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Speaker 1: Why from our nation's came this budget thing is going

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Speaker 1: to do nothing space sports. I still think it's interesting

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Speaker 1: President Trump not playing his cards yet headlines policy and

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Speaker 1: politics colliding to sound on with Kevin's related the insiders,

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Speaker 1: the influencers, the insides. I would rather see a congressional solution.

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Speaker 1: It's part of my DNA. The Senate map in looks

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Speaker 1: a lot different than it looked in teams. You really

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Speaker 1: have a divide within Team Trump. The president has to

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Speaker 1: do exactly what people send him here to do, which

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Speaker 1: is to get it done. Is he's sound on with

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Speaker 1: Kevin's He related on Bloomberg one and one oh five

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Speaker 1: points of MHD two Boltimore. Well, folks were in day two,

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Speaker 1: day two of the saga between President Trump and the squad,

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Speaker 1: the squad as they call themselves, under someone Alexandria Acasio

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Speaker 1: Cortez ellen Omar, and they are taking it to President Trump.

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Speaker 1: And literally as we speak, the House is nearing a

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Speaker 1: contentious vote tonight to condemn comments from President Donald Trump

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Speaker 1: the many have criticized as racist, racist, and beyond that,

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Speaker 1: and this is really where the story is going. Some

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Speaker 1: Democrats are even going so far as to say that

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Speaker 1: how Speaker Nancy Pelosi isn't punching back hard enough hard enough.

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Speaker 1: President Trump, for his part, defending He's saying the tweets

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Speaker 1: are not racist. I don't have a racist bone in

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Speaker 1: my body. The so called vote to be taken is

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Speaker 1: a Democrat con game. That's according to the President's tweets.

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Speaker 1: Speaking of cons that's exactly what some Democrats on the

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Speaker 1: Senate Banking Committee are saying. Facebook's libra is delusional, is

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Speaker 1: how Senator Shared Brown puts it. I was up on

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Speaker 1: Capitol Hill all day today in the middle of it all,

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Speaker 1: as the storm brewing between President Trump and the Democratic

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Speaker 1: freshman members continue to intensify, and as question marks, question marks, befuddlement, confusion,

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Speaker 1: still confusion about cryptocurrency and what it all means for

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Speaker 1: US cans, shumers, and the regulatory structure that not just

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Speaker 1: big tech is facing, but also investors. I'm gonna bring

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Speaker 1: you some exclusive comments from the Chairman of the Banking Committee,

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Speaker 1: Mi Creepo, the top Democrat on the committee, Shared Brown,

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Speaker 1: and we're going to dive into all of this as

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Speaker 1: we're in the big Tech week really with an all

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Speaker 1: star panel. Colin Reid's here. He's a Republican strategist and

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Speaker 1: managing director at Definer's Public Affairs. And get this, he's

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Speaker 1: the former campaign manager for New Hampshire Senate campaign. Is

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Speaker 1: Scott Brown board team? Remember Scott Brown challenged Elizabeth Warren.

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Speaker 1: So Colin Reid notes the the War in playbook. And

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Speaker 1: Louis Miranda is back. He's the former d n C

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Speaker 1: communications director. He's with us here, he'll be a few

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Speaker 1: minutes later. And he's coming. He's on his way to

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Speaker 1: the studio. I am told so all of the politics,

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Speaker 1: all of the policy, plus Peter Tiel's talking big tech.

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Speaker 1: The vote is happening tonight, Tuesday night, how Speaker Nancy

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Speaker 1: Pelosi said she wanted to vote. She's gonna get that vote,

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Speaker 1: and it's gonna be content is Democrats led a course

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Speaker 1: by House Speaker Nancy Pelosi, are voting tonight to condemn

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Speaker 1: comments from President Donald Trump that some have criticized as racist,

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Speaker 1: some have said are divisive. Are setting back the political

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Speaker 1: discourse in our country as it relates to four four

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Speaker 1: freshmen Congressman, Conresswoman Alexandria Acascio Cortez, ilan Omar E, Yana Pressley,

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Speaker 1: and Rashida Salab all our us, all of whom except

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Speaker 1: with the exception of them, are born in the United States.

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Speaker 1: But over the weekend, President Trump saying that if they

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Speaker 1: don't like what's going on in the United States, they

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Speaker 1: should go back to where they come from. That has

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Speaker 1: sparked criticism. Republicans today up on Capitol Hill in the

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Speaker 1: past twenty four hours, uncomfortable with the rhetoric, distancing themselves,

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Speaker 1: trying to some of them others defending the president. Anthony Scaramucci.

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Speaker 1: Anthon Scaramucci, remember him, he was Skybridge Capital, Anthony Scaramucci.

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Speaker 1: He tweeted this out. I thought this was interesting because

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Speaker 1: he says that it was racist. He says that that

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Speaker 1: the president quote would real Donald Trump ever tell a

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Speaker 1: white immigrant, whether first, second, third, or fourth generation, to

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Speaker 1: go back to your country. No, That's why the comments

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Speaker 1: were racist and unacceptable. America is a nation of immigrants

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Speaker 1: founded on the ideals of free thought and free speech.

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Speaker 1: Colin Reid is a Republican strategist managing director at Definers

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Speaker 1: Public Affairs. Lewis Miranda, former d n C Communications director,

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Speaker 1: a communications guru. In conton d C, Colin were the

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Speaker 1: was the persist. Oh, I think his comments had a

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Speaker 1: tinge of racial um offensiveness to them. I'm not gonna

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Speaker 1: tinge well yeah, but I'm not gonna judge what's in

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Speaker 1: a person's heart. Um. But I do think, you know,

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Speaker 1: Tim Scotts and Scotts that they were racially offensive. Brit

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Speaker 1: Hume said they were nativist, xenophobic, counterfactual and politically stupid.

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Speaker 1: And you know, we can sit here and analyze the

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Speaker 1: comments as we've been doing that for the last two days,

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Speaker 1: or we can kind of look ahead and see where

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Speaker 1: these things go from here. Um. And I do think

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Speaker 1: that the temperatures are running pretty hot on both sides.

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Speaker 1: And I think the longer term takeaway from this, every

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Speaker 1: Trump storm eventually runs out of rain. We've seen it

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Speaker 1: time and time again. And where we go from here

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Speaker 1: is up to be is is up to We'll see.

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Speaker 1: But you know, I think this was a big lifeline

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Speaker 1: for Nancy Pelosi, who was on the ropes all weekends

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Speaker 1: until the President bailed her out with his comments. And

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Speaker 1: she's gonna she's now found a point of unification with

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Speaker 1: her party, who I still would say or not, And

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Speaker 1: at least in the House, these four members are no

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Speaker 1: fans of Nancy Pelosi. And the net result is these

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Speaker 1: four have been elevated in a big way on the

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Speaker 1: national stage. And once we get through this brujaha uh,

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Speaker 1: we'll kind of be back to where we were. And Sister,

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Speaker 1: was the whole things that must take a listen to

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Speaker 1: President Trump yesterday on during his public remarks. I mean,

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Speaker 1: I don't even take a listen to what President Trump

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Speaker 1: said yesterday. Here it is chop so wherever they want

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Speaker 1: or they can stay, but they should love our country.

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Speaker 1: They shouldn't hate our country. That was President Trump defending

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Speaker 1: his controversial tweets concerning the squad as they're called. Congresswoman

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Speaker 1: Ellen Omar, a Democrat from Minnesota, she spoke yesterday as well.

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Speaker 1: Take a listen to congress Woman Omar. This is the

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Speaker 1: agenda of white nationalist, whether it is happening in chat rooms, oh,

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Speaker 1: it's happening on national TV, and now it's reached the

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Speaker 1: White House garden. So, Louis Miranda, you have Congresswoman Omar

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Speaker 1: saying that the president is running an agenda of white nationalism,

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Speaker 1: calling for impeachment. She says that this late, this latest

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Speaker 1: round of rhetoric opens up a new lane into impeachment Uh,

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Speaker 1: does it? I think so. I think that the lane

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Speaker 1: for impeachment was there already, so the the that's long

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Speaker 1: since been crossed, and I think Nancy Pelosi has aired

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Speaker 1: and being overly cautious on that front. Um. But at

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Speaker 1: the end of the day, I think that it's clear

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Speaker 1: that these were racist comments. Um. I think it's absolutely

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Speaker 1: true that he would not have said this if somebody white,

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Speaker 1: even his own family. His own grandfather was an immigrant,

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Speaker 1: so uh, he would not have said that to him. Um.

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Speaker 1: Because it really is about sparking racial divisiveness. So it's

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Speaker 1: not so much that he's just racist, but that he's

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Speaker 1: purposely doing what the Russians did to us in sixteen,

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Speaker 1: which is trying to exploit racial diudents for the purpose

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Speaker 1: of political gain. And that's arguably even more vile than

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Speaker 1: just being outright race it. But between what was in

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Speaker 1: the foreignerinating four pages of the Mulla report, um, the

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Speaker 1: allegations of rape, the constant use of his office to

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Speaker 1: denigratee and insult individuals, and to advance a white nationalist agenda,

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Speaker 1: I think that the House Democrats have more than enough

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Speaker 1: to begin at least an impeachment inquiry, and it has

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Speaker 1: been an appdication of their power to do so. I'm

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Speaker 1: glad they're taking this vote tonight, but they can do more.

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Speaker 1: We heard from President Trump that was comments. I want

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Speaker 1: to clarify he made those comments today. I mean, it's

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Speaker 1: hard to keep track. I mean, he's been talking about

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Speaker 1: this now for like on Twitter Monday, Tuesday. I mean,

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Speaker 1: he's been it going. Uh and literally, as we speak,

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Speaker 1: if you're joining us, the Speaker Nancy Pelosi holding a

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Speaker 1: vote on Tuesday night to condemn comments from from the President. Uh,

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Speaker 1: and we're gonna take you that vote as it happens.

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Speaker 1: We're gonna give you the latest as that happens. But

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Speaker 1: I don't even really know. I mean, it's not impeachment

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Speaker 1: that they're voting on. Louis. No, it's not a censure,

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Speaker 1: is it. I mean, so what what what are they

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Speaker 1: It's a condemnation. I mean, I think they all condemned it.

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Speaker 1: Why so, I mean the Democrats who are out there

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Speaker 1: saying Speaker Pelosi isn't doing enough, what exactly are they

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Speaker 1: even voting on? I think, frankly, this is an example

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Speaker 1: for them that they're trying to show that they have

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Speaker 1: control of the House and they and do something with it.

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Speaker 1: But what they think, again, I don't think it's enough.

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Speaker 1: I agree that I don't think it's enough would be enough.

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Speaker 1: I think they need to start an in peacement inquiry.

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Speaker 1: And at the same time, you're getting exactly what Donald

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Speaker 1: Trump wanted, which is that there was a clear division

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Speaker 1: between Nancy Pelosi and the squad. Over the past week,

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Speaker 1: she had made it clear that these four members did

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Speaker 1: not represent all of the incoming freshmen, that this is

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Speaker 1: a broad and diverse caucus. And what you've been able

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Speaker 1: to do, and Donald Trump tweeted as much, UH, is

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Speaker 1: now have all of the Democrats coming out and standing

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Speaker 1: with the squad, which sends the false message that we

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Speaker 1: all stand on the same side with them on every issue,

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Speaker 1: and so we can all stand against Donald Trump's racism.

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Speaker 1: But I think he's been very effective at turning this

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Speaker 1: into an opportunity. UH. And there was a great analysis it. UH.

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Speaker 1: I think it was Jonathan Allen who wrote a great

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Speaker 1: analysis today about how Donald Trump is getting exactly what

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Speaker 1: he wanted because he's now turned this about Democrats all

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Speaker 1: being on the same side as the squad. And I

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Speaker 1: think that ultimately that has negative repercussions for Democrats for November.

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Speaker 1: Right coming up, we're gonna have to We're gonna talk

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Speaker 1: a little bit more about this. I mean, if if

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Speaker 1: that wasn't enough for you, Speaker Pelosi, in the middle

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Speaker 1: of playing political principle, I guess with this whole the squad,

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Speaker 1: the White House, I mean, it's you got all that

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Speaker 1: going on. And then in addition, she had the phone

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Speaker 1: call with Treasury Secretary Stephen Nuan. Let's not forget about

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Speaker 1: the debt ceiling. Let's not forget about these policy fights

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Speaker 1: that are going on. Let's not forget about emerging technologies

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Speaker 1: like cryptocurrency. I'm gonna bring in the latest on cryptocurrency

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Speaker 1: because Facebook Facebook kicked off two days of testone this

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Speaker 1: week before the Senate Banking Committee on Facebook Libra, their

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Speaker 1: new digital currency. And folks, if you think that's confusing,

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Speaker 1: what do you hear about the regulatory questions that big tech,

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Speaker 1: big banks and politicians have as they try to sort

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Speaker 1: this all out. You can download the sound on podcast

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Speaker 1: on Apple, it tunes, at Bloomberg dot com, or by

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Speaker 1: downloading the Bloomberg Business app. You can also find me

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Speaker 1: on I Heart Radio, Spotify, and Radio dot com I'm

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Speaker 1: Kevin Siilli and you're listening to Bloomberg is Sound on

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Speaker 1: Bloomberg one and one seven m h D two Boltimore.

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Speaker 1: I'm Kevin CURRELLI Chief Washington correspondent for Bloomberg Television and

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Speaker 1: Bloomberg Radio. I was up on Capitol Hill today and

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Speaker 1: the Senate heart Building. Actually, technically speaking for those familiar

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Speaker 1: with the lay of the land up on Capitol Hill,

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Speaker 1: I was actually in a Dirks and hallway and the

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Speaker 1: backside of the Senate Heart Building because this is where

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Speaker 1: the Senate Banking Committee hearing room was convening today. Typically

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Speaker 1: it's in Erston, but they switched it because there was

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Speaker 1: so much attention because Facebook came to town. Folks, Facebook,

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Speaker 1: big tech. We're talking all things big tech today. Tomorrow

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Speaker 1: they're testifying before Congress. There was an anti trust subcommittee hearing.

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Speaker 1: Cicilini was in town tomorrow more Facebook on the House side.

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Speaker 1: But today a kick started Chairman of the Banking Committee,

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Speaker 1: Mike Crep bo Republican about it's calling to testify. David Marcus.

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Speaker 1: David Marcus is the top executive at Facebook. Okay, and

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Speaker 1: he over one of the top executive Facebook who oversees

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Speaker 1: their new digital currency, Libra. If you're confused about digital currency,

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Speaker 1: I understand it, you know, I mean, this is new technology.

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Speaker 1: And quite frankly, a lot of the lawmakers I talked

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Speaker 1: with up on Capitol Hill to date as well, they

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Speaker 1: don't know how to regulate big tech. They say they

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Speaker 1: want there's they want to regulate big tech. They want

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Speaker 1: to regulate blockchain, cryptocurrency, digital currencies, this new emerging technology,

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Speaker 1: but they don't know how. I'm not sure they really

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Speaker 1: understand what it is that's going on. Because Facebook Libra

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Speaker 1: hasn't even launched yet, and if to make matters even

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Speaker 1: more complex, they've actually headquartered themselves in Geneva. Shary Brown,

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Speaker 1: he's the top Democrat on the set of Banking Committee.

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Speaker 1: He called it a Swiss savings account. I mean this.

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Speaker 1: He completely annihilated rip to shred Facebook. So Facebook's launching

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Speaker 1: Libra once they say they're gonna launch once they field

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Speaker 1: have appeased the concerns of re regulators, and they're also

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Speaker 1: launching Calibra. Calibra is their digital wallet and Libra is

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Speaker 1: the currency in the wallets. Here is what David Marcus,

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Speaker 1: the top executive at Facebook overseeing all of this. He

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Speaker 1: used to head PayPal. Here's what he testified today up

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Speaker 1: on before the Senate Banking Committee about why they even

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Speaker 1: made this take a lesson. The reason we designed Libra

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Speaker 1: in such a way that Facebook will only be one

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Speaker 1: among a hundred different members of the Libra Association and

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Speaker 1: will have no special privilege, means that you will not

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Speaker 1: have to trust Facebook. I don't say he's saying that

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Speaker 1: they're creating a digital currency, says and have to trust

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Speaker 1: the company that owns the currency. If I'm understanding correctly,

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Speaker 1: Colin Reid is a Republican strategist. Lewis Miranda as the

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Speaker 1: former d NS communications director. Colin am I understanding it correctly?

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Speaker 1: Is that what you just said that you don't have

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Speaker 1: to trust Facebook but to use their money. I mean,

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Speaker 1: would you trust a bank to do business but the bank.

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Speaker 1: I think one of the things that unites Republicans and

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Speaker 1: Democrats in this town is their lack of trust towards Facebook.

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Speaker 1: Um and that maybe, uh that that's universal, but I

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Speaker 1: do think Look, one of the criticisms of this of

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Speaker 1: this new cryptocurrency toward Facebook is that they are moving

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Speaker 1: too fast. I think that's the point that j Powell

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Speaker 1: has made, But they are they have spore. They said

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Speaker 1: their timeline is next year. And I also think it's

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Speaker 1: worth keeping in mind that crypto is not new. Bitcoin

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Speaker 1: has been around for some time and actually dropped eleven

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Speaker 1: today after the hearing today, And I think that you

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Speaker 1: probably because they were watching this thing going. I don't

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Speaker 1: even I mean, there's so much there's more questions after

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Speaker 1: the hearing than there are before it. Yeah, and but

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Speaker 1: crypto used to be seen as kind of this outlier,

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Speaker 1: and you attach a somewhat controversial name like Facebook toward it,

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Speaker 1: it's going to bring a lot of attention to it.

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Speaker 1: But um, it's not like this is a brand new thing.

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Speaker 1: It's just faithbook. The biggest question I get Louis Miranda

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Speaker 1: is what the heck is liber What the heck is Bitcoin?

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Speaker 1: What the heck is blockchain? And essentially, the short answer,

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Speaker 1: the tweetable answer, the tweetser, is that it really is

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Speaker 1: just another type of trading mecanos and make money. The

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Speaker 1: question mark is whether or not it will become something

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Speaker 1: that people actually pay pay for goods and services for

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Speaker 1: whether or not you'll go buy a cup of coffee

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Speaker 1: or you'll go, I don't know, you'll you'll subscribe to

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Speaker 1: something like a like a subscription service like a Netflix

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Speaker 1: or whatnot, and actually pay for it. That's what Facebook

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Speaker 1: and David Marcus are saying is going to happen. That's

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Speaker 1: what the crypto world, the blockchain world, that's what they

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Speaker 1: say is eventually going to happen. But right now it's

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Speaker 1: just something that they're trading off of. Well, some people

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Speaker 1: are trading off of it. But the long term and

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Speaker 1: and bigger potential of cryptocurrency is to just uh one,

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Speaker 1: get your money and to ensure that you can make

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Speaker 1: transactions across borders more easily. Right now, I can take

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Speaker 1: uh a long time, a few days and a lot

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Speaker 1: of money to send money across borders, when in theory

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Speaker 1: it should take seconds, just as if you were venning

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Speaker 1: somebody um within the United States. And that's as just

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Speaker 1: one example. And the sad thing about this is that

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Speaker 1: cryptos moving forward no matter what. And so when Congress

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Speaker 1: gets distracted by the name Facebook and doesn't focus on

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Speaker 1: the bigger issue that this is a emerging and growing

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Speaker 1: technological sector that is going to reshape international finance, they're

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Speaker 1: missing the point. You know, who agrees with you. You're

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Speaker 1: ready for this. Look what I just had to me. No,

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Speaker 1: Mike Creepo, you're at the chairman of the Senate Banking Committee,

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Speaker 1: Republican agrees with the former COMPS director for the d

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Speaker 1: n T. Can't make it up. Take a listen to Micrepo.

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Speaker 1: I asked him about all this. Take a listen to him.

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Speaker 1: There's also I think a pretty strong case that has

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Speaker 1: made this new cryptocurrency type of technology innovation, whether it

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Speaker 1: is UH the liber proposal or some other proposal that's

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Speaker 1: going to come forward, is something that we need to

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Speaker 1: deal with and understand. He's saying, essentially, the technologies here,

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Speaker 1: get used to it. Republicans, Democrats, the innovation has already

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Speaker 1: had come together to to regulate. If Congress doesn't step

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Speaker 1: in here and get with the program, then the United

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Speaker 1: States loses a chance to be in the leadership role.

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Speaker 1: And I think continued into this should be a chance

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Speaker 1: to see this as an opportunity for to the U S.

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Speaker 1: I do we got coming up. We're gonna hear from

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Speaker 1: Congressman from We're gonna check in more about all of this,

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Speaker 1: But I do quickly want to play Senator share Brown

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Speaker 1: because you mentioned about a lot of folks that made

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Speaker 1: this point to me and reporting on this over the

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Speaker 1: past week for these hearings and preparation for these hearings,

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Speaker 1: that the U. S miss is out on innovation from

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Speaker 1: international regulators. But there's also concerned that these digital currencies

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Speaker 1: and these tech companies, these big tech companies would be

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Speaker 1: I can't believe I'm about to say this too big

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Speaker 1: to fail and that the concerns about you know, over

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Speaker 1: and over priced sharehold for shareholders some of these stocks,

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Speaker 1: and now they're dabbling in financial services. I put that

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Speaker 1: question directly to Senator share Brown the Demotantic Banking Committee

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Speaker 1: right after the hearing about if if folks should trust Libra.

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Speaker 1: Take a listen to him. Americans absolutely distrust and frankly

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Speaker 1: that distrust that mistrust is earned or distrust is earned

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Speaker 1: from Wall by Wall Street. I mean, clearly, Americans don't

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Speaker 1: don't trust Wall Street. They now are putting big tech

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Speaker 1: in big banks in the same category because they've seen

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Speaker 1: the betrayal in the undermining or democratic values in Facebook

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Speaker 1: and other big tech companies. That was Senator share Brown,

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Speaker 1: the Democrat from Ohio, and I'm just gonna leave you

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Speaker 1: with this. The Chairman of the Banking Committee. The last

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Speaker 1: question I asked them, I said, would you use Facebook? Libra?

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Speaker 1: You know what he said to me, and then he said,

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Speaker 1: I don't even use Facebook. Coming up more conversations on

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Speaker 1: politics and policy. We're gonna talk all things about the

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Speaker 1: fallout the fight tonight on Capitol Hill with Speaker Pelosi

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Speaker 1: and the Squad. Download the Sound On podcast on Apple iTunes,

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Speaker 1: at Bloomberg dot com, or by downloading the Bloomberg Business app.

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Speaker 1: You can also find us on Radio dot Com, I

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Speaker 1: Heart Radio, and Spotify. I'm keV Surreal and you're listening

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Speaker 1: to Bloomberg. You're listening to Sound On with Kevin Surreally

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Speaker 1: on Bloomberg and f m h D two Boltemore. I'm

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Speaker 1: Kevin CURRELLI Chief Washington correspondent from Bloomberg, Telleberg Radio, and

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Speaker 1: tonight on Capitol Hill. We are carefully monitoring a situation

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Speaker 1: that has really engulfed the country. It's captured the attention

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Speaker 1: of the nation as a vote to criticize President Donald

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Speaker 1: Trump for his tweets about four Democratic House members. It's

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Speaker 1: in partisan gridlock. This according to NBC News and joining

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Speaker 1: us on the line really in the middle of it.

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Speaker 1: I believe he's on the House floor or just off

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Speaker 1: of the House floor where all of this is going on.

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Speaker 1: Is a friend of the program Congressman Denver Riggelman, a

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Speaker 1: Republican and Congressman alright, so where are you exactly right now?

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Speaker 1: And what is kind to follow what's going on? But

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Speaker 1: essentially Republicans are saying Speaker Pelosi doesn't have the right

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Speaker 1: to bring this to a vote because it's against the

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Speaker 1: rules of the House of Representatives to say that any

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Speaker 1: president is racist. Am I getting this right? That's correct?

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Speaker 1: That was their house rules when they broke their own

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Speaker 1: house rules. The parliament parliamentary and ruled in favor um. Really,

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Speaker 1: Doug Collins did an incredible job rulden favor that she

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Speaker 1: had broken the House rules. So at that point the

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Speaker 1: gabble was given and then given up because and I

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Speaker 1: can't remember if it was clever. I'm trying to remember

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Speaker 1: who it was. I just came out the vlombing a

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Speaker 1: phone booth in the clothes room. So so yeah, so

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Speaker 1: they you know, So the thing is it was procedural

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Speaker 1: and they just voted um. Even though the Parliamentary ruled

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Speaker 1: that Nancy Purpose voted not to strike her words even

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Speaker 1: throughout the ruling and then voted to proceed in order.

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Speaker 1: So this is about protecting the integrity of the House,

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Speaker 1: and they just didn't. And I think, I think this

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Speaker 1: is the point where that we're at right now. We

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Speaker 1: we look at the charges of racism, we look at

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Speaker 1: the charges this this this hyperbole. You know, NANTW. Pelosio

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Speaker 1: was a racist last week, Donald Trump's a racist this week.

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Speaker 1: We just it just seems like, you know, somebody else,

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Speaker 1: you know, has has taken over, you know, the asylum

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Speaker 1: over here, and it's it's pretty interesting to watch. Is

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Speaker 1: somebody who's been about seven months. It's got to be fresh.

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Speaker 1: I mean, to be candid, I don't even know where

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Speaker 1: to I gotta take a breath, because, you know, respectfully,

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Speaker 1: I think folks driving home from work tonight who are

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Speaker 1: turning on the news and turning on Bloomberg Radio, they're

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Speaker 1: trying to keep up with all of this, and and

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Speaker 1: and there's I just there's the debt limit, there's these

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Speaker 1: horrific conditions at the these detention centers. There's so many issues. Cryptocurrency.

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Speaker 1: I know, you guys have a hearing in the House

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Speaker 1: tomorrow on that. I was in the Senate covering that

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Speaker 1: today and all that is getting the tension is you know,

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Speaker 1: a vote I don't even I mean this vote on

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Speaker 1: on President Trump and the back and forth with the

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Speaker 1: squad and the division of the squad and Speaker Pelosi

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Speaker 1: And now where do you thinks stand? I mean you're

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Speaker 1: literally there are are? There is? What? What is? What

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Speaker 1: is the next step? Like literally what is happening in

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Speaker 1: the next twenty minutes? Well, we still have votes called tonight,

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Speaker 1: and you know everybody here has had meetings. You know,

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Speaker 1: we've been through Committee markup on financial services. You know

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Speaker 1: there's so many things going on only with a CFPB,

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Speaker 1: but with our TV real time payments as you know,

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Speaker 1: our our issue with Libra and Callibro tomorrow, which I

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Speaker 1: think I'm gonna have. You know, it was interesting, do

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Speaker 1: you know to look at the Senate here in today,

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Speaker 1: As you know, Kevin Um, we study all the questions

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Speaker 1: and the answers from the Senate hearings. We've our staff

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Speaker 1: is doing that. We're hearing let's go there. What did

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Speaker 1: you make of that hearing? What is your big takeaway

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Speaker 1: and what are you going to be looking for tomorrow. Well,

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Speaker 1: I think I was a bit surprised um at the

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Speaker 1: victriol um. And I think I was a bit surprised

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Speaker 1: because I know that even though there are many things

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Speaker 1: we have to ask about, the questions we need to

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Speaker 1: have answered. You know, we don't want to be a

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Speaker 1: Congress that actually stifles innovation before we get all the answers. Kevin,

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Speaker 1: and but that's how Maybe it's because I haven't been

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Speaker 1: in politics long and I am a CEO and business owner. Now.

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Speaker 1: The flip side of it is, uh, I will tell

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Speaker 1: you with my experience and data aggregation analysis, uh, and

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Speaker 1: also in sort of data science as far as building

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Speaker 1: holistic network ecosystems. I asked some pretty cool questions. I

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Speaker 1: think I can ask about it. But seeing the Senate hearing,

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Speaker 1: it looks like they don't have those answers. The flip

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Speaker 1: side of that is, I think somebody was at Senator

427
00:23:34,200 --> 00:23:36,600
Speaker 1: Kennedy said that if you think was it was bad today,

428
00:23:36,600 --> 00:23:42,879
Speaker 1: wait till tomorrow with the House Democrats, right, I think right, so,

429
00:23:43,119 --> 00:23:45,240
Speaker 1: uh yeah, just wait for that. And I think what

430
00:23:45,280 --> 00:23:48,119
Speaker 1: you're gonna see is, listen, all of us are skeptical

431
00:23:48,720 --> 00:23:50,560
Speaker 1: based on some of the things that we've read, and

432
00:23:50,600 --> 00:23:53,040
Speaker 1: also with with sort of the dearth of information in

433
00:23:53,080 --> 00:23:55,600
Speaker 1: the white paper, and a bit on my knowledge of

434
00:23:55,920 --> 00:23:58,760
Speaker 1: what we can do as far as on the data side. Um,

435
00:23:58,840 --> 00:24:01,600
Speaker 1: but I just I'm just having a tough time here.

436
00:24:01,600 --> 00:24:04,040
Speaker 1: Why we all, you know, Facebook has had some issues.

437
00:24:04,440 --> 00:24:07,280
Speaker 1: We probably shouldn't jump to destroy innovation before we know

438
00:24:07,320 --> 00:24:09,680
Speaker 1: all of it. It's okay to be practical and get

439
00:24:09,680 --> 00:24:12,679
Speaker 1: the facts without being I think hostile, but I do

440
00:24:12,760 --> 00:24:15,040
Speaker 1: get it. But I think what you're gonna see from

441
00:24:15,040 --> 00:24:17,480
Speaker 1: some of the members like myself are questions more on

442
00:24:17,520 --> 00:24:20,280
Speaker 1: the practical side, because I think should probably be trying

443
00:24:20,280 --> 00:24:23,440
Speaker 1: to be practical, trying to encourage innovation, but also protecting

444
00:24:23,440 --> 00:24:26,560
Speaker 1: the consumer, protecting data right and protecting the rights of

445
00:24:26,600 --> 00:24:29,160
Speaker 1: those who use this. And yes, am I skeptical, Yes,

446
00:24:29,200 --> 00:24:31,200
Speaker 1: because of the of the data issues that I see

447
00:24:31,560 --> 00:24:33,000
Speaker 1: and some of the other issues. But I think we

448
00:24:33,040 --> 00:24:35,800
Speaker 1: can actually do this in a way that isn't hyperbolic, right,

449
00:24:35,840 --> 00:24:38,120
Speaker 1: And I think that's what I hope to do. The question.

450
00:24:38,240 --> 00:24:42,440
Speaker 1: Congressman Denver Riggleman, Republican from Virginia, joining us from inside

451
00:24:42,760 --> 00:24:44,720
Speaker 1: of the House of Representatives, where he is in a

452
00:24:44,760 --> 00:24:47,639
Speaker 1: phone booth just off of the House floor, where he

453
00:24:47,680 --> 00:24:49,680
Speaker 1: has been so gracious with his time to to check

454
00:24:49,720 --> 00:24:52,719
Speaker 1: in with us ahead of some Arrow's book. Libra hearing

455
00:24:52,840 --> 00:24:56,399
Speaker 1: Day two a Facebook Libra hearing before the House Financial

456
00:24:56,440 --> 00:24:59,680
Speaker 1: Services Committee. The question that I get, and I'm true,

457
00:24:59,720 --> 00:25:02,000
Speaker 1: I'm not even trying to be comical. Uh what I

458
00:25:02,320 --> 00:25:04,960
Speaker 1: The question that I get time and time at gedions

459
00:25:05,760 --> 00:25:09,320
Speaker 1: is what is Facebook Libra? How would it even be applicable?

460
00:25:09,359 --> 00:25:12,280
Speaker 1: So let's I got to ask this rudimentary question, what

461
00:25:12,680 --> 00:25:16,720
Speaker 1: is Facebook Libra and the calibra which is the wallet

462
00:25:16,720 --> 00:25:20,720
Speaker 1: for the libra? And how are folks going to use it? So?

463
00:25:21,320 --> 00:25:23,159
Speaker 1: What it is? And and uh once you read the

464
00:25:23,160 --> 00:25:25,359
Speaker 1: white paper, I actually had to do a diagram on

465
00:25:25,400 --> 00:25:27,720
Speaker 1: the white board. Uh. And I know, Kevin that probably

466
00:25:27,720 --> 00:25:29,040
Speaker 1: because you know that's what I did when I was

467
00:25:29,080 --> 00:25:31,160
Speaker 1: a CEO right of a of a company that works

468
00:25:31,160 --> 00:25:33,879
Speaker 1: with technology. I think you can look at Libra probably

469
00:25:33,920 --> 00:25:36,159
Speaker 1: is not a true cryptocurrency because a lot of that

470
00:25:36,160 --> 00:25:39,679
Speaker 1: comes with decentralization right in a finite sort of number

471
00:25:39,720 --> 00:25:42,760
Speaker 1: of those tokens. Uh, this is the best word I

472
00:25:42,760 --> 00:25:46,280
Speaker 1: can come up with. It is almost a secure digital asset,

473
00:25:46,440 --> 00:25:49,960
Speaker 1: maybe almost an etf maybe UM, because what it does

474
00:25:50,040 --> 00:25:52,360
Speaker 1: is they have a token that rides on a basket

475
00:25:52,359 --> 00:25:56,760
Speaker 1: of currencies or a basket of securities UM, and that

476
00:25:56,960 --> 00:26:00,399
Speaker 1: Libra token is actually based to some type of value wation.

477
00:26:01,000 --> 00:26:04,200
Speaker 1: And so what you have now is using Libra as

478
00:26:04,240 --> 00:26:07,560
Speaker 1: a methodology for bank or for money transfers. So now

479
00:26:07,880 --> 00:26:11,480
Speaker 1: you're looking at no kidding, a real time payment system

480
00:26:11,520 --> 00:26:15,280
Speaker 1: based on a token that's hooked to a basket of

481
00:26:15,359 --> 00:26:19,800
Speaker 1: securities or suggest its and then that can be used

482
00:26:19,960 --> 00:26:23,399
Speaker 1: for real time payments really across the network of social

483
00:26:23,440 --> 00:26:26,080
Speaker 1: network or a callibra one. I can't say Facebook, a

484
00:26:26,119 --> 00:26:29,199
Speaker 1: Callibra wallet Facebook and Libra is a is a Swiss company.

485
00:26:29,200 --> 00:26:31,920
Speaker 1: But um, so you can actually transfer money is based

486
00:26:31,920 --> 00:26:35,200
Speaker 1: on that currency. And and the questions are what is it?

487
00:26:35,240 --> 00:26:37,560
Speaker 1: Is it actually currency? Um? Is there gonna be a

488
00:26:37,640 --> 00:26:40,320
Speaker 1: ten ninety nine B associated with this? Are you talking

489
00:26:40,320 --> 00:26:42,840
Speaker 1: about capital gains? You know? What? Exactly is it? And

490
00:26:42,920 --> 00:26:44,720
Speaker 1: I think that's what I'm when I'm talking about this.

491
00:26:44,760 --> 00:26:46,960
Speaker 1: You gotta remember we're going off a white paper and

492
00:26:47,240 --> 00:26:49,919
Speaker 1: we're going exactly that's all they've given us. And you know,

493
00:26:50,000 --> 00:26:52,760
Speaker 1: it's it's it's you know, my thing is look and

494
00:26:52,800 --> 00:26:55,080
Speaker 1: I'm gonna level with you. I've studied this thing every

495
00:26:55,080 --> 00:26:58,679
Speaker 1: which way, every side. I gets the epetive interviewing lawmakers

496
00:26:58,680 --> 00:27:00,960
Speaker 1: on both sides of the aisle on this to try

497
00:27:01,040 --> 00:27:03,200
Speaker 1: to understand it. And I'll be candid. I mean, I've

498
00:27:03,200 --> 00:27:05,479
Speaker 1: been covering this stuff for like eight years, the light

499
00:27:05,520 --> 00:27:08,360
Speaker 1: bulbs flickering, it's of my head. But I don't think

500
00:27:08,400 --> 00:27:11,360
Speaker 1: there's been that aha turn for politicians and quite frankly,

501
00:27:11,480 --> 00:27:15,960
Speaker 1: for consumers about what exactly this is. I think most consumers,

502
00:27:16,320 --> 00:27:19,080
Speaker 1: based upon my reporting, view this as an investment right

503
00:27:19,080 --> 00:27:22,359
Speaker 1: now and they don't see how it's applicable. And that

504
00:27:22,480 --> 00:27:24,640
Speaker 1: has caused a lot of confusion. And that's the final

505
00:27:24,720 --> 00:27:26,400
Speaker 1: question that I have for you. And thank you so much,

506
00:27:26,400 --> 00:27:29,680
Speaker 1: Congressman for calling in. But when people are looking at this,

507
00:27:30,119 --> 00:27:33,520
Speaker 1: and people are looking at tech and Republicans you know this,

508
00:27:33,640 --> 00:27:36,840
Speaker 1: have raised concerns about these big tech companies on freedom

509
00:27:36,840 --> 00:27:40,159
Speaker 1: of speech, Democrats have raised concerns about a host of

510
00:27:40,160 --> 00:27:43,920
Speaker 1: different issues for big tech companies. I remember the two

511
00:27:43,920 --> 00:27:48,080
Speaker 1: thousand and eight financial collapse, and I remember the disdain

512
00:27:48,320 --> 00:27:51,879
Speaker 1: for big thanks in particular on both sides of the aisle.

513
00:27:51,920 --> 00:27:54,800
Speaker 1: It birthed the tea party movement and it and the

514
00:27:55,119 --> 00:27:57,919
Speaker 1: remnants of which you know, I think are really playing

515
00:27:57,920 --> 00:28:00,720
Speaker 1: out in the crowded democratic presidential field. To be one,

516
00:28:02,560 --> 00:28:05,240
Speaker 1: you look at some now big tech is going to

517
00:28:05,359 --> 00:28:09,800
Speaker 1: be dabbling in financial services. Are you worried concerned at

518
00:28:09,840 --> 00:28:13,199
Speaker 1: all that this type of program or this type of

519
00:28:13,240 --> 00:28:19,400
Speaker 1: financial services offering might become too big to fail? Yes,

520
00:28:19,600 --> 00:28:22,200
Speaker 1: that is the and Kevin, that's some of those lines

521
00:28:22,200 --> 00:28:25,960
Speaker 1: of questioning, Um, exactly what do they become? Now? You

522
00:28:26,000 --> 00:28:29,400
Speaker 1: don't have a big bank, but you have big participating

523
00:28:29,600 --> 00:28:34,560
Speaker 1: in financial transactions that if you accumulate those transactions, you know,

524
00:28:34,600 --> 00:28:37,879
Speaker 1: are the hundreds of billions of dollars? Maybe? And you know,

525
00:28:37,920 --> 00:28:40,080
Speaker 1: and I and I find it amazing to say this,

526
00:28:40,640 --> 00:28:43,720
Speaker 1: but did a big tech company that could be transferring

527
00:28:43,760 --> 00:28:48,200
Speaker 1: trillions of dollars in the future, um using a currency

528
00:28:48,280 --> 00:28:51,280
Speaker 1: that we quite don't know how it's attached to the

529
00:28:51,320 --> 00:28:54,680
Speaker 1: liquid assets underneath. And that's I think we have to

530
00:28:54,720 --> 00:28:57,239
Speaker 1: be worried about that. There are privacy concerns, you know,

531
00:28:58,520 --> 00:29:02,360
Speaker 1: really there's every other crypto on the planet. Facebook is

532
00:29:02,400 --> 00:29:04,920
Speaker 1: a data company that actively tracks billions of people in

533
00:29:04,960 --> 00:29:08,480
Speaker 1: their owline activities and if they arbitrarily banned in block

534
00:29:08,560 --> 00:29:12,280
Speaker 1: thoughts like this? Can they arbitrarily right? Can they arbitrary

535
00:29:12,320 --> 00:29:15,560
Speaker 1: bank companies for businesses that they might not agree with?

536
00:29:16,000 --> 00:29:19,120
Speaker 1: Now you have big tech getting into arbitrary decision making,

537
00:29:19,200 --> 00:29:22,719
Speaker 1: possibly in the financial sector, based on past history. And

538
00:29:22,720 --> 00:29:25,240
Speaker 1: I gotta tell you, being an intelligence officer and seeing

539
00:29:25,280 --> 00:29:28,200
Speaker 1: what's been done in the past, that's the concern. Do

540
00:29:28,240 --> 00:29:30,720
Speaker 1: you have big tech controlling what people can even spend

541
00:29:30,760 --> 00:29:33,400
Speaker 1: on based on some kind of platform that that that

542
00:29:33,600 --> 00:29:35,960
Speaker 1: that we might or might not agree with social platform

543
00:29:36,240 --> 00:29:38,760
Speaker 1: or companies they might not agree with all right, Congressman

544
00:29:38,840 --> 00:29:42,800
Speaker 1: Denver Riggleman, Republican from Virginia, calling us from of just

545
00:29:43,000 --> 00:29:45,560
Speaker 1: outside of their And you and I have something in common,

546
00:29:45,640 --> 00:29:48,080
Speaker 1: my friend, I was at a wedding over the weekend too,

547
00:29:48,240 --> 00:29:51,600
Speaker 1: My sister got married. And I'm reading this headline from

548
00:29:51,760 --> 00:29:56,920
Speaker 1: the from the Washington Post and it says conservative GOP

549
00:29:57,120 --> 00:30:01,800
Speaker 1: congressman presides at the same sex wedding in Gina. Uh,

550
00:30:02,040 --> 00:30:05,200
Speaker 1: good for you, good for you. It's good. It's been

551
00:30:05,280 --> 00:30:08,880
Speaker 1: an interesting day, Kevin, I tell you, for me, it was. Listen,

552
00:30:08,920 --> 00:30:11,680
Speaker 1: freedom is freedom, and uh, I think all of us

553
00:30:11,720 --> 00:30:15,200
Speaker 1: need to realize that all laws equally apply, and these

554
00:30:15,200 --> 00:30:18,160
Speaker 1: are two incredible people who really love each other who

555
00:30:18,240 --> 00:30:22,920
Speaker 1: helped in my campaign. Um, really strong conservatives, just amazing

556
00:30:23,000 --> 00:30:25,760
Speaker 1: human beings. But it was a political I've been surprised

557
00:30:25,760 --> 00:30:28,120
Speaker 1: at some of the reactions today on the negative side,

558
00:30:28,480 --> 00:30:31,480
Speaker 1: but very pleasantly surprised at the positive reactions. So it's

559
00:30:31,520 --> 00:30:34,160
Speaker 1: been been one of the tougher days for me, just um,

560
00:30:34,200 --> 00:30:36,200
Speaker 1: you know, trying to navigate that when I thought this

561
00:30:36,320 --> 00:30:40,040
Speaker 1: was really not a big deal, it isn't. Congressman dend Riggleman,

562
00:30:40,360 --> 00:30:44,600
Speaker 1: and one day it won't be either. A Republican from Virginia,

563
00:30:44,600 --> 00:30:46,680
Speaker 1: thanks for calling. In Coming up much more politics and

564
00:30:46,760 --> 00:30:49,640
Speaker 1: policy reaction from an all star panel. I'm Kevin's really

565
00:30:49,680 --> 00:30:59,560
Speaker 1: you're listening to Bloomberg. This is Sound On with Kevin

566
00:30:59,640 --> 00:31:05,800
Speaker 1: Serial on Bloomberg and m h D two Baltimore. I'm

567
00:31:05,880 --> 00:31:09,600
Speaker 1: Kevin Surley, Colin reads with me, Republican strategist Lewis Miranda

568
00:31:09,680 --> 00:31:14,960
Speaker 1: Democratic strategists former d n C communications director Colin and Lewis.

569
00:31:14,960 --> 00:31:16,720
Speaker 1: I mean, it's really been a jam pack day. We're

570
00:31:16,720 --> 00:31:21,440
Speaker 1: following two big stories. The first is Facebook Libra Lewis.

571
00:31:21,480 --> 00:31:24,200
Speaker 1: I was watching you listen to my interview with Congressman

572
00:31:24,240 --> 00:31:27,120
Speaker 1: Denver Riggleman, who is going who's a member of the

573
00:31:27,120 --> 00:31:31,240
Speaker 1: Financial Services Committee, where David Marcus, the head of Facebook's

574
00:31:31,360 --> 00:31:35,520
Speaker 1: Libras digital currency arm, will testify tomorrow. He was in

575
00:31:35,560 --> 00:31:38,240
Speaker 1: the Senate today and you and I were talking to

576
00:31:38,240 --> 00:31:41,160
Speaker 1: the break about about your thoughts, so catch us up

577
00:31:41,160 --> 00:31:44,480
Speaker 1: the speed. Yeah, I think this is much more complicated

578
00:31:44,680 --> 00:31:47,440
Speaker 1: than simply the privacy issues Facebook has had. This could

579
00:31:47,440 --> 00:31:50,040
Speaker 1: be an investment vehicle. It could be a much easier

580
00:31:50,080 --> 00:31:52,320
Speaker 1: way for people to pay for things, whether it's low

581
00:31:52,360 --> 00:31:55,440
Speaker 1: cross borders which takes too long and costs too much

582
00:31:55,440 --> 00:31:59,000
Speaker 1: money right now, And um, I think Congress hasn't quite

583
00:31:59,120 --> 00:32:02,600
Speaker 1: focused on the right issues in both today and possibly.

584
00:32:02,640 --> 00:32:05,760
Speaker 1: But um, you know, there's a significant change that's coming

585
00:32:05,880 --> 00:32:07,200
Speaker 1: and we need to be ahead of it. I don't

586
00:32:07,200 --> 00:32:08,840
Speaker 1: think they know what issues to focus on. I don't

587
00:32:08,840 --> 00:32:10,720
Speaker 1: think they do. I think they're they're they're too worried

588
00:32:10,720 --> 00:32:13,160
Speaker 1: about what big tech means and that they don't understand it.

589
00:32:13,480 --> 00:32:17,040
Speaker 1: Instead of understanding that staffers, staffers, get the research books out,

590
00:32:17,080 --> 00:32:19,640
Speaker 1: staff happening, staffers, Uh, Colin, I mean the other big

591
00:32:19,640 --> 00:32:23,680
Speaker 1: story tonight is is the condemnation vote that Speaker Pelosi

592
00:32:23,760 --> 00:32:27,120
Speaker 1: wants to to have. And we've been following this literally

593
00:32:27,160 --> 00:32:29,720
Speaker 1: as it's been happening in real time, which is essentially

594
00:32:30,080 --> 00:32:32,720
Speaker 1: Republicans said she violated her rule because there's a rule

595
00:32:32,760 --> 00:32:37,880
Speaker 1: according to parliament, the parliamentary lords that be, powers that be, Uh,

596
00:32:37,960 --> 00:32:41,520
Speaker 1: you can't call a sitting president racist, and that's what

597
00:32:41,720 --> 00:32:44,080
Speaker 1: she wants to have a vote on. And now they

598
00:32:44,120 --> 00:32:46,440
Speaker 1: can't even do that. And then you've got guad the

599
00:32:46,480 --> 00:32:49,680
Speaker 1: four freshman members, the AOC members that the President went

600
00:32:49,720 --> 00:32:53,040
Speaker 1: after saying that the Speaker isn't going enough. And if

601
00:32:53,080 --> 00:32:55,479
Speaker 1: that isn't enough, take a listen to what Senate Majority

602
00:32:55,560 --> 00:32:58,280
Speaker 1: Leader Mitch McConnell said when he waited on this. Here's

603
00:32:58,320 --> 00:33:03,880
Speaker 1: the Senate Majority Leader. Well, the president not a racers.

604
00:33:04,360 --> 00:33:06,960
Speaker 1: And I think the tone of all of this is

605
00:33:07,200 --> 00:33:10,080
Speaker 1: not good for the country, but it's coming from all

606
00:33:10,160 --> 00:33:14,800
Speaker 1: different ideological points of view. That's the point, Colin, this

607
00:33:14,880 --> 00:33:18,040
Speaker 1: is this is just I don't even can anything in

608
00:33:18,320 --> 00:33:21,960
Speaker 1: American politics? Can it get back on track? It's gonna

609
00:33:21,960 --> 00:33:24,760
Speaker 1: be tough the next year because everything that happened to

610
00:33:24,800 --> 00:33:27,120
Speaker 1: the fact that there's two thousand twenty race going on,

611
00:33:27,200 --> 00:33:30,240
Speaker 1: which just Dad's jet fuel to the fire. But as

612
00:33:30,240 --> 00:33:32,080
Speaker 1: it relates to what's happening on the floor right now,

613
00:33:32,120 --> 00:33:35,520
Speaker 1: it seems somewhat chaotic. And there's an old saying from Napoleon,

614
00:33:35,880 --> 00:33:38,440
Speaker 1: which is don't interrupt your opponent when they're making a mistake.

615
00:33:38,480 --> 00:33:40,520
Speaker 1: And it seems like that's why it just might have

616
00:33:40,520 --> 00:33:42,959
Speaker 1: happened with Nancy Pelosi because she was bailed out by

617
00:33:43,000 --> 00:33:45,600
Speaker 1: Trump's comments over the weekend, and now it seems like

618
00:33:45,640 --> 00:33:47,880
Speaker 1: she might be put back on her defensive after having

619
00:33:47,880 --> 00:33:51,040
Speaker 1: a couple of times this is rule. They can change it.

620
00:33:52,320 --> 00:33:54,120
Speaker 1: I mean, and you know what, we're gonna be talking

621
00:33:54,160 --> 00:33:56,720
Speaker 1: about it. That's it for me. Thank you, Colin, Thank you, Liz.

622
00:33:56,760 --> 00:34:01,120
Speaker 1: Thank you to Congressman Denver Riggleman. Tomorrow, more fallout and

623
00:34:01,280 --> 00:34:06,719
Speaker 1: coverage of cryptocurrency, digital currency, and Facebook Libra. I'm Kevin Silli.

624
00:34:06,760 --> 00:34:07,320
Speaker 1: You're listening for