About the Episode 🎙️
In this episode of 'On The Brink' with Matt Walsh and Nick Carter, the hosts discuss their experiences at the Token 2049 conference in Singapore, recent funding rounds in the crypto space, and various regulatory updates. They also touch on Donald Trump's Bitcoin purchase, SEC enforcement actions, and the evolving landscape of stablecoins.
Key Takeaways 💡
- Nick Carter shares his positive experiences at the Token 2049 conference in Singapore, noting the vibrant atmosphere and the lack of US election chatter. He humorously critiques the dress code in the crypto industry, suggesting a need for more professionalism.
- Nick participated in a stablecoin panel and attended a talk by Brian Johnson, who engaged the audience in exercises. Eric Wall discussed an impending AI apocalypse, and there was controversy over a debate involving Iggy Azalea and meme coins.
- Several funding rounds were highlighted, including Permissionless Labs raising $10 million, Firma, Zvana, Kudus, Limitless Labs, and Hemie securing various amounts, and Bitcoin and Forsite Ventures acquiring $30 million in Ton tokens. Regolith Labs raised $3 million for a proof of work currency on Solana.
- Donald Trump visited Pubkey, a Bitcoin bar in New York City, and purchased a cheeseburger with Bitcoin, marking him as the first president to make such a purchase. The hosts express surprise at the coincidence of his visit to a Bitcoin-themed establishment.
- The SEC has taken enforcement action against Flyfish Club, a membership-only club in New York that issued NFTs as membership interests, labeling them as unregistered securities. The club was fined $750,000, with dissent from Commissioners Hester Peirce and Mark Uyeda.
- House Financial Services Committee Chair Patrick McHenry and House Majority Whip Tom Emmer sent a letter to SEC Chair Gensler, criticizing the SEC's regulatory stance on token airdrops. They seek clarity on why airdrops should be treated differently from airline miles or credit card points.
- The hosts discuss the unique nature of airdrops in the crypto space compared to traditional equity markets. They note that while airdrops were initially a method for wider token distribution, they have become less effective due to regulatory scrutiny and market dynamics.
- Jamie Dimon's claim that JP Morgan is a major user of blockchain technology is met with skepticism. Dimon's statement that blockchain is 'just a database' raises questions about the authenticity of JP Morgan's blockchain usage.
- Bhutan holds over 13,000 Bitcoin due to its mining operations, valued at over $760 million. The hosts acknowledge Bhutan's mining activities and its potential as a Bitcoin-focused nation.
- River has launched a proof-reserve system for Bitcoin verification, based on BitMex's implementation. The hosts reflect on the importance of River's proactive approach to security and credibility in the crypto space.
- Bitgo and Revolut are planning to launch their stablecoins, indicating a potential influx of stablecoin issuers in the market. The hosts express skepticism about the long-term viability of many stablecoins, emphasizing the importance of liquidity and market architecture.
- The hosts discuss the risks associated with running a custodial crypto business, highlighting the potential for catastrophic losses from hacks. They touch on the unresolved questions surrounding the FTX hack and express interest in the forthcoming book by Sam Bankman-Fried.