WEBVTT Kind: captions Language: en 00:00:09.190 --> 00:00:15.480 align:start position:0% [Music] 00:00:15.480 --> 00:00:15.490 align:start position:0% [Music] 00:00:15.490 --> 00:00:20.800 align:start position:0% [Music] all<00:00:16.490> right<00:00:17.860> amazing<00:00:18.860> to<00:00:19.280> be<00:00:19.460> here<00:00:19.490> so<00:00:20.480> many 00:00:20.800 --> 00:00:20.810 align:start position:0% all right amazing to be here so many 00:00:20.810 --> 00:00:23.320 align:start position:0% all right amazing to be here so many people<00:00:21.260> that<00:00:21.500> I<00:00:21.530> love<00:00:21.830> in<00:00:21.860> the<00:00:22.280> audience<00:00:22.760> it's 00:00:23.320 --> 00:00:23.330 align:start position:0% people that I love in the audience it's 00:00:23.330 --> 00:00:26.470 align:start position:0% people that I love in the audience it's amazing<00:00:23.990> DEFCON<00:00:24.530> 3<00:00:24.830> very<00:00:25.160> special<00:00:25.580> time<00:00:25.820> so 00:00:26.470 --> 00:00:26.480 align:start position:0% amazing DEFCON 3 very special time so 00:00:26.480 --> 00:00:28.810 align:start position:0% amazing DEFCON 3 very special time so this<00:00:26.720> talk<00:00:27.170> is<00:00:27.200> going<00:00:27.440> to<00:00:27.710> be<00:00:27.830> on<00:00:28.040> crypto 00:00:28.810 --> 00:00:28.820 align:start position:0% this talk is going to be on crypto 00:00:28.820 --> 00:00:31.450 align:start position:0% this talk is going to be on crypto economics<00:00:29.650> programmable<00:00:30.650> incentives<00:00:31.310> it 00:00:31.450 --> 00:00:31.460 align:start position:0% economics programmable incentives it 00:00:31.460 --> 00:00:33.250 align:start position:0% economics programmable incentives it should<00:00:31.640> give<00:00:31.789> you<00:00:31.940> a<00:00:32.119> nice<00:00:32.599> little<00:00:32.780> overview 00:00:33.250 --> 00:00:33.260 align:start position:0% should give you a nice little overview 00:00:33.260 --> 00:00:36.880 align:start position:0% should give you a nice little overview of<00:00:33.559> what<00:00:34.250> it<00:00:34.730> is<00:00:34.940> to<00:00:35.420> you<00:00:35.660> know<00:00:35.990> what<00:00:36.290> is<00:00:36.470> crypto 00:00:36.880 --> 00:00:36.890 align:start position:0% of what it is to you know what is crypto 00:00:36.890 --> 00:00:43.960 align:start position:0% of what it is to you know what is crypto economics<00:00:37.430> anyway<00:00:38.530> so<00:00:42.489> hopefully<00:00:43.489> the<00:00:43.940> next 00:00:43.960 --> 00:00:43.970 align:start position:0% economics anyway so hopefully the next 00:00:43.970 --> 00:00:48.220 align:start position:0% economics anyway so hopefully the next button<00:00:44.720> will<00:00:44.960> work<00:00:45.230> eventually<00:00:46.690> all<00:00:47.690> right<00:00:47.960> it 00:00:48.220 --> 00:00:48.230 align:start position:0% button will work eventually all right it 00:00:48.230 --> 00:00:51.130 align:start position:0% button will work eventually all right it worked<00:00:48.470> so<00:00:49.149> programmable<00:00:50.149> incentives<00:00:50.660> we 00:00:51.130 --> 00:00:51.140 align:start position:0% worked so programmable incentives we 00:00:51.140 --> 00:00:53.290 align:start position:0% worked so programmable incentives we have<00:00:51.380> a<00:00:51.410> new<00:00:51.890> spell<00:00:52.310> aetherium<00:00:52.850> gives<00:00:53.030> us<00:00:53.180> a 00:00:53.290 --> 00:00:53.300 align:start position:0% have a new spell aetherium gives us a 00:00:53.300 --> 00:00:55.510 align:start position:0% have a new spell aetherium gives us a new<00:00:53.540> spell<00:00:53.870> and<00:00:54.079> that<00:00:54.230> is<00:00:54.470> the<00:00:55.100> smart 00:00:55.510 --> 00:00:55.520 align:start position:0% new spell and that is the smart 00:00:55.520 --> 00:00:57.760 align:start position:0% new spell and that is the smart contracts<00:00:56.059> and<00:00:56.329> that<00:00:56.690> allow<00:00:56.989> us<00:00:57.020> to<00:00:57.200> program 00:00:57.760 --> 00:00:57.770 align:start position:0% contracts and that allow us to program 00:00:57.770 --> 00:01:00.100 align:start position:0% contracts and that allow us to program with<00:00:57.950> incentives<00:00:58.340> and<00:00:58.790> so<00:00:59.239> this<00:00:59.480> will<00:00:59.690> you 00:01:00.100 --> 00:01:00.110 align:start position:0% with incentives and so this will you 00:01:00.110 --> 00:01:02.049 align:start position:0% with incentives and so this will you know<00:01:00.230> hopefully<00:01:00.559> give<00:01:01.040> you<00:01:01.190> an<00:01:01.340> idea<00:01:01.640> of<00:01:01.700> where 00:01:02.049 --> 00:01:02.059 align:start position:0% know hopefully give you an idea of where 00:01:02.059 --> 00:01:05.079 align:start position:0% know hopefully give you an idea of where to<00:01:02.180> go<00:01:02.360> so<00:01:02.600> first<00:01:03.500> public<00:01:04.339> blockchains<00:01:04.820> have<00:01:05.059> a 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align:start position:0% access that means that anyone is able to 00:01:13.010 --> 00:01:15.430 align:start position:0% access that means that anyone is able to deploy<00:01:13.340> a<00:01:13.670> smart<00:01:14.030> contract<00:01:14.210> or<00:01:14.720> send<00:01:15.350> a 00:01:15.430 --> 00:01:15.440 align:start position:0% deploy a smart contract or send a 00:01:15.440 --> 00:01:19.770 align:start position:0% deploy a smart contract or send a transaction<00:01:15.920> this<00:01:16.610> is<00:01:16.820> critical<00:01:17.299> to<00:01:17.600> the 00:01:19.770 --> 00:01:19.780 align:start position:0% transaction this is critical to the 00:01:19.780 --> 00:01:22.420 align:start position:0% transaction this is critical to the guarantees<00:01:20.780> that<00:01:21.080> we<00:01:21.170> want<00:01:21.409> to<00:01:21.560> have<00:01:21.770> so<00:01:22.070> this 00:01:22.420 --> 00:01:22.430 align:start position:0% guarantees that we want to have so this 00:01:22.430 --> 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distinction<00:01:30.159> everyone<00:01:31.159> can<00:01:31.369> do<00:01:31.490> it 00:01:31.780 --> 00:01:31.790 align:start position:0% no distinction everyone can do it 00:01:31.790 --> 00:01:35.260 align:start position:0% no distinction everyone can do it the<00:01:32.659> second<00:01:33.049> key<00:01:33.650> piece<00:01:33.979> is<00:01:34.280> trusted 00:01:35.260 --> 00:01:35.270 align:start position:0% the second key piece is trusted 00:01:35.270 --> 00:01:38.260 align:start position:0% the second key piece is trusted execution<00:01:35.630> so<00:01:36.500> that<00:01:36.710> means<00:01:37.010> that<00:01:37.549> all<00:01:37.820> these 00:01:38.260 --> 00:01:38.270 align:start position:0% execution so that means that all these 00:01:38.270 --> 00:01:40.090 align:start position:0% execution so that means that all these smart<00:01:38.540> contracts<00:01:39.170> and<00:01:39.290> transactions<00:01:39.950> are 00:01:40.090 --> 00:01:40.100 align:start position:0% smart contracts and transactions are 00:01:40.100 --> 00:01:43.690 align:start position:0% smart contracts and transactions are going<00:01:40.130> to<00:01:40.520> execute<00:01:41.110> exactly<00:01:42.110> as<00:01:42.290> defined<00:01:42.979> that 00:01:43.690 --> 00:01:43.700 align:start position:0% going to execute exactly as defined that 00:01:43.700 --> 00:01:45.310 align:start position:0% going to execute exactly as defined that is<00:01:43.909> critical<00:01:44.390> and<00:01:44.570> that<00:01:44.600> gives<00:01:45.140> us 00:01:45.310 --> 00:01:45.320 align:start position:0% is critical and that gives us 00:01:45.320 --> 00:01:48.789 align:start position:0% is critical and that gives us programmable<00:01:46.159> money<00:01:46.479> so<00:01:47.619> programmable<00:01:48.619> money 00:01:48.789 --> 00:01:48.799 align:start position:0% programmable money so programmable money 00:01:48.799 --> 00:01:50.679 align:start position:0% programmable money so programmable money we've<00:01:49.100> got<00:01:49.130> our<00:01:49.580> main<00:01:49.970> character<00:01:50.479> this 00:01:50.679 --> 00:01:50.689 align:start position:0% we've got our main character this 00:01:50.689 --> 00:01:53.980 align:start position:0% we've got our main character this durable<00:01:51.049> Sam<00:01:51.430> is<00:01:52.430> sending<00:01:52.939> a<00:01:53.060> deploying<00:01:53.869> a 00:01:53.980 --> 00:01:53.990 align:start position:0% durable Sam is sending a deploying a 00:01:53.990 --> 00:01:56.410 align:start position:0% durable Sam is sending a deploying a smart<00:01:54.259> contract<00:01:54.500> and<00:01:55.040> you<00:01:55.700> know<00:01:55.820> great<00:01:56.090> coder 00:01:56.410 --> 00:01:56.420 align:start position:0% smart contract and you know great coder 00:01:56.420 --> 00:02:00.069 align:start position:0% smart contract and you know great coder here<00:01:56.810> and<00:01:56.990> this<00:01:57.770> is<00:01:57.950> a<00:01:57.979> hat<00:01:58.490> token<00:01:59.030> contract<00:01:59.600> so 00:02:00.069 --> 00:02:00.079 align:start position:0% here and this is a hat token contract so 00:02:00.079 --> 00:02:01.600 align:start position:0% here and this is a hat token contract so what<00:02:00.200> does<00:02:00.290> that<00:02:00.320> mean<00:02:00.619> that<00:02:00.860> means<00:02:01.220> you<00:02:01.430> can 00:02:01.600 --> 00:02:01.610 align:start position:0% what does that mean that means you can 00:02:01.610 --> 00:02:03.940 align:start position:0% what does that mean that means you can mine<00:02:01.880> tokens<00:02:02.630> by<00:02:03.170> wearing<00:02:03.409> a<00:02:03.560> hat 00:02:03.940 --> 00:02:03.950 align:start position:0% mine tokens by wearing a hat 00:02:03.950 --> 00:02:06.310 align:start position:0% mine tokens by wearing a hat pretty<00:02:04.159> simple<00:02:04.430> pretty<00:02:04.790> simple<00:02:05.030> stuff<00:02:05.420> that 00:02:06.310 --> 00:02:06.320 align:start position:0% pretty simple pretty simple stuff that 00:02:06.320 --> 00:02:08.859 align:start position:0% pretty simple pretty simple stuff that is<00:02:06.560> the<00:02:06.640> programmable<00:02:07.640> money<00:02:07.820> now<00:02:08.509> these 00:02:08.859 --> 00:02:08.869 align:start position:0% is the programmable money now these 00:02:08.869 --> 00:02:10.389 align:start position:0% is the programmable money now these other<00:02:09.140> terrible's<00:02:09.590> they<00:02:09.770> see<00:02:09.830> the<00:02:10.160> smart 00:02:10.389 --> 00:02:10.399 align:start position:0% other terrible's they see the smart 00:02:10.399 --> 00:02:11.770 align:start position:0% other terrible's they see the smart contract<00:02:10.759> they're<00:02:10.880> like<00:02:11.000> oh<00:02:11.120> that<00:02:11.750> looks 00:02:11.770 --> 00:02:11.780 align:start position:0% contract they're like oh that looks 00:02:11.780 --> 00:02:13.900 align:start position:0% contract they're like oh that looks pretty<00:02:12.020> cool<00:02:12.410> I<00:02:12.709> should<00:02:12.950> I<00:02:13.160> should<00:02:13.400> you<00:02:13.819> know 00:02:13.900 --> 00:02:13.910 align:start position:0% pretty cool I should I should you know 00:02:13.910 --> 00:02:15.410 align:start position:0% pretty cool I should I should you know maybe<00:02:14.150> maybe<00:02:14.540> all 00:02:15.410 --> 00:02:15.420 align:start position:0% maybe maybe all 00:02:15.420 --> 00:02:18.559 align:start position:0% maybe maybe all mind<00:02:16.200> some<00:02:16.500> of<00:02:16.620> these<00:02:16.740> tokens<00:02:16.950> now<00:02:17.760> that's<00:02:18.210> the 00:02:18.559 --> 00:02:18.569 align:start position:0% mind some of these tokens now that's the 00:02:18.569 --> 00:02:20.120 align:start position:0% mind some of these tokens now that's the programmable<00:02:19.230> incentives<00:02:19.860> we're<00:02:19.980> like 00:02:20.120 --> 00:02:20.130 align:start position:0% programmable incentives we're like 00:02:20.130 --> 00:02:22.370 align:start position:0% programmable incentives we're like incentivizing<00:02:21.030> these<00:02:21.180> gerbils<00:02:22.020> to<00:02:22.230> do 00:02:22.370 --> 00:02:22.380 align:start position:0% incentivizing these gerbils to do 00:02:22.380 --> 00:02:25.460 align:start position:0% incentivizing these gerbils to do whatever<00:02:23.209> so<00:02:24.209> they<00:02:24.420> see<00:02:24.480> the<00:02:24.720> smart<00:02:24.900> contract 00:02:25.460 --> 00:02:25.470 align:start position:0% whatever so they see the smart contract 00:02:25.470 --> 00:02:27.890 align:start position:0% whatever so they see the smart contract boom<00:02:25.800> they<00:02:25.980> start<00:02:26.220> wearing<00:02:26.490> hats<00:02:26.700> right<00:02:27.480> this 00:02:27.890 --> 00:02:27.900 align:start position:0% boom they start wearing hats right this 00:02:27.900 --> 00:02:31.190 align:start position:0% boom they start wearing hats right this is<00:02:28.080> a<00:02:28.310> pretty<00:02:29.310> magical<00:02:29.970> thing<00:02:30.209> this<00:02:30.840> this 00:02:31.190 --> 00:02:31.200 align:start position:0% is a pretty magical thing this this 00:02:31.200 --> 00:02:33.470 align:start position:0% is a pretty magical thing this this gerbil<00:02:31.650> right<00:02:31.830> here<00:02:32.040> Sam<00:02:32.340> didn't<00:02:33.030> know<00:02:33.090> these 00:02:33.470 --> 00:02:33.480 align:start position:0% gerbil right here Sam didn't know these 00:02:33.480 --> 00:02:36.110 align:start position:0% gerbil right here Sam didn't know these two<00:02:33.780> other<00:02:33.959> gerbils<00:02:34.500> just<00:02:35.100> uploaded<00:02:35.910> some 00:02:36.110 --> 00:02:36.120 align:start position:0% two other gerbils just uploaded some 00:02:36.120 --> 00:02:38.510 align:start position:0% two other gerbils just uploaded some code<00:02:36.360> that<00:02:36.660> code<00:02:37.230> was<00:02:37.380> able<00:02:37.770> to<00:02:37.890> be<00:02:38.010> verified 00:02:38.510 --> 00:02:38.520 align:start position:0% code that code was able to be verified 00:02:38.520 --> 00:02:41.510 align:start position:0% code that code was able to be verified and<00:02:39.230> caused<00:02:40.230> the<00:02:40.440> wearin<00:02:41.160> hats 00:02:41.510 --> 00:02:41.520 align:start position:0% and caused the wearin hats 00:02:41.520 --> 00:02:45.260 align:start position:0% and caused the wearin hats amazing<00:02:42.290> so<00:02:43.290> when<00:02:43.800> we<00:02:43.950> have<00:02:44.270> programmable 00:02:45.260 --> 00:02:45.270 align:start position:0% amazing so when we have programmable 00:02:45.270 --> 00:02:47.390 align:start position:0% amazing so when we have programmable money<00:02:45.390> from<00:02:45.750> public<00:02:45.900> blog<00:02:46.260> chains<00:02:46.560> that<00:02:47.130> gives 00:02:47.390 --> 00:02:47.400 align:start position:0% money from public blog chains that gives 00:02:47.400 --> 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and<00:02:55.519> it's<00:02:56.519> a<00:02:56.580> little<00:02:56.760> bit<00:02:56.940> scary 00:02:57.170 --> 00:02:57.180 align:start position:0% crazy stuff and it's a little bit scary 00:02:57.180 --> 00:03:01.040 align:start position:0% crazy stuff and it's a little bit scary like<00:02:57.540> program<00:02:58.530> people<00:02:59.120> not<00:03:00.120> necessarily<00:03:00.420> the 00:03:01.040 --> 00:03:01.050 align:start position:0% like program people not necessarily the 00:03:01.050 --> 00:03:03.290 align:start position:0% like program people not necessarily the thing<00:03:01.290> that<00:03:01.500> it's<00:03:02.340> a<00:03:02.519> little<00:03:02.790> bit<00:03:02.910> too<00:03:03.180> much 00:03:03.290 --> 00:03:03.300 align:start position:0% thing that it's a little bit too much 00:03:03.300 --> 00:03:06.710 align:start position:0% thing that it's a little bit too much power<00:03:03.570> almost<00:03:04.489> so<00:03:05.489> what<00:03:05.850> we<00:03:05.970> want<00:03:06.209> to<00:03:06.330> do<00:03:06.480> is<00:03:06.600> we 00:03:06.710 --> 00:03:06.720 align:start position:0% power almost so what we want to do is we 00:03:06.720 --> 00:03:08.990 align:start position:0% power almost so what we want to do is we want<00:03:06.900> to<00:03:06.989> program<00:03:07.410> good<00:03:07.950> outcomes<00:03:08.550> this<00:03:08.850> is 00:03:08.990 --> 00:03:09.000 align:start position:0% want to program good outcomes this is 00:03:09.000 --> 00:03:11.390 align:start position:0% want to program good outcomes this is critical<00:03:09.510> if<00:03:09.630> we're<00:03:09.780> going<00:03:10.019> to<00:03:10.170> be<00:03:10.320> using<00:03:11.190> our 00:03:11.390 --> 00:03:11.400 align:start position:0% critical if we're going to be using our 00:03:11.400 --> 00:03:14.090 align:start position:0% critical if we're going to be using our newfound<00:03:11.730> crypto<00:03:12.540> economic<00:03:13.050> powers<00:03:13.440> we<00:03:13.920> need 00:03:14.090 --> 00:03:14.100 align:start position:0% newfound crypto economic powers we need 00:03:14.100 --> 00:03:18.440 align:start position:0% newfound crypto economic powers we need to<00:03:14.310> program<00:03:14.550> good<00:03:14.970> outcomes<00:03:15.950> so<00:03:17.180> how<00:03:18.180> are<00:03:18.360> we 00:03:18.440 --> 00:03:18.450 align:start position:0% to program good outcomes so how are we 00:03:18.450 --> 00:03:20.539 align:start position:0% to program good outcomes so how are we going<00:03:18.600> to<00:03:18.690> do<00:03:18.810> this<00:03:18.930> well<00:03:19.290> we<00:03:19.890> can<00:03:20.040> use<00:03:20.070> crypto 00:03:20.539 --> 00:03:20.549 align:start position:0% going to do this well we can use crypto 00:03:20.549 --> 00:03:23.030 align:start position:0% going to do this well we can use crypto economics<00:03:21.120> so<00:03:21.239> crypto<00:03:21.540> economics<00:03:22.110> can<00:03:22.769> give 00:03:23.030 --> 00:03:23.040 align:start position:0% economics so crypto economics can give 00:03:23.040 --> 00:03:25.130 align:start position:0% economics so crypto economics can give us<00:03:23.190> the<00:03:23.430> ability<00:03:23.519> to<00:03:23.910> say<00:03:24.239> okay<00:03:24.600> these<00:03:24.810> are<00:03:24.989> our 00:03:25.130 --> 00:03:25.140 align:start position:0% us the ability to say okay these are our 00:03:25.140 --> 00:03:27.770 align:start position:0% us the ability to say okay these are our incentives<00:03:25.709> this<00:03:26.370> is<00:03:26.610> going<00:03:26.850> to<00:03:27.000> be<00:03:27.150> the 00:03:27.770 --> 00:03:27.780 align:start position:0% incentives this is going to be the 00:03:27.780 --> 00:03:29.449 align:start position:0% incentives this is going to be the outcome<00:03:28.170> that<00:03:28.350> they<00:03:28.530> will<00:03:28.680> produce<00:03:28.860> or<00:03:29.160> at 00:03:29.449 --> 00:03:29.459 align:start position:0% outcome that they will produce or at 00:03:29.459 --> 00:03:31.670 align:start position:0% outcome that they will produce or at least<00:03:29.700> give<00:03:30.209> us<00:03:30.239> some<00:03:30.360> certainty<00:03:30.900> around<00:03:31.170> the 00:03:31.670 --> 00:03:31.680 align:start position:0% least give us some certainty around the 00:03:31.680 --> 00:03:34.130 align:start position:0% least give us some certainty around the this<00:03:32.040> outcome<00:03:32.489> and<00:03:32.790> the<00:03:33.600> the<00:03:33.870> kind<00:03:34.079> of 00:03:34.130 --> 00:03:34.140 align:start position:0% this outcome and the the kind of 00:03:34.140 --> 00:03:36.259 align:start position:0% this outcome and the the kind of technical<00:03:34.530> definition<00:03:35.250> is<00:03:35.400> the<00:03:35.820> application 00:03:36.259 --> 00:03:36.269 align:start position:0% technical definition is the application 00:03:36.269 --> 00:03:38.870 align:start position:0% technical definition is the application of<00:03:36.540> economics<00:03:37.410> and<00:03:37.590> cryptography<00:03:38.070> to<00:03:38.579> achieve 00:03:38.870 --> 00:03:38.880 align:start position:0% of economics and cryptography to achieve 00:03:38.880 --> 00:03:41.569 align:start position:0% of economics and cryptography to achieve security<00:03:39.510> information<00:03:40.079> goals<00:03:40.650> but<00:03:41.250> I'll<00:03:41.400> give 00:03:41.569 --> 00:03:41.579 align:start position:0% security information goals but I'll give 00:03:41.579 --> 00:03:44.000 align:start position:0% security information goals but I'll give hopefully<00:03:42.030> some<00:03:42.269> insight<00:03:43.140> around<00:03:43.590> what<00:03:43.980> that 00:03:44.000 --> 00:03:44.010 align:start position:0% hopefully some insight around what that 00:03:44.010 --> 00:03:47.780 align:start position:0% hopefully some insight around what that really<00:03:44.400> means<00:03:44.700> mmm<00:03:45.420> so<00:03:46.290> first<00:03:47.070> quote<00:03:47.610> from 00:03:47.780 --> 00:03:47.790 align:start position:0% really means mmm so first quote from 00:03:47.790 --> 00:03:49.910 align:start position:0% really means mmm so first quote from Vitalik<00:03:48.299> you<00:03:48.780> can't<00:03:49.079> reason<00:03:49.410> about 00:03:49.910 --> 00:03:49.920 align:start position:0% Vitalik you can't reason about 00:03:49.920 --> 00:03:51.830 align:start position:0% Vitalik you can't reason about blockchain<00:03:50.519> consensus<00:03:51.209> protocols<00:03:51.660> without 00:03:51.830 --> 00:03:51.840 align:start position:0% blockchain consensus protocols without 00:03:51.840 --> 00:03:53.860 align:start position:0% blockchain consensus protocols without thinking<00:03:52.350> about<00:03:52.440> economics<00:03:53.130> this<00:03:53.640> is 00:03:53.860 --> 00:03:53.870 align:start position:0% thinking about economics this is 00:03:53.870 --> 00:03:56.780 align:start position:0% thinking about economics this is fundamentally<00:03:54.870> a<00:03:55.019> core<00:03:55.709> component<00:03:56.010> of<00:03:56.489> what 00:03:56.780 --> 00:03:56.790 align:start position:0% fundamentally a core component of what 00:03:56.790 --> 00:03:58.970 align:start position:0% fundamentally a core component of what makes<00:03:57.390> the<00:03:57.600> blockchain<00:03:57.870> special<00:03:58.530> and<00:03:58.739> what 00:03:58.970 --> 00:03:58.980 align:start position:0% makes the blockchain special and what 00:03:58.980 --> 00:04:02.840 align:start position:0% makes the blockchain special and what makes<00:03:59.250> these<00:03:59.489> systems<00:04:00.450> work<00:04:01.250> it's<00:04:02.250> people 00:04:02.840 --> 00:04:02.850 align:start position:0% makes these systems work it's people 00:04:02.850 --> 00:04:04.460 align:start position:0% makes these systems work it's people we're<00:04:03.209> talking<00:04:03.540> about<00:04:03.660> people<00:04:04.110> working 00:04:04.460 --> 00:04:04.470 align:start position:0% we're talking about people working 00:04:04.470 --> 00:04:08.390 align:start position:0% we're talking about people working together<00:04:04.650> and<00:04:05.040> cooperating<00:04:06.890> we<00:04:07.890> have<00:04:08.070> two 00:04:08.390 --> 00:04:08.400 align:start position:0% together and cooperating we have two 00:04:08.400 --> 00:04:10.699 align:start position:0% together and cooperating we have two nice<00:04:09.360> things<00:04:09.959> in<00:04:10.140> our<00:04:10.290> tool<00:04:10.500> belt 00:04:10.699 --> 00:04:10.709 align:start position:0% nice things in our tool belt 00:04:10.709 --> 00:04:12.110 align:start position:0% nice things in our tool belt cryptography<00:04:11.579> I'm<00:04:11.700> going<00:04:11.820> to<00:04:11.880> spoil<00:04:12.090> it 00:04:12.110 --> 00:04:12.120 align:start position:0% cryptography I'm going to spoil it 00:04:12.120 --> 00:04:14.390 align:start position:0% cryptography I'm going to spoil it economics<00:04:13.079> is<00:04:13.200> the<00:04:13.230> second<00:04:13.650> one<00:04:13.739> but<00:04:14.220> first 00:04:14.390 --> 00:04:14.400 align:start position:0% economics is the second one but first 00:04:14.400 --> 00:04:16.279 align:start position:0% economics is the second one but first we'll<00:04:14.640> start<00:04:14.730> out<00:04:14.970> with<00:04:15.000> cryptography<00:04:15.690> so 00:04:16.279 --> 00:04:16.289 align:start position:0% we'll start out with cryptography so 00:04:16.289 --> 00:04:18.830 align:start position:0% we'll start out with cryptography so we've<00:04:16.950> got<00:04:17.160> hash<00:04:17.459> functions<00:04:18.060> we've<00:04:18.660> got 00:04:18.830 --> 00:04:18.840 align:start position:0% we've got hash functions we've got 00:04:18.840 --> 00:04:21.860 align:start position:0% we've got hash functions we've got digital<00:04:19.229> signatures<00:04:19.890> we've<00:04:20.430> got<00:04:20.640> merkel<00:04:21.209> DAGs 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and<00:04:38.890> what<00:04:39.010> we<00:04:39.100> can<00:04:39.250> do<00:04:39.370> is 00:04:39.510 --> 00:04:39.520 align:start position:0% voting rights etc and what we can do is 00:04:39.520 --> 00:04:41.670 align:start position:0% voting rights etc and what we can do is we<00:04:39.640> can<00:04:39.760> combine<00:04:40.240> all<00:04:40.540> of<00:04:41.110> these<00:04:41.230> things<00:04:41.530> in 00:04:41.670 --> 00:04:41.680 align:start position:0% we can combine all of these things in 00:04:41.680 --> 00:04:44.850 align:start position:0% we can combine all of these things in our<00:04:41.800> like<00:04:42.190> utility<00:04:42.790> belts<00:04:43.180> to<00:04:43.750> create<00:04:44.410> crypto 00:04:44.850 --> 00:04:44.860 align:start position:0% our like utility belts to create crypto 00:04:44.860 --> 00:04:47.520 align:start position:0% our like utility belts to create crypto economic<00:04:45.370> mechanisms<00:04:45.940> so<00:04:46.540> I<00:04:46.750> personally<00:04:47.380> work 00:04:47.520 --> 00:04:47.530 align:start position:0% economic mechanisms so I personally work 00:04:47.530 --> 00:04:49.950 align:start position:0% economic mechanisms so I personally work on<00:04:47.710> caspere<00:04:48.190> this<00:04:48.940> is<00:04:49.090> what<00:04:49.240> I<00:04:49.270> spend<00:04:49.630> most<00:04:49.810> of 00:04:49.950 --> 00:04:49.960 align:start position:0% on caspere this is what I spend most of 00:04:49.960 --> 00:04:51.600 align:start position:0% on caspere this is what I spend most of my<00:04:50.020> time<00:04:50.320> on<00:04:50.350> because<00:04:50.710> it's<00:04:50.860> you<00:04:51.340> know<00:04:51.430> the 00:04:51.600 --> 00:04:51.610 align:start position:0% my time on because it's you know the 00:04:51.610 --> 00:04:54.000 align:start position:0% my time on because it's you know the first<00:04:51.640> most<00:04:52.330> interesting<00:04:52.990> application<00:04:53.890> of 00:04:54.000 --> 00:04:54.010 align:start position:0% first most interesting application of 00:04:54.010 --> 00:04:56.190 align:start position:0% first most interesting application of crypto<00:04:54.340> economics<00:04:54.700> in<00:04:54.940> my<00:04:55.270> opinion<00:04:55.630> but<00:04:55.750> you 00:04:56.190 --> 00:04:56.200 align:start position:0% crypto economics in my opinion but you 00:04:56.200 --> 00:04:58.290 align:start position:0% crypto economics in my opinion but you know<00:04:56.290> there<00:04:56.590> are<00:04:56.650> many<00:04:56.920> actually<00:04:57.310> ok<00:04:57.520> not<00:04:58.060> most 00:04:58.290 --> 00:04:58.300 align:start position:0% know there are many actually ok not most 00:04:58.300 --> 00:04:59.760 align:start position:0% know there are many actually ok not most interesting<00:04:58.810> the<00:04:59.020> one<00:04:59.200> the<00:04:59.410> most<00:04:59.560> interesting 00:04:59.760 --> 00:04:59.770 align:start position:0% interesting the one the most interesting 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align:start position:0% economics right so in Casper I use we use<00:05:07.240> hash<00:05:07.660> functions<00:05:08.170> digital<00:05:08.590> signatures 00:05:09.060 --> 00:05:09.070 align:start position:0% use hash functions digital signatures 00:05:09.070 --> 00:05:12.960 align:start position:0% use hash functions digital signatures tokens<00:05:10.030> voting<00:05:10.510> rights<00:05:10.750> to<00:05:11.320> create<00:05:11.680> a<00:05:11.970> cool 00:05:12.960 --> 00:05:12.970 align:start position:0% tokens voting rights to create a cool 00:05:12.970 --> 00:05:18.060 align:start position:0% tokens voting rights to create a cool protocol<00:05:13.890> so<00:05:14.890> this<00:05:15.310> is<00:05:15.520> a<00:05:15.730> overview<00:05:16.690> of<00:05:17.070> you're 00:05:18.060 --> 00:05:18.070 align:start position:0% protocol so this is a overview of you're 00:05:18.070 --> 00:05:19.290 align:start position:0% protocol so this is a overview of you're not<00:05:18.190> gonna<00:05:18.370> learn<00:05:18.610> Casper<00:05:19.150> here 00:05:19.290 --> 00:05:19.300 align:start position:0% not gonna learn Casper here 00:05:19.300 --> 00:05:21.330 align:start position:0% not gonna learn Casper here unfortunately<00:05:19.620> there's<00:05:20.620> a<00:05:20.680> few<00:05:20.890> other<00:05:21.040> talks 00:05:21.330 --> 00:05:21.340 align:start position:0% unfortunately there's a few other talks 00:05:21.340 --> 00:05:22.650 align:start position:0% unfortunately there's a few other talks which<00:05:21.550> let<00:05:21.760> you<00:05:21.850> do<00:05:22.000> that<00:05:22.150> and<00:05:22.390> there's<00:05:22.540> all 00:05:22.650 --> 00:05:22.660 align:start position:0% which let you do that and there's all 00:05:22.660 --> 00:05:24.690 align:start position:0% which let you do that and there's all sorts<00:05:22.900> of<00:05:22.930> stuff<00:05:23.110> online<00:05:23.290> it's<00:05:24.220> there's<00:05:24.640> a 00:05:24.690 --> 00:05:24.700 align:start position:0% sorts of stuff online it's there's a 00:05:24.700 --> 00:05:27.060 align:start position:0% sorts of stuff online it's there's a there's<00:05:25.090> a<00:05:25.150> whole<00:05:25.300> bunch<00:05:25.480> of<00:05:25.690> literature<00:05:26.650> but 00:05:27.060 --> 00:05:27.070 align:start position:0% there's a whole bunch of literature but 00:05:27.070 --> 00:05:28.740 align:start position:0% there's a whole bunch of literature but you<00:05:27.160> can<00:05:27.340> see<00:05:27.490> here<00:05:27.730> that<00:05:27.910> we're<00:05:28.240> creating<00:05:28.600> new 00:05:28.740 --> 00:05:28.750 align:start position:0% you can see here that we're creating new 00:05:28.750 --> 00:05:30.990 align:start position:0% you can see here that we're creating new blocks<00:05:29.080> and<00:05:29.440> each<00:05:29.890> block<00:05:30.100> has<00:05:30.490> a<00:05:30.520> pre<00:05:30.820> patch 00:05:30.990 --> 00:05:31.000 align:start position:0% blocks and each block has a pre patch 00:05:31.000 --> 00:05:33.210 align:start position:0% blocks and each block has a pre patch right<00:05:31.240> so<00:05:31.420> okay<00:05:31.660> there's<00:05:31.900> the<00:05:32.080> hash<00:05:32.260> we've 00:05:33.210 --> 00:05:33.220 align:start position:0% right so okay there's the hash we've 00:05:33.220 --> 00:05:36.600 align:start position:0% right so okay there's the hash we've also<00:05:33.490> got<00:05:33.820> tokens<00:05:34.270> that<00:05:34.360> the<00:05:35.580> blockchain<00:05:36.580> is 00:05:36.600 --> 00:05:36.610 align:start position:0% also got tokens that the blockchain is 00:05:36.610 --> 00:05:38.730 align:start position:0% also got tokens that the blockchain is giving<00:05:37.030> out<00:05:37.120> the<00:05:37.300> validators<00:05:37.810> tokens<00:05:38.200> okay 00:05:38.730 --> 00:05:38.740 align:start position:0% giving out the validators tokens okay 00:05:38.740 --> 00:05:41.340 align:start position:0% giving out the validators tokens okay there's<00:05:39.040> our<00:05:39.220> token<00:05:39.880> incentive<00:05:40.390> and<00:05:40.630> we've 00:05:41.340 --> 00:05:41.350 align:start position:0% there's our token incentive and we've 00:05:41.350 --> 00:05:43.170 align:start position:0% there's our token incentive and we've also<00:05:41.620> got<00:05:41.920> these<00:05:42.070> validators<00:05:42.640> see<00:05:42.910> at<00:05:43.060> the 00:05:43.170 --> 00:05:43.180 align:start position:0% also got these validators see at the 00:05:43.180 --> 00:05:46.380 align:start position:0% also got these validators see at the bottom<00:05:43.480> they<00:05:44.020> are<00:05:44.050> voting<00:05:44.770> on<00:05:45.130> the<00:05:45.730> next<00:05:46.240> block 00:05:46.380 --> 00:05:46.390 align:start position:0% bottom they are voting on the next block 00:05:46.390 --> 00:05:48.960 align:start position:0% bottom they are voting on the next block so<00:05:47.140> there<00:05:47.380> we<00:05:47.530> got<00:05:47.680> we<00:05:47.830> have<00:05:47.950> voting<00:05:48.280> so<00:05:48.460> all<00:05:48.790> of 00:05:48.960 --> 00:05:48.970 align:start position:0% so there we got we have voting so all of 00:05:48.970 --> 00:05:52.230 align:start position:0% so there we got we have voting so all of these<00:05:49.150> all<00:05:50.080> of<00:05:50.140> these<00:05:50.620> protocols<00:05:51.010> kind<00:05:51.460> of<00:05:51.550> use 00:05:52.230 --> 00:05:52.240 align:start position:0% these all of these protocols kind of use 00:05:52.240 --> 00:05:57.270 align:start position:0% these all of these protocols kind of use a<00:05:52.570> combination<00:05:53.260> of<00:05:53.650> these<00:05:54.150> core<00:05:55.150> tools<00:05:55.990> and<00:05:56.500> if 00:05:57.270 --> 00:05:57.280 align:start position:0% a combination of these core tools and if 00:05:57.280 --> 00:05:59.940 align:start position:0% a combination of these core tools and if you<00:05:57.730> squint<00:05:58.150> hard<00:05:58.480> enough<00:05:58.750> just<00:05:59.680> quit<00:05:59.920> a 00:05:59.940 --> 00:05:59.950 align:start position:0% you squint hard enough just quit a 00:05:59.950 --> 00:06:02.100 align:start position:0% you squint hard enough just quit a little<00:06:00.340> bit<00:06:00.490> right<00:06:00.640> now<00:06:00.700> you<00:06:01.600> can<00:06:01.780> see<00:06:01.930> they're 00:06:02.100 --> 00:06:02.110 align:start position:0% little bit right now you can see they're 00:06:02.110 --> 00:06:04.410 align:start position:0% little bit right now you can see they're actually<00:06:02.590> those<00:06:03.220> gerbils<00:06:03.520> from<00:06:03.970> you<00:06:04.150> know<00:06:04.240> the 00:06:04.410 --> 00:06:04.420 align:start position:0% actually those gerbils from you know the 00:06:04.420 --> 00:06:06.690 align:start position:0% actually those gerbils from you know the first<00:06:04.600> first<00:06:05.020> few<00:06:05.290> slides<00:06:05.410> great<00:06:06.250> we<00:06:06.400> they're 00:06:06.690 --> 00:06:06.700 align:start position:0% first first few slides great we they're 00:06:06.700 --> 00:06:08.910 align:start position:0% first first few slides great we they're all<00:06:06.910> just<00:06:07.330> these<00:06:07.450> people<00:06:07.630> we<00:06:08.320> don't<00:06:08.530> know<00:06:08.680> them 00:06:08.910 --> 00:06:08.920 align:start position:0% all just these people we don't know them 00:06:08.920 --> 00:06:10.620 align:start position:0% all just these people we don't know them we're<00:06:09.280> coming<00:06:09.640> up<00:06:09.700> with<00:06:09.760> economic<00:06:10.420> rules 00:06:10.620 --> 00:06:10.630 align:start position:0% we're coming up with economic rules 00:06:10.630 --> 00:06:12.240 align:start position:0% we're coming up with economic rules they're<00:06:11.140> playing<00:06:11.440> the<00:06:11.620> game<00:06:11.800> and<00:06:12.010> it's 00:06:12.240 --> 00:06:12.250 align:start position:0% they're playing the game and it's 00:06:12.250 --> 00:06:13.440 align:start position:0% they're playing the game and it's causing<00:06:12.580> a<00:06:12.670> good<00:06:12.850> outcome 00:06:13.440 --> 00:06:13.450 align:start position:0% causing a good outcome 00:06:13.450 --> 00:06:16.140 align:start position:0% causing a good outcome it's<00:06:13.960> gerbils<00:06:14.530> all<00:06:14.740> the<00:06:15.010> way<00:06:15.160> down<00:06:15.490> folks 00:06:16.140 --> 00:06:16.150 align:start position:0% it's gerbils all the way down folks 00:06:16.150 --> 00:06:18.980 align:start position:0% it's gerbils all the way down folks gerbils<00:06:16.900> all<00:06:17.020> the<00:06:17.140> way<00:06:17.230> down<00:06:17.590> called<00:06:17.830> the<00:06:17.950> TEC 00:06:18.980 --> 00:06:18.990 align:start position:0% gerbils all the way down called the TEC 00:06:18.990 --> 00:06:22.650 align:start position:0% gerbils all the way down called the TEC so<00:06:19.990> so<00:06:20.800> here's<00:06:21.040> some<00:06:21.310> good<00:06:21.550> outcomes<00:06:21.760> and 00:06:22.650 --> 00:06:22.660 align:start position:0% so so here's some good outcomes and 00:06:22.660 --> 00:06:25.200 align:start position:0% so so here's some good outcomes and there's<00:06:23.110> some<00:06:23.350> bad<00:06:23.560> outcomes<00:06:24.070> right<00:06:24.610> so<00:06:24.910> we 00:06:25.200 --> 00:06:25.210 align:start position:0% there's some bad outcomes right so we 00:06:25.210 --> 00:06:27.540 align:start position:0% there's some bad outcomes right so we want<00:06:25.540> to<00:06:25.810> promote<00:06:26.020> the<00:06:26.380> good<00:06:26.500> outcomes<00:06:26.920> and<00:06:27.280> we 00:06:27.540 --> 00:06:27.550 align:start position:0% want to promote the good outcomes and we 00:06:27.550 --> 00:06:29.880 align:start position:0% want to promote the good outcomes and we want<00:06:27.760> to<00:06:27.940> discourage<00:06:28.390> the<00:06:28.750> bad<00:06:28.930> outcomes<00:06:29.440> that 00:06:29.880 --> 00:06:29.890 align:start position:0% want to discourage the bad outcomes that 00:06:29.890 --> 00:06:31.710 align:start position:0% want to discourage the bad outcomes that means<00:06:30.160> we<00:06:30.340> want<00:06:30.520> trusted<00:06:31.000> execution<00:06:31.600> the 00:06:31.710 --> 00:06:31.720 align:start position:0% means we want trusted execution the 00:06:31.720 --> 00:06:33.870 align:start position:0% means we want trusted execution the first<00:06:31.960> two<00:06:32.140> things<00:06:32.380> that<00:06:32.620> we<00:06:32.740> had<00:06:32.950> in<00:06:33.160> in<00:06:33.430> the 00:06:33.870 --> 00:06:33.880 align:start position:0% first two things that we had in in the 00:06:33.880 --> 00:06:35.550 align:start position:0% first two things that we had in in the you<00:06:34.120> know<00:06:34.210> first<00:06:34.480> few<00:06:34.690> slides<00:06:34.840> the<00:06:35.200> blockchain 00:06:35.550 --> 00:06:35.560 align:start position:0% you know first few slides the blockchain 00:06:35.560 --> 00:06:38.100 align:start position:0% you know first few slides the blockchain secret<00:06:36.220> sauce<00:06:36.460> there's<00:06:37.120> also<00:06:37.300> open<00:06:37.840> access 00:06:38.100 --> 00:06:38.110 align:start position:0% secret sauce there's also open access 00:06:38.110 --> 00:06:40.740 align:start position:0% secret sauce there's also open access which<00:06:38.920> allows<00:06:39.460> us<00:06:39.700> you<00:06:39.880> know<00:06:40.000> everyone 00:06:40.740 --> 00:06:40.750 align:start position:0% which allows us you know everyone 00:06:40.750 --> 00:06:41.460 align:start position:0% which allows us you know everyone concentran 00:06:41.460 --> 00:06:41.470 align:start position:0% concentran 00:06:41.470 --> 00:06:44.310 align:start position:0% concentran actions<00:06:41.890> and<00:06:42.100> we<00:06:42.730> have<00:06:42.850> fast<00:06:43.330> finality<00:06:43.870> and<00:06:44.080> a 00:06:44.310 --> 00:06:44.320 align:start position:0% actions and we have fast finality and a 00:06:44.320 --> 00:06:46.530 align:start position:0% actions and we have fast finality and a number<00:06:44.500> of<00:06:44.680> other<00:06:44.800> things<00:06:44.890> and<00:06:45.310> you<00:06:46.210> know<00:06:46.330> I'll 00:06:46.530 --> 00:06:46.540 align:start position:0% number of other things and you know I'll 00:06:46.540 --> 00:06:48.690 align:start position:0% number of other things and you know I'll give<00:06:46.690> a<00:06:46.950> there's<00:06:47.950> some<00:06:48.040> other<00:06:48.190> talk<00:06:48.460> so<00:06:48.610> you 00:06:48.690 --> 00:06:48.700 align:start position:0% give a there's some other talk so you 00:06:48.700 --> 00:06:50.970 align:start position:0% give a there's some other talk so you can<00:06:48.850> learn<00:06:49.030> really<00:06:49.540> about<00:06:49.870> this<00:06:50.140> stuff<00:06:50.380> so 00:06:50.970 --> 00:06:50.980 align:start position:0% can learn really about this stuff so 00:06:50.980 --> 00:06:55.050 align:start position:0% can learn really about this stuff so that<00:06:52.110> is<00:06:53.110> just<00:06:53.260> one<00:06:53.590> of<00:06:53.830> a<00:06:54.250> huge<00:06:54.670> number<00:06:55.030> of 00:06:55.050 --> 00:06:55.060 align:start position:0% that is just one of a huge number of 00:06:55.060 --> 00:06:57.000 align:start position:0% that is just one of a huge number of crypto<00:06:55.420> economic<00:06:55.900> mechanisms<00:06:56.440> and<00:06:56.650> to<00:06:56.890> be 00:06:57.000 --> 00:06:57.010 align:start position:0% crypto economic mechanisms and to be 00:06:57.010 --> 00:06:58.920 align:start position:0% crypto economic mechanisms and to be honest<00:06:57.370> it's<00:06:57.550> relatively<00:06:58.090> boring<00:06:58.510> compared 00:06:58.920 --> 00:06:58.930 align:start position:0% honest it's relatively boring compared 00:06:58.930 --> 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position:0% very excited to see what comes out so I'm<00:07:11.110> gonna<00:07:11.380> give<00:07:11.620> an<00:07:11.740> overview<00:07:12.130> of<00:07:12.520> any 00:07:13.260 --> 00:07:13.270 align:start position:0% I'm gonna give an overview of any 00:07:13.270 --> 00:07:15.870 align:start position:0% I'm gonna give an overview of any automated<00:07:14.140> market<00:07:14.650> maker<00:07:14.830> contract<00:07:15.430> and<00:07:15.640> so 00:07:15.870 --> 00:07:15.880 align:start position:0% automated market maker contract and so 00:07:15.880 --> 00:07:17.430 align:start position:0% automated market maker contract and so this<00:07:16.060> is<00:07:16.180> something<00:07:16.480> that<00:07:16.510> Vitalik<00:07:17.110> came<00:07:17.290> up 00:07:17.430 --> 00:07:17.440 align:start position:0% this is something that Vitalik came up 00:07:17.440 --> 00:07:19.050 align:start position:0% this is something that Vitalik came up with<00:07:17.650> and<00:07:17.830> I<00:07:18.190> think<00:07:18.400> it's<00:07:18.520> a<00:07:18.580> really<00:07:18.880> nice 00:07:19.050 --> 00:07:19.060 align:start position:0% with and I think it's a really nice 00:07:19.060 --> 00:07:21.240 align:start position:0% with and I think it's a really nice simple<00:07:19.480> mechanism<00:07:20.020> which<00:07:20.560> can<00:07:20.770> give<00:07:20.980> a<00:07:21.010> little 00:07:21.240 --> 00:07:21.250 align:start position:0% simple mechanism which can give a little 00:07:21.250 --> 00:07:24.210 align:start position:0% simple mechanism which can give a little bit<00:07:21.460> of<00:07:21.580> a<00:07:21.670> foundational<00:07:22.530> intuition<00:07:23.530> for<00:07:23.860> what 00:07:24.210 --> 00:07:24.220 align:start position:0% bit of a foundational intuition for what 00:07:24.220 --> 00:07:27.360 align:start position:0% bit of a foundational intuition for what these<00:07:24.400> systems<00:07:24.640> can<00:07:25.450> do<00:07:25.780> and<00:07:26.050> how<00:07:26.260> maybe<00:07:26.590> to<00:07:26.860> to 00:07:27.360 --> 00:07:27.370 align:start position:0% these systems can do and how maybe to to 00:07:27.370 --> 00:07:30.090 align:start position:0% these systems can do and how maybe to to build<00:07:27.490> them<00:07:27.730> so<00:07:27.970> first<00:07:28.450> if<00:07:28.870> I<00:07:29.560> were<00:07:29.740> sitting 00:07:30.090 --> 00:07:30.100 align:start position:0% build them so first if I were sitting 00:07:30.100 --> 00:07:32.190 align:start position:0% build them so first if I were sitting down<00:07:30.400> and<00:07:30.610> like<00:07:30.790> wanting<00:07:31.180> to<00:07:31.210> create<00:07:32.050> a 00:07:32.190 --> 00:07:32.200 align:start position:0% down and like wanting to create a 00:07:32.200 --> 00:07:34.290 align:start position:0% down and like wanting to create a project<00:07:32.710> on<00:07:32.830> aetherium<00:07:33.190> I<00:07:33.580> would<00:07:33.940> say<00:07:34.060> okay 00:07:34.290 --> 00:07:34.300 align:start position:0% project on aetherium I would say okay 00:07:34.300 --> 00:07:35.540 align:start position:0% project on aetherium I would say okay first<00:07:34.540> I<00:07:34.660> need<00:07:34.690> to<00:07:34.930> design<00:07:35.230> a<00:07:35.290> mechanism 00:07:35.540 --> 00:07:35.550 align:start position:0% first I need to design a mechanism 00:07:35.550 --> 00:07:37.200 align:start position:0% first I need to design a mechanism easier<00:07:36.550> said<00:07:36.790> than<00:07:36.940> done 00:07:37.200 --> 00:07:37.210 align:start position:0% easier said than done 00:07:37.210 --> 00:07:40.409 align:start position:0% easier said than done but<00:07:37.630> let's<00:07:37.810> assume<00:07:37.930> we<00:07:38.440> did<00:07:38.620> it<00:07:39.150> analyze<00:07:40.150> some 00:07:40.409 --> 00:07:40.419 align:start position:0% but let's assume we did it analyze some 00:07:40.419 --> 00:07:42.630 align:start position:0% but let's assume we did it analyze some incentives<00:07:40.900> so<00:07:41.020> okay<00:07:41.410> my<00:07:41.590> mechanism<00:07:42.190> has 00:07:42.630 --> 00:07:42.640 align:start position:0% incentives so okay my mechanism has 00:07:42.640 --> 00:07:45.960 align:start position:0% incentives so okay my mechanism has these<00:07:43.000> people<00:07:43.600> playing<00:07:44.020> in<00:07:44.200> it<00:07:44.380> I'm<00:07:45.310> going<00:07:45.940> to 00:07:45.960 --> 00:07:45.970 align:start position:0% these people playing in it I'm going to 00:07:45.970 --> 00:07:48.540 align:start position:0% these people playing in it I'm going to see<00:07:46.240> ok<00:07:46.600> this<00:07:46.630> will<00:07:47.140> happen<00:07:47.350> and<00:07:47.680> that<00:07:48.190> person 00:07:48.540 --> 00:07:48.550 align:start position:0% see ok this will happen and that person 00:07:48.550 --> 00:07:51.360 align:start position:0% see ok this will happen and that person will<00:07:48.669> you<00:07:49.600> know<00:07:49.690> react<00:07:50.020> accordingly<00:07:50.650> and<00:07:50.919> then 00:07:51.360 --> 00:07:51.370 align:start position:0% will you know react accordingly and then 00:07:51.370 --> 00:07:53.909 align:start position:0% will you know react accordingly and then make<00:07:51.580> a<00:07:51.610> website<00:07:51.850> and<00:07:52.180> logo<00:07:52.540> publish<00:07:53.260> analysis 00:07:53.909 --> 00:07:53.919 align:start position:0% make a website and logo publish analysis 00:07:53.919 --> 00:07:57.000 align:start position:0% make a website and logo publish analysis observe<00:07:54.669> the<00:07:54.880> behavior<00:07:55.390> and<00:07:55.600> record<00:07:56.530> findings 00:07:57.000 --> 00:07:57.010 align:start position:0% observe the behavior and record findings 00:07:57.010 --> 00:07:59.490 align:start position:0% observe the behavior and record findings so<00:07:57.430> this<00:07:57.640> is<00:07:57.790> honestly<00:07:58.660> very<00:07:58.690> similar<00:07:59.229> to<00:07:59.380> the 00:07:59.490 --> 00:07:59.500 align:start position:0% so this is honestly very similar to the 00:07:59.500 --> 00:08:01.610 align:start position:0% so this is honestly very similar to the like<00:07:59.710> scientific<00:08:00.460> method<00:08:00.970> we<00:08:01.120> have<00:08:01.330> a 00:08:01.610 --> 00:08:01.620 align:start position:0% like scientific method we have a 00:08:01.620 --> 00:08:04.530 align:start position:0% like scientific method we have a hypothesis<00:08:02.620> that<00:08:02.650> we<00:08:02.890> come<00:08:03.070> up<00:08:03.220> with<00:08:03.370> we<00:08:03.910> test 00:08:04.530 --> 00:08:04.540 align:start position:0% hypothesis that we come up with we test 00:08:04.540 --> 00:08:07.170 align:start position:0% hypothesis that we come up with we test our<00:08:04.750> hypothesis<00:08:05.440> and<00:08:05.830> we<00:08:06.460> iterate<00:08:06.610> and<00:08:06.940> this 00:08:07.170 --> 00:08:07.180 align:start position:0% our hypothesis and we iterate and this 00:08:07.180 --> 00:08:09.900 align:start position:0% our hypothesis and we iterate and this is<00:08:07.330> like<00:08:07.479> how<00:08:08.080> we<00:08:08.140> can<00:08:08.590> actually<00:08:08.800> further<00:08:09.310> the 00:08:09.900 --> 00:08:09.910 align:start position:0% is like how we can actually further the 00:08:09.910 --> 00:08:13.740 align:start position:0% is like how we can actually further the like<00:08:10.240> science<00:08:10.930> of<00:08:11.110> these<00:08:11.410> protocols<00:08:12.750> super 00:08:13.740 --> 00:08:13.750 align:start position:0% like science of these protocols super 00:08:13.750 --> 00:08:16.530 align:start position:0% like science of these protocols super exciting<00:08:14.200> so<00:08:14.490> here's<00:08:15.490> the<00:08:15.729> the<00:08:16.030> market<00:08:16.360> maker 00:08:16.530 --> 00:08:16.540 align:start position:0% exciting so here's the the market maker 00:08:16.540 --> 00:08:21.870 align:start position:0% exciting so here's the the market maker example<00:08:19.080> we<00:08:20.080> are<00:08:20.110> first<00:08:20.979> we<00:08:21.220> have<00:08:21.430> our<00:08:21.580> main 00:08:21.870 --> 00:08:21.880 align:start position:0% example we are first we have our main 00:08:21.880 --> 00:08:25.140 align:start position:0% example we are first we have our main character<00:08:22.270> a<00:08:22.450> rich<00:08:23.140> gerbil<00:08:23.830> has<00:08:24.310> a<00:08:24.700> hundred 00:08:25.140 --> 00:08:25.150 align:start position:0% character a rich gerbil has a hundred 00:08:25.150 --> 00:08:29.040 align:start position:0% character a rich gerbil has a hundred even<00:08:25.300> a<00:08:25.870> thousand<00:08:26.470> Unni<00:08:27.360> the<00:08:28.360> rich<00:08:28.630> gerbil 00:08:29.040 --> 00:08:29.050 align:start position:0% even a thousand Unni the rich gerbil 00:08:29.050 --> 00:08:31.560 align:start position:0% even a thousand Unni the rich gerbil will<00:08:29.169> deploy<00:08:29.560> a<00:08:29.860> market<00:08:30.340> maker<00:08:30.460> contract<00:08:31.090> to 00:08:31.560 --> 00:08:31.570 align:start position:0% will deploy a market maker contract to 00:08:31.570 --> 00:08:33.500 align:start position:0% will deploy a market maker contract to the<00:08:31.750> blockchain<00:08:31.960> send<00:08:32.469> it<00:08:32.589> to<00:08:32.710> the<00:08:32.800> miner<00:08:33.010> the 00:08:33.500 --> 00:08:33.510 align:start position:0% the blockchain send it to the miner the 00:08:33.510 --> 00:08:37.279 align:start position:0% the blockchain send it to the miner the miner<00:08:34.510> will<00:08:34.719> mind<00:08:35.050> that<00:08:35.820> transaction<00:08:36.820> and 00:08:37.279 --> 00:08:37.289 align:start position:0% miner will mind that transaction and 00:08:37.289 --> 00:08:40.980 align:start position:0% miner will mind that transaction and create<00:08:38.289> an<00:08:38.530> market<00:08:39.310> maker<00:08:39.550> contract<00:08:40.450> so<00:08:40.780> this 00:08:40.980 --> 00:08:40.990 align:start position:0% create an market maker contract so this 00:08:40.990 --> 00:08:42.839 align:start position:0% create an market maker contract so this market<00:08:41.320> maker<00:08:41.500> has<00:08:42.010> a<00:08:42.039> hundred<00:08:42.430> even<00:08:42.580> a 00:08:42.839 --> 00:08:42.849 align:start position:0% market maker has a hundred even a 00:08:42.849 --> 00:08:45.690 align:start position:0% market maker has a hundred even a thousand<00:08:43.240> unit<00:08:43.450> in<00:08:43.599> it<00:08:43.750> and<00:08:43.960> allows<00:08:44.530> us<00:08:45.430> to 00:08:45.690 --> 00:08:45.700 align:start position:0% thousand unit in it and allows us to 00:08:45.700 --> 00:08:49.380 align:start position:0% thousand unit in it and allows us to send<00:08:46.089> and<00:08:46.900> receive<00:08:47.040> uni<00:08:48.089> that's<00:08:49.089> the<00:08:49.240> whole 00:08:49.380 --> 00:08:49.390 align:start position:0% send and receive uni that's the whole 00:08:49.390 --> 00:08:51.300 align:start position:0% send and receive uni that's the whole point<00:08:49.600> so<00:08:49.839> so<00:08:50.500> it's<00:08:50.680> really<00:08:50.920> just<00:08:51.070> like<00:08:51.190> a 00:08:51.300 --> 00:08:51.310 align:start position:0% point so so it's really just like a 00:08:51.310 --> 00:08:54.810 align:start position:0% point so so it's really just like a decentralized<00:08:52.120> exchange<00:08:52.300> kind<00:08:53.140> of<00:08:53.580> so<00:08:54.580> the 00:08:54.810 --> 00:08:54.820 align:start position:0% decentralized exchange kind of so the 00:08:54.820 --> 00:08:55.410 align:start position:0% decentralized exchange kind of so the way<00:08:54.940> that<00:08:54.970> this 00:08:55.410 --> 00:08:55.420 align:start position:0% way that this 00:08:55.420 --> 00:08:57.150 align:start position:0% way that this works<00:08:55.540> is<00:08:55.690> you<00:08:56.110> see<00:08:56.260> those<00:08:56.440> numbers<00:08:56.589> on<00:08:56.950> the 00:08:57.150 --> 00:08:57.160 align:start position:0% works is you see those numbers on the 00:08:57.160 --> 00:09:00.319 align:start position:0% works is you see those numbers on the right-hand<00:08:57.579> side<00:08:57.639> that<00:08:58.360> is<00:08:58.750> the<00:08:59.620> invariant 00:09:00.319 --> 00:09:00.329 align:start position:0% right-hand side that is the invariant 00:09:00.329 --> 00:09:02.400 align:start position:0% right-hand side that is the invariant 100,000<00:09:01.329> is<00:09:01.420> the<00:09:01.540> environment<00:09:01.930> so<00:09:02.110> this<00:09:02.260> is 00:09:02.400 --> 00:09:02.410 align:start position:0% 100,000 is the environment so this is 00:09:02.410 --> 00:09:04.889 align:start position:0% 100,000 is the environment so this is what<00:09:02.620> calculates<00:09:03.459> the<00:09:03.639> exchange<00:09:04.060> rate<00:09:04.269> from 00:09:04.889 --> 00:09:04.899 align:start position:0% what calculates the exchange rate from 00:09:04.899 --> 00:09:08.550 align:start position:0% what calculates the exchange rate from eath<00:09:05.320> to<00:09:05.680> uni<00:09:06.010> or<00:09:06.190> you<00:09:06.370> need<00:09:06.550> to<00:09:06.579> either<00:09:07.560> so 00:09:08.550 --> 00:09:08.560 align:start position:0% eath to uni or you need to either so 00:09:08.560 --> 00:09:10.230 align:start position:0% eath to uni or you need to either so we've<00:09:08.829> got<00:09:09.010> these<00:09:09.190> durables<00:09:09.610> once<00:09:09.790> again<00:09:10.060> they 00:09:10.230 --> 00:09:10.240 align:start position:0% we've got these durables once again they 00:09:10.240 --> 00:09:11.190 align:start position:0% we've got these durables once again they don't<00:09:10.389> know<00:09:10.600> anything<00:09:11.019> they're<00:09:11.170> just 00:09:11.190 --> 00:09:11.200 align:start position:0% don't know anything they're just 00:09:11.200 --> 00:09:13.319 align:start position:0% don't know anything they're just watching<00:09:11.500> the<00:09:11.800> blockchain<00:09:12.010> they<00:09:12.850> see<00:09:12.910> it<00:09:13.180> and 00:09:13.319 --> 00:09:13.329 align:start position:0% watching the blockchain they see it and 00:09:13.329 --> 00:09:15.120 align:start position:0% watching the blockchain they see it and they're<00:09:13.420> like<00:09:13.570> well<00:09:13.870> I<00:09:14.139> want<00:09:14.440> to<00:09:14.529> I<00:09:14.740> want<00:09:14.980> to 00:09:15.120 --> 00:09:15.130 align:start position:0% they're like well I want to I want to 00:09:15.130 --> 00:09:18.660 align:start position:0% they're like well I want to I want to trade<00:09:15.339> my<00:09:15.519> eath<00:09:16.149> for<00:09:16.449> a<00:09:16.480> uni<00:09:16.779> so<00:09:17.399> one<00:09:18.399> of<00:09:18.519> them 00:09:18.660 --> 00:09:18.670 align:start position:0% trade my eath for a uni so one of them 00:09:18.670 --> 00:09:21.540 align:start position:0% trade my eath for a uni so one of them sends<00:09:19.000> a<00:09:19.089> need<00:09:19.269> to<00:09:19.750> the<00:09:19.899> contract<00:09:20.410> and<00:09:20.560> now<00:09:21.490> we 00:09:21.540 --> 00:09:21.550 align:start position:0% sends a need to the contract and now we 00:09:21.550 --> 00:09:25.050 align:start position:0% sends a need to the contract and now we have<00:09:22.079> 101<00:09:23.079> eath<00:09:23.440> in<00:09:23.620> our<00:09:23.740> contract<00:09:24.220> but<00:09:25.000> we 00:09:25.050 --> 00:09:25.060 align:start position:0% have 101 eath in our contract but we 00:09:25.060 --> 00:09:26.790 align:start position:0% have 101 eath in our contract but we don't<00:09:25.420> know<00:09:25.570> how<00:09:25.690> much<00:09:25.839> uni<00:09:26.290> we<00:09:26.440> should<00:09:26.620> have 00:09:26.790 --> 00:09:26.800 align:start position:0% don't know how much uni we should have 00:09:26.800 --> 00:09:29.430 align:start position:0% don't know how much uni we should have so<00:09:27.430> that<00:09:27.610> we<00:09:27.760> equal<00:09:28.240> 100<00:09:28.870> thousand<00:09:29.230> right<00:09:29.350> we 00:09:29.430 --> 00:09:29.440 align:start position:0% so that we equal 100 thousand right we 00:09:29.440 --> 00:09:31.680 align:start position:0% so that we equal 100 thousand right we always<00:09:29.649> want<00:09:30.040> to<00:09:30.100> keep<00:09:30.220> that<00:09:30.690> 100,000 00:09:31.680 --> 00:09:31.690 align:start position:0% always want to keep that 100,000 00:09:31.690 --> 00:09:35.670 align:start position:0% always want to keep that 100,000 constant<00:09:32.170> so<00:09:32.620> we<00:09:33.220> recalculate<00:09:33.670> we<00:09:34.089> do<00:09:34.680> 100,000 00:09:35.670 --> 00:09:35.680 align:start position:0% constant so we recalculate we do 100,000 00:09:35.680 --> 00:09:39.030 align:start position:0% constant so we recalculate we do 100,000 divided<00:09:36.279> by<00:09:36.459> 101<00:09:36.820> and<00:09:37.240> we<00:09:37.600> get<00:09:37.779> nine<00:09:38.560> hundred 00:09:39.030 --> 00:09:39.040 align:start position:0% divided by 101 and we get nine hundred 00:09:39.040 --> 00:09:41.939 align:start position:0% divided by 101 and we get nine hundred and<00:09:39.190> ninety<00:09:39.639> point<00:09:40.209> zero<00:09:40.510> nine<00:09:40.810> so<00:09:41.500> this<00:09:41.740> is 00:09:41.939 --> 00:09:41.949 align:start position:0% and ninety point zero nine so this is 00:09:41.949 --> 00:09:45.389 align:start position:0% and ninety point zero nine so this is how<00:09:42.670> much<00:09:42.940> a<00:09:43.120> uni<00:09:43.870> we<00:09:44.050> will<00:09:44.230> have<00:09:44.380> after<00:09:45.190> that 00:09:45.389 --> 00:09:45.399 align:start position:0% how much a uni we will have after that 00:09:45.399 --> 00:09:47.430 align:start position:0% how much a uni we will have after that transaction<00:09:46.060> is<00:09:46.209> sent<00:09:46.420> and<00:09:46.660> what<00:09:47.050> we'll<00:09:47.170> do<00:09:47.290> is 00:09:47.430 --> 00:09:47.440 align:start position:0% transaction is sent and what we'll do is 00:09:47.440 --> 00:09:50.100 align:start position:0% transaction is sent and what we'll do is we'll<00:09:47.560> send<00:09:47.920> the<00:09:48.220> excess<00:09:48.730> uni<00:09:49.060> to<00:09:49.540> the<00:09:49.750> person 00:09:50.100 --> 00:09:50.110 align:start position:0% we'll send the excess uni to the person 00:09:50.110 --> 00:09:52.319 align:start position:0% we'll send the excess uni to the person sending<00:09:50.410> the<00:09:50.709> eath<00:09:50.889> so<00:09:51.459> this<00:09:51.639> is<00:09:51.790> like<00:09:51.940> a<00:09:51.970> super 00:09:52.319 --> 00:09:52.329 align:start position:0% sending the eath so this is like a super 00:09:52.329 --> 00:09:54.449 align:start position:0% sending the eath so this is like a super easy<00:09:52.510> exchange<00:09:52.930> right<00:09:53.079> I<00:09:53.230> sent<00:09:53.769> one<00:09:53.949> either<00:09:54.220> I 00:09:54.449 --> 00:09:54.459 align:start position:0% easy exchange right I sent one either I 00:09:54.459 --> 00:09:58.560 align:start position:0% easy exchange right I sent one either I got<00:09:55.060> back<00:09:55.329> nine<00:09:55.930> point<00:09:56.350> zero<00:09:56.440> one<00:09:56.949> uni<00:09:57.570> cool 00:09:58.560 --> 00:09:58.570 align:start position:0% got back nine point zero one uni cool 00:09:58.570 --> 00:10:01.829 align:start position:0% got back nine point zero one uni cool and<00:09:59.019> I<00:09:59.500> also<00:09:59.769> give<00:10:00.250> a<00:10:00.279> little<00:10:00.579> fee<00:10:00.820> to<00:10:01.449> the 00:10:01.829 --> 00:10:01.839 align:start position:0% and I also give a little fee to the 00:10:01.839 --> 00:10:03.600 align:start position:0% and I also give a little fee to the market<00:10:02.230> maker<00:10:02.440> so<00:10:02.740> they<00:10:02.920> have<00:10:03.130> a<00:10:03.160> reason<00:10:03.579> to 00:10:03.600 --> 00:10:03.610 align:start position:0% market maker so they have a reason to 00:10:03.610 --> 00:10:07.500 align:start position:0% market maker so they have a reason to actually<00:10:04.060> put<00:10:04.690> up<00:10:04.810> this<00:10:04.990> money<00:10:05.970> so<00:10:06.970> we've<00:10:07.300> got 00:10:07.500 --> 00:10:07.510 align:start position:0% actually put up this money so we've got 00:10:07.510 --> 00:10:09.870 align:start position:0% actually put up this money so we've got an<00:10:07.630> exchange<00:10:07.990> rate<00:10:08.079> before<00:10:08.500> and<00:10:08.829> an<00:10:09.430> exchange 00:10:09.870 --> 00:10:09.880 align:start position:0% an exchange rate before and an exchange 00:10:09.880 --> 00:10:11.910 align:start position:0% an exchange rate before and an exchange rate<00:10:09.940> after<00:10:10.449> and<00:10:10.600> we<00:10:10.690> can<00:10:10.839> actually<00:10:11.019> see<00:10:11.440> you 00:10:11.910 --> 00:10:11.920 align:start position:0% rate after and we can actually see you 00:10:11.920 --> 00:10:14.009 align:start position:0% rate after and we can actually see you know<00:10:12.010> the<00:10:12.279> more<00:10:12.490> eath<00:10:12.730> you<00:10:12.970> send<00:10:13.269> the<00:10:13.810> more 00:10:14.009 --> 00:10:14.019 align:start position:0% know the more eath you send the more 00:10:14.019 --> 00:10:16.590 align:start position:0% know the more eath you send the more expensive<00:10:14.350> uni<00:10:14.800> will<00:10:14.949> be<00:10:15.070> the<00:10:15.310> more<00:10:15.519> uni<00:10:16.510> you 00:10:16.590 --> 00:10:16.600 align:start position:0% expensive uni will be the more uni you 00:10:16.600 --> 00:10:19.829 align:start position:0% expensive uni will be the more uni you send<00:10:16.899> the<00:10:17.410> more<00:10:17.620> expensive<00:10:17.890> eath<00:10:18.190> will<00:10:18.399> be<00:10:18.839> so 00:10:19.829 --> 00:10:19.839 align:start position:0% send the more expensive eath will be so 00:10:19.839 --> 00:10:21.750 align:start position:0% send the more expensive eath will be so this<00:10:19.990> is<00:10:20.140> a<00:10:20.170> really<00:10:20.589> simple<00:10:20.769> mechanism<00:10:21.490> it 00:10:21.750 --> 00:10:21.760 align:start position:0% this is a really simple mechanism it 00:10:21.760 --> 00:10:24.180 align:start position:0% this is a really simple mechanism it doesn't<00:10:22.120> require<00:10:22.240> a<00:10:22.779> token<00:10:23.230> it<00:10:23.440> just<00:10:23.649> you<00:10:24.100> know 00:10:24.180 --> 00:10:24.190 align:start position:0% doesn't require a token it just you know 00:10:24.190 --> 00:10:27.840 align:start position:0% doesn't require a token it just you know execute<00:10:24.699> exactly<00:10:25.449> as<00:10:25.540> defined<00:10:25.870> great<00:10:26.430> so<00:10:27.430> now 00:10:27.840 --> 00:10:27.850 align:start position:0% execute exactly as defined great so now 00:10:27.850 --> 00:10:29.370 align:start position:0% execute exactly as defined great so now let's<00:10:28.089> analyze<00:10:28.300> incentives<00:10:29.050> this<00:10:29.199> is<00:10:29.350> a 00:10:29.370 --> 00:10:29.380 align:start position:0% let's analyze incentives this is a 00:10:29.380 --> 00:10:31.319 align:start position:0% let's analyze incentives this is a critical<00:10:29.949> part<00:10:30.160> right<00:10:30.370> this<00:10:30.550> is<00:10:30.670> where<00:10:31.180> the 00:10:31.319 --> 00:10:31.329 align:start position:0% critical part right this is where the 00:10:31.329 --> 00:10:33.240 align:start position:0% critical part right this is where the actual<00:10:31.630> crypto<00:10:32.050> economic<00:10:32.529> learning<00:10:32.980> is<00:10:33.100> going 00:10:33.240 --> 00:10:33.250 align:start position:0% actual crypto economic learning is going 00:10:33.250 --> 00:10:36.540 align:start position:0% actual crypto economic learning is going to<00:10:33.459> come<00:10:33.640> in<00:10:33.930> so<00:10:34.930> this<00:10:35.529> is<00:10:35.709> a<00:10:35.740> participation 00:10:36.540 --> 00:10:36.550 align:start position:0% to come in so this is a participation 00:10:36.550 --> 00:10:38.309 align:start position:0% to come in so this is a participation incentive<00:10:37.209> overview<00:10:37.660> so<00:10:37.810> you<00:10:37.870> can<00:10:38.140> analyze 00:10:38.309 --> 00:10:38.319 align:start position:0% incentive overview so you can analyze 00:10:38.319 --> 00:10:40.949 align:start position:0% incentive overview so you can analyze tons<00:10:39.130> of<00:10:39.279> incentives<00:10:39.790> for<00:10:40.060> you<00:10:40.420> know<00:10:40.510> all<00:10:40.720> day 00:10:40.949 --> 00:10:40.959 align:start position:0% tons of incentives for you know all day 00:10:40.959 --> 00:10:43.050 align:start position:0% tons of incentives for you know all day but<00:10:41.170> this<00:10:41.260> is<00:10:41.319> you<00:10:41.860> know<00:10:41.890> one<00:10:42.279> example<00:10:42.640> so<00:10:42.910> the 00:10:43.050 --> 00:10:43.060 align:start position:0% but this is you know one example so the 00:10:43.060 --> 00:10:45.059 align:start position:0% but this is you know one example so the exchange<00:10:43.269> Creator<00:10:43.720> is<00:10:43.870> a<00:10:43.899> key<00:10:44.260> player<00:10:44.470> where 00:10:45.059 --> 00:10:45.069 align:start position:0% exchange Creator is a key player where 00:10:45.069 --> 00:10:46.290 align:start position:0% exchange Creator is a key player where they're<00:10:45.250> going<00:10:45.399> to<00:10:45.459> be<00:10:45.579> the<00:10:45.760> they're<00:10:46.180> gonna 00:10:46.290 --> 00:10:46.300 align:start position:0% they're going to be the they're gonna 00:10:46.300 --> 00:10:48.840 align:start position:0% they're going to be the they're gonna front<00:10:46.600> to<00:10:46.750> the<00:10:46.779> the<00:10:47.230> tokens<00:10:47.649> and<00:10:47.860> they<00:10:48.640> have 00:10:48.840 --> 00:10:48.850 align:start position:0% front to the the tokens and they have 00:10:48.850 --> 00:10:50.730 align:start position:0% front to the the tokens and they have this<00:10:49.089> passive<00:10:49.540> fee<00:10:49.690> income<00:10:50.019> which<00:10:50.230> will<00:10:50.440> which 00:10:50.730 --> 00:10:50.740 align:start position:0% this passive fee income which will which 00:10:50.740 --> 00:10:52.949 align:start position:0% this passive fee income which will which they'll<00:10:50.980> receive<00:10:51.399> for<00:10:52.029> for<00:10:52.449> creating<00:10:52.870> the 00:10:52.949 --> 00:10:52.959 align:start position:0% they'll receive for for creating the 00:10:52.959 --> 00:10:54.540 align:start position:0% they'll receive for for creating the market<00:10:53.290> but<00:10:53.680> they'll<00:10:53.829> also<00:10:54.040> have<00:10:54.430> this 00:10:54.540 --> 00:10:54.550 align:start position:0% market but they'll also have this 00:10:54.550 --> 00:10:56.850 align:start position:0% market but they'll also have this capital<00:10:55.000> lock-up<00:10:55.300> cost<00:10:55.540> they'll<00:10:56.139> also<00:10:56.440> have 00:10:56.850 --> 00:10:56.860 align:start position:0% capital lock-up cost they'll also have 00:10:56.860 --> 00:10:58.769 align:start position:0% capital lock-up cost they'll also have to<00:10:57.040> maintain<00:10:57.250> a<00:10:57.490> 50/50<00:10:58.180> hedge<00:10:58.420> of<00:10:58.600> those 00:10:58.769 --> 00:10:58.779 align:start position:0% to maintain a 50/50 hedge of those 00:10:58.779 --> 00:11:02.389 align:start position:0% to maintain a 50/50 hedge of those tokens<00:10:59.019> so<00:10:59.649> when<00:10:59.949> you<00:11:00.040> create<00:11:00.220> one<00:11:00.519> of<00:11:00.550> these 00:11:02.389 --> 00:11:02.399 align:start position:0% tokens so when you create one of these 00:11:02.399 --> 00:11:05.460 align:start position:0% tokens so when you create one of these markets<00:11:03.399> what's<00:11:03.940> going<00:11:04.060> to<00:11:04.089> happen<00:11:04.540> is<00:11:04.720> it's 00:11:05.460 --> 00:11:05.470 align:start position:0% markets what's going to happen is it's 00:11:05.470 --> 00:11:07.199 align:start position:0% markets what's going to happen is it's going<00:11:05.709> to<00:11:05.890> always<00:11:06.069> equal<00:11:06.819> out<00:11:06.940> you're<00:11:07.089> always 00:11:07.199 --> 00:11:07.209 align:start position:0% going to always equal out you're always 00:11:07.209 --> 00:11:08.830 align:start position:0% going to always equal out you're always going<00:11:07.510> to<00:11:07.540> have<00:11:07.660> this<00:11:08.319> 55 00:11:08.830 --> 00:11:08.840 align:start position:0% going to have this 55 00:11:08.840 --> 00:11:11.200 align:start position:0% going to have this 55 50<00:11:08.990> hedge<00:11:09.250> you<00:11:10.250> also<00:11:10.400> have<00:11:10.580> the<00:11:10.670> token<00:11:10.880> buyers 00:11:11.200 --> 00:11:11.210 align:start position:0% 50 hedge you also have the token buyers 00:11:11.210 --> 00:11:13.300 align:start position:0% 50 hedge you also have the token buyers they're<00:11:11.540> pretty<00:11:11.720> simple<00:11:11.990> they're<00:11:12.620> just<00:11:12.920> you 00:11:13.300 --> 00:11:13.310 align:start position:0% they're pretty simple they're just you 00:11:13.310 --> 00:11:15.730 align:start position:0% they're pretty simple they're just you know<00:11:13.340> sending<00:11:13.760> transactions<00:11:14.420> they<00:11:14.630> the<00:11:15.410> only 00:11:15.730 --> 00:11:15.740 align:start position:0% know sending transactions they the only 00:11:15.740 --> 00:11:18.010 align:start position:0% know sending transactions they the only downside<00:11:16.190> for<00:11:16.430> participating<00:11:17.180> is<00:11:17.360> you<00:11:17.900> know 00:11:18.010 --> 00:11:18.020 align:start position:0% downside for participating is you know 00:11:18.020 --> 00:11:20.260 align:start position:0% downside for participating is you know the<00:11:18.140> exchange<00:11:18.500> fee<00:11:18.680> and<00:11:19.040> then<00:11:19.880> we<00:11:19.970> have<00:11:20.120> the 00:11:20.260 --> 00:11:20.270 align:start position:0% the exchange fee and then we have the 00:11:20.270 --> 00:11:22.630 align:start position:0% the exchange fee and then we have the token<00:11:20.450> arbitrage<00:11:21.080> errs<00:11:21.320> so<00:11:21.740> these<00:11:21.890> guys<00:11:22.280> play 00:11:22.630 --> 00:11:22.640 align:start position:0% token arbitrage errs so these guys play 00:11:22.640 --> 00:11:25.330 align:start position:0% token arbitrage errs so these guys play a<00:11:22.670> important<00:11:23.450> role<00:11:23.660> in<00:11:23.870> keeping<00:11:24.410> our<00:11:24.740> exchange 00:11:25.330 --> 00:11:25.340 align:start position:0% a important role in keeping our exchange 00:11:25.340 --> 00:11:27.460 align:start position:0% a important role in keeping our exchange rate<00:11:25.550> correct<00:11:25.940> so<00:11:26.390> what<00:11:26.540> they'll<00:11:26.750> do<00:11:26.930> is<00:11:27.140> if 00:11:27.460 --> 00:11:27.470 align:start position:0% rate correct so what they'll do is if 00:11:27.470 --> 00:11:29.410 align:start position:0% rate correct so what they'll do is if they<00:11:27.740> see<00:11:27.800> the<00:11:28.190> price<00:11:28.430> is<00:11:28.640> you<00:11:29.090> know<00:11:29.210> out<00:11:29.390> of 00:11:29.410 --> 00:11:29.420 align:start position:0% they see the price is you know out of 00:11:29.420 --> 00:11:31.570 align:start position:0% they see the price is you know out of whack<00:11:29.750> versus<00:11:30.410> another<00:11:30.650> exchange<00:11:30.950> they'll 00:11:31.570 --> 00:11:31.580 align:start position:0% whack versus another exchange they'll 00:11:31.580 --> 00:11:33.610 align:start position:0% whack versus another exchange they'll buy<00:11:31.850> some<00:11:32.210> tokens<00:11:32.570> here<00:11:32.780> and<00:11:32.990> sell<00:11:33.230> them<00:11:33.410> over 00:11:33.610 --> 00:11:33.620 align:start position:0% buy some tokens here and sell them over 00:11:33.620 --> 00:11:36.220 align:start position:0% buy some tokens here and sell them over there<00:11:33.860> and<00:11:34.270> call<00:11:35.270> it<00:11:35.420> a<00:11:35.510> day<00:11:35.540> right<00:11:36.020> make<00:11:36.200> some 00:11:36.220 --> 00:11:36.230 align:start position:0% there and call it a day right make some 00:11:36.230 --> 00:11:38.800 align:start position:0% there and call it a day right make some easy<00:11:36.620> profit<00:11:37.240> so<00:11:38.240> here<00:11:38.420> are<00:11:38.510> some<00:11:38.630> open 00:11:38.800 --> 00:11:38.810 align:start position:0% easy profit so here are some open 00:11:38.810 --> 00:11:42.070 align:start position:0% easy profit so here are some open questions<00:11:39.110> that<00:11:39.620> may<00:11:40.430> or<00:11:40.580> may<00:11:40.610> not<00:11:40.970> have<00:11:41.360> good 00:11:42.070 --> 00:11:42.080 align:start position:0% questions that may or may not have good 00:11:42.080 --> 00:11:44.980 align:start position:0% questions that may or may not have good solutions<00:11:42.800> that<00:11:43.400> but<00:11:43.790> we<00:11:44.090> can<00:11:44.270> get<00:11:44.480> closer<00:11:44.780> and 00:11:44.980 --> 00:11:44.990 align:start position:0% solutions that but we can get closer and 00:11:44.990 --> 00:11:47.010 align:start position:0% solutions that but we can get closer and closer<00:11:45.170> to<00:11:45.500> you<00:11:45.770> know<00:11:45.890> better<00:11:46.220> and<00:11:46.490> better 00:11:47.010 --> 00:11:47.020 align:start position:0% closer to you know better and better 00:11:47.020 --> 00:11:50.290 align:start position:0% closer to you know better and better justifications<00:11:48.110> so<00:11:48.950> first<00:11:49.190> fees<00:11:49.760> is<00:11:50.060> it<00:11:50.240> a 00:11:50.290 --> 00:11:50.300 align:start position:0% justifications so first fees is it a 00:11:50.300 --> 00:11:52.300 align:start position:0% justifications so first fees is it a race<00:11:50.450> to<00:11:50.630> the<00:11:50.660> bottom<00:11:51.020> well<00:11:51.200> it'll<00:11:52.190> probably 00:11:52.300 --> 00:11:52.310 align:start position:0% race to the bottom well it'll probably 00:11:52.310 --> 00:11:55.480 align:start position:0% race to the bottom well it'll probably you<00:11:53.150> know<00:11:53.270> hit<00:11:53.900> some<00:11:54.110> equilibrium<00:11:54.470> based<00:11:55.220> on 00:11:55.480 --> 00:11:55.490 align:start position:0% you know hit some equilibrium based on 00:11:55.490 --> 00:11:57.760 align:start position:0% you know hit some equilibrium based on the<00:11:55.700> like<00:11:55.880> cost<00:11:56.120> of<00:11:56.270> capital<00:11:56.480> etc<00:11:57.140> but<00:11:57.590> you 00:11:57.760 --> 00:11:57.770 align:start position:0% the like cost of capital etc but you 00:11:57.770 --> 00:11:59.410 align:start position:0% the like cost of capital etc but you know<00:11:57.860> we<00:11:58.130> can<00:11:58.310> we<00:11:58.520> can<00:11:58.670> kind<00:11:58.820> of<00:11:58.850> like<00:11:58.970> model 00:11:59.410 --> 00:11:59.420 align:start position:0% know we can we can kind of like model 00:11:59.420 --> 00:12:01.780 align:start position:0% know we can we can kind of like model this<00:11:59.570> out<00:11:59.750> and<00:11:59.990> play<00:12:00.680> around<00:12:00.860> with<00:12:01.010> it<00:12:01.220> we<00:12:01.670> can 00:12:01.780 --> 00:12:01.790 align:start position:0% this out and play around with it we can 00:12:01.790 --> 00:12:03.460 align:start position:0% this out and play around with it we can also<00:12:01.970> say<00:12:02.210> oh<00:12:02.240> is<00:12:02.600> it<00:12:02.660> worth<00:12:02.900> it<00:12:03.080> in<00:12:03.200> the<00:12:03.260> first 00:12:03.460 --> 00:12:03.470 align:start position:0% also say oh is it worth it in the first 00:12:03.470 --> 00:12:04.060 align:start position:0% also say oh is it worth it in the first place 00:12:04.060 --> 00:12:04.070 align:start position:0% place 00:12:04.070 --> 00:12:06.670 align:start position:0% place like<00:12:04.610> what<00:12:05.210> tokens<00:12:05.630> is<00:12:05.780> it<00:12:05.900> worth<00:12:06.050> it<00:12:06.200> for<00:12:06.260> so 00:12:06.670 --> 00:12:06.680 align:start position:0% like what tokens is it worth it for so 00:12:06.680 --> 00:12:09.430 align:start position:0% like what tokens is it worth it for so if<00:12:07.160> you<00:12:07.760> think<00:12:08.060> that<00:12:08.210> one<00:12:08.570> token<00:12:08.810> is<00:12:09.050> going<00:12:09.290> to 00:12:09.430 --> 00:12:09.440 align:start position:0% if you think that one token is going to 00:12:09.440 --> 00:12:12.400 align:start position:0% if you think that one token is going to just<00:12:09.950> go<00:12:10.210> plummet<00:12:11.210> then<00:12:11.630> you<00:12:11.750> probably<00:12:12.110> don't 00:12:12.400 --> 00:12:12.410 align:start position:0% just go plummet then you probably don't 00:12:12.410 --> 00:12:14.470 align:start position:0% just go plummet then you probably don't want<00:12:12.650> to<00:12:12.710> create<00:12:12.950> a<00:12:13.220> automated<00:12:14.030> market<00:12:14.300> maker 00:12:14.470 --> 00:12:14.480 align:start position:0% want to create a automated market maker 00:12:14.480 --> 00:12:16.990 align:start position:0% want to create a automated market maker for<00:12:15.020> that<00:12:15.200> token<00:12:15.560> we<00:12:16.100> can<00:12:16.280> do<00:12:16.400> some<00:12:16.550> analysis 00:12:16.990 --> 00:12:17.000 align:start position:0% for that token we can do some analysis 00:12:17.000 --> 00:12:19.090 align:start position:0% for that token we can do some analysis there<00:12:17.240> so<00:12:17.780> what<00:12:18.080> what<00:12:18.320> kind<00:12:18.500> of<00:12:18.560> market<00:12:18.920> depth 00:12:19.090 --> 00:12:19.100 align:start position:0% there so what what kind of market depth 00:12:19.100 --> 00:12:21.790 align:start position:0% there so what what kind of market depth do<00:12:19.250> buyers<00:12:19.430> need<00:12:19.790> right<00:12:20.360> so<00:12:20.570> we<00:12:20.840> depending<00:12:21.680> on 00:12:21.790 --> 00:12:21.800 align:start position:0% do buyers need right so we depending on 00:12:21.800 --> 00:12:23.800 align:start position:0% do buyers need right so we depending on how<00:12:22.040> much<00:12:22.250> how<00:12:22.640> many<00:12:22.700> tokens<00:12:23.210> are<00:12:23.330> fronted<00:12:23.720> in 00:12:23.800 --> 00:12:23.810 align:start position:0% how much how many tokens are fronted in 00:12:23.810 --> 00:12:26.050 align:start position:0% how much how many tokens are fronted in the<00:12:23.900> first<00:12:24.080> place<00:12:24.320> the<00:12:25.100> exchange<00:12:25.730> rate<00:12:25.910> will 00:12:26.050 --> 00:12:26.060 align:start position:0% the first place the exchange rate will 00:12:26.060 --> 00:12:28.270 align:start position:0% the first place the exchange rate will change<00:12:26.390> more<00:12:27.050> or<00:12:27.260> less<00:12:27.500> so<00:12:27.740> if<00:12:27.860> you<00:12:27.980> have<00:12:28.130> more 00:12:28.270 --> 00:12:28.280 align:start position:0% change more or less so if you have more 00:12:28.280 --> 00:12:29.920 align:start position:0% change more or less so if you have more tokens<00:12:28.700> and<00:12:28.910> in<00:12:29.090> the<00:12:29.240> beginning<00:12:29.600> from<00:12:29.750> the 00:12:29.920 --> 00:12:29.930 align:start position:0% tokens and in the beginning from the 00:12:29.930 --> 00:12:33.790 align:start position:0% tokens and in the beginning from the exchange<00:12:30.590> creator<00:12:30.860> the<00:12:31.790> more<00:12:32.620> tokens<00:12:33.620> the 00:12:33.790 --> 00:12:33.800 align:start position:0% exchange creator the more tokens the 00:12:33.800 --> 00:12:35.770 align:start position:0% exchange creator the more tokens the people<00:12:34.280> can<00:12:34.430> buy<00:12:34.580> before<00:12:34.850> the<00:12:35.210> exchange<00:12:35.390> rate 00:12:35.770 --> 00:12:35.780 align:start position:0% people can buy before the exchange rate 00:12:35.780 --> 00:12:38.860 align:start position:0% people can buy before the exchange rate gets<00:12:35.960> out<00:12:36.080> of<00:12:36.110> whack<00:12:36.230> and<00:12:36.970> how<00:12:37.970> closely<00:12:38.600> will 00:12:38.860 --> 00:12:38.870 align:start position:0% gets out of whack and how closely will 00:12:38.870 --> 00:12:42.370 align:start position:0% gets out of whack and how closely will these<00:12:39.110> arbitrage<00:12:40.510> how<00:12:41.510> closely<00:12:41.990> will<00:12:42.260> the 00:12:42.370 --> 00:12:42.380 align:start position:0% these arbitrage how closely will the 00:12:42.380 --> 00:12:44.170 align:start position:0% these arbitrage how closely will the token<00:12:42.680> price<00:12:42.860> match<00:12:43.400> other<00:12:43.640> exchanges 00:12:44.170 --> 00:12:44.180 align:start position:0% token price match other exchanges 00:12:44.180 --> 00:12:45.730 align:start position:0% token price match other exchanges basically<00:12:44.600> like<00:12:44.750> what's<00:12:44.960> the<00:12:45.140> cost<00:12:45.380> of<00:12:45.620> this 00:12:45.730 --> 00:12:45.740 align:start position:0% basically like what's the cost of this 00:12:45.740 --> 00:12:47.650 align:start position:0% basically like what's the cost of this arbitrage<00:12:46.250> and<00:12:46.550> you<00:12:46.880> can<00:12:47.060> come<00:12:47.210> up<00:12:47.240> with<00:12:47.510> like 00:12:47.650 --> 00:12:47.660 align:start position:0% arbitrage and you can come up with like 00:12:47.660 --> 00:12:50.710 align:start position:0% arbitrage and you can come up with like models<00:12:48.440> for<00:12:48.710> this<00:12:48.920> and<00:12:49.220> you<00:12:49.790> know<00:12:49.880> there's<00:12:50.540> a 00:12:50.710 --> 00:12:50.720 align:start position:0% models for this and you know there's a 00:12:50.720 --> 00:12:52.000 align:start position:0% models for this and you know there's a million<00:12:51.170> things<00:12:51.290> that<00:12:51.410> I<00:12:51.620> haven't<00:12:51.830> even 00:12:52.000 --> 00:12:52.010 align:start position:0% million things that I haven't even 00:12:52.010 --> 00:12:54.280 align:start position:0% million things that I haven't even thought<00:12:52.220> of<00:12:52.280> but<00:12:52.670> what<00:12:53.270> we<00:12:53.390> can<00:12:53.630> say<00:12:53.900> is<00:12:54.050> we<00:12:54.080> can 00:12:54.280 --> 00:12:54.290 align:start position:0% thought of but what we can say is we can 00:12:54.290 --> 00:12:56.860 align:start position:0% thought of but what we can say is we can say<00:12:54.440> okay<00:12:54.740> if<00:12:54.920> these<00:12:55.160> incentives<00:12:55.850> hold<00:12:56.420> true 00:12:56.860 --> 00:12:56.870 align:start position:0% say okay if these incentives hold true 00:12:56.870 --> 00:13:00.370 align:start position:0% say okay if these incentives hold true or<00:12:57.140> these<00:12:57.320> assumptions<00:12:57.950> hold<00:12:58.250> true<00:12:59.110> then<00:13:00.110> our 00:13:00.370 --> 00:13:00.380 align:start position:0% or these assumptions hold true then our 00:13:00.380 --> 00:13:04.870 align:start position:0% or these assumptions hold true then our market<00:13:00.980> maker<00:13:01.160> will<00:13:01.460> act<00:13:02.440> within<00:13:03.440> you<00:13:04.070> know<00:13:04.160> as 00:13:04.870 --> 00:13:04.880 align:start position:0% market maker will act within you know as 00:13:04.880 --> 00:13:08.020 align:start position:0% market maker will act within you know as we<00:13:05.210> expect<00:13:05.660> within<00:13:06.290> these<00:13:06.470> bounds<00:13:06.890> and<00:13:07.250> that 00:13:08.020 --> 00:13:08.030 align:start position:0% we expect within these bounds and that 00:13:08.030 --> 00:13:09.910 align:start position:0% we expect within these bounds and that is<00:13:08.180> going<00:13:08.630> a<00:13:08.810> long<00:13:09.140> way<00:13:09.380> because<00:13:09.620> that<00:13:09.650> gives 00:13:09.910 --> 00:13:09.920 align:start position:0% is going a long way because that gives 00:13:09.920 --> 00:13:12.730 align:start position:0% is going a long way because that gives us<00:13:10.100> a<00:13:10.340> real<00:13:11.000> hypothesis<00:13:11.810> something<00:13:12.500> that<00:13:12.650> we 00:13:12.730 --> 00:13:12.740 align:start position:0% us a real hypothesis something that we 00:13:12.740 --> 00:13:14.470 align:start position:0% us a real hypothesis something that we can<00:13:12.890> test<00:13:13.100> something<00:13:13.520> that<00:13:13.670> we<00:13:13.760> can<00:13:13.970> iterate 00:13:14.470 --> 00:13:14.480 align:start position:0% can test something that we can iterate 00:13:14.480 --> 00:13:17.800 align:start position:0% can test something that we can iterate on<00:13:14.930> also<00:13:15.860> will<00:13:16.850> it<00:13:17.000> promote<00:13:17.270> good<00:13:17.420> outcomes 00:13:17.800 --> 00:13:17.810 align:start position:0% on also will it promote good outcomes 00:13:17.810 --> 00:13:20.080 align:start position:0% on also will it promote good outcomes then<00:13:18.050> we<00:13:18.770> cannot<00:13:19.040> forget<00:13:19.310> that<00:13:19.580> we're<00:13:19.700> trying 00:13:20.080 --> 00:13:20.090 align:start position:0% then we cannot forget that we're trying 00:13:20.090 --> 00:13:22.420 align:start position:0% then we cannot forget that we're trying to<00:13:20.330> build<00:13:20.570> a<00:13:20.810> better<00:13:21.260> future 00:13:22.420 --> 00:13:22.430 align:start position:0% to build a better future 00:13:22.430 --> 00:13:24.250 align:start position:0% to build a better future some<00:13:23.030> good<00:13:23.210> outcomes<00:13:23.570> right<00:13:23.870> we've<00:13:24.050> got 00:13:24.250 --> 00:13:24.260 align:start position:0% some good outcomes right we've got 00:13:24.260 --> 00:13:28.060 align:start position:0% some good outcomes right we've got easier<00:13:24.650> exchange<00:13:25.130> and<00:13:25.990> trustless<00:13:26.990> trades<00:13:27.380> but 00:13:28.060 --> 00:13:28.070 align:start position:0% easier exchange and trustless trades but 00:13:28.070 --> 00:13:30.910 align:start position:0% easier exchange and trustless trades but there<00:13:28.430> also<00:13:28.580> some<00:13:28.880> bad<00:13:29.030> outcomes<00:13:29.390> may<00:13:29.600> be<00:13:29.920> no 00:13:30.910 --> 00:13:30.920 align:start position:0% there also some bad outcomes may be no 00:13:30.920 --> 00:13:33.430 align:start position:0% there also some bad outcomes may be no kyc<00:13:31.580> right<00:13:31.970> so<00:13:32.180> maybe<00:13:32.390> you<00:13:32.510> want<00:13:32.690> a<00:13:32.750> kyc<00:13:33.230> your 00:13:33.430 --> 00:13:33.440 align:start position:0% kyc right so maybe you want a kyc your 00:13:33.440 --> 00:13:37.690 align:start position:0% kyc right so maybe you want a kyc your token<00:13:33.770> holders<00:13:34.100> who<00:13:34.790> knows<00:13:36.220> another<00:13:37.220> thing<00:13:37.520> is 00:13:37.690 --> 00:13:37.700 align:start position:0% token holders who knows another thing is 00:13:37.700 --> 00:13:40.240 align:start position:0% token holders who knows another thing is now<00:13:37.880> we<00:13:37.940> just<00:13:38.240> deploy<00:13:38.870> to<00:13:39.170> production<00:13:39.250> right 00:13:40.240 --> 00:13:40.250 align:start position:0% now we just deploy to production right 00:13:40.250 --> 00:13:42.850 align:start position:0% now we just deploy to production right we<00:13:40.430> actually<00:13:40.550> see<00:13:41.060> if<00:13:41.270> this<00:13:41.480> thing<00:13:41.690> works<00:13:41.870> so 00:13:42.850 --> 00:13:42.860 align:start position:0% we actually see if this thing works so 00:13:42.860 --> 00:13:44.950 align:start position:0% we actually see if this thing works so to<00:13:43.310> go<00:13:43.490> live<00:13:43.760> super<00:13:44.420> simple 00:13:44.950 --> 00:13:44.960 align:start position:0% to go live super simple 00:13:44.960 --> 00:13:47.460 align:start position:0% to go live super simple code<00:13:45.260> it<00:13:45.410> up<00:13:45.500> in<00:13:45.800> Viper<00:13:46.310> shout<00:13:46.820> out<00:13:46.970> to<00:13:47.120> Viper 00:13:47.460 --> 00:13:47.470 align:start position:0% code it up in Viper shout out to Viper 00:13:47.470 --> 00:13:50.440 align:start position:0% code it up in Viper shout out to Viper open<00:13:48.470> source<00:13:48.710> it<00:13:48.950> put<00:13:49.640> it<00:13:49.760> on<00:13:49.850> either<00:13:50.210> scan 00:13:50.440 --> 00:13:50.450 align:start position:0% open source it put it on either scan 00:13:50.450 --> 00:13:52.870 align:start position:0% open source it put it on either scan verify<00:13:50.960> your<00:13:51.140> smart<00:13:51.410> contract<00:13:51.920> and<00:13:52.160> publish 00:13:52.870 --> 00:13:52.880 align:start position:0% verify your smart contract and publish 00:13:52.880 --> 00:13:54.760 align:start position:0% verify your smart contract and publish it<00:13:53.060> you<00:13:53.330> know<00:13:53.420> this<00:13:53.660> is<00:13:53.870> this<00:13:54.320> is<00:13:54.470> something 00:13:54.760 --> 00:13:54.770 align:start position:0% it you know this is this is something 00:13:54.770 --> 00:13:56.590 align:start position:0% it you know this is this is something that<00:13:54.800> everyone<00:13:55.370> has<00:13:55.670> access<00:13:55.850> to<00:13:56.120> every<00:13:56.570> single 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anyone can deploy a smart contract which 00:14:05.780 --> 00:14:07.870 align:start position:0% anyone can deploy a smart contract which can<00:14:05.990> hold<00:14:06.170> millions<00:14:06.860> of<00:14:07.040> dollars<00:14:07.400> this<00:14:07.820> is 00:14:07.870 --> 00:14:07.880 align:start position:0% can hold millions of dollars this is 00:14:07.880 --> 00:14:09.010 align:start position:0% can hold millions of dollars this is something<00:14:08.270> that<00:14:08.300> just<00:14:08.420> wasn't<00:14:08.840> possible 00:14:09.010 --> 00:14:09.020 align:start position:0% something that just wasn't possible 00:14:09.020 --> 00:14:13.780 align:start position:0% something that just wasn't possible before<00:14:09.800> we<00:14:10.040> are<00:14:11.350> entering<00:14:12.350> a<00:14:12.590> new<00:14:12.800> space<00:14:13.100> where 00:14:13.780 --> 00:14:13.790 align:start position:0% before we are entering a new space where 00:14:13.790 --> 00:14:18.790 align:start position:0% before we are entering a new space where we<00:14:14.300> have<00:14:14.600> the<00:14:14.750> capability<00:14:15.380> to<00:14:16.660> just<00:14:17.800> recreate 00:14:18.790 --> 00:14:18.800 align:start position:0% we have the capability to just recreate 00:14:18.800 --> 00:14:20.860 align:start position:0% we have the capability to just recreate financial<00:14:19.430> systems<00:14:19.790> and<00:14:19.880> anyone<00:14:20.450> can<00:14:20.600> do<00:14:20.750> it 00:14:20.860 --> 00:14:20.870 align:start position:0% financial systems and anyone can do it 00:14:20.870 --> 00:14:22.000 align:start position:0% financial systems and anyone can do it it's<00:14:21.260> pretty<00:14:21.470> crazy 00:14:22.000 --> 00:14:22.010 align:start position:0% it's pretty crazy 00:14:22.010 --> 00:14:24.610 align:start position:0% it's pretty crazy so<00:14:22.820> in<00:14:23.150> our<00:14:23.390> you<00:14:23.600> know<00:14:23.660> our<00:14:23.750> little<00:14:24.230> gerbils 00:14:24.610 --> 00:14:24.620 align:start position:0% so in our you know our little gerbils 00:14:24.620 --> 00:14:26.890 align:start position:0% so in our you know our little gerbils they're<00:14:24.800> using<00:14:25.130> the<00:14:25.250> site<00:14:25.460> going<00:14:26.150> live<00:14:26.420> this 00:14:26.890 --> 00:14:26.900 align:start position:0% they're using the site going live this 00:14:26.900 --> 00:14:28.840 align:start position:0% they're using the site going live this is<00:14:27.050> a<00:14:27.080> loading<00:14:27.440> screen<00:14:27.590> because<00:14:27.980> they're<00:14:28.130> like 00:14:28.840 --> 00:14:28.850 align:start position:0% is a loading screen because they're like 00:14:28.850 --> 00:14:32.440 align:start position:0% is a loading screen because they're like using<00:14:29.390> it<00:14:29.650> anyway<00:14:30.650> and<00:14:30.920> my<00:14:31.100> friend<00:14:31.760> even<00:14:32.060> like 00:14:32.440 --> 00:14:32.450 align:start position:0% using it anyway and my friend even like 00:14:32.450 --> 00:14:35.680 align:start position:0% using it anyway and my friend even like in<00:14:32.750> a<00:14:32.900> weekend<00:14:33.290> we<00:14:34.040> coated<00:14:34.730> this<00:14:34.970> up<00:14:35.180> and<00:14:35.480> made 00:14:35.680 --> 00:14:35.690 align:start position:0% in a weekend we coated this up and made 00:14:35.690 --> 00:14:37.720 align:start position:0% in a weekend we coated this up and made a<00:14:35.720> little<00:14:36.020> website<00:14:36.290> it's<00:14:36.680> super<00:14:37.460> simple 00:14:37.720 --> 00:14:37.730 align:start position:0% a little website it's super simple 00:14:37.730 --> 00:14:41.050 align:start position:0% a little website it's super simple anyone<00:14:38.300> can<00:14:38.510> do<00:14:38.630> it<00:14:39.220> so<00:14:40.220> learning<00:14:40.910> from 00:14:41.050 --> 00:14:41.060 align:start position:0% anyone can do it so learning from 00:14:41.060 --> 00:14:44.080 align:start position:0% anyone can do it so learning from mistakes<00:14:41.630> this<00:14:42.260> is<00:14:42.440> a<00:14:42.560> key<00:14:42.920> point<00:14:43.250> right<00:14:43.880> we 00:14:44.080 --> 00:14:44.090 align:start position:0% mistakes this is a key point right we 00:14:44.090 --> 00:14:45.910 align:start position:0% mistakes this is a key point right we created<00:14:44.600> this<00:14:44.720> thing<00:14:44.780> but<00:14:45.290> now<00:14:45.410> let's<00:14:45.770> learn 00:14:45.910 --> 00:14:45.920 align:start position:0% created this thing but now let's learn 00:14:45.920 --> 00:14:46.420 align:start position:0% created this thing but now let's learn from<00:14:46.130> it 00:14:46.420 --> 00:14:46.430 align:start position:0% from it 00:14:46.430 --> 00:14:49.860 align:start position:0% from it oh<00:14:46.460> wait<00:14:47.450> what's<00:14:47.900> happening<00:14:48.020> oh<00:14:48.320> my<00:14:48.380> god<00:14:49.040> oh 00:14:49.860 --> 00:14:49.870 align:start position:0% oh wait what's happening oh my god oh 00:14:49.870 --> 00:14:51.940 align:start position:0% oh wait what's happening oh my god oh geez<00:14:50.870> minor<00:14:51.230> front-running 00:14:51.940 --> 00:14:51.950 align:start position:0% geez minor front-running 00:14:51.950 --> 00:14:56.230 align:start position:0% geez minor front-running what<00:14:52.790> happened<00:14:53.290> so<00:14:54.290> that<00:14:54.880> guy<00:14:55.880> looks<00:14:56.090> a<00:14:56.150> little 00:14:56.230 --> 00:14:56.240 align:start position:0% what happened so that guy looks a little 00:14:56.240 --> 00:15:01.090 align:start position:0% what happened so that guy looks a little scared<00:14:56.540> I'll<00:14:56.600> give<00:14:56.720> him<00:14:56.810> bunny<00:14:57.410> ears<00:14:59.020> so<00:15:00.100> our 00:15:01.090 --> 00:15:01.100 align:start position:0% scared I'll give him bunny ears so our 00:15:01.100 --> 00:15:03.100 align:start position:0% scared I'll give him bunny ears so our incentives<00:15:01.820> from<00:15:01.940> the<00:15:02.030> previous<00:15:02.480> thing<00:15:02.690> turns 00:15:03.100 --> 00:15:03.110 align:start position:0% incentives from the previous thing turns 00:15:03.110 --> 00:15:05.320 align:start position:0% incentives from the previous thing turns out<00:15:03.290> it<00:15:03.530> was<00:15:03.710> incorrect<00:15:04.310> we<00:15:04.730> didn't<00:15:05.000> really 00:15:05.320 --> 00:15:05.330 align:start position:0% out it was incorrect we didn't really 00:15:05.330 --> 00:15:07.450 align:start position:0% out it was incorrect we didn't really reason<00:15:06.020> about<00:15:06.200> it<00:15:06.260> properly<00:15:06.710> we<00:15:07.130> forgot<00:15:07.430> about 00:15:07.450 --> 00:15:07.460 align:start position:0% reason about it properly we forgot about 00:15:07.460 --> 00:15:10.060 align:start position:0% reason about it properly we forgot about the<00:15:07.670> minor<00:15:08.030> frontrunners<00:15:08.630> right<00:15:08.870> these<00:15:09.440> it's 00:15:10.060 --> 00:15:10.070 align:start position:0% the minor frontrunners right these it's 00:15:10.070 --> 00:15:12.280 align:start position:0% the minor frontrunners right these it's super<00:15:10.520> low<00:15:10.820> risk<00:15:11.090> profit<00:15:11.570> so<00:15:11.900> essentially 00:15:12.280 --> 00:15:12.290 align:start position:0% super low risk profit so essentially 00:15:12.290 --> 00:15:13.900 align:start position:0% super low risk profit so essentially what<00:15:12.530> happens<00:15:12.560> is<00:15:13.040> a<00:15:13.100> miner<00:15:13.430> receives<00:15:13.790> a 00:15:13.900 --> 00:15:13.910 align:start position:0% what happens is a miner receives a 00:15:13.910 --> 00:15:16.510 align:start position:0% what happens is a miner receives a transaction<00:15:14.300> it's<00:15:14.960> a<00:15:15.080> huge<00:15:15.380> buy<00:15:15.620> order<00:15:16.100> they 00:15:16.510 --> 00:15:16.520 align:start position:0% transaction it's a huge buy order they 00:15:16.520 --> 00:15:18.970 align:start position:0% transaction it's a huge buy order they say<00:15:16.700> oh<00:15:16.880> well<00:15:17.180> actually<00:15:17.360> let<00:15:17.690> me<00:15:17.780> slip<00:15:18.500> in<00:15:18.740> my 00:15:18.970 --> 00:15:18.980 align:start position:0% say oh well actually let me slip in my 00:15:18.980 --> 00:15:22.180 align:start position:0% say oh well actually let me slip in my own<00:15:19.160> transaction<00:15:19.820> before<00:15:20.180> that<00:15:20.390> play<00:15:21.290> the<00:15:21.740> buy 00:15:22.180 --> 00:15:22.190 align:start position:0% own transaction before that play the buy 00:15:22.190 --> 00:15:24.910 align:start position:0% own transaction before that play the buy order<00:15:22.580> on<00:15:22.700> top<00:15:22.910> of<00:15:23.090> it<00:15:23.210> and<00:15:23.360> then<00:15:23.750> sell<00:15:24.110> for<00:15:24.530> you 00:15:24.910 --> 00:15:24.920 align:start position:0% order on top of it and then sell for you 00:15:24.920 --> 00:15:26.500 align:start position:0% order on top of it and then sell for you know<00:15:25.010> a<00:15:25.160> quick<00:15:25.370> profit<00:15:25.670> right<00:15:26.060> so<00:15:26.240> they<00:15:26.360> can 00:15:26.500 --> 00:15:26.510 align:start position:0% know a quick profit right so they can 00:15:26.510 --> 00:15:28.090 align:start position:0% know a quick profit right so they can make<00:15:26.660> just<00:15:27.200> like<00:15:27.230> print<00:15:27.590> a<00:15:27.680> little<00:15:27.830> bit<00:15:28.010> of 00:15:28.090 --> 00:15:28.100 align:start position:0% make just like print a little bit of 00:15:28.100 --> 00:15:30.190 align:start position:0% make just like print a little bit of money<00:15:28.220> right<00:15:28.910> and<00:15:29.090> that's<00:15:29.300> crazy<00:15:29.600> and<00:15:30.080> that's 00:15:30.190 --> 00:15:30.200 align:start position:0% money right and that's crazy and that's 00:15:30.200 --> 00:15:31.960 align:start position:0% money right and that's crazy and that's something<00:15:31.130> that<00:15:31.280> we<00:15:31.490> didn't<00:15:31.760> necessarily 00:15:31.960 --> 00:15:31.970 align:start position:0% something that we didn't necessarily 00:15:31.970 --> 00:15:34.300 align:start position:0% something that we didn't necessarily account<00:15:32.720> for<00:15:32.960> and<00:15:33.200> so<00:15:33.410> people<00:15:33.860> would<00:15:34.100> not<00:15:34.280> know 00:15:34.300 --> 00:15:34.310 align:start position:0% account for and so people would not know 00:15:34.310 --> 00:15:35.660 align:start position:0% account for and so people would not know about<00:15:34.520> this<00:15:34.970> if<00:15:35.240> we 00:15:35.660 --> 00:15:35.670 align:start position:0% about this if we 00:15:35.670 --> 00:15:38.240 align:start position:0% about this if we weren't<00:15:35.880> sharing<00:15:36.360> our<00:15:36.600> findings<00:15:37.080> so<00:15:37.680> maybe<00:15:38.010> we 00:15:38.240 --> 00:15:38.250 align:start position:0% weren't sharing our findings so maybe we 00:15:38.250 --> 00:15:41.930 align:start position:0% weren't sharing our findings so maybe we can<00:15:38.600> disincentivize<00:15:39.650> this<00:15:40.650> somehow<00:15:41.310> right 00:15:41.930 --> 00:15:41.940 align:start position:0% can disincentivize this somehow right 00:15:41.940 --> 00:15:44.120 align:start position:0% can disincentivize this somehow right well<00:15:42.660> let's<00:15:43.020> think<00:15:43.170> about<00:15:43.290> it<00:15:43.470> okay<00:15:43.890> well 00:15:44.120 --> 00:15:44.130 align:start position:0% well let's think about it okay well 00:15:44.130 --> 00:15:45.890 align:start position:0% well let's think about it okay well maybe<00:15:44.310> we<00:15:44.460> can<00:15:44.610> have<00:15:44.760> a<00:15:44.790> flat<00:15:45.090> rate<00:15:45.330> per<00:15:45.630> block 00:15:45.890 --> 00:15:45.900 align:start position:0% maybe we can have a flat rate per block 00:15:45.900 --> 00:15:49.970 align:start position:0% maybe we can have a flat rate per block I<00:15:46.310> mean<00:15:47.310> not<00:15:47.520> really<00:15:48.150> it<00:15:48.600> kind<00:15:48.810> of<00:15:48.990> mitigates 00:15:49.970 --> 00:15:49.980 align:start position:0% I mean not really it kind of mitigates 00:15:49.980 --> 00:15:51.950 align:start position:0% I mean not really it kind of mitigates the<00:15:50.130> problem<00:15:50.490> but<00:15:50.700> it's<00:15:50.850> not<00:15:50.910> great<00:15:51.330> maybe 00:15:51.950 --> 00:15:51.960 align:start position:0% the problem but it's not great maybe 00:15:51.960 --> 00:15:54.050 align:start position:0% the problem but it's not great maybe trust<00:15:52.410> a<00:15:52.530> transaction<00:15:53.100> or<00:15:53.250> during<00:15:53.460> an<00:15:53.550> Oracle 00:15:54.050 --> 00:15:54.060 align:start position:0% trust a transaction or during an Oracle 00:15:54.060 --> 00:15:57.580 align:start position:0% trust a transaction or during an Oracle hmm<00:15:54.780> or<00:15:54.900> just<00:15:55.890> accept<00:15:56.310> it<00:15:56.460> as<00:15:56.610> a<00:15:56.640> minor<00:15:57.030> tax 00:15:57.580 --> 00:15:57.590 align:start position:0% hmm or just accept it as a minor tax 00:15:57.590 --> 00:16:03.980 align:start position:0% hmm or just accept it as a minor tax like<00:15:58.590> a<00:15:58.740> minor<00:15:59.400> tax<00:16:01.550> so<00:16:02.550> now<00:16:03.090> we<00:16:03.600> want<00:16:03.900> to 00:16:03.980 --> 00:16:03.990 align:start position:0% like a minor tax so now we want to 00:16:03.990 --> 00:16:07.460 align:start position:0% like a minor tax so now we want to adjust<00:16:04.860> our<00:16:05.070> previous<00:16:05.430> models<00:16:05.820> right<00:16:06.480> now 00:16:07.460 --> 00:16:07.470 align:start position:0% adjust our previous models right now 00:16:07.470 --> 00:16:09.200 align:start position:0% adjust our previous models right now another<00:16:07.860> thing<00:16:08.010> that<00:16:08.250> we<00:16:08.490> may<00:16:08.790> not<00:16:09.030> have 00:16:09.200 --> 00:16:09.210 align:start position:0% another thing that we may not have 00:16:09.210 --> 00:16:11.510 align:start position:0% another thing that we may not have expected<00:16:09.630> okay<00:16:10.320> so<00:16:10.380> we<00:16:10.740> thought<00:16:10.920> these<00:16:11.130> token 00:16:11.510 --> 00:16:11.520 align:start position:0% expected okay so we thought these token 00:16:11.520 --> 00:16:13.040 align:start position:0% expected okay so we thought these token arbitrage<00:16:11.940> errs<00:16:12.120> we're<00:16:12.330> going<00:16:12.540> to<00:16:12.660> our<00:16:12.810> bar 00:16:13.040 --> 00:16:13.050 align:start position:0% arbitrage errs we're going to our bar 00:16:13.050 --> 00:16:15.320 align:start position:0% arbitrage errs we're going to our bar our<00:16:13.290> system<00:16:13.770> well<00:16:14.250> it<00:16:14.370> turns<00:16:14.580> out<00:16:14.730> they 00:16:15.320 --> 00:16:15.330 align:start position:0% our system well it turns out they 00:16:15.330 --> 00:16:16.970 align:start position:0% our system well it turns out they automated<00:16:15.870> themselves<00:16:16.320> away<00:16:16.500> now<00:16:16.740> they're 00:16:16.970 --> 00:16:16.980 align:start position:0% automated themselves away now they're 00:16:16.980 --> 00:16:19.970 align:start position:0% automated themselves away now they're just<00:16:17.130> BOTS<00:16:17.430> and<00:16:17.700> hats<00:16:17.940> and<00:16:18.290> this<00:16:19.290> is<00:16:19.500> something 00:16:19.970 --> 00:16:19.980 align:start position:0% just BOTS and hats and this is something 00:16:19.980 --> 00:16:22.310 align:start position:0% just BOTS and hats and this is something that<00:16:20.010> can<00:16:20.280> that<00:16:20.550> is<00:16:20.730> actually<00:16:21.270> very<00:16:21.960> normal 00:16:22.310 --> 00:16:22.320 align:start position:0% that can that is actually very normal 00:16:22.320 --> 00:16:24.050 align:start position:0% that can that is actually very normal what<00:16:22.800> we're<00:16:22.980> going<00:16:23.220> to<00:16:23.250> see<00:16:23.580> is<00:16:23.760> we're<00:16:23.910> going 00:16:24.050 --> 00:16:24.060 align:start position:0% what we're going to see is we're going 00:16:24.060 --> 00:16:26.090 align:start position:0% what we're going to see is we're going to<00:16:24.210> see<00:16:24.360> these<00:16:24.510> crypto<00:16:25.140> economic<00:16:25.560> mechanisms 00:16:26.090 --> 00:16:26.100 align:start position:0% to see these crypto economic mechanisms 00:16:26.100 --> 00:16:28.550 align:start position:0% to see these crypto economic mechanisms deployed<00:16:26.790> people<00:16:27.600> are<00:16:27.810> going<00:16:27.960> to<00:16:28.050> start<00:16:28.380> out 00:16:28.550 --> 00:16:28.560 align:start position:0% deployed people are going to start out 00:16:28.560 --> 00:16:30.260 align:start position:0% deployed people are going to start out playing<00:16:28.740> the<00:16:29.010> game<00:16:29.190> themselves<00:16:29.430> and<00:16:29.940> then 00:16:30.260 --> 00:16:30.270 align:start position:0% playing the game themselves and then 00:16:30.270 --> 00:16:32.240 align:start position:0% playing the game themselves and then they're<00:16:30.420> going<00:16:30.540> to<00:16:30.630> be<00:16:30.720> like<00:16:30.840> oh<00:16:30.960> wait<00:16:31.350> I<00:16:31.650> can 00:16:32.240 --> 00:16:32.250 align:start position:0% they're going to be like oh wait I can 00:16:32.250 --> 00:16:34.250 align:start position:0% they're going to be like oh wait I can just<00:16:32.430> automate<00:16:32.940> what<00:16:33.180> I'm<00:16:33.330> doing<00:16:33.720> away<00:16:33.960> and 00:16:34.250 --> 00:16:34.260 align:start position:0% just automate what I'm doing away and 00:16:34.260 --> 00:16:36.680 align:start position:0% just automate what I'm doing away and it'll<00:16:34.980> run<00:16:35.250> on<00:16:35.400> its<00:16:35.610> own<00:16:35.730> and<00:16:36.060> so<00:16:36.150> this<00:16:36.330> is<00:16:36.510> both 00:16:36.680 --> 00:16:36.690 align:start position:0% it'll run on its own and so this is both 00:16:36.690 --> 00:16:38.810 align:start position:0% it'll run on its own and so this is both really<00:16:37.260> cool<00:16:37.620> because<00:16:37.920> like<00:16:38.040> Oh<00:16:38.370> awesome<00:16:38.640> a 00:16:38.810 --> 00:16:38.820 align:start position:0% really cool because like Oh awesome a 00:16:38.820 --> 00:16:40.970 align:start position:0% really cool because like Oh awesome a shoe<00:16:38.880> a<00:16:39.300> fishin<00:16:39.630> see<00:16:39.780> but<00:16:40.110> also<00:16:40.290> really<00:16:40.560> scary 00:16:40.970 --> 00:16:40.980 align:start position:0% shoe a fishin see but also really scary 00:16:40.980 --> 00:16:43.580 align:start position:0% shoe a fishin see but also really scary because<00:16:41.310> it's<00:16:41.460> like<00:16:41.610> Oh<00:16:41.850> BOTS<00:16:42.600> own<00:16:43.020> all<00:16:43.380> the 00:16:43.580 --> 00:16:43.590 align:start position:0% because it's like Oh BOTS own all the 00:16:43.590 --> 00:16:48.290 align:start position:0% because it's like Oh BOTS own all the money<00:16:43.970> kind<00:16:44.970> of<00:16:45.060> scary<00:16:45.470> so<00:16:46.490> once<00:16:47.490> again<00:16:47.760> good 00:16:48.290 --> 00:16:48.300 align:start position:0% money kind of scary so once again good 00:16:48.300 --> 00:16:50.180 align:start position:0% money kind of scary so once again good outcomes<00:16:48.720> bad<00:16:48.930> outcomes<00:16:49.290> we<00:16:49.470> need<00:16:49.620> to<00:16:49.770> think 00:16:50.180 --> 00:16:50.190 align:start position:0% outcomes bad outcomes we need to think 00:16:50.190 --> 00:16:52.370 align:start position:0% outcomes bad outcomes we need to think about<00:16:50.370> these<00:16:50.490> things<00:16:50.550> so<00:16:51.210> maybe<00:16:51.690> BOTS<00:16:52.080> get 00:16:52.370 --> 00:16:52.380 align:start position:0% about these things so maybe BOTS get 00:16:52.380 --> 00:16:54.500 align:start position:0% about these things so maybe BOTS get richer<00:16:52.710> it's<00:16:52.950> not<00:16:53.220> rich<00:16:53.400> get<00:16:53.610> richer<00:16:53.880> BOTS<00:16:54.330> are 00:16:54.500 --> 00:16:54.510 align:start position:0% richer it's not rich get richer BOTS are 00:16:54.510 --> 00:16:56.600 align:start position:0% richer it's not rich get richer BOTS are getting<00:16:54.720> richer<00:16:55.020> and<00:16:55.190> we<00:16:56.190> have<00:16:56.370> miner 00:16:56.600 --> 00:16:56.610 align:start position:0% getting richer and we have miner 00:16:56.610 --> 00:16:57.830 align:start position:0% getting richer and we have miner front-running<00:16:57.090> that<00:16:57.300> we<00:16:57.390> didn't<00:16:57.690> consider 00:16:57.830 --> 00:16:57.840 align:start position:0% front-running that we didn't consider 00:16:57.840 --> 00:17:01.790 align:start position:0% front-running that we didn't consider previously<00:16:59.060> so<00:17:00.060> important<00:17:01.050> step<00:17:01.260> we<00:17:01.500> have<00:17:01.680> to 00:17:01.790 --> 00:17:01.800 align:start position:0% previously so important step we have to 00:17:01.800 --> 00:17:03.620 align:start position:0% previously so important step we have to share<00:17:02.010> our<00:17:02.190> findings<00:17:02.400> right<00:17:02.850> we've<00:17:03.030> got<00:17:03.270> all 00:17:03.620 --> 00:17:03.630 align:start position:0% share our findings right we've got all 00:17:03.630 --> 00:17:07.220 align:start position:0% share our findings right we've got all this<00:17:03.960> information<00:17:04.170> and<00:17:04.940> all<00:17:05.940> the<00:17:06.000> people<00:17:06.840> need 00:17:07.220 --> 00:17:07.230 align:start position:0% this information and all the people need 00:17:07.230 --> 00:17:10.370 align:start position:0% this information and all the people need to<00:17:07.350> know<00:17:07.500> so<00:17:08.010> gives<00:17:08.640> people<00:17:08.940> ideas<00:17:09.380> helps 00:17:10.370 --> 00:17:10.380 align:start position:0% to know so gives people ideas helps 00:17:10.380 --> 00:17:12.800 align:start position:0% to know so gives people ideas helps everyone<00:17:10.620> out<00:17:10.770> spreads<00:17:11.580> the<00:17:11.730> love<00:17:11.910> really 00:17:12.800 --> 00:17:12.810 align:start position:0% everyone out spreads the love really 00:17:12.810 --> 00:17:16.400 align:start position:0% everyone out spreads the love really good<00:17:13.310> so<00:17:14.310> we<00:17:15.180> have<00:17:15.390> the<00:17:15.540> opportunity<00:17:16.200> to 00:17:16.400 --> 00:17:16.410 align:start position:0% good so we have the opportunity to 00:17:16.410 --> 00:17:18.940 align:start position:0% good so we have the opportunity to create<00:17:16.980> a<00:17:17.340> brighter<00:17:17.640> future<00:17:17.760> with<00:17:18.690> these 00:17:18.940 --> 00:17:18.950 align:start position:0% create a brighter future with these 00:17:18.950 --> 00:17:22.460 align:start position:0% create a brighter future with these incentives<00:17:19.950> programming<00:17:20.870> really<00:17:21.870> exciting 00:17:22.460 --> 00:17:22.470 align:start position:0% incentives programming really exciting 00:17:22.470 --> 00:17:26.090 align:start position:0% incentives programming really exciting more<00:17:22.980> equitable<00:17:23.430> world<00:17:24.770> superpowers<00:17:25.770> for 00:17:26.090 --> 00:17:26.100 align:start position:0% more equitable world superpowers for 00:17:26.100 --> 00:17:28.400 align:start position:0% more equitable world superpowers for makers<00:17:26.460> right<00:17:26.670> the<00:17:26.910> the<00:17:27.390> magic<00:17:27.660> spell<00:17:28.080> that<00:17:28.140> we 00:17:28.400 --> 00:17:28.410 align:start position:0% makers right the the magic spell that we 00:17:28.410 --> 00:17:30.440 align:start position:0% makers right the the magic spell that we have<00:17:28.620> the<00:17:29.220> smart<00:17:29.700> contracts<00:17:30.180> these 00:17:30.440 --> 00:17:30.450 align:start position:0% have the smart contracts these 00:17:30.450 --> 00:17:33.590 align:start position:0% have the smart contracts these programmable<00:17:30.990> incentives<00:17:31.940> we<00:17:32.940> can<00:17:33.120> use<00:17:33.330> them 00:17:33.590 --> 00:17:33.600 align:start position:0% programmable incentives we can use them 00:17:33.600 --> 00:17:37.820 align:start position:0% programmable incentives we can use them to<00:17:34.010> really<00:17:35.010> reshape<00:17:35.880> what<00:17:36.210> the<00:17:37.170> world<00:17:37.350> looks 00:17:37.820 --> 00:17:37.830 align:start position:0% to really reshape what the world looks 00:17:37.830 --> 00:17:40.010 align:start position:0% to really reshape what the world looks like<00:17:37.920> financially<00:17:38.640> and<00:17:38.850> we've<00:17:39.660> got<00:17:39.870> these 00:17:40.010 --> 00:17:40.020 align:start position:0% like financially and we've got these 00:17:40.020 --> 00:17:41.780 align:start position:0% like financially and we've got these tools<00:17:40.320> to<00:17:40.530> do<00:17:40.650> it<00:17:40.800> right<00:17:40.980> we<00:17:41.040> have<00:17:41.310> aetherium 00:17:41.780 --> 00:17:41.790 align:start position:0% tools to do it right we have aetherium 00:17:41.790 --> 00:17:44.990 align:start position:0% tools to do it right we have aetherium we've<00:17:41.970> got<00:17:42.200> ipfs<00:17:43.200> warm<00:17:43.530> you<00:17:44.190> know<00:17:44.280> torrenting 00:17:44.990 --> 00:17:45.000 align:start position:0% we've got ipfs warm you know torrenting 00:17:45.000 --> 00:17:48.520 align:start position:0% we've got ipfs warm you know torrenting etc<00:17:45.540> and<00:17:46.130> way<00:17:47.130> more<00:17:47.370> of<00:17:47.490> course 00:17:48.520 --> 00:17:48.530 align:start position:0% etc and way more of course 00:17:48.530 --> 00:17:51.520 align:start position:0% etc and way more of course and<00:17:48.620> not<00:17:49.370> just<00:17:49.670> our<00:17:50.120> superhero<00:17:50.660> but<00:17:51.170> like<00:17:51.320> our 00:17:51.520 --> 00:17:51.530 align:start position:0% and not just our superhero but like our 00:17:51.530 --> 00:17:53.650 align:start position:0% and not just our superhero but like our main<00:17:52.340> character<00:17:52.700> everyone<00:17:53.120> can<00:17:53.390> do<00:17:53.510> this 00:17:53.650 --> 00:17:53.660 align:start position:0% main character everyone can do this 00:17:53.660 --> 00:17:56.950 align:start position:0% main character everyone can do this every<00:17:54.260> single<00:17:54.530> person<00:17:54.830> in<00:17:54.950> this<00:17:55.040> room<00:17:55.960> so 00:17:56.950 --> 00:17:56.960 align:start position:0% every single person in this room so 00:17:56.960 --> 00:17:59.890 align:start position:0% every single person in this room so incentives<00:17:57.800> drive<00:17:58.010> behavior<00:17:58.250> and<00:17:58.900> open 00:17:59.890 --> 00:17:59.900 align:start position:0% incentives drive behavior and open 00:17:59.900 --> 00:18:02.110 align:start position:0% incentives drive behavior and open access<00:18:00.080> to<00:18:00.320> programmable<00:18:01.040> incentives<00:18:01.610> sets 00:18:02.110 --> 00:18:02.120 align:start position:0% access to programmable incentives sets 00:18:02.120 --> 00:18:04.630 align:start position:0% access to programmable incentives sets the<00:18:02.330> stage<00:18:02.540> for<00:18:02.600> radical<00:18:03.170> change<00:18:03.430> right<00:18:04.430> this 00:18:04.630 --> 00:18:04.640 align:start position:0% the stage for radical change right this 00:18:04.640 --> 00:18:08.830 align:start position:0% the stage for radical change right this is<00:18:04.820> a<00:18:05.590> really<00:18:06.590> unique<00:18:06.770> moment<00:18:07.400> in<00:18:07.460> history<00:18:07.840> so 00:18:08.830 --> 00:18:08.840 align:start position:0% is a really unique moment in history so 00:18:08.840 --> 00:18:12.190 align:start position:0% is a really unique moment in history so this<00:18:09.500> change<00:18:09.800> can<00:18:10.040> be<00:18:10.160> good<00:18:10.340> or<00:18:10.960> this<00:18:11.960> change 00:18:12.190 --> 00:18:12.200 align:start position:0% this change can be good or this change 00:18:12.200 --> 00:18:14.290 align:start position:0% this change can be good or this change can<00:18:12.380> be<00:18:12.500> bad<00:18:12.680> right<00:18:12.980> we<00:18:13.940> can<00:18:14.090> program 00:18:14.290 --> 00:18:14.300 align:start position:0% can be bad right we can program 00:18:14.300 --> 00:18:16.990 align:start position:0% can be bad right we can program incentives<00:18:14.990> which<00:18:15.260> promote<00:18:15.920> cooperation<00:18:16.160> and 00:18:16.990 --> 00:18:17.000 align:start position:0% incentives which promote cooperation and 00:18:17.000 --> 00:18:20.350 align:start position:0% incentives which promote cooperation and you<00:18:17.990> know<00:18:18.080> equitability<00:18:18.980> and<00:18:19.550> you<00:18:20.270> know 00:18:20.350 --> 00:18:20.360 align:start position:0% you know equitability and you know 00:18:20.360 --> 00:18:22.330 align:start position:0% you know equitability and you know general<00:18:20.900> happiness<00:18:21.200> everyone's<00:18:21.920> goal<00:18:22.070> uh<00:18:22.190> key 00:18:22.330 --> 00:18:22.340 align:start position:0% general happiness everyone's goal uh key 00:18:22.340 --> 00:18:25.300 align:start position:0% general happiness everyone's goal uh key or<00:18:22.490> we<00:18:22.700> can<00:18:22.880> create<00:18:23.540> incentives<00:18:24.380> which<00:18:24.530> prop 00:18:25.300 --> 00:18:25.310 align:start position:0% or we can create incentives which prop 00:18:25.310 --> 00:18:27.880 align:start position:0% or we can create incentives which prop up<00:18:25.550> a<00:18:25.730> few<00:18:25.970> people<00:18:26.330> and<00:18:26.660> give<00:18:27.110> them<00:18:27.140> way<00:18:27.650> more 00:18:27.880 --> 00:18:27.890 align:start position:0% up a few people and give them way more 00:18:27.890 --> 00:18:30.070 align:start position:0% up a few people and give them way more power<00:18:28.100> than<00:18:28.370> they<00:18:28.490> already<00:18:28.760> have<00:18:29.090> right<00:18:29.900> this 00:18:30.070 --> 00:18:30.080 align:start position:0% power than they already have right this 00:18:30.080 --> 00:18:33.220 align:start position:0% power than they already have right this is<00:18:30.260> like<00:18:30.410> kind<00:18:30.860> of<00:18:30.920> terrifying<00:18:31.370> and<00:18:31.990> we've<00:18:32.990> got 00:18:33.220 --> 00:18:33.230 align:start position:0% is like kind of terrifying and we've got 00:18:33.230 --> 00:18:36.160 align:start position:0% is like kind of terrifying and we've got BOTS<00:18:33.710> that<00:18:34.340> could<00:18:34.550> you<00:18:34.820> know<00:18:34.850> not<00:18:35.720> only<00:18:36.020> could 00:18:36.160 --> 00:18:36.170 align:start position:0% BOTS that could you know not only could 00:18:36.170 --> 00:18:37.540 align:start position:0% BOTS that could you know not only could it<00:18:36.200> be<00:18:36.290> people<00:18:36.680> that<00:18:36.710> are<00:18:36.920> propped<00:18:37.250> up<00:18:37.400> it 00:18:37.540 --> 00:18:37.550 align:start position:0% it be people that are propped up it 00:18:37.550 --> 00:18:39.520 align:start position:0% it be people that are propped up it could<00:18:37.700> be<00:18:37.790> bots<00:18:38.060> that<00:18:38.390> are<00:18:38.810> just<00:18:38.960> running<00:18:39.410> our 00:18:39.520 --> 00:18:39.530 align:start position:0% could be bots that are just running our 00:18:39.530 --> 00:18:41.440 align:start position:0% could be bots that are just running our lives<00:18:39.710> and<00:18:40.040> because<00:18:40.640> I<00:18:40.670> have<00:18:40.940> you<00:18:41.300> know<00:18:41.420> a 00:18:41.440 --> 00:18:41.450 align:start position:0% lives and because I have you know a 00:18:41.450 --> 00:18:43.510 align:start position:0% lives and because I have you know a little<00:18:41.720> extra<00:18:41.870> time<00:18:42.230> I'll<00:18:42.620> give<00:18:42.830> my<00:18:42.980> theory<00:18:43.280> so 00:18:43.510 --> 00:18:43.520 align:start position:0% little extra time I'll give my theory so 00:18:43.520 --> 00:18:48.540 align:start position:0% little extra time I'll give my theory so I'm<00:18:44.360> really<00:18:44.750> into<00:18:45.050> this<00:18:45.200> idea<00:18:45.590> of<00:18:45.770> like<00:18:46.130> ai<00:18:47.260> ai 00:18:48.540 --> 00:18:48.550 align:start position:0% I'm really into this idea of like ai ai 00:18:48.550 --> 00:18:53.020 align:start position:0% I'm really into this idea of like ai ai ethics<00:18:49.550> being<00:18:50.120> built<00:18:50.990> out<00:18:51.200> of<00:18:51.610> robust<00:18:52.610> crypto 00:18:53.020 --> 00:18:53.030 align:start position:0% ethics being built out of robust crypto 00:18:53.030 --> 00:18:55.000 align:start position:0% ethics being built out of robust crypto economic<00:18:53.510> mechanisms<00:18:54.020> so<00:18:54.140> essentially<00:18:54.590> if<00:18:54.800> we 00:18:55.000 --> 00:18:55.010 align:start position:0% economic mechanisms so essentially if we 00:18:55.010 --> 00:18:58.870 align:start position:0% economic mechanisms so essentially if we do<00:18:55.340> have<00:18:55.550> like<00:18:55.760> super<00:18:56.120> powerful<00:18:56.300> AI<00:18:56.890> maybe<00:18:57.890> we 00:18:58.870 --> 00:18:58.880 align:start position:0% do have like super powerful AI maybe we 00:18:58.880 --> 00:19:00.460 align:start position:0% do have like super powerful AI maybe we can<00:18:59.060> actually<00:18:59.390> defend<00:18:59.690> against<00:19:00.110> that<00:19:00.170> by 00:19:00.460 --> 00:19:00.470 align:start position:0% can actually defend against that by 00:19:00.470 --> 00:19:02.920 align:start position:0% can actually defend against that by creating<00:19:01.030> economic<00:19:02.030> systems<00:19:02.390> that<00:19:02.450> they<00:19:02.660> play 00:19:02.920 --> 00:19:02.930 align:start position:0% creating economic systems that they play 00:19:02.930 --> 00:19:05.560 align:start position:0% creating economic systems that they play in<00:19:02.960> that<00:19:03.710> promote<00:19:04.460> good<00:19:04.610> behavior<00:19:05.090> right<00:19:05.390> so 00:19:05.560 --> 00:19:05.570 align:start position:0% in that promote good behavior right so 00:19:05.570 --> 00:19:08.140 align:start position:0% in that promote good behavior right so if<00:19:05.660> we<00:19:05.810> have<00:19:06.020> kind<00:19:06.710> of<00:19:06.770> bad<00:19:07.010> incentives<00:19:07.400> then 00:19:08.140 --> 00:19:08.150 align:start position:0% if we have kind of bad incentives then 00:19:08.150 --> 00:19:10.180 align:start position:0% if we have kind of bad incentives then our<00:19:08.450> AI<00:19:08.660> just<00:19:08.840> playing<00:19:09.290> the<00:19:09.440> games<00:19:09.650> just<00:19:10.070> as 00:19:10.180 --> 00:19:10.190 align:start position:0% our AI just playing the games just as 00:19:10.190 --> 00:19:13.600 align:start position:0% our AI just playing the games just as defined<00:19:10.850> are<00:19:11.750> going<00:19:12.140> to<00:19:12.350> call<00:19:13.100> us<00:19:13.250> even<00:19:13.460> more 00:19:13.600 --> 00:19:13.610 align:start position:0% defined are going to call us even more 00:19:13.610 --> 00:19:16.630 align:start position:0% defined are going to call us even more havoc<00:19:14.270> than<00:19:14.450> than<00:19:14.690> previously<00:19:15.340> so<00:19:16.340> anyway 00:19:16.630 --> 00:19:16.640 align:start position:0% havoc than than previously so anyway 00:19:16.640 --> 00:19:19.050 align:start position:0% havoc than than previously so anyway we've<00:19:17.180> got<00:19:17.210> these<00:19:17.900> big<00:19:18.200> problems<00:19:18.650> you<00:19:18.830> know 00:19:19.050 --> 00:19:19.060 align:start position:0% we've got these big problems you know 00:19:19.060 --> 00:19:21.400 align:start position:0% we've got these big problems you know energy<00:19:20.060> markets<00:19:20.540> that<00:19:20.780> we<00:19:20.870> can<00:19:21.050> you<00:19:21.290> know 00:19:21.400 --> 00:19:21.410 align:start position:0% energy markets that we can you know 00:19:21.410 --> 00:19:23.830 align:start position:0% energy markets that we can you know mitigate<00:19:21.890> with<00:19:22.100> carbon<00:19:22.850> credits<00:19:23.210> or<00:19:23.420> any 00:19:23.830 --> 00:19:23.840 align:start position:0% mitigate with carbon credits or any 00:19:23.840 --> 00:19:26.380 align:start position:0% mitigate with carbon credits or any other<00:19:24.050> cool<00:19:24.410> incentive<00:19:25.010> structures<00:19:25.430> we've 00:19:26.380 --> 00:19:26.390 align:start position:0% other cool incentive structures we've 00:19:26.390 --> 00:19:28.720 align:start position:0% other cool incentive structures we've got<00:19:26.600> financial<00:19:27.500> tools<00:19:27.740> that<00:19:28.100> currently 00:19:28.720 --> 00:19:28.730 align:start position:0% got financial tools that currently 00:19:28.730 --> 00:19:30.670 align:start position:0% got financial tools that currently people<00:19:29.120> don't<00:19:29.480> have<00:19:29.630> access<00:19:29.960> to<00:19:30.020> but<00:19:30.350> we<00:19:30.500> can 00:19:30.670 --> 00:19:30.680 align:start position:0% people don't have access to but we can 00:19:30.680 --> 00:19:32.890 align:start position:0% people don't have access to but we can you<00:19:31.070> know<00:19:31.190> create<00:19:31.340> decentralized<00:19:32.120> exchanges 00:19:32.890 --> 00:19:32.900 align:start position:0% you know create decentralized exchanges 00:19:32.900 --> 00:19:36.250 align:start position:0% you know create decentralized exchanges so<00:19:33.170> that<00:19:33.380> they<00:19:33.710> do<00:19:34.510> we<00:19:35.510> can<00:19:35.630> also<00:19:35.780> reward 00:19:36.250 --> 00:19:36.260 align:start position:0% so that they do we can also reward 00:19:36.260 --> 00:19:38.650 align:start position:0% so that they do we can also reward content<00:19:36.710> creators<00:19:37.160> with<00:19:37.790> you<00:19:38.150> know<00:19:38.240> more 00:19:38.650 --> 00:19:38.660 align:start position:0% content creators with you know more 00:19:38.660 --> 00:19:40.570 align:start position:0% content creators with you know more interesting<00:19:39.260> incentives<00:19:39.800> than<00:19:39.980> you<00:19:40.490> know 00:19:40.570 --> 00:19:40.580 align:start position:0% interesting incentives than you know 00:19:40.580 --> 00:19:43.630 align:start position:0% interesting incentives than you know just<00:19:40.850> like<00:19:40.970> maybe<00:19:41.320> patronage<00:19:42.320> or<00:19:42.650> even<00:19:43.400> cooler 00:19:43.630 --> 00:19:43.640 align:start position:0% just like maybe patronage or even cooler 00:19:43.640 --> 00:19:46.960 align:start position:0% just like maybe patronage or even cooler stuff<00:19:43.970> like<00:19:44.530> curated<00:19:45.530> lists<00:19:45.980> that<00:19:46.280> you<00:19:46.850> know 00:19:46.960 --> 00:19:46.970 align:start position:0% stuff like curated lists that you know 00:19:46.970 --> 00:19:49.180 align:start position:0% stuff like curated lists that you know you<00:19:47.030> want<00:19:47.330> to<00:19:47.420> get<00:19:47.570> on<00:19:47.810> or<00:19:48.170> whatever<00:19:48.830> there's 00:19:49.180 --> 00:19:49.190 align:start position:0% you want to get on or whatever there's 00:19:49.190 --> 00:19:51.790 align:start position:0% you want to get on or whatever there's so<00:19:49.400> many<00:19:49.610> options<00:19:50.150> when<00:19:50.750> you<00:19:50.960> unlock<00:19:51.560> this 00:19:51.790 --> 00:19:51.800 align:start position:0% so many options when you unlock this 00:19:51.800 --> 00:19:54.760 align:start position:0% so many options when you unlock this ability<00:19:52.280> to<00:19:52.430> program<00:19:52.760> incentives<00:19:53.500> and<00:19:54.500> you've 00:19:54.760 --> 00:19:54.770 align:start position:0% ability to program incentives and you've 00:19:54.770 --> 00:19:56.560 align:start position:0% ability to program incentives and you've got<00:19:54.950> you<00:19:55.340> know<00:19:55.460> tons<00:19:55.700> of<00:19:55.820> people<00:19:55.940> who<00:19:56.240> may<00:19:56.480> or 00:19:56.560 --> 00:19:56.570 align:start position:0% got you know tons of people who may or 00:19:56.570 --> 00:19:58.540 align:start position:0% got you know tons of people who may or may<00:19:56.660> not<00:19:56.690> have<00:19:56.990> identification<00:19:57.740> can<00:19:58.370> give 00:19:58.540 --> 00:19:58.550 align:start position:0% may not have identification can give 00:19:58.550 --> 00:20:00.250 align:start position:0% may not have identification can give them<00:19:58.700> some<00:19:58.880> decentralized<00:19:59.480> identity<00:20:00.020> or 00:20:00.250 --> 00:20:00.260 align:start position:0% them some decentralized identity or 00:20:00.260 --> 00:20:02.430 align:start position:0% them some decentralized identity or network<00:20:01.070> neutrality<00:20:01.280> like 00:20:02.430 --> 00:20:02.440 align:start position:0% network neutrality like 00:20:02.440 --> 00:20:04.820 align:start position:0% network neutrality like let's<00:20:02.590> make<00:20:02.799> some<00:20:03.009> mesh<00:20:03.159> networks<00:20:03.519> be<00:20:03.879> awesome 00:20:04.820 --> 00:20:04.830 align:start position:0% let's make some mesh networks be awesome 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align:start position:0% findings and do that over and over on a large<00:20:14.409> scale<00:20:14.710> every<00:20:15.460> single<00:20:15.759> one<00:20:15.850> of<00:20:15.909> us<00:20:16.120> and 00:20:16.350 --> 00:20:16.360 align:start position:0% large scale every single one of us and 00:20:16.360 --> 00:20:18.570 align:start position:0% large scale every single one of us and we<00:20:16.600> have<00:20:16.779> to<00:20:16.929> make<00:20:17.080> sure<00:20:17.309> that<00:20:18.309> we<00:20:18.460> are 00:20:18.570 --> 00:20:18.580 align:start position:0% we have to make sure that we are 00:20:18.580 --> 00:20:20.580 align:start position:0% we have to make sure that we are promoting<00:20:18.909> positive<00:20:19.299> outcomes<00:20:19.659> all<00:20:20.139> along 00:20:20.580 --> 00:20:20.590 align:start position:0% promoting positive outcomes all along 00:20:20.590 --> 00:20:22.799 align:start position:0% promoting positive outcomes all along the<00:20:20.799> way<00:20:20.919> right<00:20:21.639> this<00:20:21.850> this<00:20:22.210> could<00:20:22.419> go<00:20:22.570> really 00:20:22.799 --> 00:20:22.809 align:start position:0% the way right this this could go really 00:20:22.809 --> 00:20:25.289 align:start position:0% the way right this this could go really well<00:20:23.080> or<00:20:24.039> it<00:20:24.279> could<00:20:24.399> go<00:20:24.429> really<00:20:24.759> badly 00:20:25.289 --> 00:20:25.299 align:start position:0% well or it could go really badly 00:20:25.299 --> 00:20:28.080 align:start position:0% well or it could go really badly probably<00:20:26.049> not<00:20:26.230> in<00:20:26.529> between<00:20:26.889> but<00:20:27.759> maybe<00:20:27.909> in 00:20:28.080 --> 00:20:28.090 align:start position:0% probably not in between but maybe in 00:20:28.090 --> 00:20:29.909 align:start position:0% probably not in between but maybe in between<00:20:28.210> let's<00:20:28.720> be<00:20:28.809> real<00:20:28.960> it'll<00:20:29.529> be<00:20:29.679> a<00:20:29.710> mixed 00:20:29.909 --> 00:20:29.919 align:start position:0% between let's be real it'll be a mixed 00:20:29.919 --> 00:20:34.560 align:start position:0% between let's be real it'll be a mixed bag<00:20:30.779> so<00:20:31.779> it's<00:20:32.080> up<00:20:32.259> to<00:20:32.289> you<00:20:32.700> to<00:20:33.700> you<00:20:34.120> know<00:20:34.149> make 00:20:34.560 --> 00:20:34.570 align:start position:0% bag so it's up to you to you know make 00:20:34.570 --> 00:20:36.509 align:start position:0% bag so it's up to you to you know make this<00:20:34.750> a<00:20:34.809> reality<00:20:35.049> this<00:20:35.799> is<00:20:35.950> a<00:20:35.980> nice<00:20:36.159> photos 00:20:36.509 --> 00:20:36.519 align:start position:0% this a reality this is a nice photos 00:20:36.519 --> 00:20:40.169 align:start position:0% this a reality this is a nice photos they<00:20:36.789> have<00:20:37.059> the<00:20:37.149> crew<00:20:37.360> and<00:20:38.320> we<00:20:39.070> can<00:20:39.250> all<00:20:39.460> be<00:20:39.759> you 00:20:40.169 --> 00:20:40.179 align:start position:0% they have the crew and we can all be you 00:20:40.179 --> 00:20:42.330 align:start position:0% they have the crew and we can all be you know<00:20:40.299> superheroes<00:20:41.049> but<00:20:41.289> with<00:20:41.500> great<00:20:42.129> power 00:20:42.330 --> 00:20:42.340 align:start position:0% know superheroes but with great power 00:20:42.340 --> 00:20:44.279 align:start position:0% know superheroes but with great power comes<00:20:42.490> great<00:20:42.909> responsibility<00:20:42.940> we<00:20:43.809> have<00:20:44.019> to<00:20:44.139> be 00:20:44.279 --> 00:20:44.289 align:start position:0% comes great responsibility we have to be 00:20:44.289 --> 00:20:46.230 align:start position:0% comes great responsibility we have to be able<00:20:44.379> to<00:20:44.649> like<00:20:44.830> do<00:20:45.429> this<00:20:45.580> in<00:20:45.759> a<00:20:45.820> sensible<00:20:46.120> way 00:20:46.230 --> 00:20:46.240 align:start position:0% able to like do this in a sensible way 00:20:46.240 --> 00:20:48.600 align:start position:0% able to like do this in a sensible way we<00:20:46.539> need<00:20:46.690> crypto<00:20:47.440> economics<00:20:47.980> so<00:20:48.100> we<00:20:48.190> know<00:20:48.399> what 00:20:48.600 --> 00:20:48.610 align:start position:0% we need crypto economics so we know what 00:20:48.610 --> 00:20:50.519 align:start position:0% we need crypto economics so we know what the<00:20:48.730> actual<00:20:48.879> outcomes<00:20:49.539> of<00:20:49.690> our<00:20:49.870> incentive 00:20:50.519 --> 00:20:50.529 align:start position:0% the actual outcomes of our incentive 00:20:50.529 --> 00:20:52.710 align:start position:0% the actual outcomes of our incentive mechanisms<00:20:51.039> are<00:20:51.159> going<00:20:51.370> to<00:20:51.490> be<00:20:51.639> we<00:20:52.120> also<00:20:52.330> need 00:20:52.710 --> 00:20:52.720 align:start position:0% mechanisms are going to be we also need 00:20:52.720 --> 00:20:54.720 align:start position:0% mechanisms are going to be we also need you<00:20:53.200> know<00:20:53.320> good<00:20:53.590> ethics<00:20:54.039> so<00:20:54.190> we<00:20:54.309> know<00:20:54.490> that 00:20:54.720 --> 00:20:54.730 align:start position:0% you know good ethics so we know that 00:20:54.730 --> 00:20:56.580 align:start position:0% you know good ethics so we know that there<00:20:55.000> are<00:20:55.029> crypto<00:20:55.360> economic<00:20:55.779> mechanisms<00:20:56.259> are 00:20:56.580 --> 00:20:56.590 align:start position:0% there are crypto economic mechanisms are 00:20:56.590 --> 00:20:58.399 align:start position:0% there are crypto economic mechanisms are actually<00:20:56.950> going<00:20:57.129> to<00:20:57.309> achieve<00:20:57.429> good<00:20:57.850> outcomes 00:20:58.399 --> 00:20:58.409 align:start position:0% actually going to achieve good outcomes 00:20:58.409 --> 00:21:00.899 align:start position:0% actually going to achieve good outcomes but<00:20:59.409> we<00:20:59.500> can<00:20:59.620> also<00:20:59.769> be<00:21:00.009> super<00:21:00.340> villains<00:21:00.669> right 00:21:00.899 --> 00:21:00.909 align:start position:0% but we can also be super villains right 00:21:00.909 --> 00:21:03.869 align:start position:0% but we can also be super villains right we<00:21:01.059> can<00:21:01.179> also<00:21:01.360> program<00:21:02.320> some<00:21:02.889> evil<00:21:03.580> Green 00:21:03.869 --> 00:21:03.879 align:start position:0% we can also program some evil Green 00:21:03.879 --> 00:21:06.060 align:start position:0% we can also program some evil Green Goblin<00:21:04.090> people<00:21:04.750> to<00:21:04.990> take<00:21:05.500> over<00:21:05.649> the<00:21:05.830> universe 00:21:06.060 --> 00:21:06.070 align:start position:0% Goblin people to take over the universe 00:21:06.070 --> 00:21:08.399 align:start position:0% Goblin people to take over the universe and<00:21:06.460> on<00:21:06.669> our<00:21:07.120> souls<00:21:07.419> more<00:21:07.750> than<00:21:07.960> they're 00:21:08.399 --> 00:21:08.409 align:start position:0% and on our souls more than they're 00:21:08.409 --> 00:21:11.190 align:start position:0% and on our souls more than they're already<00:21:08.440> owned<00:21:09.009> right<00:21:09.610> like<00:21:09.820> this<00:21:10.509> is<00:21:10.720> this<00:21:11.139> is 00:21:11.190 --> 00:21:11.200 align:start position:0% already owned right like this is this is 00:21:11.200 --> 00:21:14.159 align:start position:0% already owned right like this is this is very<00:21:12.039> real<00:21:12.250> and<00:21:12.490> very<00:21:12.549> possible<00:21:13.149> and<00:21:13.330> you<00:21:14.139> know 00:21:14.159 --> 00:21:14.169 align:start position:0% very real and very possible and you know 00:21:14.169 --> 00:21:17.490 align:start position:0% very real and very possible and you know super<00:21:14.529> exciting<00:21:15.269> but<00:21:16.269> god<00:21:16.779> I<00:21:16.809> got<00:21:17.080> to<00:21:17.200> consider 00:21:17.490 --> 00:21:17.500 align:start position:0% super exciting but god I got to consider 00:21:17.500 --> 00:21:17.879 align:start position:0% super exciting but god I got to consider it 00:21:17.879 --> 00:21:17.889 align:start position:0% it 00:21:17.889 --> 00:21:21.149 align:start position:0% it so<00:21:18.639> I'm<00:21:19.360> Karl<00:21:19.750> tech<00:21:20.169> and<00:21:20.470> that<00:21:20.679> was<00:21:20.799> an 00:21:21.149 --> 00:21:21.159 align:start position:0% so I'm Karl tech and that was an 00:21:21.159 --> 00:21:22.950 align:start position:0% so I'm Karl tech and that was an introduction<00:21:21.730> to<00:21:21.940> crypto<00:21:22.360> economics 00:21:22.950 --> 00:21:22.960 align:start position:0% introduction to crypto economics 00:21:22.960 --> 00:21:25.470 align:start position:0% introduction to crypto economics programmable<00:21:23.860> incentives<00:21:24.460> thank<00:21:25.210> you<00:21:25.330> so 00:21:25.470 --> 00:21:25.480 align:start position:0% programmable incentives thank you so 00:21:25.480 --> 00:21:30.340 align:start position:0% programmable incentives thank you so much 00:21:30.340 --> 00:21:30.350 align:start position:0% 00:21:30.350 --> 00:21:37.930 align:start position:0% [Music]