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<v Speaker 1>Hey, folks, Tony here at the Coinbase State of Crypto Summit,

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<v Speaker 1>and joining me is A klil Ipse, who's the head

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<v Speaker 1>of Corporate Development and M and A at Coinbase. A clil.

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<v Speaker 1>Great to have you, great to be here, Thank you,

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<v Speaker 1>A Clile. Tell us a bit about yourself. What do

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<v Speaker 1>you what's your background and what do you do at Coinbase?

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<v Speaker 2>Yeah? Sure, So I started my current investment banking, spent

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<v Speaker 2>about two years at Deutsche Bank in San Francisco, and

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<v Speaker 2>really wanted to jump into tech. I grew up playing

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<v Speaker 2>a lot of video games and so kind of knew

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<v Speaker 2>I wanted to be in technology, and so I joined LinkedIn,

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<v Speaker 2>where I was on the M and a team there

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<v Speaker 2>did a short stinton product management which we can which

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<v Speaker 2>which we can get to, but really kind of around

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<v Speaker 2>twenty seventeen, like a lot of people, got really into

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<v Speaker 2>crypto and bought my first bitcoin and thought it was

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<v Speaker 2>fascinating that there's this underlying technology that you know, eventually

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<v Speaker 2>entrepreneurs will build on top of it, which will then

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<v Speaker 2>create products, which then create markets, which then create these

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<v Speaker 2>like whole new platform shifts. And suffice to say, I

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<v Speaker 2>was red pilled pretty hard. Sure, I joined a former

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<v Speaker 2>boss of mine over to coinbase, and so I've been

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<v Speaker 2>there now for almost about six years and now leading

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<v Speaker 2>the corporate function.

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<v Speaker 1>Coinbase has made some very big and incredible acquisitions over

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<v Speaker 1>the years, the most recent, I believe being dere A

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<v Speaker 1>bit tell us a bit about that and what's the mission.

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<v Speaker 2>Yeah, so we're tremendously excited about the Deribate transaction, largest

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<v Speaker 2>transaction in the history of crypto to date. And you know,

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<v Speaker 2>really the thesis there was, you know, we want to

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<v Speaker 2>build on top of and expand our institutional franchise, and

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<v Speaker 2>with the Derived acquisition, it makes us the most comprehensive

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<v Speaker 2>crypto derivatives platform on the planet. They specialize in options

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<v Speaker 2>where they're the number one in market share, and I

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<v Speaker 2>think with that plus our futures business, plus our purpose business,

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<v Speaker 2>it really makes us the most comprehensive platform for crypto

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<v Speaker 2>derivatives and we're super super excited about it.

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<v Speaker 1>So I'm assuming you're seeing a lot of demand and

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<v Speaker 1>appetite from the institutional investment, so this will allow you

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<v Speaker 1>to cater to them.

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<v Speaker 2>That's exactly right. Yeah, So today we have Spot, we

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<v Speaker 2>have Futures, we have Purps, and now this adds options,

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<v Speaker 2>which again brings our platform to being the most comprehensive

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<v Speaker 2>and crypto derivatives, and we're super excited about that and

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<v Speaker 2>meeting clients with what they want at the right time.

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<v Speaker 1>And are your acquisitions going to be more focused on

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<v Speaker 1>the institutional side or retail or both?

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<v Speaker 2>Yeah, great question, both, which is often the answer at coinbase.

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<v Speaker 2>I would say, so, we're we're broadly focused on a

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<v Speaker 2>couple of themes on the M and a strategy side.

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<v Speaker 2>So one which we sort of talked about is derivatives

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<v Speaker 2>and advanced trading. You know, seventy five percent of all

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<v Speaker 2>volumes in crypto exist in derivatives, and you know, we

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<v Speaker 2>are still primarily a spot business and so there's a

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<v Speaker 2>lot of work for us to do there and Dererivid's

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<v Speaker 2>I think the first step in that direction. The secondary

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<v Speaker 2>that we're focused on, and you know, part of the

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<v Speaker 2>whole theme of this conference is around stable coins and payments,

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<v Speaker 2>So we're very excited about the potential and opportunity there,

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<v Speaker 2>and you know, it's actually quite validating to you know,

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<v Speaker 2>see same coins kind of being at the forefront. It

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<v Speaker 2>feels like we're mainstream, non you know, the u SEC

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<v Speaker 2>is a pretty you know, it's an older product for us,

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<v Speaker 2>it's been around for some time, and so we're excited

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<v Speaker 2>to accelerate what we're doing with USDC and payments.

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<v Speaker 1>Through M and A.

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<v Speaker 2>The third area, I would say is on chain, consumer

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<v Speaker 2>and infrastructure. So, you know, if you rewind the clock

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<v Speaker 2>maybe eighteen twenty four months, coinbase was primarily a centralized business,

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<v Speaker 2>centralized exchange, offering basic you know, buy sell and different

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<v Speaker 2>types of services to retail institutional investors. And now with

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<v Speaker 2>things like base coinbase Wall, you know, we're really pushing

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<v Speaker 2>people on chain, pushing people into decentralization, and acquisitions like

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<v Speaker 2>Spindle are really interesting adjacencies that allow us to kind

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<v Speaker 2>of really accelerate what we're doing with the on chain

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<v Speaker 2>business side. That's another one. And then the last one,

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<v Speaker 2>which I'm personally most excited about, is international expansion. So

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<v Speaker 2>today our business is primarily US based around eighty percent,

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<v Speaker 2>and we're trying to build an open financial system for

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<v Speaker 2>the world, and you can't do that if it's just

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<v Speaker 2>in the United States. And so I'm personally very excited

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<v Speaker 2>to expand our foot and internationally and specifically within the

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<v Speaker 2>retail side from.

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<v Speaker 1>The retail perspective. I'm curious about this majority of people.

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<v Speaker 1>You know, they search on Google via the mobile phone.

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<v Speaker 1>Everything revolves a mobile around the mobile phone. So are

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<v Speaker 1>you building the experience more so on that end versus

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<v Speaker 1>say desktop or a computer.

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<v Speaker 2>I think, you know, as is often the case of coinbase,

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<v Speaker 2>it's both. So yeah, that's right. So I would I

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<v Speaker 2>would say, you know, different customers have different needs and

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<v Speaker 2>different markets, and we see that across the twenty plus

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<v Speaker 2>markets that we serve coinbase today, at least from the

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<v Speaker 2>retail app side, and many many, many more across our

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<v Speaker 2>Coinbase wall app. And you know, be it desktop, be

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<v Speaker 2>it mobile, be it a centralized experience or a decentralized experience.

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<v Speaker 2>You know, the thesis is really to become the primary

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<v Speaker 2>account within the crypto economy, and you know that means

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<v Speaker 2>offering desktop experiences, mobile experience at centralized experiences, decentralized experiences,

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<v Speaker 2>and whatever the customer needs are, we intend to meet that.

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<v Speaker 1>And then in expanding globally, I've read and I've seen

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<v Speaker 1>different surveys and reports. The majority of it is around

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<v Speaker 1>stable coins. People want the US dollar back stable coins

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<v Speaker 1>because maybe they're in a country at hyperinflation. Are you

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<v Speaker 1>seeing mostly demand being around US dollar back stable coins

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<v Speaker 1>because people want the world reserve currency.

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<v Speaker 2>I think that's right, you know, and this is a

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<v Speaker 2>this is an area that's you know, personally very exciting

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<v Speaker 2>for me around stable coin and dollar access. My parents

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<v Speaker 2>are from Ethiopia. You know, the burr is not the

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<v Speaker 2>most stable currency in the world, and you know, it's

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<v Speaker 2>so exciting to have this go from you know, almost

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<v Speaker 2>like an experiment that we did with USDC in partnership

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<v Speaker 2>with our friends at Circle to now a legitimate way

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<v Speaker 2>in which you can get access to dollars and we're

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<v Speaker 2>seeing a lot of demand for that right now.

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<v Speaker 1>M M. And then from a tokenized asset standpoint, anything

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<v Speaker 1>you can share there. Maybe it might be too early

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<v Speaker 1>or you're in the process of looking at things.

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<v Speaker 2>Like yeah, yeah, great, great question. So institutional access is

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<v Speaker 2>definitely an area that is of utmost importance and an

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<v Speaker 2>area that we're really excited about on the M and

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<v Speaker 2>A side. We think with the regulatory environment, you know,

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<v Speaker 2>notably the market structure and the Genius Bill, it really

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<v Speaker 2>is paving the way for you know, things like tokenization

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<v Speaker 2>and r WA's and a number of these things that

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<v Speaker 2>we've kind of all talked about for so long in

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<v Speaker 2>crypto to really kind of become a thing. And I

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<v Speaker 2>would say on the M and A side, we're very

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<v Speaker 2>excited about it.

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<v Speaker 1>But early days, yeah, it seems like tokenization is a

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<v Speaker 1>hot topic. Everybody's trying to put stocks and traditional assets

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<v Speaker 1>on the unchained. Yeah, don't forget real estate in real estate. Yeah,

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<v Speaker 1>that's very Yeah, it's like a brave new world and

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<v Speaker 1>there's so many different sectors being developed, whether it be

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<v Speaker 1>deep en, AI, RWA, obviously tokenization. So it's exciting. What's

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<v Speaker 1>on your roadmap as far as that you can share

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<v Speaker 1>of course.

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<v Speaker 2>Yeah, yeah, So it's kind of the themes I talked

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<v Speaker 2>about earlier. So I would say on chain, consumer infrastructure,

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<v Speaker 2>derivatives and advanced trading, international expansion, institutional access, and then

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<v Speaker 2>stable coin and payments are really the five areas. And

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<v Speaker 2>you know, we have a pretty diversified business retail, you know,

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<v Speaker 2>now we just announced quite based for business and now businesses,

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<v Speaker 2>institutions and developers, and we have a pretty aggressive I

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<v Speaker 2>would say M and A roadmap over the next top

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<v Speaker 2>twenty four months, and you know, we anticipate you would

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<v Speaker 2>be hearing a lot more from US across those five areas.

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<v Speaker 1>That's exciting. And with the coinbase for Business, it seems

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<v Speaker 1>that's the untapped sector, maybe because you need the on

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<v Speaker 1>and off rams, people being able to buy and spend

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<v Speaker 1>and all that.

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<v Speaker 2>Yeah, I think businesses is truly it is very much

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<v Speaker 2>an untapped area. And you know, I think what is

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<v Speaker 2>really I would say woken up the industry is you know,

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<v Speaker 2>stable coin payments and businesses actually using them for actual

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<v Speaker 2>utility and usage. And you know, I think historically there

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<v Speaker 2>have been a lot of attempts and a lot of

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<v Speaker 2>things where you know, people would try different experiment experiments

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<v Speaker 2>and things like that. And I think payments has really

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<v Speaker 2>brought businesses into the limelight around crypto adoption. And you know,

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<v Speaker 2>we're really excited about that. You know, with coinbas for Business,

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<v Speaker 2>we are launching a product that essentiallyows you to store, save, send,

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<v Speaker 2>receive all on crypto with unified onboarding and really really

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<v Speaker 2>quick onboarding. So Taylor made for like the modern business.

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<v Speaker 2>And you know, there's only that's just the beginning. I

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<v Speaker 2>think there's a lot of opportunity to help accelerate that

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<v Speaker 2>through m and I.

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<v Speaker 1>Yeah, I see that being like a big on ramp

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<v Speaker 1>for crypto adoption because if you can go to your

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<v Speaker 1>favorite store merchant and be able to use your crypto

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<v Speaker 1>in that way or stable points, yep, just makes things

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<v Speaker 1>a lot easier.

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<v Speaker 2>Yeah, totally agree.

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<v Speaker 1>Oklet pleasure, thank you so much.

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<v Speaker 2>Yeah, of course, it's great to be here.

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<v Speaker 1>Awesome