ARC MAINNET LAUNCH. DTCC Assets Onchain!

Transcript

that we delegate and orchestrate. Agents that research, negotiate, write code and reconcile books. The work of the firm is itself decomposing into tasks and those tasks are being taken up by machines. This past July, I published a treatise called the agentic economy and its central claim is one that I want to repeat here. Because ARC is its ultimate embodiment.

The agentic economy and the onchain economy are not two different revolutions. They are the same economy seen from different sides. Seen from two different sides. Over the past 30 years, we built a planetary nervous system for information, the internet. What we never built was its counterpart, a native circulatory system of value. Money and contracts stayed trapped in batch files, banking hours, legacy closed networks, and mountains of

offline paper process and bureaucracy. Humans have tolerated this world. We waited two days for settlement. We accepted that money sleeps on weekends. We waited on contracts to settle and enforce in weeks or months. But machines will not tolerate this. When intelligence becomes abundant, when billions and then hundreds of billions of AI agents are performing economic work, the velocity of money doesn't rise incrementally.

It rises by multiple orders of magnitude. An agent that completes a task in 400 milliseconds cannot wait two business days to get paid. An agent coordinating a complex financial contract across borders with another agent can't wait. And in global finance, certainty matters just as much as speed. A machine can't call the back office when an agent transacts. Final has to mean final cryptographically, instantly unconditionally.

And the cost of using financial infrastructure should never be the most unpredictable part of the transaction. That is programmable money. Money that is a native object of software. Money that carries logic, identity, and conditions. Money that settles with certainty in under a second for a fraction of a cent 24 hours a day, anywhere on Earth. The agentic economy has created a new massive demand shock for programmable money. Already this year, thousands of paid agent services have come online and the overwhelming majority of agent-to-ag

payment volume is flowing over the X42 standard using USDC. The machines have already chosen their money. What they've been waiting for is their economic operating system. I I want to step back for a moment because a lot of us here have been in this industry for a long time. Let's all just take a moment and think about the era we are leaving behind. For 15 years, crypto fought for attention.

It was loud. It was speculative. It was spectacle. The spectacle era of crypto is over. Spectacle era of crypto is over. The most important technologies in history disappear into the background. Nobody thinks about TCP IP when they search the internet. Nobody thinks about the grid when they flip a switch.

And that's what's happening right now. Crypto is becoming invisible infrastructure. And increasingly, its heaviest users won't be people at all. There'll be machines talking to machines, agents paying agents, trillions of transactions where no human ever sees a wallet or a hash. That's happening now. And this invisible infrastructure is being adopted and encapsulated by two killer apps of crypto. Tokenization.

All of the world's assets and contracts are moving on chain. Because a tokenized asset or contract is better, instant, glo global programmable composable always on. Tokenized assets and contracts are growing exponentially and opening up to the world. and stable coins, digital dollars that have become the internet's monetary base layer with the Genius Act and regulatory frameworks breaking out all around the world and coming into force and USDC just crossing over a hundred trillion dollars in transaction volume this past >> [applause and cheering]

>> Tokenized dollars, tokenized assets, autonomous intelligence, three exponential curves, all converging at once. Every one of them needs a place to run. a network with the trust of a financial market utility and the openness of the internet. That place is ARC. Today, we're going to be taking you through everything that is launching with ARC mainet. The institutions running the network, the hundreds of partners already integrated, the developer platforms to accelerate building, and new breakthroughs coming to Arc that we've never showcased

before. The foundation of ARC are the institutions who stand behind it. Look at our founding validator cohort. Black Rockck, DTCC, ICE, the parent of the New York Stock Exchange, Mastercard, Visa, Standard Chartered, Galaxy, Global Payments, Money, SBI Group, Sumitomo. These are the institutions that clear the world's securities, run the world's payment networks, and manage the world's assets. And they're not just building on this network.

The companies that depend on the integrity of this infrastructure are the companies securing and operating it. That has never been true of any blockchain and has rarely been true of any financial infrastructure in history. Global companies must be able to trust the network they're running their business on. An ARC was designed with the truth that open networks have avoided for too long. An open network does not mean that every transaction must share every detail. Real finance needs room for private information that should not be open to everyone. Payroll, treasury, deal flow with compliance

built in, not bolted on. You'll see what that means later this afternoon. ARC is built on a simple premise. The global economic system deserves a blockchain it can trust. Today, that trust is live. One more thing before I hand it over. Every lasting network eventually has to answer a deeper question. How will its participants coordinate? How do the institutions securing the network, the builders creating on the network, and the users depending on the network align around its long-term future?

This week, we took a foundational step towards that answer. Circle completed the genesis mint of ARC, the full initial supply of 10 billion tokens, making Circle the first publicly traded company to mint a network token. ARC token is not available today and it is planned to become available upon ARC's transition to proof of stake in 2027 with all network fee with all network fees remaining payable in USDC.

PC operating systems gave us the software industry. The web gave us the information economy. Mobile platforms gave us the app economy. And AI foundation models have given us intelligence on demand. Today, the internet gets its economic operating system. Arc is launched. So, let's begin the show. Thank you. >> [applause] >> Please welcome to the stage circle chief product and technology officer Nquille Chandhok.

Very happy to be here. I'm Niko uh leader of the node squad here at circle. U so here to talk about arc. Uh we're very excited to be launching it today. Uh Jeremy mentioned uh an economic OS. Uh there have been many many great operating systems in the last 25 years. Uh I've had the fortune of like working on a few of them and the best economic uh best operating systems were the ones that were successful uh at building an ecosystem, right? They were best they were most successful when they brought others along. they were very successful when they solved problems and those their ability to solve problems came from years of experience of doing of trying to solve

that problem. So we're building an economic OS and we are building and we're building it like a platform which means that it's not just launching the layer 1 blockchain. It also means that launch launching all the apps and services that go along with that to make that blockchain successful which is different from how other blockchains have been launched in the past. And so so I'm here to talk about it. So we're our um I mean ARC network itself is is uh we have a we'll talk a little more detail about it in terms of the technical innovation there but we have a set of global validators uh who who know who people know who are uh involved in building financial infrastructure in the world today and they're moving into this new world uh

along with us to build this new future that we are imagining. stable coins and assets like Circle itself, Jeremy mentioned this, has settled over 100 trillion in USDC volume. We've settled that 100 trillion in USDC volume over public chains over more than 8 years of USDC's existence. And we're bringing all of that expertise, all of that compliance expertise, we're bringing all of that safety expertise, we're bringing the performance expertise, that network expertise, all of that is coming to AR. So we we know how to make this successful. We're going to bring all of that uh expertise to our next is our interop stack. So like I said we have uh CCTP and gateway. These are existing products today. Uh these connect more

than 30 network uh chains. It make they make it possible for you to uh spend USDC. You you can spend a millionth of a USDC if you wanted to. uh all of that infrastructure is coming to AR and we're making sure that like if you have an asset on ARC, you can actually move it anywhere in the world on any chain very very simply in less than a second. Then we get into the developer experience. We are innovating there as well. We'll talk more about park studio and app kits which make it possible for developers to simply ship uh simply ship complex financial applications which was not possible when in in like blockchain blockchains in the past. and then we'll talk some more about our portal. The main thing is we want to make sure that

as developers, as users, as as business owners, as enterprises who come to this platform, they don't view RC just as an L1 network layer, but view it as this comprehensive set of tooling that makes it possible for them to accomplish their business goals. Okay. So, what makes ARC different? So, we'll start from the top. Uh gas and digital dollars. Gas is a complicated concept. Uh I think most people in the world who are not involved with crypto don't understand gas. Uh gas has to be accounted for. You need it uh in your wallet when you're making a transaction.

And if you believe there's going to be uh millions and millions of agents that are going to get instantiated and they're all going to be economic participants. They're all need going to be need to be onboarded not just into stable coins but also into gas tokens. ARC takes that away. ARC says if you have stable coins you can pay with you can pay with you can pay gas with stable coins you can settle transactions very simply with USDC the next most important thing is finality finality means that a transaction that happened it's not going to change it's not going to get reorganized it's not going to go back and if you have huge dependency trees on transactions by millions of economic actors that that are effirmally created and they they disappear we cannot have roll backs we cannot have transactions

sets that are not reliable. So we we are able to accomplish that on R within within less than a second and for really really cheap. The third is privacy. So we'll talk we'll talk more throughout the day about privacy. Uh by default all transactions on ARC are are public. Uh we have worked both on the user experience and and the compliance uh uh necessities of enabling a good privacy uh um uh primitive on AR and it is as simple as turning on a toggle and having a private transaction and you can shield not just who you're transacting with but you can also shield things like smart contracts that you're transacting with behind like the privacy uh uh token assets and interop all circle assets are

issued on R USDC USYC ser uh all of them are EURC are issued on art and then we have a whole gamut of partner stable coins and real world assets that are coming to ARC as well. Agent ready we are um we are treating agents as first class uh actors on ARC. They get onboarded into USDC. They can spawn other agents. They can give them USDC. These agents can actually use Circle agent stack to do complicated research work. they can make phone calls. There's all kinds of new primitives that are being show showcased in the circle agent stat marketplace and all of those agents we imagine uh to live on ARC uh and they will start

creating like a work history on like what what it is that they're able to do and they're able to convince the other agents that they're good agents because they have all of this amazing work history. Last thing is postquantum resilience. I mentioned we've done a hundred trillion dollars worth of volume on uh on USC. We care deeply about security. We care deeply about compliance. We want to make sure that like your transactions that you make on ARC are are secure forever. Postquantum security starting day one gives us that. So another thing I really believe is that for any new platform to succeed, you need a great developer experience.

Developers are the ones who create value on the platform. And for ARC that means for us it starts from being fully EVM compatible. So what is EVM compatibility? just making sure that you're compatible with the Ethereum virtual machine. And so developers who've been working on Ethereum for close to 10 years can bring all of the all of that experience, all of that tooling, all of those contracts to ARC without having to learn anything new. So we believe that is critical to being able to uh bootstrap this new uh economic operating system. Other things that we're doing to improve uh the developer experience, we have Park Studio. So people may have heard of coding agents. Now with ARC studio with coding agents you can start deploying

smart contracts on arc. The smart contracts you don't have to learn solidity if you don't want to learn solidity uh you can start talking to your agent in English you can come up with a complex uh financial application and from within your agent you can go deploy it on art and start transacting on art. So that's our studio app kit takes something that is very uh very typical on blockchains things like primitives like own borrow uh swap and packages that all up uh and on-ramping and packages all of that up into simple SDKs that developers can start using to start bootstrapping their applications on arc uh very very simply. So we'll keep adding more uh more over here. So the the point being it's not just an

alone blockchain it is an entire platform. So if you are building financial applications today you should be able to use ARC to solve all manners of problems not just layer one problems. So we've been in test net for close to a year. Uh we've had 100 plus applications on arc. Uh they are all launching uh on arc today. uh these are these applications over the last one year have done over 700 million transactions and the network is stable and so who are these uh who are these folks who are who are launching on art today? Well, we have institutions and we have uh these institutions bring trust and liquidity. They bring in uh this is where we believe a lot of the growth is

going to come from. We believe business institutions have been waiting for a platform like ARC to bring their assets onto ARC so that they can interact with the world and with each other in a compliant secure way. Developers developers bring innovation. Developers are key to forming the community. We call them architects here at Arc and they're helping us build at global scale uh right now by bringing not starting with financial applications but eventually bringing all manners of applications that require some sort of financial instrument to like to to make the application function. And lastly we we've talked about agents. Agents will bring velocity. Agents will bring um uh they will transact autonomously. They will they will build work histories. Uh

they will have a way of showing their work. Uh and so all of this together is going to operate on the same substrate 247 365. Um so as before before I end I'd like to spend a few minutes on the various use cases. Uh and this is a very uh this is always the favorite question being like what is your chain focused on? And the way I answer that question is what is the internet focused on? And uh it's all of it, right? Like you want to make sure that your internet is able to take your is take your most important financial transactions. You want to be able to watch videos on uh on the internet. You want to be able to uh you want to be able to watch memes on internet. You want to do all of it. And so I don't

think ARC is designed as as this general purpose platform. But like we and still we have these use cases that have like come forward over the last like uh year of like being in test net payments being one u I think we payments operate 24/7 365 with all the new partner stable coins that we're bringing on board payments you get even more successful or not trading I think this is where assets discover their price people are able to hedge risk uh and like this is one of the first core use cases of blockchains and it it really shines on ARC because of things like subsecond final ality and such lending markets. If you have an asset, you want to make it productive, we can make we have markets to be able to do that. Uh crypto assets, real world

assets, all of this uh all of those assets to being used as collateral so that you can have a good liquidity on these lending markets. FX. So on the back of like the partner stable coins that we have launched u and the circle stable coins these mark we we are hoping to make these markets deep and wide all across the world and asset issuance. Asset issuance is really important. It's not just important to have the crypto assets on chain but also to bring in the real world assets and make sure that they have they have as good an experience as like crypto assets have right now. So networks are more than technology. Um, we really need believers to get on ARC. Uh, we need people who want to build the future to be part of ARC and and and that work starts today.

So, I want to welcome everybody to to ARC. Uh, and I look forward to building with all of you. Thank you. [applause] >> [music] >> Please welcome to the stage circle chief commercial officer Cash Rosagi, BlackRock's global head of digital assets Robert [music] Mitchnik, a Labs founder and CEO Stani Kulichav and DTCC head of strategy and market solutions Michael Winnicki.

I I think I've got to do it. A let's go. A let's go. Come on. Let's go. [cheering] [applause] >> Thank you all. What I find remarkable about this stage right now is Robbie's firm manages more money than anyone in the world. Stan's firm has built the world's largest open lending market. Michael's firm manages and clears more securities than anyone in the world. All three of them have been thinking about this future where finance is able to run on internet native rails for a very very long time. And today all three of them are on ARC. Two of them are actually helping operate Arc. And so it's a real

pleasure to be here today to talk to them about the future, what they're excited about, and specifically why they chose ARC as a network to build on. So I actually want to start from an infrastructure perspective. All of you have been thinking about market infrastructure in the form of tokenization and tokenized assets for a very long time. We don't need to argue over how big it can get. It can get very big. It brings in new participants and it can extend existing use cases. I'd love to understand though, what are you most excited about today that perhaps wasn't even possible not even a year ago or two years ago? What are you guys focused on and what are your customers focused on? Why don't you start, Robbie?

>> Sure. Well, first off, congrats to the whole Circle team. I think this is uh an incredibly exciting day and we're very happy to be part of it. Um obviously we've been uh a close partner of you guys for a long time and this is I think just the latest uh super exciting chapter a big step change uh new exciting chapter in what you guys are building. So uh that's amazing. Um in terms of how it intersects with tokenization I think it's very substantial. Uh we've leaned in now for a number of years on tokenization. I think that's been well established. uh we're looking at this across uh many different asset classes but fundamentally the common thread is uh it's about access and it's about

utility. On the first point, how do we take a broader universe of assets and make those available across the world to more and more investors as they build uh better portfolios and better holistic uh opportunities to save and invest. And second is about utility. How does blockchain, how does 247 settlement, how does programmability uh enhance what you can do with an asset by having it in tokenized form? And we talked a lot about things like uh collateral uh but interestingly think about uh you know with Danny here. What about lending for example uh and the ability to do that in novel ways in addition to the portability, flexibility

uh and all these advantages that come out. So, uh, that applies across a lot of different asset classes. We started with money market funds, but it's grown pretty quickly now. >> That's awesome. Stan, how about you? >> Um, I mean, it's it's quite exciting time and and and big congrats for the circle team and Jeremy for for everything. It's been a it's been a big day and we've we've been waiting for this moment and I I think that's what's sort of uh exciting uh about the infrastructure piece is that's this is the sort of like um a big moment of actually creating a market structure and uh infrastructure that really reduces a lot of these sort of like uh friction pieces uh in finance um and improve the cost structure. So I think that um open

financial systems done in a very like uh compliant and transparent way with privacy is the future. At the same time, um I I do believe that one of the key advantages for a lot of this infrastructure that we're building is to enhance the cost structure of finance. And I think that from a perspective we've uh we've processed over almost four trillion in deposits uh one trillion in uh borrowing volume um with few hundreds lines of code without any sort of a settlement uh team or you know big credit team underwriting this business and I I think this proves what you can actually do for the whole finance as assets are coming on chain with with tokenization and that cost

structure then benefits um not just uh the the end users but but all the whole financial system and also brings that uh access component and I think that's where I'm most excited about and and then also thinking about the future where we're going from here is that how this big theme of automation is is is going to work. So obviously um automation is about AI but also on chain and I think the future financial businesses will run on automation on chain which is sort of like the right form factor um and with AI with agendic >> that's incredible Michael the DTCC custody is about 114 trillion in assets that could eventually make its way on

chain what are you focused on right now when you think about tokenization as it new infrastructure >> sure so you know why tokenization right and uh you know I think both uh uh Robbie Sav mentioned right there's these core capabilities around 247 mobility programmability of assets that can automate capital market workflows and really importantly you know ecosystems right how do we bring together not just the DTC ecosystem but open that up right the ecosystem for cash management collateral management that makes for a more interoperable ecosystem and when we think about these capabilities it really gives rise ultimately to a world that we envision where capital can move faster, it can be optimized and deployed in a

more efficient manner, and we can broaden access to US capital markets. And if we can do that through tokenization, we're able to help our clients grow their businesses, also help markets as a whole prosper, right? And so, it's a big ambition. Um, but what's important isn't just tokenization, it's really the the how of tokenization. And so we're really excited to anchor this service within the heart of existing capital markets infrastructure in the US. Uh it's really how we can create interoperability across traditional market infrastructure, tokenize and create new capabilities while st still not giving up the trusted layer, the resilience, the securities and investor protections that exist that investors and regulators have come to

expect. And so if we can combine that trusted infrastructure layer, new capabilities and unite, you know, traditional and digital ecosystems, we think we have um real value that we can help our clients uh deliver to for the markets together. >> So speaking of that trusted infrastructure layer, all three of your firms have massive global scale, massive global influence. When you're thinking about the networks that you want to participate in and build on, I'm sure you have every network knocking on your door. How do you think about that decision- making process? What led you to ultimately decide to come help us build arc? How about Stan, you start?

>> I think it's has to do a lot of um uh on on the form factor and I I' I've been uh building in the onchain world for almost a decade and seeing the whole sort of space um move forward and and seeing like the growth of like these native uh crypto assets. And I think that we're going towards a uh world where um all of these assets are coming on chain and and and my sort of a job is to make these assets as productive as possible. And I think the way they can get productive is uh by using as a collateral and being able to unlock liquidity lending and borrowing and you know creating global uh credit markets and uh interest rate markets. But the right form factor for me um and seeing like how do we take

this technology and implement into the more broader uh financial world is uh basically having um ability to add privacy being uh ability to have a network run by counterparties that um and validators that basically you would uh be a counterparty on an everyday uh basis. Um having a native uh stable coin uh settlement that's very important. Um and then obviously plugging the the whole for sort of like uh interface on top of that and I believe that that interface uh today uh definitely is uh you know broader institutions and um you know people that are working in finance but in the future that's going to be a

lot uh you know automated and and and and basically agent based and I think this is where circle is uh putting a lot of uh energy at the moment and I I think that's where uh that will be the right uh approach to take this technology that is technically proven which is not anymore a uh technical problem but more of like how do you implement that into the uh real uh finance >> right well I think in in in in terms of uh DTCC and black rockck running a validator and being a validator is a very different kind of commitment than just launching a product on chain what made you comfortable to feel like right now is the right time to get involved at that level of commitment with ARC why don't you start

>> yeah well you're right we have launched in tokenized form in the past on a number of different blockchains. Uh but this is the first instance where we've actually uh taken that step to be a validator. And I think the rationale for us is um the way that uh Circle has designed this just has in my view nailed it from top to bottom in terms of having the exact right future vision around uh optimizing for stable coin payments clearly optimizing for AI agentic use cases being very quantum forward in the way you're thinking about it. And so from a design perspective and the differentiated utility that gets unlocked from uh really being purpose-built for the massive stable

coin payments use case uh we do see differentiation in terms of what ARC is going to be able to do uh particularly for the use cases that you're building for. >> Michael how about you DTCC comfortable being a validator? Oh yeah, we're excited to be a validator and I think there's two answers to the question. You know, one is, you know, our role is operating financial market infrastructure and when we think about what financial market infrastructure looks like in the future, the role of a validator clearly aligns right with the types of uh rules that we want to deliver resiliency and scale to capital markets. Uh but there's another element which is around um the connection to our tokenization service. So if we're going to deploy assets on a network, it's really critical to us that it's at FMI

scale and great. So when it comes to to throughput security settlement finality, um and one of the best ways not just to initially diligence a network, but to have that ongoing diligence and be at the heart of it is by running these validator nodes. there's, you know, certainly a uh infrastructure component, but there's really an overlap with how do we deliver trust and scale and when we can be at the heart of the networks that we operate on that that really makes a better proposition for our clients. >> That's really incred. What I what I want to end on is to not forget the symbolism that you're seeing here um on the stage today. You have one of the largest and most systemically important companies that has been built on DeFi here with us with two of the most systemically important financial organizations in the

world all participating on chain. And one of the things we've been building toward at Circle for the last 10 years is mainstream adoption. What does it mean to be mainstream? All these companies moving on chain. And one of the recurring themes is privacy. Institutions aren't going to completely move on chain until they have some form of privacy. I'm curious how do you all think of privacy now in a world where you are coming on chain? What are the things your clients are asking for that you think will be important before more and more activity comes on chain? >> Anyone can jump in.

>> Sure. Um well transparency is a nice feature of uh blockchains but radical transparency is not a great feature for capital markets and uh a number of use cases don't really work uh with perfect transparency in terms of having visibility into uh who all your counterparties are what your positions are where you post collateral um etc. So this is I think it's important to distinguish this is not about anonymity, right? And that's consistent with the way that you all have designed it to be regulatory forward and and compliant in terms of selective visibility. This is about confidentiality where it's applicable. So I think it's uh another really compelling design feature.

>> That's incredible. Yeah, I I think the the the blockchain world had to start with um uh public transparency in public markets and that's going to be like a big part of it in the future and that is how the sort of technology was able to prove itself and um connect different use cases and and and I think that's have been a great feature and privacy is um a layer that enables a lot of new use cases and also uh it creates the actual execution environment because I think that markets do benefit from uh you know the the the the transparency aspect but when it comes to execution uh balances for example or near counterparty transactions I think that's where um the

space has been still uh very nent and I think um ARC has been taking a step further and actually bringing that to as a kind of like a out oftheshelf uh experience for the network participants and I think that is going to give a really uh great advantage uh particularly because ARC is built on uh EVM. Um so it's EVM compliant meaning that um you can easily tap into an existing uh developer community that is uh building a lot of these financial primitives and have access to the uh privacy layer so you can produce a lot of uh interesting use cases and um expand uh the the audiences as well.

>> Michael, anything important in terms of price? >> Very much in agreement. You know uh traditional capital markets the lifeblood of it is transparency but we have rules around trace reporting or one fund positions are disclosed that are very carefully calibrated to balance you know transparency for markets against information leakage that ultimately harms liquidity and um from a DTCC perspective we're really thinking about this around giving our clients access to the ecosystems and the features right that they choose and matter for them for their use cases and so there are definitely certain use cases where I think privacy is going to be important in capital markets workflows and we want to give our clients access to the best models that preserve their privacy while still giving us the transparency we need

as a good control location for the industry to have the right operator controls as an FMI. >> Privacy is an ongoing topic that we've been thinking about and working on at Circle for for years now. And I want to give you a glimpse uh in terms of the design philosophy for ARC when we think what does it mean again for mainstream adoption for for onchain money movement. There's several aspects that we think are critical. The first is programmable privacy. The ability for an institution to be comfortable with some activity be being transparent and publicly available, but other activity perhaps being more being more private. This includes your transaction details, your balances, your positions, and the different counterparties that might be involved. So that's one important design philosophy. The other is regardless of

whether it's public or private to the world, you need to have authorized visibility. You need to have entities, your counterparties that always have access to to this information and that needs to be available to you at all times. But the magic in all of this is to have one network that can manage both. So you're not siphoning flow from a public blockchain that's private to that that is that is available and transparent to a private blockchain that might be more protected. Having one network that can handle this and give you that flexibility is really what's important. So I wanted to show you a quick demo of how this would work in ARC today. What you're seeing is a Bidd contract. And so what's available to you is you can see all the wallets that hold

the B. You can see the amounts and in some cases you can actually identify the wallets. But if you're a user or if you're someone who wants to subscribe to to Black Rockck's fund, maybe you don't want to have all that information publicly available. So in ARC by opting into the privacy feature you're able to subscribe to the fund immediately Bidd is minted but it's private B. It moves into a wallet and all the transaction details of that wallet are now private and can only be seen by the person themselves and most important by BlackRock. Black Rockck needs to be able to have access to this information. So when they're when they're working with their auditors and compliance team and regulators, they need to know that these

assets are handled handled in a compliant way. And so the ability to move in and out of privacy and have that ability to have some transactions private where others are are are are public. This is one of the major unlocks that we think are going to be very very important for mainstream adoption. This is why we're excited about building with you all. This is why we're excited we're building with you. Thank you very much. Thanks everyone. >> Thank you. [cheering and applause] >> [applause] [music] >> Please welcome to the stage Circle VP [music] Business Development Matt Stafford.

>> Good afternoon everyone. Great to have you here. Um, now we've just talked about how some of the world's largest companies are lining up on our network as validators. So, let's look at what this actually unlocks, starting with the money movements at global scale. Now, when we talk about money movements across borders, what we're really talking about is one of the oldest frictions in finance, the gap between where value sits today, where value needs to go, and what currency that value needs to land in. This matters even more in regions where people and businesses are moving across currencies every single day, but want to store this value in a stable digital dollar asset.

ARC is a great home for this because it combines near instant settlement finality, lowcost transactions, and the ability to support financial activity across onchain effects, payments, collateral, and liquidity, all in a single home. To show what this looks like in practice, I'd like to welcome to the stage the CEO and co-founder of Ripio, Sebastian. Thank you everyone. Um, previous mission is to democratize access to financial services and digital economy in emerging markets, particularly in Latin America using blockchain technology. In markets

like Argentina or Brazil, two things matter at once. People want to hold value in dollars to protect their savings, but they still need to pay, send, and receive money in local currency. Repu helps to make that possible in a way that's more intuitive, faster and cheaper than incumbent crossber remittance providers. But let's make uh that concrete with a simple example. All right, it's not passing. But today, if someone uh wants to transfer value from Brazil to Argentina, that effect leg is often slow and expensive. Um first we're

seeing a familiar corridor of YL to ours through a traditional flow. This is a common common transfer corridor for individuals and businesses in Latan today. And next we see the onurning version with WL and WRs. These are two repo issued local uh stable coins through unis swap on arc. What matters is not that just the currency drop happens but it's vastly improves the crossber payments efficiency and economy and the effect now happen onchain with near instant settlement in terms of feed bottleneck with delay clearing times at bad rates in addition to unisoft that you can use today. This is live right

now and you you can test it yourself. This effects experience will soon be available for institutions that want to do large uh larger trades on a stable effects which we are really excited about. Thank you. [applause] Now many users especially in countries with high inflation and volatile currencies prefer to hold their savings in USDC only moving assets into a local currency when they actually need to make a payment. So to show this next piece, I'd like to welcome to the stage Milan, co-founder and wizard of Moro.

Thank you. Hi everyone. Super pumped to be there. Uh as most of you I think uh you know what Moro we're doing. We're building a credit infrastructure to make the the uh capital more efficient and accessible through the globe. Um, we're super excited to partner with ARC because we think it's uh we believe it's uniquely uh positioned to help us bring trusted credit and earn solutions to a broader set of uh users either like institutions or retail users across the globe and when we see like many people and businesses uh especially in emerging markets um like see non USD stable that

are becoming increasingly important alongside USDC and MOFU with MOFU rather than holding USDC uh the local currency you can actually hold USDC u use that as saving account and borrow the local currency so that you can spend at the merchant store or um uh get that into fiat as you can see on that video Mofo offers a very secure way for users to hold those USDC and earn trusted yield in the process. That means that users do not have to choose between

holding USDC and holding the local currency and actually they can actually do both through the Mofo infrastructure. And what's more exciting is that Moro new fixed rate market midnight is coming to uh ARC very very soon. What that means is that it will make the value proposition even stronger by fixing the rate at which borrowers are going to borrow their local currency eliminating the uncertainty of borrowing against that collateral. And so we are super happy already 200 mil on Mofo on ARC.

Thanks. Thanks. Great to have you. [applause] >> So we've now witnessed how ARC, Ripio, and Warfo are bringing together FX, savings, collateral, and payments into a single connected flow creating utility for consumers and businesses all across Latin America. But that's just one part of the opportunity. Now let's look at the opportunity from a different part of the world where major financial institutions are exploring how onchain financial infrastructure can support new financial products and global currency flows. And for this please welcome Erica Petson and Misi Okiyama board member of SBA holdings and CEO of digital asset

holdings. >> [snorts] >> Hi everyone. SBI is one of Japan's largest financial institutions and it moved into digital assets earlier and much more deliberately than almost any institution of its size anywhere in the world. But what makes that notable is not that they built a crypto business alongside a

traditional one. It is that they are bringing the traditional one onchain for the customers they already serve. They were the first firm in Japan registered to handle USDC. They now issue and are scaling their own yen stable coin JPYC and they are a founding validator on ARC Okyama. It is great to have you here. >> Thank you for having me. >> So first question, why does SBI believe that the future of financial services will increasingly be built on chain?

You know we do not look at blockchain just as the machine to create new class of asset like crypto asset. I mean they are significantly important themselves too and as a matter of fact we run one of the largest vasps in Japan as well but we see I I think you know the the previous speakers mentioned about it but the the new features that blockchain has you know smart contract programmability interoperability and stuff like that um those enables um blockchain to do something that was not possible before uh the blockchain time And that will drastically change the liquidity of asset and money movement. And you know

we always talk about this internally too but money and assets they they are like water or liquid they will move from one place to the other and they try to move to places where there's a less friction and uh conflict right so I think it's natural course of uh uh think that all the economy will start to move into onchain economy. where the water runs is a great metaphor. So what building blocks do you and SBI see as being needed to make that vision happen?

>> In my view, I think there are four important factors. One is trusted infrastructure and assets to be traded and uh uh methodology to settle the transactions and then regulatory environment. Um you know as as previous speakers I'll mention um trusted infrastructure is just essential to this whole thing because why would we put our important money and assets on something that we don't trust but at the same time you know trusted infrastructure itself is not just sufficient because we have to have uh asset or uh some kind of rights to be traded uh in that uh domain. So that's also important and we

need a methodology to settle um I think USDC is a good example here but you know because just having assets you what do you do with it right you you can b them but I I guess you know crypto exchange has been sort of b for a while you know people exchanging crypto to different type of cryptos but that's not really efficient so the the settlement methodology is important and and and finally I think the the the regulatory environment is very very important. Especially I want to emphasize most I believe that most important thing about um uh regulatory environment is the interperability between the jurisdictions because if the transactions stop at the

border every time then we are not really uh getting the real superpower of the blockchain economy. >> Okay. So you have been steadily building the capabilities to participate in an onch onchain financial system. We've talked about these four capabilities. Where do you see circle and very specifically arc is fitting? >> I I I I think circle and arc would play like very center um role in this whole thing because um I just talked about four factors but um circle has two things right. uh USDC very uh famous um stable coin and also the the the new arc

that it we are launching right now. Um so it will be a a very important role it is going to be playing um in our ecosystem as well but at the same time I hope that SBI will play very important role um in that uh ARC network and as a founding validator. >> Okay. So our relationship with SBI, it began with Circle and SBI bringing USDC to Japan. And as you mentioned, you're one of our founding validators.

How do you think about what we're going to build next together as we look to the future, >> right? Um, let me talk a little bit about, you know, our pre-existing relationship. It started with USDC. I mean today it's the the event is not about stable coins. So I'm not going to get into too much detail about the the drama but we did have a a very exciting project bringing um USDC into Japan. It was very significant for I think both SBI and Circle in a way that it was first stable coin to be introduced in Japan. Um so SBI got to be the first player to uh have the license and introduce uh any kind of of stable coin

in Japan. But at the same time I think it's a very important step for circle 2 because it was USDC that was uh what Japan adapted first as a stable coin. So that that that that was a great project. um we have joint venture in Japan together and we are participating as a uh founding validator in this arc network too. So you know we we we we are very uh have a very good strong partnership and I think what we can do you know I can go on the list of it but the first thing I can think of right now is as you mentioned earlier we just have introduced um Japanese yen based stable coin JPYC.

So perhaps we can settle uh among each other, right? Japanese yen to US dollar, USDC to JPC and uh vice versa. And and I think it's not just it's not a faster version of what we have the the the FX transaction today, but I think it's a whole new different product or or or service that we can provide >> and hopefully that all lives on ARC. Okay, last question.

If we look several years ahead, what do you think success is going to look like for onchain global finance? >> That that is pretty clear. Um I I think the success of this onchain goa finance is that uh we can make a transaction 247 365 days anytime anywhere without any friction that that that's the goal and you know I want to uh use kind of I wouldn't say stupid but the small example of what I'm talking about um I I live in Japan but I still maintain my uh uh attorney license in Ohio and I have to renew the registration every uh once in a while, right? And I have to pay for

registration fee. In order for me to do that, well, I work for Japanese company. I earn in Japanese yen. So, I go to my Japanese bank account and ask them to convert my yen to dollars. But it's not as simple because they will demand me to open up a US dollar account uh which take another uh you know several days and extra fees and well it's good that I have it already but if you would do that then you know it would take weeks for you to create dollar account and and then once you have US dollar you will transfer the US dollar to your US account and then you will use your I don't know check I don't nobody use checks anymore here but maybe debit

cards or whatever to make the settlement. Or another alternative is I guess I could use my credit card to pay Supreme Court of Ohio. But the exchange rate is, you know, I I I don't want to make any negative comment of [laughter] other people's business, but it's, you know, it's it's couple yen on top of it the the current exchange. So that's not really favorable, right? And all right so attorney registration fee is a very small transaction very small amount of money but that's exactly my point you know for small transactions I don't have to go on this financial project to make that transaction happen um in the

perfect world if we are successful doing this then I can just pay it on the network and then be done with it so I'm hoping that in several years um SVI's product or asset will be uh put on ARC network and people can transact uh using JPC USDC and stuff like that or at the same time maybe we can introduce uh US product uh onto the network and our Japanese uh clients of SBA group uh they can make the transactions on that network that we are >> I love it let's make it happen and I love your your your your example of paying for your law license because it's

an everyday version of something quite enormous. Well, that's what we're here to build and Okyama, thank you so much for joining us. >> Thank you again for having me. [applause] >> Please welcome to the stage Circle VP Business Development Ben Morris. Good afternoon. I think anyone who's been in this space can agree that trading has been the subject of massive innovation.

ARK builds on this innovation through deterministic finality, stable coin denominated gas, and institutional grade capabilities that will help to usher in this next phase of growth and adoption. To explore these themes further, I'd like to welcome two guests. Stephano France, CTO of Extended, and Daniel Amir, global head of investor relations for E Toro. >> Thank you.

>> Welcome. >> Thank you, >> Stephano. Starting with you, extended is already an established perpetuals deck. Why have you decided to fully migrate to ARC? >> So extended sees a clear opportunity for us to capture global markets by leveraging the always on infrastructure that ARC provides along with the deep stable coin liquidity. >> And the the newest topic is these high quality tokenized assets. um circles, you know, is taking a very regulatory first approach and that is a very strong fit for the audiences that we're tracking.

Um in that regard and in that topic of high quality assets, Euro C is a big deal for us. Euro C allows us to offer products with a quote currency that um our European users understand. They don't have to do complex mental arithmetic to understand the status of their trades. It's it's opens a lot of new avenues for us. Um alongside this extended currently offers about 40 to 50 single name perpetual markets. These are equities that are not available anywhere else in any even centralized crypto exchanges.

Um, ARC's performance characteristics allows us to expand this to finally hit our goals of hundreds if not thousands of these new single name perpetual markets. >> Right. And Daniel, E Toro has an existing strategic partnership with extended. How do ARC and extended create more opportunities for your users? >> Yeah, thank you Ben and thank you. Thank you for having us. Um, so it Toro is a platform where you uh trade, save, spend, and invest. Um, we're a platform that this was established in 2007 uh with the vision that everyone should trade and invest in a uh simple and

transparent way. Um, today we are regulated uh NASDAQ listed uh platform with millions of users in 75 different countries. Um our goal is to provide users with 247 access to trading. Um ARC provides uh stable coin liquidity um high quality collateral and uh institutional grade infrastructure uh to make that all possible. and uh arc for ex uh for extended really provides kind of the foundation uh to enable singleame markets on chain and enables uh eoro uh the venue to bring tradefi liquidity on

chain. Uh we're starting today with uh hedging on markets uh where crypto native liquidity is deep on uh extended platform uh allowing support uh for 247 trading access on the Toro app. >> Thank you Daniel. Um, now I'm going to show a quick demo of uh us kind of welcoming the circle family of assets into extended. Um, yeah, let's run it.

Go. So, as I said, Euro C is going to be supported natively from day zero. Um, this is a big deal for our European users. They get paid in euros. They don't need to convert it. Um, so here we go. We're going to deposit some euros and the arc is so fast that we have to rebuild our UI. It's uh it's it's crazy. Um and now that I've got I've got these euros, I'm going to open a position in oil. Um and you can see it's open successfully. No, you um and the other asset that we're adding support for on day zero is Circle BTC. Circle BTC is a very high quality Bitcoin wrapper um which will allow again users to deposit

diverse assets for their collateral requirements on extended um and we look forward to adding more and more support for assets that are being tokenized on ARC. Our goal is to support hundreds of collaterals to allow you know strategies that we can't even think about. Um yeah thank you. >> Wonderful. Wonderful. ARC is helping financial firms pioneer new trading opportunities for users to take advantage of today's global 247 market. Extended and Tora demonstrate this and they demonstrate that traditional finance and crypto firms alike can take advantage of these opportunities. Daniel Stephano, thank you so much for joining.

Thank you. Thank you everyone. [applause] Our next partner has pioneered the automated market maker model and remains one of the most trusted names in decentralized finance. I'd like to welcome Hayden Adams, founder and CEO of Uniswap to the stage. Hayden, Uniswap and USDC actually have some shared history, right? They were

both launched in 2008 and USDC was almost there from the very very start. ARK marks the first time that these two organizations are actually building something together. What does that open up? Yeah, I before I came out here today, I actually checked the all-time volumes and USDC has traded over or almost$2 trillion dollars on Uniswap over the past nine years. >> Um, which is just incredible. And you know what I think about when I see that is just like the power of decentralized finance and and blockchains. Like you know, our teams never actually like collaborated in a direct product launching type of way

before. And despite that, you know, there was two trillions of dollars of shared activity. And so that just gets at like the power of DeFi and the power of decentralized financial rails. And you know, we're really excited to be working with you guys in terms of ARC and building liquidity there and and you know, bringing unis swap v4 there day one. uh that there's you know we've done a lot of work over the past few years to increase the expressiveness and programmability uh with unis swap before which allows for you know market structures that are customized to pretty much any asset class and you know a lot of what uh arc is thinking about is how to bring more assets on chain and new assets on chain and so I think it's like a really incredible match there uh and and I think that there's you know uh

some really interesting uh things that we'll unlock in terms of uh you know how tokenized stocks trade and how uh stable coins trade and um you know how they're accessed around the world. >> Yeah, on that point, I guess stable coins are obviously a core use case for ARC, but we also expect many different types of assets to come on chain. Um unis swap's pool.xyz will be a huge driver of that activity. Can you share a little bit about what is it and what will deploying on arc actually enable? Yeah, I want to talk about pools and I also kind of want to contextualize it more broadly in unis swap v4. Um because you know pools is a liquidity launchpad that we created and it makes it you know really easy to instantly create a

liquidity pool on top of unis swap uh for free. We don't add any margin uh where you know most launchpads tend to kind of take additional fees on top. you know what a lot of token launchpads have done has really um you know just made made it really easy to create pools on unis swap and so some of them have done a lot more innovative stuff but we wanted to kind of raise the bar there and you know so I think that uh just like this process of early price discovery for new assets uh has been like a long time problem not just in crypto but all of society and you know automated market making uh has helped a lot with that but the sort of you know what does it feel like to create a new asset day one how can you make that like

early liquidity and early price discovery as efficient as possible, as low cost as possible, um as fair as possible, I think is a thing that maybe people don't think about enough is is emphasizing like, you know, a lot of uh or a lot of early activity has had like issues around like, you know, what people call sniping or or all these different things. And so, you know, with with pools, we really tried to kind of invest in thinking about how to like create a a fairer launch process for new assets. Um, and and a fair kind of bootstrapping of liquidity >> and and of course, one of these assets is circles wrapped BTC, Serb BTC, which will be available on ARC. What role can unis swap help in developing that market?

>> Yeah, I mean, so, you know, Bitcoin is the the first and still largest by far, you know, crypto asset. And you know, I think that just having uh you know, the there's always been like the the challenge of of having deep liquidity because it doesn't support native smart contracts. And so I think having you know uh circle bitcoin on arc uh will really allow for the programmability of EVM uh to to kind of benefit. And so I think that you know unis swap again with e4 has has just uh really like expressive market structure.

And what that lets you do is I think that there's just so much uh untapped value in experimenting with how to better automate uh market making better create automated liquidity. And I think that you know uh you really want all the assets in in one place and so I think that like there's there's definitely a huge amount of kind of value for I think that unis swap can basically be the you know the the deepest liquidity source for for s BTC. >> Yeah. Yeah. And as we think about the infrastructure that unis swap and arc is enabling, where do you think DeFi will be in 10 years?

>> Yeah. So, you know, I I have sometimes when people ask me this, I'm like, well, I think we'll all have robot arms and stuff, but I think that, you know, the when I think about like the the future, right, pretty much, you know, like all information, almost all information is digitized and put on the internet. And I think that you know majority of value will be tokenized and put on blockchains. And people say well why? And I think that the you know answer is the exact same one right like digitizing information and and the internet basically just made most information globally available instantly to the entire world. And um that's part of the story right people talk a lot about the efficiency and the global nature and the 247 nature. Um and that was one and and

that's going to be part of it. But then there's like this other side to the internet that it really changed didn't just change what information was available to who um and and how fast but it also changed like how people interact with information. It it is a more expressive programmable medium for uh interacting with information which is how we got to like you know all these things like social media. And so I think that like crypto will have that same dichotomy of you know uh like on the internet there were exist all existing businesses eventually moved their businesses onto the internet. um right stores you know Barnes & Noble becoming Amazon or whatever and then you had uh internet native businesses that were like what would not be possible without this technology and that's um you know things like uh you know things like uh

social media or whatever and you know when I think about uh crypto right like you have like projects like unis swap that are you know this would not be possible without blockchains and then you have you know uh things like you know USDC is basically taking an asset that you lives offchain and and bringing it onto blockchain rails which unlocks what's possible for it. And so that's kind of, you know, so I think there's going to be like the the world of cryptonative assets and there's going to be the world of, you know, what we're calling real world assets. Um, and that's going to be pretty much all assets that exist. Um, and and I think that, you know, probably the the better question is like what isn't going to be tokenized? And then, you know, the end goal of all of that is basically just

making markets uh, you know, cheaper, more global, more expressive, um, changing the profile. you know, uh, the internet changed who can create content and we're going to change who can create markets and who and and and I think that's, you know, really powerful and and what I'm really excited about. >> Amazing. Aiden, thank you so much for joining. >> Thank you. [applause] I think just to end beyond unis swap extended and eoro we have several other partners including aerero drrome edjax fomo pump funer and many others that are going to partner with arc. So with partners like these it's no surprise

that arc is rapidly becoming the home for builders across the entire ecosystem. In addition to popular social trading apps and launchpads, many developers are also building new and innovative trading primitives. And what's more, every single major wallet will support ARC out of the gate, bringing in hundreds of millions of users. Thank you. [applause] [music] Please welcome to the stage Circle VP Engineering and Product Management, Gugen Mack.

Hey you all, we've had quite a morning. Thank you so much for being with us here. Here's the most exciting thing about today for me. You heard from Black Rockck, SBI, DTCC, Uniswap, Morpho, A Toro, Extended, and everyone feels at home. The finest of Wall Street and the coolest of DeFi, all on the same platform, all in the same room. That is Arc.

You have about half a million builders and people watching online as well. We wouldn't call it an economic OS for the internet unless we were able to fulfill a variety of use cases and bring a variety of builders on the platform. The financial institutions give the resilience and the stability that is required for a long-lasting platform and the builders feel comfortable innovating on. And when you bring these two sides together, then customer journeys become fluid.

There's no fragmentation or stuck liquidity and financial workflows just work. A payment when it settles on ARC on a wallet in Arc. From there, your capital can instantly be moved to earn in various wallets or pools. Trade in a variety of ways, pay your vendors, and buy assets that you are interested in or just shop around for memes. It's soft for your game and it's all happening in smooth workflows because of 100 plus partner applications that are launching on day one. And there's also connectivity to 20 plus networks.

So users don't have to keep hopping between wallets and keep orchestrating complex flows just to get more out of their capital. Now this is all possible because ARC is built as a full stack platform. You heard from Nikl and Jeremy today about how we think about it as a full stack problem to solve. So I'll go a little bit deeper into it and show you some of the cool stuff we've been working on. The base layer is a network of course ARC is a layer 1 network with global institutions as validators which means that for enterprises the risk trading and the risk profiling becomes much simpler because you always know who the validator cohort is. Stable coin as gas means you do not have to worry about

accounting with volatile native tokens and subsecond finality means that capital moves with ease. It's never stuck. On top of that, we alluded to stable coins. Today, ARC launches with USDC, USYC, EC, and 14 partner stable coins that cover countries where 1.3 billion people live and governs 45% of global GDP. And today is just day one. We hope to onboard the entire world's currencies on ARC. Now these assets on themselves are not locked in on ARC. We have extended Circle's interop stack which is a leading interop stack on chain. CCTP is the way how money moves, how data moves

with TCP IP. CCTP moves money. Our goal is to enable every blockchain that has USDC to have oneclick 1 second connectivity to the applications. So wallet on arc your USDC when it's held on arc or your assets that are held on arc they can be deployed on any network within a second with one click under one cent that is our goal and so we are extending our interop stack to all the asset issuers who are doing issuing assets on arc as well.

We talked about developer experience leading to good user experience. Now over a period of time as there have been numerous networks developers have had to rearchitect flows over and over again for instance bridging sending and receiving across networks on ramping and off-ramping creating a unified balance. All of this stuff is abstracted into app kits. What used to be hundreds of lines of code is now maybe tens. And then Arc Studio is our coding agent.

From Arc Studio, you can go from an idea to smart contracts deployed on Arc within minutes. There's security standing baked in so common vulnerabilities in contracts can be avoided. And this is just out of the box. Building is only the beginning. Builders also need discoverability. Arc ARC portal launches for users to discover the best of ARC. Over here we will feature hundreds of applications that are going live and there will be novel experiences and novel ways to experience finance for users through agents.

You'll be able to construct agent wallets, create flows, chat in natural language with your money, reason and transact in the same place. And when you package all of this together, that is when it feels like an operating system. The right levels of abstraction exist for builders whether they're protocol developers or app builders. They should be able to pick the right primitives. That's what we are constructing for. So let me show you how developers will experience Arc Studio. This is Arc Studio. Here you are building an allow listed tokenized share class for a robotics company.

In studio you can just specify your intent in natural language. This is of course a technical example. The contract gets created and there is a problem here that the transfer from function skip the allowless check. So the agent corrects itself, introduces that check, runs the contract test, ensures that the tests pass and deploys the contract on ARC. Norman Robotics is live on Arc constructs the front end for you to click mint. You'll see that soon.

Once you mint shares, whatever you specified as allocation gets allocated to the wallet addresses. You can check the block explorer and the transaction is settled there and still linked. This builder journey is only the beginning. We understand that builders face a lot more than wipe coding an application. So along with studio and app kits discoverability with portal will continue to help builders get distribution and get surface with users.

We are creating an ARC builder fund to support you through your journey as you try to find product market fit for novel ideas. An ARC security service is going to ensure that you are able to get support as you scale for any security related issues. We are here to support the journey of builders through and through. There's something else I'm really excited to show you that is our portal. There's something that we have been thinking about for a while that when you when you get on chain and you try to use different applications, you don't know which application you don't you shouldn't need to know which application is on which chain like poly market runs really well on polygon. You should be able to use it if you have USDC you

should be able to use it without having to manually bridge. So here in our portal once you have your USDC in an ARC wallet let's say you want to bet that Chelsea is going to win over the weekend. We are big Chelsea fans here, right? So Chelsea is going to beat Brenford. You can ask a couple of questions, figure out what you figure out what you want to place a bet on and in natural language you can authorize a transaction and all the complexity of finding gas tokens, bridging, forwarding, relaying, all of that gets extracted away and from speaking in natural language to deploying deploying

your liquidity into an application is a single step and this is what I we mean by ARC wallets serving as liquidity hub for you guys. This stuff is live today, but there's a long road ahead. We are at the beginning of a multi-year journey. Resilience, scalability, and privacy are paramount when finances are concerned. And to talk more about what's ahead, I want to invite my colleague Sankit Jen.

Come on up. [music] [applause] >> Thank you. Thank you. Go. Hi everyone. We built ARC on the principle that an economic operating system for the world only works when the world runs it. When institutions running a network span every major market, the applications building on it can serve every major market as well. Global infrastructure is what lets global applications emerge at all. We believe a network is as only as resilient as the institutions behind it.

And we're building more of that resilience directly into the network. As you may have heard, Maynet is live today. We have over 100 apps live, but we've also minted 10 billion ARC token, the entire initial supply, making Circle the first publicly traded company to mint a network token. The mint moves us towards our next milestone. In 2027, we plan to transition to the network to proof of stake. This milestone will serve for four main reasons. Security validators securing the network will earn rewards. Economic alignment. Network fees convert to ARC and flow back to people staking it. Utility. The deeper you build on ARC, the more useful it becomes. And governance, the people using the network should be the ones

governing it. I mentioned before that global infrastructure is what lets global applications emerge, which raised a question we kept coming back to. What does an application actually need from the network powering it? We realized that the answer depends entirely on the application. A block trade, a payment stream, an AI agent all have very, very different needs. Historically, that meant standing up an entirely new network or moving your flows off chain. We wanted one network that could serve every developer for what they needed. So, today we're introducing ARC sectors, a purpose-built lane for each class of financial activity, all on one network.

The three we're most excited about are privacy, which you've heard about today, which allows you to encrypt balances and transaction details with scope disclosure for auditors and regulators, payments designed for hundreds and thousands of transactions per second for Gentic and institutional payment volume and agents, verifiable identity and provable execution for software that transacts on your behalf. And we expect many more sectors to emerge as the activity on the network grows to dictate it. Let me walk you through the privacy sector on a public chain. Today, your balance and every transaction you make are visible to everyone. No treasurer runs payroll that way. No desk shows its position that way. Privacy onchain has always cost you something. Either you have to learn a new language or a new

toolkit. You wait on proof some give up speed or you give up the properties that made blockchains interesting in the first place. The privacy sector encrypts balances and transaction details with postquantum security end to end while staying auditable through contract and wallet owners granting scoped access. and it costs nothing to adopt. Same block as public transactions, same EVM code, same tools. Let me walk you through an example of a private payment on Arc Portal. When I go to Arc Portal, you'll see my unified balance of public and private. I'll be able to select $50 and click off toggle for private send. After I continue and select my friend Brad for the payment, you'll notice that before I finish the sentence, the transaction will have settled with the same block, same finality as everything else on Ark.

But sincette, what about the block explorer? Let's go check it out. On the block explorer, you'll notice that all the transactions are private. Only after logging in with a similar experience of connecting your wallet will I be able to see my private transactions are scoped specifically to me. And no one on this network can unilaterally decrypt it. Encrypted onchain, settled in the same block, and I get to see who controls it. I think that's pretty cool. [applause and cheering] The internet has only ever known one kind of economic actor. People agents are the second and there will be far more of them. They will need to hold value, move it, and be trusted to do so.

No economic infrastructure has ever been built for a user like that. I want to give it back to Gagun to show you what it takes. Thank you. Thanks. Let's talk about agents. Who here has used agents? Almost everyone. Who here has given their bank account information or social security or something which is makes you uncomfortable to an agent, early adopters, early adopter and chief.

But most people are not raising their hands. Every agent wants to be useful to you. They want your personal information. I was trying an agent that is going viral and I asked it, "What can you do for me?" It said, "The fastest way for me to be useful to you is give me your Gmail." Now, I have 20 years of my private history and life in Gmail, family related stuff, spouse related stuff. I'm not going to give access to all of that. So, I asked it, "How can I trust you with my email?" and it said fair question but an honest answer is better than a reassuring one that doesn't inspire a lot of confidence. So

I went a step further very specifically. Hey, how do you protect my data at inference time? At inference time, your content is plain text to me. So where is it getting indexed? Where is getting used? Where else will it come up? I have no idea. And every day I come across these headlines. Everything that is hackable will get hacked because software is getting generated at runtime to solve a problem for you and it's beating the static software that has been written over 40 years and we continue to spend a lot of money.

We are in investing trillions in infra and hundreds of billions and we are hoping for business returns but money spent is only input and token use is accelerating. So how will we get our returns on all this investment? Agents want to help you but they are limited by access to your data. As an enterprise, are you willing to give agents access to employee records, health information, money, customer information, credentials, all of this stuff is a big question for enterprises today because intelligence is abundant. Token prices are plummeting

and when intelligence is abundant, trust is the bottleneck. But we have solved this problem once before. We learn to trust strangers on the internet. You get into a stranger's car. You spend your vacation in a stranger's home and you invite strangers home to help you with some complex tasks. And we learned to follow a very simple rubric. Trust is a function of the number of jobs someone has done, the quality of the jobs, and some trust arbiter in between. dispute arbittor in between. So here Vitali has 781 overall jobs with fivestar ratings.

Seems quite reliable. So I brought him in to assemble IKEA furniture and he did a phenomenal job. And if he would have messed up then Task Rabbit, Fiverr or any of these guys would have made me whole. That's how we learned to trust strangers on the internet and made our lives so much easier. We believe that in the future you will trust agents. Similarly, there will be a way for you to trust agents and hire them to help you manage your health, help you manage your finances, reduce your taxes, and so much more. At Circle, we have been really good with instilling trust through open protocols and open software. Earlier, you heard USDC passed $100 trillion in transaction volume.

USDC is an open contract and it works on 30 plus networks. works in the open. It's an open dollar protocol. So, we have been working on figuring out how we can extend trust to agents as well. And we are working with our platform to create a chain of trust for agents. It starts with your wallet on ARC and your private key is the one that controls everything whether you're a developer or a user. Now, you're building as a developer agents in codeex, cloud, cursor. You can continue to build your agents anywhere.

You can create an agent account on ARC. You can rent your repo and create an account on Arc in Arc Studio. Again, with natural language, you will be able to configure your agent, give it an identity, give it your developer profile and that will create an agent as a worker. But this worker also needs a runtime and we are working on agent VM which is agent virtual machine a secure environment so that agents can run their inference in private and protect your data in this environment the IO of the hash of the input output

plus the code that ran the hash of the code and the fingerprint of the TE all of that gets packaged as a log and that log builds evidence of work. So remember he had 700 jobs. Now imagine an agent who continues to produce this evidence over and over and over again and that evidence is independently audited and the details of the work are only private to you. That is when you can start trusting the agent as a worker. And with some more qualitative feedback, we can construct that same rubric of trust for agents and they can be hired on the public internet.

How this will all work? I want to invite our head of agent engineering how to show you how. Come on up. [music] [applause] >> All right. Thank you, Gagan. And hello everyone. So, Gagan just talked about the chain of trust and why it matters. So, I'm going to show you how it looks like to use it. So, basically, every enterprise we talk to are telling us the same thing. I'm ready to hire agents, but I'm not ready to handle stranger, my credential, my data, and my money. So, let's close the gap from both sides. First, the builder.

Next, I'm going to show you how easy it is to set up trust agents within Arc Studio. So, when you open Arc Studio, you'll see an option to register my agent. So, you can register agent by connecting your GitHub repo or upload a zip file. Once connected, Studio will read the code, discover the capabilities, and set up the agent profile for you. Next, pick a runtime. So we have a primary runtime called agent VM out of box for you to use or you can go with your own cloud provider with one more tab studio is going to publish your agent or arc an arc an arc identity a fingerprint of the code and a link of the agent that is

ready to share in any of your favorite AI interface are now created for you. Now, let's flip to the user side. As a user, I want to be able to hire, discover, and hire this agent from any AI interface I want. So, we're going to show you how it's going to look like within our portal. When you open our portal, you can see a list of agents with their ratings and job history. After agent is being hired, we'll scan the agent's ownch identity, the runtime attestation, and then open up a private environment for the entire

conversation. From now on, whatever you send, you upload stays within that private environment. No one else has access to including circle. So once the job is being once the plane is being accepted the agent is going to uh execute and complete a job and from this point everything will be settled on arc including your job history the runtime attestation. This shows you how to hire a contractor on a public internet. A clear scope of the work, a budget, a record of the work, and everything stays in a dedicated private runtime environment

and never leaves it. So where does this go? Looking forward 2027, as some kid mentioned earlier. So we're exploring a dedicated agent sector on ARC built for agents operating in real financial markets with four properties. A verifiable identity so every agents carries a registered identity to arc with a provable credential and a reputation attached. Agreed mandates. So this is the one I care about most. Before any work starts both sides needs to agree on a deal. A deal specifies the scope, the price, the deliverable and how the work get

accepted. The mandate agents runs under is the deal itself. Policy enforcement policies like spending limit, counterparty rules are all checked and enforced before every single transaction. Last but not least, auditable records. So every agent action are locked on chain. So the evidences can be verified against what was agreed earlier. An evidence without agreement proves the agent did something. An evidence with agreement proves the agent did exactly what it was hired to do.

So at circle we firmly believe that trusted agents on the open internet can help you scale enterprise to work with no ceiling. With that, Dan, back to you. Thank you. >> Thanks. >> Imagine infinitely scalable enterprises. You can hire the most expert workers that on board instantly on demand and then release them when the work is done. That's super cool. We talked about a lot of things today. So, I want to describe what is live today. Our public mainet of course secured by global institutions, 100 plus applications. You can pay, trade, borrow, lend, earn, get your assets on ARC. Agent stack is live. You

can use it today. Now, there's stuff that you saw that sneak peek. You're not going to see the agent VM on our portal just yet. We are developing it. If you liked what you saw, this is the QR code. Sign up for early access. We would love to partner with you and there's a lot of cool stuff to build together. Today is just the start of a journey. We are so grateful for you to be here. Thank you. >> [applause] [music] >> Please welcome to the stage circle co-founder, chief executive officer and chairman Jeremy Aair and A16Z crypto founder and managing partner Chris Dixon. [music]

[applause] >> Hello. >> All right. [clears throat] How you doing? >> I'm good. How are you? >> I'm good. >> Thanks for having me. It's exciting day. >> It is. It is. Um it's been awesome to work with you during this journey. >> Yeah. Well, thank you. >> Uh into ARC and everything else and >> for the last decade or two or whatever. Uh we met decades ago or you know a long time ago. But um >> I I thought we'd just start this conversation a little bit just sort of talking about this moment. Yeah. And you know, you're hearing these themes, you know, here today. Um, you AI, AI agents, just like technology as a whole in this

like period of like hyper acceleration of software, software eats the world is like even bigger. Um, and crypto. >> Yeah. >> And so you're you're both your firm and you specifically are I think uh like very steeped uh in in in all of that. and just like talk to me about how you see this moment we're in. >> Yeah, I mean it feels like we're in the kind of most accelerationist moment in my career. Um, and that includes obviously stuff happening in crypto, but also AI areas I don't really know as well like bio and from what I hear like energy and you know robotics and that's not something I do but it's seems pretty incredible. Um in crypto it's kind of a weird time because on the one hand kind

of some some sentiment in some quarters is down uh and some prices or token prices are down and so forth. On the other hand we have more institutions entering than ever more kind of legitimate actors more growth like you know I think this the growth of stable coins as an example which obviously you are the pioneer one or one of the main pioneers of and in the center of I think it's very important that it's growing in a way that's uncorrelated to trading. >> Yeah. >> Right. right? It's one of the first real use cases. It's not about sort of trading and things like that. Um, and so I think in crypto it's this weird kind of tale of two cities where I think I think we're kind of moving from sort of an ideological early phase into a pragmatic kind of like real application

phase which is which is a healthy thing right and you obviously what you're doing here and all the you know key partners you announced >> I think show that right and and and you know just your posture in terms of building you know serious tech and taking compliance seriously and all of that um and then the AI world everyone follows that I mean it's just incredible uh both the development the amount of investing going on uh the rate of change uh the our firm is very involved in in this stuff um and I think you know I think like a lot of this stuff I'm sure a lot of people here have used you know vibe coded and stuff it's truly incredible what's going on and it doesn't and it seems like it's going to continue at this pace and you know as you're talking about today with the

agents right we're only seeing the beginnings of it most of us only experience agents mostly you know as for vibe coding and things like that but I think It's very plausible that over the next decade uh you know we will have essentially an internet of agents right we'll have at least an agent per person maybe many per person and that the internet was really the internet we live with today was designed for an internet of humans um and specifically like I kind of look at the world through the lens of networks and what I mean by networks is you know the internet's a network but then on top of the internet we build other networks and so like you know originally there was the web which you were you were you know pioneer of um and email and sort of open protocol networks and then we had a era where we

had, you know, kind of these companyback networks like, you know, Facebook, Instagram, Uber, you name it. Um, these are these are systems where you bring various parties together and, you know, it's really one of the magical things about the internet. Another way to say it is instead of just sort of single player, it's multiplayer, right? >> Yeah. >> You think about AI today, it's mostly single player. Like it's mostly, you know, you're you're sitting in front of a thing, you're vibe coding something, um, and you're using it sort of it's like a, you know, kind of like a really really advanced old style computer. um it seems inevitable that will become multiplayer and that the same thing that happened with the internet moving from like PCs to thisworked world will happen with AI and in that so what I think about is like in that world what will

those networks be right and so a very obvious one which you're all here today will be a financial network right um and a financial network will require a way to have programmable money and to move it around and the ideal form of money is probably a stable stable kind of money like the dollar um and ideally that system is global and inexpensive and fast and all those things and and allows you to do things you could have done before like send money abroad but do it a much more cheaply and faster and I know obviously the pioneer of this here I'm explaining I'm explaining to Jeremy what he built um but I'm getting to something maybe a little different which is uh um at some and you know and then as you've always described that you then have a programmable layer on top and you'll build you know trading and and so

forth um but then at some point like I think the big vision 10 years from now as you move beyond just sort of like replicating the existing financial world into really building like a you know a machine age economy. >> Yes. >> Right. And I'm I got a lot of this from Jeremy just to be clear. I'm feeding back what I learned from him. So these are not I'm not taking credit for these ideas but but but uh it's it's why we get one reason we get along is we we like the same things. But you know at some point right you can imagine a world where agents are spinning up uh uh you know something like a DAO like a ephemeral organization and performing tasks and sharing resources and spending money and all these other kinds of cool things. Um so I I yeah I think it's like

probably the most exciting time. It feels like all these things come together. >> They're accelerating. Um I don't know. It's like it's kind of magical time in my view. Totally. It is totally magical. We're making magic here. Um, no, it's it is. And I I think um I we it was actually just this conversation just coming off of some of the stuff we were just showing, which is like >> how do you how do you trust the work an agent does? How do you verify its identity? Uh how does how does that work on open networks? How do you you know, how do we how do we replicate some of the things that the internet did really well with like how do you how do you trust people you don't know or trust get in a stranger's car? all these sort of trust reputation verifiability etc.

And it turns out that blockchains are actually really good at that. And when you're dealing with, you know, complex things, deterministic uh things like code and data p execution paths, things like that, like it's actually re really good for that. And so I it it does feel like the material is sort of all coming together. this >> what's happening in the in the inference economy intersecting with what's happening in these like economic infrastructures and and they and they kind of need each other although it's not totally apparent like people using instinct or muse think like oh that's an agent because it is doing these things but >> multiplayer is is the key like I I want I want to be able to have these things you know communicating with each other

and not just like me as a user but like >> as you said like a a an agentic corporation that exists on chain and these sort of being two sides of the same coin, right? That that feels, you know, feels like um you know, more of what could happen. Let's pull that thread though a little bit like um you you were uh you know I think a you've been a a huge proponent of onchain organizations onchain corporations different structures for that in the US and the legal system and this this sort of intersection of of um kind of agents the onchain system and ways to kind of create organizations that could kind of you know be this fusion of of AI and

humans Um, I know you've made some investments uh in in in that space. Some interesting startups and and companies that are very focused on it, including Sean who's here um and uh uh circle co-founder and um but like talk to me a little bit about like >> go five years out like what what is that like and and and and what are these what are these agentic corporations doing? I mean it could be I I think it could be I mean so obviously this is highly speculative but like for example you want to perform some kind of task you want to you know create some piece of content you want to solve a problem you want to write some software um uh you you've already seen that you know agents work I mean I think anyone who vibe

codes you know that like agents working together will do a better job and in fact a lot of these things will like spawn sub agents and things um and so you know the the thought being just you know what if you could in the same way that you do in the economy sort of bring uh various people from different areas with different knowledge sets with different skills and get them to work together. We're already seeing early signs of it. I would argue like unis swap hay which is up here in a way. I mean it's one of the sort of earliest decentralized it's really a dowo >> um it's a instead of having New York Stock Exchange you have just a piece of immutable code >> um and it has a business model and it you know it's a whole kind of thing where it's you know and it's and a

governance system um and so we've s we've seen early signs of it in DeFi. I think that to me the big question like a lot of the stuff you described like trust reputation like this will happen and I think there's a fork in the road and one of the reasons I think I'm involved in this space and you are is it could happen with like Facebook yeah >> controlling all of it or some big you know centralized financial institutions controlling all of it and charging high fees and extracting from it or it can h I mean so one way or another this will happen right agents there will be a internet of agents they will interact with each other there'll be an economic system there'll be trust systems there'll be reputation systems like everything you built here will exist in some form or another. The question the

real question and the reason that we like I personally care about this I think you do too and also we've been involved in policy and other things because we think it's important that there's at least people have the choice to to do all this stuff in an open system that you know promises low low fees you know um uh developer trust they can build on top of it composability >> and and the users can participate. >> Yeah. Well, and what we saw with the internet, this is why the internet was so exciting, right? I mean, there was a real fork in the road. People who aren't old enough don't remember, but you know, there was AOL and these centralized services and then there was this alternative which was this open system and it led to this massive wave of innovation. And I think likewise having

these systems like you're building be open are very important for in for you know incentivizing innovation for you know having the benefits flow to consumers and developers right um >> totally. So [snorts] I mean this this this actually it kind of gets to the heart of matter and one of the reasons you're here is that you're a you're a participant and stakeholder on the ARC network. Uh you you you actually led the pre-sale of the ARC token uh the the largest uh the largest participant and you guys uh as a firm are active in these crypto networks and you think about them as governed networks with broad open participation. Um you've talked a little bit about um the you know the sort of why the technology

we're building is great and and it meets the need meets the moment the sort of emergent a mainstream moment that we don't need to we can you can sing the praises that's great but um but more importantly like when you think about this as a stakeholder as someone that wants to see distributed governance and see these become this you know this this network arc become a widely uh distributed, widely used and governed network. What's what do you what do you see that looking like? Obviously, you're you're very close to to what we're doing, but um I think that's that's probably helpful for people here.

>> Everyone in this room >> is either already or has the potential to be a stakeholder on this network to participate in its growth and evolution. This is not just a circle thing. we're building something for the world that truly is open and can and can and can be you know uh uh you know everyone can participate. Yeah. Um, so I think I mean I think look there's sort of table stakes for a system like this which is you need to have security and performance and all the other kinds of things like that and the governance a good a healthy governance system will help with that. But I also think there's a very important thing is sort of credible neutrality that that that a you know if I'm a bank or I'm a uh developer or some other organization and I'm thinking about committing to this

network that I feel like the network is a neutral network and it's not going to change the rules on me or you know bias things towards one of my competitors. Um I think one of the things that impressed me when I spoke to you about the about this project early on was it the way you thought about international. >> Yeah. >> Right. to not have it be seen as like a US network to not have like I think it's the winning the the ideally the winning ultimate kind of you know kind of global substrate programmable layer of money will be something that's used globally >> right economically geopolitically neutral >> exactly it has to be it has to be trusted everywhere if it's seen as sort of the US the US chain >> that will limit its potential and it'll limit the potential for the users and

the developers as well right like so having something that truly feels like it's there's a broad enough set of stakeholders that you know somebody can come on and even though I don't like the whole kind of point of a blockchain in a way is you don't you're not supposed to have to trust other participants you need you need it to be designed in such a way and with sort of these game theoretic incentives and a broad enough governance yeah right that you don't have to trust it you just have to trust the code >> um and that's how you really get I think an inclusive broad user base developer base >> yeah there's a there's a lot obviously we can learn from the way the internet itself was constructed with like the the way that certificates and security and the domain name system and other things

have have worked. We kind of have this open network but we have some governance and >> and the world's better for it. Imagine if we had internet for, you know, seven internets or whatever, you know, by by like geopolitical region or something. It wouldn't it wouldn't, you know, >> everyone would have been worse off. >> Yeah. No, totally. Um maybe um uh because you're an investor uh and you there are a lot of entrepreneurs in the room, there are a lot of people building things, a lot of startups uh that are that are launching day one here. There's, you know, we have half a million people tuned in, a lot of people listening to you. Um, what do you want to see built? And and that isn't a promise to invest obviously, but what what do you want to see built on ARC?

What are you dreaming about right now? Uh, in in this space, >> I I find it useful to divide every new big technology in between what I would call sort of I call it skumorphic and native, but it basically means doing things you could already do in the past, but doing them better. So like sending money across, right? you can already do that today, but now you can do it cheaper, faster, globally, and so forth. Um, trading, lending, uh, you know, FX, these are all very cool. I'm not saying that I'm not trying to like diminish them in any way, but these are things you can already do, but now you can do them better on platforms, >> internet scale, all that stuff. Yeah.

>> But and then, but then for me personally, I get really excited by the what kind of the native use cases. So like the things that surprise you, you know, so and you know like um what you know something I assume that will be something to do with the intersection of blockchains and AI and agents and so forth. Um but you know you think about Twitch is just to give you an example like Twitch is not something I think anybody prior to 2005 predicted the behavior that people would watch people who play video games as an example. like that would be a very internet native thing that kind of emerged through the intersection of a new generation growing up with the internet and culture and new tools and new technologies and I'm guessing the same thing's going to happen maybe and we may be in the

skorphic phase right now maybe the next five years are just about like and that and that's maybe good enough because the benefits are really large if you can like if anyone can send money for free around the world that's a huge benefit to a lot of people um as an example but to me the thing that gets really exciting is and that's where the entrepreneurs come in I I what I've learned maybe the hard way is that like investors shouldn't even I can speculate and this and that but the entrepreneurs always do a better job doing that but yeah so what you have to do as an investor is just kind of keep an open mind >> and we we were thinking about that with with ARC like it's a platform for people to build on and and like when iOS or Android or other things came out right

yeah like we we can do stuff we issue assets on it we have some protocols on it but like it's going to be >> so so much of this is going to be what what people create and and I have this instinct right now that Like the the looking backward view is like people with wallets touching user interfaces and the looking forward is this agentic world and it really feels like the the the opportunity set is to create completely different types of user experiences that where that's the primary user experience and you're using the determinism of this kind of public compute infrastructure of of of something like ARC to to enable enable these to do like way more things way

more safely and and like the the the the UX paradigm of the future is not going to be a wallet. I think the UX paradigm is going to be something else and it hasn't yet been created. we're seeing examples of these things uh emerging and um I I think actually a 16Z has talked about you know this this uh this was I think it was a recent essay I don't know who wrote it but um about like generative UX and sort of more of the UX just sort of just emergent uh out of interactions and like we see that too and so my own view is like just like people invented WhatsApp or Instagram or Uber or all these other apps that came after the app stores and after you had these platforms like

>> there's going to be enormously successful and interesting apps. I hope that they're they're built on Arc. We're going to try and make that happen and hopefully we can all grow this together. >> Yeah. >> Awesome. >> Awesome. >> Great conversation. Thanks Chris for >> Thank [applause and cheering] you. [music] >> Please welcome to the stage Circle President Heath Tarbert. >> [applause] >> You're with us on a critically important day for Circle, the highly anticipated launch of ARK mainet. But this is bigger

than just Circle. We believe ARK can change the future of finance and that future starts here. Today opened with a film of ifs. The car, the desktop, the ATM. Each one once impossible. Each one now ordinary. For the last 90 minutes, you saw the next ifs answered. Money crossing borders in seconds.

Markets settling in real time. AI agents transacting on their own. These aren't separate ideas. They're one system. And today, that system is live. The vision you heard is now infrastructure. So there's only one question left. What's your if? The rules are written. The network is live. The rest is up to you. To the institutions, what will you bring on chain? To the builders, what couldn't exist until now?

Whatever you can picture, Ark is where it runs. In a moment, for all of you here today, you'll actually get a chance to meet the builders, go deeper with the teams behind today. See it, question it, build on it. We wrote the first ifs. The next ones are yours. Thank you. [applause] Time is the end.

[music] Heat. Heat. Heat.

Heat. >> [music] [music] >> Go. [music] >> And we're live. >> All right, guys. We are here at the Ark Maynet.

>> It's live. >> We're live. Arc made it fin. We're live. Ladies and gentlemen, we are here in the heart of New York City in Tribeca. It is Wednesday, September 16th in standing room only space here in New York City. Circle kicked off the Arc mainet launch with Jeremy Aair framing why the financial system needs arc, but not just the current system, but the future of the agent system as well. >> There and there was an incredible panel, multiple incredible panels, keynotes and speakers. This entire session was fantastic. I had a chance to listen in and the takeaways are incredible. I mean, if you look at what they have done so far in less than 24 hours that ARC has been live,

>> closing in on $650 million of USDC that's natively minted on ARC and that's driven by a lot of the applications that we're going to speak with today. that's driven by Morpho and it's driven by a and it's driven by a lot of the the protocols that are on ARC day one today. >> Yeah. I mean guys, the energy in the air right now is palpable. Uh it is truly a packed out house here in a beautiful venue uh in South Manhattan. I mean the program that we just witnessed ran into partner conversations with institutional players. You had the likes of Black Rocks, Robert Mitchnik, A Stani Kulachov, the DTCC. Uh you had Chris Dixon here as well. And the the the vibe

in the air, Rob, is is simply palpable. Um we have a stacked lineup of guests for you today. There has been over $650 million of USDC issued on ARC already. That is the mainet number. That is not the test net number. Rob, >> there's a couple more numbers that we have. Uh hundred trillion is a big big number. It's a hundred trillion of total USDC transfer volume. That's across USDC globally all time. Hundred trillion dollars is nothing to scoff at, of course. They also did the Genesis Mint, which is 10 billion tokens. This is not transferable. It's not on the open

market quite yet, but they did do the Genesis mint of the ARC token. I find it absolutely phenomenal because this is one of the first examples that we have of a publicly traded company circle and their ARC blockchain also with a network token. So we'll get into uh what that is going to look like over the coming weeks and months as more functionality is available. The final number that I have here on USDC obviously Agentic payments are huge right now. They're far starting to find product market fit. 99.6 6% of X42 flows have gone through USDC. So they are dominating Aentic commerce through USDC.

99.6% of X42 flows. Um we're going to >> incredible. Absolutely incredible. 99.6%. >> Guys, we have a stacked lineup today. It's truly a honor to be here at the Circle, sorry, the Arc mainet live event. We are ready to get the program started. Yeah. >> Give us maybe 10 15 seconds. We're going to keep the energy and we get our first guest, Merlin, the co-founder of Morpho. Yeah. >> And then shortly after him, we've got Jeremy Aair, the CEO of Circle. Guys, give us about 10 seconds, 20 seconds.

We'll get fully set up. We'll hit a quick standby and we'll go. Perfect. Heat. Heat. [music] [music] [music] Heat.

[music] [music] Hey, heat. Hey, heat. [music] >> [music] [music] >> All righty, guys. We're here with Merlin, the uh co-founder of Morpho.

Merlin is one of the first protocols live on ARC day one. Merlin, welcome to the show. >> Yeah, thank you for uh inviting us. uh already 200 million on morof for today on arc. So super exciting about that. Like I think in total on ARC there's 300 million. So just to to have like a glimpse on the scale of that. So super exciting. >> And so talk to us about why it was important for Morpho to be on ARC day one. Obviously $200 million is a substantial amount. Why was it so important from day one?

>> Yeah, because I I I believe that there's two billion blocks in finance. There's like the trading uh side of things and then there's credit. And so if you don't have the one of those two uh building blocks, then it's very hard to bootstrap an entire financial ecosystem on on top of that. So Mofo had to be there first. Then now why Mo needs ARC? It's because um I mean they're bringing a lot of privacy things uh out of the box. There's also many stable coins like new currencies that are coming on chain and we'll see a lot of like FX uh type of strategies on top of Mofo and we're super exciting about that.

>> That's awesome Merlin. I mean look big day, big launch. We're here at the space here in New York City. What is launching on institutional chain mean for Moro Strategy? >> Well uh I would say it's like the type of loans that you can actually create on the protocol. Uh right now the the defy space has been really focused on crypto back loans right like BTC and IF and maybe different other assets. But when you have institutions that come on chain then you have like custody back loans that can that are available. There is like reward asset backloans but within reward asset you have plenty of different asset type of assets like now

everyone is talking about stocks. So stocks is one way we you have to operate it is very different from treasuries uh because like maybe stocks are traded on uh on weekends. So how do you report that price? So there's many new challenges that are that comes in when you try to tokenize a bunch of different institutional assets. So it's like new challenges but new opportunities as well, you know. >> Yeah, man. I I mean congratulations to the launch with Bitwise, right? The RWA Morpho vault is is live on ARC today.

Bitwise is entering this curator space which they claim is really getting to be a bit more of an institutional ball game. Uh this curator space is rapidly growing into some of the largest and smartest financial players in the market. What's your take on this evolution of the curator space as it pertains to your launch today? I think uh Mofo we coined the the terms of creators like one one or two years ago. Um our vision around like cation is there's eight billions of people uh on earth that have very different risk profiles, very different risk appetites.

And if we truly want to uh meet those risk appetites, there's no way that one size video uh fits all model can handle all that all those needs and intents in the space. So what we say is like we need to ex expand to open the risk management space to anyone on earth. And so you have like cryptonative firms uh that will maybe focus on memecoins. Uh there's other firms that are like cryptonative but will focus on crypto back loans and will also extend their expertise to new type of assets and there's also like large asset managers that have been doing for that offchain for years or even decades that have like

a truly expertise on like treasuries or asset management in general and then can bring that expertise on chain. And this how do you how you scale to eight billions of people and we we do do deeply think that it's the only way. >> Yeah. And what does morpho need from arc like this is more than just a normal blockchain. This is something that is trying to be truly transformative and so how are you thinking about arc differently than maybe any other chain launch?

>> Yeah. So I think there's like the the privacy side where we're actually on boarding a lot of like large asset asset managers or banks on mofo the first question is how do we go go on chain what is our strategy how do we create credit product but once you have done that like an MVP or something like that then you have to scale that to all your customers but if you do that they have like privacy constraints they need to protect the confidentiality of of their customers. So if you truly you want to to scale that to all their customers, you need that that privacy layer which we don't have at the moment. So I expect ARC and us to work together so we can

scale those uh those product to to a broader uh ecosystem. >> Yeah man. I I mean look I mean we've we were at the Canton Summit yesterday. We were at the Avalanche Summit today. It's been a hell of a week for us. We've done a lot of conversations, but you can feel in the air two separate things. One is just broader institutional adoption leading to a bullish undertone for the key exports of this industry. Tokenization, stable coins, prediction markets, perpetuals, vaults, uh lending, right? These key primitives that we spent six plus years building on chain now are being rapidly adopted by some of the largest financial institutions in the world. Second, because of that, there is a new set of requirements that

is now a part of the mandatory baseline to adopt from the protocol perspective. Privacy is one of them. What are the other requirements that Morpho is focusing on to really be able to capture this institutional audience and win this market? >> Yeah. So, um, privacy is one. I think there's so we're releasing Midnight, which is a fixed rate protocol. uh that protocol is actually enabling a tons of use cases that were not possible on chain before uh I'm thinking about receivable backloans ethics hedging uh crushing arbitrage uh strategies where you have like certainty on the rate you're going to going to get custody back loans and and there's many others

but obviously for all those type of new loans you need to bring like the different stakeholders ers that are like the experts in that space like I don't know the PSP the permit service providers uh like the credit uh facility that are operating offchain etc. you need to bring those stakeholders and also build the product or the smart contract that connects those stakeholders together so that you can really put that solution into fruition. Yeah.

>> So our goal at the moment is connecting the dot and rooting those players around more for midnight and and rooting that liquidity so we create like really a truly uh deep and uh and global network >> and and do you see opportunity for that midnight product on Arc chain? >> Sorry. >> Do you see opportunity for the Morpho Midnight product on the Arc chain? >> On over on ARC >> on Arc chain. Oh yeah. Yeah, definitely. So uh we're going to release very soon. Uh fact first things will be I think CBDC back loans u or custody back loans against BTC.

>> Okay. uh circle has like a lot of circ under custody and FX is something uh I've been talking about like being able to uh hold USDC borrow local currencies in your jurisdiction so that you can like pay instantly in Argentina, Venezuela or something like that. Um, so currently working on like bringing more markets with plenty of currencies to enable new new use cases that are were not possible on other chains.

>> Very cool. Merlin, thank you so much, man. Absolute pleasure. We've chatted from several members of your team. You know, you guys have been a leader in the credit marketplace uh and vaults as well. And so we're very very excited and congratulations on launching on ARC uh from day one. You guys have driven 200 uh million which is an incredible number and I look forward to 2 billion. >> One more thing from me Merlin, what are your northstar metrics for the ARC launch specifically? Is it the same metrics that you think about when you're doing launches on other blockchains or your broad-based metrics? Give us a sense as to the growth of Morpho this year and last year and what your metrics of success are on ARC. Yeah. So I would say there's like two important uh

metrics is of course active loans because it's where you can actually generate revenue. Uh it's where you the borrower demand is really truly the important uh it's where the demand here is. So that's what we're tracking. And then there's a more uh like abstract way which is the the deals and uh the the the partners that we're working with. So arc and circle is one. uh we're working with for instance on ARC with RIPO which is and Por which has two FinTechs but we're working with uh across the board with many more fintexs and neo banks and those are actually uh the one owning the

distribution and those are the one bringing the demand on chain so those that's where we are focusing on and this what we are >> Coinbase is a fantastic example you guys have a great partnership with them >> yeah definitely >> Merlin thank you so much sir >> thank Best of luck. Thank you for your time. >> I still have some voice, but good luck, guys. The end of the day. Thank you. It's a good sign of the energy here. It's so loud because everyone is so bullish here, >> guys. I mean, we will continue here. >> Um I mean, guys, I mean, we're here. I'm telling you, I can't even get words out.

This place is buzzing. >> Yeah, it absolutely is. >> It's just So, >> let's just be real, guys. We are in a very institutional era of this industry. On top of that, Robbie calls it the legitimization era of this industry. And I think that's a very good way to put it. A and what I would say is that there are certain teams, companies, and products that are strongly positioned to win in this new era. >> And just as in anything, if there are winners, there is also subsequently losers. Now, we're not going to sit here and be pessimistic, but what I will say is the teams like Morpho, >> the teams like Circle, the teams like

Arc that are building at the intersection of these core exports of our industry will continue to eat the lion share of attention of the markets, of the bid from passive and active investors and more. We continue to harp on this thesis, Rob, and we just see this as the core way to think about investing and building in this asset class. >> I think what I'm excited about for ARC is that this feels like a truly next generation blockchain. Sure, >> there's been so many layer ones and so many layer twos and it feels like a lot of that has played out, but because ARC has been able to take all of the learning moments from so many blockchains that came before them, it

feels as if ARC is now able to leapfrog very similar to the way that the AI models are able to leap frog one another. They're able to leaprog a lot of what these previous blockchains have done. And I I think part of that is benefiting from the legitimization of the industry. And you know what? It's quite funny, Rob. In this industry, we have this concept of the second and third mover advantage, right? And we try a lot of these concepts the first time around. And you just don't know what you don't know. Look at the pers industry, right? Look at other other sectors, right?

>> What we currently have though is I believe the end of the second and third mover advantage. And hear me out. >> So you had this initial iteration of all these products. Then you got to the next iteration that was better because they learned from their mis their their uh exploit or their mistake or their lack of focus or the team got really wealthy early on etc. Right? Or the tokconomics and you keep learning and then the third round was even better. However, I don't believe that's the case anymore. I believe that the standout leaders right now in this market are what we're going to go and take 70 to 80% of the market.

I I think what you're describing there's actually a phenomenon which is the power law. Sure. And so I think this is a real marketbased phenomenon that we've seen play out in so many industries and I don't think blockchains are any different. I think this is absolutely what we're going to see play out and it is part of the reason why a lot of the portfolio constructions nowadays feel so consensus but it's because there's a compounding effect of consolidation. Exactly that. Exactly that. There's only maybe a dozen viable projects out there doing things the way that they should be done. Whether that's token based >> need to be so reductionary. There's a lot of >> maybe there's two doz Maybe there's two dozen. But the point is that there are so many teams that have granted fallen and tried their best but have not stuck

in around for one reason or the other. And I think now that we're seeing a consolidation of capital into those onchain businesses and that means those businesses are in a position to compound at a greater magnitude than any right exactly than anyone else. And human brain is not meant to think in exponentials realm. And so we think in linear terms, right? Which is fine. That's understandable. But we are entering the exponential era of digital assets >> powered by the legitimization of the industry, the institutional adoption, and the real actual awareness, mass the the mass awareness of this industry.

>> Yep. That's right. >> It's happening. And we're gonna bring up uh we're gonna bring up Jeremy Aair, the uh the CEO of Circle to talk about it. >> Jeremy, >> welcome to the show. Jeremy, this is your show. This is your world. >> Great to meet you guys. >> Awesome. >> Congratulations. >> Thank you, man. >> Absolutely. >> What a day, Jeremy. What a day. I mean, look, you started off your talk at the top in the keynote and you just spoke about this reality that we're entering, which is just this new economy and specifically about this bifurcated economy or perhaps that's the way that it's been talked about, but you stated this economy is not going to be a split economy. It's going to be onchain. It's going to be on ARC. Talk to us about

your vision here for ARC, the agentic economy, and what's really happening here. >> Yeah, I mean, it's stuff. It's stuff we've been thinking about in some ways like for a very long time. Like what got me into this whole space 13 years ago was like the idea that these networks were going to be computers and that you're going to be able to like put software machines on these computers and if you could actually put real assets like dollars obviously uh and and contracts that you could actually kind of construct a softwarepowered economy. And so like the founding vision was just like there's like softwarepowered communications, commerce, media on the internet, like a softwarepowered economic system would be possible. And so in in many ways like we've been

pulling that thread and and kind of working on different pieces. And I think ARC is in many ways like it's the full manifestation of that founding vision like we're we're we're creating an operating system. It's a network operating system. Its purpose is to run like the full slate of economic activity. Not just moving money around, but actually the contracts that run the economy. The you know the the decisions that have to be made, the governance mechanism, all these mechanisms that we think about as like the building blocks of of a firm or an economy can come online. But then it's this convergence of you know these these other operating systems probably the most powerful

operating systems ever created ever which is intelligence operating systems which are extraordinary and they need each other right and so I think our idea is like the agentic economy is these two different operating systems and they're basically two sides of the same coin the agentic system is these these intelligence systems and the econom economic operating systems like ARC provide the trust and verifiability and the actual execution environment for the the economic stuff and in a world of proliferating agents where agents can do things not just for us as individuals but actually we reconstruct what a firm even is. We reconstruct the firm as these orchestrations of agents doing

work. the corporations we create are governed on chain and you you get this like incredible proliferation of output that's possible from that. And so it's it's it's I I think it's the most exciting thing and Chris Dix and I were talking about it too, which is like there's going to be these new types of corporations that are there's not they have they people obviously, but a lot of it is going to be AI and they need this layer and we're building for that. And you know, I think I genuinely believe it's it's not it's not just that like developers have AI tools to build stuff faster. It's that actually what they're putting out there are AI agents themselves. I I think you're describing

an intelligent economy and and broadly this is an intelligence revolution and you're describing that it is applicable to not only the economy every company is going to implement this and we are going to see the the collective ultimately create this step function which I think arc is exemplary of it is a step function increase in blockchains and I think Andy and I were talking about this before you joined here which is that you've had the benefit of hindsight there's been so many blockchains that have come before. All of that is a learning moment and now ARC has been able to leaprog very similar to the way AI models leaprog one another. You've been able to leaprog all of the blockchains that have come before and it truly feels that ARC is a next

generation blockchain. I mean I I really hope so and I think like you know I I use the analogy of like mobile like there was 15 years of people building building mobile including massive companies Microsoft Nokia Samsung all these guys all around the world the Palm Pilot the Blackberry and like everyone thought they had mobile everyone's like oh I've got mobile I've got apps I can do this stuff but it wasn't act it wasn't it hadn't really actualized and then it was like the breakthrough of Android and iOS like these these new oper operating systems. These new operating systems created the surface area, created the user experience, created the developer experience. Enough things converged at the right time that they could pull together that then they

created an environment where, you know, people could create incredible new things. And that's how I think about what we're doing with ARC. I really genuinely do. I I think this is an amazing environment for people who want to create and build. And we really feel like we did have the benefit of hindsight. We've seen and you know we we have the most crossplatform app in the world in blockchain. USDC is the most crossplatform thing out there. So we care about that. We know about that. And and that's actually even interesting like interoperability is a deep deep deep part of ARC. You you if you issue an asset on ARC, you can ride on CCTP and distribute your asset to over 20 networks. And so that even even you know you know we we view even you know ARC we

want to run a lot on but like people are going to distribute stuff all around the world in other places too. >> Yeah. And and I think the mobile analogy is a great one because it describes a technology that is truly general and flexible enough to support non-skeumorphic use cases. Yes. And and so what you're describing I mean the unique advantages we have it here gas and digital dollars subsecond finality opt-in privacy postquantum resilience agent ready and assets and interop these are the unique value propositions that make ARC different from other blockchains those are what make ARC unique my question is what is the implications what what is now possible because ARC has implemented these unique advantages

>> well I mean like you know we've all talked about like when does the actual whole financial system like come onto these networks and we've needed these things. You know, the the companies that want to do it like they need privacy like they need an operational environment where they're not dealing with volatile cryptocurrencies. You know, they they they need um they need to know that the infrastructure um is is like robust and operated as a financial market utility infrastructure. you know, they they now today they need to know that when they're building and deploying it has like the safety harness, security harness, and AI tooling that's all right there. And so it's sort of meeting the mainstream where it is and and we've been listening to that, you know, for

years. And USDC gave us a front row seat >> because >> that was the first place institutions were coming. They were like, okay, we now have a regulated way to like move money around and like that was the first place that they were coming. and then like tokenized assets started coming and all of those integrating with USDC. So we we've been close to this for a very long time and and I think just like listening to the market, listen to customers. >> Yeah. You know, just kind of build off what Rob's question and your answer here, Jeremy, you're kind of putting together quite the puzzle here. You started with USDC and circle. It's grown to a enormous size, right? Uh 99.6% 6% of all X42 transactions on USDC, right?

You've expanded this now globally, right? You've done the regulated path. You've got things done the right way. Obviously, clarity would have been an amazing thing yesterday, but here we are. We still move forward with innovation exemptions from the SEC and CFTC. Now, you've got ARC. There's also a bit of the of the OS system that you speak about. What are we really building here, Jeremy? You're you're not just building a stable coin. You're not just building a blockchain. What is the bigger picture? I know I kind of asked at the top, but with the parts that you've got now, what are you really constructing for this company?

>> You know, like what when I started the company and and and got started like my my mental model was there's internet technology platform companies and they have a mixture of things. They run platforms, they run applications, they run like core services and and they're all anchored in different areas. So you had like commerce was anchored around Amazon and like communications was anchored around Facebook and like information discovery and knowledge was anchored around Google, you know, and productivity was anchored around Microsoft and mobile was anchored around Apple. these these tech these big tech

companies were all anchored around like their their their their core utility. >> And my belief back then was if this plays out, there's going to be internet platform companies that are anchored around the the economic system and the financial system. And there'll be internet scale platform utilities that are in in in in the same way that those companies changed, you know, communications and media and commerce and software and so on. Like there's an opportunity to do that with with the with the financial and economic system and and I and I believe that that sort of stands as a big opportunity. I don't think we're like the only company like that. There's going to be a lot of I think you know a number of of great

internet platform companies that are that are building the e the economy of the future. There's some great amazing companies but that's what I think we see. And so we want to provide that platform infrastructure. We want to provide the best you know digital assets. We want to build applications that are useful for people. Um but you know in order for this to work it has to be unlike the centralized platforms of the world. It has to be something that is broadly participated in the ownership of it, the distribution of it, the value accretion, the governance. And so ARC is very very different than a traditional internet technology model because it is built on the ideology of blockchain

networks and open-source and and things like that. And so we're it's a it's a different take on that and something again we we've learned a lot from you know the last 1015 years as well. >> Yeah. Yeah, I mean, Jeremy, I can't help but to think this the evolution of what ARC's going to look like is going to look a lot more like an alternative financial ecosystem rather than just a crypto asset, crypto only ecosystem. >> We're starting with USDC as the foundation. >> We're going to have tokenized assets. We're tokenized >> assets currencies. talk to us about what this >> Yeah, I mean look, I think like one of the things is, you know, I I think we issue some of the world's leading assets, the biggest digital dollar, the

biggest digital euro, the biggest tokenized money market fund. We now have tokenized Bitcoin, Ser BTC, which is which is which is really exciting and and is anchored in our national trust bank and and and you know and and the custody there, bankruptcy remote, it's like a great program, mobile, Bitcoin. Um but the up the number of people who are issuing tokenized equity is day one. There's a whole bunch. The DTCC which is the heart and soul of securities in the global financial system coming to ARC. The biggest asset manager issuing their assets on ARC. There's like 12 or 16 foreign currency stable coins launching on ARC. There's an FX primitive on ARC.

Um there's, you know, ETFs, bond issuers, credit issuers. So, we're seeing all of these different categories coming. Um, and that's very exciting and it's, you know, we're obviously at the very start. Um, but I think, you know, if there's an asset to be tokenized, it should be on ARC and we give asset issuers something very, very powerful. We give them the best liquidity against digital dollars in the world because of our role with USDC and the way that USDC works on ARC. and we give them distribution because if I'm, you know, if I'm Black Rockck and I issue a tokenized ETF on ARC, I can choose I want to put it I want to make it available on uh on on on Hyper EBM. I want to make it available on base. I

want to make it available on Salana. I want to make it available in these places and it and it manages that distribution and liquidity across those because CCTP is the biggest interop highway on blockchains and so we we just open the highway to everyone else's cars basically. Yeah, Jeremy, I first of all, I just want to say, man, Hyperliquid on the balance sheet of Circle is an absolute Chad move, man. Awesome. Um, as we come to a wrap, Jeremy, um, just thinking about kind of where we go from here. >> Yeah. >> Ending on 2026, stable coin supply outstanding, relatively stagnant. Yeah.

But as you and I know, this is maybe your fourth cycle. This is my third. >> Yeah. >> A flat stable coin supply in a bare market is a good thing. That is okay, right? >> Yeah. I mean like I mean we talk the people in the public market ask us about this all this like >> we've seen some decoupling right so stablecoin utility and payments and settlement has grown and grown and grown >> and you've you know when there's not as much risk capital so that's more static but the stablecoin supply has been pretty steady and the stable coin payment volumes are growing and so we're seeing like the transaction volumes uh on so many different fronts uh growing and so that's great right that's that's fundamental utility Um and um and and actually, you know, we talked about this after our last

earnings, which was we had a record amount of minting and redemption. And that's important because, you know, if you've got Yeah. you know, $150 billion minted and $150 billion redeemed, that's liquid pipes. It means money can easily come in and out and and it's interoperability with the financial system. And so it shows that the, you know, the the liquidity and the and the interoperability with with real world payment systems is working and growing. And that's that's really >> that's what matters to you. And so >> and there's evidence there's a hundred trillion dollars in USD transfer volume all time in totality. And so you don't get there >> with a fluke.

>> Yeah. You get there with >> pure product market fit. Exactly what you're describing. You've gone through exponential growth and uh we're very very pleased to be a part of it. Congratulations on Thank you so much. Thank you so much. So glad you guys could be here today. >> Thank you. >> Really awesome. I hope you got to chat with a lot of good people. >> Yeah, man. >> Yeah, man. Great to see you, buddy. Come on. >> See you again soon. Thanks so much. >> Byebye. >> All right, man. >> They're clapping it up for him behind the scenes. How can you not? Hundred trillion dollars. Hundred trillion in USD transfer volume. And now this is the thing that is going to bring them the next step function change. I was trying to get to his northstar uh north star.

>> Yeah. I mean, look >> about, you know, where what does he want Circle to get to this year? Like, what does he want USC to get? >> I think our pre-context for that was extremely relevant because it ends up at a place where you think about exponentials. >> Yeah. >> Right. And and once you get into a position where you're thinking about compounding and our next guest, you guys have seen him before, he's also familiar with >> Stani, >> the compounding of exponential growth. Big Stani, how are you? Stunning. >> Welcome back. Welcome back. Good to see you. >> So, we were just chatting with Jeremy about what, you know, it takes to get to a hundred trillion dollars in transfer volume for USDC. You know, he has the benefit of 10 to 15 years of hindsight where he's able to learn from some of

his predecessors and leaprog a lot of them and he's been in a position where he's been able to capitalize on exponential growth. In his case, stable coins, in your case, lending market. I mean, take us through what it's like to exist in an opportunity where you have exponential growth at your fingertips. How do you start to change your mind so that you're no longer thinking in terms of linear growth, but you start to understand the compounding effect and you start to think in exponentials. >> I think you have to broaden your horizon. So one of the most important things uh we learned is that basically that um now I'm going to one of the things we learned uh is that we have to go beyond the existing crypto assets and

we believe that the crypto market will grow significantly and uh over time you will have more crypto custody. you have borrow lending and a lot of these sort of like more traditional institutional players and all the way to the banks and um and asset managers play a big role but down the line um what I really think is is going to happen is that all finance is coming on chain and this means a a lot of uh assets in form of tokenization and for us uh we're no longer just servicing uh the sort of like uh crypto asset space we're so servicing all assets it's just a question of uh go to market in terms of which assets will come first into uh onchain and um and

stable coins are important because that is the cash leg and more important is stable coins already have regulation so that is solved so now it's more about how do we get more adoption in and tokenization and bring more value on chain >> yeah know in that lens right in this all of finance is coming on chain lens in this regulated lens right we kind of spoke about this earlier today specifically with ARC. What what's different about ARC 2? I mean, man, you guys put a on Polygon in 2020 as the first non-Ethereum deployment and I remember just racing over there and then, you know, we've now we're in this multi-chain world. Donnie, what feels different about ARC? They had the benefit of watching a lot of chains launch. They obviously have this backing

of Circle and USDC. From the builder perspective, from the launch perspective, from the product, what do you think makes this a standout? If so, >> it's so packed here. Like the the the whole place is so full, it's almost impossible to hear. You'll have to repeat that. I mean, it's packed here. >> Um, yeah. Yeah. Go ahead. >> Basically, what makes ARC different? Uh, you launched uh a on polygon back in 2020 as one of the first non-ethereum chains. Now, you've gone through multiple iterations. Why is ARC different? what makes it so such an important launch.

>> Yeah. No, it's a quite exciting because u ARC has some interesting properties that are fit for uh a sort of like a with a right form factor for uh institutions and sort of the new wave of adoption. So one of important things is that a lot of the counterparties are running the uh the chain by being validators and also ARC has a stable coin as the settlement currency and that is really important and um the last important piece is uh privacy. So privacy is quite important when it comes to uh capital markets and comes to actually for the institutional adoption that plays a very big role and um and I think that is uh because it's EVM compliant it's also easy for developers

like a to come and build uh the next generation of primitives on on arc directly. >> Yeah. >> Love it. Love it. Uh I'll speak up a little louder. Um, when you think about the stable coin landscape landscape and the growth, I was telling Jeremy that we've only seen a slight stagnation in the total outstanding supply this year of stable coins, which is pretty good for a bare market, >> right? Usually it goes down a little bit. >> What do you expect that to look like next year? And how do you expect a to capture that growth?

>> Yeah, I think there's different ways to measure stable coin adoption. One is like basically the transaction volume. And I would say that probably will play a very big part of like uh arc and circle. And for us what we measure a lot is basically how to use stable coins as the sort of like a savings leg uh the cash leg of onchain. And I think what will really grow that is the ability to use stable coins as a way to unlock capital from tokenized assets. So we're going to move from like um just building for crypto assets to all assets and being uh able to collateralize your assets on chain and borrow against is a way to grow uh stable coin demand and that's going to be really uh centric for

uh what we are going to do with arc and building new credit primitives and also connecting into payments and identic AI is going to be uh very exciting on on arc because uh the circle team the arc team they are all focusing also on how to progress uh a agentic uh payments ecosystem and credit is going to be a big part of that. >> Yeah, it it certainly is. And you you were up there on stage with Black Rockck and DTCC and >> yeah, >> you know, the moderator said, "Hey, you guys have been building you're very instrumental in finance. What does it mean for a to be on the same playing field as two financial institutions that essentially I mean for lack of a better

term run the world? >> No, I I think it's a dream come true. like you know when I started building in in Defi the early days um you know I would never expect like seeing sort of like these bigger institutions like DTCC, Black Rockck and you know uh basically the the the biggest institutions of the world really like embracing onchain and this is like super exciting for a uh uh you know uh technologist and uh sort of financial engineer like me to be able to participate. I'm I'm super excited and I I think this is the future of finance and a is going to be big part of this uh um adoption and we're very excited.

>> Yeah. You know, on the agentic side, you have this thesis of abundance, right, which I I really like and Jeremy shares a similar thesis with regard to the abundance of intelligence and then how that pertains to ARC. >> Yeah. >> Talk to us about what So, let's say this ARC like Jeremy nails this ARC thesis. There's millions of agents on ARC. What is A's agentic finance plan? How does A participate in the Agentic economy to unleash the world's credit markets to fund prosperity ideas etc.

Yeah, funding abundance is uh basically a thesis that I that I um wrote a while ago and and uh basically it means that you know the world is heading towards abundance meaning access to intelligence um at an equal basis. So everyone has ability to use AI intelligence at their uh disposal information with the internet um free almost like a free energy uh from solar and batteries and also labor uh with robotics. So we're going to go into a worlds where we have unlimited amount of resources and we have um this abundance of uh resources and agentic AI is basically part of that because the intelligence um layer is

going to work for us and the money going to work for us on on uh all this transaction is going to move to a agendic world. Now where a comes into a place is basically funding these abundance assets and uh the transition is going to take uh 50 years probably multiple decades and if a can actually fund the world towards abundance and that transition uh by a decade moving it faster that is the world where we want to live in and and back the future >> I don't mean to uh like beat around the bush but on the agentic side how does that actually work like will an agent be able to like So, you know, I've got an open call, right? But I haven't yet got a crypto wallet associated with my

agent, but is there a world where I can do an LM prompt and perhaps this exists already and go deposit some capital on a on an Ethereum address on ARC? Like is that something that is happening now, tomorrow, next year? What is that timeline or what does that reality look like? >> Yeah. No, I think the the the most important part when it comes to um agendic world and and finance is actually credit and the decision making on credit. So I believe that AI is going to be making the best decisions on where to allocate capital and credit and that is the future. So we launched the uh uh M MCP server uh which means that you can uh get data to your AI agents uh from a

you can basically allocate capital uh you can issue really um uh management of of funds and and stable coins and the next thing is actually uh bringing the decision- making layer as well. So >> that is where I think that onchain world AI um and and and credit will will will actually uh combine. Well, Stan, I'm always pleas. It's always a pleasure to have you once a quarter, maybe once every six months, but twice in a day is a true treat, man. I agree. >> I have a lot to say. I mean, I mean, we're building the future of finance. >> I got one more for you. It's a quick one, and our team put this question together, but I I do think it's a good one. It says a year from now. What number tells you that the ARC deployment was worth doing? What is our northstar

metric? What are we looking to achieve here in one year of a on arc? I think one interesting piece is obviously like um you know the the the total credit that is issued on arc but I also would love to measure outside of lending and credit is that how much of that capital is automated and under AI agents >> that is very exciting uh metric as well and uh if we will see uh even uh you know 25% of that capital 25 to 50% managed under automated AI agent that will be pretty awesome. Incredible. Wow, those are some interesting numbers.

Thank you. >> Thank you again, man. Pleasure. Always a pleasure and hope to see you again soon. >> Thank you so much. >> Yes. Thanks, man. >> There it is, man. Two Stanies in one day, guys. We are uh one day fired up, Rob. >> We'll see you at Rob. >> All righty, guys. Arc mainet is still heaving. This place is alive and well. Uh, I must say guys, um, this specific event, >> yeah, >> feels like the future of digital asset events. And this is why >> this is a highly curated invite only specific event for teams, protocols, investors and builders on a specific platform with one goal and shared

interest with a highly curated setup, extremely professional. It's not overcrowded and it just truly feels like the Ark events team went above and beyond to deliver a futuristic feel as well as a totally relaxed vibe that still encapsulates what makes this industry great, which is the weirdness, the fun, the esoteric people, while also maintaining a professional feel that would attract institutional allocators, investors alike. I think this has been one of my favorite events uh in this industry up till now. We're only about a third way through our show here.

>> Well, I want to I want to build on what you're saying because I absolutely agree and it feels like ARC has curated an event that truly feels like a technological upgrade. And we're going to talk about this difference between technology, which is kind of where we've came from, and finance, which is what we find ourselves talking a lot about today because ultimately this is fintech. We've got Sid. >> Yes, we do. >> The co-founder and CEO of Maple. Sid, welcome to the show. >> Thanks for having me. >> Good to have you back. >> The man to be back, >> sir. >> Sid the man. All right, Sid. >> Sid, where where are we? Are we? Because, you know, we started out, you've been on the show several times.

We started out very early on. This was fundamentally a technological shift, but it feels like we've done all of the heavy lifting on the technology side. Now, most of the work to do is on the finance side. Where do you find that we are on this spectrum? More towards the finance side or more towards the tech side? I I think we're definitely shifting more towards the finance side today. I mean, as you said, a lot of the heavy lifting has been done on the tech side. People are now relatively comfortable with things like stable coins. Uh they accept that uh you know, banks in particular have accepted that they need to kind of meet customers where they are and so they're looking at doing their own stable coins, tokenized deposits. And so I think now a lot of the emphasis is on uh education. So with

uh you know whether it's asset managers, banks, other financial services firms and uh and also structuring how do you manage credit risk? How do you manage disclosures? How do you manage liquidity? Uh those are generally where most of the conversations we have today are trending. >> Yeah, man. I mean, you guys have a traditional background that I know that the team has spent quite a bit of time in the traditional space, which is now proving to be a competitive advantage >> for the team, right? Given the era that we're in, the suit looks great on you, Sid. Um, talk to us about this ARC deployment. Uh, what this means to Maple, how you think about this chain, and just like generally, it feels a

little bit different, Sid. It feels a little bit It feels a little bit more um for lack of a better term finance professional and institutional. What is this what does this deployment mean for Maple's business? >> Well, I mean we're we're tremendously excited about the ARC deployment. I mean, I recall, you know, speaking with Jeremy on a on a podcast a few years ago where we kind of discussed the long tale of assets and you need to have the right type of infrastructure to get the long tale of assets on chain and get them accessible for, you know, both institutional and high net worth investors and allocators. And so for us at Maple, we view ARC as kind of the next leg in that. So we've always been

kind of institutionally oriented. All of our borrowers are institutional and I think they're really excited by having a chain and infrastructure where fees are paid in USDC. They don't have to manage uh holding other crypto assets in order to pay pay fees. And it's with uh stablecoin now that has a tremendous kind of amount of track record and and a you know for lack of a better word lindy effect behind it. Uh so that's where I see that happen. >> Yeah. talk talk to us a bit about the long tale of assets because >> it feels as if we're in the midst of this tokenization super cycle and the way that we see tokenization progressing is essentially starting with the least risky and then moving down the risk curve down the long tail and we're

starting to see product market fit from some of the asset classes on that long tail most notably some tokenized equity stock token derivatives securities starting to become more and more popular and so as we think about the long tail of assets. What does that look like as we onboard them into the lending and credit facilities that exist on chain such as? >> No, I think it's a great point and you can see, you know, 3 years ago we began with tokenized tea bills. We've now progressed, we had tokenized funds, uh, tokenized ETFs, and now we saw this kind of, you know, a bit of a renaissance or or an explosion of, uh, appetite for tokenized equities. And so as you said, we're moving further along the risk

curve to um you know to to assets that are less conservative obviously than T bills. And so I think the way we look at it is uh we're very excited about uh being able to lend against tokenized RWAS, real world assets. And you know, we keep an eye on things like tokenized equities cuz we've lent for the longest time against the large caps, BTC, E. Uh but we're now seeing that the customer wants tokenized Nvidia >> and so we're here we want to be agnostic to this. We want to be here ready to lend against the assets they want. So we could lend against tokenized Nvidia, tokenized SKHEX and these other

equities. And we view our role as just being able to facilitate lending. We don't have to be opinionated about what the asset is. Um and what we're now seeing is that there's larger demand. So the size as this as the market of tokenized equities and other tokenized reward assets grows, we can now deal in institutional size because you know we you know our type of clients Maple's doing 25 million up to $500 million loans. So we just really need that scale to come through. >> Yeah, I appreciate that thorough answer. I could listen to you all day, Sid, man.

I just love the accent. 4.6 billion AUM closing out the first half of the year. Some call it the comeback of the century. Others just call it SID mode. What's going on here? How'd this happen? And what do you expect to come from ARC launch? How do you expect the proliferation of stablecoin uh into the arcchain as well as just the growth into this next year? How is that going to affect your bottom line? >> So for us uh you know this is a fantastic opportunity for distribution. We've had a very close relationship with the uh the circle team and and the arc team for a long time. And uh you know syrup USDC is our biggest asset over a billion dollars one of the largest uh

you know stable coin yield products in uh in the D5 market. So uh we think ARC will unlock a lot more uh demand and and access to uh access to this asset and I think you know to our point earlier having a more institutionally oriented chain that institutions are happy to use they can pay their gas fees and stable coins. Uh for us we view it as like this is probably one of the best ways to kind of expand the pie. You know we've seen that fintex now want to offer stable coin yield to their customers and we think that institutions aren't going to be far behind that you know they need ways to manage their cash balances and what's better to do that with than stable coins send it anywhere in the world instantly. Yeah, Sid. I

mean, I was at a separate conference earlier in the week and heard an institutional allocator said, "We'd like to settle a yard a day of tokenized money markets in by next year >> by next year." >> Yeah. >> You know what I mean? >> Oh, we would love that. I mean, for us on the bottom line, you know, Maple makes its money from uh the spread between what we lend out at and and what we pass on to users. And so, you know, we want to pay users the best yield so that we can grow the asset base. And ultimately, that kind of helps Maple's bottom line at the end of the day. It's all about revenue these days. >> You know, one of the founders that we had on earlier in the week as well, you know, was kind of talking about the generality of these protocols and was

essentially generalizing this to the extent of basically look these onchain protocols, they have a cost of capital. Yeah, >> the whole goal is to acquire capital at a cheap cost, try to get build up as much trust as possible to get pretty much capital at sofur and then you know increase some basis and and that is the entire game and we've seen that replicated across chains and across protocols. >> Is it really that simple or is there more than meets the eye to building these protocols? >> Uh I would love it if it was that simple. my life would be a lot easier and and and I'd be getting a lot more sleep. But uh so it is true that you know asset managers and this is one of the you know one of we love new technology but at the end of the day you

have to be able to do things either cheaper, faster or better than what comes before. And what a lot of the asset managers we talk to are really excited about when it comes to onchain finance is being able to access cost of capital cheaply. And so they could do looping uh they can tokenize, you know, tokenize their funds and uh and access DeFi users. For us, we're happy to support that. We want to do as we want to do as much lending as possible. Uh but you have to kind of balance the other side of the market, which is you have to pay out a good yield to users. That's ultimately what's going to bring more users to to ARC, more users to uh to Syrup USDC on ARC.

>> Understood. And it sounds a lot more simple than it is. So, uh, definitely definitely understood. Um, one of the things that Jeremy said when he came on earlier and described what it was like launching this is that he built several unique value propositions into ARC that are not available on other chains. I have them all here like gas and digital dollars, gas and stable coins, something that you mentioned, subsecond, finality, privacy, and many others. >> But what I'm curious about is as you've seen more of these alternative assets get tokenized, right? looking at some of the stock token, tokenized equities, things on the longer tail of assets.

We've seen wild use cases. >> Yeah, >> we've seen stock tokens paired with memecoins and just and we've seen dividends distributed to token hold like we've seen wild wild use cases that I think none of us really expected until they were there and they existed. And so I'm curious how much you think credit and lending can play a role in what we're seeing get built out with some of these alternative asset classes. And and granted, equities is not an alternative asset. That is a very core asset class. But I guess what I'm saying is that as we build out tokenized asset classes on chain that are not cryptonative, >> how much of a role does credit and

lending play in those asset classes? I mean, credit plays a very fundamental role in that it allows the mobility of these assets. So, you know, going right back to the value, the original value proposition behind Bitcoin back loans, it was, hey, be able to get liquidity against your Bitcoin, uh, while still keeping access to the upside. And the same proposition holds for, uh, you know, for tokenized equities and for some of these other more esoteric assets coming on chain. keep your upside, defer the tax obligation, and get liquidity to either hedge or diversify your portfolio. And so we've seen demand from professional asset managers and hedge funds who want to be able to loop

an asset. So they want to be able to lever it up. And you know, obviously leverage can be a bad thing if taken to an extreme, but done prudently. This is essentially the the how the entire real estate market globally works. you take prudent leverage and so we're happy to support those asset managers to increase their returns and it helps mobility helps the stable coins flow around the ecosystem. >> Yep. I love it. Sid, last thing for me, man. I mean, look, I've been vocally bullish for months. Robbie and I have been just accumulating crypto assets as much as we possibly can throughout this bear.

>> I think people are still sidelined. I think we're still in disbelief. I think people have forgotten what the about the reflexivity of this asset class and what we can deliver at scale, especially given the products and exports that we have now. Sid, where are we at, man? Are you bullish? What's going on? I feel like we're in a secular trend now due to the proliferation of tokenization and stable coins broadly as well as now per we now have a three-headed dragon that is not a four-year cycle dragon. This is a multiple decade long mega trend that we're going to that we are now at the ground floor of. That's my take. What's your S?

>> Well, uh, preaching to the choir, I'd say overall, but, uh, I agree with you. I think look that we we went through a bit of a bare period. That was a time to kind of accumulate, reposition, uh, and continue building. But when we look at the conversations we have with fintexs, with asset managers, with banks, uh, what we see is that, you know, the cat is out of the bag. So notwithstanding uh what happened you know with clarity yesterday uh we'll get rule making uh these projects take time at these at these uh banks and traditional players so they have to think ahead in terms of years and they are building you know I haven't seen any slowdown in the traction on that front we see banks wanting to tokenize deposits we see

asset managers wanting to tokenize their assets and they view that they have to have a product that caters to cryptonative users and so you know that I think that's only going to continue and accelerate. >> Here we are. >> I'll tell you, Sid, you've got a token holder here. We are not sidelined. And uh I believe Maple is one of the few I I said a dozen earlier. Maybe it's two dozen, but one of one of the few companies out there that is benefiting from the legitimization of the industry and uh has what it takes to survive. So, thanks for spending some time with us. Thanks for launching on uh on Arc Day One.

>> We'll see you again soon. >> Always lovely talking to Sid, man. Love that guy. >> Oh, great guy. >> I mean, guys, great. biggest string of bullish interviews today. I >> I I know we're not like confirmed bull market or whatever you guys want to say, but I'm telling you from the ground floor right now, the energy is palpable. The conversations are flowing in a way. And Robbie and I know, right? Like we do this every single day. There are periods where the conversations require a bit of pushing, a bit of a bit of pulling, a bit of pushing, a bit of pulling. It is just energy from every speaker today at the Ark event in general. Guys, we are absolutely flowing, Rob.

>> Yeah, absolutely flowing. I mean, it's uh it's fun. I I like your tweet. You said, "Are we having fun yet?" I'll tell you, Andy, I'm having fun again. >> No, that's how and fun is and winning is contagious guys. >> It certainly is. It is. Fun is contagious. >> People call it different things. They call it animal spirits. They call it different things. I'm having fun again. And I think we feel that in all of our guests too. >> They come on. And you're absolutely right. We're not having to pull from them anymore. If they're here, they have what it takes because it means that they've survived apathy. They've survived the bare market. And there's a reason that there's this paradigm shift in the energy in these rooms. We hear it in the conversations. We see it in the markets. We see it in the products that

are built and deployed. And ultimately this is what starts to compound again. >> Exactly. It's it's it starts with the energy. It starts with people building things. It starts with big launches. >> We'll look back and be like a year from now we will be like wow the circle arc mainet launch was at the beginning of what has become the one of the largest booms in stable coins in terms of outstanding supply. the beginning of some of the largest booms of aentic finance of what's to come.

>> We just tracked 650 million. >> We're literally seeing USDC get minted on ARC as we speak. Natively issued on ARC. $650 million of USDC on ARC. I mean, that's up $237,000 since we've started the stream. And so these use cases are literally picking up steam and and picking up traction as we speak. And we're seeing the USDC trickle in >> guys. I mean I gotta say our next guest Baji has gone through the ringer and has built an amazing product in the tokenization space. Um and we are happy to have her up. Uh Baji is a friend of the show. Uh she's been a a colleague, a

friend, and more. Baji, welcome to the show. Good to have you. >> Good to see you guys. Thanks for having me back. >> You're our tallest guest so far, so the mic is at a very appropriate height. Thank you so much. >> Tallest, funniest, nicest, smartest, most innovative, >> no dispute over here. And the CEO and co-founder of Centrifuge. >> And can I just start with a little bit more of a of a relaxed thing? I put out a tweet today, AI. It said, "Hot take I think it's time to drop the the the term RWAs. They're just assets." >> What's your take?

>> I love it. I mean, I've always hated the term RWA, but it's like everybody understands it. Everybody knows it. But the reality is when we're successful as an industry, there's no chaty, there's no DeFi, there's no real world assets, there's no crypto assets. It's just finance and it's just assets. >> So, are we there? Are you calling the US bottom here or I think this is the top of RWA >> and it's the bottom of the number of assets on chain and we're making new highs. >> I agree. >> And the bottom is a good thing. >> Absolutely. Exactly. Um, Baja, you came on the show recently and kind of talk through some of the transformations that we're seeing from Centrifuge. We've heard about everyone's deployments on Arc today. Why don't we start with some of the transformations that are going on

internally at Centrifuge. Maybe you can just take us inside, give us some of the recent developments and then we'll let that kind of take us naturally into everything that we're seeing in the room today. >> Yeah, absolutely. So, Centrifuge is a cryptonative tokenization platform. What that means is that we started with how do we build interesting use cases? How do we create liquidity? How do we create utility? How do we create access to these new products? And then how do we retrofit that into what these products are and how we can bring them on chain. So we're really excited for days like today where we're here with circle with ARC where there's this real convergence of institutional adoption. Black Rockck's on the stage, DTCC is on the stage. Our partner Janice is a

validator. like the right institutions are in the room building on this technology but then also interesting DeFi use cases. Morpho's on stage and a on stage and what that means for centrifuge and what that means for the ecosystem is that we have this convergence and the institutions are here and the use cases here and that's where we really unlock the growth. >> I I totally agree and you guys have had a great run this year through the bare markets. The thing is I I don't believe you have been in too much of a bare market, right? Your business line is dealing with the institutional allocation and the you know tokenization of assets and frankly it has been just nonstop for you uh and for the industry at large. You guys are launching on ARC

day one also have an amazing partnership with Coinbase. What does this ARC launch mean to you? How does this help centrifuges broader goals and bottom line? One of the things we've loved most about our conversations with Circle over the last year is they've come to us around how can we make art an ecosystem that's perfect for real world assets or assets should I say sorry oh I'm so slow um so that's like okay let's think about how do we create liquidity how do we enable lending how do we use USDC how do we use circle mint how do we use the uh infrastructure and the tools that circle uniquely has to create an environment ment that is perfect for real world assets. So we're bringing day one, we

have our Janus products live which is JAA and JTRSY. We have our New York Life products live which is high yield bond fund. So we're bringing our products into the ecosystem from day one and then we're connecting them into DeFi. So they're live in Morpho, they're live in a dialectic and stakehouse are curating markets that have these products as part of the overall exposure. whether that's just RWA markets or general markets that have some RWA to kind of balance that yield >> and and what are the network effects of having those products in those core D5 protocols where they're resilient and they have utility but having that in the same ecosystem as a black rockck and a DTCC. What are some of the compounding

effects or the network effects that end up scaling those products beyond what could have been possible otherwise? We just need uh trust in the ecosystem. So a lot of the technology understanding and th like those conversations are behind us. It's not a matter of should I tokenize products or not. It's a matter of is now the time to put my reputation on the line of building these strategies. So the more large institutions with strong brands that are actively building, the stronger the momentum is for everyone else to build and then the stronger the FOMO becomes of like I have to do this now otherwise I'm going to miss out. So I think the network effects are this like multi

multiple um exposure opportunity where it goes beyond just connecting different assets like trading you know a biddy or any asset that wants to be in interconnected. Um but then it also just creates this strong community and this strong brand and this eagerness for everyone to participate actively >> and and are the benefits primarily consumer behavior and brand trust? Just to double click like obviously those provide those network and social benefits but as you think about what is possible as these product stacks converge? What can you see as some sort of integration or or some sort of interplay between the product stack that block Black Rockck has as they tokenize

more of their ETFs as they bring on more products on board? How do you see Centrifuge potentially working or combining forces with what the Black Rocks and the DTC's have something more maybe more tangible than the brand that they have? >> Yeah. Yeah. Um I'll give an interesting example. So, we've been centrifuge is known for tokenization. What we're not as well known for is vaults. And vaults is like a key word. It's everybody's talking about it. There's so many different definitions. How we think about vault is it's an extension of our tokenization platform and asset managers. Janice Henderson announced their vault strategy two weeks ago. New York Life was on stage with me at the Real World Asset Summit talking about

their vault strategy. They're viewing vault as the next fund infrastructure where they can create infinite portfolios. So every single customer, every end user can have a custom portfolio that's enabled because it's based on a program that can be developed from the asset manager. So it's a fundamentally different fund wrapper that's like what ETFs did to mutual funds, vaults will do to ETFs. So that's the alpha is like you don't just tokenize assets but you actually create your and and issue your products natively on chain.

>> Yeah. Yeah. Um I mean so thinking about ARC specifically here you guys are live on a on a couple of chains for sure and you know a lot of your activity is in a couple of chains. ARC is going to be the home for circle's agentic economy right that is you know we spoke to Jeremy about that. He's very excited about this kind of merging of the agentic world and the blockchain world. He's arguing that it's not two separate worlds, right? It is one world. >> Um, you know, let's say if they nail this, if ARC explodes in terms of TVL users, agentic activity >> when >> when, right, >> not RWAS, but how does centrifuge capture that asset pool? How do you capture that agentic user base? How do you capture that transaction volume? How

do you capture that CPL? What's your kind of strategy here to go to market and hit it hard? Yeah, I mean agents could be the big unlock that we've been waiting for as an industry. Agents need stable coins, stable coins and tokenized assets. So when the agentic economy picks up and agents are driving this investment behavior, they want access to every single tokenized product. They want to be able to access the S&P 500. They want to be able to access, you know, JA, every single ETF, every single single stock, every single fund, all these unique esoteric assets that we're bringing into the ecosystem because they need to interact in real time all on chain. So that's the like incredible promise is that when we build an ecosystem that really thrives for

agents, that is what increases demand for stable coins and tokenization at this inflection that we're just like we've been waiting for for many, many years. >> I love it. I love it. I we we we have it on the runa show. We got to ask token versus equity. You're going through this whole process. I'm sure it's there's legalities you can't speak about. Just give us the high level what's happening and and what's your view here? >> Yeah. Yeah. So, Centrifuge just uh completed a first ever governance proposal, governance process snapshot vote to convert our token into equity. Uh we had 98% positive uh support. We had like 67 million votes which is four times higher than any other participation in a governance proposal.

So what happened is that the industry and the need for the business that we're creating has changed so significantly. So as tokenization as an industry matured and as centrifuge as a business matured we realized that the way in which we need to service the customers who are coming on chain and primarily that's the Janice Hendersons and Apollos and New York lives of the world they need a centralized regulated counterparty that they can do diligence on that they can underwrite that they can partner with as they're building their tokenization strategy. So we were only a token and we were not equity and we were very intentional about that because we believe that one value of crow mechanism is the answer whether

that's token or equity. There's some businesses where it makes a lot of sense for it to be token. For centrifuge it was holding us back. It was holding us back from raising capital from inbound investors that want exposure to tokenization. it was holding us back from working with asset managers who can't by like internal uh you know rules work with a business that's governed by a token because of the risk that that creates. So we had to make a decision of what do we do? Do we create an equity business in addition to our token business so that we can service these clients but that goes against our ethos or do we create a new structure where actually our token

holders can become shareholders. they can participate in this new equity business and then we can structure centrifuge for where we're going in the future. >> I mean, I think you're we spoke to Guy Young from Athena today about his token model. They let they just fully bought out all the investors and we're like, here's what we have. Here's our buyback plan. Here's our token plan. There is no token versus equity. This is what the industry is demanding. Otherwise, your assets not going to get a bid. On your side, it's more of like here's the reality of the institutional world that we're abiding by. that there is simply no framework for us to be able to exist in this world with what we have necessary decision acknowledgement you know humility to be able to make the decision and then execute it. So, props to you for that and and I hope that

continued process goes well. >> Any any learning moments? Just a piece of advice? I mean, you are certainly not alone. >> Yeah. You know, the companies and the tokens that are out there that probably should do what you did, but are too scared to do what you did. >> Can you help them at all? Like, what kind of advice do you have for them maybe considering going on a similar path? >> Yeah, I mean, it's hard to be first. Like, we took a lot of arrows for people. We're we're trying our best to create a fair structure. As part of that, we're learning a lot. Um, what I'll say to anybody else who's considering doing it is talk to us because we can do it through our platform. We have the ability to manage the share registry. We have a transferation license. Like you can hold

all of your tokenized equities on Centrifuge and we have the ecosystem around us. So, we have the legal council, we have the securities lawyers, we have Coinless as a partner, we have Galaxy as a partner. So, we've spent a lot of time bringing the right folks together who can shape this structure and doing that by bringing in folks who deeply understand and care about crypto markets that can help ensure we're doing this in the most fair way. So, we've actually talked to a lot of founders already that are asking me a lot of these questions. We've talked to a lot of VCs who are saying they're like advising their portfolio companies on how to do it. I think the future is either token or equity, not token and equity. So for guy with Athena, it makes

a ton of sense for them to be token. For centrifuge, it makes a ton of sense for us to be equity. >> Yep. Think about >> congrats on the launch. >> One one more just because you mentioned it and for some reason I had forgotten and the regulatory stuff is very played out, but Centrifuge is a transfer agent and the SEC is looking very deeply at modernizing some of the transfer agent rules. just give us your reaction to what you're hearing from the regulatory body, specifically the SEC, on what they're doing to the transfer agent regulation.

>> Yeah, it's a shame Clara didn't pass. We know that. Um, but we've been preparing for both outcomes for a long time. What's positive is that the rule making around the transfer agent and the need for creating digital transfer agents, creating tokenized share classes, having clear understanding of how we can bring blockchain infrastructure into the traditional fund platform that is uh understood to be the direction of travel. So that's been decoupled from the outcome of clarity. So, we're having a lot of really positive conversations around how can we create not just tokenized share classes, but then what can we do with those? So, how can we ensure that they're compatible on DeFi and how can we ensure that we're

bringing them to the right audiences in the right ways? So, >> love it. Well, very positive. >> The ship is going to sail whether it's clarity or innovation exemptions. Atkins already came out today and put a post on X saying like, look, we we're ready to go. There's no turning back. >> I think it's coming this week. I think we get or early next maybe but I think this week. So >> here >> wish you the best. Thank you so much for joining us. Always a pleasure. >> Good to see you guys. >> See you again soon. >> All righty guys, another bullish one. I mean >> we're going to keep it rolling. >> Practical pragmatic thinking token equity side.

>> Just creative too, man. Like it just feels so cool to like be doing things different again. We're converting a token equity labs token split into an equity >> and going through the protocols that we built in order to do that. This was something that we would have never seen during the apathetic market conditions. >> 100%. >> Uh certainly not apathetic market conditions on our next guest's application. >> That's for sure not. >> It's good to see you say. Um, >> good to see you, sir. >> How are you?

>> I think uh you joined my uh my co-host Andy here in our studio in the Empire State. >> Yeah, we did. If >> I remember correctly, I wasn't there for that one. So, >> that was before Robin Hood changed. >> That was before a lot of >> a lot of stuff has changed, man. What What What's the last I mean, it must have been six, eight weeks ago. What's the last couple months been like, >> man? It's been insane. Uh it's been a tremendous growth period for us. We've had the fortune of just, you know, continue to grow through many different occurrences, many different chain launches and arc included and it's a blessing. We get to to bring crypto and hopefully other assets to the real world and bunch of consumers and yeah, very fortunate to be in this situation.

>> So, one of the things that we've been talking about is that the market conditions are different, sure, but also the energy is different. And the way that we put that, people call it animal spirits, they call it a lot of things. >> We're saying we're having fun again. >> This is no longer apathy. We're having fun on chain again. FOMO is a big part of that. What does it mean to bring fun back >> to the trenches? >> It's an incredible privilege, right? Cuz as uh as a trader myself, it's something where in the bare markets, there's really nothing to do. And I think our thought was there's always a bull market somewhere. So, we get the opportunity to bring that to people. I think markets are picking up now. So, it's even more fun. And winning is fun, right? I think like when people make money, when they

find good positions, when they find good narratives, it's something that's joyful not for them, but for everybody else on the platform as well. So, I think it's it's amazing and hopefully we can keep the uptrend going. >> Yeah. I mean, look, we have seen now 8 figure unrealized P&Ls from the likes of Dumb Crayon Eater as well as uh Quarty uh as well as Point Farm Cap. I mean, these guys are out there with massive positions in ponds, massive positions in other assets. um social trading as a concept, the awareness of the concept has drastically increased. Um I guess the question here is what next? Like I think we're in the beginning phase of this bull market. So my take is that

this just gets even crazier and bigger. I'm sure you probably somewhat agree, but it feels like the concept has been validated by the market, right? What's next for FOMO? What's next for you? How do you take this to the next level? Yeah, I mean since day one our goal has been to try to become the social graph of finance, right? So that means that we need to be dominant in every asset category onchain, majors, perks, prediction markets, stocks, RWAs, yield, anything that really occurs. So for us, it's going to be how do we take the next step? How do we take the jump from whatever assets are available today to slightly more mature assets and to other asset classes broadly? So that's something that's incredibly exciting. I think it's kind of like the trillion dollar question of do you get to this

place where you can actually translate this social graph to others uh whether it's different asset classes different consumers. So really excited about it. Honestly, I think in the next 6 to 12 months we'll see a lot more tokenized equity volume come on chain. I think you'll start to start to see you know stock volume start to materially become a bigger percentage of just onchain market volume. And I think that's just the start of hopefully a very long uh and fruitful transition to what is going to be onchain for everything. >> Yeah, man. I mean I I see the vision. I mean, it starts with memes. It starts with memes paired to stocks and then all of a sudden you're now live on Arc Chain and they are going to have a whole swath of tokenized equities. Obviously, Robin Hood chain does as well. And it's just

so funny like scrolling down people's FOMO profiles and seeing swaths of meme coins and you scroll down to like the dust tokenized AMC tokenized Nvidia and you're like, "Wow, this could really be something a lot bigger than just a trading platform for crypto assets." It may have caught people by surprise to launch on ARC. Arc is known by the Circle Foundation as institutional dominated brand. It's very professional cloud. But with that, as proven by Robin Hood, there also comes a lot of opportunity. What's your take on the ARC launch? What is unique for FOMO here?

Why launch here? Yeah, I mean for us we're we're constantly evaluating what are the most exciting chains that are to launch and what are the things that users are going to be excited to trade on to use to experience and I think it was very evident from us very early on that Arc was one of those chains right where you know there's fatigue in the markets a little bit this week with some of the onchain assets going up and down and seeing some of the momentum go out the window a little bit but I think all in all like new things are good competition is great and I think that you know ARC has a really good team that really wants to capitalize on on on its chain And I think that comes in a lot of different form factors. I think you try a lot of different things and I'm

personally excited to see what, you know, AI and the AI narrative might look like on on a chain that's, you know, institutional focused >> and and it does feel like ARC has sort of defined itself as one of the leaders in AI commerce, a gentic economy as AI and crypto intersect. >> Say the question that I have and I'm not a hater just for what it's worth. No worries. >> But I'm I'm curious. >> Say you can handle the haters. >> It's really just one word. I'm curious how you think about churn because I feel like you've probably thought a lot about this. It feels like this is something very relevant and you're I can tell by the way that you've gone and approached this industry. You're building for the long term. But you know churn is a very serious thing as it pertains to these

users. How do you think about this and and maintain user longevity? Yeah, I think there's a number of things that are very important to us and I think churn is part of this conversation but you know education diversification of asset classes experience with you know users teaching others with the social graph and I think that the the exciting thing for us is like we have about 2.5 million lifetime users today we might see 600,000 of them today on the app and in any given month we're seeing about 75% of users roughly uh visit the app on a monthly basis right so what that means is opportunity to reactivate to re-engage to learn to come back stronger. And one of the core principles that is important for people out there to know is we don't own any of the layers. We don't own the launchpad. We

don't own the AMM. We don't own any of the vehicles that actually contribute to getting money with more volume or more user losses. So if you think about it that way, our best incentive here is actually for you to have longevity as a user, for you to come back, try different products, and ultimately mature into what we think could be very valuable user to social graph itself. >> Why why is that a feature and not a bug? I think that's a feature because it it fundamentally aligns incentives here where you know for us we're thinking how do you how do you make sure that the longevity of the user is is is something that you can see through not just like their first day trading memes or trading asset classes but how do you get them to look upstream? How do you start trading tokenized equities? How do you start

thinking about yield? How do you start thinking about you know whatever it is is interesting to you as a financial speculation instrument. And I think that that's something that not a lot of people are trying to break into. Everybody has decided there's this one thing that I'm very good at. This is the one thing that makes me money, so I'm gonna stay here because I'm I'm scared to lose my footing. But I think for us, if we fail to make this jump, it's not something that is sustainable from the industry, and it's not something that's interesting to us. Yeah. I guess on this note of kind of like turning the the app from a place from like a brand perspective, from a a user perspective of like a lottery ticket into a portfolio, right? So when I've onboarded friends, and what keeps bringing me back

to FOMO is the referrals. is I just keep onboarding friends and they they use it a cut of trading fees. It's kind of, you know, it's very basic stuff here, but it it's what kind of works. And so I'm trying to get them to to not think about what runner they can get today or what trade they can hit today that's going to 10x their portfolio, but that it's a multi-week, multimonth, years long game. And that's a a transition for a lot of people that is hard to rationalize with when you're used to sports gambling or uh effectively think about these things like lottery tickets. How how can you position your messaging, your personal brand, your entire ecosystem around longevity versus these kind of quick

hits? >> I think we do that by enabling people who are let's say the top traders or the top educators to be able to share more of their opinions to go back and forth to engage in a two-way conversation. Right? Right now, the only way you can engage with somebody is you write a thesis and other people can view your thesis, they can like your thesis, they can share it, but there's no meaningful discourse happening, right? So, what is the next step there? Well, you need to allow them to have conversations, right? If I'm a new user and I see unit PCS is up $10 million and has sold a single dollar, I want to know why. Right? >> I want to understand like what is the thing you're so bullish on? What is the outcome you're expecting? And I'd love a response and to just like learn by doing

cuz I think one of the fundamental misconceptions about trading and investing is that people think I need to go read six books. I need to go read Warren Buffett's newsletter. I need to go figure out what howard Marx has said in his, you know, most important thing. And that's all the wrong way to think about it because if you're trying to learn how to do something, let's say basketball. You don't go watch, you know, LeBron James tapes and listen to like books on how to take a b how to take a jump shot. You go and do the thing and you're going to be really bad. It's going to be really ugly. It's going to be very painful, but at the end of the day, you're going to be so much further ahead than anybody else who is doing the other thing, which is like not

actioning. Yeah, talk to us about that reactivation journey because I'm sure people are taking their lumps, especially if they're investing or trading on FOMO for the first time, right? Maybe they do get churned, but you made a really good point earlier, >> blown out on a couple on a couple >> which is the reactivation journey and you have the opportunity even after it's ugly and it's painful to come back. Tell us how the psychology of a user may adapt as they try the platform not once, not twice, but a third time and ultimately stick. Yeah, I think it's uh you know there's a lot of analogies here, but like you get on a bicycle, you fall, you get up, you get on a bicycle, you fall. Maybe you don't try for three months, you come back, you see from a very different perspective. And I think

honestly with investing, with trading, with just about anything that has upside or downside, you need to be somewhat lucky, right? You need to have favorable tailwinds. You need to have the right people around you. And I think that our job is to make sure that we can control the things we can control. How do we educate you more? How do we give you more tooling? How do we make you communicate better with other people? how to create a social graph that is tailored for you and your interests and not all of this other stuff that might not be pertinent to you. So, one of the cool things is we've now been live for about a year and a half and we're starting to see our retention graph smile and that's a funny term because like you literally start to see it come back up this way where you know month

four, month five, month six goes down, goes down, goes down but month seven, month eight, month nine and a lot of that is market tailwind dependent. We've learned a lot of lessons from, you know, Robin Hood, Coinbase, a lot of these like really big trading apps where you can do everything in the world to try to retain users, but really the best thing to do is build a better product. So when they come back, they're ready and they can actually utilize it better. >> Yeah, man. I mean, you guys, and I know that you hear this all the time, are one of the best teams at receiving product feedback and implementing. I'm going to keep pushing for NFTTS. I think FOMO listing NFTs would quite literally bring the NFT bull market back, especially given where I think we are in the bull cycle. I will leave that to your

engineering team and to your product team and to you the CEO. Um, man, I got to ask, man. We're early to this app. It's a year and a half in. People are trading millions of dollars on on this thing. There has been no crypto app uh that has been super super successful outside of a handful of wallets that have not launched a token for a variety of reasons. Whether it be you guys are making a ton of money, buybacks, whether it be the team wants to uh hit an exit, if you will, but still do things the right way. There's a lot of incentives. You have venture capitalists, but obviously not the traditional crypto venture capitalist who might be expecting an early token or an early exit. I get the feeling you're in this game to win. And I know that you're not thinking about this in a two or three

year game. I get the feeling that you're not exactly looking for 100k under your mattress, right? You've done well on chain. You've traded, but just what can you tell us here? I mean, what what can you tell us about the future plans of FOMO and the community and how you think about rewarding these adopters who have contributed to your bottom line day in and day out? >> Yeah, I think the best way to think about this is like how do you do this at a micro level as opposed to a macro level, right? I think everybody thinks about big grand prize at the end, airdrop this, you know, I want to make six, seven, eight figures, but really like everything that we do in our product is meant to incentivize and reward the people who provide value to the social graph. So, we launched Creator Rewards about a month ago. In

one month, maybe not even a month, in three weeks, we've done about $1 million in payouts, right? That's on top of another six million in referrals. So, we're trying to give away money to people who are providing value, by onboarding people, by writing educational content, by discovering things early, by doing all these things that we think contribute to a very healthy social graph behavior. So, it's very easy to think, all right, what is the really big prize at the end? But I actually think like the very small prizes along the journey is going to be the thing that actually keeps people very happy, secure, you know, afloat and really willing to contribute to what we think is a very, you know, active and cultivating and growing social graph.

>> I can't lie say I come I go on the app every day and I get my my payout on the referral and I just keep allocating to a single token that's not going to be named because it's professional show here today and I just love it. I just come on every single day and I'm like, "Oh, thanks. Thanks." te tell us what it takes to build a social graph like like what are some of the things that you've taken inspiration from because I take it you know people launch a chain or a crypto app and they look at other successful crypto apps or other successful blockchains you launch a social graph you look at some of the most you know successful and prolific social networks out there Facebook Instagram Tik Tok WhatsApp are those the kinds of

applications that you take inspiration from or is there some other industry segment that you're learning from? >> I think all of the the previous giants both successful and failed social media platforms have paved the way for how we think about social. So I think my my biggest or our biggest way uh to grab inspiration is from like who is the one that has done it through multiple eras. So Facebook is the prime example of that where they went from social graph invention right of like you connect to people you know it's about the person it's about your relationship and then they also dominated the next era Instagram which is an interest graph era which is it's no longer about is this person your friend but it's more about what is the content so now the thing precedes the person and that was an

incredible shift in social media one to social media 2 and now social media 3 in our minds is going to be the very next thing which is you know in a world of AI commodization content is easy it's very easy to go viral it's very easy to build a following by doing things that are related to generation of you know content or media. So what is real? Well, risk is real, speculation is real. And one of the interesting conversations I had recently was like you think about social media psychology and a lot of it is feedback loops, right? Dopamine feedback loops of I put out a tweet, >> I get likes, I learn that it's good and I do it again. Same with photos, right?

But the core difference with FOMO in any of these platforms is on Twitter, if I go post a banger tweet, I have to try to guess and it's very subjective of why this went viral or why it's good. On FOMO, you go viral because you made a lot of money. And that's objective. Market cap goes up, you make money. You know, you don't sell and it goes up, it makes you make money. So, I think having the first ever objective feedback loop ever in social media is very, very powerful. And yeah, Facebook is honestly the inspiration for all the social media platforms that I've ever heard. Just say I got to ask one thing on that on that note, Robin, and then let you fire it away. The what we saw the last month and a half say was a lot of these, you know,

uh big traders that have large X accounts, whether anon or not, uh run up an unrealized P&L to the moon, right? And then I saw a Raspberry who's I think affiliated with you guys or a partner, great show. He's hilarious. Um and he's like, damn, like I I should have sold like I I was up so much. I had my rules. Flood always told me always be selling. Always be selling. But because I think he it was like, you know, it was public and so I didn't really know what to do. I didn't want to dump it. I didn't know how. And so what is the ramifications of the public nature of being up a gazillion and being like I don't want to sell because I don't want to be seen as like you know uh the you know you know weak hands or I I don't want to dump on

people. Like what are the ramifications of being up a ton and being public in your mind? I think there's a right way to do things and a wrong way to do things. The right way is you follow your own book, you follow your own rules, and you do it in a way where you know people are not hurt by your actions, right? But I think that this is something that is going to be widely criticized by a lot of people maybe, but I like to think of this as like when you're doing something right and you're doing at the highest level, you have both good and bad. So think about LeBron James, right? He has haters, he has fans, but the haters are the loudest, right? the people are that are going to give you the most issues are the ones who are coming at it from a

negative angle because it's better engagement. But I think that as we transcend this like trading e echo chamber of like just people on CT or people in small groups to like the world, there's going to be more and more opinions. There's always going to be somebody out there that thinks you did the wrong thing. Sure. Right, wrong, profit, loss, no matter what. So a lot of this is like, you know, when you become a celebrity for the first time or an athlete for the first time, you have an understanding of how do I do things the right way? How do I portray myself? How do I do things in a way that doesn't take every opinion into account, but just the ones that matter? And I want to say the same thing for the top traders where you're going to have haters. You could do everything by the book and

people will still dislike things that you do. So do it in a way that's grateful, that preserves your reputation, and that ultimately helps others. >> I love it. Say, thanks for your time, man. I think we're about wrapped here, Rob. >> I got one last one. And it's so funny how, you know, based on your response, Andy and I go two completely divergent directions. >> That's always the case. I I I was going to ask because you know on ARC this is sort of the agentic chain as it seems like it's coming to be and I take it you're gonna have this agentic flavor of FOMO on Arc and you sort of answer my question already. I was going to ask you what is different about building a social graph for agents but I take it there is no difference. You already defined the prerequisite for what it

takes to go viral on FOMO. It takes making money. It's objective. And so as long as your agent is going and making money, the same thing that goes viral on FOMO socially with humans is the same thing that goes virally among agents. >> Yeah, that's crazy. >> 100%. I think that at the end of the day, the P&L and the riskreward is one of the most objective metrics you can have. And whether you are 20, whether you're 50, 80, whether you're 1,000 or an agent or whatever it is, I think that this objective metric that will stand true in this new graph that we want to call like the speculation graph era. And yeah, I'm quite excited to see how things uh advance from here.

>> Hey, thanks so much. >> Thanks, buddy. Best of luck, man. Cheers. Yeah, man. >> See you again soon. >> That guy's awesome. I mean, is so cool, man. I just Look, guys. I'm honestly like, do not copy trade me on FOMO. I simply I simply just continue to use my ref fees to accumulate a single token. Uh, and I will just continue to to do that. I'll do that. We got Jack Anorak of Arat Rome in the house. He is the president and core contributor of Airrum. Jack, pleasure to see you in the flesh, man. Happy Arc Day. How you doing today man?

>> Doing great. It's been uh it's been kind of a wild day. Really good speeches. Yeah. >> Um feeling feeling pretty motivated, not just about ARC, but I think about what we can do as an industry. >> I know, right? Like the mental tides have turned. We've done I mean I mean probably 15 interviews today, maybe 18. Uh still bringing the energy for you, Jack. And I'll tell you, there's just this bullish undertone about where we're at, about the state of affairs, about what's possible. People are starting to believe again to dream a little bit again. What does that mean for your business? What does this kind of bullish undertone mean for what these feedback loops that you guys can get on your product? Um, and you know, just give us a bit of your perspective. I feel like when when we talk about bullishness and

we talk about believing again, um there's always this uh there's always a story, right? There's a story we tell ourselves like finally this is going to be the product that changes everything for us. This is going to be, you know, the the the kind of user that's going to come in and deploy everything that they have because this is obviously the best place for them. Um I think for for me it really it comes with a lot of responsibility because we've seen a lot of this stuff before. every time people are bullish in the last uh you know year or so there's there's a story that gets that has some glimmer of of um something legitimate and I think as a builder it becomes very important to say okay now that we know that there's you know there's this new infrastructure that's come online or all of a sudden chains

are faster and now we can settle these trades that in a ways that are a lot more similar to what you can get in traffic um the the differences between like what we have today and where we need to be become that much more important um to to kind of overcome. So um I think right now there's you know tokenization is the big word, stocks are the big word, rwas are you know a big acronym. Um and I think what we see is um there are there are use cases that are starting to come up. Some of them are um you know are you know are extremely legitimate. I think all of them um kind of show a um the possibility of um of something to to build toward. So yeah, with with um you

know with ARC in particular, I think there's you know there's a lot of discussion on on foreign exchange. Um and so for us I think we have to figure out how to um how to bridge the gap between um we are you know we're we're an onchain um you know automated market maker that settles trades and um we are competing against not against you know other you know players on chain but against like interactive brokers um you know large broker dealers. How do we make sure that the products that we're delivering are better than um what exists outside? Um so that's why that's my response. every dream comes, you know, brings with it a need to actually deliver and and I think that's where we're at right now.

>> Yeah, totally agree. And I think I mean, we are delivering, Aerodrome is delivering, the industry is delivering in terms of uh the legitimization, the tokenization of assets, but of course, Jack, we are I mean, we are not even a tenth of a single percent on the way of tokenizing assets, right? And so let's talk Aerodrome on ARC. You guys have had a successful launch uh in terms of your tokenized assets and equities products. As of late, this is now becoming a dominant form of yield for LPS on Aerogone with some skyrocketing high APR similar to DeFi summer as well as just this general trend. Talk to us about this arc launch. What is this opportunity for a drone to be the liquidity layer here and what does this mean broadly for your product stack? How

does this help your bottom line? I think as we're as we're starting to go across chain I think there we're really starting to think um more deeply about um what is the what is the product stack that's being offered right so um we we have Aerolite that's the thing that's being deployed it enables people to um to to seamlessly use FX as a foundational layer supporting all the other app building that's happening right so when people want to be able to borrow lend they want to be able to settle you know remittances um other sorts of real world activities that um are are moving on chain people need to know that there's a good price. People need to know that there's uh inventory that they can uh that they can draw on to be able to satisfy foreign exchange.

Y >> um and so that's I I think that's the the the work that we're generally doing right now. Got it. >> And so Aerolite that you're deploying on ARC, it sounds like this deployment is fundamentally about FX and I realize that FX is a very core part of the ARC launch yet we really haven't had >> we haven't heard about it. Honestly, you just don't hear about it on chain really much at all yet. >> Mostly because USDC and and and US dollar denominated st denominated stable coins dominate the stable coin market. So, just talk to us about what you think the evolution of foreign exchange like what is the market structure as it exists right now and how do you see this developing over the coming weeks and

months particularly on ARC? >> It's it's a funny thing, right? because we we talk about stable coins being this up into the right chart, you know, is one of the things that we always uh kind of uh hem in uh like kind of home in on as as an indication that people are kind of onboarding. Um and and FX is really weird because it's kind of very different from a lot of crypto. Most of crypto or most of the industry, it has to do with speculation, has to do with like, you know, kind of broad price discovery. Can this thing go to a million in, you know, in a day? Um FX is a very different sort of thing. You don't enter FX really to speculate. You don't really even enter into FX to do like real world activities. Like most of it you are entering into that market

because you have to enter into that market. And it's like it is incredibly unique. It's not speculation driven but it is fundamental. It is the you know some of the highest volume you know asset type that exists anywhere. Um and it is one that um can be live today um in a way that a lot of other ras are not. Um, and so there's there's a lot of um I think DeFi building that uh that has to happen to really start to complete the the offering um to make people to kind of bridge over. But that's that's kind of what we're in the business of doing is we're trying to figure out again like we have a couple of these tools around the industry that allow us to do like XYZ like 50% of the way and we have to be like 120% of the

way with all this stuff. >> Um and IX is interesting because I think we can build it. I think the the asset uh like type is ready to be there. It's just but as you said like it's not going to be the kind of thing that is incredibly sexy until it is the kind of asset class that just overwhelms everything else in terms of volume. >> I mean it's trillions man and we're talking like volumes of of transactions and and like nominal size is bigger than anything else on chain. So, so there's massive flows, which is why I think everyone really understands the opportunity at stake, but it just the disconnect maybe just it just feels like there is not non US dollar stable like how do you execute a a robust FX ecosystem if do we have sufficient non-doll stable coins on chain right now

or is that a missing piece before a foreign exchange can really be flushed out on chain? >> That's a great question. I think um I mean there there are a couple things. I mean you you I mean ultimately the whole thing depends on good quality stable coins, right? And we're I think we're still as an industry trying to figure out like which are the best stable coins um for each individual currency that exists, right? Like they're kind of like Euro dollars like you know they they're they're very kind of specific to like whatever bank um you know is is custodying them. You know every team shows up and says like hey we have a new coin is going to represent this thing. But it's it's very it's very tough to make sure that like what you have is actually going to be the kinds of things that like market

participants, market makers, other sorts of people are going to be taking the risk on, right? You're already so far out the risk curve being like I'm going to trade like the Turkish LRA and then you're asking me to like get like to to gamble on like the third best, you know, Turkish LRA stable coin like without any real like access to bankering or anything like that. Like we have to figure that stuff out. I think once we get there, that's like step half of one. >> Sure. >> So, it's there's a lot of work to be done, but the the the the pot is huge. >> And then when you think about this ARC launch, right? I mean, you guys are active on um base Ethereum, right?

There's there's a lot happening or at least the launch uh we don't need to get into it all, but ARC is here live a light. Jack, >> y >> talk to us or talk to me about expectations, north stars, metrics. Is this the same as other um implementations? Is it a different roadmap? Is it a different north star? What are you looking at here? >> I mean, the mental model is kind of actually similar to bridge USDC versus native where the the idea is, you know, you you you send out Aerolite to, you know, to places where, you know, this worked out really well for us, right?

Because V3, you know, our big arrow um, you know, launch is is going to be, you know, forthcoming. We wanted to be here day one for this Aerolite, which we've just developed, is is a perfect um kind of application for this thing, which is it it does all uh basic functions. You can do all the stuff that you can with a DEX. It's a zero fee system so that anybody can build on top of it. >> Um and it allows us to start experimenting deeply with the sorts of um products that we think are going to be interesting and you know and and kind of important for individual chains. >> Um yeah, there's not much else to be said about it. I think like the idea is like we're here, we can build all the stuff any you know we we have the ability to um to incentivize. It's just

that once we do the full deployment which will be forthcoming um that's when everything starts to you know the real kind of arrow flywheel starts to kick in. >> So obviously without getting into a specific date what can people expect once that does kick in because now you have some semblance of a multi-chain deployment. Yeah. Right. We have base and now we have Arc. What does it look like once Arrow is deployed on Ethereum mainet? And how do we start to see these pieces fit together to put to to really build a comprehensive ecosystem? >> I think what happens is every single ecosystem um that has a particular claim to expanding the pie is going to have the best tools at its disposal to do so.

um by uniting all the chains and aligning along certain verticals um and integrating everything into the arrow ecosystem like what we're doing is we're realizing the idea that you have this you know DEX trading infrastructure um that that allows participants to get the max value out of whatever it is they're doing and in this case it is to trade to host to get liquid you know to get yield to build new products and to you know to do whatever it is on these ecosystems to do best so if ARC is going to be going crazy on on FX is going to be able to be able uh to facilitate that. If there's another chain that wants to use FX as a, you know, as like some sort of adjunct to whatever product it wants to focus on, right, it will be able to tap into

those pools. Like that's the crosschain reality I think we've all believed in as an industry. This is going to be the first kind of honest to god realization of that sort of vision. >> I love it. And just last thing for me, Jack, on the Arc side of things again here, obviously this is the mainet day. >> Just kind of more broadly, you've been around the block, right? You've seen a lot of this happen, launches, etc. What what feels different about Arc? Like I'm not trying to ask you to glaze them, right? But like genuinely, what is different about this launch to you, if anything? >> I think the All right. So, my my like vaguely hot take of the moment is and I I just came to this realization a couple days ago is I think tech is starting to matter again.

>> We love that take, >> right? It's an interesting take because we were like, "Oh, we've got all the tech already. We just need distribution. We need the institutions, you know, whatever." But but >> we were like this is fintech but we've transitioned away from technology more into finance and regulation. But I love I love >> No, cuz we're that's the whole thing, right? I think for the last couple of years we've said like, "Okay, distribution is the thing or like regulatory access is the thing or like we've got the you know the best consortium behind us is like like the thing is like we're getting so good at trading. We're getting so close to how trading happens in real life that like you start actually kind of knife fighting for inches, you know, in terms of performance." And I'm not talking about like this chain versus that chain.

we're talking about like this chain versus like what's required to actually on board like whatever new products and users and whatever. And so when I think about arc in particular to bring back to the question I'm thinking okay so they've got subsecond finality great lowers the cost of capital I'm thinking um the the you know the ability to kind of embed uh confidentiality that's great of the people in this room are people who have been like begging for you know the way some sort of way to kind of obscure their positions in trades. Sure%, >> you know, and so like when I think about um you know the the chain that's going to actually kind of um onboard everybody and again and by the way like onbody uh everybody and also agents.

>> Sure. >> Um like that like that is also significant. You need as low cost as possible. You need to understand like what your business model is as a chain. Y >> so you're not like competing with your users. You're actually being you know fairly economically neutral which I think ARC is for what it's worth. Y >> um that's when you start to you know do good for again not just yourself but like the entire industry because what's you know if ARC somehow grows I just slam on the table arc somehow grows you know like that you know it's its users to infinity like you can bet like a lot of the other chains that you know focus on other areas or even related areas are going to benefit from it like that's the whole endgame here and I want to make sure that people recognize that this is

still a very collaborative effort one single I'll I'll close with this one single asset class right like some sort of like wacky thing like hundred billion dollar asset class like um Jeremy had like a thing of their like to total tokenized deposits were like 47 billion or something like that like if you got like 5 to 10 20% of just a single asset class on chain it would flip the tables on the >> of the entire stable coin market cap or or the entire right I mean we are like a couple big banks >> deciding that they're going to issue their uh whatever it is their bills on chain this month like three of them from like flipping the entire market cap of like like the world's largest stable coin. Yeah. Or like you know the entirety of our degrees. I mean we are

like literally on the precipice of like the floodgates in a couple button clicks from changing the entire reality of where we go. And there's a whole episode of how do you invest in that trend and there's a whole episode about how do you not invest in that trend and there's a lot of conversations to be had Jack interact but it has been eight hours for today and I'm losing my voice. So I really really appreciate your time Jack. I really love what Aeradrome has done. Congrats on the launch on Arc. Um, and best of luck through the full launch and thanks for coming on. >> Yeah, we're excited. >> Total pleasure.

>> See you again soon. Thanks, Jack. >> All righty. I mean, non-stop bullishness today, Rob. I mean, has it ever been more bullish? >> Has it ever been more bullish? >> I mean, it has been more bullish in the past, but I mean, >> maybe it's been more euphoric. I don't know if it's been more bullish. I hate like people say like pre like pre-w wealthy or pre- rich or you know we're pre-bull whatever you you want to say we are not only in the pre-bull or in the pre whatever you you know from a a monetary lens we are quite literally in the beginning of the adoption curve of this industry that Robbie and I joined 10 years ago 2017 we started this show six years ago

>> we have been waiting for this moment for so so so long like beyond what you guys could understand how long we've been waiting for this moment Rob especially what does this mean to you >> well I mean sometimes this moment comes and it catches you off sides >> and and you know let's not >> certainly not catching us off sides >> that's exactly where I was going it doesn't feel like it's catching us off >> sides are deeply positioned in this market I would hate to log into this industry every day and not be positioned and bullish but that being said You know, markets are volatile. Stay smart, stay safe, stay educated.

>> Yeah. >> But guys, we have been waiting for this moment. I mean, talking to Jeremy, let's take it all the way back to the top with Merlin. And Jeremy, I mean, you had a hell of a day here. >> I I mean, honestly, Jeremy was one of my favorite conversations of the entire day. >> Oh, I mean, by far. >> And the reason being the the visionary that Jeremy is. >> Yes. because he describes not just a crypto thing and not just a finance thing and not just a technology thing. He weaves these threads together and paints a picture of the future. And you know we had a brand consultant on the rollup that kind of talked a lot about this and he pointed out a moment in the movie Ratatouille around a critic and talking about why it is important to be

bullish on the future. >> Yes. to be optimist >> be bullish on the future and and be a taste maker and a curator and that's really the role that I see Jeremy playing and circle and arc playing in the intelligent economy >> and and in the intelligence revolution more broadly Jeremy is a technologist at heart and we've had multiple people here including us say that technology matters again this is the world of fintech which is fundamentally made up of finance and technology and for so long. We spent so much time and energy on the technology but we strayed far from our roots as we broached into the institutional wave

into the regulatory upgrade and ultimately into finance. Now the institutions are fomoing into our world of fintech and it feels like the rollup has also fulfilled on a mission that we had early early days to be the shelling point of the intelligent economy be the shelling point for knowledge >> to be this catalyst and this place >> I mean what is the rollup? Yes, I mean it is just a community of shared open public knowledge. Um, and we will we will continue to do that. And just to kind of pull you out of the weeds there on Jeremy and on ARC, this this launch marks the beginning of a new new

chapter. Yeah. >> For Circle I >> For Arc, we had a packed out arena here, a packed out venue. It was totally filled to the brim, buzzing. It still is. I see espresso martinis. I see smiles. I see laughs. People are having fun. People are optimistic. People are feeling like you're still early again because knock, we are still early, Rob. And I know this sounds like delusional bullishness coming from the rollup here and it's about time to close out. But I just want to express our gratitude to the ARC team.

>> Yeah. >> To the Circle team. >> Feels like the rollup launched on ARC today. to Jeremy, to Peters, to all the comm's people that have helped make this happen. To the rollup production team all day working their asses off to make this possible. >> Thank you so much. >> Very, very grateful for everybody behind the scenes making this possible. We have been working very hard uh to be continuing our coverage and stay on top of things. The rumor mill is buzzing. The portfolios are up. People are optimistic. We're here to be your suss, your source of truth, of companionship, and to continue to help you guys dominate this bull market and your financial future as well as your

investing and your entrepreneurship or career in general. That is all that I have to say. Thank you so much, Arc. Thank you so much, Circle. Thank you to the production team behind the backstage. They are absolutely amazing. We are signing off from Arc Maynet. Bring it in, buddy. Great day. Let's go. Much love. See you guys. >> Congratulations. >> Yeah. Thank you. [music] Heat. Hey, Heat.