Key Insight from Bitcoin for Institutions: 2. "Risk-free" assets proved to be an illusion - government bonds lost 30-50% of value, shattering Modern Portfolio Theory. Chapter: BlackRock (Redefining Portfolio Construction)

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

ℹ️ Market Cap Explosion: Strategy's market capitalization has grown from approximately $1 billion to nearly $100 billion, driven primarily by their bitcoin holdings. They await S&P 500 entry despite meeting the criteria. From: Strategy (Balance Sheet Strength)

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 5. 100% allocation is justified for pensions that will survive the next two halving cycles (eight years). Chapter: Pensions

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 4. Six minutes left in the game - there are limited bailouts remaining, and pensions need to act now. Chapter: Pensions

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 2. The power of bitcoin as capital depends on its owner—not just the quantity held. Chapter: Introduction

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 5. Self-custody enables unprecedented sovereignty —unlimited wealth stored in a 12-word seed phrase, accessible anywhere on Earth. Chapter: Bitcoin is a Bearer Asset

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

The Four-Year Rhythm: The earliest that bitcoin collateral can be wound down is four years, aligned with bitcoin's four-year halving cycle. The loan carries a single-digit interest rate and has a maturity of 10 years. Credit markets operate around the concept of subordination - which loans get paid off first if a borrower has multiple loans. The most senior loan (paid off first) is the most creditworthy and demands the lowest yield. This idea of seniority is about to be flipped on its head by Battery Finance's loan product. If a borrower posts bitcoin as collateral, this loan would automatically become the most senior loan - not because of contractual priority, but because of behavioral prio... From: Structured Credit

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

ℹ️ 16 Years of Returns: Bitcoin's 16-year return history makes it the best-performing asset class in history, despite massive drawdowns along the way. Professional money managers who ignored it have significant explaining to do. From: Mutual Funds / ETFs - Wielding the Blade

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Like with speech, there cannot be truly free markets without the total freedom to transact . From: Bitcoin Users Value Privacy

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 1. Bitcoin is the largest fixed-supply asset on Earth with 21 million units capped by immutable protocol, 95% already issued. Chapter: Bitcoin Requires a Deflationary Mindset

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

📝 On writing this book: "Bitcoin doesn't write books, but it enables people to see value more clearly for themselves, particularly when it comes to what a person spends their scarce time on. Understanding what in the world comes from work and energy, as opposed to the stroke of someone's pen or from printed money, helps people clarify what has true value." From: Introduction

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 1. LDI strategies failed spectacularly when rates reversed in 2022, requiring Bank of England emergency intervention. Chapter: BlackRock (Redefining Portfolio Construction)

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 5. Companies must understand bitcoin's impact on individuals to offer competitive compensation and financial services. Chapter: Bitcoin Requires a Deflationary Mindset

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 2. Saylor's engineering mindset elevated bitcoin from "Magic Internet Money" to "Thermodynamically Sound Digital Real Estate." Chapter: Strategy (Balance Sheet Strength)

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

From the Brown/Asness Paper: From: Bitcoin for Institutions

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 3. Companies think in quarters, not years —but bitcoin mastery is closer to a human lifetime than a quarter. Chapter: Bitcoin Requires More Patience and Time than Institutions Have

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Long Horizons Young workers have 30-40 year horizons - perfect for bitcoin's volatility profile. From: Bitcoin for Institutions

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Existential Necessity It usually requires an existential problem to get all of the battleships aligned around a single long-term objective. From: Bitcoin for Institutions

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Key Insight from Bitcoin for Institutions: 4. Corporate balance sheet holdings require a dominant individual (like Saylor) to overcome institutional pressure to sell. Chapter: HODL'ing Bitcoin is Irrational

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors

Credit is one of the fundamental features of any high-functioning society. The ability to borrow and lend at a healthy equilibrium is what separates the highest functioning economies from the lowest ones. Credit is built on trust and trustworthiness - characterized by its own term: creditworthiness. From: Structured Credit

Bitcoin for Institutions | Math Academy

Interactive course on Bitcoin for institutional investors