Private Banking Strategies – Crypto Focused

Bitcoin Academy - Episode 4: Crypto Focus - Recorded 5/24/2021

[00:00:00] George: Hey everybody, we have Vance and Seth back.

[00:00:03] And we are going to talk more on IBC and we are going to move into a whole life insurance policies, how we can have multiple touches on the same dollar so that you can have some investments that will You know, you can move your crypto from the crypto side of things when you liquidate, when you sell your cryptos and what you might be wanting to move into. So, welcome you guys. Vance, Seth, how are you?

[00:00:32] Vance: Oh, fantastic. Looking forward for our chat today.

[00:00:36] Seth: Yeah. Thank you, George, and Jay, for having us on we're looking forward to helping our audience see some valuable tools they can use.

[00:00:45] One of the things that we talked about last week was a pillar number four, private banking strategies, which is the velocity of money and how wise people, and the ultra-rich get multiple touches on the same [00:01:00] dollar. And sometimes when you. Tell people, hey, you know that you can use the same dollar over and over again.

[00:01:07] They just kind of shake their head and skeptically wag their, their head until you show them how you can do it. And one of the traditional ways that you can get multiple touches on the same dollar through private banking strategies is through real estate investment. And so, what I was going to do is just make a quick example of how that would work.

[00:01:31] So for those who've been following this podcast, you'll understand that you fund your private bank through premium dollars into carefully and narrowly tailored, whole life insurance contract. And that contract serves as a family or private bank. You can then take that same dollar that you capitalized your bank with and pull it out in what's called a policy loan. And that policy loan dollar goes to a borrower [00:02:00] who then invested. In essence, you, or an entity that you control, or form are the borrower and the bank. You have control over those two entities. And so, you're effectively looking at yourself in the mirror and making a loan to yourself.

[00:02:17] And you make good loans to yourself because you're a prudent banker and bankers make the most money on earth as we should all know, they always get the money back and they always get the money back because they secure their loans and they create systems whereby it all ends up, back in their hands. So, with a real estate investment, you guys let's just use A hundred-thousand-dollar investment property.

[00:02:43] And that would probably be somewhere in the south. Let's say, Alabama, you can go buy an investment property for a hundred thousand dollars. And we're going to use the gross rent multiplier of 1%, which is a common investor, a percentage that you're looking for [00:03:00] and rental income. So, the gross rent multiplier being 1%, you would have a thousand dollars in rent per month, coming back to you on a hundred-thousand-dollar rental property investment gross. And with that thousand dollars a month. You're going to make a payment back into your bank. Okay. And we know that there are other expenses and recurring expenses, things that you have to deal with on an investment property, but for simplicity’s sake, let's just say that you put that entire thousand dollars back into your private bank.

[00:03:33] And at the end of the year, you've got 12,000 gross back in your bank. And you can pay off taxes. You can pay off any deferred maintenance that you may have done or any other expenses that you've got on that. And the fat is your profit, and your bank can then also reloan that money back to the same borrower that was looking at him in the mirror and make a good loan.

[00:03:56] And when you're at the right. Percentages and the right capitalization, you [00:04:00] can add a second rental property and so on and so forth. And this is one of the most fundamental and commonly used strategies with private banking and infinite banking that people use is they use it in real estate. And what we wanted to do today was, was kind of expand people's mindset.

[00:04:21] From using their private banking capitalization for real estate investment and look at it in the crypto sphere and putting that money to work in the crypto sphere because I've been a real estate investor for 20 plus years. Vance has been a real estate investor. You've been a real estate investor, George.

[00:04:42] And so let's talk about some of the pain points with real estate investment.

[00:04:47] George: I think we can all come up with those.

[00:04:50] Seth: Toilets and tenants,

[00:04:52] There's always some frustration, Vance, you were just describing to me off air some of those, what have some of in your investment [00:05:00] problems with tenants and, and investment properties?

[00:05:02] Vance: Well, I'd sure like to have a rental property that doesn't have toilets nor tenants I'd rather have it business or something else like that because, you know I actually have gone to the point where I offer a 45.

[00:05:20] Reasons that somebody doesn't pay their rent or is late. And I hand that out at the beginning of the rent and say, look, you know, it's not going to help, but just go ahead and mark the reason here that the rent is late, and it's got everything from the dog chewing up the check and, you know, and just anything out there, it's just, you have to deal with that because you're the landlord.

[00:05:46] So I've, I found another world where I can get better profits and we don't have to deal with that. And I've got one right now and one of the tenants have gone ballistic and you know, I've got to deal with it. So.

[00:05:59] Seth: Yeah. I've [00:06:00] had everywhere from tenants that were not tenants there. They had a squatting boyfriend; I got the tenant out and then it took another year to get the squatter out.

[00:06:10] I've had, you know, failed HVAC systems and windstorms pull off your roof and everything that you can possibly think of to deal with investment properties. And so. What I was super excited to hear about when Jay and I talked about this during the bear market were the cryptocurrencies that spin off.

[00:06:33] Cash or coins that you can cash out or other types of value, George, that don't have a toilet to clear or an HVAC to replace or a tornado ripping off the roof. Something that you can just simply sit back passively and cash out.

[00:06:52] George: Absolutely because there are some great tokens, some great coins, some great blockchains that, that offer [00:07:00] that.

[00:07:00] And it covers the gamut of, I want something really simple. Like you could, you could stake your cardano put it in your, your wallet and just stake it and you could earn a return on it. It's almost like you, you know, it would be insane not to stake your, Cardano because. There's nothing else that you have to do except for click a little button and take about 30 seconds to enable it.

[00:07:26] And so there are some really simple things like Cordano you can stake things like theta. On, on G pool and we've had a D from G pool on our show talking about how easy it is to stake theta and T fuel, which is kind of the, the sister coin to or the baby coin of theta where you can earn, you know, they're going to theta is coming out with 3.0, and I, from the numbers that I see, it's going to be really.

[00:07:58] Really good [00:08:00] return. And those are, those three are pretty easy to do. Then there's Flamingo and Neo and staking, that pair that that liquidity pair it's a little bit more difficult, but the return on it, I think when Jay and I first started to stake that liquidity pair, I think the return was 86%.

[00:08:18] And, you know, in a year now it's dropped down to, I think the last time I checked was about 32%, but that's a pretty dang good return. And I think the best thing that you know, when you are looking at an investment, because yeah, I've done real estate and it is a lot of work or can be that on the crypto side, there's not a lot of work you can stake it once.

[00:08:45] You can monitor, you can make sure that things are okay, but it's not that they're going to be giving you a phone call. And in the middle of the night saying you need something done. Because the staking just does what the staking does, it steaks, and it gives you a return and it gives [00:09:00] you a pretty good return.

[00:09:02] And so, you know, that's the, the avenue and I know Seth, you and I have talked about that longer term of what we're going to want to put into crypto for staking, where we can get a return because it's not just a return. Of a static price of, you know, if I was taking Flamingo, Neo you know, what am I getting like $10 an hour or something like that, but I'm getting a, a coin back.

[00:09:28] That's going to increase in value. So, you really don't know what the return is. Until you cash out that coin. So, it can be very, very lucrative. And it's something that I am definitely doing and, and recommend for people that are willing to go down that road

[00:09:46] Seth: and don't get us wrong. I think that we've all made good money from real estate investment.

[00:09:50] I know that I have, and. It certainly is a good use of your private bank and capital, but when you can avoid managing [00:10:00] other property managers manage those headaches and vacancies and cash outlays from Rental properties, why not? And cryptocurrency is one of those things. That's come along in our lifetime.

[00:10:13] That's given us a softball pitch to, to knock over the wall. So, I think as we continue to, to grow George will be really instrumental in helping our listeners dial in on which. Coins that they could consider for staking and which ones will be the most profitable to bring that passive cash flow back to them.

[00:10:35] George: Yeah, absolutely. Because you know, one of the strategies is looking is, you know, bringing it in and staking for a period of time and, you know, following what Jay is doing and what you know, numbers he's looking at and what he's investing in, and then pulling them out at times. And liquidating and putting them back into my bank and holding onto that as we go through the, the crypto cycles [00:11:00] and, you know, knowing when to get in, when to get out, I know it's a little bit different than real estate where real estate.

[00:11:08] You're not in and out as much as you might be in a, in a crypto cycle that might last a year and a half, two years. So, it's, it's just kind of a little bit different beast on its own. You don't get calls about overflowing toilets in the middle of the night. You just have to pay a different type of attention to it.

[00:11:27] Vance: Let me step in here for just a minute and talk about a couple things that I've, I've heard so far. I think it's a pain point a little bit because when more in crypto. You know, we out there we expect, or we want that crypto to bring in profits. When we're out working and employed, we go to work, you know, we bring home, you know, capital what we call principle the way our banking system is set up.

[00:11:55] Now, if we were all to take a high level, look here, be it investment, [00:12:00] income, or property. The banks are poised to get all of our money. Cause right now, unless we do something and George, I think you'll agree with me here. We only get to spend the dollar one time, but the banks always get the money back.

[00:12:15] Don't they?

[00:12:16] Seth: Yeah, they do.

[00:12:17] Vance: So, this is why. Seth and I are so passionate about the realization of what profits happen. You have to take the banking equation back in your life. You have to set up your own system. You have to set it up the way banking was intended to be set up in America. Now that might be new information to a lot of people because the only type of banking they know of the centralized banking, which is corrupt and wrong.

[00:12:44] What we're presenting to you is how our nation was intended to be run and they could handle their own banking through, you know, privatized contracts, letting the life insurance companies hold the asset, the money folks, you need [00:13:00] to understand that this strategy is not new. I'm going to have Seth up, jump in here and tell us where even the banks bank of America, JP Morgan keep their safe money.

[00:13:15] It's not in their own banks because they don't trust their own banking system because they know it's corrupt and flawed. So, as we talk about. Crypto or anything else? I believe it's almost a definition of insanity to where we only get to spend the money one time and now come heck or high water. We got to go replace it somehow in order to carry on the lifestyle.

[00:13:39] And that shouldn't be the case, but we’ve been born and bred to that. Once you agree, maybe. George, that we've had a lot of money flow through our hands over a lifetime. Haven't we?

[00:13:51] George: Absolutely. I sure

[00:13:52] have

[00:13:53] Vance: what, if we had a mechanism that that money would return back to us one way or another,

[00:13:59] George: I'd [00:14:00] rather have it return to me than to go to the bank that's for sure.

[00:14:02] Seth: Right.

[00:14:03] Vance: Right, right. So, we show people, you know, that in that flow of money who, and give you the choice of who you want to end up. The money, you know, we all need to understand why the banks always get the money back it's because they always lend it out. Seth said this earlier, they, they set up these loans in these systems so that the money's always coming back to them.

[00:14:25] And every time it does, they get to fractionalize, which every dollar that comes in they multiply it by 10 and they're off and running. And so. This is what causes inflation right now with the government taking over the system, we have runaway inflation. Have you noticed there's not, you know, all the goods and stuff aren't on the shelves.

[00:14:47] If it, if you know anything about wood, wood has more than tripled just over the last, a few months you know, everything is, I think now really out of control. When it comes to [00:15:00] inflation it's just not being reported. So, we can talk about this a little bit Seth. I want you to go in maybe and you talk about where people, the actual banks are keeping their safe money and how that correlates into what we're talking about.

[00:15:14] Seth: Sure.

[00:15:14] I mean the biggest client of life insurance companies are these big box banks. Wells Fargo, I believe had over 30 billion in annual premiums. The last time I checked and that's, that's a dated statistic of a few years. They bank their money in these life insurance. Reservoirs because the life insurance companies have a, a much different reserve policy.

[00:15:39] They don't, fractionalize their reserves down to 10%. It's a dollar for dollar and these strategies that are safe. Policies, their safe lending policies. And that's why they've been around since before the country was actually a country and the ultra-rich and the politically elite [00:16:00] and connected are using these strategies and have been since the inception of our country.

[00:16:05] It's really farce almost that the American people have been fed to think that they've got to bank with branch banks that are on the corner. And I don't know if you guys, you may not have remembered, but there was an Indy Mac bank failure about the time of the mortgage crisis in the last cycle and in Southern California, there was actually mounted.

[00:16:28] Police patrol and tanks in thousand Oaks, California. On thousand Oaks Boulevard, preventing people from rioting outside of Indy Mac bank that had made a run on the bank and folks lost their money. And, you know, so if you stick your head in the sand or, or some other place, you, you're not going to realize that there actually is a great risk to having your money bailed in upon.

[00:16:57] What does that mean bailed in upon? It means [00:17:00] that. There is the right of centralized banks and big box banks to take their depositors' money and effectively balance their own books with those deposits. That's what the Dodd-Frank act says. It says that, Hey. This money that you're depositing in the bank is really not your money.

[00:17:19] Mr. Depositor, Mrs. Depositor, it's our money. And we're going to hand you an IOU and you get to in the event of a bank failure, we're going to give you stock in this bank company, which is worthless, or we're going to give you pennies on the dollar. And. Neither. One of those are acceptable and most people don't even realize that their money's not their money when you put it one of those banks.

[00:17:44] And so we're, we're trying to bring awareness to people's forefront. so that they realize, hey, your money is at risk and there are alternatives. I think our crypto audience is dialed in on the fact that our, our government is not what it used to be. And [00:18:00] that our transactions are not private if you're banking and in a traditional way.

[00:18:05] And that there are alternatives, there are crypto currency alternatives. There are private banking alternatives, and it's really imperative that our audience here that understand that and, and dig down this, this trail to, to educate themselves and protect themselves.

[00:18:24] George: Oh yeah, absolutely.

[00:18:25] Vance: Yeah,

[00:18:26] I think, I think also that people, you know we were talking about some crypto here and I'm not up to speed that that I probably should be, but it's new and exciting for me. If we're going to play in a game, then I'm one who believes I need to know all the rules and I need to know all the advantages I possibly can.

[00:18:48] For instance, sometimes I've done in the past precision shooting where we shoot out to a thousand yards and beyond in an order to hit a 10-inch target, which is what's called a one emo [00:19:00] MOA target at a thousand yards. That's 10 inches. You've got to know what the wind's going to do. You've got to know the trajectory of the bullet.

[00:19:08] You've got to know everything in order to. Anticipate a first round impact first round hit and believe me, that's challenging. And. You know, life is challenging in itself, but we owe it to ourselves to find out everything we possibly can rather than believe what we're being told. And this group is so good with that.

[00:19:33] We're pretty much all talking the same language here, this private banking strategy. If you get that set up in your life, talk about security. Talk about privacy talks about tax advantages. You know, we don't have to play those games anymore. Inside this I think the government's going to try to protect it because that's where they have their, their own, you know, safe money a little bit.

[00:19:56] But we owe it to ourselves to find out [00:20:00] why self-banking. We could be much better off than, you know, with the centralized banks.

[00:20:07] Seth: And one of the things that, that I like to do in our emails, George, is I like to actually educate the reader with certain facts. Like I just mentioned with the IndyMac run in 2008, and I've just started a series that kind of touches on.

[00:20:24] Asset protection, pillar of private banking strategies, and why your money in a centralized bank or a branch bank is, is not safe. It can be bailed in upon. There can be a bank run because they don't have the same cash reserves, they're able to, to effectively multiply every dollar times 10. And if you and I go put a hundred dollars in the bank, they can lend out a thousand and then every

[00:20:51] payment that they get back on the loan. They fractionalize that and lend it out again. So, if there is a consumer, distrust and people line up at the [00:21:00] bank to pull cash out, they don't have it. So, the obvious question becomes, you know, where do you put your cash? And. You can put your cash in a mattress.

[00:21:10] If you live in Southern California or other wildfire areas or Northern California, probably not a good idea if a wildfire comes through and burns up the community like it did in paradise, California, there goes your cash, or you can put it in gold and silver and. And bury it around your property. There was actually a couple in Northern California that were out walking, and they saw an old tin can sticking up out of the ground, dug it out and there was $10 million worth of gold Shingles gold bullion from like the San Francisco mint buried around their property that they had found.

[00:21:47] And whether the prior property owner buried it, or someone robbed a stagecoach. I don't know. But the point is, is that you may forget where you buried that, or you may die before you could use it. Probably not the [00:22:00] safest alternative either, but. They're, you know, the options are somewhat limited with trying to protect your cash.

[00:22:08] And one of those places you can put it as in a private banking strategy. And one place is that you can put it as in, in crypto and get a multiple touch with both of those in operation together. You don't have to play. in the bank's sandbox and play under their rules and play under the, where you lose control of your money.

[00:22:28] You can keep control of your cash and your money through crypto and through private banking strategies, dovetailed together, you get a double-barrel impact.

[00:22:39] George: Yeah, absolutely. Go ahead Vance. I know you want to say something

[00:22:43] Vance: maybe you know, I think at that point we all, we've gone about a little over 20 minutes, but you know, for our listeners out there, I want to throw out a challenge, make yourself better off today. Than you were yesterday, make yourself better off tomorrow than you are [00:23:00] today.

[00:23:00] That's one of the mottos we go by don't play the game of, of risk out there when you don't have to a wall street. The stock market is also full of corruption and things going on there to entice you, to buy our investments with meaningless numbers. So, know if we have struck any cords with you whatsoever.

[00:23:24] If you think that there might be a better way to where you can use money over and over again. Jay and George have all of our information, you know, figure out how to get in touch with us, find out how it would work for you. We've got a system that will show you whether this would be right for you or not really, really quick.

[00:23:43] George: Yeah. And, and, and

[00:23:44] Vance, just to let you know, we are we're getting one up on the new website the Bitcoin academy.io. There's going to be a page dedicated to your information. I mean, I'm, I'm going through the process right now and yeah. And last Thursday had to leave the [00:24:00] live stream because the traveling nurse or I'm not sure what you call it came in and drew blood on, you know, a couple of different policies.

[00:24:08] So I am in the middle of it, and it seems to be you know, really fairly straightforward, easy process

[00:24:16] so far,

[00:24:17] Vance: it isn't complicated at all. Not at all. So, I think you know, Seth, you got a couple of final comments share and you know, maybe we can call this a good one.

[00:24:27] Seth: Sure. Yeah. If, if the audience wants to learn more, they can go to private banking, strategies.com and surf around.

[00:24:36] That website for articles, you can also get into our email campaign where I take time to educate people in email content with some of these issues by just supplying your, your contact information. And we also provide what I like to call a red pill book, which is. You know how to grow rich with the, the secrets that banks don't want you to know.

[00:24:59] And that's [00:25:00] a book that Vance and I authored where we basically a red pill, the reader on certain issues like Dodd-Frank and why your money's not safe in a big box bank and how to get multiple touches out of the same dollar. Why compounding growth is so important. Why now, why financial privacy is so important?

[00:25:21] And Jay says this all the time. It's not what we make that counts. It's what we keep that counts. And I've made a lot of money in my lifetime, and I would say more has passed through my hands then than I've kept. Until I started implementing private banking strategies until I started investing in crypto.

[00:25:40] Your whole game plan changes when you're actually gonna have a system to recapture the dollars that you make and that you've got them asset protected and, growing in a way that you're not, you're not getting a drag on your money, but you're getting lift in momentum and that's, that's a real game changer.

[00:25:59] It's a [00:26:00] real game changer.

[00:26:00] George: Yeah.

[00:26:01] Well, okay. You guys I think this has really been informative and different avenues that people can go down to, you know have multiple touches on the same dollar and not use the banking system. Like we've been taught for so long in my life and that we need to have a different avenue to use and to learn about kind of like we're, we're all learning something new in the crypto space.

[00:26:29] We need to learn something new in the banking space and you guys really have a great solution that. I'm certainly going down. I know Jay's going down and you know, I welcome everybody in the crypto space to really take a look at this as a, as an avenue to move some of your crypto profits into.

[00:26:50] Vance: We

[00:26:50] have so many clients now that have been involved with Jay who have taken you know, this idea of this thought and they’re, implementing it right now, right in the [00:27:00] left. So, you know, it's, it really is a viable, alternative to just spending it all at one time and then it's gone forever.

[00:27:10] George: Yeah.

[00:27:10] Vance: All right. Thanks again.

[00:27:12] George: Yeah. Well, thank you guys. You know, it was it's been it's been a fun may we're heading into summer, and we will talk again next week and dive further into explaining the concept,

[00:27:25] Vance: right?

[00:27:26] Seth: Looking forward to a George. Thank you.

[00:27:28] George: Thanks guys.