Latest / The Paul Barron Crypto Show / Banks Waging WAR on Stablecoin Yields and Coinbase!!🔥

Transcript

Banks Waging WAR on Stablecoin Yields and Coinbase!!🔥 · The Paul Barron Crypto Show

• 0:00
  Speaker 1: The banks are waging war on crypto and it is
• 0:02
  Speaker 1: getting heated. Let's break it down. I do want to
• 0:04
  Speaker 1: thank our sponsor today and that of course is Tangum.
• 0:07
  Speaker 1: This is a place where you guys can get into
• 0:09
  Speaker 1: self custy. There is something very unique about tangum, and that.
• 0:13
  Speaker 2: Is you can deploy yields.
• 0:16
  Speaker 1: That's right, yield mode works with your self custody device,
• 0:20
  Speaker 1: plugs right into ave and you guys get yields on
• 0:23
  Speaker 1: your stable coins. And we're going to be talking about
• 0:25
  Speaker 1: that a lot today. This is super easy to set
• 0:27
  Speaker 1: up and it is by far one of the best
• 0:30
  Speaker 1: apps out there that works with a device to ensure
• 0:33
  Speaker 1: the best security for self custy.
• 0:36
  Speaker 2: So check it out.
• 0:36
  Speaker 1: Use the link down below. It gives you more of
• 0:38
  Speaker 1: a discount you guys can get going, and of course
• 0:40
  Speaker 1: they've got a little bit of a bonus that stacks
• 0:42
  Speaker 1: on top of that, so use that as well to
• 0:45
  Speaker 1: get started. Let's go into it today. I put a
• 0:47
  Speaker 1: tweet out here simply stating this Wall Street is losing
• 0:50
  Speaker 1: it's cool, the mass slip to Davos, and mainly what
• 0:53
  Speaker 1: happened here was JP Morgan and Coinbase got into a
• 0:56
  Speaker 1: little bit of a Mexican standoff, and here was Jamie
• 0:59
  Speaker 1: Diamond coming in literally pointing in Brian Armstrong's face that
• 1:04
  Speaker 1: he is full of shit, right.
• 1:06
  Speaker 2: In front of Tony Blair, who is the Prime Minister.
• 1:09
  Speaker 1: This is the kind of stuff that's happening, So why
• 1:12
  Speaker 1: would Diamond even stoop to that level. Further into my
• 1:16
  Speaker 1: tweet right here, I just kind of broke down the
• 1:18
  Speaker 1: reasons they're scared. But the big deal is that right there,
• 1:21
  Speaker 1: that's the Wall Street Journal. Guys, guess who the poster
• 1:24
  Speaker 1: child is. It's the Crypto ceo who has become enemy
• 1:27
  Speaker 1: number one to Wall Street. And I would agree. I
• 1:30
  Speaker 1: think Wall Street is looking at this in a very
• 1:31
  Speaker 1: different way. The lobby groups are out in force. Cody
• 1:35
  Speaker 1: Carbone kind of breaks it down here, we're going to
• 1:37
  Speaker 1: get a deal done this month.
• 1:38
  Speaker 2: A huge thank you to Patrick Whitt. We know who
• 1:41
  Speaker 2: Patrick is.
• 1:41
  Speaker 1: He is kind of the soldier of David Sachs to
• 1:45
  Speaker 1: go out and get these deals done. Basically a negotiation
• 1:49
  Speaker 1: tool between the banks and Crypto. I don't think this
• 1:52
  Speaker 1: is going to fall in the right spot. There's a
• 1:54
  Speaker 1: tweet from Paul Graywall He kind of breaks it down
• 1:56
  Speaker 1: and this was in reference to the White House Crypto
• 1:58
  Speaker 1: and Bank meeting, and his point that he's getting into
• 2:01
  Speaker 1: is that you can tell they're not ready to negotiate
• 2:04
  Speaker 1: when they send people that can't negotiate with no authority.
• 2:09
  Speaker 1: That's the problem that we're dealing with right now. So
• 2:12
  Speaker 1: this is further verification that these guys are coming for skin.
• 2:17
  Speaker 1: Here's the ABA, that's the American Banker's Association, putting out
• 2:20
  Speaker 1: a press statement right here that said, Hey, the meeting's
• 2:22
  Speaker 1: going great, guys, We've got it all going on. And
• 2:24
  Speaker 1: then they go out and put a line list of
• 2:27
  Speaker 1: fud out there on stable coins, why you should not
• 2:31
  Speaker 1: be using stable coins, why it's going to just kill
• 2:34
  Speaker 1: our bank system, the warning bells listen to these allowing
• 2:37
  Speaker 1: stable cut risks. The new research examines impact protect vital role.
• 2:43
  Speaker 1: All of these were headlines in a lot of this
• 2:46
  Speaker 1: news that was going out. There was just creating fud.
• 2:49
  Speaker 1: Here was Eleanor Tarrett coming in. She says, today's White
• 2:51
  Speaker 1: House meeting reminds me of the meme that communism is
• 2:55
  Speaker 1: two wolves and a sheep meaning to.
• 2:57
  Speaker 2: Discuss what's for dinner.
• 2:59
  Speaker 1: And I would agree because there was no zero, no
• 3:03
  Speaker 1: retail representation in the room, and that is the problem
• 3:07
  Speaker 1: right now that I think President Trump is facing.
• 3:09
  Speaker 2: I want to go to a clip real quick. This
• 3:11
  Speaker 2: clip will go.
• 3:11
  Speaker 1: Into what Paul Graywall and Fox talked about of how
• 3:15
  Speaker 1: the banks are colluding to go against the crypto industry.
• 3:19
  Speaker 3: Take a look now, your CEO, Brian Armstrong was with
• 3:22
  Speaker 3: me recently and he was not happy. Well, what do
• 3:25
  Speaker 3: you want to say to the critics who say, look,
• 3:28
  Speaker 3: the crypto company is want it both ways. You want
• 3:31
  Speaker 3: to be able to pay rewards and get a flight
• 3:34
  Speaker 3: to capital into the crypto platforms, but you're not going
• 3:37
  Speaker 3: to face the same regulations that the banks face. In
• 3:40
  Speaker 3: other words, are you going to have deposit insurance?
• 3:42
  Speaker 4: Well, it's a very strange argument to make that somehow
• 3:44
  Speaker 4: the crypto industry is seeking to avoid regulation and oversight
• 3:48
  Speaker 4: when it's pushing for this legislation to be passed, and
• 3:51
  Speaker 4: it's the bank lobbyist that seem to be digging in.
• 3:54
  Speaker 4: You know, when it comes to stable coin deposits, it
• 3:56
  Speaker 4: is important to understand that these deposits with stable coin
• 3:59
  Speaker 4: issue are not then relent out to other parts of
• 4:03
  Speaker 4: the economy. These are backed dollar for dollar in short
• 4:06
  Speaker 4: term instruments, principally US treasuries. They are much more secure
• 4:10
  Speaker 4: than a fractionalized system that we have with the banks
• 4:12
  Speaker 4: that introduced all sorts of systemic risks that don't apply here.
• 4:15
  Speaker 3: What about these rural areas that are depending on lending
• 4:19
  Speaker 3: from the community banks? Are they going to be forgotten?
• 4:22
  Speaker 4: This legislation is currently drafted, would offer banks for the
• 4:25
  Speaker 4: first time in twenty seven years, new powers, new authorities
• 4:29
  Speaker 4: to compete with the coinbases and others of the world
• 4:32
  Speaker 4: on a level playing field that I think is entirely
• 4:35
  Speaker 4: in service of their mission. It does not undermine it.
• 4:38
  Speaker 1: Listen, Paul said something there. He's been on our show
• 4:41
  Speaker 1: a couple of times. He said something there that I
• 4:43
  Speaker 1: think you should really pay attention to, and that was
• 4:46
  Speaker 1: these community banks. Because this is one of the counting
• 4:48
  Speaker 1: the talking points that big banks are putting out there
• 4:50
  Speaker 1: the aba around that this is going to affect community banks.
• 4:54
  Speaker 1: In reality, I think where this is going to go.
• 4:56
  Speaker 1: It's going to give the community banks the ability to
• 4:58
  Speaker 1: compete with the big bank on a level playing field.
• 5:01
  Speaker 1: This is going to open small banks up to this
• 5:04
  Speaker 1: industry and give them the ability to move and innovate,
• 5:08
  Speaker 1: maybe faster than big banks will do. Now, this wasn't
• 5:11
  Speaker 1: the end of it, because there's an actual stable coin
• 5:14
  Speaker 1: ad anti stable coin ad that they're doing. Now take
• 5:18
  Speaker 1: a look at this one.
• 5:19
  Speaker 3: So I'm talking about community banks, smaller banks.
• 5:22
  Speaker 2: I believe that this is actually a red herring.
• 5:24
  Speaker 5: Really, according to the Treasury Department, stable coins could drain
• 5:27
  Speaker 5: six trillion dollars from the banking system, putting community banks
• 5:30
  Speaker 5: out of business, hurting small businesses and farmers. Don't blink
• 5:34
  Speaker 5: or you'll miss big crypto trying to crush Main Street,
• 5:36
  Speaker 5: close the stable coin loophole.
• 5:40
  Speaker 1: So let's go in to the ad itself. Here was
• 5:42
  Speaker 1: the six figure stable coin ad that they put together,
• 5:44
  Speaker 1: which I don't understand how that even came together, but
• 5:47
  Speaker 1: it did. If you look at this, which is the
• 5:50
  Speaker 1: consumer Action for a strong economy, this is another NGO
• 5:53
  Speaker 1: that's out there pushing this fud. Then you go further
• 5:55
  Speaker 1: into who they are and you can kind of see
• 5:58
  Speaker 1: some of the leaders. Here's the Chair in General Council,
• 6:01
  Speaker 1: which is Gerard Daniel Simeka. This I want you to remember,
• 6:05
  Speaker 1: all right, and here this guy is over because they've
• 6:08
  Speaker 1: been out there trying to I think put more fud
• 6:11
  Speaker 1: out there. So what they're doing is they're dropping into
• 6:14
  Speaker 1: other crypto shows. Here's Tony Edwards talking about this from
• 6:16
  Speaker 1: Thinking Crypto. There he is, there's the guy that's him
• 6:20
  Speaker 1: right there.
• 6:20
  Speaker 2: Look at this guy. This is one of the.
• 6:22
  Speaker 1: Guys that is starting to spread a lot of this fud.
• 6:25
  Speaker 1: Further into this I want to go and this, of
• 6:27
  Speaker 1: course is Yahoo. This guy's got access to Yahoo. The
• 6:31
  Speaker 1: Senate clarity needs to stop crypto from destroying our banking system.
• 6:35
  Speaker 1: Look at this, guys, this is the orchestrated art I'm
• 6:38
  Speaker 1: telling you that these lobbies have. So when you dive
• 6:41
  Speaker 1: down a little bit more in the article, this was
• 6:44
  Speaker 1: a statement that we caught. The Treasury Department issued a
• 6:46
  Speaker 1: report in April estimating as much as six point six
• 6:49
  Speaker 1: trillion could flow out of banks toward stable coins. Now
• 6:52
  Speaker 1: he mentioned the Treasury Department does this. Now, when you
• 6:56
  Speaker 1: go in and actually find this report out there, which
• 6:58
  Speaker 1: is over on the Treasury website, this of course is
• 7:02
  Speaker 1: a report that was done by consultants to the Treasury
• 7:05
  Speaker 1: Department that we're identifying this six point six trillion. So
• 7:09
  Speaker 1: we chase down the source and where this is coming from.
• 7:13
  Speaker 1: You go a little bit further into it, and there
• 7:16
  Speaker 1: you find it the barring Advisory Committee members. These are
• 7:20
  Speaker 1: the people that are putting this report together. All right,
• 7:23
  Speaker 1: City Group first of all, heading it up right there,
• 7:25
  Speaker 1: Global rates at City Group. Then you go down here.
• 7:28
  Speaker 1: There's nothing but banks in here. So the banks are
• 7:31
  Speaker 1: putting out a report that says that the stable coin
• 7:36
  Speaker 1: yield will take away from banks. I don't know, guys,
• 7:41
  Speaker 1: this is a little bit too much of drinking your
• 7:42
  Speaker 1: own kool aid. This is not looking good. And of
• 7:45
  Speaker 1: course when you go further into this, we thought, well, hey,
• 7:48
  Speaker 1: let's go over and test AI a little bit and
• 7:50
  Speaker 1: find out if in fact this is going to hurt
• 7:53
  Speaker 1: community banks.
• 7:54
  Speaker 2: So here's a good example right here.
• 7:55
  Speaker 1: If you mean survival number of community banks deposit share
• 7:58
  Speaker 1: big banks, and this is what's more negative on community banks.
• 8:03
  Speaker 1: All right, Big banks and big bank driven consolidation dynamics
• 8:06
  Speaker 1: have been more consistently negative on community banks than the
• 8:12
  Speaker 1: possibility of deposit flight. So we are dealing with a
• 8:15
  Speaker 1: completely different architecture. It is the big versus the small.
• 8:19
  Speaker 1: The big are trying to maintain control and they're doing it.
• 8:23
  Speaker 2: They further their.
• 8:24
  Speaker 1: Fud by going in and throwing Coinbase under the bus,
• 8:28
  Speaker 1: saying that Epstein was an early investor, and if you
• 8:31
  Speaker 1: can look in there, it's well it was a three
• 8:33
  Speaker 1: million investment a decade ago, in twenty fourteen, and said, well,
• 8:38
  Speaker 1: let's get where else did invest did JP Morgan or
• 8:41
  Speaker 1: Epstein invest? Well, let's see, we got some investment over here,
• 8:44
  Speaker 1: a billion for Jeffery Epstein from JP Morgan.
• 8:47
  Speaker 2: Internal concerns over.
• 8:48
  Speaker 1: This problem they had, all right, so here was of
• 8:52
  Speaker 1: course JP Morgan. They settled a lawsuit for banking what
• 8:55
  Speaker 1: was going on with Epstein, paid a fine, big fine
• 8:58
  Speaker 1: for trafficking lawsuit against JA Morgan. And then after they
• 9:01
  Speaker 1: debanked him, Well guess who picks it up. Now we
• 9:04
  Speaker 1: got Bank of America come in here. They're facing a
• 9:06
  Speaker 1: lawsuit over Jeffrey Epstein's ties. That of course happened. And
• 9:10
  Speaker 1: then even after the guy was dead, they were still
• 9:14
  Speaker 1: Bank of America was still flagging suspicious payments. So let's
• 9:18
  Speaker 1: jump into how they're controlling most of what's happening in DC.
• 9:22
  Speaker 1: Most of it is through allocation and funding of many
• 9:26
  Speaker 1: of our senators. Here is a good example of one
• 9:28
  Speaker 1: right here. This is a Republican Katie Britt right there
• 9:30
  Speaker 1: from Alabama. She comes in and she's making some trades
• 9:33
  Speaker 1: over here on JP Morgan Chase, and oh my goodness,
• 9:36
  Speaker 1: we go out and we sell our JP Morgan Chase
• 9:39
  Speaker 1: right there on January twenty seventh, and you know what happens.
• 9:43
  Speaker 1: On January twenty seventh, we had the Senate Agment Bill
• 9:45
  Speaker 1: come through.
• 9:47
  Speaker 2: This is just downright.
• 9:49
  Speaker 1: Devious, these things that are being done in DC. I
• 9:52
  Speaker 1: don't understand how this can be legal in any way possible.
• 9:57
  Speaker 2: All right, that's enough of that one.
• 9:58
  Speaker 1: Let's go further into this because this is another narrative
• 10:01
  Speaker 1: that has been pushed out there, that a false narrative
• 10:03
  Speaker 1: making the rounds that Genius Act stable coins will pose
• 10:05
  Speaker 1: a systemic rist and they claim that they're structured like
• 10:09
  Speaker 1: money market funds, which broke the buck in two thousand
• 10:12
  Speaker 1: and eight. Money market funds did not break the buck
• 10:15
  Speaker 1: in two thousand and eight. Anybody that's believing that, even
• 10:17
  Speaker 1: Nick Carter kind of hit on that this is stupid, dumb.
• 10:20
  Speaker 2: If you're if you're on that narrative, which.
• 10:24
  Speaker 1: Is completely off base, you probably should have your CFA
• 10:26
  Speaker 1: taken away. And I agree with Nick heads on right
• 10:28
  Speaker 1: there I've got one more clip for you guys. This
• 10:30
  Speaker 1: is a good one here, and this gets into the
• 10:33
  Speaker 1: General Council of Starkware talking about if this.
• 10:36
  Speaker 2: Bill doesn't go through.
• 10:37
  Speaker 1: This is the lawyers talking to lawyers. They kind of
• 10:40
  Speaker 1: know what's going on, right, listen to this.
• 10:43
  Speaker 6: I obviously heard from the crypto folks that they were
• 10:46
  Speaker 6: open and willing to compromise, whereas the banking folks were not.
• 10:50
  Speaker 6: Is it bad that I kind of love Jamie Diamond.
• 10:53
  Speaker 6: I mean the fact that he will tell other CEOs, regulators,
• 10:58
  Speaker 6: government officials, you are full of quote unquote, I mean
• 11:02
  Speaker 6: you got to give it credit as a privilege. And
• 11:05
  Speaker 6: then interestingly, this is a time mandate. Where's the White
• 11:10
  Speaker 6: House made it very clear we expect everyone to make
• 11:13
  Speaker 6: progress in the next two to three weeks, so very
• 11:16
  Speaker 6: near term, you know, get this done, get this moving,
• 11:19
  Speaker 6: And that really aligns with everything I've heard where this
• 11:22
  Speaker 6: needs to start moving by the end of February or
• 11:25
  Speaker 6: we're going to see it, you know, basically dead in
• 11:28
  Speaker 6: the water, which would be very verish for crypto in
• 11:31
  Speaker 6: the long term in my opinion.
• 11:34
  Speaker 1: All right, so I don't think the banks give a shit,
• 11:37
  Speaker 1: you know, of what that White House is saying, I
• 11:40
  Speaker 1: don't think they care about Trump's narrative of where he's going.
• 11:44
  Speaker 1: And really what it boils down to is, if we
• 11:46
  Speaker 1: do lose the Clarity Act, we will start to see
• 11:49
  Speaker 1: innovation starting to go offshore again. This will completely wreck
• 11:54
  Speaker 1: Scott Besson's plan to get USDC and other stable coins
• 11:59
  Speaker 1: to support the NIR because there will no longer really
• 12:02
  Speaker 1: be any structure of investment coming in from structured capital.
• 12:06
  Speaker 1: That all plays into this. But what will happen is
• 12:09
  Speaker 1: we'll start to see a flight of capital starting to
• 12:12
  Speaker 1: move into places like ave Aves of course is one
• 12:14
  Speaker 1: of the DeFi wonders that are going to start to
• 12:17
  Speaker 1: change it. That's up to nine percent when this thing launches.
• 12:19
  Speaker 1: When this app launches, it could be one of the
• 12:21
  Speaker 1: biggest app launches I think in the industry and the
• 12:24
  Speaker 1: opportunity there. Of course, again are stable coin yields playing
• 12:28
  Speaker 1: in all of this. Guys, these are the kind of things.
• 12:30
  Speaker 1: But remember all of this rides within one ecosystem, and
• 12:34
  Speaker 1: that is Ethereum.
• 12:35
  Speaker 2: I think Ethereum wins on the long term.
• 12:38
  Speaker 1: You look at just what's going on around DeFi eth
• 12:41
  Speaker 1: will win total value lock continuing to climb. Look at
• 12:45
  Speaker 1: the stable coin market, share of eth, absolute stable corn
• 12:48
  Speaker 1: total value. Everything going up, even real world assets. RWA's
• 12:52
  Speaker 1: going up. Layer two ecosystem clearly dominating whether the banks
• 12:57
  Speaker 1: get on board and innovate into the next century. Because
• 13:01
  Speaker 1: that's what we're talking about now.
• 13:03
  Speaker 2: AI is here.
• 13:05
  Speaker 1: The next generation of how micropayments and any payments are
• 13:07
  Speaker 1: going to be done, are going to be done through blockchain,
• 13:10
  Speaker 1: and the banks could miss this much like many companies
• 13:14
  Speaker 1: miss the Internet. That's the kind of extential threat we're
• 13:17
  Speaker 1: talking about. It is not a threat to the small banks. Instead,
• 13:21
  Speaker 1: it's a threat to the American banking system to get
• 13:24
  Speaker 1: left behind by the rest of the world. If you
• 13:33
  Speaker 1: like this video, hit like and subscribe, drop a comment
• 13:36
  Speaker 1: down below, and also join our free private member group.
• 13:40
  Speaker 2: The link is in the description.