Latest / What the Flux / In Conversation with Lee Hatton [Part 2] - From Big Banker to Bitcoin and Block

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In Conversation with Lee Hatton [Part 2] - From Big Banker to Bitcoin and Block · What the Flux

• 0:05
  Speaker 1: This is what the plus, I'm me and It's Monday,
• 0:07
  Speaker 1: the tenth of November. Today, Brett and Justin will be
• 0:09
  Speaker 1: sharing the second part of their deep dive interview with
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  Speaker 1: Lee hatton financial operations lead at Block, the company behind
• 0:15
  Speaker 1: Square after Pay title music platform, and much more. But
• 0:18
  Speaker 1: before that, here are the top three business news stories
• 0:20
  Speaker 1: from Australia and around the world. The ATO has reported
• 0:23
  Speaker 1: that the total tax debt book has jugged from approximately
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  Speaker 1: eighty six billion dollars to over one hundred and one
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  Speaker 1: billion dollars. This is the biggest rise in national tax
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  Speaker 1: debts since two thousand and three. In other news, sales
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  Speaker 1: at Zimmerman have searched since the luxury Australian fashion Bryan
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  Speaker 1: was acquired by an American private equity firm. Despite challenging
• 0:39
  Speaker 1: conditions in the broader luxury sector, Zimmerman expanded its doors
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  Speaker 1: globally and reported record sales of over six hundred and
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  Speaker 1: forty five million dollars for last financial year. And finally,
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  Speaker 1: Netflix has reported that ads on its platform had reached
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  Speaker 1: over one hundred and ninety million monthly active viewers globally.
• 0:53
  Speaker 1: In its recent company earnings called, Netflix reported that their
• 0:55
  Speaker 1: yearly ad revenue is expected to double next year. That's
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  Speaker 1: it for me today. Are pass it of its friend
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  Speaker 1: justin for the insightful conversation with Lee Hutton.
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  Speaker 2: Lee, I know Jack Dawsy has been very bullish on
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  Speaker 2: crypto for a long time and Block ranks me the
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  Speaker 2: top of publicly listed companies that hold crypto. Has that
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  Speaker 2: been like a key focus as part of your role
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  Speaker 2: but also just amongst the organization or is that just
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  Speaker 2: something that's happened because you know, people can transact on
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  Speaker 2: the cash app.
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  Speaker 3: Yeah, Like, I personally feel really lucky about this one,
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  Speaker 3: in particular because bitcoin was not something that I had
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  Speaker 3: spent much time on, probably coming out of the traditional banks,
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  Speaker 3: but also too, like I've spent years with regulators, so
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  Speaker 3: starting to think about unregulated currency was pretty out there,
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  Speaker 3: and so you know, I've really had the benefit of
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  Speaker 3: the last few years of really eating deep and understanding
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  Speaker 3: the strategy and the origins of bitcoin, not just what
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  Speaker 3: it's lead to and not just the headlines about the price,
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  Speaker 3: because it's not all crypto we talk about. We talk
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  Speaker 3: about Bitcoin I and using bitcoin as the Internet's currency
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  Speaker 3: for the future, and we are building tools so that
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  Speaker 3: people can keep it safely and so that they you know,
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  Speaker 3: they can basically use it as an everyday currency. And
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  Speaker 3: so I think, yeah, I'm I'm super impressed with what
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  Speaker 3: we have achieved as a company as it relates to
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  Speaker 3: bitcoin and making it really accessible to everyone. But even
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  Speaker 3: more than that, I've just been totally blown away. We
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  Speaker 3: had our block by block party a couple of weeks
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  Speaker 3: ago and it was like nine and a half thousand
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  Speaker 3: people over in San Francisco. It was insane, like totally
• 2:34
  Speaker 3: and you know, we had a panel there of people
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  Speaker 3: that have been like extradited from their countries for you know,
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  Speaker 3: trying to doing the right thing, but extradited. And as
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  Speaker 3: a result of that, you know, bitcoin has been the
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  Speaker 3: only way that they have been able to save people's
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  Speaker 3: lives or you know, be able to get access to
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  Speaker 3: funds for people in need that need to escape. And
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  Speaker 3: so you when you see the real persons side to
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  Speaker 3: what bitcoin can achieve, you kind of get rid of
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  Speaker 3: the coin bro stuff like you put that to the
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  Speaker 3: left and you go, you know, there is a real
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  Speaker 3: consumer news case here and it really is making a
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  Speaker 3: difference in people's lives. Feels really good, That's awesome. Lee.
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  Speaker 4: If we had this conversation again in five years time,
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  Speaker 4: and I'm sure we will, what would you say you
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  Speaker 4: and Block achieved globally over that five year Pio, What
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  Speaker 4: would you be really proud to be able to say
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  Speaker 4: that you achieved.
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  Speaker 3: Well, I think we have just launched some pretty insane
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  Speaker 3: stuff around neighborhoods, which is like bringing Square sellers and
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  Speaker 3: our consumers together to build this kind of singular network.
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  Speaker 3: One of the things that I think cash ap has
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  Speaker 3: just been insane on is like network capability, and so
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  Speaker 3: as a result, now being able to bring Square sellers
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  Speaker 3: and cash app consumers together is just super exciting. We've
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  Speaker 3: obviously and embedded after pay into cash app in the US,
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  Speaker 3: and so we're unlocking that and you're really starting to
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  Speaker 3: build this whole environment that is very open. It can
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  Speaker 3: seem closed, but it's very open in terms of access,
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  Speaker 3: and it's totally changing the game for what it costs
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  Speaker 3: consumers to do lending or transactions, and it's totally changing
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  Speaker 3: the game for the way that sellers are able to
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  Speaker 3: do transactions, move money, be able to make sure that
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  Speaker 3: people can purchase things and be repaid. And so I
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  Speaker 3: think there is just this total reimagination of the financial
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  Speaker 3: system that is going on that we're really creating, which
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  Speaker 3: is super super exciting. I think taking that globally, like
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  Speaker 3: really globally over the next five years, so that these
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  Speaker 3: are household names for us here in Australia, the household
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  Speaker 3: names in the UK and the rest of the world.
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  Speaker 3: That for me will be like this massive tech, there's
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  Speaker 3: also this huge unlock. I think, as you know, like
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  Speaker 3: tied is one of the ways that we empower artists
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  Speaker 3: to own their own work. Like how beautiful is that?
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  Speaker 3: Like letting people be in control of their own destiny.
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  Speaker 3: And I think the more we think about different adjacencies
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  Speaker 3: that will support that will be really important too, because
• 5:16
  Speaker 3: again AI is now giving us all the capability to
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  Speaker 3: be coders. It's just not a meeting before and one
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  Speaker 3: of the guys said, hey, this person should go goz
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  Speaker 3: are not an engineer, And it was like, actually, we're
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  Speaker 3: all engineers now, Like I was y coding, Mark, were
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  Speaker 3: you bib coding like.
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  Speaker 2: Yeah, waiting to be dropped?
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  Speaker 3: Yeah, yeah, No, everyone's bib coulding. But I think this
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  Speaker 3: is the thing where you've got infrastructure. I don't know
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  Speaker 3: if you've seen in America, everybody is applying for a
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  Speaker 3: bank charter saying similar things could occur here in Australia
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  Speaker 3: or New Zealand, because like the reality is why not, right,
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  Speaker 3: Like it is not hard now, Like it used to
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  Speaker 3: be really hard to comply, but now we have systems
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  Speaker 3: and processes, machine learning models, like there is stuff place
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  Speaker 3: that sees play within the rules. Right, it's not that
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  Speaker 3: hard and now you can do that without it actually
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  Speaker 3: being a massive heavy lift. There are there's great software
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  Speaker 3: tools that you can use now to do these things.
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  Speaker 3: So yeah, I think there's just going to be a
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  Speaker 3: massive amount of competition, but some great consolidation and I think,
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  Speaker 3: you know, branding and cultural impact to be huge. One
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  Speaker 3: of the things I love about our business is we
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  Speaker 3: have this massive focus on like taste. It's like, how
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  Speaker 3: does it look like is your instinct working with it?
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  Speaker 3: Do you feel really proud of it? Like is it
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  Speaker 3: your best work? And like unleashing that in twelve thousand
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  Speaker 3: people's pretty pretty powerful and now doing it with the
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  Speaker 3: tools that everyone just kind of has their fingertips. Yeah,
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  Speaker 3: I think it's going to be It's dangerous for all
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  Speaker 3: the right reasons.
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  Speaker 2: Yeah, I love that if you weren't running block. What's
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  Speaker 2: the job that you would secretly or not so secretly
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  Speaker 2: love to try and test your skills out.
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  Speaker 3: I would love to be a doctor because it's so
• 6:59
  Speaker 3: often stay at work. Hey, we're not saving lives here,
• 7:03
  Speaker 3: and so maybe subliminately I'm thinking to myself, maybe she
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  Speaker 3: can't save lives.
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  Speaker 4: Wonder that's a very good answer. Actually, is there a
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  Speaker 4: leader that has inspired you most? It could be inside
• 7:14
  Speaker 4: or outside of the business world. Is there a particular
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  Speaker 4: leader that has really stood out for you?
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  Speaker 3: So the one that really is shaped too, really that
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  Speaker 3: shaped my career. The first one was a woman called
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  Speaker 3: die Rump And if people google who they probably won't
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  Speaker 3: find her. And she I don't even know if she's
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  Speaker 3: on LinkedIn actually, but she was a woman that I
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  Speaker 3: worked with in my early days at Bank of New Zealand.
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  Speaker 3: Maybe it was Wespect one of them. I think she
• 7:43
  Speaker 3: took me actually from Whispec to Bank of New Zealand.
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  Speaker 3: But the thing that she inspired me with was so
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  Speaker 3: I now have three I have three boys. They are eighteen,
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  Speaker 3: sixteen and twelve. They are total magic, right Charlie John
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  Speaker 3: zach And I remember in my career kind of like
• 8:00
  Speaker 3: where do you fit kids in? Like you fit them in?
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  Speaker 3: Like what does it look like? And I worked with
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  Speaker 3: this woman early on in my career. I just got
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  Speaker 3: married and she was really busy. She was always at work,
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  Speaker 3: and I was thinking, oh, just what happens with these
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  Speaker 3: kids that she has? And one day Mitch got sick
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  Speaker 3: and I remember thinking, where's Die gone? Like the moment
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  Speaker 3: they needed her, she was with them right. Work was
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  Speaker 3: like gone, everyone else can look after it. I'm with
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  Speaker 3: my child. It's not well. And I remember thinking like
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  Speaker 3: in that moment, man, I will always always put them
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  Speaker 3: first if they need me over the job. That is
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  Speaker 3: like the number one thing that I want to be
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  Speaker 3: lucky enough to be able to do. And so yeah,
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  Speaker 3: she totally inspired me in that respect. So yeah, she
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  Speaker 3: was awesome. The second one as a local icon, really
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  Speaker 3: I think he's insane, and that's Andrew Thorburn. He was
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  Speaker 3: like the CEO of Bank of New Zealand and then
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  Speaker 3: he was the CEO of NAB and he he taught
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  Speaker 3: me about hid hard and guts right and he is
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  Speaker 3: like a heart leader through and through and he would
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  Speaker 3: say things that you don't make other people wrong to
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  Speaker 3: make you right and like it really puts you back
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  Speaker 3: in your seat when you hear those types of things.
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  Speaker 3: And I think he also too, just funny when I'm
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  Speaker 3: speaking so quickly, he would say things like, Hey, you
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  Speaker 3: got to take the time to just breathe. And it's
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  Speaker 3: like breathing is like this powerful action that we should
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  Speaker 3: all do more often that we just take for granted.
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  Speaker 3: But man, so like simple things, there are very so
• 9:30
  Speaker 3: many impressive people out there that are Those two kind
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  Speaker 3: of stick with me in a fundamental way.
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  Speaker 2: Awesome, I love that and amazing you remember the key
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  Speaker 2: messages that they left, Lee, Is there a failure or
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  Speaker 2: setback that you've had in your career or personal life
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  Speaker 2: that you can now look back on as really being
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  Speaker 2: a turning point for your career?
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  Speaker 3: Oh? Yeah, I missed out on some roles that I
• 9:48
  Speaker 3: totally thought I was like a showin' for. And yeah,
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  Speaker 3: I've like cried in the shower a couple of times
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  Speaker 3: in particular that I remember where I just thought that
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  Speaker 3: was so my opportunity. How did I miss it? And
• 10:03
  Speaker 3: totally beat myself up on it. But I'm a genuine believer.
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  Speaker 3: Like one door closes, another one opens, you just got
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  Speaker 3: to keep pushing them open, and so I think that's
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  Speaker 3: the piece. It's like failure really is the gift and
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  Speaker 3: it hurts, but it's actually like the resilience that creates
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  Speaker 3: the failure to become something. And so I think that
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  Speaker 3: that kind of moment, like missing out on a job
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  Speaker 3: that you really want and you just think, like, I
• 10:32
  Speaker 3: don't know if I can swear. It was like like seriously,
• 10:36
  Speaker 3: like how could you not put me in this job?
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  Speaker 3: I'm so good? And then like you want to throw
• 10:40
  Speaker 3: your toys and then you realize, actually, no, like one
• 10:43
  Speaker 3: door closes, another one opens, Like let's go find the
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  Speaker 3: door to push open. The other thing is too that
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  Speaker 3: I learned through all of that is that it's the
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  Speaker 3: people around you that make you win, right, And so
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  Speaker 3: I think there is nothing more beautiful than having a
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  Speaker 3: group of people that are with you and those failures
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  Speaker 3: that you can kind of lean on because you're not
• 11:03
  Speaker 3: competing with them, you're working with them. And so I
• 11:06
  Speaker 3: think there are a couple of things that I've learned
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  Speaker 3: from failure and.
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  Speaker 4: Lee, what is one daily habit or ritual that you
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  Speaker 4: just love to include in your day or that sets
• 11:17
  Speaker 4: you up for your day ahead.
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  Speaker 3: I used to do arming person's four minute workout. I
• 11:23
  Speaker 3: used to find that pretty good. I don't know if
• 11:25
  Speaker 3: you've seen that online, but it's very good for you know,
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  Speaker 3: moving your muscle. I think the thing that grounds me
• 11:31
  Speaker 3: for the day, and I mostly achieve it right, but
• 11:35
  Speaker 3: sometimes in your career you just can't because you are
• 11:37
  Speaker 3: just on. But I think if I like went back,
• 11:40
  Speaker 3: like the thing that I would do is just be
• 11:43
  Speaker 3: in nature, just like a twenty minute walk, just like
• 11:47
  Speaker 3: be in nature. And so every morning at the moment,
• 11:50
  Speaker 3: I feel like it's this giant luxury. I go for
• 11:53
  Speaker 3: walk at like five thirty in the morning. People will
• 11:55
  Speaker 3: say that's like crazy, but it's like five to end
• 11:58
  Speaker 3: of the morning, I have to go for a walk.
• 11:59
  Speaker 3: I can not start my day. I don't like to
• 12:01
  Speaker 3: start my day without just getting some fresh air. And
• 12:05
  Speaker 3: so I think that for me is just a moment
• 12:08
  Speaker 3: of perspective. And it's so easy to give away because
• 12:11
  Speaker 3: you're just busy, right, Like there's a million other things
• 12:14
  Speaker 3: I could be doing. I've also just tried to start.
• 12:18
  Speaker 3: When I look at my phone in the morning, I
• 12:20
  Speaker 3: look at it for like I give myself like three minutes.
• 12:22
  Speaker 3: It's like just a quick three minutes skim It's like nothing,
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  Speaker 3: No one's going to die, right, put it away both
• 12:28
  Speaker 3: my walk for half an hour, and yeah, the world's
• 12:31
  Speaker 3: a been a place for the rest of the day.
• 12:32
  Speaker 2: I love that. The final question from us, if you
• 12:35
  Speaker 2: think about the best investment you've ever made, could be
• 12:37
  Speaker 2: in money, could be in time, or it could be
• 12:39
  Speaker 2: in energy. Is there something that comes to mind for you.
• 12:41
  Speaker 3: Oh, relationships, Like the best investment is relationships. I remember
• 12:48
  Speaker 3: very early on in my career someone saying I want
• 12:52
  Speaker 3: to be married for longer than I'm in this job,
• 12:54
  Speaker 3: and I remember thinking it's a bit of a weak comment.
• 12:58
  Speaker 3: And then of course you get into these big jobs
• 13:01
  Speaker 3: and you realize you never see you are my CA's husband,
• 13:04
  Speaker 3: and you just think, shit, yeah, that is just so
• 13:07
  Speaker 3: it's so critical, and I think, you know, don't lose
• 13:10
  Speaker 3: your friends because you're so busy at work. You make
• 13:13
  Speaker 3: work friends and they're really cool as well, Like I
• 13:16
  Speaker 3: used to love making work friends. But yeah, your friends
• 13:19
  Speaker 3: and your family especially like your relationship. I like you
• 13:23
  Speaker 3: were your closest relationship. I think you can't. You can't
• 13:26
  Speaker 3: the other best investments ever. And then obviously that flows
• 13:30
  Speaker 3: on to your kids when when you're at that stage two.
• 13:33
  Speaker 2: Love that it's interesting we often hear the key around
• 13:36
  Speaker 2: relationships for business leaders and making sure they make the
• 13:39
  Speaker 2: right investment in the right relationships as well. So awesome
• 13:42
  Speaker 2: to hear that.
• 13:43
  Speaker 3: Lee.
• 13:43
  Speaker 2: Thank you so much for your time, It's been so
• 13:45
  Speaker 2: insightful and wish you all the best of the next
• 13:47
  Speaker 2: five years with Block. But we check in again and
• 13:49
  Speaker 2: we see how far you've comes with them.
• 13:52
  Speaker 3: No wicked and wishing you guys a little bit too.
• 13:54
  Speaker 3: This is fantastic. I'm super increased by what you're achieving.
• 13:58
  Speaker 2: Awesome. Thank you, Thanks Lee.
• 14:00
  Speaker 1: Thanks for listening to our true part series with Lee
• 14:02
  Speaker 1: Hatton Wednesday will be the final episode in our in
• 14:04
  Speaker 1: Conversation mini series where Brett and Justin will be sitting
• 14:07
  Speaker 1: down with Matt Heiner, CEO and managing director of Netwell.
• 14:10
  Speaker 1: If you've enjoyed the series, let us know. Please give
• 14:12
  Speaker 1: us a five star rating and review on your podcast player.
• 14:14
  Speaker 1: Thanks for listening and we'll see you on Wednesday.