If I were the Financial Industrial Complex (FIC), and my objective...
Simon Dixon@SimonDixonTwitt
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Oct 30, 2026
~1 min read
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If I were the Financial Industrial Complex (FIC), and my objective was to maximise portfolio value for asset managers like BlackRock, Vanguard and State Street, here’s the strategy I’d consider.
1. FIC — The custody model
Launch Bitcoin ETFs, finance Bitcoin treasury companies and encourage the migration of Bitcoin from self-custody into institutional custody.
2. Military Industrial Complex (MIC) — The covert operations model
Use intelligence and cyber capabilities to conduct or exploit covert operations, creating uncertainty around the security of self-custody and exchanges outside FIC control.
3. Technical Industrial Complex (TIC) — The revenue model
Supply the AI, software and cybersecurity infrastructure used by both attackers and defenders.
Fuel an AI-driven cybersecurity arms race where every new attack creates demand for more expensive defences.
4. FIC — The endgame
Use the growing fear of hacks to promote institutional custody as the safer alternative.
More cybersecurity spending for TIC.
More security budgets for MIC.
More Bitcoin under institutional custody for FIC.
The attack creates the fear.
The defence generates the revenue.
The custody concentrates the control.
That’s how the incentives could align.
It doesn’t establish who conducted any particular hack or prove these institutions are coordinating them.
But it’s a useful framework for asking who benefits.
Follow the money.
Follow the custody.
Follow the control.
1. FIC — The custody model
Launch Bitcoin ETFs, finance Bitcoin treasury companies and encourage the migration of Bitcoin from self-custody into institutional custody.
2. Military Industrial Complex (MIC) — The covert operations model
Use intelligence and cyber capabilities to conduct or exploit covert operations, creating uncertainty around the security of self-custody and exchanges outside FIC control.
3. Technical Industrial Complex (TIC) — The revenue model
Supply the AI, software and cybersecurity infrastructure used by both attackers and defenders.
Fuel an AI-driven cybersecurity arms race where every new attack creates demand for more expensive defences.
4. FIC — The endgame
Use the growing fear of hacks to promote institutional custody as the safer alternative.
More cybersecurity spending for TIC.
More security budgets for MIC.
More Bitcoin under institutional custody for FIC.
The attack creates the fear.
The defence generates the revenue.
The custody concentrates the control.
That’s how the incentives could align.
It doesn’t establish who conducted any particular hack or prove these institutions are coordinating them.
But it’s a useful framework for asking who benefits.
Follow the money.
Follow the custody.
Follow the control.
The Kobeissi Letter@KobeissiLetter
BREAKING: The crypto industry has now seen an estimated 750 security incidents in 2026, with total potential losses reaching $9.0 billion.
This marks a +133% increase in total losses compared to 2025 levels.
2027 will be the year of cybersecurity investments.
This marks a +133% increase in total losses compared to 2025 levels.
2027 will be the year of cybersecurity investments.
