to defend ourselves and then going off in and trying to protect the of the world. it can't be done just cannot be done. we cannot, we continue to strain our resources, which are limited. and given all the other constraints that we're having to deal with. and still be able to provide readiness at home, and that's not. and that that's being question health. we don't even have a we don't even have a us a southern border now. it, but by definition we really don't have a country anymore. as a consequence, we are there defending ukraine's borders but not our own southern border. this is unacceptable to the american people. unacceptable. michael, thank you for your time. your thoughts? as always on for coming on the program. michael maloof, former senior security policy analyst in the office of the secretary of defense. thanks, michael. sure. no. doing battle on behalf of the money in our pockets. it's christy. i next and her new show and rti,

the cost of every thanks. they close for that and i'll be your again at the top to hope you can try me then to ah, the, what exactly is money? in its most basic form, it's a measurement of wealth and a commodity accepted by general consent as a means of exchange for goods and services. every society uses some versions of it . but recently the emergence of bitcoin, other crypto currencies have had a huge impact on what money can do. i'm christy, you're watching the cost of everything. ah, the cut the current. these

have always been a controversial topic with many skeptics calling it a bubble. and it equivalent to tulip mania, regulators and countries have also tried to stomp out big when colleagues of threat to the financial system, saying that the cost of big going to the financial market is just too high. but big coin or any other crypto her and see, is that really a threat to the financial system? absolutely. bitcoin offers people financial freedom to live outside the banks and controls built by the regulators to restrict the movement of capital. it is a threat to the current regime as crypto is a technology that empowers the people. meanwhile, the epic collapse of f t. x is still causing ripple effects to other crypto companies. as p. x disintegrated practically overnight after it was unable to meet a run on deposits. i left the company with an $8000000000.00 hole in its accounts. the founder of f. p. s. sam bank, men fried,

founded what he claimed were 2 separate companies. a hedge fund called alameda research and a crypto exchange platform called s t. x of p x's native currency was a coin called a p t, which was printed and used as collateral. for ela, meda to take out loans at one point at p. t traded as high as a dollars, so it took out a huge amount of loans at the time. and this is extremely dangerous because of the price of f t. p fell below a certain level, it would leave alameda, unable to pay back its lenders. now in early november, a report show that to fits of allen made us 14000000000 dollar balance sheet was held in f t t sparking panic among f t s as customers. c z. the ceo of finance immediately dumped $23000000.00 f t t tokens sending the price into free fall. as of yet was unraveling. it was further revealed that s b s had created a secret back door and f t x that allowed him to move deposit money off the

exchange to alameda without alerting customers. so the lesson of the story once again is not your keys, not your wallet. no matter how secure or safe a centralized exchange might look like from the outside. if ever there's fraud a hack, a liquidity issue, or an other black swan event, your funds will not be safe if you do not own your own keys. now, many customers are now learning this less than the hardware with the collapse of f t x. as f t x held billions of dollars and assets and deposits for the customers and traders. multiple crypto trading firms and hedge funds who utilized f t x are now a liquid such as are a global gallows capital and new technology. they have all failed because of its massive exposure to f t. x. genesis trading also said that it as a $175000000.00 and locked funds and its f t x trading account. now the latest

casualty is blocked by a crypto lender platform as it also files for bankruptcy, citing massive exposure to f t x. now for more on the epic, lots we have joining us, chris. right? host of rice tv x. so chris, what was the main cause of the f t x failure? how did all star and did spc plan all of this to happen after s b? i called him out. that's a great question. and i don't think that a c z was the one that really push this thing to escalate. i think ultimately i think c z was the straw that broke the camel's back. i, it looked like there was a lot of foul play going on for quite some time with an f t x in alameda both and it looks like there's a lot of corruption surrounding it. now i don't have any factual evidence of proof of this. but there seems to be some collusion with the s d c gary gansler. it

seemed as if gins or was helping with f t x with legal loopholes. it's really interesting if you look at charts, that when gary gansler took his position as se c chair, you can see that at t t took and had been going up that entire time from that moment it's complete green candles, which is very interesting when you think about that, then you also have all the things on the back end. i think his name is dan freeburg is one of the attorneys own counsel at either alameda or f t x. and he has been involved in some previous poker scandals. and then there's some question about s b s parents, but ultimately it looks like there should have been separation of funds based off of the terms and conditions. and there were not any sort of separation of funds. so everybody's funds are at the same risk. and if you go through their terms and conditions, you'll see that they have different risks for people that are leverage trading that

are doing, lending or borrowing, versus somebody who's just using the platform just to trade, who didn't opt in for any of those other services. so unfortunately, their terms conditions seem to been on why, from the very beginning and it seems to be a lot of accountability. and i've seen many interviews with sam bank been afraid over the past few weeks since everythings occurred. and it seems like more and more he's incriminating himself. and one thing that i will add is that i'm really good friends with ben armstrong from boy crypto going his channel weekly for around the block chain. and he's been calling out, sam bakeman fried for quite some time before the information went public. this thing goes a lot deeper than what so far has been released publicly. and what is the fall out from s t? yes. how many people are now suffering as collateral? damage alive, there's a lot of people that have lost a lot of money. i mean there's even some people that were spokespeople for f t x

that had a lot of money locked up on the exchange that last. so and right now i'm not sure what kind of ramification, what can a remedy is going to be given to the customers at this time. because we don't know what kind of funds are currently available. and not does this set the crypto industry back a few years, or was this actually a necessary purge to show the dangers of a centralized platform? it's, i would kind of say yes to both. i unfortunately don't want this to set crypto back . but, and really what i tried to explain to individuals is this has nothing to do with crypto currency or block chain technology. this is simply human greed, and the median that they were able to defraud. people happen to be a crypto currency exchange and investment company. so when it really comes down to it, if we can get enough people speaking out publicly, saying exactly what i just said, that this isn't a problem with the technologies. this is a problem with human beings. and unfortunately,

it's something that we've been dealing with for quite some time, you know, through our history of existence. so when it comes down to the fall out from this, i mean, we're not sure what kind of companies have had exposure, ultimately. and unless somebody is in dire danger, i don't see them right now coming out publicly and letting people know what's going on with their company until it's actually a problem. and i still feel there may be some fall out, but it may not be completely from straight f. next. again, i'm just not sure what company has had exposure, but the real sad thing that we are seeing is companies that are still existing are looking at moving outside of the united states and stop, stop allowing for their services for your united states citizens due to uncertainty and regulation, so we definitely need to be pushing for positive regulation and united states. we need to do the best that we can to be educating politicians about what crypto

currency and bar chain technologies are about. and what the problems are with centralization versus decentralization. because this would also be another way to point the fault at central is ation. had this been a decentralized project, it wouldn't have been a situation where one individual where a group of individuals will not be able to do this. block 5 is now declaring bankruptcy, citing the f t s contagion as the main reason. but is that entirely true or was it also engaged is own risky lending business? i haven't had a chance to look at any sort of the paperwork and see any of the numbers, but i would think that would probably be a combination of both. now from what i am understanding though, it looks as if f t x sam main frontier, everybody were involved with a lot of different market manipulation. and i'm starting to here to through the grapevine. that celsius is fallout. mainly could have been due to the f t x issue

f t x on a back in doing things to drive celsius out of the industry. but there may have been some things that weren't being done on the best in buy sells either. so i would put that as a combination as well. so i think people or over leveraging their positions, i think people thought, you know, they were playing a game 1st some so much time and, and kept continuing to win. and i feel like they thought that that wasn't going to stop, you know, and unfortunately we are in a bear market regardless of if you own an exchange and you're re high pop the kidding coins or not. you know, we're in a fair market. the trading activity has gone down as decreased as you know, immensely. and again, we're not really sure about the companies like still what, where the fallout contagion is going to end. it appears that genesis, which is an institutional lender, is having some issues. and some of it is, or the majority of it seems to be related to f t x. and they also have

a partnership with gemini exchange that deals with the lending which has to do with rewards for credit card staking and things like that. that was a partnership between genesis and gemini, and now genesis is having issues. genesis is owned by digital currency group. and the digital currency group owns a watt in crypto. they're almost kind of a mafia boss and crypto. and they're trying to do some private equity fund, raising from what i understand. they also own grayscale. so it is possible that we could see the contagion from genesis bleed into grayscale. we could see grace gal become and solve it. and that would be really interesting. the integrate scale owns 3 percent of supply a bit when they would be forced to liquidate. now in that situation, that would be what i would think would be the last, the last of what we're going to see for that next drop. because

a lot of people are anticipating that we are going to go lower in a crypto currency markets, and i believe la grayscale becoming and solvent would be the catalyst for that. thank you so much for joining us today, chris. now when we come back, what is the cost of producing credit? is it environmentally friendly? we'll have more after the break. ah ah, look forward to talking to you all. that technology should work for people. a robot must obey the orders given by human beings, except where such order that conflict with the 1st law show your identification. we should be very careful about artificial intelligence and the point obviously is to great trust or rather than fear. i would like to take on various

job with artificial intelligence. real summoning with obama, protects its own existence with a 1st time in history. the entire country's culture has been cancelled. the very modern weapon cancel, culture. really desperate. wonderful language, sheffield my love. so when you get just me sitting there with the phrase now, particularly for us to counseling russian culture, yet them no secret of seal orders because it's convenient. my fuel, which will be your, there is chill out of it, so that the most to lose coverage to london, the them we,

what russia is created over the past 1500 years. there's no question actually condemned, reviled and rejected. just it along in your sense of sunny at the will of bramble. there's a lot closer on a whole bunch. thank you said a little sure. the list, joining total condemnation gross daily and now includes dostoevsky to kosky shostakovich that i need to do with the www. obama lee, you look to look it up with

me in recent days, vic, wine has received a lot of criticism for us energy consumption. but is this really the whole story? and is that really that bad? so let's put some things into perspective. actually, with some real numbers, a recent peer reviewed white paper, found that big one consumes a $113.00 tara watt hours per year. while the traditional banking industry consume $263.00 tara watt hours per year. so that's actually less than half of that of banking. now, as compared to that of the gold industry. gold consumes around $240.00 tara watt hours per year. now, how's as possible? there is no denying that big one consumes absurd stansell amount of energy, but it is actually more efficient than banking as it's not just

a store value. it is also a medium of exchange and the settlement layer. more over big point is actually driving the renewable energy movement. this is simply because energy is the biggest and most expensive input. so naturally, miners are motivated to drive down costs down. other industries, like manufacturing are also very energy intensive, but they have less of an incentive because other costs, like metals, lumber, steel, labor, etc, they're bigger costs that they're more focused on. so for more we have christy harkins coined us managing editor of technology. so christy many critics still argue that miners are the ideal customer for fossil fuels rather than renewables, since these are both cheap and the consistent source of power. so what is the energy mix of these miners? there are couple of questions in there to unpack the 1st one. i'm not sure where

the argument comes from about being ideal customers for fossil fuels instead of renewables. because martin mining is a market driven industry like pretty much anything else. minors look for a number of factors when they're setting up their mining farms. they are looking for 1st off, the most efficient cost effective and reliable source of energy. a stable regulatory environment to set up opperation is in and a stable infrastructure and workable relationship with the area where they plan to set up. on top of that, environmental impact is becoming more and more of a consideration for bitcoin minors. they care about this kind of stuff. last year, a group of miners got together spearhead headed by bit corners like michael sailor, to work together on energy consumption, accountability. and so the resulting bitcoin writing council has. we produce 2 pretty good numbers by the end of q 2. they say it's members representing over 50

percent of global hash rate, but the imagine hash rate power that goes into computing bitcoin. all of those minors together, 50 percent of the ones that we have in the world are using electricity with a 66.8 percent sustainable power mix. it estimates that the global mining council estimates that the global industry as a whole is using a sustainable mix of around 59.5 percent, which is a year over year increase of 6 percent. so the goal for this coalition is ultimately carbon neutrality, which is the neutrality, which is a pretty ambitious goal. and a lot of other major global industries that have been pushing for this sort of reduction. and to that end, because as they say they look for efficiency, there's a huge push toward innovation within the big coin lining industry efficiency itself is paramount. so high performance rigs that consume less energy in the 1st place are always being developed, novel ways of capturing otherwise inaccessible renewable energy or wasted energy

are being developed and their pie years really and many ways, because miners are pioneering. this kind of energy transformation. and why? because of good for bitcoin minors, bottom line, it all comes down to the money. no one wants to be paying for any more energy than they have to. so to that point, the bit coin mining council, in that same report, estimated that mining technology efficiency has grown by 46 percent over the past year, which suggests that as the network rose is going to become even more efficient over time. we're just going to see that keep happening and how are minors utilizing flared gas mitigation? is this an efficient use of energy that would otherwise be wasted? yeah, so 1st of all, you have to understand what flared gas is. so when natural gas, what happens is during mining processes and we're talking about like oil,

oil refining. so when natural gas is brought to the surface, but it can't be easily used or diverted, taken somewhere where it can be used, then the oil companies just burn it. that's called flaring. so you just, and that's where you get those ah, big flames coming up from oil, oil, oil wells. so flaring mainly happens when gas is produced as a byproduct of oil extractions. and if there's no infrastructure to put this gas to productive use, then you get that flaring and that burning and all of that is just released into the atmosphere. so there are several ways that other industries including bitcoin, are capturing and using this otherwise wasted, flared gas in an article for markets insider, one big point mark mining company crew. so energy said that it's system we're

capturing and using flare gas for oil patches, slash c o 2 equivalent emissions from gas flaring by up to 63 percent. and that each one has the equivalent effective taking around $1700.00 cars off the road. so that's a pretty good thing to be doing. is it as good as say, the oil refinery, not flaring the gas in the 1st place? yes it is. is it better than not having an oil refinery at all and just being green all around? well now, but it's there and it's otherwise going to be wasted. so let's be resourceful. what use that? and that's what's happening with flared gas and kind of like, you know, the, the, the oil to cooking oil that would otherwise go into the lake. it's being used in some way and, and creating a positive effect and creating a positive effect, not just for the miners, but sometimes even for the gas company or the oil company. so it's worth their while for them to work with the coin minors in order to repurpose this larry gas

and what other industries are guilty of high energy consumption. are they making more or less of an effort to use renewable energy as is the case with bitcoin? oh, there are 2 things here. first off, i don't know that what about ism is going to be particularly helpful. but also we all need to sort of just cause and acknowledge the fact that everything, everything that we want cause energy. and what we have to do is weigh the pros and cons of that saying that we want and decide what it is we're willing to pay for it . think about it in terms of its economic price. it's environmental price. it's ethical or ideological price and whatever other metric is important for us to this to consider. so they coin uses a lot of energy and that's by design. as i explained. it's energy is the price that miners take to participate in the system. that in turn, secures

a transparent answerable decentralized hard currency that's backed white code accessible to anyone, anywhere in the world and independent of any nation state. and we have to remember that there are a lot of other countries besides the sides, the u. s. that, you know, really can benefit from having that kind of accessibility to a financial system. like any other currency that coins value is derived from its users perception of what it's worth. but unlike any other currency, it's supply cannot be randomly inflated by a government body. and we're seeing a lot of that happening around the world of last couple years. and by having to commit energy to the process miners are prevented from merely spamming the system or otherwise attacking it. so for anyone who values this particular form of money using energy dixon, secure, it is extremely worthwhile. the corners would argue that it is more valuable in the

long term than say, precious metals or stones, the mining of which are unbelievably harmful to the environment. have you seen an open pit? those things, those, those that kind of mining practice is very, very destructive. so, you know, but we, we don't really think about that too much. let's consider if you want. i mean, if you do want to point to another industry, let's consider say, the fashion industry, especially fast fashion, think about the vast amounts of resources from production to distribution to deliver like delivery. especially if you're ordering, say, one pair of socks on amazon and getting that delivered to your door. that's a lot of energy, not to mention the tentative landfill that it generates after those socks where out in a year. so i haven't really heard of any sort of fashion coalition sledging that it will make the fashion industry carbon neutral anytime soon. but we're not seeing investors or other groups clutching their pearls over that either. so personally,

i'm more concerned about about securing my money than i am about getting cheap socks. so, you know, you have to really just weigh what are we wanting and what is it going to cost? and this is one of the costs that you know, some people think is absolutely worthwhile. thank you so much for coming on. christie harkins coined asked managing editor of technology. so for the cost of crypto currency, who will win and lead the next big crypto boom. i believe that gaming is going to be the next big sector for the community with came by and the metaphors projects they have begun to utilize and tease and tokens and ways other than pure speculation. so i believe that is going to be the next big step in this space as it matures. these games have apparently been unaffected by big coins, decline and project like slender land have held 350000 daily unique,

active one since mag. mm. i'm christy, i thank you so much for joining us today and we'll see you back your next time on the cost of everything. mm ah ah with

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ah, now we're under salt. marquee reports from they don't boss bottled, bronze with fighting, raging in the city of our chima comes as russian officials report that the takeover of nearby solid, dark in the done yet for public is not the last point of it's about all to coming up on the program, the continuation of the ukraine conflict will put major pressure on supplies of weaponry for the u. s. military, that's the stark warning from the countries navy secretary.