Translation: both could become worthless. And with them, other cryptos that are not backed by something.
Alchemists have tried to synthesize gold from other materials for millennia to no avail. It was just not possible. The same with silver.
And here we are, “in the future”, trying to use cryptocurrencies as money. Stability is one of the properties that money needs to have. The volatile prices can be forgiven as long as the long-term trend is up, but this?…
Come on – is it really a prudent decision to use cryptocurrencies as money if they could become worthless within a few years? Treating it as a speculative asset or like a venture capital investment might make sense for many, but treating it as money?…
Sure, some forms of cryptos will still be useful – if they are backed by something. Stablecoins and those tied to precious metals, for example. The blockchain technology, on its own, is great in my view. So are the NFTs.
But all this doesn’t mean that Bitcoin will be widely adopted as money. Besides, so many wars were waged, and so many lives were taken just to keep or establish monetary power, and we’re expecting The Powers That Be to give up this power and adopt a currency that they can’t manipulate – just like that?
The technical formations in bitcoin and other cryptos suggest that people are finally beyond the crypto honeymoon stage and are realizing that this might not work as many expected it to and are seeing how ridiculously overpriced this market has become.
In my view, this is likely to lead to sales, panic and price slides. Interesting 2026, right?
Getting back to quantum computing for a moment – do you know what market it will actually support?
Silver.
Quoting part of the Catalyst #34 description from ‘Silver Rising: 100 Reasons Why Silver Will Soar’:
Catalyst #36: Quantum Computing Material Requirements
Details: Quantum computers require ultra-precise electrical contacts and sophisticated thermal management systems due to extreme precision requirements for quantum state maintenance. Quantum computing cryogenic infrastructure requires extensive silver use in thermal management and signal routing, as documented by IEEE Spectrum’s analysis of quantum components, which notes that “wires are made of silver” in temperature stages above 4 Kelvin in dilution refrigerators. Additional technical applications include high-purity silver epoxy for chip thermalization at millikelvin operating temperatures and silver sinter in heat extraction pathways, as demonstrated in research by the National Physical Laboratory and Google. These thermal management materials become increasingly critical as quantum systems scale from current 156-qubit processors toward the million-qubit architectures required for fault-tolerant quantum computing by 2029.
I will likely discuss more in the upcoming Silver Catalyst issues.
All this means is that our silver positions in the investment and insurance parts of the portfolio are likely to benefit greatly, while the situation in the cryptocurrencies might be… challenging. And our profitable short positions in Bitcoin are likely to be even more profitable in 2026.
All in all, it looks like a major shift is taking place in the markets right now, and that we are well positioned to take advantage of it.
Thank you for the 2025 and I wish you all the best in 2026. May the worst days of 2026 be better than the best days of 2025.
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