Latest / The Paul Barron Crypto Show / Elizabeth Warren Targets Ripple!🔥Crypto Market Update

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Elizabeth Warren Targets Ripple!🔥Crypto Market Update · The Paul Barron Crypto Show

0:00
Speaker 1: Let's jump into it today.
0:01
Speaker 2: We've got Warren going after crypto and banking licenses now,
0:05
Speaker 2: specifically Ripples banking license.
0:08
Speaker 1: I'll break it all down for you. Don't want to
0:09
Speaker 1: miss it.
0:10
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Speaker 2: in just a few taps. All right, let's take a
1:03
Speaker 2: look at this first tweet right here, And what I'm
1:06
Speaker 2: showing is Senator Elizabeth Warren questioned the OCC approvals. All right, Okay,
1:11
Speaker 2: that's normal. She questions everything when it comes to protecting banks.
1:15
Speaker 2: But this was really tied to the crypto banks, Coinbase.
1:20
Speaker 2: You'll notice the names here Crypto or excuse me, Coinbase, Ripple,
1:23
Speaker 2: and pagsos.
1:24
Speaker 1: Okay, that's interesting.
1:26
Speaker 2: But in the letter, if you click over and go
1:28
Speaker 2: to the letter she sent, it says, please provide the
1:32
Speaker 2: full applications, including confidential exhibits. She goes through the nine
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Speaker 2: that were approved, and who does she put first? Ripple
1:40
Speaker 2: National Trust. This is not in alphabetical order. In fact,
1:44
Speaker 2: there's no alphabetical order here at all. She puts Ripple
1:48
Speaker 2: number one front and center. She is clearly attacking Ripple.
1:53
Speaker 2: And this is the thing I'm getting at. This is
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Speaker 2: the concern right now because there's a lot that is
1:58
Speaker 2: going on behind the scenes around now the negotiations of
2:02
Speaker 2: what's going on with Clarity. But I think now to
2:05
Speaker 2: protect the banks even further, what's going on with the OCC.
2:08
Speaker 2: So to kind of capstone this, let's go to a clip.
2:10
Speaker 2: This is Perry I'm boring, and she has a very
2:13
Speaker 2: interesting take on the banks.
2:15
Speaker 1: Take a look.
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Speaker 3: What is your take on the Clarity Act and where
2:20
Speaker 3: this goes. Do you believe that if in fact the
2:24
Speaker 3: crypto platforms do ultimately have the right to pay rewards,
2:29
Speaker 3: people will take money out of their traditional bank accounts
2:31
Speaker 3: and put them in crypto platforms.
2:33
Speaker 4: Well, I mean we're not seeing that right now. You
2:35
Speaker 4: can get yield on digital asset deposits at all sorts
2:39
Speaker 4: of companies in the US today. These are regulated businesses.
2:43
Speaker 4: So the reality doesn't match up with the talking points
2:46
Speaker 4: that are being used to slow down the bill. I
2:49
Speaker 4: really called this stage of digital asset adoption as the
2:53
Speaker 4: mask off phase. The banks have taken their mask off
2:56
Speaker 4: and their gloves off, and they've really come out very
3:00
Speaker 4: forward facing against the bill, and they really are the
3:03
Speaker 4: last standout in terms of the group of organizations who
3:07
Speaker 4: have got to adopt this technology. But it's cunning. You
3:10
Speaker 4: can't hold back innovation. You can't put the toothpaste back
3:14
Speaker 4: in the tube. The technology is out there, it's going
3:17
Speaker 4: to strengthen the banking system. They're just being very slow
3:21
Speaker 4: and apprehensive to adopt.
3:23
Speaker 1: It all right.
3:25
Speaker 2: So the point now, I think is this last ditch effort,
3:28
Speaker 2: and that is where Warren is being supplemented here by
3:31
Speaker 2: the banking industry. She's going after the biggest, really the
3:35
Speaker 2: biggest potential winner out of clarity, and I think that's
3:38
Speaker 2: going to be Ripple, and that is why you're seeing
3:40
Speaker 2: Ripple's name right in the front and center. And I've
3:43
Speaker 2: got more that will break this down of why she's
3:45
Speaker 2: taking this approach. But if you look at where the
3:48
Speaker 2: industry is going, it's all going digital. For two hundred
3:53
Speaker 2: and thirty four years, the New York Stock Isschange has
3:56
Speaker 2: been powered by every era of innovation we've seen the
3:59
Speaker 2: past history of what in my own era and that
4:02
Speaker 2: is the era of the internet, what we saw in
4:04
Speaker 2: the Dot bomb era. Now we're getting ready to go
4:07
Speaker 2: to the next level and it's all going to be tokenized.
4:10
Speaker 1: So get ready.
4:11
Speaker 2: I think that's the thing that we are going to
4:12
Speaker 2: be looking at. And here is Fox breaking this down
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Speaker 2: because there's some interesting points.
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Speaker 5: Take a look the birthplace of markets and trading, The
4:21
Speaker 5: New York Stock Exchange today turns two hundred and thirty
4:24
Speaker 5: four years old. The New York Stock Exchase is embarking
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Speaker 5: on yet its biggest chapter yet, a twenty four to
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Speaker 5: seven global infrastructure and Digital Assets platform, pushing into tokenied securities,
4:35
Speaker 5: private credit, mortgage securities, energy markets, AI and data products,
4:39
Speaker 5: even prediction markets.
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Speaker 3: How will the financial services segment change?
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Speaker 6: I think what is really going on is that people
4:47
Speaker 6: want access around the world to these markets. But we're
4:51
Speaker 6: globalizing these markets. And what's really good for the United
4:54
Speaker 6: States is it's all happening in US dollars. And it
4:58
Speaker 6: shouldn't be lost on us that when the resident went
5:01
Speaker 6: to project to the image of the United States to
5:03
Speaker 6: the Chinese, what did he take. He didn't fill air
5:06
Speaker 6: Force one full of generals. He put in a business leaders,
5:10
Speaker 6: many many tech that are pushing our technology forward. This
5:14
Speaker 6: is a projection of where our country is going. It's
5:18
Speaker 6: technology and finance intertwined that are pushing this economy forward.
5:23
Speaker 3: And you know, China wants those liquid markets. They want
5:26
Speaker 3: to be on the US exchanges and there are plenty
5:29
Speaker 3: of Chinese stocks that are trading right now.
5:31
Speaker 4: So you're right.
5:32
Speaker 3: This is the deepest most liquid markets and everybody wants
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Speaker 3: to be a part of it because of the liquidity.
5:39
Speaker 1: So there you have it.
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Speaker 2: I mean, the point is is that the markets are shifting,
5:42
Speaker 2: the banks already feel like they're being left behind, and
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Speaker 2: I think they are. Then you look at the SEC.
5:47
Speaker 2: They're set to release it's so called innovation exemption. This
5:50
Speaker 2: is going to open up even more, including the surprise
5:53
Speaker 2: move where the the SEC is leaning toward allowing the
5:56
Speaker 2: trading of tokenized assets. That means means everything we could
6:01
Speaker 2: see the move that could reshape literally the landscape of
6:04
Speaker 2: the American stock market.
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Speaker 1: That of course shifts over.
6:08
Speaker 2: To maybe the landscape of the American banking system going forward.
6:12
Speaker 2: But this right here is interesting, and that is this
6:16
Speaker 2: statement the SEC officially end. It's its nineteen seventy two
6:19
Speaker 2: policy that stops settling defendants from denying the agency's allegation.
6:25
Speaker 2: So now if you settle with them, you don't have
6:28
Speaker 2: to say I, you know, I can't say anything. No,
6:31
Speaker 2: you can actually say there was nothing, we did nothing wrong.
6:34
Speaker 2: So Ripple can now say that this is something would
6:38
Speaker 2: be huge in the sense we did nothing wrong. That's
6:41
Speaker 2: an example of why we're seeing so much pressure coming
6:43
Speaker 2: in from Elizabeth Warren. I think because she understands where
6:47
Speaker 2: this is heading, and especially with Ripple kind of leading
6:50
Speaker 2: the way.
6:51
Speaker 1: Two rule making.
6:52
Speaker 2: Now these two rule makings will serve as a foundation
6:55
Speaker 2: for Atkins's agenda to make IPOs great again.
6:58
Speaker 1: I think this will be interesting.
7:00
Speaker 2: Do we see IPOs start to move in the next era,
7:03
Speaker 2: especially as we see tokenization continuing to grow. I think
7:06
Speaker 2: this is all brewing into one thing, and that is
7:09
Speaker 2: a shift in the overall financial system. And banks are
7:14
Speaker 2: in the crosshairs, which is why they are fighting so hard.
7:18
Speaker 2: So all of this gets ready to get active, I
7:20
Speaker 2: think very soon, especially once Clarity goes through. That's the
7:24
Speaker 2: key here, guys, Clarity's got to go through. Once that does,
7:28
Speaker 2: companies like Ripple and many more, we could see a
7:30
Speaker 2: Ripple IPO, especially with this right here integrated in and
7:34
Speaker 2: Atkins kind of weighing in and giving this pretty much
7:37
Speaker 2: a green light. This is an opportunity I think that
7:40
Speaker 2: we will not want to miss in the coming months.
7:44
Speaker 1: I want to go to a clip here.
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Speaker 2: This is interesting because now we're talking about trad FI
7:48
Speaker 2: traditional finance versus the twenty four to seven markets. And
7:52
Speaker 2: I'm not talking about just think about digital assets. I'm
7:55
Speaker 2: talking about now purps, what we're going to see on
7:57
Speaker 2: tokenized assets, securities, etc.
8:01
Speaker 1: Commodities. All of this twenty four to seven take.
8:03
Speaker 7: A look, and people need twenty four to seven markets.
8:07
Speaker 7: Fiduciaries need twenty four to seven markets and risk management.
8:10
Speaker 7: And when Trump invades Venezuela on our Friday night, gosh,
8:14
Speaker 7: I need to go and mitigate my risk. When Operation
8:18
Speaker 7: epic Furity starts on a Saturday night, gosh, I need
8:21
Speaker 7: to move quickly. I'm a fiduciary. I want to act
8:23
Speaker 7: in the interest of my clients. So isn't the answer,
8:26
Speaker 7: Hey guys, with all of your robustness, why don't you
8:30
Speaker 7: just fix your tech, go to twenty four to seven
8:32
Speaker 7: and compete.
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Speaker 8: But there are some structural things that have to happen
8:37
Speaker 8: in order for the integrity of the market to keep
8:40
Speaker 8: pace with the execution side of the market. But the
8:44
Speaker 8: payment rails aren't open, the banking system's not open, and
8:48
Speaker 8: so the de risking of the system can't happen. And
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Speaker 8: so whatever I suggested is we need to make innovative
8:54
Speaker 8: new steps there. We need to look at tokenization, We
8:58
Speaker 8: need to make sure that the clearing systems are running
9:02
Speaker 8: twenty four to seven before we go into these markets.
9:05
Speaker 8: But again on the first principal ideas that the people
9:09
Speaker 8: we're trying to protect are ultimately the commercial participants that
9:12
Speaker 8: are hedging in our markets. If there is an ill
9:14
Speaker 8: liquid market on a Sunday night where a hedger gets
9:18
Speaker 8: blown out because we have rushed too fast to get
9:20
Speaker 8: to twenty four seven, that's not great for the commercial
9:24
Speaker 8: participant and we'll lose confidence in our markets. So we
9:27
Speaker 8: are totally in support of getting to twenty four to seven.
9:31
Speaker 8: Let's do it in a responsible way that gets us
9:33
Speaker 8: there and all the benefits of our markets come with it.
9:38
Speaker 2: You know, come to think about this because he kind
9:41
Speaker 2: of revealed something there that I think a lot of
9:43
Speaker 2: people may not be thinking through, and I'm sure these
9:46
Speaker 2: guys are thinking through. But in the essence of how
9:48
Speaker 2: twenty four to seven markets are going to work, they've
9:50
Speaker 2: got to have a settlement layer, which is essentially the
9:52
Speaker 2: traditional banking system. Right if retail which is already trading
9:58
Speaker 2: in tokenized assets, they're not necessarily trading into traditional finance.
10:03
Speaker 2: They're not going into banks and off ramping. No, they're
10:06
Speaker 2: doing it within crypto. This though, could shift quickly if
10:11
Speaker 2: RWA's tokenized assets.
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Speaker 1: All this.
10:13
Speaker 2: If you're looking for a settlement layer that a bank's
10:15
Speaker 2: got to be involved. Banks are going to have to
10:17
Speaker 2: come along with that. Maybe that's why they realize they
10:20
Speaker 2: are literally caught here and in a position between a
10:24
Speaker 2: rock and a hard place because the markets are already
10:26
Speaker 2: moving there, so they're going to have to move fast
10:29
Speaker 2: or it puts a lot of these institutional players at risk.
10:32
Speaker 2: So I do agree with that analysis that was broken
10:35
Speaker 2: down there. If you look at spot trading for tokenized equities,
10:39
Speaker 2: this is on Solana. Weekly volume just hit a new
10:42
Speaker 2: all time high. This is crazy because look at this
10:45
Speaker 2: chart right here, the explosion and this is the beginning,
10:49
Speaker 2: and this is where Solana is starting to dominate the
10:52
Speaker 2: RBA side of things, and I think this is just
10:55
Speaker 2: a pebble that we're going to see in these markets
10:57
Speaker 2: going forward.
10:59
Speaker 1: Tom Lee of course goes out buys.
11:01
Speaker 2: One hundred and fifty million an eath and at this
11:04
Speaker 2: rate right here, he's going to become a Brison. No,
11:07
Speaker 2: he's not going to become a Brison. No, he's going
11:09
Speaker 2: to become a five percent stakeholder by September. Yeah, by September,
11:15
Speaker 2: bit mind will be a five percent stakeholder of which
11:18
Speaker 2: is the goal they've been going for. And at this rate,
11:21
Speaker 2: we're going to see it. Other things you've got Blackrock
11:25
Speaker 2: and Vanguard. This was crazy buying meme coins. Yeah, that's right.
11:28
Speaker 2: The two world largest asset managers by UM have now
11:32
Speaker 2: just disclosed none other than Bonk. That's Larry and the
11:36
Speaker 2: Dog in one place. All right, So let's go over
11:39
Speaker 2: to Fintel just to kind of take a look at this.
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Speaker 1: There is Bonk, and of course you can kind of
11:45
Speaker 1: see the.
11:46
Speaker 2: Movement right there if you look at the institutional ownership
11:49
Speaker 2: boom January boom.
11:51
Speaker 1: Nice little moves.
11:52
Speaker 2: Now in these thirteen f filings, you see who's actually
11:55
Speaker 2: making these moves. And I'll zoom in on this for you.
11:58
Speaker 2: Right here, that's Vanguard. That's Blackrock holding a nice significant amount.
12:05
Speaker 2: And if you look at it by just in general.
12:08
Speaker 2: Let me refresh this page for you guys, because this
12:11
Speaker 2: is interesting right here. Let me show you something. If
12:14
Speaker 2: you look at this when it's not sorted, look at
12:17
Speaker 2: the ones that are exiting. There's JP Morgan, City Group,
12:22
Speaker 2: Wells Fargo or not JP Morgan and then even Jane
12:26
Speaker 2: Street all exiting out. But at the same now you've
12:28
Speaker 2: got Vanguard and Blackrock going in. Makes you go, what's
12:34
Speaker 2: going on with that? All right? Let's take a look
12:36
Speaker 2: at the bank overview and Bonk holdings. You can see
12:39
Speaker 2: the m NAV trading above right there.
12:41
Speaker 1: If you look at the.
12:42
Speaker 2: Distribution right here, their goal is five percent, you can
12:45
Speaker 2: see it. They are fifty nine percent of the way
12:49
Speaker 2: to that goal of five percent. Could this create a
12:51
Speaker 2: little buyback on the stock? I'm on the token. I
12:54
Speaker 2: don't know, but I am taking a look at this.
12:57
Speaker 2: There's the bank balanced trend and started really moving back
13:00
Speaker 2: here in August of last year and kind of plateaued,
13:03
Speaker 2: and then we have another bump up here at the
13:05
Speaker 2: end of last year. So interesting times right now as
13:08
Speaker 2: we see this going forward. Let me go to another
13:10
Speaker 2: clip because this goes into consumer sentiment and also how
13:15
Speaker 2: consumers are navigating a lot of these inflation shocks. What
13:20
Speaker 2: do you think they are navigating? Good or bad? Put
13:23
Speaker 2: it down below and we'll play the clip.
13:26
Speaker 9: So I would use a different word. I would use
13:28
Speaker 9: the word nimble for consumers. Consumers have been hit with
13:32
Speaker 9: a number of shocks of the last few years, and
13:34
Speaker 9: they have managed to navigate those shocks remarkably well. And
13:38
Speaker 9: I think it's because the shocks have not been uniform
13:41
Speaker 9: in terms of the basket of spend. So they've had
13:43
Speaker 9: some flexibility in terms of how to figure out where
13:46
Speaker 9: the prices are rising, where they're seeing more discounts, and
13:50
Speaker 9: they're gravitating to where they find the most amount of value.
13:53
Speaker 9: It's pretty remarkable to see.
13:56
Speaker 2: I like this because she's saying something that may maybe
14:00
Speaker 2: financial markets have not been considering, and that is that
14:05
Speaker 2: customer consumers are much more savvy in the essence of
14:09
Speaker 2: knowing where to go to get information, knowing how to
14:12
Speaker 2: go in on certain assets. I think digital assets might
14:14
Speaker 2: be playing a big role in this because of their access,
14:17
Speaker 2: meaning retails access to digital assets. Remember, a lot of
14:21
Speaker 2: these investors in the past cycles did not necessarily have
14:26
Speaker 2: this kind of exposure, and now we're starting to see
14:28
Speaker 2: brand new investors in gen Z's millennials that maybe didn't
14:31
Speaker 2: even invest in crypto. Maybe that's how they're navigating this
14:35
Speaker 2: going forward. Other shocks that could hit are FED rate
14:38
Speaker 2: cuts or wait a minute, could it be a FED
14:41
Speaker 2: rate hike. Yeah, that's what they're saying. Now, higher odds
14:45
Speaker 2: of a hike than a cut. If you look at
14:48
Speaker 2: it right there starting to climb, and then if you
14:50
Speaker 2: take a look at the polymarket boom, look at this
14:53
Speaker 2: going from what we were at around thirteen percent, skyrocketing
14:57
Speaker 2: right there to a fed rate high in twenty twenty six.
15:02
Speaker 2: What would this do to the markets? Well, we all
15:03
Speaker 2: know that fed raiate hikes are not good for risk,
15:05
Speaker 2: but there may be an opportunity here to enter into
15:08
Speaker 2: a token or a digital asset, or even to a
15:11
Speaker 2: certain extent, some stocks in terms of opportunity in buying
15:15
Speaker 2: the dip, So be on the lookout for that. Trump though,
15:18
Speaker 2: that I think will change. A lot of this is
15:21
Speaker 2: going to be around getting out of Iran, and Trump
15:24
Speaker 2: says the Iran decision is coming soon. Middle East country
15:28
Speaker 2: is now asking for a few more days hang on,
15:31
Speaker 2: we got a few more days here before you send
15:32
Speaker 2: some attack drones. And he's waiting on a formal proposal.
15:37
Speaker 2: We'll see if this happens next two to three days,
15:39
Speaker 2: maybe early next week would be good for Memorial Day
15:42
Speaker 2: week coming up. Here's the other thing he's got to
15:45
Speaker 2: worry about, and that is midterm elections, and that, of course,
15:48
Speaker 2: is the Senate being lost. Republicans right now edging it
15:52
Speaker 2: out at fifty three percent. Obviously the House already in
15:54
Speaker 2: Democrat control. But what I'm interested in is this little
15:57
Speaker 2: thing right here. It's the great state of Texas, which
16:02
Speaker 2: is now purple. I do not think that this will
16:05
Speaker 2: go blue, but if it does, it changes situations pretty quickly,
16:11
Speaker 2: and it might even change it pretty quickly, because this
16:14
Speaker 2: is a shock poll right here tall Rico fort against
16:19
Speaker 2: Paxton forty five percent is taxes on the verge of
16:24
Speaker 2: going blue. And if it does, does that change how
16:28
Speaker 2: many of these lawmakers will propose rules around digital assets?
16:33
Speaker 2: Remember clarity is just one step. Then you've got all
16:36
Speaker 2: this bureaucratic lawmaking, essentially rule making that's going to be
16:40
Speaker 2: flowing into these agencies, and these get controlled by the
16:44
Speaker 2: party in power. The party in power will have influence
16:49
Speaker 2: a lot of this as we go forward. So keep
16:51
Speaker 2: your eyes out for what could be happening in Texas
16:55
Speaker 2: around the midterms. And that's something that Trump doesn't want
16:57
Speaker 2: to lose. We'll be watching it closely. If you like
17:06
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