How Token Streaming Will Revolutionize Finance

Transcript

foreign ER and in this talk we'll go over the basics of token streaming uh the current to consuming ecosystem and the the Future Vision we have of a stable here so um to quickly start um we first need to understand what to consuming is so just like you can stream a movie on Netflix or song on Spotify you can stream tokens using sleeper and so I can stream you um a hundred dollars for example over a month and during that month every second

you will receive a fraction of those hundred dollars so effectively we are doing buy the second payments where every second you will receive a fraction of the total amount and so um this is like streaming a song on Spotify or streaming a movie on Netflix except in this case we replace that with tokens and so the the problems we are solving are that um in our current economy people have to wait for income to arrive now this may seem like something which is very logical and that you have to wait for um you know your your paycheck you know payments by intervals uh that you have to wait for uh your paycheck to arrive every month for example but why are you paid every month why not every week why not every day why not every hour why not every minute why not

every seconds there's no reason for this arbitrary decision to be just paid like every month and so um that's something which we are solving and it's an inherent problem uh when it comes to time efficiency because it means that there's a lot of latency in our economy because um entities spending in our economy need to always wait for their income to arrive before they can start spending it well if they were streamed their income they could be able to spend it in real time and then you also have the fact uh like the problem when it comes to Freelancers because when you have a freelancer and this is just an example of to explain the inherent conflict that there is in financial relationships so you have a freelancer and that freelancer

has clients and the clients just hired different answer they're working together and now comes the question how are they paid and so one way to do it which is very common is that the client will pay 50 upfront and then 50 afterwards but then there's no guarantee for the freelancer that the client the clients will pay the remaining 50 afterwards and there is no guarantee for the clients that the freelancer will actually do the work once they paid the 50 upfront well with streaming if you stream the the defense to the freelancer as the freelancer if the client stops the stream at any time they stop paying I can just stop working and because defense were streams I was already paid for the time I worked

and as a client if the freelancer doesn't do the job I can just stop the stream and limit my losses and so this is like an ideal way to handle this conflictual relationship in finance where it's always very hard to trust the other party in this case you can have these trustless payment mechanisms where both both parties are at equal Powers basically and yeah it's obviously very time efficient wait that's actually the previous one yeah it's obviously very time efficient because it's happening in real time and so the use cases that we have for for streaming right now are payroll you know getting paid with your paycheck to

receive lawyer it's ideal because if without you don't have to wait for your picture to arrive every month for example you receive it in real time you're investing let's say you're you're launching a new token you want to invest it to your employees or investors instead of having a quarterly unlock for example you can stream it to them and the advantage with that is that you won't have the monthly sell-offs when people receive their tokens because they are streamed and so that's a really big advantage and then you have airdrops which make a ton of sense with siblio and streaming in general because when you are airdropping tokens to people and you are sending them all at once to that person if the odds are likely that they will sell them immediately and so when you stream these tokens over

time you let's say you stream these tokens over a year for example well what that means is that the the recipients know that okay I will still be receiving tokens in a year from now so I'm incentivized to think cloud term my interests are now aligned with the Project's interests because I have to think long term because I know that in a year I will still be receiving tokens and so that's a big Advantage um and so right now um our current ecosystem is still very small actually when you think about streaming it's a very small primitive it's being used by a lot of um different organizations but it's still very small and so you have three major entities right now active in the ecosystem you have cable where work you have super fluid and then you have Lama pay so only three really major entities in the evm

streaming ecosystem and so there's a lot of growth uh to be happening there in the future and yeah we're we're very bullish um so these are some of our users just to show you that there's actual use case here um you know uh I know shapeshift has been using us for a lot of um internal uh reward contribution systems for their contributors Astoria has been using us for their internal payroll compound that's useless to reward uh some of some of their some of the entities uh contributing to their organization so there are tons of ways to use streaming in general um and so recently what we did is that we announced civil uh V2 and actually released this and with it comes a ton of new use cases and so one of the things

which is really unique about stable review 2 is the ability to have custom streaming curves which comes through the universal streaming engine which we will list and so you have a ton of different um features which were introduced like uncensible streams um an F2 presentation and and speaking of nft representation um one of the great things about nft representation is the fact that every stream in sabler is now inside of an nft so when you think of like Unison B3 for example you have your liquidity positions in an nft and in this case it's the exact same thing with four streams and what that allows you to do is let's say you have a compatible nft learning Port call you can deposit that nft in

that planning protocol and then borrow against it using it as collateral and effectively what you're then doing is borrowing against future income which you haven't yet received that's pretty insane because in crypto that's pretty much impossible right now as far as I know and you can do so now using sabler by borrowing against future income which eventually received and then another ability is to sell the stream for example on a Marketplace like openc let's say you are paid ten thousand dollars through his team over a year a period of a year and you don't want to wait a year you want your income right now what you can say is okay I will go sell the stream on open c for nine thousand nine hundred dollars for example

and the buyer in this case will get hundred dollars as income to wait a year to get the whole ten thousand dollars basically and you get the whole nine thousand nine hundred dollars instantly just for a hundred dollar fee so imagine being able for example to receive your paycheck instantly just by paying like a percent on your paycheck that's pretty great like you could just receive a year worth of income directly instantly just by selling your nft on openc and then you obviously also have the ability to uh send that stream to someone else for example let's say you want to gift uh income to someone else you can do so using siblier and so one of the other things which we have

introduced with V2 is the custom streaming curves and so right now most streaming Port calls in general are still tied to this idea of linear streaming so your streaming rates Remains the Same throughout the stream and so it's this linear curve and some of them also offer the ability to have Cliffs right so if this instant unlock and then and then start streaming but with V2 what we're introducing is is a universal streaming engineer like we call it and so it gives you the ability to create any type of stream so you can create exponential streams for example meaning a stream where the streaming rate will increase exponentially and so again this is like ideal for for example airdrops where I want to

incentivize my community to think long term I will create an exponential stream for example for over for four years and they will know then that the majority of their tokens will be received on year three probably in year four because it goes exponentially up and that you know the major parts being streamed in an exponential uh function is the latter part and so they are incentivized to think long term and that's really great and then you also have the ability to create for example traditional unlock vesting streams so you know the traditional investing contracts where you have a quarterly unlock and every three months for example tokens are being unlocked this can be now done using table here and the advantage is that you don't have

to call for example a custom function on ether scan and go through their difficult interface you can just use our interface and so you can basically create any type of stream using civil review to to really fit the the situation in the contexts you're in and so the Future Vision which which we have um at siblier is a vision where you will have this full liquid economy so right now when you look at your your bank account it's static so your the balance on your bank account Remains the Same all year basically when you're doing

transaction it changes but it remains fixed it is it's not changing every second with with streaming you could get we're getting to a world where every seconds your balance will be changing because you will receive a stream from your employer as part of your paycheck and you will be streaming some of that to your landlord for your rent you will be streaming some of that to your Netflix subscription you will be streaming some of that to you some of your friends whatever and so you will get this full connected streaming graph where every node is an entity or a person and money is just like flowing like it would be like in an irrigation system

basically and it just flowing from one node to another and each node can redirect streams to one another each node can split these streams in different parts they can redirect them and everything is just flowing from one node to another and so you will have this fully liquid economy in a sense which I think is pretty incredible and will be much much more efficient um financially and economically speaking because funds will be arriving in real time you won't have to wait anymore to buy your latest iPhone because in the middle of the month you will already be able to buy it without having to wait the end of the month and yeah I think I think that's pretty great um and so that was it thank you for listening if

you're interested head over to table.com at Sibley on Twitter and yeah are there any questions there is one two okay uh so uh is it really possible to bridge this sort of solution to the web to people because to me it seems like this is the one of the

greatest places where web2 people might onboard into web3 and they will actually take this step because of the benefits this will bring to them uh what is it really possible to bridge this to like regular like invoices like Euro USD flows and what are the roadblocks if there is any thank you yeah sure good question um so I think that this is like a big thing we're thinking about at sibler is like how to bring it to the masses basically and how to get this adapted in the actual traditional Finance Financial world one of the big roadblocks right now is accounting because when you think about accounting it doesn't take into account time you have your two columns and that's it there's no third column for time and so this is one of the the current

um questions we get a lot when you when we we have users using the protocol which is how does that work in terms of accounting now obviously this changes from jurisdiction to jurisdiction um but I think that's one of the big roadblocks uh we are definitely working on you know providing sort of like templates for example for organizations to be able to adapt um but that's probably one of the big biggest rule blocks now regarding everything else it's there we can abstract away this completely through an easy to use interface I could definitely see you know sort of like integration where you know just via your bank you can just it uses in the back ends uh the protocol um I think these things are totally doable and I think the interesting thing

about streaming is that both parties often have an actual reason to do it like as an employer for example you can create your stream on the first of January created for a full year and you're good to go you don't need to manage to pay anymore you just forget about it discrete or stream day one and you're good to go for a year and if your employee leaves during the the year you can just cancel the stream so there's nothing to worry about and then the employee the employee is very happy because the employee receives his income in real time so it suits both parties basically and so I think in terms of adoption we will probably exponentially grow for from here uh now regarding the web 2 World um yeah the barrier is definitely accounting right now that's not been an issue because most of our adapters are

you know sort of like Innovative uh quite Advanced organizations which are uh just like looking forward to to the Future and and ready to to to use systems like these but yet to convince traditional organizations to use tools like these we will have to have a clear accounting framework in place um to get this working for everyone yeah by the way we have oh yeah sorry I have another question but did you have something to say first sorry that you have something to say first okay um yeah thank you for your talk what's very interesting I'm curious then if your employer decides to pay you at the beginning of the year and you get the

stream and you decide to sell your stream and then quit so now the stream is canceled how would that work that's a very good question so so one of the things um that's one of the situations where I think uh we're working with um to like credit score per calls right now like uh you have spectral you have credit protocol and so these are like protocols to um for example judge George credit score and do these types of things and I think in the future when it comes to these situations you will have to have systems like these um social contexts um sometimes off-chain Solutions which uh where you're able to see okay this stream was created as part of um the paycheck of this organization and

so you know as a buyer well I'm taking a risk here because if that employee is it quits I'm I'm losing money essentially um and so that's definitely something which will be arriving in the future uh we are definitely working with a ton of different integrators especially also on the nft lending side to to make this a reality uh but yeah that's coming in the future okay uh by the way we have T-shirts to give and stickers so if you're interested head over here and uh yeah thank you [Music]

thank you