Speaker 1: Hey, folks, welcome into the Thinking Crypto Podcasts. You're home
for cryptocurrency news and interviews. I'm your host, Tony Edward.
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five star rating. All right, folks, we got to talk
to claritiac because there are so many updates. Try to
keep up here because it's a lot. So the Senate
Republicans today they released the latest version of the Claritiac
and the bill contained an initial crypto ethics Agreement. It
covered government officials such as the President of the United States,
the Vice President of the United States, members of Congress,
and others, plus their spouses. The ethics Agreement sunsets on
January twentieth, twenty twenty nine. That's a bit problematic, but
let me not get ahead of myself. So we have
a full breakdown of this. Many of you may have
seen my social media posts. I even posted in on YouTube.
The screenshow of the language, and this is really good.
This is what we want to see because I've often
stated no elected officials should have a meme coin or
have a cryptocurrency tied to them. So this is great.
I love it. This is what we absolutely want to
see put into plays. Doesn't matter if you're a Democrat, Republican,
or independent, you should not have anything like this. And
obviously there's a larger ethics issue that needs to be
sorted out, which we'll talk a bit more about later.
So Senator Cynthia Lummus and many others shared all the
key ethics provisions and the breakdown and much more. Now
you may have seen my posts where I gave my
thoughts on it, the good and versus the bad. So
obviously this language, this ethics provision is awesome, right, So
it's really great that this is being put into there.
Now Here are my issues with both the Republicans and
the Democrats. Many of you know I'm an independent, so
I'm not trying to pick sides here. I'm just calling
balls and strikes. So the band with sunset on January twentieth,
twenty twenty nine very weird. It's the same year the
CBDC bands sunsets, so I think this should be permanent.
Why is there a sunset it's only three years away.
I mean, what's going on here? Right? So that's really weird.
And I'm going to try to bring some experts on
the podcast to talk about this, because why would you
only ban it for three years and again same year
as the CBDC bands. Something doesn't seem right here, but
I didn't want to read too much into it. Now
on the Democrat side, they're asking for each state attorney
generals to be in charge of ethics enforcement. But this
is unrealistic because each state operates many times in different ways.
You have different people, so you have different point of
views and perspectives, and as you can imagine, each state
is going to handle this very different, so you're going
to have a hodgepodge of all kinds of craziness. Right
New York is going to do something different versus Florida versus.
You can't have that. So I absolutely disagree with the
Democrats on here. This is a bit outlandish. So this
is where we're at. I love the ethics provision that's
put in there. I don't like the sunset band date,
and I'm sure many of you, regardless of if you're
a Republican or whatever, you don't agree with that, And now,
of course absolutely don't agree what the Democrats are saying
that they're not going to vote for the bill unless
each state attorney generals can Yeah, again, it's just unrealistic. Right.
But with all that said, the Democrats say they opposed
the new Crypto Clarity Act draft bill, but are working
with Republicans to get it over the finish line. So
that's good. You know, this is this sausage making process.
You're going to see a lot of back and forth,
give and take right, and sometimes these on both sides
they come heavy handed and then they'll give a bit
and take away a bit.
Speaker 2: Right.
Speaker 1: It's a negotiation tactic. So great to hear that they're
still willing to work on getting this right. Also, Senator Lummis,
she says that the ethics and other provisions in the
Clarity Act to be further discussed. So the lead negotiators
on the bills are working with the Democrats. So again,
the negotiations are ongoing. So guys, we're making progress. We
are making progress. You know, this is again this ugly
sausage making process, and we'll see how it all pans out. Obviously,
there's no guarantee that this bill passes, and in fact,
on polymarket, when this draft came out, the odds of
it passing dropped. Now we saw it was pumping when
it was news of Trump backing the ethics language. It
started going above fifty percent. Now it's back below fifty percent.
So I'm not too concerned about the ebbs and flows
of that. So just something to keep in mind. I
think what we want to see is progress, and it
may get ugly again. You know, this muzzlinging the game
of politics. You guys know how it's all played. And
let's hope, you know, we can get this done. They
can get it passed by the end of July. I
know that's not very far away or even you know,
in the early days of August. It then goes to
the House and the House can pass it. And I'll
be interviewing Congressman Brian Style, who heads up the Subcommittee
on Digital Assets in the House Financial Services Committee, tomorrow
to bring you guys some details and get his perspective
about what may happen in the House once this passes
the Senate. So, guys, TLDR, we're making progress. There needs
to be some fine tuning on this ethics language. We'll
see what the Democrats and Republicans agree upon and how
they can find the common ground here and get this
thing done, because it's not about Democrat or Republican. It
needs to be about America winning in this technological race
and creating jobs and innovation and much more. And here's
a great article that highlights that crypto is still very
much a political issue overall, because if you're anti crypto,
you're going to get your ass handed to you, like
we saw in twenty twenty four. So crypto pack pours
one million dollars into Michigan Democratic primary race. So this
is between two Democrats. One is pro crypto, Shri Tenidar.
I'm butchering his name and I met him in person
and one of the Blockchain Association or Digital Chamber events,
and Donovan McKay he's running against him, and the crypto
lobby is putting some money to back Sree Tenantars. So
if you're anti crypto, doesn't matter if you're a Democrat
or Republican, you're going to get demolished. Right, So these
guys need to learn their lesson, man, like, this is
just a technology and if you're going to you know
buddy up with Elizabeth Warren and go against Crypto. It's
not going to work out well for you. So the
money's going to be poured in heavily here as it's
a midterm election year. So let's see how it all
pans out. Now, guys, this news is a shocker because
it's related to ethics overall. Apparently the House today pass
the Congressional Stock Trading Ban. Two hundred and seventeen Republicans
voted in support, one hundred and ninety eight Democrats voted against.
Now the context there, I want to make sure they're
not voting overall to say we want to trade stocks,
because the Save the America Act was also put into
this bill, and that's where a lot of Democrats were
voting against. But can you believe it? They actually got
this done in the House. Now, the big hurdle is
the Senate. It's much much more difficult to move bills
in the Senate, as we're seeing with the Claritiac. Right, guys,
remember the FIT twenty one bill, which was a version
of the Claritiac passed in the House last year. But
the bigger challenge has been the Senate. So I don't
know if this is going to make it through the Senate.
If it does, that would be really great because it
will put the overall ethics law in place, not just
for crypto but for all assets.
Speaker 2: Right.
Speaker 1: Well, well, here the highlighting stock ranning trade. But I
would say, hey, what about gold? What about oil? What
about other commodities? Because if I know, hey, something's going
to happen that's going to affect the price of oil, Well,
there's futures markets out there. I can go trade against
it or go long, go short, whatever it may be.
I can get access via et apps and all these things.
So I'm going to ask Congressman Brian Style about this
tomorrow in our interview because it needs to cover all assets, right,
we need to cover all bases here. But can you
believe it they actually got this done. I was actually
blown away that it actually made it through. So let's
see if it can make it through the Senate. Now, folks,
quick word from our sponsor.
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Speaker 1: All right, moving ahead, huge news here from a tradi
Fi incumbent, SMP launches Blockchain Fundamentals Index for digital assets. So, folks,
we continue to see the infrastructure being established for the
crypto market with all the bells and whistles and the
moving parts and components that exist for traditional assets. So
the SMP, now Jones Indices, and Pantera Capital launch a
digital asset index that tracks blockchain networks and protocols based
on protocol revenue, marking a departure from crypto benchmarks built
around market capitalization or token prices. Very interesting protocol revenue.
This may be I might be wrong, but this may
be a huge narrative in the next bull market which
blockchains are generating a certain amount of revenue. So the
index draws from the SMP Cryptocurrency Broad Digital Asset Index,
but only includes assets that meet minimum thresholds for protocol revenue,
market capitalization, and liquidity. Eligible networks are then ranked by
aggregate protocol revenue over the previous two quarters and weighted
by adjusted market capitalization with the largest holding capped at
thirty five percent and the remaining constituents generally capped at
twenty percent. The index is rebalanced quarterly, so the index
launched with a eighteen constituents, with ether BnB, Solana, Tron,
hyper Liquid as its five largest holdings. According to an
SMP Dow Jones Indices indexology blog posts. The blog identified
Bitcoin and XRP as the largest non constituents compared to
the SMP Cryptocurrency Broad Digital Acid Index, reflecting the benchmarks
protocol revenue based on selection methodology. Wow. So again the
infrastructure being built here a by Tradifi to bring crypto
into the mainstream markets. Now. SEC Commissioner has S. Purse
put out some details here about tokenization, saying that crypto
vaults and on chain lending strategies could fall under US
securities laws depending on how they're structured and managed to
urge builders to work with the SEC on compliant paths
forward rather than do headstands, backflips and other gymnastics to
avoid the law. I think this is really great. Has
there has always been ahead of the curve, very thoughtful
about these things, and you know, look some of the offerings,
you know, based on what folks are building could be securities, right,
So I think it's good that the SEC is saying, hey, look,
come and talk to us, let's figure it out and
see what you're doing, versus you trying to find loopholes
and all these things. So this is really great. Now
B and Y is laying the groundwork for twenty four
to seven treasury settlement planning tokenized treasuries and pilot trades
on its private blockchain by the end of twenty twenty six.
So what we're going to see as a hybrid approach from
any of these institutions. They're going to have private blockchains
which they're going to use internally and maybe amongst a
group of friends so to speak, right, maybe other banks
and people they have partnerships with. But they're also going
to bridge the public chains, and they're going to use
public chains in different ways. So don't be surprised by this. Again,
the wall gardens don't work for broad market adoption. They
work for you know, a handful of folks who may
be already doing business and they have you know, they
can tap into each other as blockchains. But remember the
idea of public chains why they work so well is
that they're decentralized, and if I don't have an existing
partnership with you, it's going to take a lot for
me to trust your chain, which you control, right, and
it's centralized where you can delete transactions and do all
these things, versus a public chain where it's all visible. Right.
So these are things that keep in mind as we progress.
You're going to see again a hybrid approach. All right, folks,
that's the news. Let me know what you think. Leave
your thoughts and comments below. Hit the THUMBSU button subscribe
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again to go to Mycrypto course dot com. All the
links will be in a description. Folks, thank you so
much for tuning in. I appreciate you all, and I'll
talk to you all later