As summer falls into the Northern Hemisphere, the financial dream of Bitcoinization is rapidly becoming a nightmare. The summer of Bitcoin paper, which issues stocks to (extreme) overvalued and ignorant financial markets, ends with buying Bitcoin.

My dream of Bitcoin’s Ministry of Finance was good. I openly admit that it was made Some Sense.

For months, Wall Street enjoyed the foaming and burned fire. But at last, financial gravity has re-recognised itself. We are all awakened from the summer. more than they are objectively valuable. It’s great and tragic to see standard corporate finance being confirmed again.

Earlier this year, David Bailey, CEO of BTC Inc, owner of Bitcoin Magazine, told Bitcoin for Btc Inc, another division of Btc Inc, “If we can sell a dollar for more than one dollar, we’ll trade all day.”

After all, the free lunch strategy (!) wasn’t free… Cleaning up investor money in the process was a painful journey to learn that lesson.

when you – Retail Bag Holder – Buying security instead of real Bitcoin. Usually, you do so with premiums (e.g., mnavs above 1). Awful, this is both validationally insane – why buy a dollar for more than one dollar? – and The very power to animate these Bitcoin finance companies.

We’ve seen this with legitimate criticism and speculated that while Bitcoin’s Fiat price is rising, MNAVS will fall to about 1 as stocks fall and flatten. Fate did a trick on us crash Instead, the price of Bitcoin. As a result, many of these airy financial alchemy monsters have been dropped by much larger multiples.

Bailey’s own Naka, where Bitcoin Magazine offers a specific marketing service, was the most interesting (and financially tragic for many people around these parts). When Naka majorly announced its $5 billion share issuance program last month, stocks were It fell It continued to fall 70% from the first pump, focusing on the announcement of reverse marsing using KindlyMD. $naka has dropped by a whopping 85% from its May high, recently setting a new low of $3.28.

Market prices are true, and the truth at the twilight of a treasury company’s dreamy delusion is that it is not in the promised land to cram into the corporate balance sheet with retail fairness and debts to win bitcoin.

“The market price tells you whether you’re right or wrong,” said Moshe Shen, managing director of APAC WinterMute Trading, on the first day of Bitcoin Asia, which recently ended in Hong Kong. I think that speaks well enough of the questionable outlook for Nakamoto and other Bitcoin finance companies.

Bitcoin’s Ministry of Finance’s magic is over

The repeated pump-and-dump effect of issuing more shares for a Bitcoin financial strategy is no longer accompanied by a great pump against the stock price. As sanity and traditional corporate finance suggest, it falls. It doesn’t matter how many thousands of coins Saylor’s strategy is eating. MSTR prices I’ll keep it Fall, returned the total zero Percentage of common shareholders since November last year. Metaplanet has recently passed 20,000 coins in a hype celebration, dating back to levels not seen before the paper summer began.

A recent article documenting financial phenomena, from Nikou Asgali Financial Times “The crypto buying strategy relies heavily on raising debts to issue stocks or buy Bitcoin and other tokens, and I hope this will drive stock price growth.” Underestimating the points, she continues, “However, as the company’s valuation drops, it becomes more difficult to raise capital.”

When stock prices fall and MNAV approaches 1, free money magic will disappear. Once the age of magical money printing is over, we’ll look into whether the hundreds of finance companies out there have (something?) viability.

Even Tyler Evans of UTXO Management, even another BTC Inc and Nakamoto-Involved Company, confessed to Asgari in the same way ft Article: The market “overheated irrationally.” The paper Bitcoin summer was “the peak of both companies with both hype and launch.”

At the end of the paper Bitcoin summer, we see reality reconstructing itself once again, dramatically recovering from the collective delusion that market prices in the world’s most fluid markets can head far beyond the MNAV course.

Here’s a bold prediction: A year later, Bitcoin finance company will not become a thing. Most of the lower tier do not survive, instead spitting out coins they have been so sniffing and recklessly snipped. Teams with serious moats and competent management teams like Strategy and Metaplanet survive, but MNAV has reduced to a sliver above zero and belongs logically.

The paper Bitcoin summer is over and I couldn’t be more excited to see these nightmares return to the etheric dreamland from where they came.

Investor and “Rich Dad Poor Dad” author Robert Kiyosaki warned investors to beware of holding Bitcoin (BTC), gold and silver through exchange‑traded funds, saying those paper‑based instruments are no substitute for the real thing.

Kiyosaki likened ETFs to having only a “picture of a gun” for self‑defense, useful in good times but useless in a crisis. He said ETFs make assets such as Bitcoin and bullion more accessible to everyday investors, but they don’t give investors physical possession of the underlying commodity.

He wrote:

“Sometimes it’s best to have real gold, silver, Bitcoin, and a gun.”

Kiyosaki’s skepticism isn’t new, he has previously told his followers to ditch “fake money,” meaning fiat currency, and turn to bearer assets like Bitcoin, gold and silver as a hedge against inflation and a weakening U.S. dollar.

He argued that paper claims on hard assets can become worthless if the institution issuing them fails to hold enough reserves. He added that a crisis of confidence can trigger a run on an ETF or bank that doesn’t have sufficient liquidity, risking collapse.

ETFs have exploded in popularity as more investors seek exposure to cryptocurrencies and precious metals without dealing with cold‑storage wallets or vaults.

Several spot Bitcoin ETFs, introduced in the US this year, regularly trade billions of dollars’ worth of shares. But that convenience comes at a cost, Kiyosaki contends: you are buying a claim, not the asset itself.

However, ETF experts like senior Bloomberg analyst Eric Balchunas believe such fears are unfounded. He told CoinTelegraph that ETFs are subject to strict safeguards and legal separation between issuers and custodians

He said:

“All the shares of the ETF are connected to actual Bitcoin; it’s a one‑for‑one ratio, there is no paper.”

Balchunas acknowledged that the crypto community is often suspicious of traditional finance, but noted the ETF sector has operated for 30 years with “a sterling reputation.”

Balchunas said that wealthy Bitcoin holders might actually be safer using ETFs, because self‑custody can make them targets for theft and ransom schemes. He added that physical gold and silver also carry storage and security costs that many retail investors can’t afford, and a regulated fund might be the better bet for them.

The debate highlights a broader tension between advocates of decentralized assets and the traditional financial system. While products like spot Bitcoin ETFs have brought billions in inflows and opened digital assets to a wider audience, skeptics such as Kiyosaki believe nothing beats personal possession in a crisis.

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A few years ago, maybe around 2012-2014, my father got some packages from his friend. And yesterday my dad gave me a package. This included paper along with metal bitcoin coins. Instinctively, I thought it was a kind of Bitcoin paper wallet. There is an unusual format for paper wallets.

Along with the QR code there is a three-line string written there.

The string is in the following format:

zt {8 digit number} go

{18-digit number}

M12-02-12 // Probably the date on a paper wallet. I think so.

A QR code represents a combination of these strings.
{18 digit number} .zt {8 digit number} go

I think it follows the form of some companies or services, not just BTC addresses. How can I find a pattern to recover Bitcoin?

The Bank of Canada took a significant step in exploring the technical feasibility of a digital Canadian dollar, proposing a specific system designed for a retail central bank digital currency (CBDC) focused on simple, everyday payments, according to a new research paper.

The central bank’s research team examined OpenCBDC 2PC, a model developed in collaboration with the Massachusetts Institute of Technology’s Digital Currency Initiative. This design prioritizes privacy, speed and decentralization by allowing users to hold digital funds directly, much like digital cash.

The new research comes after the Bank of Canada said it is shifting its focus away from a retail CBDC last year, saying that it was prepared if the people of the nation decide such a product is needed in the future.

Privacy issues

A major focus of the report is privacy, which isn’t a big surprise because CBDCs have sparked debate around the world, in part on concerns they could enable state surveillance of financial activity. Unlike cash, which is anonymous, a CBDC could theoretically allow a central authority to track every transaction.

The report suggested that the system separates personal identity from transaction data, allowing non-registered users to hold funds in self-custodied wallets. The users could then transact without sharing their identity with a bank or payment processor. Even for registered users, the central bank would not have access to identifying information or transaction histories.

The report goes further, proposing enhanced protection by potentially using cryptographic techniques such as zero-knowledge proofs to obscure transaction amounts from the core infrastructure. These features collectively offer a level of privacy that the authors say could exceed that of current electronic payment systems.

Bitcoin-like structure

In contrast to traditional banking systems, where money is stored in user accounts, the report suggests a design that uses “unspent transaction outputs” (UTXOs) — a structure more commonly associated with Bitcoin.

The system processes transactions in two steps: updating a core ledger and transferring funds from one user’s wallet to another. This approach supports real-time settlement and offers a higher degree of privacy from both banks and government institutions.

Challenges

While the report lays out a detailed technical solution to a potential digital Canadian dollar, it also identifies potential hurdles.

One of the main hurdles is that integrating the proposed architecture with existing retail payment infrastructure could require substantial technical upgrades, including in the way point-of-sale terminals handle digital cash-like transfers.

Additionally, while the system is scalable in theory, performance dips during audits and system recovery operations need further engineering work to meet production-grade standards.

The paper clearly states that this is not a commitment to launch a CBDC. However, the findings lay out a concrete technical foundation for what such a system could look like— one that balances user privacy, institutional control, and operational resilience.

Whether the central bank will implement it remains a question, given the controversy surrounding CBDC. However, the timing of the report could be right as Canada’s new prime minister, Mark Carney, was quoted in his 2021 book as a supporter of CBDCs.

“The most likely future of money is a central bank stablecoin, known as a central bank digital currency or CBDC,” he wrote in his book.