Part 12/17:
The thesis is that Bitcoin functions as an insurance product: as default spreads across sovereign credit markets widen, the intrinsic value of Bitcoin increases in tandem. Investors seeking hedge against systemic risk are increasingly allocating to Bitcoin to preserve wealth — especially as traditional bonds become riskier and less reliable.
One insightful thought from the conversation is that there is an expected value calculation in play: if Bitcoin's potential value is valued based on the probability of future defaults embedded in credit default swaps, then its fair valuation could be in the hundreds of thousands or even hundreds of thousands of dollars per coin in the coming decades.