.

    Bitcoin can be manipulated just like anything else.  My feeling is that if it can be manipulated, it is being manipulated.  The bottom line for me is that some wiseguys can, will and do, hack bitcoin.  I’d like to see them hack the tube of ASE sitting on my desk at the moment.

    • “I’d like to see them hack the tube of ASE sitting on my desk at the moment.”

      I would not like to see that because in phyzz terms, that would amount to an armed home invasion.  Not a good scenario.  :-/

       

  5. At the risk of being called a son of a bitch, the weird thing about BTC and Jr Miners is both have exhibited the tulip bulb mania.  BTC is up way over 1000% in less than a couple of years.  Junior miners are up in equal measure. My favorite BTC lookalike is JNUG, the triple leveraged proxy for GDXJ.  It was $2 a share this time last year ($20 prior to its 1 for 10 reverse split) and within 7 months it went to $30, a 1,400% increase.  I caught only a 4-5 fold increase in that time but quite happy about it.

    Things like JNUG are items I can understand but it took a driver license, passport, stool specimen, DNA sample and first born to get my Fidelity account to allow me to trade this rocket.  All kidding aside, Fidelity is a commission trading whore brokerage and allows any swinging dick to trade their life savings into the crapper.

    That said, I stayed the course after the gold price crash that took place during the election. F’ me I missed that PM price call. That took this JNUGgernaut from $15 down to $4.  S***! Missed selling at the top even though I  harvested a lot of cash at the top, rebought the stock and  then rode it down, right through the Trump Nov 8 election, thinking  gold would go up.

    Nope, the powers that be came in fast and furious and hammered PM prices.  JNUG dropped through the floor.  Fortunately I didn’t freak out and sell at the bottom when it hit $4.  At the time of this writing, JNUG is back to $8.33 just this week alone. Kind of like the BTC price rise.   If PMs even twitch higher in the next few months JNUG and other junior miner shares could double again. My ‘all in’ JNUG price is $13 so the recovery is within shouting distance.

    IMO  Bit coin is another means to get fast capital gains because entry is easy, the buying frenzy is strong, particularly in China where currency controls and restrictions on take capital going off shore are being smashed down on the people.  They are moving into BTC because that’s one of the few ways they can counter the devaluation of the Yuan which is down 8% and slated to drop even more this year. Maybe much more. The Chinese love gold, don’t trust their government and see the handwriting on the wall. I’d say it’s fair to say that most of us think and feel the same way.

    China is one Yuuuge world girdling bubblelated POS turd sandwich with 1,300,000,000 people being forced to take big smelly bites.  We could see some of these problems in real time this year.  So the basic protections remain the same today as they did over the last few years.

    Less debt, more cash, more precious metals, more Bitcoin for those who are into that sort of thing, situation awareness, and an itchy trigger or trading finger that might need scratching from time to time.

    2017 is going to be an interesting year for many reasons.  I look forward to it. I’ll let y’all know how my JNUG-heavy portfolio does in the next few weeks.

    • Stay away from these triple-levered etfs. Strictly day trading vehicles. Not buy and hold even in major bull or bear run. When all’s said and done the people who had unmargined investments in miners will do much better then the JNUG/NUGT holders. The volatility will erode any gains in JNUG/NUGT even the secular trend is in its favor.

    • @AGXIIK

       

      “All kidding aside, Fidelity is a commission trading whore brokerage and allows any swinging dick to trade their life savings into the crapper.”

      When next we meet, I will tell you a story about my Fidelity experience.  It was one of those keystone cops / godzilla combinations that one can’t quite believe, even while living through it.  :-O

       

  6. @Doc

    Did you know you are a Russian Spy/Conspirator ?????

    Yep you made the list of Russian spy / Conspirators / Miss information Outlets along with Zero Hedge, Drudge, End Time Ministries, Trunews, Hagmann & Hagmann, X22 Report, Infowars, Steve Quyale, Beforeitsnews, ……….

     

    • @Zero  is this new news?  The PROPORNOT 200 listed in WAPO a month ago or so included Silver Doctors and News Doctors.  I am happy to be in such good company.  I call us the REAL NEWS SPARTAN  200.

      @Maud’Grumps  I understand what you are saying and usually stay with JNUG for a few days to a few weeks.  JNUG giveth and it taketh away. I’m ok with that because I believe that precious metals will see a surge in the first 6 months of 2017.  Depending on how this works out I will make note here

      @Strannick  Holy bat crap  I just checked BTC price  Still down 15% and total down tick was 25% plus  I feel sorry for the people who dived in at $1,130.   It’s not the first time BTC has STB.

      One thing I’ve noticed about BTC is that as a’ bank of value’ it sure seems porous.  Mt Gox and other coin banks have seen thefts ranging from $1-50,000,000    That alone makes me nervous.

       

    • @Doc  Congratulations !!!!!!!!

      @AGXIIK

      I pretty well figure by looking at the list anyone on it is putting out the real news and therefore an enemy of MSM /PTB FAKE NEWS

      IF YOU WANT THE REAL NEWS JUST GO TO THE LIST !!!!!!!! LOL

      THEY REALLY MAKE IT EASY !!!!!! LOL

    • @AGXIIK

       

      “I’m ok with that because I believe that precious metals will see a surge in the first 6 months of 2017.”

      Interesting timing.  My thought is that PMs will suffer a moderate decline in the first 2+ months of 2017 and will then see a steady rise throughout the rest of the year.  Jan-Feb looks like a buying opportunity to me.  🙂

      Oh, well.  I guess that this is what makes markets.

  7. Bit Coin seems like a pure gamble.  No one can agree to who started it.  The origin of the thing is basically an internet myth.  That’s a huge red flag.  So is an over $150 drop in value overnight.  If it was so great, why is the price so unstable?  Doesn’t seem like a good way to stash wealth.  Then there was the failure of Mt Gox exchange.  WFT is that?  Chalk it up to early days?  I guess it’s a bit like a bank failure with no insurance for depositors.  To me, if you buy bitcoin, you should brace yourself that you have bought nothing.  You also have zero protection.  The thing has this virtual representation of a physical coin that appears to be made of gold/silver.  Well sorry, it doesn’t look like a coin, there is no ‘coin’.  Same could be said of gold ETFs.  You have bought nothing and have nothing to show for it when it comes to the crunch.

  8. I rue the fact that I missed the bitcoin train, but after seeing bitcoin folks get their face melted off this morning, it’s clear that until the ponzi casino finally closes for good, nothing is ultimately a “silver bullet.”

    edit – of course many guys are still way in the money, but the point is, like almost anything, chasing the momentum, and listening tot he people who talk their book ( or want you in the cult ) is a good way to get your ass handed to you.

    • THE ANALYSIS AND DISCUSSION PROVIDED ON SILVERDOCTORS IS FOR YOUR EDUCATION AND ENTERTAINMENT ONLY, IT IS NOT RECOMMENDED FOR TRADING PURPOSES. ………………………….. THE COMMENTARY ON SILVERDOCTORS REFLECTS THE OPINIONS OF THE DOC AND OTHER CONTRIBUTING AUTHORS. YOUR OWN DUE DILIGENCE IS RECOMMENDED BEFORE BUYING OR SELLING ANY INVESTMENTS, SECURITIES, OR PRECIOUS METALS. WE DO NOT SHARE IN YOUR PROFITS, AND THUS WILL NOT TAKE RESPONSIBILITY FOR YOUR LOSSES AS WELL.                                                     _JLG. 

      [SFM]- Dumbo Casey Junior I Think I Can 
        
       
      https://www.youtube.com/watch?v=RWhby_puiV0 

  9. BITCOIN- Like The Comex, all the Bankster Criminals need do is BUY IN BIG Start a Huge Run and when everybody’s in SELL it for potato spud prices…you would all be whinging in your beer soaked pretzels then!

    Meanwhile Headline in Todays Australian Telegraph is LAUGHABLE. They say Australia will get a BOOM and cite ‘THE INTERNATIONALLY RESPECTED HSBC BANK’ as their media source. Yeah Laundering drug money and Price Fixing GOLD. Ha Ha Ha Ha That MEDIA SHOULD BE SHUT DOWN FOR FAKE NEWS!!

     

    • Hey AuFM, what part af Aussieland u hail from….. I keep writing this B/c it really put the stress on me lol — I drove a 1984 Holden from Sydney to perth in January 2007  throug Dubo, Boaurke, Broken Hill, the Nullaboor, to 8 days..pretty Wild.

  10. Darn it!!  Mr. Sinclair, most of us really like and respect you and your opinions.  But please, when you get to touchy subjects like this, quit tip-toeing around the subject. If you have something to say, just come out and say it.  Most of us are big boys and girls, we can handle it without all the sugar coating and soft pillows for our ego landing.

    Just pucker up and tell us how you really feel!

     

  11. LETMYSILVERGO, good drive there champ, im originally from broken hill,glad we left as u die young there if u stay and spend your life there, zinc n lead storms cover the town! On the gold coast now,got here in 1975 and it was truly paradise then!! Not so much now as back in 75

  12. Treat BitCoin like a penny stock that could double or go to zero overnight. I might put a small percentage of my portfolio into it as a gamble but I wouldn’t consider it a long term place to park wealth.

    It’s most interesting use seems to be as a way for people in oppressive or collapsing regimes to move or protect their wealth in the near term.

  13. @Ed_B  I’ve had an account with Fid for 30 years so when I call and get push back I start barking and yelling then move up the food chain to some shot caller.  Bark at him and get results.  I dont like to do this (Ah, BS I love it) but when someone tries to put roadblocks down, my perogative is to remove same.

    • @AGXIIK

      Hey, if that works for you, go for it.  Personally, I like it just fine at Vanguard where I do not need to screw around to get done that which should have been done in the 1st place.  THAT works for me!  😉

      Fido acts as if they own their customers, while Vanguard is owned by its customers and knows it.

  14. @Strannick   @Ed_B wanted to start a conversation with you about stocks.  Since the private message function is not up and running would it be ok with you if I passed on your email to Ed?  I can get emails via my function as moderator.  If you can PM Ed that’s fine too.  Let me know if that works.  I’ve known Ed several years and we stay in regular touch via the back channel emails

    Thank you

    @AGXIIK aka Craig

  15. I’d like to see Jim Sinclair and/or Bill Holter give their take on Goldmoney, which is Bitcoin on steroids. Goldmoney accounts are in actual, allocated grams of gold in the global vault of your choice.

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