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    The Third Web

    Podcast by Arthur Falls

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    Latest Episodes:
    The Third Web #0 - The Ether Review Final Episode Oct 30, 2017
    Show notes

    Welcome to the Third Web. A podcast about the technologies powering the next generation of human civilisation. I’m your host, Arthur Falls. This podcast is targeted at industry observers looking for a technical examination of issues on the frontier of what has become known as the blockchain space. However, for those less versed in the field, supplementary content will be published in anticipation of each episode. Failing that, I’ll add links in the notes to help along the casual listener. Blockchain technology, and specifically, the idea of a value-transport enabled internet is no longer new. Looking at the recent history of the space, we see a hockey stick of innovation and investment. In 2014, just as the first ICO boom launched, I began producing my first podcast, Beyond Bitcoin. It explored the explosion of new blockchain platforms and other innovations in the space. As exciting as this technology was, common problems existed across all platforms: scaling to support broad adoption, and providing a service the mainstream market would accept. After speaking with Meher Roy and Tim Swanson about these problems in early 2015, the line of questioning that inspired me to create Beyond Bitcoin came to an end. In that final episode, we settled on a view of the future in which a network of blockchains secured by permissioned validators would enable global value transfer. This made more sense than a future based on permissionless blockchain networks and all the challenges that came with them. Then came Ethereum. Infinite functionality paired with an aggressive scaling roadmap reopened the question of what might come next, this time examined in a new podcast, The Ether Review. Two years on, having been immersed in the world of Ethereum, interviewed hundreds of people for podcasts, articles and videos and worked for the largest blockchain centric company in the world - ConsenSys, a disturbing reality has become apparent. We have not moved on from the paradigm of 2014, and the Ethereum scaling roadmap will not provide the performance new use cases need to emerge. In future episodes of The Third Web, we will examine blockchain scaling, and ask the questions: What are the design trends bringing greater transaction supply to the market? What new business models will this enable? What new services can we expect to see, and what products will be built using those services? What will the Third Web really look like? Meher Roy was a virologist working in the vaccines industry when we first spoke in 2014. Today he is focussed full time on the blockchain space and hosts the excellent Epicenter podcast. Tim Swanson was director of market research at R3 for two years and has recently founded his own research company, Post Oak Labs Today we’re wrapping up The Ether Review and kicking off The Third Web. Some of the remarks I make in this episode are overstated and under qualified. Please feel free to critique anything views you disagree with in the comments and if there is sufficient intelligent controversy I’ll revisit the subjects in question in subsequent episodes. That was it! The first episode of The Third Web! A big thanks to Breakmaster Cylinder for the tunes. No social, email, or web accounts just yet but you can reach me on twitter @arthurfalls. Of course you should subscribe on itunes or your favorite podcast manager. this feed will probably still be called The Ether Review but it will update in time. http://www.ofnumbers.com https://www.validitylabs.org https://twitter.com/MeherRoy https://twitter.com/ofnumbers https://en.wikipedia.org/wiki/Hawala https://propsproject.com https://soundcloud.com/arthurfalls/beyond-bitcoin-7-trivial-issuance-of-a-useful-asset


    The Ether Review #76 — Attores & Indorse, Smart Contracts as a Service Oct 17, 2017
    Show notes

    The founders of Attores, Gorang Torvekar and David Moskowitz discuss their notion of “smart contracts as a service”. The platform is currently being piloted by nanyang polytechnic in Singapore as a digital diploma registry. This is being extended into a full professional network platform called Indorse, which ran an ICO earlier this year. In addition to the above we discuss the birth of the Ethereum Kovan testnet, which has it’s origins in a pub, just outside the Attores/Ethereum Foundation/Digix co-working space in Singapore. http://www.attores.com/ etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2


    The Ether Review #75 — Streamr, Completing the Data Services Trifecta Oct 11, 2017
    Show notes

    Current solutions for decentralized data processing like Golem or Truebit provide part of a data services solution. Storj, Filecoin, Sia, and others offer storage solutions. Streamer tokenizes the value in streams of Data. Using the same interface for both data delivery and payment, Streamr hopes to create a two sided market for data. This rounds out the basic data services portfolio, operating synergistically with existing projects. CEO Henri Pihkala and COO Risto Karjalainen explain. etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2


    The Ether Review #74 —An Emerging Capital Market Oct 09, 2017
    Show notes

    Element Group is a full service investment bank for the crypto-token markets. Stan Miroshnik has a background in traditional finance. After watching the crypto-markets form, Stan and his colleagues began working to understand these new markets and build a traditional finance business to serve the space. We discuss the maturity of the companies using the token launch fundraising mechanism, and those investing in the tokens. Stan sees an emerging market with strong similarities to traditional capital markets and opportunities for institutions used to investing there. The entry of organizations like Element Group into the crypto-asset space indicates the fulfillment of the prophetic prediction of a super fluid economy Joe Lubin expounded in an episode of Beyond Bitcoin three years ago. It is also a harbinger of a stable paradigm for Ethereum: Capital markets 2.0 etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2


    The Ether Review #73 — Kik, Establishing a Micro-economy Oct 04, 2017
    Show notes

    Today we hear from Ted Livingston, who founded Kik interactive in 2009 to address the problem of chat between blackberry, android and iPhone. Since then their chat app, Kik, has exploded in popularity, experiencing use by up to 40% of US teenagers. In 2015 Tencent, the builder of Chinese chat giant Wechat, purchased a 5% stake in the company at a Billion dollar valuation. A move that some are saying has anointed Kik as the Wechat of the west. It’s interesting to see the youth focus with One Direction leading their award winning marketing campaign of 2014 . Kik is a somewhat anonymous platform, with it’s own economy in which stickers are traded and users can be charged for access to certain chat rooms. By launching the Kik in-app currency, Kin, as a cryptocurrency, Kik interactive aims to enable the Kik micro-economy to grow independently and organically. The Token launch ended recently with nearly one hundred million USD equivalent raised. No surprises there. What is interesting is that registered contributors numbered over 10,000 and resided in over 100 countries, indicating that the currency is indeed broadly distributed compared to other tokens. Though, my guess is it’s concentrated in the hands of speculators, rather than the 15 million community participants. This episode was recorded over two months ago so it’s interesting to look back from the other side of the Token Launch and see Ted’s claims of broad distribution validated. kin.kik.com consensys.net consensysmedia.net etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2


    The Ether Review #72 — Nick Dodson and Governx Sep 21, 2017
    Show notes

    Between re-constructing TheDAO and building his own governance platform Governex (once Boardroom), ConsenSys developer Nick Dodson is building a portfolio of powerful Ethereum based tools. Disappointingly, the Enterprise Ethereum Alliance instantiation of Governx is not up for discussion. However, we do dig into the abstract structure of governance tools, data-driven design, the flaws of The DAO, and what can be salvaged from that project. Ares DAO is a joint project between Nick and shadowy Ethereum community member Dino Mark. By applying the research conducted during the development of Governex, and lessons learned from watching DAOs in the wild, the two man team has repaired and refactored TheDAO. In doing so curators have been removed, direct democracy has been implemented, and the proposal deposit has been raised significantly. The team plan to launch a charity DAO to test the Ares DAO’s functionality. We also chat about the demise of the nation state and the role of tribalism in the evolution of blockchain governance. consensys.net consensysmedia.net etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2


    Ether Review Legal #6 — Playing in a Sandbox Sep 14, 2017
    Show notes

    In today's long overdue, landmark episode we are joined by an international panel of leaders in fin-tech and blockchain law: Claire Wivell, Hannah Glass (Australia), Alex Simms (New Zealand), Peter van Valkenburgh (USA), and James Duchenne (USA/Mauritius) The theme for the discussion was regulatory sandboxes — frameworks for enabling businesses to operate in a deregulated environment. The goal is to allow legislative bodies to develop an understanding of new businesses before regulating them. We have seen a successful example in the United Kingdom, but Australia’s efforts to replicate this have not been so successful. Claire Wivell explains why. We follow this with a discussion of the unique environments of Australia, Mauritius, Singapore and Dubai. New Zealand unfortunately is not so interesting at this stage (both Alex Simms and myself have independently been involved in some interesting conversations since this episode was recorded so watch this space). We conclude that a US regulatory sandbox is impossible due to the interaction of federal and state legislation and the complexity of their enforcement agencies. However, there is hope if a bright line can be defined between the regulation of custodial and non-custodial businesses consensys.net consensysmedia.net etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2


    Ether Review Legal #5 - BernsWeiss Stops the IRS in its Tracks Aug 23, 2017
    Show notes

    Lee Weiss of the US law firm BernsWeiss discusses the Coinbase/IRS dispute. The dispute began in November 2016, when the IRS summoned Coinbase to hand over data about all users who were active on the exchange from 2013 to 2015, with a view to investigating the tax compliance of individuals who have transacted in cryptocurrencies. On behalf of one or more anonymous Coinbase users, BernsWeiss took the issue to court and was recently granted permission to argue against the summons, which among other things demanded access to users’ public and private keys. If complied with, this would effectively give the IRS access to all customer funds, making it a clear and easy target for hackers. This is an unprecedented use of the John Doe summons procedure, which was intended for situations where the IRS has identified specific tax avoidance but can’t identify the specific parties who have engaged in that illicit conduct. If determined to be legal, this summons would set a precedent under which the IRS could demand the same from other exchanges. BernsWeiss intends to continue fighting this massive government overreach unless and until the IRS can identify a specific subset of taxpayers who it is reasonably certain are engaging in tax avoidance. After the hearing, the government removed the request for private keys, now only requiring public keys. The IRS also voluntarily narrowed the scope of the summons to only cover individuals who engaged in virtual currency transactions in excess of $20,000 in a given year. This figure is likely arbitrary, and suggests that the government is simply trying to gather as much information as possible rather than engaging in a specific investigation. This case illustrates the lack of understanding about these new financial instruments within government. With this summons, the IRS effectively places virtual currencies into the “inherently suspicious” tax avoidance category with things like large transactions, questionable tax shelters, and other mechanisms which are clearly designed to avoid taxes and typically don’t have a legitimate purpose - unlike cryptocurrencies. Berns Weiss LLP - www.law111.com twitter.com/BernsWeiss consensys.net consensysmedia.net etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2


    Ether Review #71 - David Bailey on Po.et & the MtGox/BTC-e Connection Aug 10, 2017
    Show notes

    David Bailey, CEO of BTC Media, discusses the recent shutdown of BTC-e and its mysterious connection to the MtGox hack which led to the exchange’s demise in 2014. He also introduces Po.et, a revolutionary proof-of-existence blockchain platform. The arrest of Alexander Vinnik and seizure of the BTC-e website by the FBI in late July shed some long-awaited light on the cold case of the 650,000 bitcoins which went missing from MtGox over several years from 2011 to 2013. Upon his arrest, WizSec released a comprehensive report detailing their findings on the matter, and stating that “Vinnik is [their] chief suspect for involvement in the MtGox theft (or the laundering of the proceeds thereof).” Bailey also talks about BTC Media’s partnership with Po.et, whose proof-of-existence mechanism uses hashing to allow media producers to timestamp and license their content in an unalterable system which will verify and automatically issue digital ownership. Po.et combines this timestamp with metadata about the published content to build an open ledger of media assets which includes information such as the original URL, the word count, the author’s name and the publisher. Po.et also enables split-equity and payments terms for writers whose work is published by BTC Media, as well as different licensing agreements. Other use cases include the re-monetization of old content and individual profile management systems for employees of media outlets. The Po.et platform will ultimately build a digital fingerprint of each author’s history and preserve their portfolio on a blockchain, revolutionizing the way in which digital content is published, leveraged and monetized. twitter.com/davidfbailey btcmedia.org twitter.com/_poetproject po.et consensys.net consensysmedia.net etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2 Read more about the developing timeline of the MtGox and BTC-e connection (medium.com/@liesleichholz/mtgox-btc-e-and-the-missing-coins-a-living-timeline-of-the-greatest-cyber-crime-ever-f94fbb1eb42) & the lasting regulatory legacy of the hack (https://etherreview.info/mtgoxs-lasting-regulatory-legacy-a21960867600)


    Ether Review Legal #4 - MME, the Beating Heart of Crypto Valley Aug 04, 2017
    Show notes

    Luka Müller and Dianne Schepers of MME - the Swiss law firm famous for running the Ethereum crowdsale - discuss jurisdictional constraints, Crypto Valley, novel crypto-asset classes and the “second wave” of tokenization. With 25 previous “token generating events” and 60 pending projects, MME is a clear leader in the crypto law realm. The firm is now welcoming a “second wave” of clients; companies from the legacy economy which are seeking ways to enter the blockchain world through tokenizing their pre-existing equity. In this discussion Luka outlines some of the major distinctions between US and Swiss law in relation to token issuance, looking at securities law, donations, and the commonly used foundation model. These and other regulatory differences, compounded by the stable and already-decentralized nature of Swiss government, make Switzerland the ideal jurisdiction for Crypto Valley, the rapidly growing successor to Silicon Valley based in Zug, a financial center. Alongside its long list of clients, MME is now focussed on creating Blockchain Crypto Property (BCP) standards. The final BCP paper, to be published in August, will classify tokens under a range of asset classes and outline a quality checklist for various token models. These standards will simplify risk assessment and ensure that tokens issued in Switzerland will be globally listable and tradeable. mme.ch twitter.com/MME_Switzerland consensys.net consensysmedia.net etherreview.info https://itunes.apple.com//podcast/the-ether-review/id899090462?mt=2


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