Participants: Adam B. Levine (ABL) Host Andreas M. Antonopoulos (AA) Co-host Dr. tephanie Murph!

h! ( M) Co-host Manuel Ar"o# (MA) - $ounder%Chie& Developer Proo&'&()istence.com Bala*i . rinivasan (B ) ilicon +alle!,s -ltimate ()it (.ntro Music $ade .n)

ABL: Hi/ and 0elcome to episode 12 o& Let,s 3al4 Bitcoin/ a t0ice 0ee4l! sho0 a5out the ideas/ people/ and pro*ects 5uildin6 the di6ital econom! and the &uture o& mone!. +isit us at letstal45itcoin.com &or our dail! 6uest 5lo6/ all our past episodes/ and o& course/ tippin6 addresses. M! name is Adam B. Levine and this episode is a5out disruption. .n a &iat 0orld/ ever!thin6 is su5*ect to chan6e and that,s e)actl! 0hat happened in Ar6entina one recent 7ovem5er ni6ht. Andreas/ tephanie/ and . tal4 cr!ptocurrenc! and corruption/ 5lac4 mar4ets/ and opportunit!. 3hen/ Coinpun4 is a pro*ect &ounded in part 5! a 6rant &rom the Bitcoin $oundation. impl! put/ the! allo0 Bitcoin pa!ments on mo5ile devices 0ithout needin6 a native application. As 0e sometimes do/ L3B is happ! to share the &irst transaction ever made usin6 this important innovation. Later/ Andreas is in Ar6entina &or the Latin American Bitcoin Con&erence. He cau6ht up 0ith Manuel Ar"o#/ the &ounder and chie& developer o& Proo&'&()istence.com/ the 5loc4chain notar! service/ to tal4 a5out &i)in6 moments in time/ ho0 Bitcoin 8.9 0ill chan6e the 6ame &or meta-services usin6 it and more. And &inall!/ 0e step 5ac4 &rom Bitcoin and loo4/ &or a moment/ at the lar6er 0orld 0e live in. Bitcoin is disruptive &inancial tech that hasn,t !et 5een stopped 5ecause those 0ho 0ish it ill can,t &ind a head to chop o&& or a 5od! to dra6 into court. B has 5een thin4in6 a5out 0here all this is headin6 and it,s an idea 0orth hearin6. :e end toda!,s sho0 0ith ilicon +alle!,s ultimate e)it. o/ capital controls; . 4no0 some5od! mentioned capital controls. (n*o! the sho0. (.ntro Music $ade 'ut) AA: 'ne o& the thin6s that 0e,ve discussed plent! on this sho0 is the idea that Bitcoin is &ar/ &ar more important to the other si) 5illion< those 0ho are under-5an4ed on 5an4s livin6 in oppressive re6imes/ livin6 in countries 0ith h!per-in&lation/ livin6 in countries 0here 5urnin6 !our mone! is not as 6ood as/ is 5etter than spendin6 it/ 5ut is not as 6ood as 5urnin6 6oat s==t. .n those particular countries/ Bitcoin is not *ust a &ad. .t,s not *ust a ne0 technolo6!. .t,s potentiall! a li&e-saver. .t,s an e)it. 7o0here is this more true toda! than the countr! o& Ar6entina/ 0here the Latin America Bitcoin Con&erence is 6oin6 to 5e6in ne)t 0ee4end. . 0ill 5e 6oin6 there as 0ell as a num5er o& other Bitcoin people. .t,s 6oin6 to 5e a rather important sho0 and *ust in time/ the Ar6entinian 6overnment decided to thro0 !et another lo6 on the &ire o& Bitcoin and on the devaluation and in&lationar! destruction o& the Ar6entinian currenc!. .& !ou,ve 5een pa!in6 attention there/ the!,ve su&&ered &rom h!perin&lation &or !ears and the 6overnment has responded to this 5! turnin6 the scre0s on currenc! controls and tr!in6

to 4eep a panic4ed population loc4ed-in on a sin4in6 ship o& currenc!. 3he latest ne0s is that the!,ve imposed a &orei6n currenc! credit card transaction surchar6e. Basicall!/ the! appl! a ta) o& >8? alread! on an! transactions 0here an Ar6entinian credit card is used to purchase somethin6 outside o& Ar6entina. Credit cards 0ere one o& the &e0 remainin6 0a!s to essentiall! e)it the Ar6entinian mone! into -. . dollars or other currencies. As o& this 0ee4/ the!,ve raised that &rom >8? to @2?. M: :hoooA

AA: A6ain/ punishin6 rates and reall! an indication o& outri6ht panic 5! the Ar6entinian 6overnment. 3he!,re doin6 this at a time 0hen there is another option and that option is Bitcoin. .,m ver! e)cited to 5e visitin6 Ar6entina 5ecause . thin4 it mi6ht 5e/ not the &irst state to adopt Bitcoin/ 5ut the &irst state 0hose population adopts Bitcoin 0hile the 6overnment sta!s stuc4 on a currenc! no5od! 0ants to use. 3he!,re alread! tal4in6 a5out splittin6 the currenc! into a &orei6n version and a domestic version similar to 0hat happens in Cu5a 0here there is one version o& the currenc! &or tourists/ 0hich is much stron6er and !ou can 6et essentiall! much 5etter returns and there is another version o& the currenc! &or internal use 0hich is much/ much 0ea4er. 3he!,re proposin6 doin6 that 0ith their Ar6entinian mone! 5ut 5e&ore the! actuall! have a chance to do that/ a 5i6 chun4 o& the population is alread! usin6 Bitcoin &or e)actl! that purpose and that adoption ma! accelerate. Beep in mind/ Ar6entina has electricit!. 3he! have internet. 3he! have a literate and technolo6icall!-savv! population. 3he! have all o& the prereCuisites and preconditions to hit that tippin6 point and do mass evacuation o& currenc!. 3he onl! thin6 that,s stoppin6 them are these 5ro4en currenc! controls that simpl! can,t stand in the 0a! o& Bitcoin. o/ is Ar6entina 6oin6 to 5e the ne)t tippin6 point; M: .t seems o5vious that it is. Dou,re ri6ht/ Andreas/ this is *ust panic on the part on the 6overnment and people aren,t dum5/ the! can see it. .& there,s a 5etter option &or them/ the!,re 6oin6 to ta4e that. 3he Cuestion is: 0ill the Ar6entinian 6overnment tr! to ma4e it ille6al to 5u! Bitcoin/ someho0/ or to use Bitcoin. ABL: .nvaria5l!/ !es is the ans0er to that. .t,s not li4e it,s the &irst time 0e,re seein6 this movie/ ri6ht; 3his has all happened 5e&ore in Ar6entina 5! itsel&/ 5ut in outh America and in parts o& A&rica/ this is a &airl! common 0a! that thin6s 6o. . thin4 the 5etter Cuestion is: can Bitcoin help to 5rea4 this c!cle; Because/ the onl! 0a! !ou can 6et a0a! 0ith doin6 thin6s li4e this is i& there is no other option. .& Bitcoin is an option and it,s availa5le to ever!5od!/ re6ardless o& 0hat !our local 6overnment 0ants !ou to do/ does that mean that local 6overnments can no lon6er pull o&& maneuvers li4e this; M: . hope so. 3hat 0ould reall! 6o a lon6 0a! to ma4in6 the 0orld 5etter &or ordinar! people. AA: :e,re 6oin6 to &ind out soon enou6h/ 5ecause even i& the! tr! to 5an Bitcoin/ this is an environment 0here the rule o& la0 is 0ea4 as it is in most countries 0here !ou have these 4ind(s) o& e)treme measures. :hat that means is that there is *ust enou6h

corruption 0ithin the political class that even i& somethin6 li4e that is ille6al/ the people 0ith mone! can 5ri5e people to turn a 5lind e!e to their use o& Bitcoin. :hat that 0ill do is it 0ill create the conditions necessar! &or capital &li6ht into Bitcoin. :hen capital &li6ht does not involve a &li6ht/ 0hen it doesn,t involve a suitcase &ull o& mone! crossin6 the 5order/ 0hen it involves/ simpl!/ the installation o& an applicationEthe 5alance o& po0er 5et0een people in currenc! and 5et0een people and nation-state has shi&ted &orever in the &avor o& people. M: But is it reall! that eas!; .& !ou live in Ar6entina/ ho0 do !ou 5u! 5itcoins;

AA: 3hat,s the 5eauti&ul part a5out it/ 0hich is: 0hat !ou need there is a compensatin6 &lo0 that 5alances thin6s out and that compensatin6 &lo0 is essentiall! remittances. :hat !ou do is !ou 5alance remittances comin6 in &rom people outside Ar6entina 0ho are sendin6 mone! home/ and instead o& sendin6 -. . dollars and convertin6 into Ar6entinian pesos/ the!,ll send 5itcoin. Dou need local people 0illin6 to 5u! 5itcoin. Dou 5alance remittances &rom 0ar 0ith capital &li6ht &rom inside the countr! and the nice thin6 a5out is !ou need to 5alance it/ perhaps/ on a F888:F ratio< 'ne rich person 0ithin doin6 &li6ht a6ainst a thousand mi6rants sendin6 mone! home/ and immediatel!/ !ou have a 0ell-5alanced &lo0. . don,t thin4 it 0ill 5e di&&icult to &ind 5u!ers 0ithin Ar6entina and . don,t thin4 it 0ill 5e di&&icult to &ind 5itcoin sellers 0ithin Ar6entina i& !ou 4ic4 in the remittances &lo0. ABL: 3he &ree mar4et reall! does solve this pro5lem prett! ele6antl!/ ri6ht; 3here are &e0 e)chan6es operatin6 in outh America ri6ht no0 and there are multiple countries that have currenc! controls in outh America. :hat !ou,ll see is that i& !ou &ind these national e)chan6es/ the! tend to have ver! ver! hi6h &ees and the! also tend to do small volume 5ut the volume over time is 6ro0in6. 3hose companies 5ein6 out there are li4e 5eacons to other companies that sa!/ GMan/ the!,re ma4in6 F2? on their transaction &ees; 3hat,s cra#!A :e can do that &or F8? and ma4e a hu6e pro&itAH A6ain/ this pro5lem does solve itsel& over time. 3he Cuestion is: Are 0e allo0ed to solve the pro5lem or are the solutions de-&acto 5lac4 mar4et solutions 5ecause it,s ille6al to trade in the currenc!; AA: :hen the currenc! is in this condition/ the onl! mar4et is the 5lac4 mar4et. 3hat,s the important thin6 to remem5er. 3hat 0hat/ to us/ seems alien and e)treme and onl! under the 0orst possi5le circumstances and &ro0ned upon 5! la0/ in man! other countries is the norm. 3he 5lac4 mar4et is much more po0er&ul in countries li4e Ar6entina. o/ thin4 a5out people 0ho have moved their mone! outside Ar6entina !et still need toE. don,t 4no0E5u! apartments/ 5u! cars/ live in Ar6entina/ spend mone! in Ar6entina< mostl! rich people/ 5ut he!/ the!,ve alread! done the hard 0or4 o& air-li&tin6 their currenc! out and the! can use Bitcoin to 5rin6 it 5ac4 in. . 0as readin6 a 0hile a6o that some people 0ere 5u!in6 stoc4 on the Ar6entinian stoc4 mar4et 0ith pesos/ that is also listed on the 7e0 Dor4 toc4 ()chan6e/ and then sellin6 the stoc4 in 7e0 Dor4 &or dollars. (ssentiall!/ usin6 the stoc4 mar4et to do currenc! ar5itra6e and move mone! out o& the countr!. An! sin6le avenue/ an! door le&t open is so/ so attractive to people trapped in a sin4in6 currenc! that the! 0ill 6o to e)treme len6ths and measures in order

to e)it the sin4in6 currenc!. 3he!,ll 5e 0illin6 to deal 0ith uncertaint! 0ith ris4/ 0ith e)chan6e rate ris4/ 0ith le6al ris4/ 0ith 5ri5in6/ 0ith 0hatever the! need to do to save 0hatever value the! have in their mea6er savin6s. People are 0illin6 to do a lot more 0or4 to adopt Bitcoin in a countr! li4e that than the! are to adopt Bitcoin in a countr! li4e the -. . . thin4 that,s the main lesson o& Bitcoin. .t,s all a5out the other si) 5illion. M: . *ust loo4ed on local5itcoins.es/ 0hich is the panish Local Bitcoins - panish lan6ua6e version. . loo4ed at the GComprar 5itcoins en Ar6entinaH and in Buenos Aires there,s several listin6s &or local sale/ 5oth &or Ar6entinian pesos and &or -. . dollars. .t loo4s li4e this is alread! startin6< 0hat are 0e 6oin6 to see happen ne)t; ABL: Ho0 are the rates; M: :ell/ . don,t 4no0 5ecauseE0ell/ actuall!/ this loo4s prett! 6ood. ome5od! is sellin6 5itcoins &or I992 - / 0hich is 5elo0 mar4et rate. 3hat,s li4e B3C-( rates ri6ht no0< currentl!. ome5od!,s sellin6 &or IFFF@ - and some o& these people have a lot o& &eed5ac4 so it loo4s li4e the!,ve 5een 6ettin6 some sales. ABL: :ell/ .,m sure it,s 6oin6 to 5e a rapidl! 6ro0in6 mar4et over the ne)t couple o& months/ and speci&icall!/ the ne)t couple o& !ears. . *ust tal4ed 0ith a 6u! 0ho started up a podcast in Portu6uese and . 5elieve it,s the &irst Bitcoin podcast in the Portu6uese lan6ua6e. . thin4 that reall!/ all o& the non-(n6lish lan6ua6e areas are a little 5ehind the :estern 0orld in terms o& 0here 0e are/ thin4in6 a5out Bitcoin/ 5ut the!,re not &ar 5ehind and the!,re catchin6 up reall! &ast. AA: 3he motivations are clearl! ali6ned in a much stron6er 0a! than the! are here. . predict that >8FJ 0ill 5e the !ear o& Bitcoin in the peripherae/ i& !ou li4e. .t,s not 6oin6 to 5e in the developed 0orld. .t,s 6oin6 to 5e pla!in6 out massivel! as a tsunami o& capital &li6ht in the developin6 0orld. 3hat,s 0here 0e,re 6oin6 to see most action in Bitcoin. 3he center o& 6ravit! has shi&ted. 3he hotspots are 6oin6 to 5e (the) Middle-(ast/ outheast Asia/ and Latin America. 3hat,s reall! e)citin6/ . thin4/ &or Bitcoin. .t opens a 0hole ne0 level o& possi5ilit! even &or those o& us 0ho are here in the -. . .t means 6reat thin6s as 0e,ve seen 0ith the price increase 5ecause o& China. (Music $ade-.n%'ut Coinpun4 Promo - tart) B!le Dra4e Hi/ this is B!le Dra4e. .,m 0or4in6 on Coinpun4 and 0e,re Allento0n/ PA and this is the Allento0n/ PA su50a! that accepted Bitcoin. :e,re 6oin6 to demonstrate/ &or the &irst time ever/ a pure 0e5site 5ased KL-code scannin6 Bitcoin 0allet. Coinpun4 actuall! can do a KL code-scan no0 0ithout even havin6 a native application installed. . thin4 that this the &irst time that an!one has ever done a KL-code cr!pto-5ased point o& sale transaction &or Bitcoin 0ith *ust a 0e5 5ro0ser and no native applications installed. Apple,s 5een 5annin6 Bitcoin applications so it,s 4ind o& a hu6e pro5lem in the communit!. :eMre 6oin6 to solve that pro5lem ri6ht no0.

(P>P transaction discussion 5e6innin6 5u!er instructed on ho0 to initiate the transaction 5! B!le NsellerO. 3ransaction is then completed via KL code Bitcoin pa!ment. 3he transaction is success&ul althou6h the ver5al dialo6ue is severel! 6ar5led.)

(Music $ade-.n%'ut Coinpun4 Promo (nd)

Ad Start Gyft Spokesperson: When you shop with Bitcoin on Gyft, you can get gift cards from over 200 retai ers! "hink of the possi#i ities! $ot on y is your ho iday shopping taken care of in a snap, from your Android device or on the we#, #ut now you have a way to purchase everyday items from stores ike "arget, %&S, Gap and Gamestop using your #itcoins! "hat's not even the #est part! When you shop with Bitcoin on Gyft, you get () #ack! *eady to shop+ &isit Gyft!com today! Ad ,nd Gyft -."B /romo 0 Start1 AB.: 2appy 2o idays from .et's "a k Bitcoin! 3f you ike the work we're doing, we appreciate Bitcoin tips of a si4es at etsta k#itcoin!com! 5ust as important y, share the show with your peers and review the show on i"unes! 6on't #e kind, #e honest! ."B reaches near y 70,000 isteners, #ut has ess than 80 reviews anywhere 3 can find! 3'd very much appreciate your he p in remedying this situation! "hanks for istening! -."B /romo ,nd1

AA: Hi/ ever!one. Andreas Antonopoulos here. .,m in Buenos Aires/ Ar6entina 6ettin6 read! &or the Latin American Bitcoin Con&erence. As part o& m! visit here/ .,m meetin6 much o& the Bitcoin communit!/ 5ut . have a special 6uest/ someone 0ho,s 5een ver! in&luential in e)plorin6 the other la!ers o& protocols that can 5e installed on top o& Bitcoin/ the t!pes o& application that come a&ter a currenc!. M! 6uest here toda! is Manuel Ar"o#/ 0ho is the &ounder and chie& developer &or Proo&'&()istence.com and Proo& o& ()istence is a notari#ation service that allo0s !ou to di6itall! si6n data and prove their e)istence. Manuel/ tell me a 5it a5out ho0 !ou 6ot involved 0ith Bitcoin. MA: :ell/ . heard a5out it in >8F8/ three months 5e&ore the crash/ the &irst I@8 crash/ i& .,m correct. AA: '4a!. Des.

MA: At &irst/ . 0as interested in the technolo6! aspect. . 0as stud!in6 at the universit! the distri5uted s!stems and cr!pto6raph! course and . 0as *ust learnin6 that the distri5uted time-stampin6 pro5lem 0as impossi5le to solve and the ne)t da!/ . read a5out Bitcoin and ho0 the! solved it. 3he! created an economic s!stem 0hich is decentrali#ed/ so . 0as reall! impressed 5! that. . started minin6 a little 5it 0ith m! PP0hich/ at the time/ 0as enou6h to mine. A&ter that/ . started investin6 some mone!/ some savin6s. .n >8F@/ . started to 6et involved in the development aspect. . started to read code &rom other pro*ects and . decided . 0anted to tr! and develop somethin6 m!sel&. 3hat,s 0hen . created Proo& o& ()istence. At &irst/ the idea &or Proo& o& ()istence

came &irst unlin4ed to Bitcoin. . 0anted to ma4e a 0e5 service 0here !ou could certi&! a document in a centrali#ed 0a!. 3hat meant that people had to trust m! servers and m! authorit! to certi&! the document. But/ as . 0as readin6 a5out Bitcoin ever! da! suddenl!/ the connection came to me and . said/ G:h! don,t 0e certi&! this document 0ith the 5loc4chain;H 0hich reCuires no trust. AA: Mmm-hmm.

MA: . thou6ht that 0ould 5e di&&icult/ (that) the technical aspect 0ould 5e di&&icult 5ut it proved reall! simple. . discovered that the pro6rammin6 aspect &or Bitcoin is reall!/ reall! simple. AA: Des.

MA: .n &act/ . created the 0hole site in less than a 0ee4/ in m! spare time. . created a technical e)periment and it 6ot some 6ood reception at &irst/ 5ut over the last t0o 0ee4s/ someone posted it on Hac4er 7e0s and it 0ent some0hat viral on 30itter. .t,s no0 6ro0n a 5it more and man! people are 5ecomin6 interested in it. AA: Let,s *ust Cuic4l! descri5e 0hat Proo& o& ()istence is. 3he pro5lem !ou,re solvin6 is the pro5lem o& attestation/ di6ital attestation o& di6ital notari#ation. .n a traditional sense/ i& !ou 0ant to prove that someone has a document/ li4e a deed to a house/ or a stoc4 certi&icate/ or has created a ne0 idea/ &or e)ample/ li4e a patent or a cop!ri6ht. 3he! 0ant to prove that this idea e)isted at a speci&ic point in time. 3oda!/ the 0a! !ou do that is !ou 6o to a pu5lic notar!/ in most countries/ and the! 0ill 5asicall! si6n and stamp on that piece o& paper and put it in a pu5lic re6ister 0hich is li4e a paper version o& a 5loc4chain/ 5ut it,s distri5uted. .& some5od! 0anted to con&irm that/ the! 0ould have to 6o 5ac4 to that notar! and 6et a letter that proves in the re6ister the! had !our in&ormation. Dou solve this 5! essentiall! &in6erprintin6 or 6ettin6 a hash o& an! document. Dou can put an! data stream in this; MA: Deah/ an! di6ital &ile.

AA: An! di6ital &ile/ and !ou create a &in6erprint. :hat t!pe o& &in6erprint is that; Ho0 man! 5its; MA: .t,s HA->21.

AA: HA->21/ o4. o/ !ou,ve 5asicall! 6ot a >21-5it si6nature and then/ ho0 do !ou insert that into the 5loc4chain; MA: . had read thatE. didn,t invent the techniCue m!sel&E. had read that other people had em5edded data in the 5loc4chain so . started to research on that. 3here is t0o main methods or at least/ at that time/ the most common methods 0ereEone 0as the data &ra6ment &or ne0 mined 5loc4s 0hich the miners control.

AA:

o this is the coin 5ase that 6oes into the &irst transaction;

MA: Deah. 3hat 0as out o& m! reach 5ecause . 0as not a 5i6 miner at the moment. 3he other method is to em5ed the data inside a Bitcoin address and send the transaction to that address so that this transaction 6ets stored in the distri5uted led6er &or Bitcoin/ 0hich is the 5loc4chain. .n that 0a!/ !ou have a distri5uted means o& storin6 that data. 3he 5asic idea is !ou replace the pu5lic 4e! associated 0ith a Bitcoin address 0ith ar5itrar! data 0hich/ in &act/ renders the address useless 5ecauseE AA: MA: 3here is no private 4e! correspondin6 to it. Deah/ e)actl!.

AA: '4a!/ this is 0hat/ in Bitcoin-spea4/ is an un-spenda5le output/ a transaction that !ou send mone! to/ and that mone! disappears 5ecause it cannot 5e redeemed as an input into another transaction. MA: Deah/ e)actl!.

AA: 'r more 5luntl! spea4in6/ people call this dust 5ecause theoreticall!/ the purpose o& the 5loc4chain is to trans&er value not data. MA: Deah.

AA: Li6ht. . 5ristle 0hen . hear that description 5ecause to me/ Bitcoin is a protocol and currenc! is *ust the &irst application. .,m reall! e)cited to see other applications. 3he 5asic pro5lem 5ein6 descri5ed that atoshi solves/ 0hich is achievin6 distri5uted consensus 0ithout a trusted third-part! has so man! more applications than currenc! and there,s no reason to 5ootstrap a ne0 5loc4chain ever! time !ou 0ant to 5uild a ne0 application. .t,s much easier to have the securit! o& &ive Peta-hashes o& minin6 5ehind !ou. MA: Deah.

AA: Did !ou 6et that 4ind o& criticism; Did people tell !ou (that) 0hat !ou,re doin6 is a 0aste o& time/ it,s 5ad dust/ that !ou,re usin6 the 5loc4chain 0ron6; MA: Des/ . still 6et a lot o& emails sa!in6/ G top spammin6 the 5loc4chain/H &rom the Bitcoin core developers. 7ot personal emails 5ut 0hen people discuss the service on the &orums/ the 6eneral reaction the! don,t seem to li4e it. AA: :e,re tal4in6 a5out a tin! amount o& data there/ ri6ht; HA->21 is 0hat/ J8 5!tes o& data; MA: Deah/ it,s @> (5!tes) . thin4.

AA: @>. o/ it,s a tin! amount o& data. Dou,re 5asicall! usin6 up t0o addresses/ t0o outputs. MA: AA: MA: AA: MA: AA: MA: AA: 30o outputs. Do !ou do that in a sin6le transaction or t0o transactions; in6le transaction. in6le transaction/ one input/ t0o outputs. Des. And !ou actuall! spent some Bitcoin doin6 this; Deah. :hat,s the minimum amount !ou spend &or one o& these;

MA: .,m not sure 5ecause . chan6ed it/ 5ut . thin4 it,s a atoshi or *ust a5ove the dust threshold. AA: MA: 'h/ 2/J@> atoshis/ ri6ht/ !eah/ or somethin6 li4e that. Li6ht.

AA: .t uses a small amount o& Bitcoin. 3his Bitcoin is &orever lost and certainl!/ that,s an ar6ument &or not doin6 it e)actl! this 0a!. Dou mentioned to me recentl! there are 5etter 0a!s o& doin6 it no0. MA: AA: Deah. o do !ou 0ant to tal4 a 5it a5out those;

MA: Deah. Man! people have su66ested 5etter 0a!s to store data in the 5loc4chain. -sin6 this method/ the clients/ the! can prune these transactions 5ecause the! don,t need to store these outputs in the -3Q'/ 0hich is the -nspent 3ransaction-'utputs/ 0hich is a prett! scarce resource &or the net0or4. AA: :hen transactions are put into the 5loc4chain/ each transaction creates an output that in the &uture could potentiall! 5e used as an input in a &uture transaction. .t can 5e spent. (ach client/ in order to 5e a5le to &i6ure out 0hat can 5e spent to create transactions/ has to 4eep a data5ase in memor!/ usuall!/ o& all the outputs that are in the 5loc4chain currentl!/ that have not !et 5een spent. 3hat includes all o& the mone! that atoshi mined/ a ton o& dust &rom other services that create un-spenda5le output. 3he 4e! issue here is not 0hether it,s un-spenda5le/ 5ut 0hether it,s prova5l! un-

spenda5le 5ecause i& !ou don,t 4no0 i& it,s un-spenda5le/ !ou have to 4eep it around &orever/ 5ut i& !ou can prove that it,s un-spenda5le/ then !ou can *ust discard it. 3he onl! purpose o& it is &or archival purposes/ ri6ht/ so it can sta! in the 5loc4chain. MA: Deah.

AA: 'P-return is an operant inside the transaction scriptin6 lan6ua6e/ so &or our audience/ 0ithin each transaction/ even the simple trans&er o& value &or/ sa!/ Alice pa!s Bo5 &or a cup o& co&&ee/ is actuall! a tin! script in a $'L3H-li4e lan6ua6e/ that is evaluated 5! a state machine and that allo0s the atoshi client and all Bitcoin clients to 5e ver! &le)i5le in the t!pes o& transactions the! can process. -p to no0/ 0ith !our solution and all the other solutions &or em5eddin6 data/ !ou had to a5use that s!stem. MA: Des.

AA: Dou had to use it in a 0a! that it 0asn,t intended. :ith 'P-return/ !ou can simpl! sa!/ G3his is a data value that has no spenda5le use/H so !ou can then prune it. .s that correct; MA: Deah.

AA: o/ this is a ma*or development. (ssentiall!/ 'P-return/ 0hich 0as a ver! deli5erate move . thin4 to create this capa5ilit!. 3his ma4es it possi5le &or all 4inds o& other protocols to 5e em5edded on top. .,ve descri5ed it as similar to port R8/ 0here !ou can then shove a ton o& other protocols throu6h it li4e 0ith H33P. :ould !ou a6ree; Can !ou see possi5ilities &or &uture protocols; MA: Deah. .n &act/ there,s Cuite a &e0 pro*ects 0or4in6 and addin6 a protocol la!er over Bitcoin. $or e)ample/ the Mastercoin pro*ect is .,ve actuall! contri5uted some code in that pro*ect in that &irst month and 0e had the same pro5lem 0antin6 to em5ed data in the 5loc4chain and some people didn,t li4e it. 3his 0as one o& the reactions &rom the development team/ G'4a!/ people are 6oin6 to use the 5loc4chain &or other uses other than a monetar! s!stem/ so let,s support that &rom the protocol in a 0a! that it doesn,t hurt the monetar! s!stem.H AA: MA: A more e&&icient 0a! o& doin6 it. Deah.

AA: 7o0/ this still creates a 5i66er 5loc4chain 5ut that 0asn,t the main pro5lem 5ecause the 5loc4chain isn,t 6ro0in6 ver! &ast 0hen !ou,re addin6 @> 5!tes. 3he pro5lem 0as the memor! &ootprint o& the transaction 5ecause !ou can never 6et rid o& that. Dou can never summari#e it. Dou can never prune it. :ith Proo& o& ()istence/ the main use is o5viousl! to prove a piece o& data e)isted at a speci&ic point in timeE. 4no0 .,ve used it &or the sa&e paper 0allet pro*ect and one o& the main uses &or me 0as to decode si6nin6/ so that people could veri&! that the code the! 0ere do0nloadin6 &rom

sa&e paper 0allet 0as secure and 0as the e)act same code . had uploaded. 3he 5i6 dan6er is that a hac4er could come in/ replace it 0ith a code that has/ &or e)ample/ a compromised random-num5er 6enerator/ and suddenl!/ their paper 0allets are no lon6er secure. 3raditionall!/ 0e5sites 0ould do this 5! havin6 the do0nloada5le &ile and the MD2 or HA on the same pa6e and that doesn,t 0or4. 3he reason it doesn,t 0or4 is 5ecause i& !ou,re a hac4er and !ou,ve replaced the &ile/ !ou can replace the HA/ too. . 4no0 some people had previousl! su66ested/ Goh/ let,s 6o 5ac4 and Poo6le cache or a 0a!-5ac4 machine and con&irm it 0as li4e that 5e&ore/H 5ut 0ith this !ou,ve 2 Petahashes o& minin6 po0er 6uaranteein6 it so/ &or code si6nin6/ Proo& o& ()istence is a5solutel! ama#in6. . can thin4 o& a couple o& other immediate applications/ patents 5ein6 one o& them. 3rademar4 application &or proo& o& use and perhaps/ cop!ri6ht i& !ou,re 0ritin6 somethin6 that !ou 0ant to prove e)istence/ 5ut . can ima6ine there are a lot o& others. :hat stran6e applications or interestin6 applications have !ou seen o& !our service; MA: :ell/ . 0as contacted this 0ee4 5! an Australian 6u! 0ho told me he had uploaded his 0hole 6enome/ his D7A not uploaded/ sorr!/ he uploaded the hash to the 5loc4chain. (ssentiall!/ he proved (that) he himsel& e)isted at a certain time in a &ull! anon!mous and distri5uted 0a!. AA: :o0. 3hat is &ascinatin6. D7A &ra6ment/ &in6erprinted and then em5edded in the 5loc4chain/ provin6 that this person e)isted at this particular moment in time. 3hat is trul! an incredi5le application and certainl! not one that atoshi 0ould,ve ima6ined/ necessaril!. Althou6h/ it is e)actl! the 4ind o& thin6 that a distri5uted led6er o& asset trac4in6 0ith consensus validation is per&ect &or. MA: Deah.

AA: . have no idea ho0 he 0ould use this or 0hat value it 0ould have 5ut it,s de&initel! ver! interestin6. MA: AA: Deah. :hat other applications have !ou seen; An!thin6 else li4e that;

MA: Deah/ there,s also the idea to certi&! communications 5et0een parties 0hich are involved in an! sort o& a6reement so !ou can prove that the other part! didn,t ans0er 5ecause i& !ou 5oth a6ree that !ou,re 6oin6 to upload an! communication and certi&! it 0ith the 5loc4chain/ then !ou can prove that certain communications tal4ed at a 6iven moment in time. AA: Dou can do it li4e re6istered mail/ perhaps/ or service o& process 0hen !ou 0ant to serve le6al papers to someone and prove that !ou sent it 5! sendin6 it throu6h the 5loc4chain. 3hat is &ascinatin6. MA: ()actl!.

AA: 3hese are all e)amples o& the 5asic science that atoshi solved 0hich/ &or la!people/ the idea is that i& !ou have t0o parties tr!in6 to communicate across an insecure medium/ or t0o or more parties/ them 5ein6 a5le to achieve consensus 0hen other people can intercept/ delete/ or corrupt their messa6es. 3hat pro5lem is called the B!#antine Peneral,s pro5lem. .t,s a pro5lem that 0as &irst descri5ed in F9S2/ . 5elieve/ 5! a distri5uted computin6 scientist and 0hen atoshi &irst pu5lished his paper/ the immediate response 0as 0ell/ that could never 0or4 5ecause that 0ould 5e a solution to the B!#antine Peneral,s pro5lem. (.t) turns out it,s 0or4in6. :e don,t 4no0 i& it,s the per&ect solution 5ut it is certainl! an optimi#ed solution that seems to 5e 0or4in6. o/ than4 !ou ver! much 5oth &or tal4in6 to us 5ut also &or developin6 the 4inds o& applications that reall! sho0 the &uture o& Bitcoin/ the protocol/ a5ove and 5e!ond Bitcoin/ the currenc!. . hope to hear more durin6 this con&erence. Manuel Ar"o#/ than4 !ou so much &or *oinin6 us. MA: AA: '4a!/ than4 !ou/ Andreas/ it 0as reall! nice to meet !ou in person. 3han4 !ou.

(Advertisement (as!D7 - tart) (as!D7 is the 0iss Arm! 4ni&e &or !our domain names/ helpin6 meet their customers, individual needs since F99R. (as!D7 has 5een an outspo4en critic o& 'PA and C. PA. (as!D7 0as an earl! supporter o& Bitcoin and no0 the! are proud to sponsor this sho0. Do 5usiness 0ith a compan! that shares !our values. Pet a F@? discount 0hen !ou pa! 0ith Bitcoin. Po to 5itcoin.eas!dns.com and 5e sure to use discount code GL3B.H (Advertisement (as!D7 - (nd) (Advertisement Bitcoin F88 tart) Tason Bin6: Hi/ this is Tason Bin6 &or Bitcoin F88 and !ou,re listenin6 to Let,s 3al4 Bitcoin. But/ !ou 4no0/ Bitcoin is not reall! a tal4er/ it,s a doer/ *ust li4e the 5est nonpro&its and charit! or6ani#ations and at BitcoinF88.or6/ all 0e do is &ind hard0or4in6 nonpro&its and charities and 6ive them IF/888 in Bitcoin. 3hat,s all 0e do. o/ donate to Bitcoin F88 and let Bitcoin nonpro&its and charities do 0hat the! do 5est. (Advertisement Bitcoin F88 (nd) B : . can tal4 a5out D Com5inator/ . 6uess !ou all 4no0 a5out that. Let me introduce m!sel& 5rie&l! 0hile thin6s are loadin6 here. M! name is Bala*i rinivasan. 3here,s actuall! t0elve people 0ith m! same &irst and last name in the Ba! area alone. Naudience lau6hsO .n &act/ . randoml! ran into another one o& them at tan&ord and &ounded a 6enomics compan! 0ith them. . 6o 5! m! &ull initials B and . am a tan&ord li&er. . 6ot m! B. ./ M. ./ U Ph.D. at tan&ord and in >881 started teachin6 computer science and statistics there. . le&t tan&ord in earl! >88R/ scandali#in6 the

department to &ound a 6enomics compan! 0hich has 5ecome ver! success&ul. 'ur name,s Couns!l and 0e test a5out @? o& all 5irths in the -nited tates. . also tau6ht a M''C at startup.stan&ord.edu 0hich has 5ecome Cuite success&ul 5ut .,m 6oin6 to tal4 a5out somethin6 &airl! di&&erent toda!. Can 0e 6o; Des; '4. Alri6ht 0hat .,m 6oin6 to tal4 a5out toda! is somethin6 .,m callin6 ilicon +alle!,s -ltimate ()it. o/ as motivation here/ it,s a 5it topical: is the - A the Microso&t o& nations; :e can ta4e this sort o& thin6 and 0e can e)pand it - code-5ase is >@8 !ears old/ 0ritten in an o5&uscated lan6ua6e s!stem 0as shut do0n &or t0o 0ee4s strai6ht - s!stematic $-D on securit! issues &airl! ruthless treatment o& 4e! suppliers - 6enerall! &avors its rich enterprise customers 5ut 0e still have to 5u! it. .& 0e thin4 a5out Microso&t itsel&/ there,s a 6reat Cuote &rom Bill Pates in F99R - 0hat displaced Microso&t/ 0hat did he &ear/ it 0asn,t 'racle or an!5od! li4e that/ 0hat he &eared 0ere some 6u!s in a 6ara6e/ 0ho happened to 5e ultimatel! Larr! and er6e! 5ac4 in F99R. 3he thin6 a5out 0hat Larr! and er6e! did is - there,s no 0a! the! could have re&ormed Microso&t &rom the inside. At that time/ Microso&t alread! had >1/888 emplo!ees/ *oinin6 its num5ers as >1/888 and >1/88F and tr!in6 to push &or >8? time or &ree lunches - the! pro5a5l! 0ouldn,t have 6one too &ar. o/ 0hat the! had to do 0as start their o0n compan!. 3he! had to e)it and 0ith success in that alternative/ then Microso&t 0ould imitate them. 3his is actuall! related to a &undamental concept in political science/ the concept o& voice versus e)it. A compan! or a countr! is in decline/ !ou can tr! voice/ or !ou can tr! e)it. +oice is 5asicall! chan6in6 the s!stem &rom 0ithin/ 0hereas e)it is leavin6 to create a ne0 s!stem/ a ne0 startup/ or to *oin a competitor sometimes. Lo!alt! can modulate this. ometimes that,s patriotism/ 0hich is voluntar!/ and sometimes it,s loc4-in/ 0hich are involuntar! 5arriers to e)it. :e can thin4 a5out this in the conte)t o& various e)amples and start to 6et a &eel &or this. o/ voice in the conte)t o& open-source 0ould 5e a patch/ e)it 0ould 5e a &or4. +oice in the conte)t o& a customer 0ould 5e a complaint &orm/ 0hereas e)it 0ould 5e ta4in6 !our 5usiness else0here. +oice in the conte)t o& a compan!: that,s a turnaround plan. ()it is leavin6 to &ound a startup. +oice in the conte)t o& a countr! is votin6/ 0hile e)it is emi6ration. o/ i& there are those t0o ima6es on the le&t is the 7orman Loc40ell paintin6 on voice - on the ri6ht is actuall! m! dad in the center/ and that,s a 6rass hut on the ri6ht-hand side/ so he 6re0 up on a dirt &loor in .ndia and le&t/ 5ecause .ndia 0as an economic 5as4et case and there,s no 0a! that he could have voted to chan6e thin6s 0ithin his li&etime/ so he le&t. .t turns out that/ 0hile 0e tal4 a lot a5out voice in the conte)t o& the - and tal4 a5out democrac! - that,s ver! important/ 5ut !ou 4no0/ 0e,re not *ust a nation o& immi6rants/ 0e,re a nation o& emi6rants. :e,re shaped 5! 5oth voice and e)it/ startin6 0ith the Puritans/ !ou 4no0/ the! &led reli6ious persecution. 3he American Levolutionaries 0hich/ !ou 4no0/ le&t (n6land,s or5it. 3hen/ 0e started movin6 0est/ leavin6 the (ast Coast 5ureaucrac! to 6o to the :estern nations. Later/ late FR88s/ (llis .sland/ people leavin6 po6roms/ and in the t0entieth centur! &leein6 7a#ism and Communism. ometimes/ people didn,t *ust come here &or a 5etter li&e/ the! came here to save their li&e. 3hat,s/ !ou 4no0/ the airli&tin6 at the end o& ai6on. .t,s not *ust the - that,s shaped 5! e)it. ilicon +alle! itsel& is also shaped 5! e)it. Dou can date it 5ac4 to the &oundin6 o& $airchild emiconductor 0ith the 3raitorous-(i6ht/ the &oundin6 o& $airchildE the &act that non-competes are not en&orcea5le in Cali&ornia/ and the &act that DC &unds disruption/ not *ust turnaround. 3he concept o& &or4in6 in open source/ i& !ou thin4 a5out the 5ac4 5utton/ that is/ in some 0a!s/ the cheapest 0a! to

e)it somethin6 and o& course the concept o& the startup itsel&. 3hat ri6ht there/ i& !ou 6u!s haven,t seen/ is one o& D Com5inator,s &irst ads. Larr! and er6e! 0on,t respect !ou in the mornin6. o/ the concept here is that e)it is actuall! an e)tremel! important &orce in complement to voice and it,s somethin6 that 6ives voice its stren6th. .n particular/ it protects minorit! ri6hts. .n the upper le&t corner/ &or e)ample/ !ou ima6ine t0o countries. Countr! F is &ollo0in6 polic! A and countr! > is &ollo0in6 polic! B. ome minorit! is potentiall! interested in &ollo0in6 polic! B/ 5ut polic! A is ver! stridentl! promul6ated 5! the ma*orit!. Ho0ever/ there,s some other countr!/ ma!5e a smaller countr!/ ma!5e another countr!/ that,s actuall! Cuite into B/ and so that person leaves. 3he!,re not necessaril! super into B/ 5ut the! thin4 it mi6ht 5e interestin6/ thus B Cuestion-mar4. :hat happens is that all the other 6u!s in A see that people are actuall! leavin6. 3he! reall! care a5out this particular polic! so much that the! actuall! le&t. .t could 5e a &eature 0here people are leavin6 &or a competitor/ it could 5e a 5u6 that !ou haven,t &i)ed so people &or4 the pro*ect and ta4e it some0here else - 0hat happens is that e)it ampli&ies voice. .t,s a crucial additional &eature &or democrac! is to reduce the 5arrier to e)it/ to ma4e democratic voice more po0er&ul/ more success&ul. A voice 6ains much more attention 0hen people are leavin6 in droves. . 0ould 5et that e)it is a reason 0h! hal& o& this audience is alive. Man! o& us have our ancestors 0ho came &rom China/ +ietnam/ Borea/ .ran/ places 0here there,s 0ar or &amine/ economic 5as4et cases. ()it is somethin6 that . 5elieve 0e need to preserve/ and e)it is 0hat this tal4 is a5out. o/ e)it is reall! a meta-concept. .t,s a5out alternatives. .t,s a meta-concept that su5sumes competition/ &or4in6/ &oundin6/ and ph!sical emi6ration. .t means 6ivin6 people tools to reduce in&luence o& 5ad policies on their lives 0ithout 6ettin6 involved in politics: the tools to peace&ull! opt-out. .& !ou com5ine those three thin6s/ this concept o& the - is the Microso&t o& nations/ the Cuote &rom Pates/ and Hirschman,s treatise/ !ou 6et this concept o& ilicon +alle!,s -ltimate ()it. Basicall!/ . 5elieve that the a5ilit! to reduce the importance o& decisions made in D.C. in particular/ 0ithout lo55!in6 or slo6aneerin6/ is 6oin6 to 5e e)tremel! important over the ne)t ten !ears. Dou mi6ht as4/ G:h!; :hat does this have to do 0ith an!thin6;H o/ the reason 0h! is that toda!/ it,s ilicon +alle! versus 0hat . call the Paper 7elt. 3here,s &our cities that used to run the -nited tates in the post0ar era/ Boston 0ith hi6her-ed/ 7e0 Dor4 Cit! 0ith Madison Avenue/ 5oo4s/ :all treet/ and ne0spapers. Los An6eles 0ith movies/ music/ Holl!0ood/ and o& course/ D.C./ 0ith la0s and re6ulations &ormall! runnin6 the countr!. . call them the Paper Belt/ a&ter the Lust Belt o& !ore. .n the last t0ent! !ears/ a ne0 competitor to the Paper Belt arose out o& no0here/ ilicon +alle!. B! accident/ 0e,re puttin6 a horse head in all o& their 5eds. :e are 5ecomin6 stron6er than all o& them com5ined. 3o 6et a sense o& this - ilicon +alle! is reinventin6 ever! industr! in these cities. 3hat Q up there is supposed to 5e a screenpla! &or the paper o& LA/ and LA is 6oin6 to i3unes/ Bit3orrent/ 7et&li)/ poti&!/ Doutu5e - that 0as reall! the &irst on the hit list/ startin6 in F999 0ith 7apster. 7e0 Dor4 ri6ht alon6side - Ad:ords/ 30itter/ Blo66er/ $ace5oo4/ Bindle/ Aereo. :e,re 6oin6 a&ter ne0spapers. :e,re 6oin6 a&ter Madison Avenue. :e,re 6oin6 a&ter 5oo4 pu5lishin6. :e,re 6oin6 a&ter television. Aereo &i6ured out ho0 to put a solidstate antenna in a server &arm so !ou don,t have to pa! an! 3+ &ees &or all o& their recordin6. Lecentl!/ Boston 0as ne)t in the 6unsi6hts - Bhan Academ!/ Coursera/ -dacit! and most interestin6l!/ DC. B! DC/ .,m usin6 it as a meton!m &or 6overnment re6ulation in 6eneral/ 5ecause it,s not *ust DC. .t includes local and state 6overnments.

-5er/ AirBnB/ tripe/ Cuare/ and the 5i6 one/ Bitcoin are all thin6s that threaten DC,s po0er. .t is not necessaril! clear that the - 6overnment can 5an somethin6 that it 0ants to 5an an!more. 3he cause o& this is somethin6 . call the paper *am. 3he 5ac4lash is 5e6innin6. More *o5s predicted &or machines/ not people. To5 automation is a &uture unemplo!ment crisis loomin6. .mprisoned 5! innovation as tech 0ealth e)plodes/ !ou 4no0/ ilicon +alle!/ povert! spi4esEthe! are 5asicall! 6oin6 to tr! to 5lame the econom! on ilicon +alle!/ and sa!in6 that it is iPhone and Poo6le that done did it/ not the 5ailouts and 5an4ruptcies and the 5om5in6s. 3his is somethin6 0hich 0e need to identi&! as &alse and 0e need to activel! repudiate. :e must respond via voice. 3he o5vious counterar6ument is that the +alle! reduces prices. 3he top is a little small/ 5ut that,s a &amous 6raph - consumption spreads &aster toda!. 3hat sho0s the a5solute e)ponential rise o& technolo6ies over the last centur!. An!thin6 that is initiall! *ust the province o& the F?/ 0hether it 5e computers or cell phones/ Cuic4l! 5ecomes the province o& the 2? and the F8?/ that M+P that 5arel! 0or4s that someone is 0illin6 to pa! thousands and thousands o& dollars &or allo0s !ou to &i) the 5u6s/ to 6et economies o& scale/ to 5rin6 it to the F8? and then the >8? and the 28? and the middle class and the 99 percent. 3hat,s ho0 0e 6ot cell phones &rom a to! &or :all treet to somethin6 that,s helpin6 the poorest o& the poor all over the 0orld. 3echnolo6! is a5out reducin6 prices. 3he 5ottom curve there is Moore,s La0. B! contrast/ the Paper Belt raises them. 3here,s the tuition 5u55le and the mort6a6e 5u55le and the medical care 5u55le and too man! 5u55les to name. 3he ar6ument that the +alle! is a pro5lem is incoherent/ 5ut it,s not 6oin6 to 5e su&&icient to respond via voice. :e can ma4e this ar6ument/ 5ut the ultimate counter-ar6ument is actuall! e)it. 7ot necessaril! ph!sical e)it/ 5ut e)it in a variet! o& di&&erent &orms. :hat the!,re 5asicall! sa!in6 is - rule 5! DC means people are 6oin6 5ac4 to 0or4 and the emer6in6 meme is that rule 5! us is rule 5! terminators 0ho are 6oin6 to ta4e all the *o5s. :hereas/ 0e can sa!/ and 0e can ar6ue/ DC,s rule is more li4e an overrun 5uildin6 in Detroit/ and do0n ri6ht there is actuall!/ li4e a Poo6le data center/ ri6ht; o/ 0e can 6o 5ac4 and &orth ver5all!/ 5ut ultimatel!/ this is a5out counter-&actuals. 3he! have aircra&t carriers. :e don,t. :e don,t actuall! 0ant to &i6ht them. .t 0ouldn,t 5e smart. :e 0ant to sho0 0hat a societ! run 5! ilicon +alle! 0ould loo4 li4e 0ithout actuall! a&&ectin6 an!one 0ho still 5elieves the Paper Belt is actuall! 6ood. 3hat,s 0here e)it comes in. :hat do . mean 5! this; :hat do . mean 5! ilicon +alle!,s ultimate e)it; .t 5asicall! means 5uild an opt-in societ!/ ultimatel! outside the - / run 5! technolo6!. 3his is actuall! 0here the +alle! is 6oin6. 3his is 0here 0e,re 6oin6 over the ne)t ten !ears. 3hat,s 0here mo5ile is 6oin6. .t,s not a5out a location5ased app. .t,s a5out ma4in6 location completel! irrelevant. Larr! Pa6e/ &or e)ample/ 0ants to set aside a part o& the 0orld &or unre6ulated e)perimentation. 3hat,s care&ull! phrased. He,s not sa!in6/ Gta4e a0a! the la0s in the - .H .& !ou li4e !our countr!/ !ou can 4eep it. (.t,s the) same 0ith Marc Andreessen. 3he 0orld is 6oin6 to see an e)plosion o& countries in the !ears ahead. Dou5led/ tripled/ Cuadrupled countries. ince the end o& the Cold :ar/ 0e,ve *ust 5een seein6 them 5urst up in all 4inds o& places and some o& the 5est 0ill have lessons &or all the rest. in6apore,s health care s!stem is an e)ample to the rest o& the 0orld. (stonia actuall! has di6ital par4in6 meters and all 4inds o& thin6s. :e can cop! those thin6s 0ithout necessaril! ta4in6 the ris4. Let them ta4e the ris4 and then/ 0e can cop! them. .t ampli&ies voice. o/ importantl!/ !ou don,t have to &i6ht a 0ar to start a ne0 compan!. Dou don,t have to 4ill the &ormer C(' in a

duel. o/ a ver! important meta-concept is to create peace&ul 0a!s to e)it and start ne0 countries. Dou 4no0/ t0o o& the &ounders o& Pa!pal - Peter 3hiel is into seasteadin6. (lon Mus4 0ants to 5uild a Mars colon!. Dou can scale it 5ac4/ too. (ven on Hac4er 7e0s/ *ust recentl!/ 0ithin the realm o& someone on startup VF or startup V>/ these 6u!s *ust 0ent and 5ou6ht a private island. .t,s random. .t,s in the middle o& Canada. .t,s &ree#in6 cold. 3here,s stic4s over there. .t doesn,t e)actl! loo4 li4e 'ahu. But/ the 5est part is this/ the people 0ho thin4 this is 0eird/ the people 0ho sneer at the &rontier/ 0ho hate technolo6! - the! 0on,t &ollo0 !ou out there. 3hat,s the thin6 a5out e)it is !ou can ta4e as much or as little o& it as !ou 0ant. Dou don,t have to actuall! 6o and 6et !our o0n island. Dou can do the eCuivalent o& dual-5ootin6 or tele-commutin6. Dou can optout to 0hatever level that !ou pre&er. impl! 6oin6 onto Leddit rather than 0atchin6 television is a 0a! o& optin6 out. 3here is this entire di6ital 0orld up here 0hich 0e can *ac4 our 5rains into and 0e can opt-out. 3he Paper Belt ma! stop us &rom leavin6 and that,s actuall! 0hat . thin4 o& as one o& the most important thin6s over the ne)t ten !ears/ is to use technolo6!/ especiall! mo5ile/ to reduce the 5arriers to e)it. :ith it/ 0e can 5uild a 0orld run 5! so&t0are. Here,s some e)amples. @-D printin6 0ill turn re6ulation into DLM. .t,ll 5e impossi5le to 5an ph!sical o5*ects/ &rom medical devices to drones to cars. Dou can @-D print all these thin6s and there are entire three-letter re6ulator! a6encies that are *ust devoted to 5annin6 6oods. :ith Bitcoin/ capital controls 5ecome pac4et &ilterin6. .t,s impossi5le to do 5ail-ins i& ever!one,s on Bitcoin/ to sei#e mone! as the! did in C!prus or in Poland. :ith Kuanti&ied- el&/ medicine is 6oin6 to 5ecome mo5ile and !ou,ll 5e a5le to measure !oursel&. :ith 3elepresence/ !our immi6ration polic! is 6oin6 to turn into !our &ire0all. Dou5le ro5otics is *ust the start. An! 5ots/ these ro5ots that !ou can control remotel!/ movin6 around li4e a GDoomH video 6ame/ soon the!,ll 5e humanoid on their side and the!,re 6oin6 to 6et prett! 6ood/ so !ou can 5e an!0here in the 0orld 0ith a humanoid ro5ot 0al4in6 around on !our side and 0ithout pa!in6 a plane tic4et. Drones/ 0ar&are is 6oin6 to 5ecome so&t0are. La0s are 6oin6 to 5ecome code. Mana6ement via ro5otics is 6oin6 to 5ecome automation and propert! ri6hts are 6oin6 to 5ecome a net0or4 e&&ect i& !ou 4no0 a5out Bitcoin smart propert!. 3echnolo6ical details/ these are topics &or the ne)t M''C. Dou can si6n up at coursera.or6%coursestartup. .t,ll 5e 5etter the third time around. But/ that,s 0hat . thin4. .& !ou 0ant to thin4 5i6/ i& !ou 0ant to thin4 a5out thin6s that are ne)t/ 5uild technolo6ies as minimal or as ma)imal as !ou 0ant &or 0hat the ne)t societ! loo4s li4e. .t could 5e somethin6 as simple as allo0in6 middle-class people to ma4e ta) shelters. Apps that allo0 people to travel and relocate 5etter 5ecause it,s a hu6e pain to move &rom cit! to cit!. An!thin6 !ou can thin4 o& that reduces the 5arrier to e)it that produces loc4-in. .& 0e 0or4 to6ether/ 0e mi6ht 5e a5le to 5uild somethin6 li4e this. 3han4s. (Applause) ('utro Music tart) ABL: 3han4s &or listenin6 to episode V12 o& Let,s 3al4 Bitcoin. G@2? .s 7othin6 to nee#e AtH 0as produced and edited 5! Adam B. Levine and &eatured tephanie Murph!/ Andreas M. Antonopoulos/ and Adam B. Levine. GCoinpun4 $irstH 0as presented courtes! o& B!le Dra4e 0ith editin6 &or content 5! Adam B. Levine. GProo& o&

()istenceH 0as produced 5! Andreas M. Antonopoulos/ edited 5! Adam B. Levine and &eatured Andreas M. Antonopoulos and Manuel Ar"o#. ilicon +alle!,s -.timate ()it 0as pla!ed courtes! o& D Com5inator 3al4s. Music 0as provided 5! Tared Lu5ens. Kuestions or comments; (mail adamWletstal45itcoin.com. Have a 6ood one. ('utro Music $ade-to-Cut)