Latest / The Paul Barron Crypto Show / CLARITY Deal Reached!🚨Yield Details Revealed?

Transcript

CLARITY Deal Reached!🚨Yield Details Revealed? · The Paul Barron Crypto Show

• 0:00
  Speaker 1: Clarity Act language has been revealed. It may not be
• 0:03
  Speaker 1: as bad as you guys think. We're gonna drill down
• 0:05
  Speaker 1: on it. You guys are gonna love it. Let's just
• 0:06
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• 0:30
  Speaker 1: You guys will love it, and you know, let me
• 0:33
  Speaker 1: know what you guys think. Drop some comments down below.
• 0:35
  Speaker 1: Let's get into it and start off with this tweet
• 0:37
  Speaker 1: right here. And of course that is Senators Tom Tillis
• 0:40
  Speaker 1: and Angela also Brooks release the stable Coin Yield compromise.
• 0:44
  Speaker 2: And this pretty much.
• 0:46
  Speaker 1: Clears the way for the Clarity Act markup. And at
• 0:50
  Speaker 1: this point it really boils down to what did the
• 0:53
  Speaker 1: banks get. Well, we're going to break that down for you.
• 0:55
  Speaker 1: It's kind of interesting. Though when you look at the
• 0:57
  Speaker 1: poly market, it absolutely skyrocket while I was in Vegas
• 1:01
  Speaker 1: last week on Friday, and of course went right up
• 1:03
  Speaker 1: to almost seventy hit seventy percent and has leveled off,
• 1:07
  Speaker 1: holding it around sixty four percent chance right now, So
• 1:10
  Speaker 1: looking good, much better.
• 1:11
  Speaker 2: This is a very good result, I.
• 1:14
  Speaker 1: Think in a short period of time, because markup still
• 1:16
  Speaker 1: has not been completed, we'll see what that looks like.
• 1:20
  Speaker 1: Here's a couple of points I want to hit on,
• 1:22
  Speaker 1: first of all, and that is, in the end, the
• 1:24
  Speaker 1: banks were able to get more restrictions on rewards. When
• 1:27
  Speaker 1: you look at a statement here by Coinbase's chief policy officer,
• 1:32
  Speaker 1: he kind of hits it right here. In the end,
• 1:33
  Speaker 1: the banks were able to get more restrictions on rewards,
• 1:37
  Speaker 1: but were they actually because there's some language in here
• 1:41
  Speaker 1: that will break down that kind of gives some different indications.
• 1:45
  Speaker 1: When you look at some of the social posts out
• 1:47
  Speaker 1: there's Alex Storrin hitting on the language extends the prohibition
• 1:51
  Speaker 1: on reward payments beyond issuers to also cover third party
• 1:54
  Speaker 1: platforms like crypto exchanges. Then you look at what Paul
• 1:58
  Speaker 1: Greywall says. He says, judging by feed the rewards language
• 2:01
  Speaker 1: release last night with either a complete giveaway by Coinbase,
• 2:04
  Speaker 1: a capitulation by Coinbase to the banks, or had nothing whatsoever.
• 2:08
  Speaker 1: So he thinks that means they got it right in
• 2:11
  Speaker 1: terms of the language, and I would agree.
• 2:12
  Speaker 2: I think it's a little bit.
• 2:13
  Speaker 1: More confusing, but also leaves a lot of room for interpretation.
• 2:17
  Speaker 1: And that being said, Armstrong comes in and says mark
• 2:20
  Speaker 1: it up. That tells me a lot just that statement alone.
• 2:24
  Speaker 1: He's ready, or he's maybe in a position where he says, hey,
• 2:27
  Speaker 1: this might actually be much better for us. Let's get
• 2:30
  Speaker 1: it marked up and into law quickly. All right, So
• 2:33
  Speaker 1: we're going to go into the language and just let
• 2:35
  Speaker 1: me kind of go here, because we're actually reading from
• 2:37
  Speaker 1: the language that they are going to go to mark
• 2:39
  Speaker 1: up with.
• 2:40
  Speaker 2: And initially we thought this was going to be dropped.
• 2:43
  Speaker 2: So the fact that we've got it this early pretty
• 2:45
  Speaker 2: good news. I think.
• 2:46
  Speaker 1: In general, a couple of key things is this has
• 2:48
  Speaker 1: got to referral to Secretary of Treasury if the Commission
• 2:51
  Speaker 1: or the Commodity Futures Trading Commission has reason to believe
• 2:55
  Speaker 1: any covered party has knowingly and wilfully violated paragraph paragraphs.
• 3:00
  Speaker 1: And these are a whole bunch of these in terms
• 3:02
  Speaker 1: of the rules, and it shall refer the matter to
• 3:05
  Speaker 1: the Secretary of Treasury. So basically Scott Bessant has the
• 3:09
  Speaker 1: veto power on this throughout. So his interpretation of setting policy,
• 3:14
  Speaker 1: if he is pro crypto and pro coinbase and pro yield,
• 3:19
  Speaker 1: then essentially this could go through with quite flying colors,
• 3:24
  Speaker 1: all right. So this is another part of the of
• 3:27
  Speaker 1: the language that says that basically are going to have
• 3:29
  Speaker 1: a year from the enactment of this act to where
• 3:32
  Speaker 1: they're going to be able to come in and set
• 3:34
  Speaker 1: up some rules. And my assumption here is that they're
• 3:37
  Speaker 1: going to be looking at what's happening and try to
• 3:40
  Speaker 1: accommodate against that.
• 3:41
  Speaker 2: One specific statement.
• 3:43
  Speaker 1: Though, is right there in b at the bottom clearly
• 3:45
  Speaker 1: identifies the circumstances under which such compensation can be paid.
• 3:52
  Speaker 1: So that's assuming that there is an alternative here in
• 3:55
  Speaker 1: which this could be done. So this is good news,
• 3:57
  Speaker 1: I think as you start. The point is is this
• 3:59
  Speaker 1: is going to probably open up a lot of legal
• 4:02
  Speaker 1: opportunities for many of these companies to fight this in
• 4:04
  Speaker 1: court or at least get a position and get a
• 4:07
  Speaker 1: court to come in. Last point I want to hit
• 4:08
  Speaker 1: on right here is right here in this second sentence
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  Speaker 1: is for purposes of this section, a covered party shall
• 4:13
  Speaker 1: not be deemed to violate the prohibition in subsection CEE
• 4:18
  Speaker 1: solely because it's an affiliated third party independently makes a
• 4:21
  Speaker 1: payment with respect to a payment coin, a payment stable coin.
• 4:25
  Speaker 1: So this again gets back into the point where there
• 4:27
  Speaker 1: is an opportunity here I think for the Secretary of
• 4:30
  Speaker 1: Treasury to essentially.
• 4:31
  Speaker 2: Start to set policy for this.
• 4:33
  Speaker 1: All right, let's go to this post here by Simon Taylor,
• 4:36
  Speaker 1: and I think he uncovered something here that's kind of interesting.
• 4:39
  Speaker 1: The text permits cal rewards calculated on balance, duration, tenure,
• 4:44
  Speaker 1: or any of the combinations this provided they're tied to
• 4:47
  Speaker 1: a bona fide activity. Now I'll refer to that in
• 4:50
  Speaker 1: a second, but this includes payments, transfers, market making, staking, governance,
• 4:53
  Speaker 1: and loyalty programs. But the interesting point is duration, because
• 4:57
  Speaker 1: this wasn't really identified in the tech next, meaning it
• 5:01
  Speaker 1: could be as maybe a minute, five minutes. Is that
• 5:03
  Speaker 1: the duration one hour or ninety days like a CD
• 5:07
  Speaker 1: or something. That's the question mark. I think we're going
• 5:09
  Speaker 1: to be dealing with technical distinction functionally almost exactly the
• 5:13
  Speaker 1: same as a term deposit. So this is going to
• 5:17
  Speaker 1: be a way for stable coin. Yeald, So I'm feeling
• 5:20
  Speaker 1: that there may be an out here, and it might
• 5:23
  Speaker 1: be why we're seeing a little bit of alignment here
• 5:26
  Speaker 1: with a lot of the main actors that have been
• 5:28
  Speaker 1: against this for quite some time, including coinbase, and this
• 5:32
  Speaker 1: is I think a little bit different situation than what
• 5:35
  Speaker 1: we expected in the industry.
• 5:37
  Speaker 2: We are making.
• 5:38
  Speaker 1: Real progress is coming from Tim Scott on digital ASID
• 5:41
  Speaker 1: markup basically saying hey, we're in markup is happening in
• 5:44
  Speaker 1: May here we are it is May fourth, and when
• 5:47
  Speaker 1: you look at that and you look at what's happening
• 5:50
  Speaker 1: in the market, eth absolutely exploded right up to twenty
• 5:53
  Speaker 1: three fifties or another big.
• 5:54
  Speaker 2: Move right here.
• 5:55
  Speaker 1: There are other issues that we need to be aware of,
• 5:58
  Speaker 1: but I'm okay with this. This. This was an article
• 6:00
  Speaker 1: over on Crypto and America and they were talking about
• 6:04
  Speaker 1: us Chuck Grassley, because this is a new name that
• 6:06
  Speaker 1: we haven't necessarily faced yet, and Grassly is the chairman
• 6:10
  Speaker 1: of the Senate Judiciary Committee. He's expected to weigh in
• 6:12
  Speaker 1: on changes run around these texts. And this is all
• 6:14
  Speaker 1: coming in reference to Section nineteen sixty, which would prohibit
• 6:18
  Speaker 1: safe harbors for software developers who knowingly keyword here knowingly
• 6:24
  Speaker 1: philostate facilitate money laundering. So point being is, this is
• 6:27
  Speaker 1: going to hit on the DeFi section, and I think
• 6:30
  Speaker 1: this is probably going to be okay, but it is
• 6:32
  Speaker 1: a new guy.
• 6:33
  Speaker 2: It is a new guy that we have.
• 6:34
  Speaker 1: To be watching for, so be aware of that when
• 6:37
  Speaker 1: it comes to DeFi. So when you look at this tweet,
• 6:39
  Speaker 1: it kind of goes right into that. And that is
• 6:41
  Speaker 1: the Trump family's own crypto firm, World Liberty Financial files
• 6:45
  Speaker 1: a defamation lawsuit against Justin Sun. This of course in
• 6:50
  Speaker 1: relationship to a whole slew of accusations by Justin Sun.
• 6:54
  Speaker 1: They have been World Liberty fi have denied those. But
• 6:57
  Speaker 1: the point is is that this of course is active.
• 7:00
  Speaker 1: I want to go to a calendar because this is
• 7:02
  Speaker 1: going to get you into a framework. Here we are
• 7:05
  Speaker 1: in May, and if you look at that, those blue
• 7:07
  Speaker 1: dates are the dates we've got to get it done
• 7:09
  Speaker 1: right there. So this is the week that we think
• 7:11
  Speaker 1: it's probably going to happen. That is next Monday, and
• 7:15
  Speaker 1: then all of this is when the market has to
• 7:17
  Speaker 1: be and then of course they have to set a
• 7:18
  Speaker 1: date somehow in June, along with everything else that's going
• 7:22
  Speaker 1: to be happening, and July. This is pretty much it.
• 7:25
  Speaker 1: If they don't get it done by the thirty first,
• 7:27
  Speaker 1: it would be well technically August seventh, but most likely
• 7:30
  Speaker 1: June and July will be the dates in which we'll
• 7:33
  Speaker 1: see a final bill go through and make its way
• 7:36
  Speaker 1: back to the House for basically a rubber stamp, and
• 7:39
  Speaker 1: then President Trump off on a signing desk. Tim Warred
• 7:43
  Speaker 1: it hits it up right here, the perfect setup. There
• 7:45
  Speaker 1: are a few things that you got to look at.
• 7:47
  Speaker 1: Jerome palas out washes in GameStop is in the headlines.
• 7:51
  Speaker 1: We all know what that means. Trading cards are in
• 7:53
  Speaker 1: a bull market, an s and p at all time highs.
• 7:56
  Speaker 1: Earnings are crushing expectations. Clarity is looking good right now now,
• 8:00
  Speaker 1: at least in advancing to the Senate, along with what
• 8:03
  Speaker 1: happened right here, which is game Stop offering to buy
• 8:06
  Speaker 1: eBay for fifty six bill. Now, let's think about that
• 8:10
  Speaker 1: for a second, because GameStop has been, you know, kind
• 8:14
  Speaker 1: of at odds with media in before and also in general.
• 8:19
  Speaker 1: They have done some pretty interesting things before as well.
• 8:22
  Speaker 2: Well.
• 8:22
  Speaker 1: This is an interview that CNBC had with our CEO.
• 8:25
  Speaker 3: Take a look, how does the math math for you?
• 8:29
  Speaker 3: Fifty six billion dollars? Walk us through how you could
• 8:32
  Speaker 3: get to that price.
• 8:34
  Speaker 4: It's half cash, half stock. Did you look at the
• 8:38
  Speaker 4: materials that we posted online?
• 8:40
  Speaker 3: I have looked at the materials that you've posted online.
• 8:43
  Speaker 3: I've read them. But can you help our audience understand them?
• 8:46
  Speaker 4: Yeah? Which part exactly.
• 8:50
  Speaker 2: Well?
• 8:51
  Speaker 3: TD saying they're highly confident that they would provide the financing.
• 8:55
  Speaker 3: It's not locked financing.
• 8:59
  Speaker 4: Yeah, we'll see what happens.
• 9:08
  Speaker 3: I hear you. I understand that. I'm just trying to
• 9:12
  Speaker 3: understand where the rest of the money would come from.
• 9:17
  Speaker 4: It's half cash, half stock.
• 9:21
  Speaker 3: I hear you. That math doesn't get you to the
• 9:25
  Speaker 3: to the price that you're offering.
• 9:30
  Speaker 2: And that's a pretty straightforward question.
• 9:32
  Speaker 4: I don't get it, Like, where's the rest of the
• 9:35
  Speaker 4: money coming from? I don't understand your question. So, but
• 9:41
  Speaker 4: I don't understand your question.
• 9:46
  Speaker 3: Saying that a combined company could rival the likes of
• 9:50
  Speaker 3: Amazon sets the bar pretty high.
• 9:52
  Speaker 4: Where's the evidence that you kind of know how to
• 9:55
  Speaker 4: grow a mature consumer business?
• 9:57
  Speaker 2: I don't know.
• 9:57
  Speaker 4: I mean, didn't you guys call for game stops to
• 9:59
  Speaker 4: mind multiple times? Is that what you're saying, Well, look
• 10:06
  Speaker 4: at our financial performance. Is it better than you guys anticipated,
• 10:10
  Speaker 4: because you guys said it was going to be doing really,
• 10:12
  Speaker 4: really poorly and it's actually doing okay.
• 10:18
  Speaker 3: You've had conversations with the company, you've tried, what's happened here?
• 10:23
  Speaker 4: No, we're just starting. I am sure they've hired the
• 10:28
  Speaker 4: most expensive advisory firms and lawyers. So no, not yet.
• 10:35
  Speaker 3: How would you feel if eBay called you up and
• 10:37
  Speaker 3: said we'd like to pursue a transaction with you and
• 10:40
  Speaker 3: we would like to buy game Stop?
• 10:43
  Speaker 2: All right?
• 10:43
  Speaker 1: So what they were getting into there, this is a
• 10:45
  Speaker 1: little bit of tension between the CEO and CNBC mainly
• 10:49
  Speaker 1: he kind of hit it right there on the head
• 10:51
  Speaker 1: is that there has been a little bit of bad
• 10:52
  Speaker 1: blood with media in general. But the point that it
• 10:55
  Speaker 1: really rolls out to is that this goes into the djons,
• 10:59
  Speaker 1: This starts retail rallies. This is the kind of thing
• 11:02
  Speaker 1: that can get things moving in the markets, especially around
• 11:06
  Speaker 1: risk and some of these types of projects like what
• 11:08
  Speaker 1: GameStop is doing, so beyond the lookout, that could be
• 11:11
  Speaker 1: another market indicator that would be blending in as well.
• 11:14
  Speaker 1: Further into this week, we are going to be at consensus.
• 11:17
  Speaker 1: This is happening just around the corner here in Miami,
• 11:20
  Speaker 1: May fifth through the seventh, just another or a few
• 11:23
  Speaker 1: hours away. You got Salana also accelerate happening. We'll be
• 11:26
  Speaker 1: filming some episodes there. And then of course you got
• 11:28
  Speaker 1: even Swede doing an event on Friday this week from Miami.
• 11:33
  Speaker 1: So it's likely that there's going to be a lot
• 11:35
  Speaker 1: of announcements. I anticipate there's going to be some very
• 11:38
  Speaker 1: significant announcements beyond the lookout for that we'll cover more.
• 11:41
  Speaker 2: Stay tuned.
• 11:49
  Speaker 1: If you like this video, like and subscribe, drop a
• 11:52
  Speaker 1: comment down below, and also join our free private member group.
• 11:55
  Speaker 2: The link is in the description