Appetite for Disruption: The Business and Regulation of FinTech

Joachim Schwerin, principal economist at DG GROW within the European Commission, discusses that vision for Europe, how it is developing, and the impacts on and implications for individuals and small- to mid-sized businesses.  There are many considerations at play and many different technologies, so the topic is a broad one.  Joachim takes us on a tour of the issues and technologies, with good stops about blockchain and decentralization.  We even manage to cover the industrial revolution and economic theory.  This wide-ranging conversation made us think about a lot of different areas of an economy and life more generally.  Enjoy the listen!

Tim Mohin of Persefoni joins Troy and Lee to talk about the development over the years of disclosures related to carbon and other environmental topics.  Tim's extensive background in environmental science and climate disclosure gives him a distinctive perspective about how companies have voluntarily enhanced disclosures, what standards can apply to such disclosures, and how standardization is developing.  He provides a brief historical tour and also discusses the SEC's latest proposed rules.  His approach and experience were the basis for an informative conversation.

Troy and Lee have an engaging conversation with Kristin Smith, Executive Director of Blockchain Association, in which Kristin explains the roots of the organization, its growth, and its many initiatives.  As she discusses, the community around blockchain and crypto is dynamic and engaged, and there is a lot of participation and a lot of desire to get policy right, especially given the significant stakes.  She shares several insights on how she is working to move things in a positive direction.  We are still in early stages but things are moving fast in terms of the developments in the technology and product offerings, so things are constantly moving when trying to ensure an effective regulatory approach.  We look forward to seeing how policy and regulation develop in this brave new world.

Melanie Pickett and Paul Fahey of Northern Trust join us to discuss how a traditional financial services company thinks about and engages with FinTech.  Melanie focuses on front office solutions for clients while Paul leverages data science.  They both are keenly focused on what a digital experience means, particularly what it means for humans and the judgments they need to exercise.  This includes figuring out what information to present to people, and in what format, to improve decision making.  As always, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind. 

Everybody talks about the difference between traditional banks and FinTech companies.  Treasury Prime seeks to facilitate the interactions between the two so that banks can have a FinTech offering and FinTech can have the risk management and compliance of banks.  CEO Christopher Dean is leading Treasury Prime into this world between these two major industries and helping both sides understand each other through education and, most importantly, technology.  He sees a bright future developing from these partnerships and Treasury Prime is committed to facilitating that future.  And his love of start-ups and the process of building a company shines through.

Sadie Raney and Jesse Proudman talk to us about Makara, which they co-founded.  The genesis of Makara came from their work at cryptoasset hedge fund, Strix Leviathan, and the desire to provide an accessible set of portfolios for investors.  We hear the story behind Makara, their approach to educating investors, and their experience with regulators in getting registered.  We hope you enjoy hearing their take on the opportunities and challenges of the crypto space.  As always, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.  Disclosure: Lee uses Makara and also has invested in the Strix hedge fund.   

Jan van Eck, CEO of VanEck, has continued his father's work in the funds world.  Jan sees Bitcoin as part technology and part store of value as it matures as an asset.  He also shares his view that individual investors have insights that institutional investors sometimes miss.  Jan's journey in considering the impacts of Bitcoin and other trends over the years might be a harbinger for how the world is evolving.  Jan's perspective shows a healthy interest in the world around him.  As always, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.

Rana Gujral, CEO of Behavioral Signals, joins us to explain how his company uses AI to help businesses improve their customer interactions.  Behavioral Signals has a cool technology that uses AI to learn speech patterns and match the people who are predicted to engage most effectively with each other, especially in tough conversations.  There is a lot to learn in this episode, and Rana explains how the AI works to help the matching result in improved communication, customer satisfaction, and business outcomes.  We found it all fascinating.  

Christine Sandler, Joel Revill, and Anton Katz have at least one thing in common: they are all traditional capital markets people who have migrated to blockchain.  Anton started Talos Trading; Joel started 2 Oceans Trust; and Christine led Fidelity into the space.  From their very different but intersecting vantage points, we hear the story of the birth of a new asset class and how it is changing many preconceptions about how the world works.  Whether it is 24/7/365 markets, new ways to obtain and retain custody, or asset allocations that include both traditional and crypto assets, these three have been doing the hard work to bring the future into the present.  As a reminder, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.

We continue our conversation with BitGo founder and CEO Mike Belshe with an in-depth discussion of business and regulation in the sphere of new technology.  Mike makes the point that many cryptoassets are about money and therefore should be regulated.  He outlines some principles for regulation that focus on adaptability and balance.  Troy and Lee chat at the end.  As a reminder, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.

We are joined by Mike Belshe, founder and CEO of BitGo, a FinTech firm focused on custody and other services related to blockchain assets.  Mike describes his journey from helping friends hold their Bitcoin in the early days to building and improving new techniques for the custody of these assets.  He drew on his experience in other areas of technology and on his love of disruption (our word, not his).  As a reminder, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.  

A peek into the future of secure IoT.  We continue our conversation with Paul Clayson, CEO of AgilePQ.  Paul announces an exclusive first that they will open source their algorithm soon!  He explains the reasons behind that decision and the benefits of the open source movement.  He also delves further into what the future of the internet may look like where the world is incredibly connected.  Troy and Lee talk about their perceptions of what that world might mean from a practical standpoint.  As a reminder, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.

A peek into the future of secure IoT.  People talk a lot about the wave of internet of things (IoT) devices that will provide convenience to many aspects of our lives and revolutionize areas such as healthcare.  The folks at AgilePQ, whose CEO Paul Clayson joins us for a fascinating conversation, focus on related cybersecurity.  Paul warns about the dangers of insecure IoT devices and explains how AgilePQ is working to address these problems.  He also provides insights into management from years of running companies.  As a reminder, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.

Bloomberg reporter and author Matt Leising joins Troy and Lee to discuss his recent book about the Ethereum blockchain and the DAO hack.  Part history and part detective story, Matt doesn’t spoil the whodunnit but he gives us great insights into what happened and how he solved the mystery.  He also talks a lot about his views regarding the promise of blockchain and Ethereum and articulates the different visions that different people in the blockchain community have for the technology and its use cases.  The book is a compelling read and will give readers both a well-told story and insights into a potentially very important technology and how it developed.  As a reminder, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.

How might applying Nobel Prize winning economics to markets affect how they operate?  Jesse is the COO at alternative trading system OneChronos.  He explains the thinking behind the ATS and how it matches securities orders in a unique manner that employs Nobel Prize winning auction theory, probabilistic search, expressive bidding. and other advanced concepts.  We talked about how OneChronos combines them into a very frequent auction process.  How will this impact execution quality and the user experience?  We’ll find out.  It certainly should spark a lot of discussion and exchange of ideas.  Troy and Lee share some of their thoughts at the end of the episode.  As a reminder, nothing in this episode is investment, legal, or any other advice of any kind, and nothing in this episode is an endorsement or recommendation of any kind.

Cost/benefit analysis and emerging technologies.  We continue our conversation with Haime Workie of FINRA’s Office of Financial Innovation with a deep exploration of questions about balancing policy and regulatory considerations with innovation and offering new products and services.  Haime shares his views on the opportunities and challenges, both from his legal background and from his engineering background.  If you are too rigid, you might miss big opportunities.  If you don't exercise appropriate caution, you might expose market participants to significant risks.  And there are questions about what risks are posed, whether traditional risks are mitigated by new technology, and the magnitude of each identified risk.  Haime also talks about how regulators use technology.  Troy and Lee share their thoughts at the end.  In this episode, Haime is speaking for himself and not for FINRA.

Can financial innovation create the best day ever?  Haime heads FINRA’s Office of Financial Innovation where he and the team study the future of financial services and the potential impact of innovation on investors, markets, and FINRA’s mandate.  This work involves lots of learning about new technologies and new applications of technology to all aspects of financial services as well as parsing the potential benefits and risks.  Their recent AI report highlights this work and assesses many considerations across various AI use cases.  Haime discusses some details of the report and considers whether automated investment decisions are here to stay.  In this episode, Haime is speaking for himself and not for FINRA.

Troy and Lee welcome Bea Wray and discuss her new book and its main messages.  She teaches us about gratitude as an attitude and the art of “thank you” notes.  It turns out that "thank you" notes can make a big difference in relationships, both business and personal.  You might say that they are Bea’s “secret sauce.”  We also talk about how to create an organization that is focused on people -- employees, customers, vendors, and others in a company’s ecosystem.  Creating great relationships that involve collaboration and helping each other can be an effective way to build a business and move it forward.  Her energy, complemented by her thoughtfulness and insights, should translate into a great book with nuggets of wisdom.  At the end of the recording, Troy and Lee chat about Bea's key points and how they apply to their lives and business.

The GraniteShares CEO finishes our conversation sharing his thoughts about the differences between public companies and private companies and how public markets can force companies to have more discipline.  He also offers insight into some of his ideas for ongoing innovation and our financial markets.  Stay tuned at the end as Troy and Lee discuss where technology might be headed.  As a reminder, nothing said in this or any other episode is investment, legal, or any other advice of any kind.  

William Rhind is founder and CEO of GraniteShares, a recent entrant in the exchange traded funds space.  As William explains, financial innovation -- and associated disruption -- continues.  That disruption could come from new goods or services or whole new business models.  He also touches on themes we hear from other entrepreneurs around the challenges of a startup.  But thinking differently about things is often where the innovation begins.  As a reminder, nothing said in this or any other episode is investment, legal, or any other advice of any kind.  

Educating the World about Emerging Technologies.  We return with Sunayna Tuteja to hear her views on the importance of education, as firms and investors approach new financial services and emerging asset classes.  This involves learning from investors and customers to help create the tools and materials they need.  A disciplined approach to innovation can make a big difference when it comes to results and impacts.  Stay tuned at the end for Troy and Lee’s discussion.  As a reminder, nothing said in this or any other episode is investment, legal, or any other advice of any kind.  

The Pivot to Emerging Technologies in Financial Services.  We welcome Sunayna Tuteja, who heads TD Ameritrade’s digital and emerging technologies efforts.  Her vision of technology as democratizing finance and creating financial inclusion fits in with the overall founding ethos of Ameritrade.  She thinks carefully about what the problem is, why is it worth solving, and why is her team uniquely qualified to solve the problem.  Often these problems are about removing friction to allow clients to take charge of their financial future.  By breaking down all types of barriers, Sunayna and her team are innovating in ways that are core to what we hear from most FinTech entrepreneurs, even within the context of a large organization.  As a reminder, nothing said in this or any other episode is investment, legal, or any other advice of any kind.  

Special episode!  Do you know the way to Sacramento? We are joined by three people from Sacramento for a discussion about the efforts the city and the state of California are undertaking to help create economic inclusion by closing the digital divide, bridging the skills gap, and encouraging innovation in FinTech and beyond.  Barry Broome, President & CEO of the Greater Sacramento Economic Council, Commissioner Manuel Alvarez, Commissioner of the California Department of Business Oversight, and Ciaran McMullan, President & CEO of Suncrest Bank, discuss the different forces at play and programs they are developing.  There are lessons in leadership, attracting talent, and public-private partnerships in the approach they are taking, which combines practical solutions and dedication.  Troy and Lee offer some thoughts at the end. 

We continue our conversation and broaden the idea of narrative to other areas of the world, especially as impacted by the Covid-19 pandemic.  James talks about financial inclusion, big data, and regulation, all from the standpoint of delivering positive messages and then achieving that promise.  He also discusses the need for empathy and explanation throughout the hero’s journey.  Troy and Lee share their thoughts at the end.

James Robert Lay is a branding and marketing expert and author who focuses on financial services and particularly digital financial services.  James encourages his clients and the entire industry to change the story around their products and services to highlight common themes from storytelling, such as the hero’s journey, rags to riches, and failure followed by a guide bringing you to success.  Even though financial services is increasingly about technology, James emphasizes the human aspects of financial services and the importance of connecting with clients as people rather than portfolios.  You are the hero in your financial story!

Special Episode!  SEC Commissioner Hester Peirce.  Insights into a regulator's thinking.  Before she was nominated for a new term, Hester Peirce, a Commissioner of the U.S. Securities and Exchange Commission, sat down with Troy and Lee for a wide-ranging discussion.  Commissioner Peirce provided her thoughts (with the disclaimer that they are her’s alone) on topics including blockchain and cryptoassets, capital formation, the consolidated audit trail and privacy, artificial intelligence and the future of fintech, and areas she believes deserve more focus.  Her themes of humility in the regulatory process, analysis of data, and not protecting people out of opportunities provided an overlay for all her comments.  We greatly appreciate her work and public service.  Crypto Mom delivered!  We discuss our reactions at the end. 

Blockchain Entrepreneurs Roundtable, Part 2:  Tavonia Evans, Karen Hsu, and Bea O’Carroll, entrepreneurs using blockchain and cryptoassets, continue the conversation with a focus on how to create opportunities and products for underserved communities and the impact of COVID-19 on their businesses and their customer bases.  There is also a great sense of community that runs through the entire conversation.  For them, this is partially about developing an inclusive ecosystem through the democratization of economics and value.  They all seem far away from the perception that blockchain is all about scams.  Stay tuned at the end for Troy and Lee’s discussion about what they learned from these dynamic guests.  And just a reminder that nothing in this episode is investment advice or advice of any other type.

Blockchain Entrepreneurs Roundtable, Part 1:  Tavonia Evans, Karen Hsu, and Bea O’Carroll, three entrepreneurs using blockchain and cryptoassets in various ways, talk about the joys and challenges of starting a new company, especially in a nascent space.  They all have similar motivations of creating inclusion and helping different groups gain access to opportunities, such as financial services.  But each has chosen her own business path.  Tavonia is building a blockchain ecosystem to help people of color.  Karen is using blockchain’s transparency to create analytics products and services.  Bea is trading cryptoassets for clients with the goal of bringing them to many more people of all backgrounds and economic means.  A lot of what they want to accomplish is consonant with the original goals of blockchain.  And just a reminder that nothing in this episode is investment advice or advice of any other type.

Chris Giancarlo (former CFTC Chairman) and Daniel Gorfine (former Director of LabCFTC) join us to talk about making a central bank digital currency (or CBDC) version of the US dollar.  The Digital Dollar Project has carved out a large task for itself in trying to bring the dollar fully into the digital realm from the physical realm.  There are many implications, from how people will pay for things to how monetary policy in the country will work.  One key result could me more financial access and inclusion for those who are unbanked or underbanked.  There are also big design questions and issues, such as privacy, law enforcement, payment rails, and how to transition practically to a CBDC.  With the Project's recent white paper, our guests and their team tackle these core topics.  A fascinating idea and effort that we found inspirational.

As we hear from Melissa, she and her colleagues are working hard to try to get things right, balancing many interests.  LabCFTC provides an opportunity for innovators and regulators to interact.  Although the U.S. does not have a regulatory sandbox program, Melissa describes ways to work with regulators.  Melissa mentions the idea of “launch, learn, tune” several times, and that mindset seems like it can be a good approach for both innovators and regulators when done prudently.  The CFTC also has been active in responding to COVID-19, and there is information on its website to explain these initiatives.  Stick with us until the end to hear Troy and Lee chat about the regulation/innovation interface, including the case for more technologists at financial and other regulators.  COVID-19:  Our hearts go out to everyone impacted by the virus, and we applaud the workers on the front lines as they strive to bring the world through this troubling time.

Melissa Netram heads LabCFTC, an office within the U.S. Commodity Futures Trading Commission charged with understanding FinTech innovation and interfacing with the creators of new products and services.  She comes to the job with significant experience in regulatory policy around tech from her time in the private sector and previous government roles.  In leading LabCFTC, Melissa both educates and innovates, seeking the right balance between regulatory requirements and moving technology forward.  Consider signing up for LabCFTC’s office hours and meeting with her and her team as you move your project forward!  COVID-19:  Our hearts go out to everyone impacted by the virus, and we applaud the workers on the front lines as they strive to bring the world through this troubling time.

We return with more thinking from Clara about how to accomplish trust and safety on the internet.  There are many players involved in the discussion, including government agencies, the press, brands, and think tanks, all of whom are committed to the health and welfare of society on (and off) the internet.  All have ideas about the right rules and outcomes.  One core point that Clara emphasizes is how anonymity allows people to engage in conduct they otherwise might avoid if they were identified, and there is little doubt that the internet allows people to gain much more information, including algorithmically biased information, than ever before.  The next few years will be consequential as people without access to the internet get online and as the world becomes increasingly digital.  Even through all of this, Clara remains optimistic, which gives Lee and Troy hope, as you will hear in our post-interview conversation.

COVID-19 shorts No. 5. Balaji Srinivasan paints a fraught picture of the world as a result of the virus, with advances in medical technology in the face of financial system difficulties and restrictions on movement. He sees the further rise of blockchain, cryptoassets and decentralized platforms but at the cost of central governments.

COVID-19 shorts No. 4. Samantha Radocchia talks about what she is seeing in the crisis world, where she sees technology and innovation heading and insights for the future of blockchain, cryptoassets and decentralized platforms.

Title: COVID-19 shorts No. 3. Brad Schneider talks about the world of data during this time of crisis, the role he sees for better data in the future and what might happen to contact tracing data once this troubling time ends.

COVID-19 shorts No. 2.  Prof. Sylvester Johnson talks about what he is seeing in the world of academia and AI, what innovations will come out of the crisis and what insights he has gained during this troubling time.

COVID-19 shorts. Mike Novogratz talks about what he is seeing in the world, where he thinks things are going and what insights hit him during this troubling time. 

Who are the policy makers of the internet?  Clara Tsao, an expert on content moderation and trust and safety on the internet, says that the people establishing the rules for what is (and is not) allowable content on a platform and the protocols for enforcing those rules are the policy makers.  Given the breadth of what’s on the internet (almost limitless content, potentially), the “line drawing” to decide what’s ok and what’s not ok is very difficult with lots of room for second-guessing.  Figuring out a policy about when it’s permissible to show something that might be risqué or how to balance free speech with protecting society from information that could incite terrorism or other physical threats presents key questions that Clara mentions.  Actually applying the rules once they are in place to particular situations is an especially difficult task.  Clara wakes us up to the complexity of trust and safety on the internet.

We delve further into the world of data and the integrity of information with Adaptive Management CEO, Brad Schneider (no relation).  More data is often better because you can look for agreement among the data and the difference observations that diverse data provide.  This can help cancel out some of the bias that can affect an individual data source.  All three of us speculate about how choosing a restaurant based on reviews might involve data analysis and thinking about what question is relevant (no statement or viewpoint about any restaurant review provider is intended).  The granularity of data matters too, as more granular data can illuminate more granular insights.  Listen in to our thoughts at the end after Brad took off.    Since we recorded with Brad, Adaptive was acquired by Knoema, a knowledge management company.  Brad has started NoMad Data, which focuses on helping investment firms and corporations find and use novel sources of data to improve their visibility and efficiency. Visit afdfintech.com for more information.  You can follow us on Twitter at @AfDfintech.  

Alternative data can help us answer questions.  The world of data is a lot larger – and a lot more powerful – than many suspect.  As Adaptive Management’s CEO and a longtime data junkie, Brad Schneider (no relation) spends his time thinking about sources and uses of data so Adaptive can provide useful datasets and analytical tools for its financial services and other clients.  Adaptive’s clients can access and piece together all sorts of novel data to better understand what’s happening.  The expectation is that better data will result in better decisions.  The normalization and standardization of data is key so that the data can be easily read, compared, and integrated – in other words, so that the data can be used effectively.  Since we recorded with Brad, Adaptive was acquired by Knoema, a knowledge management company.  Brad has started NoMad Data, which focuses on helping investment firms and corporations find and use novel sources of data to improve their visibility and efficiency.  Visit afdfintech.com for more information.  You can also follow us on Twitter at @AfDfintech.

Bringing blockchain to securities settlement isn’t easy.  As we discuss with John, a couple of years ago, it felt like everything would move to blockchain in the near future.  As Bond.one realized it would take some time, the business has shifted focus to doing the hard work of education and learning how to integrate with legacy technology systems.  The combination of legacy systems and heavy regulation have led Bond.one to focus on developing centralized blockchain solutions, although John likes to follow the DeFi movement for its innovations.  John also talks about other industries where he sees the potential for blockchain.  Troy and Lee chat at the end about some ideas from John’s remarks.  AfD Conference!  Troy and Lee are going to host a conference in late April or early May!  Details to come, so please check afdfintech.com regularly.  You can also follow us on Twitter at @AfDfintech.

John Mizzi is the Chief Strategy Officer at Bond.one, a technology company helping to revolutionize settlement of debt securities using blockchain.  And it’s not easy!  John explains how their original vision became more realistic to incorporate blockchain and smart contracting where they decided it was most practical and sensible given many pragmatic issues.  John sees blockchain as the future of back-office infrastructure, although it will take time to get there.  To move things along, they are focused on education and taking concrete steps to improve things but without trying to do everything all at once.  It’s an interesting take on how to think about real-world applications of distributed-ledger technology.  AfD Conference!  Troy and Lee are going to host a conference in late April or early May!  Details to come, so please check afdfintech.com regularly.  You can also follow us on Twitter at @AfDfintech.

We continue unpacking with Dr. Mitchell the concept of intelligence and the importance of justice and ethics, including when it comes to computers.  In working on her book, Artificial Intelligence: A Guide for Thinking Humans, Professor Mitchell had a few surprises about both the successes and limits of AI, and offers some cautionary notes as we increasingly look to machines for answers and to do things for us.  Computers do things by brute force computation whereas humans use analogies, that is, drawing from prior experience to inform other judgments in different contexts.  One way to think about this is that hard computations are easy for computers; but easy things for a person, like describing what’s going on outside your window, is very difficult for a computer.  Plus, just because a computer does one thing exceptionally well, it may do other things poorly.  Troy and Lee share some of their own thoughts at the end.  AfD Conference!  Troy and Lee are going to host a conference in late April or early May!  Details to come, so please check afdfintech.com regularly.  You can also follow us on Twitter at @AfDfintech.

 Maybe humans do too sometimes, but we are still way better than computers at common sense.  Dr. Mitchell, a computer scientist at Portland State University and the Santa Fe Institute, defines common sense as understanding the world around you by drawing inferences and making associations from other experiences.  Common sense, in other words, is associated with the ability to analogize – something humans do all the time but that computers aren’t particularly adept at ... yet.  Professor Mitchell’s new book, Artificial Intelligence: A Guide for Thinking Humans, helps the world grasp the current state of AI and what machines are (and not) good at.  AfD Conference!  Troy and Lee are going to host a conference in late April or early May!  Details to come, so please check our website afdfintech.com regularly.  You can also follow us on Twitter at @AfDfintech.

We discuss with Jon his experiences in different roles in the financial markets, and how, as CEO, that has informed how he motivates his team.  He offers interesting insight into how a team is built and managed effectively, including adding emotion to people’s work.  Let’s high five when it’s a good day, and let’s evaluate what happened on a bad day.  There are parallels to sports and how teams pull together and learn together.  Troy and Lee even high five!   

Buyers and sellers want choices regarding what to buy and sell and where to buy and sell it.  Trading stocks for investors is no different, as choice matters there too.  We talk with Jon Clark, the CEO of Luminex, about his efforts building a company with the mission of affording institutional investors another choice centered on trading a large block of shares, rather than accessing the moment-to-moment liquidity of stock markets.  Luminex, which actually is owned by institutional investors, is a stock trading venue for blocks of at least 5000 shares traded by institutional investors.  Luminex’s business is one part of equity market structure, which needs to keep up as technology and market conditions change. 

The secondary market for mobile phones is enormous, and Flavio believes that putting that market on a blockchain-based open platform is the future.  We discuss his thoughts on deploying a permissionless blockchain not only for his own company’s business, but to allow an entire ecosystem to develop that offers all manner of goods and services on a B2B, B2C, and C2C basis.  If mobile phones – the most successful consumer electronics device in history – are any indication, the possibilities seem endless with platforms that leverage the right tech and have the right features.

Flavio’s vision is a peer-to-peer open platform for buying and selling used mobile phones – of which there are millions around the globe.  Flavio shares his take on the mobile phone industry, including existing inefficiencies in how used phones are graded, priced, sold, and delivered to the next owner, all of which he’s hoping to disrupt with blockchain technology.  His plan is to use blockchain to fix informational asymmetries, reduce transaction costs, and promote pricing efficiencies.  Flavio’s ultimate goal is for a platform that fosters a marketplace that is open to everyone and not limited to mobile phones. 

As Dale explains it, our brains have been practicing how to respond to stimuli for millennia. While humans have been around longer than computers, computers can “practice” harder and longer than humans can. And so, through practice, computers can get really good at what they do really quickly. Interestingly, according to Dale, different computers may learn differently, and so machine learning may yield different results by different computers – sort of like how different people learn differently and thus make different decisions. Where will it all lead? Troy and Lee’s wrap-up conversation explores some of the themes they discussed with Dale.

As a neuroscientist for decades, Dale has studied the human brain. Now he has directed what he knows about the human brain to artificial intelligence and machine learning – or, put differently, to the computer brain. Tackling questions about theoretical neuroscience (how the brain does what it does), consciousness (which he thinks is replicable in machines), and perception (what we see may not be reality), Dale offers fascinating insights into both human behavior and machine behavior and how they are linked through the adage of “practice makes perfect.”

Is it more difficult to create the tech or to get it adopted? We continue discussing with Amir his hopes for the internet of things and developing a sensing overlay on the world. We discuss what sparked him to want to create a web of connected devices in the first place and why building the technology is only part of the battle. It takes more than great tech to succeed – you also need people to accept and ultimately adopt your innovation. Acceptance and adoption begin with educating people about what the tech enables – how it can make people’s lives better – so that it can be unleashed in practice. Lee and Troy share some post-conversation thoughts.