Crypto Conversations: Jon Najarian and Charlie Shrem of CryptoIQ Discuss FedCoin

Many of our Investitute subscribers have reached out to me and asked “Jon, what do you think of Bitcoin and crypto?” I am very excited about the potential of Bitcoin and other cryptocurrencies, and want to bring this excitement and knowledge to our Investitute community.

I’m excited to announce that we at Investitute have partnered with the one-and-only Charlie Shrem of Crypto.IQ, to bring you the most accurate and reliable crypto trading resources.

Charlie and I have become good friends over the last year, and I just had to share his knowledge with you. Whether you are new to crypto trading, or have been a “HODL” investor from the beginning, Investitute and Crypto.IQ will help you navigate the exciting and promising world of cryptocurrencies.

Here are two things to get you started: Sign up for Investitute’s cryptocurrency daily news email for daily updates on what is going on in crypto, and visit Crypto.IQ for access to proprietary crypto research and trade ideas!Jon Najarian: Hello, I’m Jon Najarian and I’m here with my friend, Charlie Shrem. Charlie, we’ve been hearing murmurs of a Fedcoin – that perhaps somebody in the government wants to take on Bitcoin and create their own Fedcoin. What do you think is happening there – is this real or is this just jibber-jabber?

Charlie Shrem: The major properties of Bitcoin and Ethereum and all these other ones is that no single party can control them, or change them, or make any changes to them, reverse a transaction, freeze a transaction, based on their whims. It’s censorship resistant – no one party can control it. And that’s what gives Bitcoin it’s major, major value. It is immutable, it’s unchangeable, unless the whole system decides to make a change.

If they were to launch this thing called Fedcoin, it wouldn’t really be anything different than what there is now – kind of an ‘emperor has new clothes’ type of situation. Because it would be the dollar, or whatever currency they use, digitalized. But really, the dollar is already digitalized, because the amount of dollars that are in the system today, only 3% of that is actually physical. So the dollar is already a digital currency, but it’s controlled by the U.S. Government. They can print as much as they want, they can freeze our accounts, they can reverse our transactions–we are completely at the whims of the Federal Government. And that has its own goods and bads, but that’s for another time.

Fedcoin would be basically the same thing. It would be nothing like Bitcoin, it would be just a different spin to it, new clothes or a new marketing play.

Jon Najarian: So in other words, it would be the opposite of the de-centralized world of cryptocurrency. Instead it would be centralized, which is exactly what Satoshi was against.

Charlie Shrem: Yes, exactly.