Quadrillions: The Crypto Capital of the World | Acting Chairman Pham

Bullish:

• $REPO - Massive adoption of on-chain repo markets already happening with 10% of US repo market ($400B daily) moving on-chain, demonstrating clear value proposition and irreversible adoption.

  • “we are already today getting close to doing 10% of The US repo market on chain. So we do about one of our partners is doing $400,000,000,000 of repo every day and already showing the value of the technology.”

    Yuval·34:19

  • “I think repo is a great example. I think looking at digital securities issuance, like whether it's digital bond issuance or something else is a great example.”

    Caroline·33:51
• $STABLES - Stablecoins positioned as the 'killer app' for collateral management with regulatory clarity coming in Q1/Q2 2025, enabling massive efficiency gains in institutional markets.

  • “I've always said that I think the killer app for stablecoins is collateral management when you think about the efficiencies.”

    Caroline·19:36

  • “I think that stablecoins will probably be live as collateral in cleared markets, so for our clearinghouses, probably in the first or second quarter of next year.”

    Caroline·19:50

  • “Only about 15% of eligible collateral ends up being used. And it's not because people don't want to use more collateral, it's because moving collateral in an efficient and cheap to deliver is not very possible today.”

    Yuval·21:08
• $COIN - Coinbase explicitly mentioned as a leader in crypto adoption working directly with CFTC on tokenized collateral initiatives, positioning them to benefit from regulatory clarity.

  • “So the firms that had participated in the CFTC's crypto CEO forum that I held back in February, so that included Circle and Ripple, Coinbase, crypto.com. So these firms are leading the way in some of the adoption of this technology.”

    Caroline·18:21
• $CRYPTOSPOT - Listed spot crypto with leverage will be approved and live on futures exchanges by end of 2024, creating new regulated trading venues for retail crypto.

  • “we're going to approve it and it's going to be live listed spot crypto with leverage live on our futures exchanges by the end of the year.”

    Caroline·16:11

  • “if you are doing a retail commodity transaction, so let's say retail Bitcoin, spot Bitcoin, and there's leverage or margin or financing, then it must be traded as if it was futures, meaning it needs to be traded on a futures exchange.”

    Caroline·15:04
• $TOKENIZATION - Tokenized collateral (treasury money market funds) will be enabled through technology-neutral rules, creating massive efficiency opportunities in collateral management.

  • “think about tokenized treasury money market funds. So there was a set of It was a principles based approach, really looking at standards”

    Caroline·17:57

  • “our rules allow it. It's technology neutral. Our rules just say treasury money market funds are eligible collateral. It doesn't say that it has to be on paper or it needs to be in a computer or it has to be on a blockchain.”

    Caroline·19:08

  • “collateral management, whether it's into clearing houses, but even just as you think about global banks thinking about how to manage their balance sheet more efficiently is probably one of the biggest low hanging fruits opportunities out there today.”

    Yuval·21:30

Bearish:

• $REGBYENFORCE - Regulation by enforcement era is definitively ending with new CFTC approach focused on clear rules and fair playing field instead of 'trophy hunting'.

  • “I was very focused on ending regulation by enforcement.”

    Caroline·3:43

  • “instead of being focused on the well functioning markets piece of it, I think it became a little bit about how do we get big headlines? How do we kind of chase after the issue du jour, go after whoever we've declared are the bad guys, do trophy hunting almost.”

    Caroline·4:23