PODCAST: Kaiko’s Ambre Soubiran on Bitcoin’s ‘Intrinsic Value’
(Source: coindesk.com)

clicks | 7 months ago | Google AI sentiment 0.30 | comments: discuss | tags: bitcoin

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(Original link: coindesk.com)

Ambre Soubiran: ( 11:01 )
Yeah, larger risks. Absolutely. And they’re financing their projects, right? A lot of projects that, I mean a lot of them were unfortunately scammy, but there’s also a lot of great projects that actually raised funding and way more that would have raised playing the VC game and today, four years down the road, three or four years after the ICO, they’re still not profitable but fully independent and autonomous. And they’ve grown in very different ways. I think it creates new forms of startups that wouldn’t have existed without the ICO.
Nolan Bauerle: ( 11:29 )
Yes. And separating the quality for a minute. Just the idea that it could happen to begin with was enough to make history.
Ambre Soubiran: ( 11:38 )
Yeah, absolutely. And so that’s I guess when it started having some form of mainstream adoption or if not adoption of more mainstream interest. And institutional interest then really started, interestingly not with the money but with the blockchain-not-crypto trend. We have a new way to create these programmable shared decentralized databases. And that was something that again, coming from 10 years of banking, I’ve heard a lot at some point it was bitcoin was a word you are not really supposed to pronounce, but distributed ledger and distributed database was really sexy. And I guess that started justifying more traditional interest for bitcoin in some ways. Like they liked it or not, but that justified that they could allow some resources into understanding that.
Nolan Bauerle: ( 12:27 )
Yeah. And now it’s starting to be called the global hegemonic synthetic currency I guess is the new tagline we’re going with.
Ambre Soubiran: ( 12:35 )
Exactly. And so that’s exactly that. So the last actually, now the institutional interest is really more because we’re looking at this and that’s the point of this conversation from a more, oh, it’s actually an uncorrelated financial assets. It’s a new financial asset. It’s censorship resistant, digital gold. We’re not so sure what type of financial asset it is, but we know that it’s decorrelated from traditional markets. And so it’s interesting, we can start applying some trading strategies. We can start leverage, we can start doing different things on that assets that will generate returns. That’s one part. And the other part is the reserve, right? It’s a way to protect, to derisk from other types of financial assets.
Nolan Bauerle: ( 13:19 )
So moving on to a more specific definition or type of behavior that we’re seeing from bitcoin today, but still definitely related to being uncorrelated and perhaps not a victim of some of the political decisions jurisdictions are making. So you’re in Europe, you’ve definitely got your own sort of political hot potato right now with Brexit and what that could mean. Do you expect or have you seen bitcoin even within those two sophisticated economies of France and England behaving as a safe haven asset? Of course, when the Brexit vote first happened, we saw bitcoin get a price bump back in 2016 and it was definitely a correlation there. Do you see anyone thinking along those lines in Europe? Do you see anyone worried about the Euro and using bitcoin or is it just not on anyone’s radar right now in Paris and anywhere you’d see it acting as a safe haven is still in the Venezuelas of the world?
Ambre Soubiran: ( 14:16 )
Yeah. So I think you’re spot on on the issue you raised as well and I was going to get there. I think it’s definitely seen as a safe asset in jurisdictions where there is much more political and economic uncertainty. So when you have high economic volatility and I was going to come up with Venezuela and Argentina, even Hong Kong recently, right? Hong Kong is generally one of the most stable and one of the best places to live from an economic standpoint because it’s going through political dysfunctions and there’s all these mass protests. Actually, if you look interestingly on the volumes on local bitcoin, which is a peer to peer exchange, volumes have significantly increased in all those countries.
Ambre Soubiran: ( 14:59 )
So I guess, and it’s also if you look back over the history and the early days of bitcoin, I guess it was 2013, 2014, at the time it was Ecuador and all these like more Central American countries that were also driving adoption. So from a safe haven perspective, I guess the question is where do you go and hide where you don’t know where else to go. Like when really you’re thinking I don’t trust the current status quo anymore, where do I go? And the question is, is bitcoin a good place for that? So when things go wrong, there’s only a limited number of things that you can do and a number of assets that are completely isolated from the rest of the system. And it is interesting in that way. I don’t think at that point that people have a deep mistrust in the Euro or at least it’s not a theme yet.
Ambre Soubiran: ( 15:51 )
However, I read something that I thought it was really cool o...