The Peter McCormack Show

Location: New York Date: Friday 10th December Project: Democratic primary for 2022 US Senate election in Ohio Role: Democratic candidate  It is a common refrain that US politics is broken: a two-party system limiting serious debate, corporations corrupting politics via PACs and lobbyists, media monetizing rage, a polarised electorate demonizing the opposition. The themes are well worn, but nothing seems to change. At the same time, society is beset by a growing list of material issues: rising inequality, a squeezed middle class, unprecedented levels of debt, impacts of technology on jobs, climate change, the rise of China, etc. etc. etc.  There are strong grounds to suggest that such issues can only be only mitigated or solved through coordinated action managed by the government. There are equally persuasive arguments that rather than fix things, the government actually exacerbates problems.  If we are to start to repair society, we need to fix politics. This starts with having politicians citizens can trust, politicians that are informed, politicians not beholden to corporations, politicians that make decisions based firmly on the merit of an argument.    Cynicism is justified, but it does seem there is a new cohort of budding representatives on both sides of the political spectrum who want to bring such change. In this interview, I talk to former senior advisor at the Consumer Financial Protection Bureau and prospective Democratic candidate for the 2022 US Senate election in Ohio, Morgan Harper. We discuss her political motivations, removing corporate money from politics, how Bitcoin can help level the playing field, and taking politics out of policy.

Location: New York Date: Wednesday 8th December Company: Former CEO of Blockstream Role: Entrepreneur, VC & Cypherpunk It is a common refrain that we are living in unprecedented times. Yet, the most inconceivable changes to society are ahead of us. A confluence of exponential forces could see our species either flourish or wither. The changes that these forces will bring are fast approaching. A technological singularity is predicted to occur in a generation: innovations will bring rapid change that is both bewildering and uncontrollable. These technologies will become increasingly cheaper and ubiquitous such that the risk profiles associated with misuse will grow significantly. At the same time, we risk seeing the traditional financial systems shatter as exponential growth in debt finally becomes unsustainable and deflationary pressures finally dominate to destroy traditional credit systems.  Bitcoin can’t solve all these problems, but it is a central part of the toolbox of solutions.  In the second of two interviews, I talk to Austin Hill, the entrepreneur, cypherpunk & venture capitalist. We discuss the singularity and vulnerable world hypothesis, how technology can strengthen totalitarianism and the role of Bitcoin in harm reduction. 

Location: New York Date: Tuesday 7th December Company: Former CEO of Blockstream Role: Entrepreneur, VC & Cypherpunk Many are still ignorant of the cypherpunk movement. Yet, it is arguably one of the most consequential enterprises in the history of man.   The rise of civilization has been marked by a slow shift from centralized control to increasing levels of individual sovereignty. This was accelerated by the industrial revolution, with political institutions adapting to facilitate increasing levels of democracy.  Democracy peaked in 1990's: Francis Fukuyama predicted in 1992 universalization of liberal democracy would lead to 'The End of History'. But in only a generation, this certainty of the future has been lost. We are now at a critical junction, where many fear technology could allow for a permanent totalitarian structuring of society.  Cypherpunks seek to ensure the balance of power is in the hands of the individual. Foreseeing the inherent danger to maintaining an open society in the electronic age, they have and continue to devise privacy-enhancing technologies. "We know that someone has to write software to defend privacy, and ... we're going to write it." A Cypherpunk's Manifesto (Eric Hughes, 1993).  The future role of the individual, and the essence of civilization, is in the hands of an informal, diligent, dispersed, and largely unheralded cohort of computer and cryptography experts.  I sat down with Austin Hill, one of the original converts to the cypherpunk movement, and more lately, a pivotal safeguarding figure for Bitcoin. In the first of two successive interviews to be released, we discuss how he discovered the cypherpunks, his challenging early endeavours, a reawakening through Bitcoin, and the risks and opportunities for the future. 

Location: New York Date: Saturday 5th December Project/company: Pragmatic Capitalism, Orcam Financial Group Role: Chief Investment Officer In the 1980’s, Harry Browne devised an investment strategy designed to perform well in all economic conditions. It is referred to as the Permanent Portfolio. Investments are equally allocated to stocks, bonds, gold, and cash. The objective is for the portfolio to perform well in all economic conditions. But Harry Browne’s strategy was developed in a period when short term boom and bust debt cycles were still a feature of economic systems. Since the global financial crisis of 2007, the debt cycle hasn’t been allowed to function properly: recessions have been mitigated through unprecedented governmental monetary and fiscal stimulus programmes. In this new paradigm, where inflationary pressures cast a large shadow, what are the best investment strategies to take? Certain Bitcoiners are all in on the new form of money designed for these times. This does not fit everyone's risk appetite. But, having a portfolio that lacks exposure to Bitcoin risks missing out in a market that could otherwise be devoid of alpha. Then there is also a geographical variable at play: the US has certain inherent strengths that are not available to citizens of other countries, significantly affecting investment decisions.     In this interview, I talk to investment strategist and founder of the educational website Pragmatic Capitalism, Cullen Roche. We discuss the drivers for inflation, the role of government, investment strategies during uncertain times, and the place for Bitcoin in asset portfolios.

Location: Remote Date: Tuesday 28th December Project: Tales from the Crypt, the Rabbit Hole Recap Role: Co-host, host Twelve months ago, we felt 2020 had been a defining year for Bitcoin, yet it pales into insignificance compared to what bitcoin has done in 2021. Microstrategy, Elon Musk, El Salvador, China, the list goes on. And now we have a football club run on the Bitcoin standard! Each event was surprising and seismic. And yet, we end the year feeling like the price has tracked sideways (albeit with the characteristic volatility). Now, the year ends with some red lines being drawn by powerful players on either side of the Web3 debate.  It’s time to take stock, review what just happened and what is in store for 2022. To round off 2021, I talk to Matt Odell, co-host of Tales From the Crypt and host of the Citadel Dispatch. We discuss everything in Bitcoin in 2021, from the Bitcoin podcast space, price action, Elon Musk, El Salvador, Web3 and a Bitcoin Football Club.

Location: New York Date: Wednesday 8th December Project: lynalden.com Role: Macroeconomist These are strange times. The US Dollar’s established role as the global reserve currency is under threat from competing powers, most notably China. However, at the same time, Bitcoin, a nascent and denigrated decentralized digital asset, has grown so rapidly it is now being seriously considered as a potential competitor to all nation-state currencies. The dominant international role of the US Dollar wasn’t inevitable; it was the result of deliberate and coordinated efforts to ensure it replaced gold as the backstop for global economic activity. These measures have had relatively short term benefits for some powerful groups within society but at the expense of the cohesion of the US nation-state and geopolitical freedoms. Inevitably “all pegs break”, and thus, due to various factors, the US dollar is coming under increasing pressure: declining international interest in taking on US debt; increasing geopolitical competition; and domestic fatigue with the unequal societal consequences of having monetary dominance.  Yet, instead of a new nation-state currency replacing the US Dollar, Bitcoin has the potential to be a viable hard money replacement.  The currencies of the world are in flux.  In this interview, I talk to macroeconomist and investment strategist Lyn Alden. We discuss currency wars, positive and negative consequences for the US having a global reserve currency, the consolidation of global currencies and whether Bitcoin can become an alternative reserve currency.

Location: Remote Date: Thursday 23rd December Companies: Hypersheet Role: Co-Founder 2021 has been a year like no other in Bitcoin. The market has matured dramatically with increased institutional interest following the Michael Saylor and MicroStrategy playbook, El Salvador driving nation-state adoption and more sophisticated market instruments with the launch of two US-based Bitcoin futures ETFs. The maturing of the market seems to have broken the typical 4-year cycle around the halving. No longer are we seeing huge parabolic run ups and massive +80% sell-offs. Instead, we have had much more complex price action throughout the year. After hitting mid-$60,000s in May, we had a 50% correction followed by months of consolidation before another run-up and a new all-time high in November.  Now, at the end of 2021, the bitcoin price is ~$50,000, and while it is still the same price as it was in February, so much has changed. So if the traditional market cycles are broken and we are entering a new, more mature period for Bitcoin, what will 2022 bring? In this interview, I talk to Willy Woo, an on-chain analyst and Co-Founder of Hypersheet. We discuss how the price action in 2021, what to expect in 2022 & beyond and how the market has matured.

Location: New York Date: Thursday 9th December Companies: Galaxy Digital; Hut 8 Mining Role: Head of Mining; CEO Satoshi’s white paper introduced the principle of bitcoin mining as both an incentive for creating new blocks, as a means to distribute coins into circulation, and as a means of encouraging nodes to remain honest. Mining is, therefore, the bedrock for Bitcoin. Yet, it is poorly understood even by the most experienced Bitcoiners. The manufacturing of mining hardware is currently dominated by a Chinese duopoly, which in turn depend upon just two Asian semiconductor companies. Whilst the market for mining hardware is more decentralised, a sizable proportion of ownership is in private hands. Thus, it is hard to get reliable data on the size of the market in terms of hashpower, machine units, and mining costs.  Combined with bitcoins volatility, this significant uncertainty makes the financing of Bitcoin mining a complex market. Added to this are the difficulties caused by trade tariffs on Chinese goods and the current drama of ubiquitous supply chain issues affecting chip supplies and freight logistics. Finally, mining companies are in the firing line over perceived environmental impacts. Yet, despite all of these headwinds, Bitcoin mining is a thriving business in both the United States and Canada. Investment is at an all-time high, innovation is driving operations to maximise the hash rate, and the wider world is waking up to how it supports the energy grid and rural communities. In this interview, I talk to Amanda Fabiano, Head of Mining at Galaxy Digital and Jaime Leverton, CEO Hut 8 Mining. We discuss the current ASIC and mining markets, running operations in an uncertain industry during uncertain times, ESG FUD and the future of mining.

Location: New York Date: Sunday 5th December Project: Ethereum Role: Core Developer The Proof of Work (PoW) consensus protocol is under relentless attack.  Earlier this month The House of Representatives held a hearing on digital assets. Rashida Tlaib dismissively questioned Proof of Work PoW, quoting erroneous Bitcoin transaction energy cost data. In response Stellar’s CEO Denelle Dixon implicitly agreed PoW was energy intensive, and that “we all need to focus on minimizing the energy consumption as much as possible”. The next day Ripple’s co-founder Chairman Chris Larsen published a medium article that stated “Bitcoin’s code needs to be changed to a low energy consensus algorithm like those used by nearly all other major crypto protocols.”  Last week CNBC interviewed the CEOs of 2 wealth management firms. One stated the following: “Bitcoin operates on PoW: that’s the older technology, it’s slower, it’s really a drain on energy. Proof of Stake (PoS) is the newer system, it’s where I’d want my money going. It’s less energy intensive. It’s faster. It’s more secure." In potentially the biggest change to any blockchain ever implemented, Ethereum is planning to move from PoW to PoS. PoS has been argued by its proponents (most notably Vitalik Buterin) to not only be less energy intensive than PoW, but to also provide significantly much cheaper security, and greater decentralization. But, the arguments dismissing PoW and recommending PoS are fundamentally flawed. In this interview, I talk to the former Ethereum Core Developer Lane Rettig, who now works as a core developer for Spacemesh. We discuss the history and logic behind PoW, the drivers for developing new consensus protocols, how PoS is set to work within Ethereum, and the significant flaws and risks this proposed change entails. 

Location: Washington D.C. Date: Wednesday 1st December Project: Inter Miami Role: Professional Footballer Ever since Russell Okung's famous “Pay me in Bitcoin” tweet, the trend for professional athletes taking their salary in Bitcoin has been on the rise. Russell teamed up with Strike to take payment in Bitcoin. Earlier this year, Odell Beckham Jr revealed he would take his salary in Bitcoin thanks to Cash App, and most recently, Kieran Gibbs announced his intention to take half his salary in Bitcoin with the help of XBTO. Kieran Gibbs is an ex-England international who built his career playing for Arsenal. He now plays in the MLS with David Beckham's new franchise Inter Miami. In this interview, I talk to Kieran Gibbs, and we discuss his journey down the Bitcoin rabbit hole, his decision to take his paycheque in Bitcoin, as well as his playing career and move to the MLS.