you know it's a little pool of money. people are falling into the world. the world pool so they have to exchange mt gox faces whirlpool of death as prices drop to lowest point in six months and the latest chapter in the continuing story of mt cox the troubled bitcoin exchanges further spiral down the plughole as it released another statement today citing security issues at its tokyo office as the reason withdrawal capability hasn't been returned so you know when they announce this headline is a few days old the price at mt gox went to below one hundred dollars now many people on you tube were surely king. as well of course on the other exchanges it was always above six hundred around six hundred dollars so you can either look at it as a shriek that big queen itself is crashing or as this tweet from jim rickards who

is an expert in markets and finance and debt and debt restructuring and bankruptcies if big coin two hundred dollars at mt gox and five hundred eighty dollars at queen desk it's not two different prices market saying sixty five percent chance gox fails well of course going down is not an exchange that's an index of different prices on different exchanges and the mt gox price is an indication of the faulty mechanism that they've used for price discovery that we've covered on the show many times we've talked about it not up to the task and so they finally were overwhelmed and they're probably going to go completely out of the picture and other exchanges will take their place and the bitcoin prize is a great we'll recover because general technology. bitcoin the cryptology is not

being questioned here of course it's not as strong as mac's going cryptology which has a superior cryptology and a faster hash rate this is why a lot of people are now moving into macs coin because they realize it's a period to bitcoin in many ways big coin however does have a first mover advantage and it is widely adopted and there's a lot of services and goods plugged into it but i wouldn't be surprised to see max going to twenty thirty forty million dollar market cap in the in the short term so the price fell down to below one hundred dollars at mt gox went back up to three hundred dollars three hundred forty dollars then fell back to two hundred dollars now during that whole time mostly you see here a lot of shriekers and it's also good to remember that this is what regulators this is what central bankers this is what politicians are hearing they mostly hear the streakers because they shriek louder than most normal people who are understanding like jim rickards can look at it and say well the market is just pricing in a sixty five percent chance that mt gox will collapse just like argentina for

example their bonds on the face of it will say one hundred us dollars but you can buy them for fifteen dollars that doesn't mean that the u.s. dollar went to fifteen dollars that means that people are thinking that argentina has an eighty five percent chance that they're going to go bankrupt well it's so locked of reporting on financial news we see it in the gold market the physical gold price is a lot higher than the paper price and very sixteen inches but the media will report on the paper price even though that's not the actual physical price of gold in china and india and around the world was changing in five ten fifteen percent higher prices they also choose to pick the absolute least interesting price or representative price for a big coin by picking on the mt gox price which is not the price of bitcoin why because they say the agenda here is clear banks don't want the competition they don't want good point is to exceed that central by. deal and money don't want

a competitor they don't want to cryptocurrency they are going to report the news in a way that reflects their interests unfortunately there is no pure objective news source anymore except aside from the show now over at mt gox back to there and at the time of this reporting they're still up and operating they have deleted their entire twitter stream we don't know him by the time this airs they could have gone bust them are compelled to jump from some building in japan but there's still active trading going on there there are people in the market who are gambling who are taking bets or taking high risk just like paul sr took a risk buying argentina bonds at fifteen dollars fifteen cents on the dollar he got courts in the us to recognize one hundred cents on the dollar for him but there are people like roger baer a huge point investor who has been buying up some of the bitcoin at mt gox taking the gamble the risk is a huge risk for him that they might not actually allow withdrawals but many are calling this the death of mt gox but the extension is yet to throw in the towel

changing on the site is still active and according to marcus centaury chairman of the big quinn foundation's very low tory affairs committee there's a lot of people who think that they are getting a deal if the exchange manages to remain in business through the ordeal and resume withdrawal functionality that those people are getting a good deal buying in a low of one hundred thirty five dollars only to turn around a week later and turn it into a six hundred dollars or more is exactly that perhaps the possibility of a quick a major gain is what will ultimately save mt gox from insolvency but there's what you would call an exchange arbitrage between the price on mt gox and other exchanges the paul singer comparison is a going to call singer will engage in vulture capitalism as it's called picking up sovereign debt pennies on the dollar and then sued the country for repayment and fall of that debt it's not a very. pleasant activity he's engaged with just read the reports of greg palast on this to get a fuller detail but you're right. varos one of the founding fathers really of the

big coin movement is acting as an arbitrage or buying. calling cheap on mt gox and then just a patient of there being a closing of the price gap and then here we'll make some money and he's providing liquidity in this market which is very very vital also in europe comparing to another currency that people many people are screaming out of control of the euro is going to collapse jim rickards who we had on the show at this time said it's not going to collapse it's actually going to be stronger than the u.s. dollar that was back in two thousand and ten two thousand and eleven he was saying that right here but this is an article from december two thousand and twelve on bloomberg if you bought greek bonds in january you earned eighty percent your credit investors bold enough to buy junk rated greek bonds in january have earned twenty times more than owners of top rated german debt this year even after the biggest ever sovereign restructuring greek government bonds returned eighty percent

this year compared with three point seven percent for german bunds and six point one percent for spanish security so back then when everybody was shrieking that because the greek situation the euro would collapse a lot of people made a lot of money and greek bonds a lot of people lost a lot of well as funds are now in the business of monetizing twitter activity twitter data and one of the one of the data points they filter for is the shrinking factor so when you have a crowd of shriekers let's say it's a big coin currently or greek bonds greek stock market as a contrarian and you can make money because the crowd is a variable the wrong you know that book that came out a while ago the wisdom of crowds you have to compare that with another book called the popular delusions in the madness of crowds that came out one hundred years earlier the fact is that people who have made a tremendous amount of money in these markets like george soros for example are.

warren buffett will do exactly opposite to what the the shrieking crowd is doing so he sees a shriekers that they have a use if you're in the business of making money because they tend to sell the bottom and buy at the top so in the case of bitcoin the shrinks are quite well which is bought a contrarian point of view the absolute best time to get into a big coin are brought my price target is still in the short term fourteen hundred dollars and in the medium term more like ten thousand dollars per bitcoin as the adoption rate skyrockets and you have all these other businesses that are plugging into bitcoin all the venture capital is plugging into the big coin block chain so two years from now ten thousand dollars per bitcoin i think is in the bag now speaking of shriekers one of the most famous streakers of all time jim cramer remember during the early days of the financial crisis he went on to see m.p.c. had a total meltdown shrieked about this is no time to be an academic you've got to bail

out bear stearns my friends are suffering you've got to save the financial system well we now have those minutes released from the fed for five years ago during the financial crisis two thousand and eight what the hell were they thinking fed two thousand and eight edition this is a quote from fed chairman ben bernanke at the time september sixteenth two thousand and eight two days before the collapse of lehman he said i think that our policy is looking actually pretty good our quick move early this year which was obviously very controversial and uncertain was appropriate he's of course before into the seventy five basis point slashing interest rates on a sunday night to rescue bear stearns and j.p. morgan but here he is before the collapse of lehman brothers where he's like it's all it can really good we also know looking back five years that ninety percent of the game post collapse was grabbed by less than five percent of the investors not less than five percent of the households in america. and around the world grab

ninety percent of the gains in stock markets have doubled some banking stocks have quadrupled and quintupled ninety percent of those gains were grabbed by insiders friends of hank paulson remember hank paulson told his investor friends that they were going to bail out goldman sachs and although at the public domain he was saying he wasn't sure or they might have to fail but privately he engaged in a massive insider trading scheme and told people directly that the government was going to line their pockets with several hundred billion dollars well that's good to compare it to the big quit situation at mt gox now what hank paulson did is he told some goldman sachs investors that he would be bailing out fannie mae and freddie mac. though in front of congress to the american people he said that would never happen but indeed he did so only goldman sachs knew that he would bail out fannie mae and freddie mac. so this is one of the speculations about mt gox is that of course they know whether

or not they have only mark karr peleus knows if he has to give to his clients so he could if if he does have he could of course buy at one hundred dollars and then sell them at six hundred dollars later right well goldman sachs from or you know was actually taking a close look at that calling now and then been doing some internal research and circulating it internally so obviously they're quite envious of mt gox and big point at this stage and grabbing market grabbing attention it's obviously the growth industry to be and i don't think goldman sachs will participate like some of these other new upstart will but they will try and they of course will do whatever they need to do to try to grab as much of this business as possible then become goldman sachs' by sitting on the sidelines and then finally a quick little headline about the biggest participant in the money laundering operations of not because what the u.s. dollar mexico's top drug lord joaquin shorty goes men. did so one of the world's

most wanted drug barons joaquin guzman known as el chapo or shorty has been arrested in mexico he was the leader of the sim aloa cartel which smuggles huge amounts of illegal drugs into the u.s. and so we must see how this will impact h.s.b.c. because of course the stand alone a cartel was h.s.b.c. biggest single client accounting for billions in revenues over the years will see i suppose they'll either get an overt bailout from the government or a stealth bailout from the government that's the way it goes days you've got to go thank you it could cause a whirlpool of dollar debt. all right stay tuned for the second half of all of more.

pleasure to have you with us here on t.v. today i'm sure. did you know the price is the only industry specifically mentioned in the constitution and. that's because a free and open process is critical to our democracy albus. role. in fact the single biggest threat facing our nation today is the corporate takeover of our government and across a cynical we've been a hydrogen lying handful of transnational corporations that will profit by

destroying what our founding fathers once it's all just my job market and on this show we reveal the big picture of what's actually going on in the world if we go beyond identifying the problem to try and rational debate and a real discussion of critical issues facing up to five different film ready to join the movement then walk a little bit there. welcome

back to the kaiser report imax keyser time now to turn to jan squirrel's of the real dot co dot u.k. general at the back of the times reporting very much sun shining oh my god it was fantastic finally now i've been reading with great interest on your blog you're talking about the latest and the greatest of five greatest gold robberies tell us briefly about these heists and what lessons can we draw from them while i think number one is they work out very well i think about what i said i started moving around well and ninety's i had to move around but it's been felt and it's very difficult to load and gold. my faith the top five go over the i enjoyed neither just kind of criminal high snow you know none of the government money which lets people commented on same but the best one with i think it's one thousand and three i wrote me from a brink of all guys break and see how far he thought they were going to get about three million in cash i think and instead we're faced with just tons and tons of

gold that was actually destined for the far east and they say they were trying to go to our house the veyron is scraping the floors they drive off under the weight of all of this code starting to refine and they would say proud of the thing that they pulled off that one of them even named him god dogs in the years afterwards brinks math i mean just the kind of this very entertaining story from from my late nineteenth century but basically if you going to buy gold store in a. solicitor's think i'm over the italian job. michael caine featured a gold robberies daily basis and the little minis were scraping along yeah and this helps try to make off with all that gold so speaking of gold heists germany has not gotten all their gold back from new york apparently there's a heist going on and. would you add this to your list and what does fit into the heist in terms of the sheer quantity it all down. city well i think to be in a different place because i was saying to you before we do kind of

a bit of fun but i've courses that you can get a hold of the list at least five if not more of these kind of government or central bank robberies of gold is the go to be talking about you can look back at the nazis and you can look back at you know the theft of in japan as they go late and we i covered that a lot but of course i mean to me when it's just the volume is unbelievable and i said you haven't covered it you know these heist i was talking about i mean they didn't have the similar volumes this is completely different and of course in this case unlike in the cases i've been talking about. we possibly know you might take the gold you know. wasn't quite so based in the criminal code talking about there is a whole other level of maybe we should write another list of a lot of people even a lot of gold i mean according to ben bernanke the outgoing fed german it's just a collectible a trinket that people might want or just edition tradition yet it came to a thing called the barbarous relit so apparently there's people actually want gold well apparently. but of course i want gold and i think you know you in your view is

one gold and then we'll go council figures that came out last year for last year they were released last week show that no matter what governments say or no matter what restrictions put on people still want to hold gold and particularly in china last year but look in india where restrictions put on what was really interesting by the local council figures was the first time in twelve years i think u.k. and u.s. demond go to go demand climbs particularly in the area of jewelry so people do you still want to hold gold and we can say there isn't a parallel way of gold demand and what's happening in the economy whether lately or in fashion that. you're associated jensen has a piece about china's gold what's happening in china right now is going up. they're saying that would indicate it's going higher well go down and it's climbing he really think it. january demand for the hotel and i think i think it was two hundred forty six times it was a record amount and this is when the world gold council were really think of going

over very mean just they've taken india to go to mount which is absolutely not the case if you look at the way the keys analyzes go to moment in china and he does it in a much more methodical and he investigates much more and looks deliveries on the shanghai gold exchange and actually trying to just go back in two thousand and eleven and i mean you really should be talking about gold demand in china but we should be looking at how they're developing the gold market as a whole from the supply on the demand side facilitating sales what's happening with exchanges here they're allowed to trade dominates exchanges and of course you know there's lots of discussions about what's happening with the. reserves and that's just a whole other. story in itself i think of china there's a lot of talk about selling out that they're going to announce that they've got not a thousand or two thousand but a number considerably higher than that yeah i think you know i think if you look at what. academics have written on this we could be looking at. five thousand

tonnes but so many people have done what it could be we really don't know because we don't know about that mining figures that are happening and we can look at the hong kong imports and exports to china and we can look at ways we can calculate that but actually they're only delayed by the pool in which gold's been imported chinese are buying up mines all over the world say we don't really know how much the p.b.s. they have what we what we do know what we believe is that they have a lot more than the one thousand and forty nine times they reportedly have it made right now gold is up ten percent. thirteen percent so is this the result of the secular bull market going back ten years or are we out of the woods only out of the bull market is this a good year so i'm actually really excited. to get out of a with a top i think in terms of price i had someone described it was a really good way of describing the gold. it's not me to hold too cold we're going to take a step back a breath and just go right last year

a bit tough and kind of. go through arco might divide it became polarized i think with the phrase that the world gold council series so huge e.t.f. demand out consumer demand if you really managed to kind of stop that being quite as horrific you know when the prices as it could have been i mean i think we've kind of shaken out those people that were that to speculate thinking now we've got the consumers in their queen demand looking amazing chinese demand that if they can keep going as it is demand the west is getting more interest in gold so in terms of price i think i might be back on it if human thing from going out but at the moment i think it's going to be it's going to be a gentle climb up with that in terms of the bull market i don't think we're going to back on that scale but i think the faith in the market is returning now one of the problems gold has of course is that mainstream media tends to look down on gold prices down of course you'll see c n b c they'll have blaring headlines gold is down when the price of gold is up they'll be a representative of the bubble bubble but it's all part of the bubble so there is

a huge asymmetry in the way media reports call into this asymmetry you jabs stacy herbert are jumping in with a crowd funding t.v. show called get real really talked about last time you're here. crowdfunding platform start join this is the newest and greatest thing right if it's kickstarter indie go go twenty thirteen gone there yesterday has this you have a this is u.k. based it's proper crowdfunding yet you have to drink while you're actually cross with your pinky up. so the project is called get real crowds on future episodes of people who already done a couple of episodes we have that we did i want on go and so we've been davies and we didn't find my new testament christmas from the foreign investment and the pop pop. larry is quite high so this is the tell us about what people can expect on this a little bit i don't know if it's rio we'll be talking about say i was looking at

we've had some great phone calls and some great tweet suggesting things from chinese porcelaine to the lie that. well my personal favorite which we discussed before. we can was that this guy that had. i mean really when they think. about i go through a very narrow in oil and all these things but actually you know all this a really different real asset that people want to get their hands on and again when we're talking about gautham on climbing if we look at for instance chinese porcelain or jade i mean the demand for that in the last three years old art it's just it's just been unbelievable this is where people want to put their money and i think i don't think people realize how to go about starting or they don't know anything about these markets. that let me tell you differently if you have no you know we're all good friends of jim rickards who wrote currency war and he's got a new book coming out the death of money and he points to the art market saying look people say that quantitative easing is causing inflation and other people say

it's not causing any inflation but in the in an area like arc where you don't have futures contracts giving you the ability to suppress the prices like you do in gold and silver and in other areas the reflection of all that money is being captured by those prices of fine art that's absolutely skyrocketing through the roof yeah i mean every week it seems that there's another headline on record breaker kristie the scene of the cars collectible cars so just show get real things that are real in a sense whether it's fine art collectibles and bags etc they're really reflecting all this money printing but again the media doesn't want to cover because then they'd have to admit that there is really inflation and then they they would have to recalculate their indexes and in the case of the u.k. government they would have to start paying. pensions that they don't want to pay out same thing in the u.s. there's a real incentive do to lie to them. about the real inflation numbers so

your show get real but your crowdfunding is actually a way to kind of let people know what the real inflation numbers are they're not crazy don't realize really inflation have this is really happening you know maybe the numbers are climbing and i'm actually a very good point and this is a true reflection of what's happening in the money she faced them then you were being offered whether it would react to you by the official government think is you know there's nothing thi have faith there's no inflation it's a worry but meanwhile we just talk about this you know i did a. piece of this is climbed in price the price of bacon is normally a lot i feel like i'm going to suddenly make it pretty sad really very little incidents in canada that's what the entire country lives on big and hockey pucks this is you know you think of england now it's mark carney he's out there every morning at six thirty am with a plan a bacon canadian bacon a good chuckle horse. we're going to let him know that so let's talk about the

course being crowd funded and you're going right to the audience not only are they giving up five pounds or ten pounds for participate in funding this and maybe getting a premium or a reward of some type great rewards or they're great aren't any handbags or shoes not yet i'm hoping that's my reward. fair enough. they are also suggesting topics they want to cover so tell us what the public what they're what they're hankering for free to cover on your new show get real. ones i just mentioned had no suggestions about chinese porcelain find one kind of classical cause another. thing that i mean i think i may be doing if you let me drive on your car here that would be a perfect start to show i think driving cross tire bridge and well there's a show that jerry seinfeld comedians in cars going to have coffee this could be part of their rewards. maybe you're in a car with chance coils driving cross tower. yeah drinking tea yet for twenty

pounds would you drink tea in a convertible and go across tower bridge i would drink and drive. well that's a good cabbie outside make here in this country is that where it seems like the national pastime is in fact drinking. generally to. get real project the site is start yelling dot com a crowd funding platform i started just a few days ago to fill this critical need for honest media i think is a great idea and i'm really excited to get really it's one of the first projects i've got to go thanks for your time this is. all right that's going to do it for this is an episode of the kaiser report with me max kaiser and stacy herbert like to thank our guests chance coils of the real. k. and coming soon the smash t.v. show get real if you'd like to get in touch tweet us a kaiser report the next time bio.

winter is when the sorrow comes to life. away says palm trees are being harvested and. people are waiting for the biggest event of the year. the desert festival. this is true it is very hot it is. leading camel races have spent the last year preparing for the grueling merits of. the day before the race there's a heavy sandstone overcoming the power of nature is a never ending challenge. a desert went to see. a little.

the. little. girls. are. between two and three hundred million guns the united states so you can act like they're not here and keep kids away from them. you know teaches them a lot of ability to pay through the eyes of children if we can do it for our children.

crowds rally in the ukrainian city of sevastopol to show defiance against the self declared government in kiev and to voice support for a newly appointed pro russian mer. the real path into the e.u. it's not going to be the german path it will be the greek path analysts warn financial aid from brussels and the i.m.f. may prove a slippery slope for ukraine. the united states considers whether to leave three thousand troops in afghanistan beyond two thousand and fourteen as a bilateral security agreement with kabul hangs in the balance. and british muslims cry foul over their government's campaign against radicalism and say they're being turned into scapegoats.