🚨 Ep. 106 of @TokenizedPod: Microsoft & Goldman Sachs Say No to Tokenized Stocks @cuysheffield is joined by: 👉 @nlevine19, Investment Partner, @a16z Crypto 👉 Cameron Drinkwater, Chief Product & Operations Officer, @SPDJIndices 👉 @liamihorne, Product & Engineering, @tempo To discuss: 🧠 OCC GENIUS Act rules on stablecoin yield and rewards programs 🔎 CLARITY Act loophole and alternative ways to earn stablecoin yield 🏦 J.P. Morgan’s tokenized deposits and interoperability with stablecoins 🏛️ S&P's programmable tokenized index funds and automated portfolio rebalancing 🌐 Tempo Zones balancing institutional privacy and public blockchain interoperability 📃 S&P’s OpenZeppelin acquisition and the future of smart contract security 🤖 AI-driven cyberattacks and growing demand for crypto security expertise 💳 Visa & Mesh enabling embedded stablecoin wallet payments at global merchants ❗️ Major companies objecting to tokenized stock trading on OKX ICE 🤝 Tokenized equities enabling direct shareholder relationships and loyalty rewards *** Timestamps: 00:00 Introduction 02:26 OCC GENIUS Act rules on stablecoin yield and rewards programs 05:52 CLARITY Act loophole and alternative ways to earn stablecoin yield 10:00 J.P. Morgan’s tokenized deposits and interoperability with stablecoins 14:24 S&P's programmable tokenized index funds and automated portfolio rebalancing 17:39 Tempo Zones balancing institutional privacy and public blockchain interoperability 20:00 S&P’s OpenZeppelin acquisition and the future of smart contract security 25:00 AI-driven cyberattacks and growing demand for crypto security expertise 29:01 Visa & Mesh enabling embedded stablecoin wallet payments at global merchants 35:00 Major companies objecting to tokenized stock trading on OKX ICE 45:22 Tokenized equities enabling direct shareholder relationships and loyalty rewards *** 👉𝘚𝘦𝘢𝘳𝘤𝘩 '𝘛𝘰𝘬𝘦𝘯𝘪𝘻𝘦𝘥 𝘗𝘰𝘥𝘤𝘢𝘴𝘵' 𝘖𝘯 𝘠𝘰𝘶𝘛𝘶𝘣𝘦. 𝘈𝘱𝘱𝘭𝘦, 𝘚𝘱𝘰𝘵𝘪𝘧𝘺 𝘰𝘳 𝘢𝘯𝘺 𝘗𝘰𝘥𝘤𝘢𝘴𝘵 𝘗𝘭𝘢𝘺𝘦𝘳! 👈

Investment Partner, @a16z Frontier, @nlevine19 explains why banks' stablecoin deposit-flight fear is overblown⁣ ⁣ "The concern from banks is that if you can just passively hold USDC on Coinbase and get yield, do we start seeing a significant amount of deposit flight."⁣ ⁣ "We've seen examples historically where there are yield products in the market, things like money market funds, which banks similarly were worried about leading to deposit flight."⁣ ⁣ "Despite things like money market funds existing, deposits have increased."⁣ ⁣ "A lot of the use cases where you're holding stablecoins are related to trading and crypto capital markets, doesn't really align with the core customers of, say, community banks."⁣ ⁣ "I don't think banks should be as worried as maybe they're initially setting out to be, and ultimately it'll blow over over time."⁣ ⁣ Money market funds raised the same fear decades ago, and bank deposits kept climbing regardless.⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Congrats to @TokenizedPod pod regular @HadickM!

Product & Engineering, @tempo, @liamihorne on why more onchain infrastructure can mean less integration work⁣ ⁣ "If we have these kind of tokenized deposit assets that you can use those as collateral for stablecoins."⁣ ⁣ "I've seen experiments of that with some stablecoin issuers, and it's really, really useful because then you can programmatically distribute out which assets are backing which stablecoin at different times."⁣ ⁣ "It's kind of this ironic thing where actually, the more stuff you put on chain, the less integration work there is on the back end."⁣ ⁣ "So it actually, weirdly, it goes faster if you do more stuff on chain."⁣ ⁣ Putting the collateral itself on chain lets issuers show which assets back which stablecoin at any given moment, removing the manual reconciliation that normally sits behind reserve reporting.⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Fintech is now ~4% of global financial services revenue and growing 4x faster than incumbents. So what should a bank do about it? Founder at MIT Cryptoeconomics Lab, @ccatalini on Tokenized recently said that banks should disrupt themselves before Fintech does. “I think if I was leading a global bank, I would just embrace it and rather disrupt myself than waiting to be disrupted.” “Right now, customers will want more choice. They will want better products and services. You can be ahead of that game.” “If you look at the music labels, the ones that embraced streaming and understood that the economics of distribution of music were going to zero, and they had to win in a different game.” “The blockbuster late fees in the financial services industry are going away, and we should play by new rules.” 🎙 Listen to the latest episode on Tokenizedpod(dot)com

🎙️ Listen to the latest episode of Tokenized: tokenizedpod.com/episodes/mi… 📷 Watch on YouTube: youtu.be/l7C5IWlXJ9I

Founder @StrataMedia_, @jacqmelinek on the stablecoin on-ramp off-ramp problem said:⁣ ⁣ "what if we just on ramped and never off ramped?"⁣ ⁣ "You gotta bring fiat in, and then you kinda convert it to stablecoins, and then maybe they convert it back out."⁣ ⁣ "So much of the money that I make is never physical cash. I use my Visa credit card to swipe it, and that's that."⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Host @sytaylor said that the Stablecoin Power Law Has an Important Exception: ⁣ ⁣ "If I look at Deel contractor payouts, they have DLUSD, and the user at the last mile is living inside that deal wallet just like they live inside a Felix wallet."⁣ ⁣ "When my user is captive in my app and I already have distribution, why would I not keep the yield in that scenario?"⁣ ⁣ "I think there is a viable use case for my own stablecoin where I can capture the yield."⁣ ⁣ "I do agree that if you have an ecosystem, then you make that token very valuable. But that can happen with very few players."⁣ ⁣ Distribution changes the economics. Once a user never leaves the app, the issuer keeps the float yield instead of passing it to a third-party stablecoin.⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Our guest for Monday's Tokenized Podcast @cuysheffield and @nlevine19 are joined by: 👉 Cameron Drinkwater, Chief Product & Operations Officer, S&P Global 👉 @liamihorne, Product, @tempo Out on Monday at 8am PT / 11am ET / 4pm GMT Find it on 𝗔𝗽𝗽𝗹𝗲 𝗣𝗼𝗱𝗰𝗮𝘀𝘁𝘀, 𝗦𝗽𝗼𝘁𝗶𝗳𝘆 or 𝗬𝗼𝘂𝗧𝘂𝗯𝗲 by searching "Tokenized Podcast" 📷 💙

Co-Founder & CEO, @Felixpago, @manueljgodoym on why stablecoin providers still have to work with banks in Latin America⁣ ⁣ "The challenge that we have though is that central countries of Latin America is challenging still. So we still have to go and work with traditional players. Those are the ones that really kind of hold the cards and have the distribution locally."⁣ ⁣ "You don't have as many sort of liquidity providers locally. So it's something that we discussed with both Mastercard and Visa, but also with Circle in terms of how can they support that liquidity given that they have the strong presence there."⁣ ⁣ "Mexico, Colombia, Brazil, they have strong liquidity. Strong kind of stablecoin and crypto activity. But then when you get to Nicaragua, Honduras, Guatemala, liquidity is hard to find, so you do have to play with the traditional players."⁣ ⁣ Strong stablecoin volume in one country does not transfer to the next. Each market's liquidity still runs through whichever local bank or network controls distribution there.⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Head of Crypto at Visa and host @cuysheffield on why global money moving platforms increasing need stablecoins: ⁣ ⁣ "I think every global money movement platform has to integrate stablecoins in some way, and I think we're seeing that across the board, that it's just becoming a table stakes feature that customers expect."⁣ ⁣ "If you could start with fiat, we'll just use the stablecoin on the back end, convert back into fiat, like that was the use case that was kind of the easiest to get the most skeptical person to say, okay, maybe that'll work."⁣ ⁣ "Now I hear a lot more about either stablecoin in, fiat out, or fiat in, stablecoin out, and in some ways it feels like those are actually easier flows."⁣ ⁣ "What we announced today was stablecoin prefunding, being able to send a stablecoin to Visa for us to pay out in fiat."⁣ ⁣ "Banks say, okay, I wanna be able to reach stablecoin wallets, but I don't wanna deal with the stablecoin, so I'll send you fiat, and then you pay out in the stablecoin."⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Cofounder @felixpago, @manueljgodoym said they build Felix around users, because users don’t care about crypto rails⁣ ⁣ "They trusted deeply going to physical stores, and they really couldn't care less how the money got to the other side. I always say that it could be a donkey carrying the money to the border."⁣ ⁣ "As a native Venezuelan myself, I witnessed how a centralized government can destroy a currency, you essentially very easily understand the value of crypto."⁣ ⁣ "We extremely value this world in which you have fiat and stablecoin working together because fiat is not going away."⁣ ⁣ "Now seeing all these being live, like this launch of Mastercard and BVNK partnership and platform, it's gonna accelerate the adoption of stablecoins. Users are gonna win. They're gonna see lower fees, faster money movement."⁣ ⁣ Before stablecoin sandwiches existed, Félix built its own fiat and stablecoin rails side by side, splitting trades across both to cut costs and pass the savings to users.⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Host @sytaylor talked about the single record behind 24/7 markets with co host @cuysheffield and guests @manueljgodoym and @jacqmelinek:⁣ ⁣ "The reason money gets stuck and money slows down and has to close at the weekend is so people can catch up with what the traders were doing and kind of let all of those processes run."⁣ ⁣ "Generally, incumbents start at cost savings, but there's also a bunch of revenue opportunities that come out the other side of it."⁣ ⁣ "Don't underestimate those cost savings and what that can mean and the new products you can build once you've got a single record."⁣ ⁣ "That's what enables all of this twenty four seven stuff we love, and the programmability is you need that single record in the first place."⁣ ⁣ Weekend closures exist to let reconciliation catch up, not because markets need rest. Remove the lag and the closure has no reason to exist.⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Co-Founder & CEO, @Felixpago, @manueljgodoym said Hide the Stablecoin, Sell the Outcome⁣ ⁣ "We serve blue collar workers, migrant workers in The US that send money abroad."⁣ ⁣ "We're making it just easy for the person here."⁣ ⁣ "It doesn't matter to them."⁣ ⁣ "More and more users are never gonna know or care that stablecoin is behind the scenes."⁣ ⁣ The product sells the remittance, not the rail, so the stablecoin layer stays invisible to the person actually sending money.⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

Founder @StrataMedia_ , @jacqmelinek breaks down how Rain is assembling cards, stored value, regulatory infrastructure and wallets into a vertically integrated payments stack on Tokenized⁣ ⁣ "ANSA for stored value came in August."⁣ ⁣ "The OCC trust charter filing, although it's not approved, but they filed."⁣ ⁣ "I kinda see the company moving from just being a card issuer behind someone else's app to really kinda holding the balances."⁣ ⁣ "Whoever holds the balance owns the customer."⁣ ⁣ "Rain just moved away from just the card side to actually having the full account."⁣ ⁣ Four separate filings in under a year point to one card issuer trying to become the account of record.⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com

⁣ Co-Founder & CEO, @Felixpago, @manueljgodoym thinks USDC and USDT win the stablecoin race, here's what he said on Tokenized:⁣ ⁣ "I believe there's only gonna be, two stablecoins winners, and it's gonna be USDC and maybe USDT."⁣ ⁣ "I think the other ones that are being created, they don't make any sense."⁣ ⁣ "The USDC and USDT is gonna be continually much more prevalent everywhere in the world, and that's gonna improve the liquidity."⁣ ⁣ "What matters about stablecoin is the fact that it's pegged to the US dollar."⁣ ⁣ "They want the stability of the dollar. They want the reliability of the dollar. They want the reputation of the dollar."⁣ ⁣ 🎙 Listen to the latest episode on Tokenizedpod(dot)com