WEBVTT 1 00:00:07.240 --> 00:00:10.359 All right, we are back here on another XRP podcast, 2 00:00:10.400 --> 00:00:13.039 and today we're going to be looking at really the 3 00:00:13.080 --> 00:00:17.480 macro stage and kind of the idea of utility driven 4 00:00:17.559 --> 00:00:19.519 finance PAYFI many people would call that. 5 00:00:19.559 --> 00:00:20.719 We're also going to talk a little. 6 00:00:20.519 --> 00:00:24.440 Bit about real world assets and the bigger picture, which 7 00:00:24.559 --> 00:00:27.679 is where one of the major players in this sector, 8 00:00:27.760 --> 00:00:32.000 especially if you think about just the XRP ledger ecosystem, 9 00:00:32.320 --> 00:00:37.000 you look at traditional ecosystems within the blockchains. ZEBEC has 10 00:00:37.039 --> 00:00:40.560 been on the forefront of this around streaming liquidity, So 11 00:00:40.600 --> 00:00:43.280 we're going to go into that with Simon, and I 12 00:00:43.320 --> 00:00:47.719 think we're going to get into understanding how maybe we 13 00:00:47.799 --> 00:00:52.880 could see anywhere between trillions in terms of annual payroll, 14 00:00:53.119 --> 00:00:56.520 but also the number of enterprise clients that are going 15 00:00:56.560 --> 00:00:59.679 to be jumping into all of this that I think 16 00:00:59.759 --> 00:01:02.560 is to make a big difference in the blockchain in 17 00:01:02.640 --> 00:01:04.760 terms of utility. So stick around for all this, guys. 18 00:01:04.799 --> 00:01:06.359 We'll get started. Before you get into it, I do 19 00:01:06.400 --> 00:01:09.120 want to thank our sponsor and this is a special 20 00:01:09.239 --> 00:01:13.319 offer for you guys. 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This stacks onto all of this, 32 00:01:49.439 --> 00:01:52.400 so boom, you get up to five hundred dollars max 33 00:01:52.480 --> 00:01:56.719 earning and it's paid directly out in XRP. So click 34 00:01:56.760 --> 00:01:58.760 the link down below. You guys are not want to 35 00:01:58.760 --> 00:02:00.920 go to miss this one. It is an awesome one. 36 00:02:00.959 --> 00:02:01.280 All right. 37 00:02:01.359 --> 00:02:03.680 So here we are with Simon. Simon, welcome into the show. 38 00:02:03.680 --> 00:02:05.959 How are you, Paul? Great to be here today. 39 00:02:06.439 --> 00:02:08.080 All right, So we got a couple of things to 40 00:02:08.159 --> 00:02:08.960 hit on today. 41 00:02:09.360 --> 00:02:11.400 We're going to talk a little bit about just the 42 00:02:11.439 --> 00:02:14.280 macro crypto markets that we're seeing more and more of 43 00:02:15.400 --> 00:02:21.120 as we see the pressure price pressure mostly one thing 44 00:02:21.159 --> 00:02:25.400 that has come up with a lot of our interviews, 45 00:02:25.439 --> 00:02:29.319 and I think also just on our research team Islator, 46 00:02:29.479 --> 00:02:30.800 the speculation. 47 00:02:30.319 --> 00:02:32.800 That we're seeing to infrastructure. 48 00:02:33.479 --> 00:02:35.680 And this is a transition that you and I got 49 00:02:35.719 --> 00:02:37.199 a chance to kind of talk a little bit about 50 00:02:37.199 --> 00:02:38.159 when we were. 51 00:02:38.080 --> 00:02:39.400 Together last in Vegas. 52 00:02:39.919 --> 00:02:43.159 But when you look at the current state of the 53 00:02:43.240 --> 00:02:48.960 markets going away from hype into real enterprise adoption, where 54 00:02:48.960 --> 00:02:52.680 does ze BEC play in terms of that focus. 55 00:02:53.400 --> 00:02:54.919 Well, first of all, I think what we're seeing the 56 00:02:54.960 --> 00:02:58.240 markets right now is a healthy rebalancing away from what 57 00:02:58.240 --> 00:03:02.960 we would call hype and momentum or towards utility and infrastructure. 58 00:03:03.439 --> 00:03:05.639 Of course, as the BEC, we've been building the rails 59 00:03:05.680 --> 00:03:08.400 now for real time finance for over five years. We're 60 00:03:08.439 --> 00:03:12.000 squarely in the infrastructure category, and we think that really 61 00:03:12.039 --> 00:03:14.560 our time is here as a company to really show 62 00:03:14.599 --> 00:03:16.560 what we built and bring it to the enterprises of 63 00:03:16.560 --> 00:03:16.919 the world. 64 00:03:17.919 --> 00:03:22.479 When you look at the rise of payfi, this is 65 00:03:22.599 --> 00:03:25.759 one of the utility I think, one of the utility 66 00:03:26.759 --> 00:03:29.759 main things that are really going to make a huge difference, 67 00:03:29.919 --> 00:03:32.120 not for blockchain, but I think for business in general 68 00:03:32.520 --> 00:03:37.560 payment finance. First of all, explain that to our audience. 69 00:03:37.599 --> 00:03:39.919 Some people may have never heard the term pay five, 70 00:03:40.000 --> 00:03:43.039 never really understand to understand what payment finance Isn't it 71 00:03:43.080 --> 00:03:43.639 the same thing? 72 00:03:44.159 --> 00:03:45.039 Give us a rundown. 73 00:03:46.080 --> 00:03:47.840 Well, the way I like to think about pay FI, 74 00:03:47.919 --> 00:03:51.479 it's really the ability to program payments, and the blockchain 75 00:03:51.520 --> 00:03:54.080 is set up in an ideal way to do that. So, 76 00:03:54.360 --> 00:03:57.639 using Zebeca as an example, payroll is typically run every 77 00:03:57.639 --> 00:04:01.319 two weeks or every month using legacy banking else ach Swift, 78 00:04:01.719 --> 00:04:07.400 we've completely real rebuilt payroll on blockchain rails utilizing smart contracts. 79 00:04:07.479 --> 00:04:09.520 And the reason smart contracts are important is that you 80 00:04:09.520 --> 00:04:12.360 can use a smart contract to program a payment in 81 00:04:12.400 --> 00:04:15.879 any increment of time, any frequency, any regularity that a 82 00:04:15.919 --> 00:04:18.879 banking payment would not be able to do so. Now 83 00:04:18.920 --> 00:04:21.240 that the world has woken up to stable points both 84 00:04:21.279 --> 00:04:25.759 businesses and regulators, we're seeing increase interest in pay FY 85 00:04:25.879 --> 00:04:29.079 solutions for businesses as well as financial institutions. 86 00:04:30.040 --> 00:04:33.439 So second by second settlement really is what you're talking about. 87 00:04:34.040 --> 00:04:34.839 This, of course, it. 88 00:04:34.759 --> 00:04:38.560 Eliminates a lot of the batch processing that banks have 89 00:04:38.600 --> 00:04:41.600 been doing forever where they float. 90 00:04:41.279 --> 00:04:42.000 On your money. 91 00:04:42.759 --> 00:04:44.800 Even that's done today in payroll with some of the 92 00:04:44.800 --> 00:04:48.720 biggest payroll companies out there where you'll get it withdrawn 93 00:04:48.759 --> 00:04:50.680 from your bank. If you're a business owner, you know 94 00:04:50.720 --> 00:04:53.399 how this works. It withdraws from your bank. Whether you're 95 00:04:53.439 --> 00:04:56.759 use an ADP GUSTO doesn't matter, and it sets there 96 00:04:56.839 --> 00:05:00.360 maybe for twenty four hours in some cases, law longer 97 00:05:00.399 --> 00:05:05.199 if there's a holiday, and then of course the end 98 00:05:05.399 --> 00:05:07.680 result is you finally get a payment that goes out 99 00:05:07.720 --> 00:05:10.920 to your employees or your contractors. This is something that 100 00:05:10.959 --> 00:05:13.600 you guys are really getting into. I guess one of 101 00:05:13.600 --> 00:05:19.120 the questions I always wonder is privacy is pretty paramount 102 00:05:19.519 --> 00:05:22.319 in the payroll side of things. How do you guys 103 00:05:22.480 --> 00:05:24.079 deal with that as a challenge. 104 00:05:24.519 --> 00:05:26.319 It's a great question, and it's one of the questions 105 00:05:26.319 --> 00:05:28.399 that we got very early on when we brought some 106 00:05:28.480 --> 00:05:32.439 back to market. You're completely correct, payroll data should not 107 00:05:32.480 --> 00:05:35.360 be shown unchain. Obviously, HR departments don't want all their 108 00:05:35.399 --> 00:05:38.639 employees and contractors to know what everyone else hates. So 109 00:05:38.680 --> 00:05:41.040 at BECK we work with a number of privacy solutions, 110 00:05:41.040 --> 00:05:43.720 which are essentially layered twos that are sit on top 111 00:05:43.759 --> 00:05:49.519 of blockchains which completely mask transactions, and we've recently actually 112 00:05:49.519 --> 00:05:51.839 worked with some private blockchains directly as well, So to 113 00:05:51.839 --> 00:05:54.279 give you an example, we're building a payroll product, a llio, 114 00:05:54.439 --> 00:05:57.759 which has actually a native privacy feature built into the 115 00:05:57.800 --> 00:05:59.879 blockchain where you can choose if you want a transaction 116 00:06:00.040 --> 00:06:02.720 be publicly visible or heal date transaction. 117 00:06:04.399 --> 00:06:06.040 Yeah, I'm looking at your website. 118 00:06:06.360 --> 00:06:08.319 We'll bring it up just for everybody, if you guys 119 00:06:08.319 --> 00:06:10.360 want to go check it. It gives you a little 120 00:06:10.360 --> 00:06:12.800 bit more insights on some of the things they're doing 121 00:06:13.439 --> 00:06:14.279 around products. 122 00:06:14.319 --> 00:06:15.160 So you guys are doing it. 123 00:06:15.199 --> 00:06:18.120 A five hundred million an annual payroll volume, what would 124 00:06:18.160 --> 00:06:21.480 that look like in say, thirty six months, if we 125 00:06:21.519 --> 00:06:25.560 continue to see the regulatory framework being developed. 126 00:06:26.000 --> 00:06:27.319 Our goal by the end of the year is to 127 00:06:27.399 --> 00:06:29.360 hit a run rate of about a billion dollars in 128 00:06:29.360 --> 00:06:32.800 payroll volume. Using the Genius Act as an example, we 129 00:06:32.839 --> 00:06:36.680 saw huge influx of interest, particularly from US businesses after 130 00:06:36.720 --> 00:06:39.839 the Genius Act was passed last summer. If we see 131 00:06:39.879 --> 00:06:43.120 Clarity pass this year, I would imagine that the floodgates 132 00:06:43.120 --> 00:06:45.800 would open further and we would see that next like 133 00:06:45.920 --> 00:06:47.560 of growth that would get us into the billions. Now, 134 00:06:47.639 --> 00:06:50.279 you need to remember billions of dollars in payroll volume. 135 00:06:50.480 --> 00:06:53.160 It's a drop in the bucket. Yeah, an payroll volume 136 00:06:53.199 --> 00:06:56.399 in the US alone is eleven trillion dollars. That doesn't 137 00:06:56.399 --> 00:06:59.480 include cross border, that doesn't include international contractors, right, so 138 00:06:59.480 --> 00:07:03.240 we're looking at tens of trillions in volume, which will 139 00:07:03.240 --> 00:07:06.360 inevitably flow to staple coins. So we're very, very early 140 00:07:06.399 --> 00:07:07.120 in this transition. 141 00:07:07.519 --> 00:07:10.879 Yeah, all right, So you guys have tho zabec cards. 142 00:07:11.240 --> 00:07:14.439 You've got the payroll component, the de pen side, which 143 00:07:14.480 --> 00:07:19.360 is the decentralized physical infrastructure. When you explain, first of all, 144 00:07:19.399 --> 00:07:23.199 explain the two, I think that maybe are not easily 145 00:07:23.560 --> 00:07:26.279 easy to understand one, the deep in side, and then 146 00:07:26.639 --> 00:07:27.480 the super app. 147 00:07:27.600 --> 00:07:29.480 I know you guys have early access on them. When 148 00:07:29.480 --> 00:07:32.600 are you going to open that up to full full availability? 149 00:07:33.040 --> 00:07:35.759 Great? So the super app went live earlier this year 150 00:07:35.800 --> 00:07:39.279 in desktop version. So now it is fully usable by 151 00:07:39.279 --> 00:07:41.360 our retail users that want to use cards, they want 152 00:07:41.399 --> 00:07:43.480 to stake some CK tokens, they want to send payroll 153 00:07:43.519 --> 00:07:44.720 streams peer to peer. 154 00:07:45.240 --> 00:07:46.439 That's on desktop right now. 155 00:07:46.439 --> 00:07:49.680 That is on desktop, and the mobile application is launching 156 00:07:49.680 --> 00:07:51.920 in the next couple of weeks. It's been under development 157 00:07:51.920 --> 00:07:53.759 now for months. As you can imagine, there's a lot 158 00:07:53.759 --> 00:07:56.720 of regulatory and legal red tape that we need to 159 00:07:56.720 --> 00:07:58.680 pass before bringing it out to the app store. So 160 00:07:58.720 --> 00:08:01.360 that's coming very soon. But keep in mind the super 161 00:08:01.360 --> 00:08:03.360 app for us as a retail product, right it's for 162 00:08:03.839 --> 00:08:06.399 individual users that want to use the back products. It's 163 00:08:06.480 --> 00:08:09.680 separate from our enterprise products. Our enterprise product has all 164 00:08:09.720 --> 00:08:12.519 of the bells and whistles that an HR app designed 165 00:08:12.560 --> 00:08:15.360 for Fortune five hundred businesses have, and that is actually 166 00:08:15.600 --> 00:08:17.800 the product that we're now going to market with with 167 00:08:17.959 --> 00:08:21.160 certain blockchains. So, for example, Stellar in the Back have 168 00:08:21.240 --> 00:08:23.240 now been working together for the past three months to 169 00:08:23.360 --> 00:08:27.480 develop an enterprise payroll app that runs on Stellar blockchain, 170 00:08:27.519 --> 00:08:29.480 and that's going to be going to market next week, 171 00:08:29.560 --> 00:08:31.600 so stay tuned for an announcement on that. 172 00:08:32.000 --> 00:08:35.080 All right, So let me dive into that a little bit. 173 00:08:35.240 --> 00:08:37.759 So one of the biggest challenges I think that businesses 174 00:08:37.840 --> 00:08:42.440 have is dealing with the federal withholdings that if you're 175 00:08:42.480 --> 00:08:46.159 a US company, federal withholdings are done on these things 176 00:08:46.159 --> 00:08:50.279 called nine to forty one's, which are essentially where if 177 00:08:50.279 --> 00:08:53.039 you've hired this is an employee situation on a contract 178 00:08:53.120 --> 00:08:57.000 or employee, You've got matching federal income tax, you've got 179 00:08:57.159 --> 00:09:00.639 Social Security, you got all these different little elements that 180 00:09:00.720 --> 00:09:04.399 make up that tax deduction. This has been the big challenge, 181 00:09:04.440 --> 00:09:05.960 I know for us, because I've been trying to go 182 00:09:06.679 --> 00:09:11.320 on blockchain forever for our own employees. Will that be 183 00:09:11.480 --> 00:09:15.039 addressed in this next wave of payment finance. 184 00:09:16.240 --> 00:09:18.879 It's absolutely been a point of friction. You're completely correct, 185 00:09:18.919 --> 00:09:21.200 and that's actually why a lot of our initial growth 186 00:09:21.200 --> 00:09:23.919 has been on the contractor side. On ten ninety nine's 187 00:09:24.519 --> 00:09:26.039 as at the end of the day, it's really a 188 00:09:26.120 --> 00:09:28.919 quarterly downloaded. The contractors follow their own taxes and they 189 00:09:28.919 --> 00:09:31.200 they deal with their own their own payments to the IRS. 190 00:09:31.720 --> 00:09:34.679 For W two employees, which is the example you're taking now, 191 00:09:35.679 --> 00:09:38.519 it is doable. It is a little bit more tricky. 192 00:09:38.639 --> 00:09:41.000 There's a few different tax solutions that we plug into 193 00:09:41.039 --> 00:09:43.679 that do help with that. But I imagine in the 194 00:09:43.679 --> 00:09:45.320 next couple of months and years we're going to see 195 00:09:45.360 --> 00:09:46.240 many more popping up. 196 00:09:46.840 --> 00:09:50.200 Why not just partner with an ADT or a GUSTO 197 00:09:50.480 --> 00:09:51.440 or someone like that. 198 00:09:51.559 --> 00:09:54.799 It's a great question, and we've actually been working very 199 00:09:54.799 --> 00:09:58.720 closely with members of ADP's Senior Executive Committee from the beginning. 200 00:09:58.720 --> 00:10:01.000 You go to our website, you'll see of their advisors 201 00:10:01.720 --> 00:10:05.960 or actually our advisors. And to give another example, a SURE, 202 00:10:06.080 --> 00:10:09.480 which is a middle market payroll company. Yep, they've actually 203 00:10:09.519 --> 00:10:12.519 been working with us for over two years now. And 204 00:10:12.559 --> 00:10:14.240 the reason that we work closely with the SURE is 205 00:10:14.279 --> 00:10:16.399 that we actually purchased a few payroll companies in the 206 00:10:16.519 --> 00:10:19.120 US and many of them are actually within the assured ecosystem. 207 00:10:19.200 --> 00:10:22.240 So Assurance of BECK are i'd say, you know, two 208 00:10:22.240 --> 00:10:25.759 of the most forward thinking stable coin payroll providers out there. 209 00:10:27.279 --> 00:10:29.600 Okay, so this is you feel like this is just 210 00:10:29.679 --> 00:10:34.679 around the corner from becoming mainstream, seeing real enterprise adoption 211 00:10:34.919 --> 00:10:36.720 on a lot of this, which I think is the 212 00:10:36.799 --> 00:10:40.240 key thing here. Obviously You've got you guys have a 213 00:10:40.279 --> 00:10:45.000 global reach with being able to do contractual payments anywhere 214 00:10:45.039 --> 00:10:47.759 around the world, and that is there are a handful 215 00:10:47.799 --> 00:10:49.679 of companies that are have been out there that have 216 00:10:49.759 --> 00:10:53.559 started to work into blockchain where they you know, file 217 00:10:53.600 --> 00:10:58.480 the requirements in the certain provinces or countries, et cetera. 218 00:10:59.039 --> 00:11:01.360 Are you guys doing any of that kind of stuff 219 00:11:01.440 --> 00:11:03.799 right now of being able to deal with contractors in 220 00:11:03.840 --> 00:11:04.480 other countries? 221 00:11:04.960 --> 00:11:07.440 So you're talking about the employer of record model, right ye? 222 00:11:07.639 --> 00:11:10.759 Are we don't offer that in house, but we are 223 00:11:10.799 --> 00:11:13.879 exploring a few partnerships with companies that do offer that 224 00:11:14.039 --> 00:11:15.879 so that way we can have that as a service 225 00:11:15.879 --> 00:11:19.279 alongside our contractor payroll, which is kind of the bulk 226 00:11:19.320 --> 00:11:20.039 of our volume. 227 00:11:21.080 --> 00:11:24.399 When you okay, so let's look at the stable coins 228 00:11:24.440 --> 00:11:27.600 for a second, because to me, this is the new 229 00:11:27.679 --> 00:11:31.480 rail going forward. You look at the expansion of the 230 00:11:31.480 --> 00:11:35.919 stable coin utility, whether you look at USDC, the euro 231 00:11:36.039 --> 00:11:40.720 stable coin eu r C from Ripple r L USD 232 00:11:40.840 --> 00:11:43.360 obviously tied into this. All of this is going to 233 00:11:43.360 --> 00:11:46.080 be used pretty much for everyday business, and I'm finding 234 00:11:46.120 --> 00:11:50.159 more and more people that are willing to accept stable 235 00:11:50.240 --> 00:11:55.679 coins on enterprise level transactions, which is surprising me. Yeah, 236 00:11:55.679 --> 00:11:58.000 because I didn't think we would see it this early on. 237 00:11:58.480 --> 00:12:00.320 What do you think the timeline is going to look 238 00:12:00.440 --> 00:12:01.840 like for stable coins? 239 00:12:02.519 --> 00:12:04.799 Well, to go back to the example of the Genius Act, 240 00:12:04.840 --> 00:12:07.000 I mean, it really gave us the federal framework for 241 00:12:07.080 --> 00:12:10.279 payment stable coins. So at ZEBEC, for the first time, 242 00:12:10.320 --> 00:12:14.039 we were seeing enterprise treasurers now asking us, you know, 243 00:12:14.320 --> 00:12:16.320 not just about what a stable coin is, but rather 244 00:12:16.440 --> 00:12:18.480 how do we select a stable coin? What stable cooin 245 00:12:18.519 --> 00:12:21.960 do you recommend? So the conversation is completely changed. I 246 00:12:22.000 --> 00:12:25.279 think finance departments and treasurers are much more open to 247 00:12:25.360 --> 00:12:29.279 transacting and stable coin, whether they have custody solutions in 248 00:12:29.360 --> 00:12:32.840 house or they require custody solutions. That's still something that 249 00:12:32.840 --> 00:12:35.720 we're very early in, but I anticipate over the next 250 00:12:35.759 --> 00:12:37.799 few months and years that we're going to see a 251 00:12:37.840 --> 00:12:40.960 good percentage of Fortune five hundred companies in America holding 252 00:12:41.039 --> 00:12:42.320 some form of stable coins. 253 00:12:42.320 --> 00:12:45.600 On the analogy, Yeah, I think it's going to be 254 00:12:46.159 --> 00:12:49.039 a surprising to a lot of people to understand because 255 00:12:49.080 --> 00:12:52.320 the speed and what you're dealing with in terms of 256 00:12:52.399 --> 00:12:56.720 instance settlement, it really does make a difference, especially when 257 00:12:56.759 --> 00:12:58.240 you're dealing with a lot of money that many of 258 00:12:58.240 --> 00:13:01.279 these enterprises are dealing with, even in just on vendor 259 00:13:01.320 --> 00:13:04.919 payments alone, because a lot of times vendors are giving 260 00:13:05.519 --> 00:13:09.480 discounts for certain payments, which if you put that into 261 00:13:10.120 --> 00:13:14.240 the workflow of how businesses pay other businesses, that becomes 262 00:13:14.480 --> 00:13:17.919 a potentially huge market going forward. 263 00:13:17.960 --> 00:13:21.840 So definitely watching that one closely. Let's talk a little 264 00:13:21.840 --> 00:13:22.879 bit about what. 265 00:13:22.879 --> 00:13:25.720 Your strategy has been, you know, the evolution of the 266 00:13:25.720 --> 00:13:28.840 token maturity. I want to talk about where you guys 267 00:13:28.919 --> 00:13:33.600 came from from Solana into a multi chain approach. Can 268 00:13:33.639 --> 00:13:36.440 you update us any on how you guys are looking 269 00:13:36.480 --> 00:13:39.799 at a modular payment network now as of today. 270 00:13:40.879 --> 00:13:43.159 It's a great question if you go back through our 271 00:13:43.240 --> 00:13:45.720 history of the past five years. We were born in Solana. 272 00:13:45.799 --> 00:13:48.759 They were actually one of our early backers alongside Circle, 273 00:13:49.799 --> 00:13:52.440 and initially we were a protocol built on Solona that 274 00:13:52.519 --> 00:13:56.799 allowed for real time streaming payments primarily using the USDC 275 00:13:56.919 --> 00:14:00.720 stable point. Because of our relationships a Circle right in Itslana, 276 00:14:00.759 --> 00:14:02.200 we want to band in a Circle. In fact, we 277 00:14:02.320 --> 00:14:06.519 strengthen our relationship with both of those entities. However, we 278 00:14:06.600 --> 00:14:09.600 did realize a few years ago that crypto was always 279 00:14:09.679 --> 00:14:13.080 going to be multi chain. The stable coin would be 280 00:14:13.120 --> 00:14:17.519 the product that I'm reigned supreme and knowing that we 281 00:14:17.600 --> 00:14:20.000 built our rails and our infrastructure so that they could 282 00:14:20.039 --> 00:14:24.039 support a variety of stable coins, they could support multiple blockchains, 283 00:14:24.320 --> 00:14:27.000 and we would actually be able to go to enterprises 284 00:14:27.320 --> 00:14:29.679 and let them pick which stable coin they would want 285 00:14:29.720 --> 00:14:32.279 to work with, which blockchain they need already have integrated, 286 00:14:32.600 --> 00:14:34.919 rather than them forced to fisitback solution. 287 00:14:35.480 --> 00:14:38.879 Yeah, well, and I think the key here with multichain, 288 00:14:38.919 --> 00:14:42.039 I think more and more people are realizing that there 289 00:14:42.080 --> 00:14:45.720 are certain chains that do things better than others, and 290 00:14:45.919 --> 00:14:50.440 certain chains that have some very interesting features within them, 291 00:14:50.519 --> 00:14:52.399 even though I think a lot of chains are trying 292 00:14:52.440 --> 00:14:54.240 to kind of copy some of the best features of 293 00:14:54.279 --> 00:14:54.679 each other. 294 00:14:54.759 --> 00:14:57.639 But where do you think this Where do you think. 295 00:14:57.519 --> 00:15:00.720 This lands in say, five years, do you think we 296 00:15:01.000 --> 00:15:04.799 will still see ten blockchains after do you think it's 297 00:15:04.840 --> 00:15:06.960 going to narrow down to maybe three or four. 298 00:15:08.440 --> 00:15:10.440 I think we're going to have at least ten blockchains 299 00:15:10.440 --> 00:15:13.759 out there with meaningful enterprise usage. I mean, as you mentioned, 300 00:15:14.200 --> 00:15:17.480 each chain has its own benefits, its own strengths. I 301 00:15:17.480 --> 00:15:20.360 mean to give an example of Stellar, given that we're 302 00:15:20.360 --> 00:15:22.360 going live with our product with them very soon. With 303 00:15:22.480 --> 00:15:26.960 Stellar excels in in micro payments, they excel in cross border. 304 00:15:27.279 --> 00:15:29.720 They have a connection into money Gram, which makes you 305 00:15:29.759 --> 00:15:32.519 at least an off rapping so easy. So one of 306 00:15:32.559 --> 00:15:34.919 the reasons that we went very deep with Stellar is 307 00:15:34.960 --> 00:15:37.440 that we saw them as one of the best chains, 308 00:15:37.440 --> 00:15:40.799 and not the best chain for small small payments for 309 00:15:40.879 --> 00:15:44.039 international contractors, particularly to developing markets. 310 00:15:44.279 --> 00:15:46.360 Yeah, we just had the nail on not too long ago. 311 00:15:46.399 --> 00:15:49.879 She was teasing that partnership. So yeah, it's probably going 312 00:15:49.960 --> 00:15:51.519 to be a big deal when you guys announced some 313 00:15:51.559 --> 00:15:53.240 of the things within it. I want to thank our 314 00:15:53.240 --> 00:15:56.080 sponsor today, and of course that is Uphold. If you 315 00:15:56.159 --> 00:15:59.440 are holding crypto right now and not earning rewards, you're 316 00:15:59.519 --> 00:16:02.320 essentially leaving money on the table. And the reality is 317 00:16:02.360 --> 00:16:06.120 in today's market, you need to be able to move instantly. 318 00:16:06.279 --> 00:16:10.159 That's why upholds flexible staking is such a game changer. 319 00:16:10.440 --> 00:16:14.440 You can earn weekly rewards automatically on assets you already 320 00:16:14.480 --> 00:16:18.120 hold without a lockup. That's most important, You can sell 321 00:16:18.159 --> 00:16:21.279 any time. It's the perfect setup for anyone who wants 322 00:16:21.320 --> 00:16:25.600 to grow their holdings without losing their exit strategy. Download 323 00:16:25.600 --> 00:16:28.720 the Uphold app today and try it for yourself. I 324 00:16:28.840 --> 00:16:31.600 want to jump back over a little bit and go 325 00:16:31.679 --> 00:16:36.720 into a little bit about the ZEBEC to the ZBCN migration. 326 00:16:38.559 --> 00:16:41.679 First of all, can you explain the one ten token 327 00:16:41.720 --> 00:16:46.200 split strategy? You know, the largest supply side, how is 328 00:16:46.240 --> 00:16:49.840 that optimized for you know, transaction, especially micro transaction or 329 00:16:49.840 --> 00:16:51.080 streaming payroll for that matter. 330 00:16:51.799 --> 00:16:53.360 It's a great question. So if you go back to 331 00:16:53.399 --> 00:16:56.000 our history, we launched as a protocol with the ZBC 332 00:16:56.159 --> 00:16:59.320 token grad It was a protocol on Salana. Two years ago, 333 00:16:59.360 --> 00:17:02.279 we complete the upgrade of the protocol to the network, 334 00:17:02.320 --> 00:17:04.920 which is now the ZBCN. It's the network token, and 335 00:17:04.960 --> 00:17:07.480 as you said, it was a one for ten token split. 336 00:17:07.799 --> 00:17:10.759 The reason that we did this was to ensure that 337 00:17:10.799 --> 00:17:13.720 we could keep transaction fees low on the network, right 338 00:17:13.759 --> 00:17:16.240 given the anticipated increase in the token price, which it 339 00:17:16.279 --> 00:17:19.319 has done now over the past few years, require one's 340 00:17:19.359 --> 00:17:24.319 EBC would have been prohibially expensive for micropayments and small transactions. 341 00:17:24.440 --> 00:17:27.240 So for that reason we did the token split. And 342 00:17:27.319 --> 00:17:30.279 from here on the tokenomics are going to continue to 343 00:17:31.480 --> 00:17:33.480 to grow with the to grow with the network. So 344 00:17:33.519 --> 00:17:35.480 the example I would give is that we are now 345 00:17:35.680 --> 00:17:38.680 no longer bringing any new token to market, so the 346 00:17:38.720 --> 00:17:41.559 token is fully bested, it's fully distributed, and at this 347 00:17:41.680 --> 00:17:46.640 point we've transitioned into a fully deflationary environment. Yeah. 348 00:17:46.680 --> 00:17:49.759 So the final for those of you or who are 349 00:17:49.839 --> 00:17:52.240 kind of tracking this, the final token unlock was done 350 00:17:52.319 --> 00:17:57.160 in March, which really is the elimination of the dilution 351 00:17:57.400 --> 00:18:00.559 risk on how this model is kind of put together. 352 00:18:00.680 --> 00:18:03.599 So that could be good, especially if you. 353 00:18:03.640 --> 00:18:09.279 Have annualized growth in revenue based buybacks and burns on 354 00:18:09.359 --> 00:18:13.039 that when you look at that strategy going forward. 355 00:18:13.160 --> 00:18:15.680 Is that sustainable for zebec? 356 00:18:16.920 --> 00:18:19.279 It absolutely is, and it's core to our strategy on 357 00:18:19.319 --> 00:18:21.799 the token, So everything at a bec leads back to 358 00:18:21.839 --> 00:18:25.200 the ZBCN token. For years now, we've been buying totn 359 00:18:25.279 --> 00:18:27.680 back using the revenue of our car program, which has 360 00:18:27.720 --> 00:18:31.279 grown consistently month over month, really regardless of the market's performance, 361 00:18:31.319 --> 00:18:34.119 which is great to see because that is really the 362 00:18:34.400 --> 00:18:37.519 retail adoption that we're looking for at crypto products. On 363 00:18:37.559 --> 00:18:39.559 the payroll side, so both the super app and the 364 00:18:39.599 --> 00:18:44.440 enterprise payroll, ZBCN is required to pay transaction fees for 365 00:18:44.599 --> 00:18:48.559 running payroll streams. So as our payroll volume continues to grow, 366 00:18:48.799 --> 00:18:51.480 more and more subc token there will be used. 367 00:18:52.000 --> 00:18:55.720 Yeah, I know you guys are rolling out the on 368 00:18:55.799 --> 00:18:59.839 the super app and the card in terms of rewards programs. 369 00:19:01.200 --> 00:19:04.039 First of all, in the super app, what am I 370 00:19:04.079 --> 00:19:06.599 going to be able to do inside of that? What 371 00:19:06.680 --> 00:19:08.880 are going to be some of the key features. 372 00:19:09.599 --> 00:19:12.400 So think of it as a replacement to a banking app. 373 00:19:12.839 --> 00:19:15.440 You'll be able to store your stable coins in there 374 00:19:15.559 --> 00:19:18.880 along with other cryptotokens, You'll be able to swap them, 375 00:19:18.920 --> 00:19:21.839 You'll be able to start payroll streams and payments. So 376 00:19:21.920 --> 00:19:23.480 let's say you want to pay a friend, you want 377 00:19:23.519 --> 00:19:25.799 to play a contract, or you want to pay someone 378 00:19:25.799 --> 00:19:28.039 in your network. You can do that through that. You 379 00:19:28.039 --> 00:19:30.440 can then issue yourself a master card, right, and we 380 00:19:30.559 --> 00:19:33.240 offer multiple different master cards. It's a beack for different 381 00:19:33.319 --> 00:19:33.920 use cases. 382 00:19:34.279 --> 00:19:36.440 Is it a true credit card or is it a 383 00:19:36.480 --> 00:19:38.359 somehow a debit It is more of. 384 00:19:38.359 --> 00:19:41.799 A debit cards. There's no creditable in it. The fees 385 00:19:41.839 --> 00:19:45.000 are completely zero, so if you put ten USDC on it, 386 00:19:45.039 --> 00:19:47.759 you get ten US dollars suspend. And the reason we 387 00:19:47.839 --> 00:19:51.240 offer that product is it makes our ecosystem more usable. 388 00:19:51.519 --> 00:19:53.519 If people want to get paid in stable coins, they 389 00:19:53.559 --> 00:19:55.519 need to also be able to spend their money in 390 00:19:55.559 --> 00:19:58.680 the real world here and stable coins, So that's what 391 00:19:58.759 --> 00:20:02.319 the superrabb and capitulate. We also have zebec token staking 392 00:20:02.359 --> 00:20:05.759 within the super app. Yesterday we passed quite an impressive 393 00:20:05.759 --> 00:20:10.319 milestone of fifteen billion tokens are now staked by the community, 394 00:20:10.359 --> 00:20:12.960 So that's fifteen percent of our supply is staked, and 395 00:20:13.000 --> 00:20:14.480 that goes up a month over month. 396 00:20:14.920 --> 00:20:17.440 Yeah, in staking, what's the yield right now? 397 00:20:18.039 --> 00:20:21.079 The yield is low single digits, so as the staked 398 00:20:21.079 --> 00:20:24.519 amount increases, the yield naturally decreases, and that again has 399 00:20:24.559 --> 00:20:26.920 been helpful for us to control token inflation. 400 00:20:27.920 --> 00:20:32.039 Does this okay? So with this kind of super app, 401 00:20:33.000 --> 00:20:37.839