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The Future of Stablecoins: Insights from Tron’s Director Steve Liu

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“Imagine how given another five years, given the much higher growth rate, right, where the stablecoin can be compared to the traditional venues for global settlement.” – 06:44

Steve Liu, Director of Tron Inc., joins Remy Blaire at the New York Stock Exchange to discuss the company’s recent transformation and its implications for the cryptocurrency landscape. Tron, Inc. has made headlines by going public through a reverse merger with SRM Entertainment, a significant move that was celebrated with a live ceremony in Times Square, led by Justin Sun, the founder of the Tron blockchain.

Steve elaborated on the strategic rationale behind this transformation, highlighting the company’s plan to raise $100 million to purchase Tron’s token for its treasury. This approach aims to leverage crypto asset holdings to enhance shareholder value, following in the footsteps of successful models like MicroStrategy’s Bitcoin treasury strategy. Steve emphasized that Tron occupies a unique position in the market, straddling both Layer 1 blockchain technology and the stablecoin sector, particularly with its dominance in Tether (USDT) settlements.

AI’s Impact on Small Businesses and the Stock Market: A Deep Dive

“AI is one of the best things that could happen to small business.” – 05:01

Luke Lloyd, President & CEO of Lloyd Financial Group, joins Remy Blaire to discuss the current state of the U.S. stock market, which has recently seen significant gains, particularly in the Nasdaq and S&P 500, following the release of inflation figures. Core inflation rose by 3.1% year-over-year in July, slightly above estimates, with most of the increase attributed to services while goods inflation remained stable. This data comes amid growing concerns about a softening labor market, and we discuss how the Federal Reserve’s next moves could significantly impact mega-cap tech stocks, which now represent over 70% of the total market value.

Luke explores the reasons behind the rally, noting that a substantial amount of money—approximately $7.6 trillion—sits in money market funds, leading many investors to feel the pressure of missing out on substantial returns. Luke emphasizes the importance of the Federal Reserve’s potential rate cuts, particularly in light of a more dovish tone from members like Neel Kashkari, which could further influence market dynamics.

The pair also discuss the implications of artificial intelligence (AI) on both large corporations and small businesses. Luke highlights that while large companies may use AI to improve efficiency, small businesses stand to benefit significantly from AI-driven innovation, allowing them to reduce costs and enhance operations. He points out that the cost of starting and running a business is decreasing, which could lead to a surge in small-cap companies.

Crypto’s New Frontier: Executive Orders and 401(k) Integration

“When you start seeing a combination of cryptos with some of these traditional and alternative assets, that’s when we see even further growth.” – 03:27

John Motzel, Head of Americas at Kaiko, joins Remy Blaire at the New York Stock Exchange to discuss the recent surge in cryptocurrency prices, particularly in light of the news that former President Trump plans to sign an executive order allowing cryptocurrencies to be included in 401(k) retirement plans. This significant development has sparked optimism among crypto traders, as it could potentially close the gap between the market cap of traditional pension funds and that of the top cryptocurrencies.

John highlights that the total assets under management in retirement accounts are around $12 trillion, with approximately $8.5 trillion allocated to 401(k)s. He emphasizes that even a small percentage of this allocation to cryptocurrencies could create substantial tailwinds for the industry.

John also unpacks the performance of key assets like Bitcoin and gold, both of which have shown impressive gains year-to-date. Bitcoin has recently surpassed the $120,000 mark, while gold has reached new record highs. John discusses the correlation between Bitcoin and gold as stores of value and introduces an innovative product developed with 21Shares—a combined gold and Bitcoin index that could further drive interest in these assets.

The Rise of Interest-Bearing Mechanisms in Stablecoins: What it Means for Financial Institutions

“There’s a lot of tremendous amount of interest from banks, fintechs, digital asset companies, of course, and also corporate companies that are very interested in exploring how they can use stablecoin.” – 02:00

Glendy Kam, Chief Product Officer at Tassat Group, joins Remy Blaire at the New York Stock Exchange to discuss the evolving landscape of stablecoins and the implications of recent regulatory changes, particularly focusing on the Genius Act.

The discussion begins by Glendy analyzing the impressive earnings report from Wealth Circle, which highlighted a 53% revenue spike in Q2, driven by the growing demand for stablecoins. Wendy emphasizes that financial firms are not just looking for traditional stablecoins but are also interested in interest-bearing formats that maximize capital expenditures. This shift indicates a broader trend of traditional companies and institutions learning about blockchain technology and integrating it into their operations.

As the pair unpacks the implications of the Genius Act, Wendy explains how it has clarified the governance and regulation of stablecoins. With the passing of this act, there is now a clearer framework for how stablecoins should be defined and regulated, which has sparked significant interest from banks, fintechs, and corporate entities eager to explore stablecoin strategies.

Revolutionizing Payments: How Stablecoins are Transforming Global Trade

“With stablecoins, it just cuts out so much of that complexity for international transactions.” – 02:51

Chris Maurice, CEO at Yellow Card, joins Remy Blaire at the New York Stock Exchange to discuss the evolving landscape of stablecoins and their impact on global finance, particularly in emerging markets.

Chris explains how stablecoins are revolutionizing the way businesses interact with the U.S. dollar, which remains the dominant currency in global trade. He emphasizes the challenges that companies face when dealing with traditional banking systems, such as time zone issues, liquidity problems, and the need for approvals from financial institutions in New York. Stablecoins, he argues, eliminate these complexities, allowing businesses to move their money freely and efficiently across borders.

The pair explores the unique dynamics of the sub-Saharan African market, where the need for cross-border transactions is heightened due to the continent’s diverse and interconnected economies. Chris draws a parallel to the friction that would exist if sending money between U.S. states were as cumbersome as it is in many parts of the world today. He highlights the significant demand for stablecoin remittances in sub-Saharan Africa, with monthly transactions exceeding $500 billion.

From Earth to Space: The Future of Cryptocurrency and Tron’s Role

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Justin Sun, Founder of Tron and Global Advisor at Tron Inc., joins Remy Blaire at the New York Stock Exchange to discuss Tron’s recent transition to a public entity through a reverse merger with SRM Entertainment, now known as Tron Inc. Justin elaborated on his role as an advisor, focusing on digital currency trade strategies and the importance of staking within the blockchain ecosystem. He highlighted how Tron’s treasury strategy differs from traditional models, particularly contrasting it with MicroStrategy’s Bitcoin reserve approach, which lacks yield. Instead, Tron’s strategy allows for substantial returns on TRX tokens, with yields ranging from 7-8% and even exceeding 20% on certain days.

Justin shared impressive results from Tron’s treasury strategy, revealing that an initial investment of $100 million in TRX tokens has already grown to $115 million, showcasing a $15 million yield on the balance sheet. He expressed optimism about replicating this strategy to attract more investors and increase TRX reserves.

The Summer Surge: Companies Betting Big on Bitcoin and Crypto

“Crypto has a long trend of taking things that have been done in finance, overdoing them, and then blowing them up to relearn those exact lessons.” – 01:02

Austin Campbell, Founder of the Zero Knowledge Group, joins Remy Blaire at the New York Stock Exchange to discuss the current landscape of cryptocurrency investments, which have taken center stage this summer, surpassing traditional stock and tech investments. With 98 companies globally raising over $43 billion for crypto acquisitions since June, we explore the implications of this trend and the potential risks involved.

Austin shares insights from his latest newsletter, “DeFi DeLulu,” where he discusses the cyclical nature of finance in the crypto space, drawing parallels to past financial bubbles. He expresses concern that many digital asset treasury companies are operating in a manner reminiscent of the subprime mortgage crisis, relying heavily on price appreciation to remain solvent.

Finally, the Austin addresses the potential challenges tech companies and retailers may face in issuing their own stablecoins, given the regulatory hurdles they must overcome. Austin concludes that the future of stablecoins will likely be dominated by financial companies, while retailers will focus on integration, posing a threat to traditional payment processors like Visa and MasterCard.

Circle earnings, Bullish IPO, ICE onchain, Tether, Rumble AI

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In this episode of the CoinStreet headlines, we dive into the latest headlines shaping the cryptocurrency and financial markets.

  • Circle’s Earnings Report: Circle is set to release its first earnings as a public company today, following a remarkable five-fold surge since its IPO in June.
  • Bullish IPO Update: Digital asset exchange operator Bullish has raised its target valuation for its upcoming IPO by nearly 60%, now aiming for a valuation of $990 million.
  • Chainlink and NYSE Partnership: NYSE parent Intercontinental Exchange is collaborating with Chainlink to bring forex and precious metals data onchain, marking a significant step in integrating traditional market infrastructure with blockchain technology.
  • Tether and Rumble Acquisition: Tether and Rumble are making headlines with their $1.17 billion acquisition of AI infrastructure operator Northern Data.

Jane King with the latest from the NYSE.

Connecting the Future: The Impact of 5G and IoT on Everyday Life

“In the age of AI, what 5G is able to do is reduce latency and provide massive capacity for that technology to actually operate and function.” – 01:10

Mehari Gebrekidan, Founder & President of Konnected Concepts, joins Remy Blaire at the New York Stock Exchange to discuss the transformative world of wireless technology and the Internet of Things (IoT).

Mehari highlights the significant impact of 5G and edge computing on IoT, emphasizing how these technologies are turning everyday devices into powerful data tools. The pair discuss the implications of recent legislation, such as the Promoting U.S. Wireless Leadership Act, which aims to enhance connectivity in underserved rural areas. Mehari explains that wireless solutions can be deployed much more quickly than wired alternatives, making them essential for bridging the connectivity gap across the country.

Mehari points out the competitive landscape among carriers, including the role of satellite companies like Starlink in providing service to remote areas. He underscores the importance of public-private partnerships in advancing wireless infrastructure, particularly in the context of national security and IoT standards.

Finally, Mehari addresses the implications of these advancements for consumers. Mehari emphasizes that connectivity is not just about gaming or entertainment; it is the backbone of modern society, enabling unprecedented connections between devices, people, and businesses. He encourages listeners to look forward to a future with reduced latency and enhanced connectivity, which will simplify our lives and benefit everyone.

Market Signals: Navigating Record Highs and Defensive Trends

“I think that a lot of these stocks have just gotten extraordinarily overbought, and they’ve gone to the stratosphere.” – 03:37

Mark Newton, Managing Director of Fundstrat Global Advisors, joins Remy Blaire at the New York Stock Exchange to discuss the current state of the stock market. Despite the S&P 500 and Nasdaq Composite reaching record highs, we discuss the broader market’s struggle to gain meaningful traction over the past month. Mark highlights that while the S&P equal-weighted index and the Dow are near their highs, they have yet to confirm a breakout, indicating a potential lack of momentum.

The pair explore the implications of defensive sectors, such as consumer staples and utilities, gaining ground, which historically can signal a market correction. Mark points out that market breadth has been declining since mid-July, with parts of the tech sector showing signs of weakness. He emphasizes the importance of selectivity in investment strategies moving forward, especially as we approach seasonal weakness.

Mark provides insights into the current sentiment in the market, noting that despite a significant rally of about 32% since April, bullish sentiment remains subdued. He suggests that this lack of speculation could mean that any potential pullback in the market may be short-lived, and he maintains a bullish outlook for the remainder of the year, albeit with some expected volatility in the near term.

Lastly, Mark expresses optimism for the market’s trajectory, citing the deflationary impact of AI and the potential for rate cuts to support economic growth.