welcome you lovely people for another
weekly instalment of the new kids on
the block chains weekly crypto and
blockchain new show hey guys what's up
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what is on the show today first of all
we talk to jag from Cisco and he gives
us the skinny about what those guys have
been up to launch of sis for this one's
for you James you've asked for it and
here it is good old James we also talked
to Stephen from rivets at the launch of
their new hardware assisted
Authenticator for Android phones but
first of all let's have a quick news
roundup
first up from a coin market cap and this
is a time of press which is Saturday
11:00 a.m. the market cap is about 114
and a half billion with most of the top
ten coins seeing minor gains over the
last 24 hours
from Quinn desk Bitcoin is officially in
its longest bear market ever Bitcoin has
officially entered the longest stretch
of declining prices in its 10-year
history the world's oldest and most
valuable cryptocurrency achieved an
all-time high of 19 thousand seven
hundred and sixty four dollars on
December 17th 2017 on the coin desk
Bitcoin price index and has printed a
series of lower price highs ever since
making February the second as per UTC
time the four hundred and eleventh
consecutive day prices have been in
decline as such bitcoins later stretch
surpasses the duration of the infamous
2013 215 Bitcoin bear market which
spanned 410 days from its price high to
low in coin Telegraph Wyoming passes
bill to class cryptocurrency has money
in the United States the state of
Wyoming has the bill that will allow for
crypto currencies to be recognized as
money on January 31st according to the
state website On January the 18th
Wyoming legislation presented the bill
which would help to clarify the
classification of cryptocurrency
as reporter by coin Telegraph earlier
this month the bill will place crypto
assets in three categories digital
consumer assets digital securities and
virtual currencies any digital assets
that fall into those three categories
will be defined as intangible personal
property granting virtual currencies the
same treatment as fiat money coin desk
190 million dollars in crypto is gone
forever
how Canada's biggest Bitcoin exchange
has lost it all
quadriga CX the largest Bitcoin exchange
in Canada has lost one hundred and
ninety million dollars worth of crypto
after it lost access to its cold storage
wallets an affidavit filed on January
31st with the Supreme Court of Nova
Scotia revealed that a hundred and
ninety million dollars in Bitcoin
Bitcoin cash Bitcoin cash SV Bitcoin
gold litecoin and aetherium were lost
ah David first obtained by coin desk was
filed by Jennifer Robertson the widow of
quadriga CX founder and CEO Gerald
cotton now deceased founder and CEO was
solely responsible for overseeing the
funds and since he's passed away no one
could access the funds that he
previously maintained from coin
Telegraph the UK crypto liquidity
provider receives FCA approval in the
United Kingdom crypto liquidity startup
a b2c to OTC limited has received
approval from the country's financial
conduct authority the FCA on Wednesday
January the 30th according to a record
in the FCA's register a separate press
release notes that b2c - which also
provides electronic over-the-counter
trading office contracts a difference
CFDs to eligible counterparties and
professional clients the firm's
co-founder max Bonin believes the
acceptance of the license will allow
investors to gain exposure to crypto
currency markets whilst avoiding the
risks associated with crypto custody so
we've been talking over the last few
weeks about lots of platforms there's
lots of platforms emerging there's other
platforms have been developing we
haven't chatted with the guys from Cisco
and lots of people have been saying
please can you get them on so I'm
delighted to say that we have jag from
Cisco in and he's joining us now are you
there Joe hey thanks for doing this well
thanks for taking the time to come on
board and have a chat like I said we've
got lots of people hungry for
information so I guess first of all for
people who aren't that ofay with Cisco
what's the kind of top-line elevator
pitch of what you guys are doing right
so we started in Cisco point one we were
one of the first I SEOs we target
ourselves as a business blockchain you
know to make multiple different things
targeting 90% of the use cases of
blockchain applications but doing it in
a in a way that's removing middlemen and
that was the headline where we've
evolved who we've learned things that
belong on the blockchain things that
belong off chain we're evolving to more
a enterprise level scalable solution for
Asset protocols so in order to shift
move
money around we're also involved in
identity so to solve identity on the
blockchain is is a hard problem and
we're working with Microsoft to try to
solve that so whatever solution we come
up with there we will likely have a
natively built and integrated into the
Cisco blockchain and the thing there is
you know IOT smart cities millions of
transactions per second you know not
necessarily on the blockchain but
somehow routed to the blockchain through
the miracle root hashing that's that's
where we're trying to get to and it's
kind of a similar parallel construct to
where other block chains are trying to
get to as well we're all trying to push
in the same direction and we've we've
really dug down and seen you know the
evolution of the whole industry and what
belongs on launch and what doesn't
belong in the blog how to do things on
the right way and that's what we're
bringing towards to our next kind of big
innovation in Cisco important I mean
obviously there's never gonna be one
platform to rule them all there's gonna
be you know lots of different flock
chains that are successful in the future
but why would you say sis coin is one
that people should consider developing a
def one well I I think we have to step
back and look at the trends and not
think about you know there's competing
platforms I think the trend of 2018 was
privacy and scalability so privacy is a
little bit is a little bit unique and
that we're not ready to challenge that
from from a government point of view I
think we need to we need to you know
step lightly there but in terms of
scalability we have been thinking about
scalability in a way that will allow
micro transactions to happen real time
that's some of the unique value
propositions which we coded as eBay
which is a kind of like a directory a
cyclical graph running the backed by
proof of work different than something
like I would ever buy fall but you have
the security of the Bitcoin proof of
work but the micro transaction speed of
something like these are master cards so
we're able to push two to three times
visa peak TPS of
and unable to do it in a way that's
decentralized kind of think of it as a
decentralized lending networks if you
will the trend of 2008 2018 in Tilton 19
is twofold and this is where it comes in
why I'm saying that we shouldn't be
thinking about competing platforms but
interoperability is a big one we want to
be able to have different block chains
interrupt with others so we share value
we don't compete but we're kind of
sharing and so to that we've been
integrating to the etherium network in a
way that will for the first time ever be
able to transact through a two-way peg
to the ethereum blockchain so we're
talking about you know moving your cisco
asset over to the third network they
were burning mechanism and an SPD proof
to prove that you have moved asset and
value with one blockchain to the other
and this really hasn't been done before
and we're you know testing right now but
we're excited to bring that this is
going forward that's something that's
gonna be really cool for the whole
industry because it's not only a bridge
for cisco and users to be able to
leverage touring complete smart
contracts for the first time but also
for a theorem users to leverage these
core features in terms of micro
transactions and speed so for the first
time in three meters we'll be able to
leverage a decentralized lady networks
and and and siscon users ago the levers
the distributed apps that are they're
available on the etherium and what
excited me both areum work was some of
the stuff they're doing on plasma so we
feel right now the fees are pretty high
and there's a reason why people are
looking at other other chains but with
plasma we should be able to have you
know the consensus critical gap
springing on ethereum in a scalable way
and then if you want to you know shuffle
around money with double spend
protection you do that in something like
the Cisco Network so you be able to
serve that use case or your users as
well as bringing the use case of smart
contracts to the Cisco users so sysfore
is a real bleak forward
kind of you notice three there's a have
you covered off the major kind of
differentials and in that loss
conversation yeah so so assist three we
added it's all kind of been evolving
with a plan just one and two and had a
bunch of stuff on chain we realized we
needed a strategy for off chain we
researched bonded validators and ways to
you know similar to how italic and Vlad
are thinking about Casper charting we've
been thinking about the same types of
things and researching so we found
masternodes right now is a unique way to
solve that problem in where the
technology is kind of mature obviously
there's bugs but we're able to fix those
fairly quickly and that adds a bond and
validator layer that allows you to do a
bunch of services they're sent about
where nodes are incentivized to run you
know these these chains or nodes of
chains are able to validate certain
things at certain times and you're able
to at real-time prove or disprove
certain actions on the network so master
notes really we we haven't been using
too much but there's a there's a go
forward plan there and then assets were
also added because we felt that we can
provide a value to the users that want
to build in our ecosystem by allowing
because to come on board and create
their tokens and later in sis corn for
the tour the target was to create smart
contracts and EVM compatibility but also
with speed in mind so if you're a
business and you're running your loyalty
points program you don't want to be
encumbered with gasps transaction fees
and settlement times of upwards of
minutes or so so we solved that problem
through zedek and we solve the the
ability to have these users enter into
smart contracts through the etherium
bridge and I think going forward
masternodes will be live there already
helping with the Z tag through enabling
high-throughput relay of transactions
but going forward you know we can do
such things like perhaps decentralized
storage for for our off chain identity
solutions we know that
kind of the crux of its the underpinning
of all of the decentralized apps and we
need a way way to store some metadata so
master owns are helpful there as well as
perhaps a better laney networks when we
have the ability for master nodes to be
incentivized to run we have a construct
where you're able to govern certain
nodes and in decentralized wait we can
leverage that with a better payment
channel mechanism that doesn't suffer
from the Eclipse attack and then such
attacks that are existing on the current
payment channel it's likely the
lightning networks pretty busy then by
sounds of it I mean one of the other
questions we had was about the recent
edition of desist coin foundation maybe
you can touch on that really yeah so
that it's really important to be able to
one when we got when we form a public
company to have a public face on the on
the blockchain we you know we're heavy
and desist coin and and everything we do
brings value to Cisco but as a company
we also leverage this coin because of
the fact that it brings us business
itself and the front facing is needed to
establish those relationships with
governments and big corporations but the
foundation and that's the company side
the foundation is also important in a
similar way once we have a
non-for-profit running it will serve
kind of as a partner with the
corporation the company the public
company that's running to be able to
push you know we as developers would
push updates to the blockchain and the
foundation would approve it as well as
for example we have a decentralized
governance system through the master of
protocol the foundation can help
supplement work you know people can work
for the blockchain and get paid for it
and the foundation can manage that you
know they can run your proposal and get
funded and then hold it in escrow and
and kind of keep the entire the entire
community honest and in what work was
done if someone is developing a website
for for Cisco NZ day for example just to
show it off and someone does a proposal
the foundation can can offer that
proposal take the money
and perhaps ensure that the website is
done properly tell us a bit about you'll
recent rebrand the rebrand is to focus
on things that are specific to Cisco and
for we're really targeting more towards
the enterprise market and what I mean by
that is you know what block chains in
general we know that they have issues
when you start to push a lot of people
and transactions to the blockchain
increasing fees and some of the work we
did helps to alleviate that for one the
interrupt ability play being able to
offload a lot of aetherium transactions
over to Cisco to be able to leverage
seed egg and on once's coincide people
that want to leverage some our contracts
can move over to the ethereum blockchain
and enterprise and that means that not
only do these these companies have
options but they're cost-effective and
they actually serve the bottom line so
the rebrand was to do with bringing
these features in a way that businesses
can understand and people can understand
how it brings value to the business
world and how you know this is really is
a new paradigm shift and the way we
think about you know things like
e-commerce and value transfer without
middlemen and value can be anything
could be money could be you know your
land title it could be an autonomous
smart city smart contract where you
charge your charge your computer or even
your car when you stop at a red light
automatically so these are the things
that that really need to be done the off
chain stuff needs to be is equally
important to figure out how to do it
securely even though it's off chain it
still secured by blockchain it's
anchored and and we need to do millions
of transactions a second there off chain
and again when I say millions of
transactions I'm not saying you know I'm
not competing against different
platforms the same we do millions or
millions this is really about off chain
aggregation and it's really about
consensus critical applications for
example your identity when you're
updating your identity you're not going
to go to a store and try to claim value
on that identity so it doesn't really
need your blockchain transaction to be
on the chain every single time you
update it you can do that off chain and
aggregate them every 10 minutes you
create a hash of all of the states and
update to the blockchain you still have
the security to know that your state
update was correct and it can't be
altered but you don't have that double
spam protection which you don't need in
those cases
so having figuring out the trade-offs
where you need double spam protection
where you don't was critical and solving
it in a way for identity and then
everything else that relies on identity
was a real real big stepping point for
us when working with Microsoft and
solving that so you know bringing all
those pieces to the to the to the front
to the user and on the website was
important so that's where the rebrand
came in where the separation turn off
chain and on chain happens but when you
are on chaining doubles particular
doubles perm protection how do we try to
bring enterprise speed and scale to the
picture there through Z deck and then
the rest of it is the flexibility of
moving towards different block chains
and not being stuck on one well last
question and somebody was asking about
there isn't currently a mobile wallet of
any sort supported is there any plan
working with partners to get one of
those out yeah again like we have ad
Central's governance system and I've
been pushing developers to try to
leverage that you know prices being that
this cheap also means that you'll be
able to accumulate a lot more coins
before the next before the next euphoric
moment I guess when people started
realizing there's there's a lot more
value than they thought and we can solve
ways and a skill solve things in a
scalable way prices will start to
reflect that and and that's where the
developers you know usually their future
looking and long-term holders obviously
sell what you need to but generally the
developers see things in a different way
and we were trying to get them to use
these Central's governance
a few there's a few mobile wallets in
play right now and I would say that once
the infrastructure is there it's kind of
like the tcp/ip stack you developed a
low the low stack and then the people
that depend on and they come and they
develop the UI is on top the mobile
Wallis is a is a layer above and so as
long as we complete this the core layer
and secure an efficient way and it's
it's bug free everything else kind of
will fall into place and there's a few
developers kind of waiting to to start
doing that for mobile wallets and web
wallets and such thanks so much for
coming on board there's an incredibly
strong community with Cisco and like I
say we've had loads of people asking us
to to get involved so I'm really glad
you were able to take the time to come
and have a chat and hopefully later in
the year we can maybe catch up and see
how things are going
no thanks for thanks for taking the time
to do this and I'll be glad to do it
again as soon as you know once this coin
for is oh and we kind of see it in the
wild we can talk a little bit more in
tune with with some of the the user base
and what they're doing with it and as
well as the uptake and perhaps a
reflection of where we were then and now
price wise and technology wise
so in our studio today we have joining
us Stephen from rivets we first met out
in San Francisco I think a token fest in
the beginning of 2018 so I thought it'd
be great to catch up they've been
delivering product recently so we're
keen to chat two companies have actually
delivered on what they set out to do so
Stephen are you there I am thanks for
having a fun welcome to the show I guess
first of all really for our or any of
our audience that don't know what rivets
does can you give us the sort of
elevator pitch of what you sort of set
out to do absolutely I come from 20
years in the trusted computing space and
our business is about how we protect
keys and instructions and so we're
trying to take that take capability in
that talent and put it to work enabling
the over half a billion Android phones
that have the ability to run a hardware
wallet embedded in the chipset of the
phone and put that to work and so we are
today just delivering our first products
into the market where we have a
two-factor authentication
takes its full advantage of the embedded
hardware within an Android device so
that your seed keys are protected and
they can't be stolen by software so it's
like having an external Yubikey but
built into your Samsung phone or your lg
phone yeah because you can't really open
any newspaper or news report at the
moment without hackers have done there's
hackers have done that this has been
hacked that's been hacked so I guess
you're trying to protect people's data
privacy through you know any of the
vector attack vectors that exist out
there correct I mean we've been at this
for a long time in the industry we've
been building Hardware into devices for
many years and really I think blockchain
is an incredible catalyst where we don't
have the protections of voyeurism we
don't have that sort of e-commerce model
used by Amazon and eBay and others where
we're gonna watch everything you do and
then try and make a determination if
you're really you in the context of
blockchain you actually have to control
your private keys the user is in charge
and so we're bringing the technologies
that finally deliver ecommerce that
works proper protection of your keys the
ability to assure
what you see is what you sign proper
collection of user consent leveraging
the industry standards that have been
built in to provide great banking or
e-commerce capability within the mobile
devices we use every day and I think
just looking at the the sort of
landscape for the last 18 months
obviously when we met we were you know
out in San Francisco like I said there
was that kind of groundswell of loads of
companies you couldn't move for I cos
you know obviously a lot of those
companies have gone by the wayside and
the companies that are surviving are the
ones that are kind of delivering product
how do you feel to be a part of that
group so we're very pleased to be part
of the process and I would just say that
you know I think you have to believe I
think there are a lot of folks that are
in blockchain today that while they
participated in the day trading side of
blockchain don't really appreciate that
when I send you a 10-cent transaction
embedded in the transaction is a
public/private key identity that's
embedded in the transaction so you can
come back 2 years later do another
transaction and prove that it was you
before and so that whole idea that this
is a modern form of Commerce a modern
form of identity a modern form of policy
and controls you know we're going down
this path now if security tokens what
we're going to discover is that all of
the controls that we've had in private
chains can actually be run on a
decentralized basis in public chains and
so you have to believe blockchain is
going to fundamentally change how all of
us do business on the Internet
because we haven't had the tools to do
business on the Internet and these are
the tools to make that possible so we're
we're very pleased to be part of that
but also to be at the forefront of
carrying the flag to push what does it
mean to have blockchain every day yeah
it's really interesting point a lot of
people have that we've been speaking to
recently I've been saying the bear
market has obviously been about you know
sort of token price and value but
there's also a bear market in sentiment
at the moment you know that the lot of
people have had the kind of wind knocked
out of them but the people are starting
to focus back on what this is all about
which is the technology rather than
speculative token price
look this is all about being an
entrepreneur it's all fun when it's
going up the real work comes when it's
not going up and how you put your foot
your muscle to the wheel and push and
and so I've been doing that my whole
life and I think that you know this is
that time and I think as you look at
blockchain and the community that's
formed today and the capability I would
agree with you I think that I'm more
concerned about the bear market and
sentiment than I am in price use will
cure price we ship a hundred million
devices each device needs $10 on a
device you're gonna need a billion
dollars in store of value great in a
token that today trades at a million
dollars in total store you know
circulating value I'm not worried about
that that's not the point
the point is we discovered a new
business model where we can apply a
token of scarcity to a growing network
effect that benefits the whole community
that contributes to the network effect
that's what we believed in 2014
that's what's true today and never
underestimate the true power of the
utility token it's going to be much more
interesting and much more powerful than
this sort of creation of a new Nasdaq
which is seems to be the current
sentiment right well where can people
find out a bit more about what you guys
are up to somebody wants to get a bit
more of the down-low of rivets where
should they go so two things I'm you can
go to rivets comm so our IV e tv.com and
also today if you have an exchange
account and you're using Google
Authenticator and you have an Android
phone that's compatible with rivets
because it does make a difference what
phone you buy you can download the
rivets Authenticator and we can move all
of your keys from running in the
operating system where we know they're
not very safe to running on the tamper
resistant hardware in the device and you
can begin to touch the experience and
play with it the app is free today and
provides really the foundations of how
do you begin to touch what rivets is
talking about which is truly embedded
security provides a safer and simpler
experience for the user
that's great well thank you so much for
coming onboard and having a chat it's
great to follow up with people and see
what's going on and also show people out
there that stuff is going on you know
there's a lot of work
that I think a lot of people don't
realize when they look at this space so
thank you so much take care and I'm sure
we will speak to you in the near future
absolutely thanks for having it back
well that's another week over on the
freight folks ticking on by we are going
to Boston next week again Weston for a
Film Festival and then in Acapulco
comment below if anyone's going to be
there to join up it's gonna be amazing
yeah it's gonna be fun but next week's
show we have got the guys from funfair
filling in on what's going on we're
gonna do our regular catch up with
cypher glass and iOS and also look at
the world of Poker and blockchain
colliding but I guess until we see you
next time remember you been blood
chained
