The Global Macro View, Blockchain 101 and the Stablecoin Thesis

The Money Movement is a live broadcast internet TV show running every Thursday from 1pm–1:40pm Eastern Daylight Time (EDT). Episodes will be available live and on-demand on The Money Movement YouTube channel, or right here on The Money Movement will also be available through all major podcast channels.

Jeremy Allaire [00:00:09] Good morning. Good afternoon. Good evening and welcome to The Money Movement, a show where we explore the issues and ideas driving this brave new world of digital currency and blockchains. Today, we're going to have, I think, a very special episode. We're going to have a live demo that really tries to show the real power of global digital currency. You know, a lot of times when I talk to people who are not familiar with the space or, you know, you talk about things like digital currency and people are trying to say, well, how is this different than how I can do things today? That really reminds me significantly of the early days of the Internet where, you know, when when people first had email addresses and talked about the ability to send or receive an email. And so people often say, what's a special? What's so powerful about digital currency? And I think once you experience it, once you see it, once you see the speed of it and how it functions, it really is mind opening. And so that's what we're really trying to do today, is it is open people's minds to see the power of this on a global basis. And really, more fundamentally, we want to demonstrate how we are evolving our financial system, evolving from a financial system that is closed off to billions of people, a financial system that's expensive, a financial system that's slow, that's full of barriers and walls. We're moving to a financial system that is more open, global, efficient, inclusive, and that's really the vision that we have with digital currency. So it all starts with how we move money, which is the building block really to every other form of economic arrangement. So today in The Money Movement, we're going to move money. We're going to have an experience of moving Stablecoins, USDC around the world. These digital dollars are going to move from a business in Boston to a contractor in London to a friend in Seoul, South Korea, to another freelance developer in Buenos Aries through a marketplace, an e-commerce marketplace that's run out of Indonesia and ultimately to a supplier of goods into that marketplace, in India. We're going to watch as these funds move seamlessly across different digital wallets, different digital services with convertibility into different fiat currencies. It can be really powerful. And joining us obviously today are a tremendous group of people, entrepreneurs building great products, great wallet services, great exchange experiences that really make all of this completely possible. That's what we gonna do today. So I want to get started moving some money. So what I want to do is actually just start with what we call a Circle business account. So what we have here. This is Circle dot com. Earlier this year we launched something called Circle business accounts. The idea is that really any business in 150 countries should be able to open up a financial account and use it to make payments received, payments automated and lots of different ways. Circle business accounts, sort of like a starting point for a business that wants to use Stablecoins and USDC as a as a way to make payments, whether they're to their employees, to to partners, suppliers, to really anyone that's out there. So I'm actually, you know, logged in here into my Circle business account and I'm gonna be making a B2B payment. And actually, I'd like to invite on that to join here Itamar from Argent, who is in London.


Itamar Lesuisse [00:04:27] Hey, Jeremy.


Jeremy Allaire [00:04:28] Hey, nice to see you.


Itamar Lesuisse [00:04:30] Pleasure. Thanks for having me here.


Jeremy Allaire [00:04:32] Yeah, absolutely. So, you know, in this example here, I mean, my business account and I'm pretending that you're a consultant that helps look at policy issues in the crypto space. And so we had a short contract. You reviewed a document, and I owe you three hundred three enter dollars. So I'm going to pay you in USDC. So I do. Here is go to transfer funds. I've got you in my wallet and I'm just going to put in three hundred USDC. I put in 10 cents for the the kind of fee that is paid to process that transaction. So very inexpensive. And I'm just gonna go ahead and conduct that transfer. I just have to put in my two factor code here and that will be off to the races. So, you know, what we have going on here is basically using a business account. I was able to, as a business convert from any bank account, really, and most of the world. And I was able to convert, you know, hundreds of dollars or it can be thousands or tens of thousands, or if you're a major business, moving millions of dollars, you can convert those funds. And generally you can do that the same day. We actually have an ability to do it 24/7, 365, with certain setups. But generally, those funds get there and they're converted into digital currency. In this case, into USDC. And and then in that case, I just punched in the wallet address, which I had saved for for for Itamar. And and now we're the transactions on the way. And I want to just start maybe just talking a little bit with you, Itamar. So the transaction is going to a product that you created, which is or you and your team obviously helped create, which is the Argent wallet, which is a super super fly mobile mobile wallet. Maybe just talk a little bit about Argent, your product, your vision.


Itamar Lesuisse [00:06:34] Sure. Yeah. So, by the way, the funds arrived. Thanks. Thanks for that. And our goal at Argent, is really to enable anyone to control and prosper from their digital assets. And that means creating a non custodial wallet. So where people are in control. But this is the secure to use as the current banking system. So people shouldn't have to worry and think about them. The Blockchains complexity.


Jeremy Allaire [00:07:00] Sorry to interrupt. I think for a lot of people who are new to this space, this idea of a custodial wallet versus non-custodial, sort of this philosophy of you can keep your money in a financial institution like a bank or someone who's hosting the funds for you and and so on. But also, it's really powerful to be able to control the funds yourself like money in your wallet. And so mobile makes it possible for people to download the software application. And because the these technologies are sort of open and available to everyone, you can build a user experience where the users in total control of the funds, not trusting some third party with it. And that's what you've really been trying to solve and solve that with excellent user experience.


Itamar Lesuisse [00:07:44] Exactly. And what you have blockchains is read the same picture you'll recognize from your bank. You can recover your money if you lost your phone, was relying on writing up some citified on paper. We have on chain phone monitoring. So if someone tried to drain's your call, things would be delayed, TRISTANT address, et cetera. So really building the same feature, all the same experience, the same Mandele models. And what do I used to but where it gets interesting is you can plug to an entire world of decentralized finance. So they want me to maybe it's not is available globally, basically internationally. So anyone with a phone in the wallet can plug into the same financial system. That's really what's so exciting about that. You download the app and suddenly you have access to that same global transparent financial system.


Jeremy Allaire [00:08:31] So like in a business that wants to pay you. You can just receive those funds instantly, basically, like we just saw.


Itamar Lesuisse [00:08:37] Exactly. Then you can decide to we want to earn interest on them. Then you can use that to put them in some lending protocol, which would feel almost like a savings account. And that would stop an earning interest on your on your legacy.


Jeremy Allaire [00:08:50] Let's do that. So, yeah, you've got 300 bucks. Maybe you want to save some.


Itamar Lesuisse [00:08:54] Yeah. So that's the Argent, let's say, finance marketplace. You have all these protocols. A compound is one that allows you to lend and earn interest. So we'll pick USDC. I will put, let's say, 30 USDC in there and that's it. That's all I do. I literally put 30 push on one button. The transaction will go to the blockchain will go through and I will basically start earning interest. So here at someone, when it's finalized, I would see my 30 USDC and I would start accruing interest that's really how easy it is.


Jeremy Allaire [00:09:29] For most people, when they think about, you know, earning interest, they think of, oh, I have to like I just sense I have to lend my money to a bank and the bank is gonna go do something with that and they might pay me some interest. What's what's happening here is with something like compound that's actually there's no company. You're not it's not like you're giving your money to some company and trusting them with it. You're actually you're actually lending your money to a marketplace on the Internet that's just run and enforced by code. It's a decentralized credit market. We we had Robert on the show earlier and talked about it. But really, it's a breakthrough. And so in a sense, like anyone with this mobile wallet who receives these funds can start saving and generating interest and participating in financial services capabilities that just are generally just not available to them at all.


Itamar Lesuisse [00:10:18] Yeah, exactly, I think the beauty is not anyone can access this service, but distressed services. And anyone can build me a one on top of existing. It's really totally open. And as just say, it's you don't need to put trust into a company to access the service. It's ruled by the code. And you can in this case, up on you can pull out your funds at any time. So it's extremely flexible and simple to use.


Jeremy Allaire [00:10:43] It's so, so cool. So. All right. We move some funds. We're getting some yield. I heard you were gonna have a friend fly over to London, but it got canceled because of COVID. So maybe maybe you need to pay that friend back, you know, for that for that trip. And they were from Korea. So why don't we invite on your friend Ronald? Ronald, can you join us here? Give out a ride. Excellent. Welcome. Cool. All right. So Itamar owes you owes you some money. How much does he owe you?


Ronald Chan [00:11:16] He does. I believe it's two hundred and twenty.


Jeremy Allaire [00:11:19] Two hundred twenty two hundred twenty dollars. All right. So we're gonna beam that USDC over that then.


Itamar Lesuisse [00:11:27] Yeah. Another great feature of Argent is you don't need fees to pay for your gas transaction fees. So it's really easy. I pick Ron out and send 220USDC.


Jeremy Allaire [00:11:38] You have, like, similar to like email or whatever.


Itamar Lesuisse [00:11:41] And exactly why it feels the same and, you know, sending money into us to Venmo. I've just picked Ron out in my address book. Sorry, I went a bit fast, but I literally saved his address and now I pick 220 USDC and that's it. I confirm my transaction. As you can see, there's no no fee. It's just three percent. And that's it. I would say 10, 15 seconds and Ronald should have the USDC in his account.


Jeremy Allaire [00:12:05] So that's pretty awesome. So one of the themes that that we talk about a lot is interoperability and and open networks and people generally, like when you talk to the average person, I don't know what the hell that means, but the benefit here is you're not locked into a single app like Circle business account is a service. You have a wallet that any user can use. Ronald has a wallet service that he runs in Korea and these all can speak to each other just like our email systems and message systems can speak to each other. So. So. So it's it's it's it's it's super cool. Well, thanks for joining for this, Itamar. This has been incredibly illustrative. And, you know, obviously love what you're doing. And thanks for sending along the money.


Itamar Lesuisse [00:12:53] Thanks, Jeremy. Up to you Ronald.


Ronald Chan [00:12:56] Yep, thanks a lot Itamar


Jeremy Allaire [00:12:59] Excellent. Welcome. So happy to have you on the program. And excited. Excited to do this with you.


Ronald Chan [00:13:06] Hi, Jeremy. It's it's really nice to see you again. And I should I share my screen because I have.


Jeremy Allaire [00:13:16] I was gonna just maybe start, you know, just a little bit. So, Probit, you guys you guys operate a wallet service and you operate an exchange and it provides this great experience for people who are both trading, but also sending or receiving payments and moving funds from, say, like a Stablecoins USDC into Korean wan.


Ronald Chan [00:13:35] Yes, exactly. So right here with Probit. Which is based out and started in Korea. We have created a fiat to crypto exchange, which means that anybody that wants to trade between crypto to fiat crypto to Korean one. In this case or from Korean warning to crypto or crypto to crypto, we'll be able to do so very easily on private exchange. So you can see here if anybody's interested. All you have to do is sign up, takes 10 seconds, but only need me to email address and then you would be able to participate in all the trading functions that we offer.


Jeremy Allaire [00:14:16] It's tough for people in Korea, obviously, because you can connect like the Korean Korean banking. Right. This is a really powerful way. If you're moving value to to do that and and obviously there's that sort of trading side of this and then there's a wallet side of this which is connected to these same open protocols connected to the you know, through the Ethereum network to protocols like USDC to be able to send and receive these these digital dollars as well.


Ronald Chan [00:14:43] Exactly. So it's a more he mentioned just now that it's going to take me five seconds to receive the USDC and it actually has. So if I were to go and check it out in my wallets, why such for the USDC? I would be able to see. In confirming right now.


Jeremy Allaire [00:15:06] Excellent. So four, four, four. A lot of people who are maybe new to these digital currency transactions. I mean, basically there isn't like some company that's processing these transactions. When when a digital wallet like Argent, like sends that transaction and sort of broadcasting that transaction to this global network of computers that are not in control of any individual or any company, it's sort of this decentralized network of computers that are verifying all these transactions. And now the power of that is that there's no there's no there's no centralized intermediary. It's peer to peer. It works over the Internet. And it also has these security capabilities, which is that this is like a tamper resistant, tamper proof transaction system that's open and global available for anyone to plug into. Now, the these transactions on a theory and the initial confirmation of it usually happens. And I guess you showed in your screen see someone to see like an incoming or receiving transaction in in literally seconds, like it gets broadcast. That first transaction gets picked up by the network. It usually is, you know, something like fifteen seconds, 20 seconds, and then you know that you're getting it. And now obviously then you're exchange, you're waiting for a few extra confirmations before you're ready to let someone use that as a, as a, as a currency.


Ronald Chan [00:16:37] And Jeremy, I would not have been able to explain it better myself.


Ronald Chan [00:16:42] It was amazing. Sorry. Got some time. Yeah. I've got somebody.


Jeremy Allaire [00:16:47] Boston to London. To Korea. Really? Yeah. And with basically no cost or just like 10 cents so far.


Ronald Chan [00:16:55] So it's. Yeah, it's really cheap. Right. So now you can see that I've been credited with this. Two hundred and twenty USDC in the middle of the screen. Right. And I have two items I would like to get done. Of all, I would like to show you how you can withdraw it into part of the traditional Korean banking system. Right. And so you, follow, me here on the screen, I would go over to the exchange, but I would need more or less 100 USDC right.


[00:17:26] To be exchanged for for the average person. Right. There's currency exchange. You know, sometimes you do it at the airports and tempts you to it online. You have a really sophisticated system where people can like, you know, make make large trades, et cetera. And so like someone who who is even like a day trader of dollars. And one could do that. But even a simple transaction like taking a couple hundred USDC and converting it to one, you can do that in like a couple of clicks.


[00:17:57] Yeah. Exactly right. So in the most simplest form, this is a money changer. Not changing between Kittel, two fields, no changing between U.S. dollars to something that represents Clwyd one. Right. So the two ways I can go about doing it, I can. The simplest way would be to find a price that I want to. All right. And I need 100 USDC, so if you look at the bottom right hand corner, I've decided that I want to sell 100 USDC at this quick one. Wait. One thousand one hundred and ninety nine point five. Which, by the way, is a very good rate.


[00:18:37] So it's much, much, much cheaper than like that. The three percent. Four percent. You know, all these crazy fees that banks charge. I mean, it is totally insane. And yet you're like, we're doing this super fast, super cheap. So that's awesome. So you're gonna convert to one. I mean, you mentioned the airport, right?


[00:18:56] So if you want to transfer or to change it, airport cost you even more with the commissions and stuff. And this is what is really fast free. All right.


[00:19:03] So I would go continue by selling. Yeah. And take a note of how much kuvin one balance I have now. I have some small change. This is not even anything. And then. Once I click it, you know, I have a certain amount of going one to you here. Right. All right. And you can see that my USDC balances decreased by one hundred a year for me. Exactly what I said. Once I've got the Korean one right. The Korean one value here. I can choose to withdraw it into the traditional banking system.


[00:19:44] So this is the amount that I have in my wallet. Yeah. And, well, this is it. I changed the bank account number so so that my private information is not out there. But it would look like this. Yeah. All right. And what I need to do is choose an amount that I would like to withdraw. So this is more or less one hundred and fifty U.S. dollars. Yeah. Right. Well, I have to do is withdraw this. Yes. Click this and. Well, right now it's nine, 20 p.m. where I am. So the banks are not going to process it yet.


[00:20:19] So the legacy banking system is slow. They let us down today. And, you know, we can move money on the Internet at the speed of the Internet. And radically cheaper and much more easily for people, businesses. But at this point, this is great, though. But the important thing here is, like anyone in the world has got USDC can go to Korea with it gets get it to someone in Korea. They can very cheaply get it in line and get it into the bank. You know, much, much easier than in a lot of other ways. So. Exactly. Awesome. That's awesome. Cool. Now, I. I understand that you you work with a freelance software developer in Argentina, that there's a team there and there was like a small project to work on. Maybe we can invite Sebastian in from Argentina to join us here for the next leg of the transaction.


[00:21:16] Yeah, I work with Sebastian and he's really cool. And I will be I will be giving him what I owe him open, which is one hundred and twenty US thesea. I mean, him being in Argentina at all. Oh, yes.


[00:21:35] Hey, Sebastian. I don't mean a drop. Hey, welcome. How's it in Buenos Aires?


[00:21:43] I mean, today I'm actually in Sao Paolo. Sao Paulo. OK. Yes.


[00:21:49] So maybe he's kicked a while and we are starting to feel some flirting. I've been following the Joe a refreshing. We have. We provide similar services.


[00:22:04] Let's say I'm going to have you. I'm going to. I want to have you talk about that in a moment. I want to. Yes, let's do that. Let's do the transfer. We're going to get this transfer. So there's 120 USDC left. He got some in the Korean won. And now he's gonna pay you back, I guess.


[00:22:19] Yes, exactly. So right now, let me pay you for us and then.


[00:22:28] So I'm going to withdraw it. It's like you said, it's going to take as much time as the Internet does. Right after I fill in my codes. Yeah.


[00:22:38] It's pretty, pretty typical because this is like digital money, you know. You know, and once, you know, one of the things about digital currency is it's a little bit like cash. Right? If I, like, give you a hundred dollar bill like you have it. You like it. You can go with it. And digital currency similar. It's a irreversible transaction. And so it's it's really important that, you know, wallets and services that that people use have good security controls. So things like these two step verification codes and even double security like, you know, confirm it through an email. That's good. Yeah, that's great. Another confirmation, you know, with them, with an authentication code on upon a mobile device. These security features are really key when you're move, when you're using digital money and you're using it on the Internet. So awesome.


[00:23:33] But but they also make it cheaper. This also means that, for example, there are no swaps. Credit cards have a lot of pills with them. Those transactions are reversible. Yeah, well, that that's a lot of pressure on on merchants into having to have extra security, extra controls. Absolutely.


[00:23:54] That this is not necessary, but much better for for for for people, businesses who want to know, like when you're when you get when you send that money. It's good. And it's a final transaction and it's secure. So so those are those are definitely big, big benefits of digital currency. Awesome. Well, Ronald, thank you so much for for joining us in this in this journey around the world with digital currency and USDC.


[00:24:24] Thank you. And the USDC was really happy in its time in Korea today, I'm sure. Awesome.


[00:24:32] Cool. Well, thanks. Well, excellent. So, Sebastian, it's it's nice to see you again. And, you know, maybe as you were starting, I think it'd be great if you want to talk a little bit about Rippetoe and a little bit about, you know, the importance of digital currency in Latin America and Argentina and Stablecoins as well.


[00:24:54] Totally. And I think this is not only like brilliant all it always, but also in this in this particular time, is this very, very important. And we are seeing a lot of developments around us. So I was as I was saying, baby is what it is in South America are many countries that are in Brazil. That's why I'm in Brazil by now. And we have over 450000 users across the region. And we we started a business with the mission to provide access into the digital assets and into Bitcoin and crypto currencies.


[00:25:31] We allow people to buy and sell bitcoin and tedium on a stablecoins ulceration with their bank accounts. And we also have an Eurasians and partnerships with networks that have looked for Sempo of convenience stores where you can go with the cash and load your wallet and convert physical cash into a digital money, which basically is to enable people to access the online economy. Across Latin America, more than half of the population doesn't have access to financial services. Traditional Formato Semiformal. And this is a completely new system like us. Yeah, we saw earlier we did a model you can like just little digital money and VEAC and access to Shiel and the access to lending, which is things that a big percentage of the population around the world are doing. Lether I don't have access. Right.


[00:26:32] So this is also into really empowering for people in South America and management and participating in the global financial system, making their own use of their own money safer, more secure, more efficient. And Ripia plays a really critical role because you're providing this wallet service, but you're also providing this connection with the existing money systems in in some of these markets.


[00:26:58] Yes. Not only that, also currently in emerging markets, these have very high inflation. The government, for example, is having three or four percent inflation monthly like we had like last year, 40 percent inflation. And the currency this year alone has dropped more than 50 percent. And this is typical an exchange like exchange rates are biting depending on how you how you're feeling money. And that puts a lot of pressure on not having access to still going to be a very good way to save with less volatility. And crypto, I will say, look, long term.


[00:27:46] We've been talking a lot on the show here about in the current global macro environment with all economic stresses in so many countries. You know, these these intense interventions by governments. Right. It's going to create these challenging situations with currencies. And digital currency is definitely a little bit of an escape valve. And it's a way for people to to to kind of leapfrog into this this new Internet based digital economy. So maybe if you want to bring up that, bring up Ripia and show the world experience. And we had some USDC sent your way.


[00:28:25] OK, so this is my my account. I have a few bezels here. And then basically and suddenly this is my personal Destin account and I have one hundred and forty one Bissell's, but it keeps switching between pestles unrealistic.


[00:28:44] OK, Celia, I have this. This symbol, Israel's.


[00:28:50] But I'm actually having that accounting embezzles right now. OK. I had a few Bessus. And if you go in if I go into the wallet, then for some reason I haven't yet received the transaction. Vexingly, I have some bitcoin. Some USDC. Yeah. And then here I can buy or sell you, as you see. Let's say like I want to sell fifty fifty dollars of USDC. Just going gold here.


[00:29:22] Let's say you know like 30.


[00:29:25] Yeah, like I can just convert very easily to what we saw with with with with rubber.


[00:29:34] You got a really simple interface where you received this USDC and you can just instantly convert it into daughterly. Yeah.


[00:29:44] And an idea here is like we have a much simpler wallet, as you see, compatible with Broyd, because we have trying to aim to look large at audiences. We want to be a very simple wallet that anybody can use because we are aiming to mainstream. And it is not that this is the interface has much less tools and buttons to press and get right in strong. But for example, if I was changing, if I was getting ten dollars and selling it through the traditional system, I was being paid as a freelancer across the world. I will using banks rather than having like almost twelve hundred pestles. I will be getting 700. That's how much the difference. That is what I am using a stablecoins and and and and the traditional banking system.


[00:30:45] That's incredible. So. So obviously for the person receiving that, that's a radically better change your life better. And actually for it, for a for a business that's paying someone remotely. Right. They want them to get as much as possible. And obviously in the banking system, it doesn't happen at the speed of the Internet. It happens. Just know that painfully and slowly. OK.


[00:31:05] So you just you just sell some some USDC to Bessus. So now I have more business seeing in my account. Yeah. If I want to withdraw I we have two. And so we don't like or trust. Do we draw it to our bank account like a very traditional thing to do. Hopefully we we are in the morning. And so tomorrow you go. So this will get the process and you will be in the same day. And we know we know fees, but we also do local banking same day.


[00:31:44] No fees. OK, we get that. But tell us about Mercata Pardo.


[00:31:48] So McLibel is we have any integration we to call Apollo, which is basically the wallet of medical leave. Which is kind of like the Amazon of South America. You can buy literally anything online. And we have a direct integration with them, the region. So I could buy anything they could see. I need a new bicycle. I will be being able to buy this. This will go instantly. 24 seven.


[00:32:19] It's in 20. OK. We like that. And it's an energy, you know.


[00:32:24] Yeah. But nothing like it will be like freelancing, getting paid in a stablecoins and then being able to literally buy anything online with this money and becoming kind of like the digital citizen. That race is Joynes an economy that is global.


[00:32:44] Does. What's incredible is that it's like people can they can store value in dollars. So they're they're they're hedging on that inflation rate. They can try that. And then when they need to buy something on the counter Libra they or they need to pay their utility bill in the local currency, like you can just you can convert and transfer out and take care of that. And and obviously, Mercata Libra has it's sort of almost all the things that you might need locally. Yeah. Well, so very cool.


[00:33:14] So let me check one thing up there. You got to it so well, just for the USDC from now. So, yeah. So basically this is like we are doing this in just minutes and he's going across the wall and it's extremely volatile. It's going to change.


[00:33:38] There were incredible. So we've gone from a business in Boston to a contractor in London who could have been anywhere in the world with his Follet to a friend in Korea into the bank. Korean one in banking system and then over to Latin America. You've got funds. You can store those securely. You're able to instantly get them into your marketplace to buy goods and services that you need. But you can protect your value with with dollar value as well. And this is all in. I think less than 30 minutes so far, so that's pretty good. Very cool. So now, you know, I think, of course, like as as someone who is you know, you're working from home. We're all working from home. Many of us are working from home. You know, you also need to be able to participate in the broader digital economy outside of your regional marketplace, like Mercata Libra Day. And and so I think one of the things that we wanted to highlight is how things like USDC and and Circle API and what we're doing can empower, you know, commerce marketplaces and all kinds of marketplaces around the world to participate in the benefits of this. And so, you know, I'd like to actually invite Touch's Rao from Circle, who's head of product the Circle, to join us here. And we'll come back to your screen in a little bit. But you can stay on if you want. I actually know I'll have to come over and then we'll have you come back in a few minutes. Sebastian.


[00:35:07] The. Called Jeremy. Hey, man, welcome. Thanks for having me.


[00:35:15] Yeah. Cool. So drought is head of product here at Circle.


[00:35:20] And before we maybe dove into the next piece of this demo, I think one of the things that I want to emphasize, and it really connects very much to what we're just talking about with Sebastian, is we have this vision of of a new way that Internet commerce can take place, a way that is built on on digital currency, built on stablecoins, things like USDC. And we believe that Internet businesses everywhere are going to want to plug into this because of the benefits, the efficiency, the speed. And in particular, we think like commerce marketplaces are going to be a really interesting kind of business. And so we actually just in the past quarter launched a whole set of API as these API is out for developers, but it's for businesses that want to connect the power of these open networks and connect the power, things like USDC into how they settle payments not just from people who are paying them, but also increasingly these marketplaces have suppliers and sellers and creators from all around the world and creating a really seem this way to pay out on a mass basis to all these different types of businesses. So maybe a drought you can bring us into into an actual marketplace example that that we're using here in this demo.


[00:36:41] Yeah, absolutely. Let's talk about that. What we're talking about working from home. So. Why don't we give Sebastian some better gear for working from home, right? Can you guys see my screen? So this is a marketplace that we have built, you know, just to explain a sample situation of our own, how a marketplace operator, as Jeremy said, can leverage Circle API and USAC to to effectively cover a much broader part of the world in a much easier and faster way. So, Sebastian, I'm going to go ahead and this is as if I'm using this correctly.


[00:37:18] This is like a furniture marketplace out of Indonesia. It's out of Indonesia.


[00:37:24] Yeah. Exactly. So you see some prices in Indonesian rupees. Yeah. So also like this chair for use the best, and I hope you like it. I'll add it to my cart and I'll continue to check it out. So this is just as any other marketplace people would be familiar with on the Internet. Right. So let's let's say at this point I have filled out my delivery information, so I'll continue to the payment method. And here I will choose to pay with us, you see. All right. Awesome. And then I'll maybe stop sharing. Yeah. And some actually make up sharing.


[00:37:59] So basically, in this case, this marketplace using Circle wallet API is like Genner is like generating one time payment addresses in your USDC payments that are that are coming into the marketplace. And now that this is here, someone say in Argentina, Brazil or wherever. Who has USDC can now make that payments. Maybe if you stop sharing, we can go back over to Sebastian. Who can who can pay you that? Fifty nine USDC.


[00:38:27] All right.


[00:38:28] All right. Let's do it. So we're going to share Vagg my screen. So basically, you know, I think I'm gonna do it before you're going to say 50 now we say yes. I got a bit high commissioner and then there was the other is that it was found in Gilgo that I copy. And then when you send us.


[00:38:54] Awesome. And that's it. Something excellent show that you were like we've all had. We've had been measured is that this is an open network and it is these transactions that are going. Girls, girls at war. But there is like we can all see the transection going, right? Yes. That was harsh. And that is that the sensation going into these netherworld of computers. This is unexploded off the blockchains. It's like something that everybody, all of us we get is the whole world can see everyday transactions happen.


[00:39:27] They don't know who's sending it or why or where it's from. They just you can see these transactions. There's a record of the transactions that are out.


[00:39:36] Out on out on the Internet that are that are happening in real trouble.


[00:39:42] That's super cool. We're going to stop showing you. So that's going to go back to. We'll go back to do our. So, Jwoww, just maybe maybe you could just talk for a moment about, you know, what it is that this marketplace is actually what what they're using, how they're building that and how and integrate in.


[00:40:06] Yeah, absolutely. And then I'll re share my screen in a second just to show that last payment screen to illustrate what we are talking about. But basically what we are facilitating for these businesses and commerce businesses and marketplace business around the world is the ability to now, you know, moving to into this just tech stack that in both stablecoins and public blockchains in a much easier way. That I think was not quite possible up until now. So we have two main API is that we offer for businesses when it's called the payments API. Another one is called the Wallets API. And you can sort of use it to to really provide your end users with the ability to collect payments in multiple ways. So I don't know if you guys remember, but on the payment screen, there was there were two payment options, one to pay with credit cards and one to pay with USAC. See, those two payment options are basically leveraging either the payments API, where we collect payments from traditional methods and settle in USAC with a merchant, or the wallet's API in which you can collect payments, you know, into an actual USAC, such as providing an address as we did with SEBASTIAAN and then and then have that the media of those two API ises that they can have common settlement in US history for the merchants or the merchant really now with our API. So they are able to only look at us to see coming from from all of these different payment channels, whether they are more traditional or raw, USAC and then seems to have USAC.


[00:41:31] Obviously settlement is much faster and they can do as Jeremy said, they can do mass pay outs to the other side of these marketplaces. Right. The supplier, the manufacturer of that chair, they can do these mass pay outs in a much, much easier way. And we can we can have a look at that as well.


[00:41:46] We also like it in there with the payments API. Right. You can also take traditional credit card payments, like if you're a marketplace and people want to pay you with a Visa or MasterCard from hundreds of countries as well, you can get those card payments, but also get that in USDC and receive that in USDC. So your people are paying you with cards, but you as them, as the marketplace are actually getting it in a stablecoins, which has that incredible power and reach of the Internet.


[00:42:17] That's right. So I'm sharing my screen here, you guys didn't see, but basically, you know, at some point the marketplace was checking for that address and saw obviously a few confirmations and it turned into this. This Baoji or so, you know, it's basically thanking me for the order because it has it has observed the initial payment of those fifty nine USDC. So what I'm going to do now is I'm going to flick to another perspective, which would be so here effective.


[00:42:46] Yes. I was just gonna say here you're you're we've got a supplier or a seller and I want to invite Sumit on to join us for for this part of part of the demo. Go ahead, Drew. You can start talking about what's gone.


[00:43:01] Yeah, so so imagine imagine as as reporter, as as with every marketplace you need, you need some sort of capability for the suppliers in the marketplace to get paid. Right. So this is a this is a Sempo screen where the manufacturer of that chair, you know, they would have logged in on their account and they would see. Oh, great. I got paid for something that I for some of my products or goods that I sold on the marketplace. In this case, they got paid fifty seven fifty because obviously the marketplace has to has to make a living. So there was a fee taken here. And let's say that, you know, I'm going to submit is going to is going to be the supplier in this case. So what I'm gonna do is I'm going to withdraw this balance of USAC that this fire got on the marketplace. And I'm gonna be sending this to to submit some its wallet.


[00:43:50] And and hopefully we'll see that there in a few minutes. So in this case.


[00:43:58] The the payment method of the supplier is like they can. They can receive payment from the marketplace in in a stablecoins. Exactly. Exactly. And so they just have like essentially like an address on file where they're where they're receiving those funds.


[00:44:17] Right, right. And there's a there's a lot of possibilities that we can imagine for that last mile. Right. That's typically a huge pain point for marketplaces, is how do you actually pay individuals and companies in all of these places around the world? Obviously, USAC can reach you wherever the Internet is. But we also we Circle also has a price to facilitate payouts in in in bank accounts. And but I think there's a lot of innovation that can be thought about how you can you can have these USAC wallets, you know, for anyone around the world and how you can associate, you know, traditional payment instruments that can be backed by those wallet. So those would be ways that people can actually participate in the economy in in in ways that they can't raise today.


[00:44:59] Very, very cool. Sumita, are you with us? All right. Awesome. Welcome.


[00:45:05] Now, thanks, Dad and me for having me on the show.


[00:45:07] Yeah, absolutely. And. Thank you so much for for pulling together the marketplace in Indonesia and having those funds flow through. And I guess they're on their way to India now. Thanks, Joe.


[00:45:18] No problem.


[00:45:20] Cool, Sumi. Great to see you again. And and welcome. So you're in India and Quinn DCX is a company you helped found and are CEO and you're kind of connecting India to this greater world of global digital currency. Just just talk to us for a minute about what you're up to and the mission you have and and sort of how it how it connects here.


[00:45:46] Sha sha Jeremy. So we have been running the twenty six far more than two years now. We are currently dandiest. Now just exchange. And at 26 saw Indians can buy or sell 300 plus crypto assets within Interpeace. They can not do margin trading. They can do spot trading, futures lending. So we have built sort of products that Indian people can, you know, get access to like 96. I mean, in terms of what we are doing, as you know, we are also planning to build to bring 50 million Indians. It took a built. So we have.


[00:46:25] All right. We lost you. You're back.


[00:46:29] Yes. All right. That's okay.


[00:46:32] Cool. Yeah. Yeah. 50 million people.


[00:46:36] Yes, 50 million people into crypto and the polar platform was designed in a very simple way where any any individual can very seamlessly buy or sell any cryptocurrency within the enterprise.


[00:46:49] Right. And so you're now you're also connected to USDC. And so these these sort of this sort of protocol for moving digital dollars around it connects into India. And so if I'm if I'm a business that is a supplier in India, I could get I could get these digital dollars and then get them into Rupi. Or if I'm a freelancer or a contractor or some other individual in India, I can also receive funds instantly, cheaply as well. Maybe maybe you can take us through and kind of give us a view of actually how that works for folks.


[00:47:23] Shah, Shah, let me just share my screen with you, Jeremy. Can you see my screen? Not absolutely. OK, OK. So this is how the platform looks like, and here on the platform, people can know by USDC within the centerpiece. So all the stuff where everyone's different inside, just bride buying USDC worth hundreds of. So I'll I'll click on this. Saw by order of.


[00:47:51] And then conform. And then done.


[00:47:55] So I got one point to it. USDC in my wallet. Similarly, I just saw that I received around 50 USDC on my wallet. So let me just see whether I received it. So, yes, I got this. Yeah. Then just. Yeah. Fifty seven point five. Pending two confirmations. So I've got USDC in my are going to be six wallet.


[00:48:20] While that is shooting similar to two to the others like that, that transaction that came from that marketplace, you kind of as a supplier, right. You cashed out and now in twenty six you see it's incoming. And within minutes it's gonna be available for, for trading into things and actually, you know, even like converting into the Indian rupee.


[00:48:43] Yes, correct.


[00:48:45] So while we are receiving that, I also tell you what other things the Indians can do on the platform so they can do spot trading with other markets. They can do margin trading futures becan. Also, this is our flagship product. So people can can work there. You know, crypto liquidate their crypto. Why not? So let me also recent a bit in Indian market banking. Ben just got lifted three months ago and we've already seen not the most stable impact on individuals who are using in new ways. One such example. You know, we can see is a Indian cave. I see. Verified 26 user who also happens to be a freelancer. Right. And expecting some payment in this case, it's fifty seven point five dollars. Right. So rather than waiting for banks to release this payment, which typically takes base and then charges exorbitant rate commissions, it chooses to use 26 and liquid access crypto USDC.


[00:49:43] Do I not? So let me let me just give you an example. So here are in the balance. You can see two hundred twenty thousand rupees. I'll just sell fifty seven point five U.S. DC and convert that into I enough. So here you can see I will get the lines and we'll get four thousand four hundred twenty two rupees in his wallet. Right. So why is that.


[00:50:04] How does that compare to the fees that like a bank would charge for, you know, receiving and converting dollars and so on? Obviously, this is happening at the speed of the Internet minutes and moving it over the Internet effectively close to free. How is that compare in terms of the amount that a bank might charge?


[00:50:28] Yeah. So bank charges is quite a lot. I mean, it varies from people saying to, you know, fight, but it's even higher depending upon bank to bank. And the forex rate that we get is also, you know, the feline's did lose out a lot. So that's all approximately five percent difference that the people lose out on such transactions if they are using traditional gateway. But with Vidaurre 26, if you have more, you know, if you want to just turn 26, you can immediately liquidate your crypto. In this case, saw, you know, and it is completely free, of course. So you will get the best price. You will get four thousand four and twenty two rupees in your wallet. So let me just confirm the transaction. And in a matter of seconds. Done. So I got four thousand four hundred twenty two rupees in my wallet. So here you can see the wallet balance increased. Yeah. And now the fee lends it. Now what the feelings. And one says he wanted this money in this bank account. So what I'll do here is I will try, please, of a request of four thousand four hundred twenty two rupees. And it will come to the verified bank account. So I'm just going to. From the transaction. Yeah. So while I'm doing that, typically it takes saw, you know, the transaction happens within seconds. Right. So by the time I got off for a few seconds. You know, the person gets money in the bank account. So the other request is completed. Now, what happens next? Is this automatically the money gets credited to the off of betting on off of the freelancer?


[00:51:57] Yeah. Amazing. So from from Argentina to a market to a market place in in Indonesia to your digital wallet into rupee at a virtually zero cost and into a Indian bank account in in seconds, which is pretty freaking sweet.


[00:52:15] Still here. Yeah, here you can see I just got four thousand four hundred twenty two rupees exactly without any cost. Right. So it discredited all take it to a bank account.


[00:52:25] That is super cool. Cool. I want to I'm going to I'm going to have a wrap up if you can stop sharing your screen. And then everyone else. All the guests. If you guys can all just pop back on here for a minute, that would be awesome. Excellent. Ronald, the. All right, awesome. All right. That is us. I can't believe that worked. So I just I think it's so cool and and it's so cool to have obviously, like entrepreneurs from all around the world innovating in in regional markets, in in in global markets, creating these tools that every person with a mobile phone can use that, you know, eventually, I think really in the next you know, I think very certainly in the next couple years, hundreds of millions of people can start to use. And the benefits, I think hopefully from this are going to be really clear to folks. But any any any any final thought from any you guys on on what we just did today?


[00:53:34] We're way ahead of schedule. I mean, it's so fast. It's really cool.


[00:53:42] It also shows how easy will it be to integrate the economy globally. Compare these to doing it with swith through banks. Just not not only that front end, like what is happening to the user, which is the face of weight gain. We need to match our wires is also on the back end. It is so much trust and accounting for every transaction. So much waste into fraud prevention. And this is delicious. Works seamlessly native to the Internet. And he has all benefits. And we dated in less than an hour. And I leave my transaction costs 50 cents. And it could have been for millions of dollars on these things. Incredible. Powerful.


[00:54:28] And I think, Jeremy, your point, I mean. Well, from different companies, its origin has never been in touch with any of its companies and now products are fully compatible. And can corporate open standards.

Kyle Samani
Co-founder and Managing Partner, Multicoin Capital
Michael Novogratz
Founder and CEO, Galaxy Capital