Welcome back to our podcast series Fail Taks, now available onchain! In the first episode of this new season, we welcomed 0xEvolution a french entrepreneur & trader in the crypto space.

This episode sheds light on the virtual creation of money by central banks and its potential implications for the economy and individuals. It emphasizes the need to be aware of alternative currencies and assets to maintain financial freedom.

Episode available with multi-languages subtitles on Youtube.

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Trading is satisfying and mathematical.

Trading is a field that often evokes a sense of excitement and intrigue. The idea of making money quickly and navigating the ever-changing world of finance can be both exhilarating and daunting. In this episode 0xEvolution, shares his journey into trading and how it has become a satisfying and mathematical endeavor.

The name "Evolution" was initially intended for a training program that combined personal and financial growth. However, it stuck as a nickname in his online communities and he decided to keep it.

0xEvolution acknowledges that his initial attraction to trading was primarily driven by the allure of making money.

While delving into trading, he discovered that it was not just about making money; it was about staying informed and being actively involved in the world of finance. He found the constant flow of information and the interconnectedness of economic factors fascinating.

One particular trade stands out in his memory – a position on gold during the post-COVID period when the market was volatile. He had taken a significant position and held onto it, ultimately experiencing a substantial gain. This trade was a turning point for him as it solidified his understanding that trading is a mathematical endeavor. He realized that while there may be losses along the way, one successful trade can make up for all the setbacks. It was a moment of clarity that allowed him to trust in his abilities and stick to his trading plan.

Negative interest rates are absurd.

Negative interest rates are becoming more and more common in the financial world, and many agree that they are absurd. The concept of negative interest rates is explained as the lender paying to lend money instead of receiving a remuneration for the risk taken.

Traditionally, when someone lends money, they expect to be compensated for the risk they are taking. This compensation usually comes in the form of interest, where the borrower agrees to pay back more money than they originally borrowed. This interest serves as a reward for the lender's willingness to take on the risk of lending money.

However, in the case of negative interest rates, the lender actually pays the borrower for the privilege of lending money. This goes against the fundamental principles of lending and seems counterintuitive.

The time value of money suggests that a dollar today is worth more than a dollar in the future due to factors such as inflation and the potential to earn interest. By paying back less money in the future than what was borrowed, negative interest rates essentially reverse the time value of money. This not only goes against common sense but also undermines the basic principles of finance.

Central banks create money virtually.

0xEvolution discusses the concept of central banks creating money virtually. He explains that central banks have the power to create money out of nothing and that this money is then sent back to commercial banks in exchange for a debt. The commercial banks then owe money back to the central bank, which creates money by simply pressing a button. He also compares this virtual creation of money to retail trading, where one can press a button on their phone or computer and generate money on markets.

As an example, 0xEvolution mentions the printing of money during the post-COVID period, stating that massive amounts of money were printed, leading to countries being significantly more in debt. He suggests that this virtual creation of money and the increase in debt will have a significant impact on the economy and purchasing power of individuals.

Furthermore he talks about the potential future change in currency with the introduction of digital central bank currencies (CBDCs). He predicts that paper money will disappear, and everything will become fully digital. Then he discussed the importance of being aware of and potentially investing in decentralized assets like cryptocurrencies or assets such as gold to have more freedom and avoid being solely dependent on central bank currencies.

This episode highlights the importance of being aware of these changes and understanding the implications they may have on our financial well-being. By embracing change and staying informed about alternative currencies and assets, individuals can maintain their financial freedom and adapt to the evolving financial landscape.