Bitcoin & The Coming Liquidity Boom | Nik Bhatia

Video Description

Nik Bhatia is a financial researcher and the author of Layered Money and The Bitcoin Age. In this episode, Nik explains why last week’s repo market spike was a potential warning shot that liquidity in the system is drying up. He breaks down how the Fed’s plumbing actually works, why banks are hoarding reserves instead of lending them, and what it means when the “floor and ceiling” of the system stop holding. Nik argues that quantitative tightening is reaching its limits and that a new era of liquidity is coming, not necessarily from the Fed, but from a massive private credit boom. He lays out why this will supercharge U.S. industrial growth, fuel long-term inflation, and make Bitcoin one of the most valuable forms of collateral in the world. We also discuss the run in the price of gold, what it could signal geopolitically, and why Bitcoin’s volatility compression might mean the end of traditional market cycles. FOLLOW: Danny Knowles: https://x.com/_DannyKnowles or https://primal.net/danny Nik Bhatia: https://x.com/timevalueofbtc THANKS TO OUR SPONSORS: IREN: https://www.iren.com/ RIVER: https://river.com/wbd ANCHORWATCH: https://www.anchorwatch.com/ BLOCKWARE: https://mining.blockwaresolutions.com/wbd LEDN: https://learn.ledn.io/wbd BITKEY: https://bitkey.world/ SUBSCRIBE TO THE PODCAST: FOUNTAIN: https://fountain.fm/show/gpascDml6iI0sM8aTOCT SPOTIFY: https://open.spotify.com/show/18Pixm6jNMATYXSO6cUnTH APPLE PODCASTS: https://podcasts.apple.com/gb/podcast/defiance/id1482455669 WEBSITE: https://www.whatbitcoindid.com/ TIMESTAMPS: 00:00:00 - Introduction 00:02:15 – Understanding the Repo-Fed Funds Spread 00:04:07 – Why Banks Are Hoarding Reserves 00:14:08 – Lessons from the 2019 Repo Crisis 00:17:59 – Early Signs of a Liquidity Crunch 00:24:11 – The Danger of Falling Reserves 00:27:00 – Is QT Ending and QE Returning? 00:29:04 – The Coming Private Credit Boom 00:43:20 – The Capex Boom and Factory Building 00:46:17 – The Return of Industrial America 00:57:08 – What It All Means for Bitcoin 01:03:07 – What Is the Gold Price Signalling? What Bitcoin Did with Danny Knowles #Bitcoin #Finance #Money #Economics