WEBVTT - Marcelo Sampaio on Crypto (Correct)

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<v Speaker 1>Well, you talk about volatility, Doug, We're seeing that in

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<v Speaker 1>the crypto space. To fall up from f t X

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<v Speaker 1>is not easy. How much more contagion can we expect

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<v Speaker 1>in coming days, in coming weeks. Let's get to Marcello Sapeo,

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<v Speaker 1>his CEO and co founder of hashtags street Cred. Marcella

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<v Speaker 1>could have you with us more pain for the crypto space.

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<v Speaker 1>I mean, Genesis the latest to warn about a potential bankruptcy.

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<v Speaker 1>Thank you, as Linda, it's great to be here, Happy

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<v Speaker 1>Thanksgiving to you all. So yeah, it's been a tough

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<v Speaker 1>market complately being seen like a lot of volatility and

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<v Speaker 1>uh and and not so great news you like, and

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<v Speaker 1>for the industry, like when we see stories like f

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<v Speaker 1>t X. But yeah, that's a reality. But ultimately we

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<v Speaker 1>all expect that to be a good thing long term.

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<v Speaker 1>Let's say that actors leaving the market is always is

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<v Speaker 1>always good but also painful. But yeah, this space still

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<v Speaker 1>feels in many ways like the wild West, so to speak.

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<v Speaker 1>And I'm talking about jurisdiction. We know t X based

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<v Speaker 1>in the Bahamas and now there's a dispute and I

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<v Speaker 1>don't even want to over characterize it as being a dispute,

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<v Speaker 1>but a little bit of tension between Bahamian regulators in

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<v Speaker 1>the US. How this gets resolved. We know the situation

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<v Speaker 1>with finance is as complex because I don't know that

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<v Speaker 1>the company is is licensed in a singular jurisdiction. I

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<v Speaker 1>think it's spread out over many different jurisdictions. When it

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<v Speaker 1>comes to the volatility Marcello, that we have seen in markets,

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<v Speaker 1>are we up against a regulatory regime that we don't

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<v Speaker 1>even understand at this moment. Governments are going to lean

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<v Speaker 1>in and apply a level of regulation that we can't

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<v Speaker 1>even imagine at this point. Well, yeah, you know what

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<v Speaker 1>trip to is this global plus by nature, so honestly

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<v Speaker 1>it allows this this this this geography arbitrage, let's call

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<v Speaker 1>it that way, and and and and and Yes, you

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<v Speaker 1>have like a number of jurisdictions. They are some of

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<v Speaker 1>more loose, others like more restricted as some others actually

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<v Speaker 1>like taking you know, like the leading actually trying to

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<v Speaker 1>to regulate and to propose like uh good rules and

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<v Speaker 1>that that that will develop this market. But ultimately, you know,

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<v Speaker 1>like US is the largest capital markets in the planet. Uh,

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<v Speaker 1>we have to to to to to assume that once

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<v Speaker 1>we have like clear rules in US that will at

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<v Speaker 1>some extent you know, like uh, let's say inspire or

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<v Speaker 1>or invite you know, like other jurisdictions to to to

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<v Speaker 1>so much follow that, and we have been missing that

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<v Speaker 1>in US. So um, hopefully FTX will will will will

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<v Speaker 1>will at some extent like push or or or bring

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<v Speaker 1>this opportunity for regulators. They are like to to be

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<v Speaker 1>more assertive in this case, like because we have been

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<v Speaker 1>really lacking that. The the irony of it, all right,

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<v Speaker 1>my shallow investors urging governments to tighten regulations. The thing

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<v Speaker 1>is global regulators don't even agree. Yeah, that's true. It

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<v Speaker 1>is not about really restriction because crypto you know, like

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<v Speaker 1>it's really a technical technological breakthrough, a progress, right, it

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<v Speaker 1>was health an invention. It's really more you know, like

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<v Speaker 1>trying to understand that and to create the basic rules

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<v Speaker 1>for that to development and really for for us as

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<v Speaker 1>a society to understand how it will you know, like

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<v Speaker 1>a contribute like for for for for for human and

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<v Speaker 1>let's say like this. But ultimately, you know, right now,

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<v Speaker 1>the fact that there is nothing really or nothing uh

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<v Speaker 1>solid out there is allowing the number of crazy you know,

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<v Speaker 1>like behaviors coming from a number of players that they

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<v Speaker 1>have been really doing whatever they want. And I think

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<v Speaker 1>ft X and and Sarah Lewin and Celsius. Uh, those

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<v Speaker 1>are a number many of the stories of all the

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<v Speaker 1>bad stories in the industry. What technology keeps doing, you know,

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<v Speaker 1>like following journey, it's it's I mean crypto, you know,

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<v Speaker 1>like it's it keeps you know, like uh like improving

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<v Speaker 1>as a technology, and so only like that, honestly, you know, like, well,

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<v Speaker 1>there's the blockchain technology underneath it. And I don't know

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<v Speaker 1>that anyone is as critical of block chain as a

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<v Speaker 1>technology per se. I think it's what exists on on

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<v Speaker 1>top of that and the extent to which UM investors,

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<v Speaker 1>whether their retail or institutional, are exposed. Would you be

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<v Speaker 1>supportive of a global standard something coming, let's say, as

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<v Speaker 1>an example, from the Bank for International Settlements. Would you

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<v Speaker 1>be comfortable with that or do you like the idea

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<v Speaker 1>that you can get away with maybe not to be

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<v Speaker 1>too critical, but there are the potential for as you

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<v Speaker 1>put a global arbitrage. Do you want to make sure

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<v Speaker 1>that there is that possibility or or would you favor

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<v Speaker 1>kind of a global standard. I don't think that's possible

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<v Speaker 1>to be honest, I think you've got we're gonna see

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<v Speaker 1>like a number of frameworks. Uh. Generally, generally there's this

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<v Speaker 1>confusion around blockchain and crypto. But it's important to too

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<v Speaker 1>to understand that crypto is the very definition of watching,

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<v Speaker 1>like one cannot leave without the other. Uh what I say,

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<v Speaker 1>you know, like when what? What? What we think here

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<v Speaker 1>at hashtags when you think about regulations is to begin

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<v Speaker 1>with the foundations and and and really to to at

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<v Speaker 1>some extent to like uh bring uh the all all

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<v Speaker 1>the proxies, all the stuff that we learned like in

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<v Speaker 1>traditional financial markets, and have you like the base or

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<v Speaker 1>a foundation for crypto so the market can develop. We

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<v Speaker 1>don't need a lot. We just need clarity for things

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<v Speaker 1>like securities, for things like what is how to treat

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<v Speaker 1>you know, like the exchanges, you know, like because ultimately

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<v Speaker 1>what what are the effects that has happening? Exchanges is

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<v Speaker 1>really they are more they have been seen themselves, I

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<v Speaker 1>guess like banks, but just there are not banks, like

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<v Speaker 1>they don't have like, uh like any of the regulation

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<v Speaker 1>that actually protects investors around that. So so really what

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<v Speaker 1>we see here is that we don't need much, but

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<v Speaker 1>we need the regulators to step in like to to

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<v Speaker 1>to give some clarity and from there, you know, like

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<v Speaker 1>work with the market to actually create the rules that

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<v Speaker 1>will protect investors and will put the technology in a

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<v Speaker 1>great place to actually solve real problems to a number

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<v Speaker 1>of people. Effective matter is financial markets are built on trust.

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<v Speaker 1>Right now, when it comes to the crypto space, it's

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<v Speaker 1>been a lot of trust, lots of confidence. How how

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<v Speaker 1>do you build that trust from here? You know, this

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<v Speaker 1>is not very different than and run. You know, like

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<v Speaker 1>when when we think back in the day, you know,

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<v Speaker 1>like electricity electricty cap you know, like eliminating houses, you know,

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<v Speaker 1>like and and and and despite like and run a

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<v Speaker 1>big company utility company imploded, right, So so so the

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<v Speaker 1>trust is not really you know, like related to crypto

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<v Speaker 1>itself in this point, is really around the bad actors

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<v Speaker 1>working with the crypto and this is the one those

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<v Speaker 1>are the ones that actually should be regulated. Trust will

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<v Speaker 1>be built actually, I think, uh in both ways, Like

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<v Speaker 1>one at this point, like short term, if we can

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<v Speaker 1>have like clear rules, you know, like for for us

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<v Speaker 1>to protect investors, like for for players like those like

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<v Speaker 1>and and the other part is really like the technology

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<v Speaker 1>will solve the problems like crypto is the technology based

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<v Speaker 1>on trust, you know, like the nature of crypto is

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<v Speaker 1>literally like trust programming trust, right, and and this is

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<v Speaker 1>one of the things that solves. So hopefully you're like,

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<v Speaker 1>we're gonna have like enough, you know, like or or

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<v Speaker 1>the least you're like, we can expect now in order

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<v Speaker 1>to have to see the technology pretty much replacing or

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<v Speaker 1>for us to program those regulations into the technology where

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<v Speaker 1>we go from honest, that's what it does. Trust. Trust,

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<v Speaker 1>It's got to be about trust and confidence. Marcello, thank

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<v Speaker 1>you so much for being with us some Marcello Sampaio,

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<v Speaker 1>who is the CEO co founder of hash decks, Street Cred,

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<v Speaker 1>talking crypto for um Rio