1 Episode results for "Coal Sayed"
Circle CEO & Founder | Jeremy Allaire Interview (2020)
"Call Crypto Show. Talking business influx. Jane Guess I all die and see all of circle. Thanks so much Jeremy. Yeah thank you. Mike. Obviously very exciting project. A lot of talk about a lot of those things have been talked about with regards the circle how they because of Goldman Sachs back envision journey with circle self. Sorry thirty kidding me so we can go again. Bid To be rude but like what? What are you thinking I got into what were the crypto show proudly sponsored by the Baseball Hall? Of course and have a look. Today's guest co founder and. Ceo OF CIRCLE IS JEREMY. How am I great? Thanks for having me. Excellent great to have you on the shy joining us so a little bit new things going on circle that a lot of the conversation prior to now. Hopefully when we're GONNA have has basically just because you've been sponsored all your investment over Rice or whatever you WANNA call from Goldman Sachs. Let's get into what the big patriots circle. Yeah I mean so we've been In the CRYPTO SPACE. For about six years and you sort of maybe just going back when we started the company. The thing that got us really excited was this idea. That effectively like new protocols would emerge for value chains on the Internet. That would make it possible for people everywhere to exchange value with each other at the speed of the Internet and the same way we can share data and content. And we've been pursuing that obviously for a number of years I think ultimately the we're interested in both how does what we think of as traditional kind of payments and banking become crypto native and be open accessible open finance concept that a lot of people talk about and then further to businesses ultimately use this as a way to raise capital enter into economic arrangements? Other things so the kind of big picture that got US interested Six years ago. I think what's interesting now is. We've had lots of innovations products pivots businesses. We've acquired businesses. We spun out like other things along the way but I think the thing is now six years in the technology things that we're working on but then more broadly is finally getting to a place where we can actually implement this more open. Financial System built on Krypton native infrastructure of the spin off even quite companies built. Some spun off I read recently. The tunnel polonius elsewhere. An exchange that sort of we there the clinics Knicks so we acquired pontiacs in early in the first quarter of two thousand eighteen and the history of plenty is the founder of pontiacs was mining coins. Back in two thousand fourteen. And there's nowhere to sell them so he built an exchange where you can sell all coins and Was sort of very very primary. Old Coin Exchange is the first exchange to list of theory him sort of very much at the cutting edge of new projects and things and then in twenty seventeen when the market For digital assets took off they saw really explosive growth for quite some time as actually number one number two marketshare exchange in the world. I think ran up against as a US based company started to run up against the regulatory things that we're starting to happen with the SEC The requirements or running. Something at that scale where really difficult and We had known them and worked with them. They'd worked with our OTC desk. And I think they were looking for a company that could help you to take over and and take it forward. We closed the deal again in q one of two thousand eighteen right is the market was starting to really decline them off and it was interesting to watch over the course of two thousand eighteen and into twenty one thousand nine hundred effectively. We saw rapid growth in non. Us international exchanges in particular out of Asia who play different set rules and work so concerned with us regulatory situations and then at the same time the regulatory environment in the US for exchanges especially for broad-based crypto changes. That wants for lots of different projects. Gotten much much worse and we were pretty outspoken about that but I think ultimately we reached a place where our view that plenty ex to continue to compete as a Haiku exchange needed to have the level of capital and the ability to operate internationally without the burden of the US and so We yeah we read recently spun plenty out. The leadership team and management has gone. It's now out of an Asian investment group and it's an international focus and unfortunately it's part of that we did announce it we're winding down the US portion of it so US customers can no longer trade in and actually have to withdraw their assets from the platform so that was one of the photos. Having was She had two choices. Celta Niger Secretary. By so business or area or over there restructured old. Recent was that ever an option or is it just too much going on to the metal. Yeah I mean I think that there. There's a there's a real difference between a US based company that trying to build something to operate in Asia versus. You know more Asian central operations and I think the other pieces I think just the capital investment required is is is really significant and so you know the the investment group that we spend it out to is investing over one hundred million dollars into the business and I think that's great and that's critical and I think it's it's exactly what it needs a fantastic. Let's go into the next two inches. They see invested the company's doing something that will allow you to talk to the lines. If I remember correctly say into companies to help them get going towards coal Sayed yes so seed. Invest is also a company that we acquired and we closed that. We close that deal on q one of this year and seed. Invest is really interesting company. They've been around for about five years and basically in the. Us A whole new set of laws were passed over the prior years that were like crowdfunding laws so basically laws that allowed platforms and companies to issue securities and sell them and market them directly to investors on the Internet and then also opened that up not just to sort of accredited sort of wealthy people investors but also to unaccredited investors so the average person could for the first time essentially invest in like venture capital like companies and startups in so season-best grew over several years to be the largest equity crowd funding platform in the US. It's a regulated broker dealer also approved as what's called an ATS which allows for secondary trading of those securities and have helped hundreds of companies raise hundreds of millions of dollars issuing these securities on the Internet. When you think about crypto and you think about things like token offerings or digital assets you know in in some ways like what a lot of did in two thousand seventeen were unregistered securities offerings. So right and what? What are you getting so our view in this goes back to like founding vision circle is financial contracts will become executed in code. They'll become you know crypto native and those financial contracts will be token is meaning. There will be this at the public. Blockchain's will be the settlement ledger for those and but sophisticated financial contracts like equity company or lending contract where a debt contract or a labor contractor any type of economic arrangement that you can tow defy literally. We'll move to these these blockchain's and so but that's GonNa have to work within the existing framework for securities not just in the US but around the world and so for us we wanted to converge sort of platforms that allow for capital formation and securities issuance on the Internet with crypto. So we're in the process of doing that. So that companies can issue digital assets and have those beef investable and tradable and other things through that through the CMS platform. So how does it work for for the company? So that you can come. So I'd say twenty percent equity that you would like to bring to the platform and the market saw process with you issue. A PRICE YEAH. You issue a price. Yeah and so one of the things that we do is we help the company figure out. What's the structure of the offering? What's ultimately what do we think the right raises? What do we? How do we think about valuation? They may have specific view on it and wanted to be executing that. But we're only going to take on a project if we think that we can fill that deal. Basically so we've got a large base of investors have already invested into deals on our platform and that just grows every time we add a new deal to the platform and sometimes these are pieces of capital. That accompanying maybe. They've closed some capital from angels. Or but they won't have a piece of it that they could sell the crowd so they'll put that piece to the crowd through our platform as well. Sounds like unreal Russian with boy for the project calls? Let's be honest with you rising series. I say oh series bake anyway but it sounds like something like that may be the small business mark. They ought to take advantage of that guy through all the legal. Yeah whole ways and lots of sheriff's very expensive enterprise was the purpose of the platforms batches the exchange. Well I mean I think part of it is that I. I'm an entrepreneur and founded and built many companies. And I think one of the things one of the things like least enjoyable about starting companies and growing companies raising capital. And the when you think about the efficiency of markets and how the market efficiency has been brought into transportation and restaurants and communications and media and retail and all these things on the Internet that has not been the case the efficiency of markets has not been brought to capital markets on the Internet. And so we have a system which has a lot of traditional gatekeepers. There's a lot of information asymmetry. It's still really really painful for entrepreneurs to go through that and I think the vision is. Can you build a marketplace that has the same openness accessibility global scale and reach that marketplaces like the Amazon marketplace for Alibaba or ebay others have built for other types of products? Can you do that for financial products? And that sort of the motivation there. And it's a belief that you know a very long tail. Businesses should be able to access capital and a very long tail of individual investors to be able to find those opportunities and the phenomenon in two thousand seventeen was a little microcosm of what happens if you have an open. Internet capital market now. There's a lot of ugliness to that as well but I think it's a it's an example and sort of digital asset exchanges as we see them today are sort of a microcosm potentially of a future. You know capital market place. That is more Internet centric. And that's I think what Inspired the founding of season-best in for us is sort of how we think about the long term future is we want to democratize access to capital both for investors and for startups and entrepreneurs. Yeah fantastic. It's starting on certain. Yeah yeah the other big thing. Is You know a year ago. We launched something called center. Which is a consortium for stable COINS THAT WE CO founded with Coin Base and We issued the first the first Fiat stable coin on that which is US dollar coins us. And that's been doing tremendously well. It's now the the fastest growing stable point in the world. It is the only regulated compliant licensed stable quine and it's a kind of generalized scheme that other companies can can join we've had about over a billion USCC that had been issued today Twenty three billion in on chain transactions and so for us that's like a foundational layer for the future of open finances that we have a way to take traditional centreback money have full cryptocurrency versions of it that could all the benefits of public blockchain. So that's doing incredibly well and we're building more and more services around that well. It sounds like you've gotten rid of the exchange with US regulation. Shut that down for you to say you brought to the same things a fantastic opportunity for yourself and other businesses out there as you quite rightly pointed a massive gap in the market of annoyance. It's not the pod entrepreneurship joy. Yeah well yeah then also of course working with at third out there as well maybe the structures in place and you got that security around that stable as well which is growing very quickly or anything else that you down. It's there's big things. Michelson absolute pledged. Yeah Great Jerry. Good to talk much feet so I'm a fantastic cut off now.