1
00:00:00,120 --> 00:00:02,000
Speaker 1: All right, well, let's get over the next guest that

2
00:00:02,040 --> 00:00:04,960
Speaker 1: we're discussing what's going on in the crypto space and

3
00:00:05,240 --> 00:00:08,840
Speaker 1: joining us now is shall see you see a d

4
00:00:09,039 --> 00:00:12,040
Speaker 1: y d X foundation getting the latest here as well.

5
00:00:12,440 --> 00:00:14,400
Speaker 1: So we're really at the moment you are looking at

6
00:00:14,440 --> 00:00:17,520
Speaker 1: the fallout from fd X and what have you made

7
00:00:17,520 --> 00:00:21,160
Speaker 1: of that? First of all, is the starting block? Absolutely,

8
00:00:21,239 --> 00:00:23,799
Speaker 1: I think it's it's a new stasion on how the

9
00:00:23,920 --> 00:00:27,560
Speaker 1: human can fail the markets essentially, So this is what

10
00:00:27,640 --> 00:00:32,199
Speaker 1: we call a kind of attention between centralized hypto finance

11
00:00:32,280 --> 00:00:37,080
Speaker 1: and decentralized keyptor finance, and in a sense it's humans

12
00:00:37,280 --> 00:00:40,360
Speaker 1: versus smart contracts. And I think what we what we've

13
00:00:40,400 --> 00:00:43,600
Speaker 1: seen over the past weeks is eventually the smart contracts

14
00:00:43,640 --> 00:00:47,000
Speaker 1: are really highlighting their benefits here. And if you look

15
00:00:47,040 --> 00:00:51,920
Speaker 1: at all the people impacted by the different bankruptcies such

16
00:00:51,960 --> 00:00:56,600
Speaker 1: as Voyagers, Celsius or f t X, the only creditors

17
00:00:56,640 --> 00:01:01,840
Speaker 1: which were made whole after these fiasco other smart contracts.

18
00:01:01,880 --> 00:01:06,680
Speaker 1: So it's really illustrating how the objective, mathematical, trust less

19
00:01:07,000 --> 00:01:11,720
Speaker 1: and aditible systems that that sounds the blockchain um platforms

20
00:01:12,000 --> 00:01:14,600
Speaker 1: all beal kind of taking the world slowly but surely

21
00:01:15,000 --> 00:01:18,240
Speaker 1: and uh and that's really the highlight of this FTX

22
00:01:18,280 --> 00:01:22,360
Speaker 1: codupts well, to say nothing of the potential nefarious activity.

23
00:01:22,400 --> 00:01:25,679
Speaker 1: Today we learned from a senior Justice Department official that

24
00:01:25,800 --> 00:01:29,679
Speaker 1: prosecutors are closely watching the activity in the crypto markets

25
00:01:29,800 --> 00:01:33,360
Speaker 1: and they've got an eye towards taking action over possible

26
00:01:33,400 --> 00:01:36,039
Speaker 1: illegal conduct. I don't want you to put you in

27
00:01:36,040 --> 00:01:38,319
Speaker 1: a tight spot in and determine whether or not there

28
00:01:38,400 --> 00:01:41,119
Speaker 1: was illegality at foot. But let's get to the issue

29
00:01:41,120 --> 00:01:44,840
Speaker 1: of regulation. Does there need to be much more in

30
00:01:44,880 --> 00:01:48,840
Speaker 1: a way of tough regulation to re established credibility and

31
00:01:48,840 --> 00:01:52,520
Speaker 1: I'll use the term re established credibility in the crypto space,

32
00:01:54,200 --> 00:01:57,400
Speaker 1: Thank you for that. My personal opinion is we probably

33
00:01:57,440 --> 00:02:01,680
Speaker 1: don't need more regulations. There is already existing regulations for

34
00:02:01,800 --> 00:02:04,440
Speaker 1: markets in general. What we need is clarity so that

35
00:02:04,720 --> 00:02:08,160
Speaker 1: keep those knows exactly where to sit. And the reality

36
00:02:08,240 --> 00:02:12,680
Speaker 1: is there is a lot of an unclarity today on

37
00:02:12,760 --> 00:02:16,280
Speaker 1: how keep to assets or how keep to practitioners should

38
00:02:16,280 --> 00:02:20,200
Speaker 1: be should be practicing. In my opinion as well, smart

39
00:02:20,200 --> 00:02:24,560
Speaker 1: contracts have everything to be the best friends of the regulators.

40
00:02:24,560 --> 00:02:27,400
Speaker 1: So as soon as the regulators will well will really

41
00:02:27,440 --> 00:02:31,119
Speaker 1: capture the value of blockchain systems as well as how

42
00:02:31,400 --> 00:02:35,520
Speaker 1: smart constracts are working. It will really help them essentially

43
00:02:35,560 --> 00:02:39,880
Speaker 1: to potentially implement these regulations in a systematic manner. You

44
00:02:39,919 --> 00:02:42,760
Speaker 1: can imagine a world of the centralized finance where smart

45
00:02:42,760 --> 00:02:48,320
Speaker 1: contracts will essentially rest restrict restrict access to two traders

46
00:02:48,320 --> 00:02:50,600
Speaker 1: which have not gone through a k y C or

47
00:02:51,000 --> 00:02:53,680
Speaker 1: which are not going through a risk profiling for example.

48
00:02:54,120 --> 00:02:57,480
Speaker 1: So new regulations are not really needed. I think clarity

49
00:02:57,560 --> 00:03:01,040
Speaker 1: is needed, so that's everyone in the TO industry could

50
00:03:01,240 --> 00:03:05,239
Speaker 1: could really know where they sits and essentially applies the

51
00:03:05,320 --> 00:03:08,800
Speaker 1: regulations they need to follow. But again, I think that

52
00:03:09,280 --> 00:03:12,239
Speaker 1: one of the core topics here we want to kind

53
00:03:12,240 --> 00:03:16,240
Speaker 1: of focus on after the ft X debaccer is that

54
00:03:16,520 --> 00:03:20,920
Speaker 1: humans have failed here and the dicentralized finance is probably

55
00:03:20,960 --> 00:03:23,560
Speaker 1: part of the answer of the of the aftermath of

56
00:03:23,639 --> 00:03:26,960
Speaker 1: this of this CYASCO shall just give me a sense

57
00:03:27,040 --> 00:03:29,120
Speaker 1: that you know the type of regulation that may be

58
00:03:29,280 --> 00:03:32,320
Speaker 1: required here, because I mean ft X acted like a

59
00:03:32,400 --> 00:03:36,000
Speaker 1: bank and wasn't regulated to the bank. So you know,

60
00:03:36,120 --> 00:03:38,920
Speaker 1: the thing is how do you actually set the parameters?

61
00:03:40,480 --> 00:03:43,160
Speaker 1: I think we've seen not too kind of double clicking

62
00:03:43,160 --> 00:03:47,000
Speaker 1: on anyone specifically. But when an industry is does not

63
00:03:47,160 --> 00:03:51,440
Speaker 1: have the clarity on on regulations, we sometimes see actors

64
00:03:51,520 --> 00:03:56,840
Speaker 1: kind of jurisdiction shopping around and and and this creates

65
00:03:56,840 --> 00:03:59,920
Speaker 1: some some some bad set up for for misbehaviors the

66
00:04:00,040 --> 00:04:03,839
Speaker 1: later on. And there might be some regulations which were

67
00:04:04,320 --> 00:04:07,800
Speaker 1: some license which were given to some some actors, but

68
00:04:07,920 --> 00:04:11,560
Speaker 1: maybe not the right licensees, or maybe it's just the

69
00:04:11,560 --> 00:04:15,840
Speaker 1: clarity of the clarity on regulations and which one to

70
00:04:15,920 --> 00:04:18,640
Speaker 1: apply in a in a state that in a state

71
00:04:18,720 --> 00:04:22,200
Speaker 1: territory is not clear. So people go overseas and eventually

72
00:04:22,240 --> 00:04:25,760
Speaker 1: the customer, the end users go as well, and some

73
00:04:25,800 --> 00:04:28,240
Speaker 1: of them burn their fingers. So that's that's really I

74
00:04:28,279 --> 00:04:31,680
Speaker 1: think important for regulators to accelerate on clarification so people

75
00:04:31,760 --> 00:04:34,600
Speaker 1: can follow the rules. And I guess some people sometimes

76
00:04:34,640 --> 00:04:38,080
Speaker 1: in some industries and not totally clear on what and

77
00:04:38,120 --> 00:04:41,159
Speaker 1: where is it shows very quickly. I mean, we're talking

78
00:04:41,160 --> 00:04:43,840
Speaker 1: a lot about trading crypto as an asset, but I mean,

79
00:04:43,960 --> 00:04:48,440
Speaker 1: isn't there in order for crypto to become more widely adopted,

80
00:04:48,440 --> 00:04:51,040
Speaker 1: don't we have to have a firm use case very quickly,

81
00:04:51,040 --> 00:04:53,440
Speaker 1: in about thirty seconds, isn't that what's required for the

82
00:04:53,480 --> 00:04:57,080
Speaker 1: next step. I think there is a use case for

83
00:04:57,080 --> 00:05:02,080
Speaker 1: for hipto and decentralizes finance. It's it's really a global infrastructure.

84
00:05:02,200 --> 00:05:05,599
Speaker 1: It's a lower cost of trading, it's having improved security,

85
00:05:05,800 --> 00:05:10,240
Speaker 1: greater user control, lower conterparty risk when properly implemented. I

86
00:05:10,279 --> 00:05:12,719
Speaker 1: think the best example is to see how many central

87
00:05:12,760 --> 00:05:16,920
Speaker 1: banks are working on CBDCs central bandage toll currencies, which

88
00:05:16,960 --> 00:05:20,440
Speaker 1: are heavily leveraging the blood chain technology. So it's this

89
00:05:20,880 --> 00:05:23,960
Speaker 1: coming our way. Shall just see this year the d

90
00:05:24,120 --> 00:05:27,240
Speaker 1: y d X Foundation on the crypto space. This is

91
00:05:27,240 --> 00:05:27,720
Speaker 1: Bloomberg