Lets Talk Bitcoin Episode 3 The Future of Money Participants Adam B.

. Levine (ABL) - Host Andreas M Antonopoulos (AMA) - Co-Host Dr. Stephanie Murphy (SM) - Co-Host Paul Hughes !uest "rom #ivation $nternational %li&a'eth Ploshay !uest Ale( Mer)ed !uest Adam B. Le ine* Hi and +el)ome to Let,s -al. Bit)oin/ a sho+ "or everyone interested in "uture o" money. Coming up on today0s sho+* 1Pro2e)t -al. - phone-a-)oin/ open +allet and por) therapy. 1Ma( 3eiser gets )lever/ or is it )ra&y4 He +ants to peg 'it)oin into the dollar5 +e tal. a'out it. 1$ sit do+n +ith Paul Hughes to disse)t the dangers and "ind out +hat the "uture might hold "or Bit)oin. 16ou as.ed/ here it is/ alt)oins/ lite)oins/ name)oins/ "rei)oins. 7e spend the se)ond hal" o" the sho+ digging into the )rypto )urren)y )ompetition. 1Community round-ta'le mem'er %li&a'eth Ploshay has some help"ul advi)e on ho+ to edu)ate those in 7ashington a'out the "uture o" money. #isit us at letstal.'it)oin.)om to su's)ri'e "or "ree to our t+i)e-+ee.ly sho+. Let,s -al. Bit)oin runs entirely on 'it)oin donations and my out-o"-po).et e(penses. $" +e )an hit one 'it)oin o" listeners support per sho+/ +e0ll 'e a'le to 'ring on a "ull time asso)iate +ho +ill 2oin me in my tas. o" hunting stories and )ondu)ting intervie+s/ +hi)h means more and 'etter )ontent and more "re8uent releases o" e(traintervie+s on o""-sho+ days. So "ar "or episode 9/ +e0ve re)eived :.;<= 'it)oins "rom a total o" => donors/ than. you very mu)h? @emem'er +ith 'it)oin/ there is no Atoo small to matter.B $" you0re ne+ to Bit)oin and +ould li.e to learn in a more stru)tured environment/ please visit the Bit)oin %du)ation Pro2e)t on Cda)ity "or a "ree )ourse that +ill tell you all you ever +anted to .no+ and more a'out Bit)oin. 7hat it is/ ho+ it +or.s/ +hat it means. 6ou )an visit letstal.'it)oin.)omDlearn to 'e dire)ted to this "ree set o" )lasses. %ven i" you )an,t support the sho+ "inan)ially/ you )an really help us out 'y sharing our pro2e)t +ith anyone +ho should 'e paying attention to the "uture o" money. Let,s -al. Bit)oin is released under an open sour)e li)ense +hi)h allo+s "or the non-)ommer)ial )lipping/ remi(ing and posting in any "ormat or to any site you +ant so long as you in)lude a lin. to our site letstal.'it)oin.)om. 7e0re also a)tively re)ruiting 'oth on and o"" air talents "or this

and other sho+s to )ome. En)e again/ i" you0re interested/ please )onta)t me at adamFletstal.'it)oin.)om. #isit letstal.'it)oin.)om "or our ne+ +e' page/ sta"" 'ios/ opportunities to 2oin the )ommunity round-ta'le/ and o" )ourse/ our per episode listener support tip 2ar. My name is Adam B. Levine. $0m a +riter and spea.er +ho li.es to e(plain )ompli)ated topi)s in understanda'le terms. -hat,s really +hat +e0re doing here5 ta.ing the )ompli)ated topi) o" )ryptographi)ally se)ured money and helping people see +hat it )ould mean in their o+n lives. Goining me in our 8uest "or )larity are Andreas M. Antonopoulos/ an e(pert in de)entrali&ed net+or.s and se)ure systems. Andreas M. Antonopoulos* Hi? ABL! ..and Dr. Stephanie Murphy/ a s)ientist and syndi)ated radio host. "tephanie Murphy* Hi? ABL! So pro2e)ts/ every'ody0s got them. 7e0re tal.ing a'out them. Last time +e tal.ed a'out pro2e)ts that +e +ere personally +or.ing on/ and $ thin. that,s something )ertainly +e0re going to do sometimes. A"ter last +ee.0s episode/ $ spo.e +ith Daryl/ +ho a)tually runs a servi)e )alled phonea)oin.)om. $t,s something that,s 2ust started out/ 'ut it,s 'asi)ally li.e a remote )ontrol "or your 'it)oin +allet using SMS -e(t Messages. He let me .no+ a'out this 'e)ause +e had 'een tal.ing a'out the prevalen)e o" m-pesa in A"ri)a and ho+ there needed to 'e sort o" a dum' phone solution "or sending 'it)oin value and a)tually he had 'een +or.ing on one. And a)tually sin)e $0ve spo.en to him a'out this/ $0ve "ound out that there are t+o or three others that are also in development/ doing the same 'asi) )on)ept. $ thought that +as pretty neat. $" you0re interested/ you )an )he). it out at phonea)oin.)om. "M! $ thin. +e have a lot o" really smart listeners. ABL* 6eah/ a'solutely. %very'ody0s involved in stu"". $ mean/ there0s 2ust so mu)h opportunity out there right no+. "M! 6eah/ de"initely. AMA! Bit)oin has this "unny +ay o" ma.ing everything a !reen"ield/ as it,s )alled in the te)h industry/ 2ust a +ide-open opportunity. $0d li.e to tal. a 'it a'out a pro2e)t $0m +or.ing on5 a )ommunity pro2e)t )alled Epen Paper 7allet. Ho+ i" you0ve got more than/ say/ 9: or I: 'it)oin/ you 8ui).ly reali&e that .eeping them online is a 'ad idea. So/ paper +allets are great solution +here you )an )old store your money on paper/ in a sa"e and that,s +hat +e0re trying to do here. 7e added a "e+ se)urity "eatures li.e opa8ue sti).ers that you have to s)rat)h o"" in order to read the .eys/ 'a).up stu's/ and 'eauti"ully designed notes that )ome on pre-per"orated sheets/ so that anyone )an print J@ )odes on them and use them. -his pro2e)t is opensour)e and last +ee. +e )ompleted the "irst design. 9: or so designs/ "rom ;

di""erent designers/ all released into the open sour)e domain under Creative Commons li)enses "or the use o" the )ommunity. So/ that pro2e)t is going very +ell. ($t,s an) e()iting pro2e)t +ith a lot o" parti)ipation/ Epen Paper 7allet. ABL! So/ "or users that aren,t "amiliar +ith paper +allets/ 'e)ause +e0re tal.ing to some people +ho are ne+ to Bit)oin. Most people vie+ 'it)oin as an online )urren)y/ so ho+ does that +or.4 AMA! -hat,s the 'eauty o" it. $n "a)t/ all you0re doing is/ asso)iating 'it)oin +ith a private .ey and essentially lo).ing it up in to .ey that,s stored on paper/ and 'y storing the .ey on paper/ you )an put it in your sa"e/ it,s not on )omputer/ it )an,t 'e ha).ed. So/ that,s the huge advantage. Ho+/ o" )ourse/ i" you +ant to use that money/ you have to ta.e it out o" your sa"e/ s)an it and then destroy that note 'e)ause no+ it,s no longer se)ure. 7hat it allo+s you to do is .eep aside you a'out KL per)ent o" my 'it)oin o""line and only .eep po).et )hange on my online +allet "or daily spending5 .ind o" li.e you +ould do +ith a sa"e-deposit 'o( or 'an. in the real +orld. $ mean/ you don,t )arry your entire retirement savings in your +allet. "M! $ really li.e all those "eatures that you mentioned/ Andreas and $0ve 'een interested in paper +allets "or a little +hile/ ever sin)e $ reali&ed 2ust ho+ inse)ure it )an 'e to .eep 'it)oins on online +allets. So/ $0m really )urious to see ho+ this pro2e)t un"olds and $ thin. $0m going to go )he). it out right no+ mysel". ABL! -his is a timely topi) 'e)ause a)tually/ a"ter +e spo.e to David Perry last +ee./ as $ +as doing .ind o" the +rap up )onversation +ith him a"ter the intervie+. -urns out/ he +as ro''ed/ his 'lo).)hain.in"o +allet +here he +as using - $ 'elieve he had a 6u'i.ey/ too - someho+ it +as drained o" all its value. $ mean/ again this is 2ust one o" those things +here/ even i" it seems li.e you0re in a very/ very se)ure situation using multiple "orms o" authenti)ation/ it still isn,t as se)ure as simply 'eing impossi'le to ha). it 'e)ause the in"ormation 2ust isn,t availa'le online. "M! -hat,s too 'ad to hear a'out David0s e(perien)e. 7ith the paper +allet too/ there0s some other ris.s/ $ guess. At "irst/ +hen $ heard a'out paper 'it)oin +allets/ $ +as very s.epti)al. $ +as thin.ing/ +hy +ould you +ant something paper4 Paper is a physi)al item/ it )ould 'e destroyed. 6ou have to .eep it in a "ire sa"e. 6ou have to ma.e sure you don,t lose it. -here0s all .ind o" things that )ould go +rong +ith paper/ so even though you may eliminate some o" the online se)urity ris.s/ there are additional physi)al/ real +orld ris.s that you still have to +orry a'out. -here0s also the idea/ $ don,t .no+ i" you guys have ever heard o" this/ 'ut $0ve .no+n some people +ho +ere printing paper +allets and i" you print it on/ li.e a/ +ireless printer/ that in"ormation is going some+here and potentially some'ody )ould inter)ept it. AMA! A lot o" the ha).s +e see/ i" you li.e/ are really lo+-te)h. So/ a lot o" people are +orried a'out/ AEh my !od/ )an my 9L;-'it .ey 'e )ra).ed/B and all o" that. Mean+hile/ they use pass+ord=9I as their pass+ord. So/ these atta).s are usually lo+-te)h. People get their +allets mugged/ usually 'e)ause they0re not su""i)iently

se)ured. Ho+/ i" you do +anna store things o""line on a paper +allet/ you have to ta.e additional pre)autions. So/ +e0ve 'een testing "or +ater damage/ damage "rom a)ids. 7e0ve 'een loo.ing at ho+ to prote)t them "rom CC-# )ameras that )an see a J@ )ode "rom 9::-"eet a+ay/ ho+ to prote)t them "rom "ire/ and other types o" damage. So/ one o" the main innovations +e have in Epen Paper 7allet is a separate/ tear-o"" stu' that has a 'a).up )opy. Ho+ that,s one thing you )an,t do +ith real money/ you )an,t ma.e a 'a).up )opy +hi)h is stored in a se)ond sa"e/ +hi)h you )an do +ith a paper +allet. $t,s 8uite an interesting solution. "M! $t,s a really innovative +ay o" solving some o" those pro'lems/ very )ool? So $0d li.e to tal. a'out my pro2e)t. $t,s not dire)tly Bit)oin related/ although 'it)oins are a "re8uent topi). As $ mentioned $0m a radio host and $ have my o+n pod)ast/ it,s )alled Por) -herapy. Por) li.e a por)upine/ and $ am not a)tually a therapist/ 'ut it,s a sho+ a'out personal "reedom and happiness and 'it)oins are a very "re8uent topi) o" )onversation as +ell as 2ust general "inan)ial and e)onomi) and 2o' "reedom. 6ou )an "ind it at por)therapy.)om/ that,s P E @ C -herapy Dot Com. So/ +ee.ly pod)ast/ that is also a live sho+/ airs on Mriday nights and then $ also post pod)ast only )ontent on the "eed 8uite "re8uently as +ell. ABL! $ love your theme song. (P@ note* Por) -herapy theme song +as playing.) "M! (laughter) -han. you? -hat +as Hannah Ho""man +ho did the theme song. Ad ertisement! Mo(y)art.)om is a 'etter )he).out e(perien)e/ empo+ering developers to )reate "le(i'le/ po+er"ul/ )ustom e-)ommer)e in less time +hile e8uipping mer)hants +ith the "astest )he).out "lo+ availa'le to their )ustomers. Mo(y)art is 'uilt "or +e' pro"essionals. $t )an serve as a "oundation "or advan)ed )ustom e-)ommer)e deployments or "or 8ui). and easy/ single produ)t/ online stores and o" )ourse/ "o(y)art supports 'it)oin. #isit "o(y)art.)om to learn more. "M! So guys/ $ read this arti)le the other day "rom the Hu""ington Post and it +as 'y Ma( 3eiser "rom the 3eiser @eport. He0s a pretty/ $ guess/ "amous "inan)ial )ommentary person and he +as suggesting something that really surprised me 'e)ause +hat it said to me +as that/ perhaps he doesn,t 8uite get ho+ Bit)oin a)tually +or.s and +hat he +as suggesting this arti)le +as/ that Bit)oin should 'e pegged to the CS dollar. He suggested a rate o" =:: CS Dollars per 'it)oin and then he said that/ essentially the Bit)oin Moundation should a)t as li.e/ )entral planners and manage this and en"or)e it. So/ +hat do you guys thin. a'out that4 AMA! Blasphemy? -hat idea is anathema to the entire "oundation and design o" Bit)oin. $ mean/ the +hole point o" it is a de)entrali&ed )urren)y that doesn,t su""er "rom some o" the manipulation ta)ti)s that you see in "iat )urren)ies/ at least that,s the prin)iple that a lot o" the purists in the industry tal. a'out. $ thin. that .ind o" idea +ill "ind a lot o" resistan)e/ 'ut also $ thin. it,s 2ust plain +rong. $ mean/ it "ails to understand the de"lationary )hara)teristi)s o" Bit)oin/ +hi)h are 'uilt into the system and so there"ore/ i" you did peg it to the Dollar/ +hat it +ould do is/ it +ould

)reate a tremendous opportunity "or ar'itrage. 6ou0d have a 'la). mar.et +here 'it)oin +ould 'e sold at higher and higher rates. $ )ertainly remem'er t+o de)ades ago/ $ )ould )hange money in pla)es li.e Budapest or Slova.ia or pla)es li.e that at I or < times the o""i)ial rate. So/ i" +e +anna repeat that in Bit)oin/ sure/ great idea. $s Ben Bernan.e around4 May'e he )ould ta.e over the Bit)oin Moundation. "M! -hose are e()ellent points. -here0s gonna 'e a mar.et e()hange rate the +ay people really/ truly value 'it)oins and then there0s the o""i)ial e()hange rate +ith any )urren)y that its pegged and does )reate great ar'itrage opportunities. May'e that,s +hat he really has in mind. $ mean/ .ind o" surprises me that some'ody li.e Ma( 3eiser +ouldn,t understand that. AMA! @eally/ +hat you +ould need ne(t is )urren)y )ontrols and o" )ourse/ in order to en"or)e )urren)y )ontrols/ you need to limit the num'er o" pla)es people )an e()hange it and pro'a'ly )hange some o" the )hara)teristi)s o" Bit)oin. "M* -he iron "irst +ould have to )lamp do+n more and more/ and that,s really so antitheti)al to Bit)oin 'e)ause 'it)oin is "ree money/ and not "ree as in 'eer/ "ree as in li'erty/ right4 So/ $ don,t thin. a lot o" people +ho are really/ really interested in 'it)oins +ould +ant to see that happen. $ +anna spe)ulate on some o" the reasons +hy - $ thin. that there are some people +ho are hearing a'out Bit)oin and they0re interested in it 'ut they0re also "eeling really s)ared 'e)ause/ they see the volatility and they see the "a)t that right no+/ the pri)e has gone through some pretty serious "lu)tuations re)ently and they "eel s)ared a'out that/ 'e)ause they thin. that people )ould lose a lot o" money on this/ people )ould ma.e a lot o" money on this. -hey +ant something that,s more sta'le and so there0s the temptation to sort o" use this regulatory me)hanism o" )ontrol to try to ensure that sta'ility. But you really )an,t get sta'ility in that +ay 'e)ause/ li.e +e said/ it 2ust doesn,t +or. there. People are going to )reate 'la). mar.ets and (its) 2ust not gonna happen and even i" it )ould happen/ +hat +ould 'e the )ost4 -he )ost +ould 'e essentially destroying the +hole 'asis o" the )urren)y and ta.ing a+ay a lot o" people0s "reedoms. ABL! 7e agree the pri)e +ould 'e 'asi)ally impossi'le to peg to the high value o" a =:: dollars. But i" you 2ust thin. a'out it li.e a "loor/ then suddenly it ma.es a little 'it o" sense and so $ thin. that any'ody +ho is "amiliar +ith ho+ Bit)oin +or.s )an see that it,s impossi'le to .eep people "rom transa)ting it at higher values than +hatever the ar'itrary level you set it at. But +hat i" that,s not the point4 7hat i" the point is to 2ust prevent the potential o" a )rash/ 'a). do+n to = NdollarO or the potential o" a )rash 'a). do+n to some lo+er num'er4 AMA! $ have a 'it o" an ane)dote on that topi). $n the K:s/ $ +or.ed in a hedge "und and $ apologi&e "or that. $ remem'er the day that the Prime Minister o" S+eden )ame on -# and said/ PHo matter +hat/ +e +ill de"end the value o" the 3rona.P -he hedge "und people in that room )heered and started selling li.e )ra&y. -he 'oss s)reamed/ PLast one out o" S+eden/ turn o"" the lights.P 6ou )an put a "loor on a

)urren)y and all you0re gonna do is enri)h the )urren)y spe)ulators as they 'eat you over the head +ith that and ma.e a lot o" money in the pro)ess. ABL! $sn,t that +hat Ma( 3eiser does in this )ase/ though4 He0s putting together a Q=: 'illion "und/ spe)i"i)ally to invest in Bit)oin. So it seems li.e that +ould 'e investing in Bit)oin in any+ay that,s pro"ita'le. AMA! Eh/ sure. $n e""e)t/ he0d end up solving the very pro'lem that he0s +orried a'out 'e)ause the reason +e have volatility in Bit)oin/ is 'e)ause o" lo+-volume and the e)onomy is easy to s+ing around. $"/ instead o" a 9 'illion e)onomy/ it +as a 99 'illion e)onomy/ it +ould 'e a lot harder to get these .inds o" volatility e(pressed dire)tly in the pri)e. $" you 'ring =: 'illion in/ that,s great. $t +ould really provide a lot o" inertia. $ mean/ that,s really +hat it is. -hin. o" it as the di""eren)e 'et+een a &odia) turning and a )ruise-ship turning. -he CS e)onomy is a )ruise ship and so/ "or e(ample/ +hen you have volatility in the la'or mar.et and things li.e that/ it doesn,t really e(press itsel" dire)tly in the e()hange rate o" the dollar/ or i" it does/ it ta.es a'out three months and till you see some o"" 'lo). situation. Bit)oin gets +hiplash every time something )hanges/ 'e)ause it,s a small e)onomy and it )an move around 8ui).ly. ABL! So/ +e all agree that/ really regardless o" +hat +ere to happen/ the +ay that this has 'een proposed 2ust "lat out +ouldn,t +or.. AMA! $t,s a solution see.ing a pro'lem/ really. ABL! $ sat do+n +ith Paul Hughes o" #ivation $nternational to )onne)t the dots "rom our intervie+ on %pisode = +ith Bradley Gansen on MinC%H and really/ +e tal.ed a'out the end o" Bit)oin or something else. Paul #u$hes! Paul Hughes - my day 2o' has/ a)tually/ has nothing to do +ith Bit)oin at all. $ a)tually run a )ompany )alled #ivation $nternational. 7hat +e do/ +or.shops and seminars and +e tea)h empo+erment s.ills and emotional healing s.ills. Ho+ever/ $ have 'een involved in the te)hnologi)al arena "or almost 9: years. My Ba)helor,s degree is in Physi)s and $ +as a)tually hanging out in those digital en)rypted )urren)y )ir)les 'a). in the K:s. -here +as a lot o" interesting )onversations online. $ a)tually met some interesting people in those days. So/ $ .ind o" got an early insight into +hat digital )urren)ies are and ho+ they +or. and so $0ve 'een "ollo+ing this very )losely "or 8uite some time. ABL! So Paul/ you and $ have 'een tal.ing over emails a'out the intervie+ that +e did +ith Bradley Gansen on the "irst episode o" Let,s -al. Bit)oin and thought that you had some really interesting perspe)tive. P#! Ene o" the things that $0ve noti)ed is that people are )on"lating Bit)oin +ith Bit)oin e()hanges and other aspe)ts o" the Bit)oin e)ology and most people are "orgetting to ma.e that )lear distin)tion. Bit)oin is a proto)ol/ it,s de)entrali&ed and

there0s nothing/ "or e(ample/ stopping me "rom having a Bit)oin )lient on my )omputer and you on your )omputer/ and you and $ are 2ust doing this - 2ust e()hanging 'it)oins 'a). and "orth. 7hen you tal. to Mr. Gansen/ he made the point that/ loo. MinC%H0s got these guidelines that are going to )ome do+n possi'ly +ith prose)utions 'e)ause o" the possi'ility o" money laundering and other types o" issues and those are legitimate )on)erns. $ don,t see any reason +hy those e()hanges )an,t 'e )ompliant. But +hat he said/ though - he said something very e(treme in my opinion. 7hen and i" MinC%H de)ides to prose)ute these e()hanges "or not 'eing )ompliant. He said/ Athis is the end o" Bit)oin.B Hot this is the end o" Bit)oin e()hanges in the Cnited States or this is the end o" that Bit)oin e()hange. $t is the end o" Bit)oin itsel" and so $ thought that +as a very/ very strong )laim. At that point/ $ +as li.e/ +ell gee/ +e need to - $ +ould0ve as.ed him P+ell/ ho+ )an you ma.e that )laim4P Mor e(ample/ ho+ does MinC%H regulations apply to the other =K: )ountries in the +orld4 $ mean/ granted the Cnited States does have some pretty strong politi)al in"luen)e. But the real 8uestion is/ Aho+ does that a)tually stop Bit)oin itsel"4B and $ +ould0ve as.ed him that 8uestion 'ut $ thin. he tried to/ he .ind o"/ $ guess/ sort o" side-tra).ed us. Loo./ this is +hat MinC%H0s gonna do and it,s going to 'e the end o" Bit)oin. $ guess that 'othered me 'e)ause $ see that happening so mu)h in all the )onversations $0ve had. ABL! 6ou .no+ the reason +hy $ didn,t push him too hard on that issue is 'e)ause he totally did avoid the 8uestion/ +as 'e)ause $ .ind o" get +hat he0s saying. %ven though MinC%H te)hni)ally only has 2urisdi)tion in the Cnited States/ $ thin. that +e all .no+/ you )an loo. at things li.e drug poli)y or 2ust in general. Poli)y tends to "ollo+ the money and the Cnited States has the money and gives it out to more people really/ than any'ody else. So there"ore/ they settle out o" the rules. Do you thin. that i" 'it)oin e()hanges +ere made illegal and the transa)tion o" 'it)oin +as illegal in the Cnited States/ +hat do you thin. +ould happen4 P#! -hat,s +hat $0m saying. $ thin. it,s important to ma.e that nuan)ed interpretation/ 'e)ause to say it,s the end o" Bit)oin is not a)tually a))urate. $t +ould0ve 'een "air to say/ P-his )ould 'e the end o" Bit)oin e()hanges in the Cnited States/P that in turn )ould0ve set up the sort o" a/ poli)y domino e""e)t. 7here/ it +ould0ve 'egun the ending o" e()hanges in pla)es li.e %urope/ possi'ly %ngland/ possi'ly Gapan. But then as you move more and more into the periphery/ into the third +orld/ that - $ thin. those a'ilities to en"or)e that 'e)omes less and less/ and $0m not saying that,s a good thing. $0m not saying that/ PEh !osh/ this is - Bit)oin0s going to do 2ust "ine.P $t,s de"initely going to hurt Bit)oin/ 'ut it,s not going to .ill it and that,s an important distin)tion to ma.e. Money tends to go +here it )an/ )apital tends to "lee and go +here it )an/ and so +ith Bit)oin/ it,s o'viously e(tremely disruptive to the e(isting 'an.ing system. -here are a lot o" people/ not ne)essarily )riminals/ 'ut there0s a lot o" people +ho have a lot o" money/ +ho have an interest in seeing something li.e Bit)oin su))eed. $ mean there0s that re)ent e(posure. $ thin. that,s something li.e QI> trillion o" o""shore assets. Some o" them/ o" )ourse/

are oligar)hs and )riminals/ 'ut most o" them are ri)h people trying to hide their money. -here0s de"initely this/ $ guess this tug o" +ar 'et+een )y'er-nations trying to )olle)t ta( revenue and money trying to es)ape it/ 'e)ause here0s the thing* i" you loo. at e-gold/ $ mean/ $ +ent ahead and did my resear)h 'e"ore the intervie+/ they +ere not )ompliant. -hey +ere not a)tually getting people0s identity5 they +eren,t going through the trou'le o" getting $Ds and going through all o" the normal pro)edures that a 'an. goes through. -hey didn,t do that/ and 'e)ause they didn,t do that/ they got shut do+n and so people are sort o" ma.ing that )omparison/ P7ell !ee/ Bit)oin is going to go the same +ay as e-gold.P 7ell/ there are t+o di""erent things to say a'out that. Ene is/ e-gold +as a )entrali&ed sort o" system and it +as one/ more or less one or t+o )ompanies. So they +ere a single point o" "ailure. -+o/ +hat,s .eeping these e()hanges in the Cnited States "rom a)tually )omplying. $t might 'e e(pensive/ 'ut not impossi'le. $n other +ords/ $ don,t thin. MinC%H is ne)essarily saying Bit)oin is illegal/ they 2ust +ant there to 'e a +ay to tra). money going "rom 'it)oin to )ash/ and )ash to 'it)oin to ma.e sure that there0s not any sort o" illegality happening.

ABL! But isn,t that an inherent )on"li)t here +ith even the idea that )urren)y/ it seems li.e/ i" +e0re tal.ing a'out value in the +orld/ isn,t that a &ero sum game/ +here/ i" some'ody is +inning it means some'ody else is losing and the )urrent system +e have right no+ is one +here the dollar has most o" the value stored in it and everything else is sort o" 'a).ed 'y that. So/ you )an see ho+/ "rom the perspe)tive o" someone or an organi&ation that has the dollar as its )ore tenant/ it +ould 'e .ind o" s)ary to loo. at this other system )oming up and potentially 'eing a superior produ)t 'e)ause ultimately that,s the pro'lem here. -he point is 'etter to 'e money/ right4

P#! Eh yeah/ you0re a'solutely )orre)t. $ mean/ i" +e get right do+n to it/ $ mean/ Bit)oin is very threatening to the a'ility/ "or e(ample/ i" people )ontrol "iat )urren)ies to settle other 'an.s to in"late the )urren)ies.

ABL* Do you thin. that/ $ mean $ 2ust have to thin. that sin)e governments are made o" people/ that has to )ome into the e8uation +hen they0re ma.ing these de)isions.

P#* 6eah/ $ agree. $ mean/ the 'ottom line is/ Bit)oin $ thin. is very disruptive. $t,s disruptive to the )urrent e)onomi) regime/ in the +ay its run. $t,s 2ust li.e/ "or e(ample/ musi) sharing +as disruptive to the e(isting musi) thing.

ABL* @ight.

P#* So/ they are going to.. $ mean/ this ma.es rational sense. -hey0re gonna do +hatever they )an to stop it or )o-opt it and so/ to me that,s a rational )on)lusion. $0ve )ome to that )on)lusion too. But given the "a)t that/ that is their intention or that is their desire and that is a rational sort o"/ response. -he ne(t 8uestion is/ A+ell/ +hat )an they a)tually do4B 6ou .no+ they )ould atta). it legally/ +hi)h they )ould do and right no+ MinC%H hasn,t said they0re gonna do that. -hey0ve 2ust as.ed the money e()hangers to )omply/ +or.s +ith spe)ulating. 7hat i" they 2ust de)lare it illegal4 $t,s 2ust "or money-laundering/ pornography/ terrorism/ that .ind o" thing and they 2ust go out and "lat out lie. -hat is )ertainly a possi'ility/ and 8uite "ran.ly it seems that pro'a'ly/ a li.ely possi'ility given the nature o" Bit)oin. At that point/ $ don,t .no+ +hat,s gonna happen.

ABL* Ho/ it,s - you get o"" into the +eeds. $ totally understand.

P#* 6eah/ yeah/ yeah. -his is a 'ig topi) and so it,s li.e/ there are so many di""erent +ays to go here. $n this parti)ular )ase/ in +hat $ +as o" +hat $ +as responding spe)i"i)ally to Mr. Gansen. He made a very spe)i"i) )laim. $" MinC%H goes out and prose)utes them 'ased on the +ay the la+ is +ritten/ +hi)h is money-laundering and so on/ and then they have to 'e under )omplian)e o" MinC%H rules/ that is the end o" Bit)oin/ and $ +as simply )hallenging that spe)i"i) statement.

ABL* So i" you thin. that it +ouldn,t go a+ay/ ta.e that same )omparison and let,s move it to Ma)e'oo.DMySpa)e thing. Ma)e'oo. didn,t .ill MySpa)e/ 'ut one )ould argue that MySpa)e is not doing very +ell relative to that relationship no+.

P#* So/ $ guess +hat you are implying essentially then/ that Bit)oin )ould essentially su))eed on some level/ it 2ust +ouldn,t supplant e(isting )urren)ies/ it +ould simply "ind its o+n ni)he. -hat,s +here $0ve 'een )oming "rom. $ thin. that Bit)oin is not ne)essarily a )urren)y5 it,s not ne)essarily a )ommodity. $t has properties o" 'oth/ 'ut it,s also uni8ue. As Gon Matonis said/ it is its o+n asset )lass. Bit)oin +ill eventually "ind its o+n ni)he/ the 8uestion is/ +hat ni)he is that going to 'e4 $s it gonna 'e)ome a mainstream ni)he/ that there +ill 'e a lot o"/ +hat $ )all/ legitimate money going in to it and that legitimate money +ill in turn have politi)al in"luen)e

and 'ring it/ sort o" a legitima)y same +ay as PayPal4 -And that eventually/ the rest o" the system +ill )at)h up and +e0ll move "or+ard or +ill it get pushed into the system D e)onomy/ into the underground e)onomy/ and 'e)ome sort a 'la). mar.et4 $ thin. no'ody really .no+s the ans+er to that. Bit)oin - it +on,t die/ at the +orst/ it +ill go into the sort o" "ringe under 'ell/ .ind o" li.e anaero'i) 'a). )hair that got pushed under the +ater. -hat might end up 'eing its ni)he and sort o" this/ 'la). mar.et thing.

ABL* $t has utility at that level/ even. $ mean/ that,s .ind o" the interesting part a'out it is that/ it,s very/ very hard "or it/ a)tually to 'e destroyed 'e)ause o" its de)entrali&ed nature and 'e)ause it "ran.ly has utility/ even i" it,s to that really small minority/ at a very lo+ value.

P#* @ight/ right. -a.e Rim'a'+e or one o" these other small )ountries or +here there0s )urren)ies (+hi)h are) in"lated )ompletely out o" proportion. $ )ould easily see/ +hat $ thin. it,s )alled m-pesa/ it,s that mo'ile minutes )urren)y system they0re using in A"ri)a. $ )ould easily see Bit)oin sort o" getting a good "oothold there/ and not 'e)ause o" its pri)e point +ith any other "iat )urren)y/ 'ut 2ust as a medium o" e()hange* it,s a simple/ easy system that people )ould/ sort o"/ do it as a unit o" a))ount and there"ore even i" the pri)e is going up and do+n li.e )ra&y/ they0re not gonna really noti)e 'e)ause their e)onomy is 'e)oming sel"-)ontained. -hey0ve "ound their o+n/ sort o"/ lo)ali&ed )urren)y. -he idea is/ ho+ do you ma.e a )urren)y that/ regardless o" its legality/ is un-en"or)ea'le. At this point/ it )an 'e argued that musi) sharing/ musi) pira)y/ it,s essentially unen"or)ea'le. -hey have it on the 'oo.s. 7ell over a I: per)ent o" $nternet tra""i) is Bittorrent. $ thin. Satoshi Ha.amoto/ or +hoever that person or persons +ere/ had to have )onsidered that. $t,s li.e/ loo./ this is gonna 'e outla+ed immediately. -hat 2ust to me is sort o"/ is an o'vious given and so +hen $ hear a'out/ PEh/ they0re gonna outla+ it.P $nstin)tively/ $ thin./ A7ell that may not matter.B

ABL* A lot o" it is not a'out Bit)oin. A lot o" it is 2ust a'out the dollar and the other )urren)ies that are .ind o" in play (PH* 6eah.)/ 'e)ause again/ it,s not li.e Bit)oin is so good that it,s horri'le. $ts Bit)oin is so good that it ma.es every'ody else loo.s horri'le.

P#* -hat,s e(a)tly right and $ thin. the other thing/ $ thin. this is the reason $0ve 'een/ sort o" a 'ig "an o" Bit)oin. -he last "e+ years - given the 9::S 'an.ing )ollapse/ its thin.ing P!ee/ +e )ould all end up in a horri'le e)onomi) mess.P $

mean/ $ remem'er 9::K +as a pretty tough year "or a lot o" people - me too/ in terms o" my 'usiness. $ )ould see Bit)oin/ even though it might 'e illegal/ let,s say. So let,s say they outla+ed it/ this is sort o" the last desperate attempt to pop up these "iat )urren)ies. At some point/ $ )ould the +hole )urren)y thing )ollapse. $ mean there0s a lot o" eviden)e o" that no+. $ mean/ the 6en0s going )ra&y/ the %uro/ the %CB/ the -roi.a/ all those people are going )ra&y. $ mean/ there0s 2ust so mu)h stu"" going on. -he entire Pon&i s)heme that is our "inan)ial system )ollapses. Bit)oin0s still there. $t,s this resilient sort o" thing in the e)o system and $ )ould see every'ody starting to use it. $" all these 'an.ing systems started )ollapsing/ it,s not gonna really matter +hat people thin. a'out +hether its legal or not/ people 2ust start using it. $ thin. that,s the area to start thin.ing a'out/ and to the degree that it,s a)tually en"or)ea'le. $ mean/ i" they0re losing money/ i" they0re having regulatory pro'lems/ the 8uestion is ho+ )an they en"or)e it4

ABL* -he type o" people +e0re tal.ing to +ith this/ it,s di""i)ult "or them to imagine anything 'esides the CS dollar paradigm and its di""erent "or them - $ mean even i" you0re in a di""erent )ountry/ +e0re still living under the CS dollar paradigm as it,s .ind o" a glo'al )ulture. $t,s hard "or people to imagine something that0s never 'een. -hat,s the end game/ i" things go the +ay they loo. li.e they0re gonna go and i" the a)tors +ho are in play respond in a +ay that is logi)al "rom their perspe)tive. Do you have a lot o" value in Bit)oin .no+ing that or are you 2ust +aiting "or the )rash4 T)ause it seems li.e i" you 'elieve it,s gonna 'e 'anned then no+ +ould 'e the time to 'uy.

P#* $ a)tually am going along. 6ou .no+ $ pur)hased 'it)oins a +hile 'a). and $ got those 'it)oins/ mostly "or emotional/ and philosophi)al/ and politi)al reasons and $0m thin.ing/ you .no+ $ )ould get ri)h "rom this. $" ea)h )oin 'e)omes +orth up+ards o" Q=::/:::/ $0m going to 'e +orth a lot o" money. But that +asn,t the reason $ got into it/ $ got into it 'e)ause $ 'elieve in this/ $0m gonna put my money +here my mouth is/ people have 'een hearing me push radi)al de)entrali&ation "or hal" my li"e/ and so $ thought $ should 2ust go "or+ard and invest in this/ 'e)ause it,s a )ool idea and it,s 'een very/ very edu)ational. $ mean/ the amount o" money $ invested/ $0ve easily gotten my +orth 'a). in terms o" edu)ation. Gust in terms o" using it and having that investment there/ 'eing emotionally invested/ philosophi)ally invested/ "inan)ially invested/ has essentially 'ootstrapped my .no+ledge a'out ho+ these type o" things +or.. $ thin. it +as late Me'ruary/ early Mar)h +ith the +hole Cyprus thing. All o" a sudden it 2ust +ent o"" the )harts/ the gro+th rate really started to )hange and $ thought to mysel"/ there0s a small )han)e this is gonna 'e the id/ this is gonna go )ra&y and it,s not gonna go 'a).. But $ said/ there0s a more li.ely )han)e that this is a spe)ulative 'u''le and this 'u''le is gonna pop or something is gonna pop and that,s e(a)tly +hat happened and $ see that still happening/ $ still see these things

going 'ut it,s going to get less and less severe over time and this is/ o" )ourse/ assuming that there0s no MinC%H0s legal atta). going on.

ABL* -he other side is that you don,t need to store any value in Bit)oin "or any amount o" time +hatsoever in order to e(tra)t the value that it 'rings "rom that perspe)tive/ and that,s al+ays 'een a very interesting thing "rom +here $ sit 'e)ause it means that the value "un)tionally doesn,t matter. $" you have an appli)ation li.e 'ridge +al.er +here you )an/ ta.e money/ store it in dollars/ transmit it into 'it)oins and have it transmitted out on the other side 'a). into dollars again +ith no sort o" laten)y/ then you get all o" the advantages o" the 'it)oin money trans"er and there0s pro'a'ly a small "ee asso)iated +ith it.

P#* So/ you0re tal.ing a'out (something) li.e Bitpay.

ABL* $s that ho+ Bitpay does it as +ell4

P#* $ thin. so/ $ thin. the +ay $ understand Bitpay is that/ the idea/ hey loo./ you )an set up yoursel" as a mer)hant/ you )an a))ept 'asi)ally )ash that gets translated into 'it)oin and then that transa)tion happens at a very lo+ rate/ it,s li.e = per)ent or less than = per)ent and it happens really "ast. So/ you0re not having to deal +ith the pri)e "lu)tuations o" 'it)oin itsel". $t,s 'eing simply used as a means o" transmission.

ABL* Csing it as a means o" transmission as opposed to sitting in it "or any length o" time/ +here you0re then e(posed to mar.et movements. $ mean/ that,s .ind o" the interesting part/ it,s that it ma.es the pri)e irrelevant.

P#* -he thing though is that 'e)ause you0re going "rom )ash to 'it)oin to )ash again/ you "all right 'a). under MinC%H regulations.

ABL* Eh yeah/ a'solutely. Mrom a regulatory standpoint/ it,s a mess. $" you +ere gonna separate the "un)tionality o" Bit)oin "rom the volatility o" 'it)oin pri)e/ $ thin. it +ould 'e very doa'le "rom a implementation standpoint. 7hether or not you0d 'e a'le to legally )omply +hile doing that is o" )ourse the 8uestion +e0re tal.ing a'out.

P#* $" you )an )reate sort o" a Bit)oin e)osystem (as a) sel"-)ontained e)onomy/ +here every'ody0s 2ust dealing in 'it)oin and it 'e)omes their o+n unit o" a))ount/ then it doesn,t matter +hat - you don,t need to e()hange it 'a). to dollars. -here,s no issue +ith MinC%H/ the +ay it,s +ritten no+. %very'ody0s paying themselves in 'it)oin5 it,s never going into dollars or any other )urren)y.

ABL* $ thin. that you0ve nailed it there. -hat,s +hat gonna happen i" MinC%H +inds up doing this/ 'e)ause "un)tionally/ they0re saying that/ P-hat,s o.ay.P -hey0re saying so long as you never tou)h another )urren)y +ith 'it)oin then te)hni)ally it,s not a )urren)y. So/ $ mean/ 'y that standard you0re tal.ing a'out a +hole ne+ type o" )onsumer 'eing )reated.

P#* %ven though that might have a di""i)ult time going in/ say/ the CS or in "irst+orld )ountries. $ )ould easily see that getting started in third-+orld )ountries 'e)ause it,s .ind o" li.e that/ leap "rog"ish. -hey +ent dire)tly "rom having no phones to )ell phones. @ight no+/ they0re )ompletely 'lo).ed out o" the +hole visa/ MasterCard/ PayPal thing. Bit)oin is open sour)e/ they )an do+nload it/ and then they )an immediately start using this system. $ 2ust read something/ $ thin. it +as a +ee. or t+o ago +here one o" this H!E guy in Hairo'i/ 3enya. He started going around to the di""erent tri'esmen and saying/ PHey/ have you heard o" Bit)oin4P and they0re li.e/ P7hat,s that4?P -hey had heard/ o" )ourse/ m-pesa 0)ause they0re using their mo'ile phones 'ut they hadn,t heard o" Bit)oin 'e"ore/ and they seemed very enthusiasti) a'out the idea.

ABL* -han.s "or 2oining us today/ Paul. $ really appre)iate you ta.ing the time.

P#* 6eah/ no pro'lem. -han.s Adams.

(music plays)

Ad ertisement* $" $ sho+ed you a +e'site +here you )ould easily pur)hase ele)troni)s "rom the +orld0s largest distri'utor +ith 'it)oins at :U mar.up/ +ould you thin. it +as too good to 'e true4 !ood ne+s/ it,s real and it,s at 'it)oinstore.)om. Choose "rom hal" a million items/ save money over Ama&on and

He+egg/ and )onvert your 'it)oins to real-+orld items. 6ou )an even 'uy +ith priva)y. All they need is a shipping address/ 'ut don,t ta.e my +ord "or it/ see "or yoursel" at 'it)oinstore.)om.

AMA* Paul gave us some great ideas here and $ thin. he0s a'solutely right that the end o" 'it)oin e()hanges is not the end o" Bit)oin. $ thin. people underestimate ho+ hard it is/ not only to shutdo+n Bit)oin te)hnologi)ally/ +hi)h o'viously/ that +ould turn into a +ha).-a-mole game very similar to +hat +e0ve seen +ith Hapster. But $ also thin. it,s di""i)ult to shutdo+n Bit)oin legally and part o" the reason "or that is that/ it,s di""i)ult to ar'itrarily shutdo+n 'its o" the e)onomy +hen there are )orporations 'ehind it. CS la+ is )orporate "riendly/ and as $ li.e to say/ +hen due pro)ess is "i)titious/ only "i)titious entities have due pro)ess. So/ the only people +ho have due pro)ess no+ are )orporations and they )an ma.e a pretty good argument that Bit)oin should not 'e 'anned/ )annot 'e 'anned/ and the government doesn,t have )ompelling reasons to 'an it and those arguments )an go pretty "ar. At least the CS government is limited 'y the )onstitution and +hat it )an apply. A good e(ample o" that is +hat happened to the )opyright la+s +hen Sony tried to sue Betama( 'a). in =KS< to stop them "rom distri'uting #C@s on the idea that #C@s +ere 'asi)ally pira)y ma)hines - and this +ent all the +ay to the Supreme Court. -he Supreme Court de)ided that Sony )ouldn,t do that and one o" the interesting )on)epts that )ame out o" that parti)ular )ase la+ +as the idea that/ as long as a produ)t has any non-in"ringing use/ or at least a su'stantial nonin"ringing use +hi)h means/ i" this tool )an 'e used to do something legal/ you )an,t 2ust )lassi"y it as 'roadly illegal and 'an it. -hat,s +hy )ro+'ars are legal to 'uy/ 'e)ause people sometimes need to 'rea. into their o+n shed. -hat,s +hy a lot o" produ)ts that )ould 'e used "or many/ many legal uses that have su'stantial non illegal uses are allo+ed in CS mar.et. So/ it,s not so easy to 2ust slap a 'an on Bit)oin and every'ody +ill roll over and a))ept it. Ho/ this +ill 'e a suit over la+suit all the +ay to the State Courts/ all the +ay to Supreme Court i" it happens and there0s some really good de"enses.

ABL* Ho+ long do you thin. that/ it,s gonna ta.e 'e"ore +e 'uild up a 'ody o" )orporations essentially that have a vested interest in Bit)oin surviving 'e)ause it seems li.e/ that,s not really the )ase no+. Certainly there are some )orporations/ in that they are )orporations "ormally. But $ thin. +hat you0re tal.ing a'out is P'ig 'usiness.B Big )orporations that have lo''ying po+er and that have money they "inan)e )ampaigns +ith/ right4

AMA* $ +ould say that/ in "a)t/ there are enough )orporations right no+ that have essentially the main pre-re8uisite "or su)h a )ase/ +hi)h is legal standing and i" you

have legal standing +hi)h means/ you have )orporation that is materially harmed 'y su)h a 'an/ you have a )ase and there are plenty o" organi&ations +hi)h +ill 'a). that )ase +ith rigorous de"ense/ su)h as the %le)troni) Mrontier Moundation/ the ACLC and various other organi&ations that have legal "unds to de"end su)h a 'an and i" $0m 8uite honest/ i" a CS )ompany/ one o" the su))ess"ul ones/ perhaps Sili)on #alley 'an./ that is getting involved +ith Coin La' and Mt. !o( here in Cali"ornia or Coin Base/ +hi)h is another Cali"ornia 'ased )ompany. $" they +ere/ essentially told to shut do+n/ $ +ould start a )ro+d-"unding pro)ess "or their legal "und and $0d 'e putting some 'it)oin into that one.

ABL* Let,s assume "or a se)ond that the +orst happens and it,s 2ust "lat out 'anned/ made illegal. 7hat do you thin. happens there4

AMA* $ +ould loo. to 'uy 'it)oins/ 'e)ause the pri)e is gonna shoot up. -al. a'out tamping do+n on supply/ right4 So/ it depends +hat e(a)tly is meant 'y legal 'e)ause/ again even that has nuan)e. -hey might 'e a'le to shut do+n the e()hanges/ disallo+ing individuals "rom o+ning or possessing 'it)oin is going to 'e a mu)h/ mu)h harder 'urden to shove and disallo+ing personal transa)tions 'et+een individuals on Bit)oin +ould have a pretty high 'urden/ so $0m not sure that +ould 'e done easily.

ABL* E.ay. So/ do you thin. that +e0re gonna )ontinue to see e()hanges )losing as +e go through this4

AMA* 6eah/ this is a di""i)ult game to play. %()hanges +ill 'e )losing/ 'ut again/ as Paul said/ that,s not the end o" Bit)oin. -his is 2ust gro+ing pains and as long as t+o people have 'it)oin and have a "iat )urren)y/ they )an go to Star'u).s and e()hange that )urren)y "or 'it)oin. $t,s as simple as that and you )an,t stop that on a 'road 'asis - you )an,t stop that +hen it,s happening in a =<: )ountries.

ABL* $ts sort o" "unny that the solution "or trading 'it)oin surreptitiously is to ta.e this $nternet )urren)y and instead only transa)t it hand to hand "or other )ash.

AMA* $t,s the ultimate de)entrali&ed e)onomy.

(music plays)

"M* Last +ee./ +e tal.ed a'out some o" these alt)oins. So/ all o" these are 'ased o"" o" Bit)oin 'ut there are small )hanges that are made and sometimes these small )hanges a""e)t a lot o" things a'out the alternative )oins. -here are many o" them/ there are pro'a'ly ne+ ones )oming out all the time. -hese alt)oins +ill do things li.e/ )hange the "re8uen)y +here 'lo).s are generated/ or the num'er o" )oins that are going to availa'le "or the 'lo). re+ards/ or they0re gonna )hange the time to ad2ust the di""i)ulty/ or they )hange even the hashing algorithm itsel"/ and then some o" them have additional "eatures/ li.e one is the net+or. is )reated via proo" o" sta.e vs. proo" o" +or. +hi)h is +hat Bit)oin )reates the net+or. on/ some o" them have - one )oin has this demurrage "ee that +e tal.ed a'out last +ee.. So there are 2ust li.e/ all di""erent things that people are doing regardless o" +hether any o" these )oins are going to 'e su))ess"ul in the long term/ $ thin. +e )ould pro'a'ly all agree that )ompetition is great and may'e Bit)oin isn,t ideal/ even though it )urrently is the most popular and it has the most adoption/ and the most support/ and the most trading volume. May'e they0re something that )ould 'e improved/ or may'e there0s room "or more than one )rypto-)urren)y out there. $t pro'a'ly +ould 'e great i" there +ere more options and people )ould 2ust )hoose "rom among those. 7hat do you guys thin.4

AMA* 6eah/ all o" these alt-)oins really represent the diversity o" the Bit)oin e)osystem. Honestly/ $0d 'e sho).ed i" Bit)oin ends up 'eing the one true/ +orld )rypto-)urren)y. $t +ill pro'a'ly mutate into something else/ it might 'e renamed/ it might )hange the proto)ol parameters/ it might 'e )ompletely o'solete and people e()hange it "or something else. $ don,t thin. it +ill lose its value )ompletely 'ut i"/ at some point/ a 'etter )oin emerges/ people +ould 'e a'le to move their money into that one. -he ni)e thing is that there is no real sti).iness other than the si&e o" the e)onomy. So/ i" a 'etter alt-)oin appears then people )an 8uite easily e()hange their money +ith the ne)essary li8uidity "rom one to the other. $ loo. at this simply as e(pressing various opinions in the "orm o" so"t+are. So/ i" Bit)oin is +hite 'read/ someone li.es pumperni).el/ or +hole +heat/ or sesame sprouted/ or various other variations/ and they all have a pla)e on the mar.et. En the other hand/ +e really have to re)ogni&e the "a)t that KSU o" the mar.et is going to 'e/ "or the "oreseea'le "uture/ a +hite 'read mar.et. $t,s going to 'e the 'asi) 'it)oin and that,s simply a matter o" inertia and volume. @ight no+ Bit)oin is 'ig enough that it attra)ts through this po+er-la+ dynami) or net+or. e""e)t/ it attra)ts more investors. So/ it,s very di""i)ult to get an alt-)oin o"" the ground and that,s as it should 'e. $" it really ma.es a huge )hange that,s +orth investing in/ people +ill )hange. Cntil then/ Bit)oin is +here it,s at.

"M* 6ou .no+ $ thin. there0s some psy)hologi)al "a)tors that play here/ too/ that )ontri'ute to potentially the popularity o" alt-)oins and that is that there are lots o" people out there +ho/ may'e they heard a'out 'it)oins in li.e/ 9:==/ and they +ere .ind o" s.epti)al and they0re li.e/ PHot sure i" $ +ant to get on 'oard/P and then some time goes 'y and eventually/ 'it)oins are rising a lot in pri)e )omparing to the CS dollar and people start to really regret that they didn,t get in on ground "loor o" 'it)oins and so they say/ PE./ is there anything that is sort o"/ li.e Bit)oin is - li.e Bit)oin +as a )ouple o" years ago. Ho+ that $ )ould sort o"/ get in on the ground "loor/P and $ thin. some o" these alt)oins represent that "or a lot o" people. En the other hand there are also the people +ho +ere early adopters o" Bit)oin or may'e/ +ere medium term adopters. $ thin. +e0re still .ind o" in the early adoption phase/ overall/ 'ut people +ho might not have ne)essarily 'een super-early adopters 'ut got into Bit)oin and they +anna .ind o" prote)t their investment/ they +ant Bit)oin to su))eed. -hey 'elieve in it/ they are very invested in it/ $ guess/ emotionally and monetarily/ and so they +ant it to su))eed +ithout )ompetition essentially and so there )an 'e those "a)tors/ 'oth at play and it,s really interesting. $ li.ed your 'read analogy/ Andreas/ that people are going to have di""erent pre"eren)es and in the end +e0ll have to see +hat ends up 'eing used the most.

ABL* $ li.e 'read that )an 'e used "or more than one purpose and one o" the interesting things $0ve seen a'out some o" alt-)oin )hains/ li.e name)oin/ "or e(ample. $ mean/ Bit)oin and the 'lo). )hain metaphor that )reates it and maintains it/ is 'asi)ally a distri'uted ledger. So/ right no+/ +e use that to tra). o+nership o" 'it)oins/ 'ut +hat a 'lo). li.e name-)oin has done/ is ta.en in this )ase/ +e'site domains/ C@LS and atta)hed those essentially to this/ again/ totally transparent/ de)entrali&ed ledger. 6es/ there0s the one side +here +e0re tal.ing a'out )oins that spe)i"i)ally address something that they "eel is +rong +ith Bit)oin/ 'ut then there0s this other side that adds more "eatures to it or uses it in an un)onventional +ay and $ thin. those are really interesting.

AMA* A'solutely/ Adam/ $ thin. that,s +here the interesting stu"" is. So/ it,s very easy to dismiss an alt-)oin +hen you see things li.e/ $ don,t .no+/ $ don,t +anna o""end one parti)ular )oin. But $ thought/ 'ar'e8ue )oin/ )oins +ith +hi)h you )ould eat/ is an e(ample o" something that,s a 'it o" a 2o.e/ 'ut other than that/ there are some alt-)oins that are very/ very interesting. So/ let,s loo. at the ta(onomy "irst. Mirst o" all/ there0s three di""erent types o" alt-)oins. -here0s alt-)oins that are really using/ the very same so"t+are as Bit)oin and the same 'lo). )hain as stru)ture 'ut they t+ea. a )ouple o" the parameters. So/ "or e(ample/ instead o" 9= million )oins as the )eiling they have a di""erent value "or that. -hese are the 'asi) alt-)oins/ i"

you li.e/ then there0s alt-)oins that +or. +ith the e(isting 'lo). )hain o" Bit)oin and 'uild upon it. $ )all these meta)oins* &ero-)oin is one e(ample. $t o""ers anonymity and )omplete "or+ard se)re)y on transa)tions/ so it really goes in and solves a parti)ular and very spe)i"i) pro'lem +ith Bit)oin/ +hi)h is that Bit)oin is not per"e)t anonymity/ its pseudonymity and &ero-)oin rides on the same 'lo). )hain as Bit)oin and then there0s )ompletely ne+ inventions +hi)h use very di""erent "orm o" so"t+are and are solving a very di""erent pro'lem/ name-)oin/ "or domains is one great e(ample. $ +as "as)inated 'y some other appli)ations o" name-)oin/ spe)i"i)ally you )ould use name-)oin to de"ine to allo)ate shares o" a )orporation. So/ essentially you )ould have )ompletely anonymous shareholders +hose proo" o" sta.e in the )orporation is also the means 'y +hi)h they re)eive dividends and also the mean 'y +hi)h they vote in shareholder resolutions. 6ou )ould use the same "or the distri'ution o" 'onds or "or any proo"-o"-o+nership on an asset using the very same logi). So/ that opens up the possi'ility o" having Bit)oin )orporations that/ essentially are listed in the 'lo). )hain/ are traded as 'it)oins are e()hanged and the sto). is trans"era'le in the same +ay that you )an send 'it)oin to someone. -hat,s a really "as)inating )on)ept that )ould really develop into a +hole ne+ level o" e)onomy a'ove Bit)oin.

"M* Do you guys +anna tal. spe)i"i)ally a'out +hat some o" these alt)oins are and +hat are their "eatures 'e)ause $ have a list o" them that +e )ould go through. ABL* 6eah let,s do that and then $0d li.e to play - $ a)tually rea)hed out to someone +ho0s 2ust a'out to start an alt-)oin )hain and $ as.ed him 'asi)ally to pit)h it to the listeners and so $0d li.e to play that and in the "uture/ a)tually/ i" you0re starting an alt)oin )hain and you0d li.e to see +hat people thin. o" it/ a good +ay to do that +ould 'e to send us a ;:-K: se)ond pit)h essentially "or +hat you0re trying to a))omplish +ith your alt)oin )hain and +e0ll play it and see +hat people thin..

"M* So/ o.ay/ every'ody .no+s a'out Bit)oin. $0ll 2ust read some o" these 'asi) parameters a'out Bit)oin and 'y the +ay/ $0m getting this "rom a thread on the Bit)ointal. "orums and it,s also availa'le at the domain ne+'it)oins.)om/ +hi)h 2ust points to this thread. So i" any'ody +ants li.e a really 8ui). run-do+n o" all these di""erent .inds o" )oins/ you )an "ind it here. So/ there0s Bit)oin/ they have a 'lo)./ its generated every =: minutes/ there0s going to 'e 9= million )oins/ the di""i)ult ad2usts every 9:=; 'lo).s and the hashing algorithm is dou'le SHA-9L; and then the re+ard/ initially 'e"ore it halved +as L: )oins per 'lo)./ 'ut sin)e then it has )ut in hal"/ so no+ its 9L 'it)oins per 'lo).. Lite)oin is pro'a'ly the most popular o" the alt)oins and it,s not the oldest/ 'ut it is/ "or some reason/ the one that has gotten the most tra)tion and the main di""eren)e 'et+een lite)oins and 'it)oins - Eh 'y the +ay/ also +ith lite)oins/ it,s the only one that,s seen a really signi"i)ant pri)e

in)rease over one dollar. $ts trading at around < CS dollars right no+/ $ 'elieve "or lite)oins. So +ith lite)oins/ there0s a 'lo). generated every 9 and a hal" minutes instead o" every =: minutes +ith 'it)oins. -here are going to 'e S9 million )oins availa'le/ so that,s < times as many lite)oins as there are 'it)oins and the di""i)ult ad2usts also every 9:=; 'lo).s 'ut that ta.es pla)e "aster every )ouple o" days/ instead o" every )ouple o" +ee.s +ith Bit)oin and the hashing algorithm is di""erent than Bit)oin/ +hi)h is $ thin. an important de"ining "eature o" Lite)oin. -he hashing algorithm is s)rypt/ instead o" SHA-9L; and +hat this means is that +ith lite)oins/ you )an,t really use AS$Cs to mine lite)oins and there0s a smaller di""eren)e 'et+een mining lite)oins +ith a CPC and a graphi)s )ard. Basi)ally this means that Lite)oin mining is pro'a'ly going to 'e more a))essi'le to people +ho don,t have AS$Cs or don,t +ant to get AS$Cs. $t,s going to 'e pro'a'ly a more distri'uted net+or. in terms o" the hashing po+er 'eing distri'uted among di""erent people/ and the 'arriers to entry "or getting into Lite)oin mining 'eing a lot lo+er. $ thin. this really appeals to a lot o" people and as +e0ve seen the di""i)ulty o" the Bit)oin net+or. rise very high as a lot o" 'it)oins have 'een mined and 'it)oins 'e)ome really popular and a lot o" people de)ide to try mining and also as some o" the AS$Cs miners )ome online +ith Bit)oin mining/ the di""i)ulty has gone really high "or Bit)oin and so a lot o" people +ho +ere previously mining 'it)oins +ith !PCs or +ith even CPCs have s+it)hed to mining lite)oins and sin)e the di""i)ulty o" the lite)oins net+or. is a lot lo+er/ it )an 'e more pro"ita'le to mine lite)oins +ith the same e8uipment that one might other+ise use to mine 'it)oins and then e()hange the lite)oins into 'it)oins or may'e hold on to them. 7e0re seeing a lot o" people do that/ so $ guess that,s it a'out lite)oins and then $ +ould say Hame)oin is pro'a'ly the ne(t most popular type o" alt-)oin and as Andreas .ind o" gave a run-do+n o" Hame)oin/ it has these interesting appli)ations li.e 'eing a'le to )reate DHS system or potentially 'e used "or sto). o+nership in )ompanies. -here0s PP)oins and PP/ $ thin./ stands "or peerto-peer or some people )all it li.e/ people )oins. -he thing a'out PP)oins is they are 'ased on proo"-o"-sta.e instead o" proo"-o"-+or.. So Bit)oin/ Lite)oin/ most o" the other )oins/ are 'ased on proo" o" +or./ you have to do +or./ solve a pro'lem/ that,s ho+ the 'lo).s are )reated. 7ith PP)oin/ its proo" o" sta.e and $ admit/ $ don,t )ompletely understand that/ 'ut +hat $ )an understand or grasp in my laymen0s perspe)tive is that/ holding )oins/ li.e the people +ho have the most )oins/ that,s +hat )reates the net+or. instead o" solving pro'lems/ doing +or./ hashing and $ )ould 'e )ompletely +rong on that/ so $0m not really sure. Does any'ody else .no+ anything a'out PP)oin spe)i"i)ally4

AMA* $ thin. you des)ri'ed the proo" o" sta.e )orre)tly. %ssentially it allo+s people +ho have )oins to mine )oins/ "rom +hat $ understand. -hat does )reate some philosophi)al issues "or some people. En the one hand/ Bit)oin is e()lusive to people +ho have serious hard+are/ on the other hand proo" o" sta.e )reates a situation +here the po+er la+ gets ampli"ied/ right4 -he ri)h get ri)her.

"M* .. and that,s another interesting point 'e)ause a lot o" these )oins do have/ sort o"/ e)onomi) ideologies 'uilt into them. Bit)oin doesn,t ne)essarily and neither does really Lite)oin/ e()ept may'e the idea that mining is going to 'e more a))essi'le to di""erent people/ 'ut $ don,t even thin. that +as really in mind +hen Bit)oin +as )reated. $ don,t thin. any'ody really "oresa+ AS$Cs/ they +ere .ind o" a disruptive te)hnology. But +ith some o" these other )oins/ "or instan)e/ Mrei)oin +hi)h +e tal.ed a'out last +ee.. -hey have this demurrage "ee and this also/ sort o" ideology saying that this is "or the +or.ing )lass/ it +ill not a""e)t people +ho are spending most o" their in)ome and .ind o" living pay)he). to pay)he). 'ut it +ill a""e)t those +ho +ould li.e to hoard the )urren)y and it dis)ourages hoarding. $t,s interesting to see some o" these di""erent ideas that are .ind o" 'uilt into the )ode o" some o" these alt)oins.

AMA* 7hat it sho+s is that the innovation has 'arely started. $ mean/ here you )an a)tually t+ea. the ma)roe)onomi) parameters o" an entire e)onomy 'y )reating a )urren)y that has di""erent )hara)teristi)s. Ene o" the "as)inating suggestions $ re)ently sa+/ +as the idea o" DHA)oin and DHA)oin is a proo" o" sta.e system +here the proo" o" sta.e is your parti)ipation in the homo sapiens spe)ies/ so at 'irth a sample o" DHA "rom every individual +ho is 'orn on this planet/ the DHA itsel" gets en)oded into the 'lo). )hain as proo" o" sta.e/ the individual DHA o" a uni8ue human 'eing and that gives them a))ess to Bit)oin at 'irth or DHA)oin at 'irth/ +hi)h they essentially have mined 'y 'eing 'orn. So the entire homo sapiens spe)ies has sta.e/ individually/ in DHA)oin simply 'y 'eing 'orn. $t has a "i(ed upper limit o" issuan)e o" )ourse. Currently at 2ust over > 'illion souls and it is automati)ally (ad2usted) "or population gro+th and population de)line. So it,s a)tually a "as)inating )on)ept/ and again that sho+s that the innovation here has only started. All o" these )oins and )ryptographi) )urren)ies/ in general are money AP$s. -hey allo+ you to program e)onomies and people are 'eginning to/ in "a)t do that.

"M* -hat is so interesting. $0m 2ust thin.ing o" ho+ +ould geneti) )ode 'e translated into the 'lo). )hain. $0m sure there0s some +ay to do it 'ut..

AMA* 6ou0re "inger printing/ not the entire )ode/ 'ut essentially you0re "inger printing enough mar.ers that you have statisti)al uni8ueness. So i" you )an a 9L; 'it num'er that is guaranteed to 'e uni8ue 2ust 'e)ause o" the vastness o" the spa)e/ you )an also pi). 9L; DHA mar.ers in a human genome and 'e almost guaranteed that no t+o people +ill have the e(a)t same mar.ers.

"M* Li.e a uni8ue little sno+-"la.e. Gust to 8ui).ly go over some o" the remaining )oins that are in this thread here. -here0s Dev)oin/ and $ don,t .no+ that mu)h a'out Dev)oin 'ut as $ understand it/ the re+ards per 'lo). are really high. -here are L:/::: )oins instead o" L: )oins per 'lo)./ initially. As $ understand it/ they have something to do +ith developing pro2e)ts/ li.e they0re almost "or testing di""erent so"t+are pro2e)ts.

ABL* 6eah $0ve heard Dev)oin re"erred to as the test net.

AMA* $t,s also )ro+d "unding 'e)ause the )oins a)tually re)ir)ulate their value into re+ards "or the developers. So $ 'elieve a'out =: per)ent o" the transa)tion "ee goes to "urther development o" the so"t+are. So the )oin is sel"-"inan)ing.

"M* ..then there0s -erra)oin. -erra)oin is a relative ne+)omer. -here0s gonna 'e <9 million terra)oins 'ut they have a really "ast rate o" generating 'lo).s every 9 minutes/ there0s 9: )oins per 'lo). 'ut the di""i)ulty ad2usts every I: 'lo).s instead o" every/ appro(imately 9::: 'lo).s. So that means the di""i)ulty on the -erra)oin net+or. is ad2usting every hour. So that,s a pretty "ast time to retarget and $ .no+ -erra)oin in the 'eginning had some real pro'lems +ith the di""i)ulty 2ust +ilding s+inging on the net+or. as people de)ided/ PEh/ hmm. $0m gonna point my AS$C at this -erra)oin net+or. and try to get some si). amount o" terra)oins +ith this huge amount o" po+er and then may'e $0ll de)ide to put it 'a). on the Bit)oin net+or. a"ter a +hile +hen $ get 'ored or it goes o""line or +hatever.P So $ .no+ they had some pro'lems +ith that/ $ thin. they0re sort o" 'a). on target. A lot o" mining pools +ere ta.ing do+n their -erra)oin pools "or a +hile 'e)ause it +as 2ust too di""i)ult to deal +ith this 'it. $ thin. they0re sort o" 'a). on tra). and the thing that $ noti)ed a'out -erra)oin +as that/ there +as a lot o" in"rastru)ture that +as )reated "or it pretty early. So there +ere +e'sites/ their +allets and even +ith Lite)oin there hasn,t 'een/ $ guess/ that mu)h in"rastru)ture $ thin. that,s the ma2or thing that,s pro'a'ly holding Lite)oin 'a). "rom getting more popular at this moment. So/ $ a)tually )ould sort o" see/ li.e Bit)oin 'eing/ i" +e use the pre)ious metals analogy/ Bit)oin .ind o" 'eing the gold/ Lite)oin 'eing the silver and -erra)oin 'eing the )opper or something li.e that/ i" it 'e)omes more popular. So then there0s Hova)oin. A lot o" people thin. o" Hova)oin as a s)am 'e)ause +ith a lot o" these )oins/ +e tal.ed a little earlier a'out this psy)hologi)al "a)tors that )ome into play +ith these alt)oins +here people really +ant to 'e a'le to get in on something early that hope"ully 'e)omes a huge thing and then 'e)ome ri)h essentially. So some o" these alt)oins have had pro'lems/ 'e)ause the people +ho )reated them or a small group

o" individuals have pre-mined a lot o" )oins 'e"ore releasing the system pu'li)ally. 7ith Hova)oin that +as e(a)tly +hat happened. -here +ere a ==:/::: )oins that +ere pre-mined and then it +as )laimed that they +ere destroyed/ although it,s not really )lear +hether they +ere a)tually destroyed or ho+ that )ould even o))ur. Hova)oin is 'eing traded on B-C% and $ remem'er +hen that happened/ people +ere really e()ited a'out it so $ don,t .no+/ may'e it0ll go some+here/ may'e not. $t,s .ind o" e()iting to see +here these go 'ut pre-mining s)ams are pro'a'ly going to )ontinue 'eing a pro'lem +ith these alt)oin )hains.

ABL* $ thin. one o" the most interesting things a'out the alt)oin )hains is that they almost all have a "ounder and that is something +here it,s true +ith Bit)oin. Bit)oin does te)hni)ally have a "ounder in Satoshi/ 'ut he0s not around/ he0s not someone +ho0s advo)ating "or it.

"M* So there are a 'un)h o" other )oins 'ut $ thin. "or no+/ +e0ve pretty mu)h )overed the main ones or the most important ones and again/ i" you +anna see more a'out this and i" you +ant some lin.s to "ollo+ up to do some resear)h on any o" these alt)oins/ you )an )he). at ne+'it)oins.)om.

ABL* .. and no+ let,s hear "rom the )reator o" Haye.)oin.

Ale% Merced* Hey every'ody/ this is Ale( Mer)ed. $0m a 'ig "an o" Bit)oin/ $0m a 'ig "an o" the idea o" te)hnology/ things li.e sea steading/ Bit)oin. -he reason +hy $0m )reating an alt)oin/ $0m really/ a)tually +or.ing o"" o" the Lite)oin )ode. $0m doing it more to )ommemorate an e)onomist 'y the name o" Mriedri)h Haye./ he +rote a lot a'out )ompeting )urren)ies on)e upon a time. So/ +hat $0m trying to do is )reate a ne+ )oin )alled Haye.)oin. More o" a novelty )oin/ more "or those +ho )ould pay homage to Mriedri)h Haye./ although )urrently $0m still +or.ing on "iguring out the +hole genesis 'lo). thing. So i" anyone +ould li.e to help me )omplete Haye.)oin 'y helping me )omplete the genesis 'lo)./ part o" the )ode/ "eel "ree to get in tou)h +ith me at ale(mer)ed.)om. (My email is) ale(mer)edFale(mer)ed.)om.

ABL* -he interesting thing to .eep in mind here is that there0s 2ust no 'arrier to entry +hen it )omes to )reating these alt)oin )hains. 6ou don,t even have to have a really/ terri'ly mar.eta'le idea. 6ou 2ust have to de)ide to do it and i" people thin. that your idea is good "or +hatever reason then you )an have su))ess +ith that. $0m

not sure i" the Haye.)oin is going to have a lot o" su))ess 'ut it,s an interesting mar.eting )on)ept/ to say the least.

"M* 6eah $0m almost "eeling .ind o" a"raid i" you invite people to promote their alt)oins on this sho+/ you might get inundated +ith a 'un)h o" people promoting these di""erent alt)oins.

ABL* $0m very interested to see ho+ it sha.es out/ li.e you said. $ rea)hed out to Ale( a'out this 'e)ause $ sa+ a thread +here he +as starting this )oin and $ +as li.e/ PHey/P 0)ause he +asn,t announ)ing any details a'out this and $ +as li.e/ PPit)h it to me and +e0ll tal. a'out it and see.P $ thin. that the more people +e have tal.ing a'out this/ i" it,s a 'ad idea then )learly they0re gonna get "eed'a). that they0re not gonna 'e very happy a'out it. So $ thin. it,s gonna 'e .ind o" sel"sele)ting people +ho really thin. that their idea "or an alt)oin )hain is a really/ really good idea that people +ill 'uy into. -hose are the people that +e0ll hear "rom.

"M* .. and this sort o"/ 'ar gets higher as time goes on 'e)ause/ (they) see a lot o" s)ams/ they see a lot o" )oins that "ail or get a'andoned and they 'e)ome really/ really s.epti)al. PEh/ o.ay. Ho+ is your alt)oin di""erent than all the rest o" those alt)oins/P right4

ABL* $t,s 2ust +hat +e0ve 'een saying. $" you )an,t 'e a shiny e(ample/ 'e a horri'le +arning. 6ou don,t really have a )hoi)e one +ay or the other/ it,s gonna happen the +ay it,s gonna happen 'ut you serve a purpose either +ay to the )ommunity.

"M* Do you guys "ind some o" the names "or these alt)oins/ .ind o" "unny4 Li.e "or instan)e/ Hova)oin sounds li.e Hovo)aine/ PP)oin 2ust sounds really "unny to me.

ABL* -here are a "e+ out there that don,t have )oin in the name/ right4

"M* 6es/ there a)tually are. -here0s !eist !eld or -ene'ri(. -hose are (a )ouple o")/ .ind o" li.e dead or dying )oins.

ABL* -he lo+ 'arrier to entry/ again/ $0m very/ very e()ited to see +hat people )ome up +ith and .ind o" +hat ta.es o"" 'e)ause $ have my idea o" +hat seems li.e a good plan "or Bit)oin and "ran.ly/ $ thin. that Bit)oin does a "airly good 2o' o" serving those needs. Again/ $0m 2ust very )urious to +hat )omes out.

"M* So/ personal 8uestion* do you guys have any alt)oins yourselves or are you invested in them at all/ are you mining alt)oins4 -ell me more a'out that.

ABL* $ +at)hed Solid)oin e(plode a'out a year ago and that +as the "irst )oin that $ paid attention to. $ didn,t have any o" them/ 'ut $ .ind o" 2ust +at)hed ho+ it happened and $ said/ you .no+ +hat/ it seems li.e i" there0s ever a reason "or me to get involved +ith alt)oins/ $0ll pro'a'ly 'e a'le to "igure that out pretty 8ui).ly. So/ $0m 2ust gonna let it 'e and see +hat happens +ith this spa)e/ and it seems li.e a lot has happened +ith the spa)e sin)e $ haven,t 'een paying attention.

"M* -he only real alt)oin that $0m super-interested in is Lite)oin and $ admit $0m "eeling proud 'e)ause $ got into Lite)oin +hen they +ere li.e I )ents ea)h/ and the e()hange rate +ith lite)oins to 'it)oins +as li.e :.::I lite)oins per 'it)oin/ and sin)e then/ the value relative to 'it)oin has in)reased a'out ten"old and the pri)e o" lite)oins in CS dollars has in)reased a'out a =:: "old roughly. So/ $ +as "eeling really good a'out that and then $ also used Lite)oin as a +ay to start getting interested in mining and $ have 'een mining lite)oins "or a little +hile no+. So/ may'e at some point/ +e )an tal. a'out that on the sho+.

ABL* 6eah/ $0d love to tal. a'out that 0)ause mining is one o" those things +here $0ve loo.ed at it a )ouple o" times and every time $ do/ it,s li.e/ +ell that loo.s hard or li.e/ $0ll do+nload a miner/ installation and then $0d need to do port "or+arding and it,s li.e Auhm/ that looks hard.B

"M* $t is. -here0s lot o" little parameters to "i( and get t+ea.ed and optimi&ed. Lu).ily there are lots o" guides and people are very generous +ith their in"ormation. A lot o" this stu"" is availa'le online i" you 2ust do a little resear)h on it/ 'ut there0s de"initely not a user manual a'out ho+ to mine di""erent )oins and do it e""i)iently and there0s no one +ay to do it/ 'ut that,s .ind o" part o" the "un too.

ABL* $t,s 2ust this 7ild 7est thing5 'e)ause it,s hard/ there0s a little 'it more opportunity there than i" it +asn,t hard.

"M* 6eah/ a'solutely.

ABL* !reat/ +ell that,s a'out all the time +e have "or today. -han.s "or 2oining me again "or Let,s -al. Bit)oin/ 'oth Andreas and Stephanie.

"M* -han. you.

AMA* -han. you.

ABL* %ven though Bit)oin has no )ontrolling authority and even though Bit)oin is an international )urren)y/ the CS legislative 'ody is the elephant in the room and a ma2or hurdle "or the nas)ent )urren)y to )ontend +ith. $ sat do+n +ith )ommunity round ta'le mem'er %li&a'eth Ploshay "or some advi)e on ho+ CS )iti&ens )an do their part and help our representatives represent us.

Eli&a'eth Ploshay* Hi/ my name0s %li&a'eth Ploshay and $0m )oming "resh "rom 7ashington/ DC +here $ previously served as the s)heduler and legislative )orrespondent "or Chie" Deputy Ma2ority 7hip Congressman Peter G. @os.am. $0m no+ honored to 'e a mem'er o" this peer-to-peer Bit)oin )ommunity. Coming "rom 7ashington/ DC/ $0ve seen that there0s a huge in"ormation gap and mem'ers o" the "ederal government and also sta.e governments need to have (an idea) o" all the positive aspe)ts o" the Bit)oin )urren)y 'e"ore it,s too late. As mem'ers o" the Bit)oin )ommunity/ +e really need to get on the edge o" the in"ormation gap here and +or. to edu)ate our mem'ers o" Congress/ ho+ Bit)oin is a huge asset/ not only on a personal li'erty level 'ut also to the e)onomy. 6ou/ as a mem'er o" the Bit)oin )ommunity/ have a )lear opportunity to/ in a tangi'le +ay/ rea)h out to a mem'er o" Congress and 'e)ome a via'le in"ormation sour)e "or them to let them .no+ a'out the positive elements o" the Bit)oin )urren)y. Mirst and "oremost/ one o" the most 'i-partisan issues right no+/ to date/ on an e)onomi) standpoint "or the CS House @epresentatives/ the Senate and the %(e)utive Bran)hes - support "or small 'usinesses. A)ross the politi)al aisles/ no+ 'usinesses is an important issue and +e0ve seen that/ "or instan)e/ last year 'oth Cham'ers o" Congress and the %(e)utive Bran)h put "or+ard to 2ump start our Businesses Startups A)t (H@ I;:;)

to enhan)e the a'ility o" small 'usinesses to in)rease )apital. Ho+ +e .no+ in the Bit)oin )ommunity/ that the 'est +ay to do this is a)tually through the Bit)oin )urren)y/ so rea)hing out to a mem'er and highlighting the importan)e o" supporting small 'usinesses through Bit)oin )urren)y/ that,s one thing. Also/ 2ust tal.ing +ith your mem'er o" Congress a'out the )onvenien)e o" Bit)oin and ho+ it does represent ingenuity. Bit)oin )uts do+n not only on/ transa)tion )osts 'ut also its 2ust a )onvenient +ay "or 'usinesses to pro)ess your )ustomers and also to get people in and out o" stores 8ui).ly and another thing too is/ highlighting 2ust ho+ Bit)oin is an international )urren)y no+ and +ith a gro+ing e)onomy and 2ust a gro+ing glo'al nature o" our so)iety and 'usinesses these days/ Bit)oin is truly gonna help 'usinesses and in turn again/ help our e)onomy and .eep the CS on the mar.et in a glo'al +ay. Another thing too/ to highlight to a mem'er o" Congress is 2ust )onne)t it to home/ let them .no+ that Bit)oin is 'e)oming a household name/ spe)i"i)ally you )an 2ust 'ring out something to them that/ 2ust this past +ee./ PayPal President spo.e on Bloom'erg ne+s/ to highlight that PayPal is even )onsidering using the Bit)oin )urren)y. $t,s important "or you as )onstituent to let your mem'er o" Congress .no+ that Bit)oin is something that,s a)tive in the Congressional distri)t. Ho+/ $ thin./ "inally/ you )an highlight i" you any 'usiness in your distri)t or i" you have a 'usiness in this Congressional distri)t/ let your mem'er o" Congress .no+ a'out it and let them .no+ a'out any poli)y they have to+ards Bit)oin )urren)y or any more regulation/ ho+ it +ill impa)t you as a voter in their distri)t. So/ those are some ideas/ spe)i"i)ally adding a'out ho+ you )an )onne)t Bit)oin to your mem'er o" Congress 0)ause un"ortunately there (are) plenty o" mem'ers o" the House @epresentatives in CS Senate and "or that matter/ lo)al governments +ho don,t .no+ +hat Bit)oin is. So you +anna 2ust let them .no+ that it,s a via'le )urren)y and that you as a )onstituent in +hatever )apa)ity are a)ted and this is a )on)ern that you have.

ABL* -han.s "or tuning in to %pisode I o" Let,s -al. Bit)oin. 7hether you li.ed/ lovedm or hated the sho+/ +e +anna hear +hat you thin.. Please send all this and your "eed'a)./ )omments/ and 8uestions to adamFletstal.'it)oin.)om. $" you0re li.e me and 2ust )an,t get enough in"ormation or perspe)tive on Bit)oin/ )he). out our daily ne+spaper at thedaily'it)oin.)om/ +here you0ll "ind the 'est ne+s/ presenting arti)les and arguments "rom all sides o" the issue. -han.s to Paul Hughes/ Andreas M. Antonopoulos/ Dr. Stephanie Murphy/ and %li&a'eth Ploshay "or +riting )ontent "or this sho+. Musi) "or this episode +as provided 'y Gared @u'ens/ Hathaniel Castro/ and E+lsley/ you )an "ind lin.s to their +or. at letstal.'it)oin.)omDmusi). 7e0ll 'e 'a). +ith %pisode < o" Let,s -al. Bit)oin releasing late on Saturday/ the <th o" May/ "eaturing my intervie+ +ith Goe Cas)io/ entitled So). Puppets and Controlling 6our $dentity Enline +ith Bit)oin. Stay tuned?

Transcription by MethodMan, released under the Creative Commons License 3.0