[Script Info]
Title: 
[Events]
Format: Layer, Start, End, Style, Name, MarginL, MarginR, MarginV, Effect, Text
Dialogue: 0,0:00:18.11,0:00:21.94,Default,,0000,0000,0000,,We are at the dawn\Nof the digital civilization,
Dialogue: 0,0:00:22.51,0:00:26.70,Default,,0000,0000,0000,,we have probably already figured that out\Nbecause our mail has become digital,
Dialogue: 0,0:00:26.70,0:00:29.64,Default,,0000,0000,0000,,music and movies have become liquid,
Dialogue: 0,0:00:29.64,0:00:34.33,Default,,0000,0000,0000,,and all those things\Nthat used to sit on our shelves,
Dialogue: 0,0:00:34.33,0:00:37.82,Default,,0000,0000,0000,,like encyclopedia, have gone,\Nreplaced now by Wikipedia.
Dialogue: 0,0:00:38.61,0:00:41.34,Default,,0000,0000,0000,,Nowadays we expect, correctly or not,
Dialogue: 0,0:00:41.34,0:00:43.47,Default,,0000,0000,0000,,that an entire banking\Nand financial system
Dialogue: 0,0:00:43.47,0:00:45.54,Default,,0000,0000,0000,,will fit in our smartphones.
Dialogue: 0,0:00:45.54,0:00:50.06,Default,,0000,0000,0000,,The Nobel Prize in Economics,\NMilton Friedman, had already predicted it.
Dialogue: 0,0:00:50.06,0:00:52.86,Default,,0000,0000,0000,,In 1999 he said: "What we are missing now,
Dialogue: 0,0:00:52.86,0:00:55.46,Default,,0000,0000,0000,,and will be certainly created\Nin a short while,
Dialogue: 0,0:00:55.46,0:00:58.14,Default,,0000,0000,0000,,is a digital currency -
Dialogue: 0,0:00:58.14,0:01:02.20,Default,,0000,0000,0000,,mind you, not a digital coin\Nlinked to an individual;
Dialogue: 0,0:01:02.20,0:01:04.28,Default,,0000,0000,0000,,but rather personal cash
Dialogue: 0,0:01:04.28,0:01:08.10,Default,,0000,0000,0000,,that can be used anonimously,\Nby anyone, online.
Dialogue: 0,0:01:08.10,0:01:13.20,Default,,0000,0000,0000,,This prophecy has been fulfilled\Nby the creation of Bitcoin,
Dialogue: 0,0:01:13.20,0:01:17.42,Default,,0000,0000,0000,,which absolutely is\Npole position in the race.
Dialogue: 0,0:01:17.42,0:01:18.60,Default,,0000,0000,0000,,Why?
Dialogue: 0,0:01:18.60,0:01:21.63,Default,,0000,0000,0000,,Not so much for being,\Nquite obviously, digital:
Dialogue: 0,0:01:21.63,0:01:25.45,Default,,0000,0000,0000,,our euros and dollars have been digital\Nfor quite a long time too.
Dialogue: 0,0:01:26.01,0:01:28.99,Default,,0000,0000,0000,,Rather, it's because it is decentralized:
Dialogue: 0,0:01:28.99,0:01:32.80,Default,,0000,0000,0000,,there is no organization,\Nno government behind it
Dialogue: 0,0:01:32.80,0:01:38.02,Default,,0000,0000,0000,,that holds the power to manage it\Nand supervise its functionality.
Dialogue: 0,0:01:38.02,0:01:40.33,Default,,0000,0000,0000,,And this, albeit a bit scary,
Dialogue: 0,0:01:40.33,0:01:46.02,Default,,0000,0000,0000,,it’s a very strong guarantee\Nthat Bitcoin cannot be manipulated.
Dialogue: 0,0:01:47.02,0:01:49.84,Default,,0000,0000,0000,,It's that type of innovation
Dialogue: 0,0:01:49.84,0:01:52.100,Default,,0000,0000,0000,,known in the English-speaking world\Nas "permissionless innovation".
Dialogue: 0,0:01:53.99,0:01:57.29,Default,,0000,0000,0000,,What does that mean?
Dialogue: 0,0:01:57.29,0:02:00.67,Default,,0000,0000,0000,,It’s a type of innovation\Nthat has no centralized safety mechanisms,
Dialogue: 0,0:02:00.67,0:02:03.20,Default,,0000,0000,0000,,no entry checks,
Dialogue: 0,0:02:03.20,0:02:07.42,Default,,0000,0000,0000,,not even an editorial\Ncontent control system.
Dialogue: 0,0:02:07.42,0:02:11.17,Default,,0000,0000,0000,,If you're getting scared\Nby this seemingly anarchic plan,
Dialogue: 0,0:02:11.17,0:02:12.88,Default,,0000,0000,0000,,there's no need to worry.
Dialogue: 0,0:02:12.88,0:02:15.60,Default,,0000,0000,0000,,We've already witnessed\Nthis type of innovation in action,
Dialogue: 0,0:02:15.60,0:02:18.91,Default,,0000,0000,0000,,and it proved to be\Nboth effective and gentle.
Dialogue: 0,0:02:18.91,0:02:20.61,Default,,0000,0000,0000,,The e-mail, for example:
Dialogue: 0,0:02:20.61,0:02:23.55,Default,,0000,0000,0000,,it was not invented\Nby a consortium of post-offices,
Dialogue: 0,0:02:23.55,0:02:27.39,Default,,0000,0000,0000,,the Internet was not invented\Nby a telcos consortium,
Dialogue: 0,0:02:27.39,0:02:31.32,Default,,0000,0000,0000,,So why should a transactional\Nnetwork of value
Dialogue: 0,0:02:31.32,0:02:33.62,Default,,0000,0000,0000,,be built by a consortium of banks?
Dialogue: 0,0:02:34.28,0:02:37.76,Default,,0000,0000,0000,,I can't really wrap my mind around it.
Dialogue: 0,0:02:38.78,0:02:41.33,Default,,0000,0000,0000,,I came across Bitcoin in 2014 -
Dialogue: 0,0:02:41.33,0:02:43.02,Default,,0000,0000,0000,,I studied physics,
Dialogue: 0,0:02:43.55,0:02:47.45,Default,,0000,0000,0000,,and I worked for more than 20 years\Nin the field of investment banks,
Dialogue: 0,0:02:47.45,0:02:49.13,Default,,0000,0000,0000,,finance and so on.
Dialogue: 0,0:02:49.78,0:02:54.55,Default,,0000,0000,0000,,But I had never asked myself,\Nnot even once, what money is.
Dialogue: 0,0:02:55.06,0:02:57.18,Default,,0000,0000,0000,,The first time I thought about it
Dialogue: 0,0:02:57.18,0:02:58.78,Default,,0000,0000,0000,,was when I stumbled upon Bitcoin:
Dialogue: 0,0:02:58.78,0:03:02.68,Default,,0000,0000,0000,,up to now, that's the best gift\Nthat Bitcoin has ever given me.
Dialogue: 0,0:03:02.68,0:03:06.32,Default,,0000,0000,0000,,So I'd like to play a game with you,
Dialogue: 0,0:03:06.32,0:03:09.60,Default,,0000,0000,0000,,let's try and go over the history\Nof currency in only three minutes.
Dialogue: 0,0:03:09.60,0:03:10.74,Default,,0000,0000,0000,,Here we go!
Dialogue: 0,0:03:10.74,0:03:14.42,Default,,0000,0000,0000,,The earlies form of currency\Nwe find in history is gold.
Dialogue: 0,0:03:15.02,0:03:16.16,Default,,0000,0000,0000,,Why?
Dialogue: 0,0:03:16.16,0:03:19.25,Default,,0000,0000,0000,,It might seems weird,\Nbut gold had two peculiar characteristics:
Dialogue: 0,0:03:19.25,0:03:21.100,Default,,0000,0000,0000,,there wasn't much of it, and it shone.
Dialogue: 0,0:03:22.42,0:03:26.48,Default,,0000,0000,0000,,Turns out, human beings\Nlove shining things.
Dialogue: 0,0:03:26.100,0:03:29.04,Default,,0000,0000,0000,,Gold was also quite malleable,
Dialogue: 0,0:03:29.66,0:03:33.54,Default,,0000,0000,0000,,and it is fairly easy\Nto determine its purity.
Dialogue: 0,0:03:33.54,0:03:37.28,Default,,0000,0000,0000,,Take a pot, put it on the fire,\Nlet the gold melt
Dialogue: 0,0:03:37.28,0:03:39.61,Default,,0000,0000,0000,,and then wait for it to cool down.
Dialogue: 0,0:03:39.61,0:03:43.01,Default,,0000,0000,0000,,If it's still shining\Nafter this thermal shock,
Dialogue: 0,0:03:43.01,0:03:46.72,Default,,0000,0000,0000,,it's definitely gold, trust me:\Nany other material would stop shining,
Dialogue: 0,0:03:47.23,0:03:52.29,Default,,0000,0000,0000,,But if for every business transaction\Nthe process needed to be repeated,
Dialogue: 0,0:03:52.29,0:03:54.93,Default,,0000,0000,0000,,it would have been difficult.
Dialogue: 0,0:03:54.93,0:03:58.10,Default,,0000,0000,0000,,So we asked Julius -\Nyes, I mean Julius Caesar -
Dialogue: 0,0:03:58.10,0:04:01.70,Default,,0000,0000,0000,,"Look, Julius, how about\Nputting your face on the gold coin
Dialogue: 0,0:04:01.70,0:04:04.72,Default,,0000,0000,0000,,as a guarantee there's\Nthat much gold in it?"
Dialogue: 0,0:04:05.54,0:04:10.22,Default,,0000,0000,0000,,The first deflationay crisis\Ncame about with his heir,
Dialogue: 0,0:04:10.22,0:04:11.70,Default,,0000,0000,0000,,Augustus Caesar.
Dialogue: 0,0:04:11.70,0:04:13.26,Default,,0000,0000,0000,,Even the peasants realized,
Dialogue: 0,0:04:13.26,0:04:16.66,Default,,0000,0000,0000,,sestertia did not contain\Nthe figure amount of gold.
Dialogue: 0,0:04:17.33,0:04:19.59,Default,,0000,0000,0000,,But for the medioeval merchant,
Dialogue: 0,0:04:19.59,0:04:21.68,Default,,0000,0000,0000,,gold had even another problem:
Dialogue: 0,0:04:21.68,0:04:22.98,Default,,0000,0000,0000,,it was really heavy.
Dialogue: 0,0:04:22.98,0:04:26.56,Default,,0000,0000,0000,,Gold has a very high density, so it was\Nuncomfortable to carry it around.
Dialogue: 0,0:04:26.56,0:04:31.18,Default,,0000,0000,0000,,And also risky, for you\Ncan be robbed by bandits.
Dialogue: 0,0:04:31.76,0:04:35.42,Default,,0000,0000,0000,,Almost at the same time in history,\NLondon-based goldsmiths
Dialogue: 0,0:04:35.42,0:04:38.01,Default,,0000,0000,0000,,and those who would later become\Nthe Italian bankers,
Dialogue: 0,0:04:38.01,0:04:39.63,Default,,0000,0000,0000,,they came up with the same idea:
Dialogue: 0,0:04:39.63,0:04:43.69,Default,,0000,0000,0000,,they suggested the merchant\Nto leave the gold in their vaults
Dialogue: 0,0:04:43.69,0:04:48.00,Default,,0000,0000,0000,,in exchange for a certificate\Nthat first was nominal,
Dialogue: 0,0:04:48.00,0:04:50.43,Default,,0000,0000,0000,,and would later become\Na bearer certificate.
Dialogue: 0,0:04:50.43,0:04:52.88,Default,,0000,0000,0000,,It was a bank-note
Dialogue: 0,0:04:52.88,0:04:58.13,Default,,0000,0000,0000,,with which one goes to her pawn counter\Nand redeem her gold back.
Dialogue: 0,0:04:58.13,0:05:00.52,Default,,0000,0000,0000,,That's how the banknote was born:
Dialogue: 0,0:05:00.52,0:05:03.84,Default,,0000,0000,0000,,a currency that represents\Nan amount of value stored elsewhere.
Dialogue: 0,0:05:03.84,0:05:07.14,Default,,0000,0000,0000,,But both the Britons and the Italians\Ncouldn't resist a temptation:
Dialogue: 0,0:05:07.14,0:05:11.30,Default,,0000,0000,0000,,after noting that most of the time
Dialogue: 0,0:05:11.30,0:05:14.51,Default,,0000,0000,0000,,people did not ask for the gold back.
Dialogue: 0,0:05:14.51,0:05:18.42,Default,,0000,0000,0000,,So they had what we might call\Na spark of genius.
Dialogue: 0,0:05:18.42,0:05:23.28,Default,,0000,0000,0000,,They thought: "If we print more banknotes\Nthan there's gold in our vaults,
Dialogue: 0,0:05:23.28,0:05:25.46,Default,,0000,0000,0000,,who will notice it?"
Dialogue: 0,0:05:25.46,0:05:26.97,Default,,0000,0000,0000,,Do you know what the answer is?
Dialogue: 0,0:05:26.97,0:05:28.25,Default,,0000,0000,0000,,No, no one!
Dialogue: 0,0:05:28.25,0:05:31.07,Default,,0000,0000,0000,,So the fractional coin appeared:
Dialogue: 0,0:05:31.07,0:05:32.46,Default,,0000,0000,0000,,there are more banknotes
Dialogue: 0,0:05:32.46,0:05:35.42,Default,,0000,0000,0000,,that the redeemable gold.
Dialogue: 0,0:05:35.42,0:05:37.06,Default,,0000,0000,0000,,Jumping forward in history:
Dialogue: 0,0:05:37.06,0:05:41.62,Default,,0000,0000,0000,,in 1972, even in a regime\Nof fractional currency,
Dialogue: 0,0:05:41.62,0:05:48.05,Default,,0000,0000,0000,,the redeemibility of money,\NUS dollars in this case, in gold,
Dialogue: 0,0:05:48.05,0:05:52.03,Default,,0000,0000,0000,,was still a limiting factor\Nfor those in charge of monetary policy.
Dialogue: 0,0:05:52.42,0:05:55.52,Default,,0000,0000,0000,,But Richard Nixon had enough,\Nand he decided that
Dialogue: 0,0:05:55.52,0:05:58.25,Default,,0000,0000,0000,,the US dollar couldn't be converted\Nin gold anymore.
Dialogue: 0,0:05:58.25,0:06:00.84,Default,,0000,0000,0000,,From that point on, we have "Fiat money",
Dialogue: 0,0:06:00.84,0:06:03.64,Default,,0000,0000,0000,,and I do mean exactly\N"Fiat Lux et Lux Fuit":
Dialogue: 0,0:06:03.64,0:06:06.56,Default,,0000,0000,0000,,a currency whose value\Nis purely conventional,
Dialogue: 0,0:06:06.56,0:06:10.15,Default,,0000,0000,0000,,its value it’s based on a social contract\Nthat we all agree on.
Dialogue: 0,0:06:10.15,0:06:12.16,Default,,0000,0000,0000,,And if someone does not agree,
Dialogue: 0,0:06:12.16,0:06:16.05,Default,,0000,0000,0000,,we can force that person\Nby using something know as “legal tender”,
Dialogue: 0,0:06:16.05,0:06:21.05,Default,,0000,0000,0000,,which means that fiat money\Nmust be accepted to pay back a debt.
Dialogue: 0,0:06:21.96,0:06:25.17,Default,,0000,0000,0000,,Let me say it, this is a bad coin,
Dialogue: 0,0:06:25.17,0:06:27.94,Default,,0000,0000,0000,,actually, we could even say\Nthat it’s a terrible coin:
Dialogue: 0,0:06:27.94,0:06:32.08,Default,,0000,0000,0000,,we don’t need to recall\Nthe most egregious examples
Dialogue: 0,0:06:32.08,0:06:33.88,Default,,0000,0000,0000,,in the history of money.
Dialogue: 0,0:06:33.88,0:06:36.81,Default,,0000,0000,0000,,Our dear old friend US dollar,\Nalready proves it:
Dialogue: 0,0:06:36.81,0:06:39.50,Default,,0000,0000,0000,,its performance\Nit’s not exactly impeccable.
Dialogue: 0,0:06:39.50,0:06:44.28,Default,,0000,0000,0000,,Starting from 1913, the year in which\Nthe Federal Reserve was funded,
Dialogue: 0,0:06:44.28,0:06:49.39,Default,,0000,0000,0000,,the USA dollar has lost\Nmore than 96% of its purchase power.
Dialogue: 0,0:06:49.39,0:06:51.72,Default,,0000,0000,0000,,That means, it’s a bad currency.
Dialogue: 0,0:06:51.72,0:06:55.15,Default,,0000,0000,0000,,It's the typical result\Nof a monopoly situation.
Dialogue: 0,0:06:55.15,0:06:57.90,Default,,0000,0000,0000,,Friedrich von Hayek,\NNobel Prize in Economics
Dialogue: 0,0:06:57.90,0:07:01.10,Default,,0000,0000,0000,,and founder of the Austrian school\Nof economic thought,
Dialogue: 0,0:07:01.10,0:07:04.43,Default,,0000,0000,0000,,wrote an entire book\Nbemoaning the fact that:
Dialogue: 0,0:07:04.43,0:07:09.48,Default,,0000,0000,0000,,"We deem essential the government's\Nmonopoly of the currency.
Dialogue: 0,0:07:09.48,0:07:13.16,Default,,0000,0000,0000,,We would accept the monopoly\Nover no kind of good,
Dialogue: 0,0:07:13.16,0:07:14.82,Default,,0000,0000,0000,,in a market economy.
Dialogue: 0,0:07:14.82,0:07:18.11,Default,,0000,0000,0000,,Yet we do accept the monopoly\Nof that syntethic product
Dialogue: 0,0:07:18.11,0:07:21.74,Default,,0000,0000,0000,,that has half of the power\Nin any business transaction:
Dialogue: 0,0:07:21.74,0:07:23.24,Default,,0000,0000,0000,,the currency.
Dialogue: 0,0:07:23.24,0:07:26.36,Default,,0000,0000,0000,,Like any type of monopoly,\Nnot only it delivered us a bad product,
Dialogue: 0,0:07:26.36,0:07:30.37,Default,,0000,0000,0000,,but it forbid us\Nfrom looking for a better one.”
Dialogue: 0,0:07:30.37,0:07:32.38,Default,,0000,0000,0000,,Therefore, Hayek did conclude:
Dialogue: 0,0:07:32.38,0:07:34.78,Default,,0000,0000,0000,,"If we ever want to have\Na good currency again,
Dialogue: 0,0:07:34.78,0:07:37.45,Default,,0000,0000,0000,,we have to take it away\Nfrom the control of the States.
Dialogue: 0,0:07:37.45,0:07:39.94,Default,,0000,0000,0000,,And since we cannot do that using force -
Dialogue: 0,0:07:39.94,0:07:43.82,Default,,0000,0000,0000,,he was a good man,\Nand I comply with his invitation -
Dialogue: 0,0:07:43.82,0:07:49.56,Default,,0000,0000,0000,,we should do it with a clever gimmick,\Nsomething they wouldn’t be able to stop.”
Dialogue: 0,0:07:49.56,0:07:54.08,Default,,0000,0000,0000,,Bitcoin is exactly that clever gimmick.
Dialogue: 0,0:07:54.08,0:07:59.05,Default,,0000,0000,0000,,Now let’s try to dive deeply\Ninto what a currency is.
Dialogue: 0,0:07:59.05,0:08:02.85,Default,,0000,0000,0000,,Money is, in it's essence,\Na tool for social relationships.
Dialogue: 0,0:08:02.85,0:08:06.01,Default,,0000,0000,0000,,I know that this might not be\Nthe definition you were expecting;
Dialogue: 0,0:08:06.01,0:08:08.22,Default,,0000,0000,0000,,but if you think about\Nyour own experience,
Dialogue: 0,0:08:08.22,0:08:10.91,Default,,0000,0000,0000,,we were all born in a gift economy.
Dialogue: 0,0:08:10.91,0:08:12.100,Default,,0000,0000,0000,,I hope that none of you had to pay
Dialogue: 0,0:08:12.100,0:08:16.47,Default,,0000,0000,0000,,for all the parental care you received:
Dialogue: 0,0:08:16.47,0:08:18.94,Default,,0000,0000,0000,,otherwise I would feel\Nvery sorry for you all,
Dialogue: 0,0:08:18.94,0:08:20.91,Default,,0000,0000,0000,,and quite happy for your therapist,
Dialogue: 0,0:08:20.91,0:08:24.49,Default,,0000,0000,0000,,who will certainly have\Na lot to work on with you.
Dialogue: 0,0:08:24.49,0:08:28.90,Default,,0000,0000,0000,,But this gift economy\Ndoesn’t only encompass our family,
Dialogue: 0,0:08:28.90,0:08:31.84,Default,,0000,0000,0000,,our friends, our neighbours,
Dialogue: 0,0:08:31.84,0:08:35.52,Default,,0000,0000,0000,,what we could call “our tribe”.
Dialogue: 0,0:08:35.52,0:08:38.03,Default,,0000,0000,0000,,It’s an economy that doesn’t scale,
Dialogue: 0,0:08:38.03,0:08:41.52,Default,,0000,0000,0000,,because sooner or later\Nwe will run into people we don’t know,
Dialogue: 0,0:08:41.52,0:08:44.38,Default,,0000,0000,0000,,and that is why we don’t trust them -\Nor maybe, sometimes,
Dialogue: 0,0:08:44.38,0:08:46.77,Default,,0000,0000,0000,,we don’t trust them\Nprecisely because we know them,
Dialogue: 0,0:08:46.77,0:08:48.36,Default,,0000,0000,0000,,which is more or less the same.
Dialogue: 0,0:08:48.36,0:08:52.95,Default,,0000,0000,0000,,But we are inherently social animals,
Dialogue: 0,0:08:52.95,0:08:57.24,Default,,0000,0000,0000,,that’s what we are anthropologically,
Dialogue: 0,0:08:57.24,0:09:00.64,Default,,0000,0000,0000,,so we want to cooperate\Neven with those we do not trust.
Dialogue: 0,0:09:00.64,0:09:03.10,Default,,0000,0000,0000,,So, at first, we invented\Nthe practice of bartering:
Dialogue: 0,0:09:03.10,0:09:07.88,Default,,0000,0000,0000,,I give you my eggs, but it just so happens\Nyou’re going to give me your milk today.
Dialogue: 0,0:09:07.88,0:09:12.54,Default,,0000,0000,0000,,Alternatively, in order to barter\Nanywhere and anytime,
Dialogue: 0,0:09:12.54,0:09:14.43,Default,,0000,0000,0000,,we invented the currency:
Dialogue: 0,0:09:14.43,0:09:19.79,Default,,0000,0000,0000,,a syntethic good that allows us\Nto cooperate with people we do not trust.
Dialogue: 0,0:09:19.79,0:09:24.27,Default,,0000,0000,0000,,I'm not sure about you, but I hope\Nfor a moment of intellectual upheaval,
Dialogue: 0,0:09:24.27,0:09:27.65,Default,,0000,0000,0000,,because I reckon this remark\Nas hugely important:
Dialogue: 0,0:09:27.65,0:09:33.22,Default,,0000,0000,0000,,a currency is a tool we use to cooperate\Nwith people we have no trust in.
Dialogue: 0,0:09:34.00,0:09:35.55,Default,,0000,0000,0000,,So it's quite clear that, today,
Dialogue: 0,0:09:35.55,0:09:39.93,Default,,0000,0000,0000,,in what it’s for the first time\Na digital and global information economy,
Dialogue: 0,0:09:39.93,0:09:43.71,Default,,0000,0000,0000,,the need arises\Nfor a supranational currency,
Dialogue: 0,0:09:43.71,0:09:47.69,Default,,0000,0000,0000,,a digital coin, not controlled by states,
Dialogue: 0,0:09:47.69,0:09:50.86,Default,,0000,0000,0000,,a global currency,\Na currency of the Internet.
Dialogue: 0,0:09:50.86,0:09:55.67,Default,,0000,0000,0000,,The problem is, it is insanely hard\Nto create an Internet currency.
Dialogue: 0,0:09:56.23,0:10:00.51,Default,,0000,0000,0000,,The biggest problem is known\Nas “double expense problem”.
Dialogue: 0,0:10:00.51,0:10:05.40,Default,,0000,0000,0000,,Every time that we have a digital artifact\Nthat represents a value,
Dialogue: 0,0:10:05.40,0:10:08.04,Default,,0000,0000,0000,,we've always needed\Na centralized authority
Dialogue: 0,0:10:08.04,0:10:10.43,Default,,0000,0000,0000,,in order to prevent its duplication.
Dialogue: 0,0:10:10.43,0:10:13.57,Default,,0000,0000,0000,,Digital as it is, it’s easily duplicable.
Dialogue: 0,0:10:13.57,0:10:16.68,Default,,0000,0000,0000,,It’s easy to grasp:\Nconsider your current account balance.
Dialogue: 0,0:10:17.18,0:10:20.35,Default,,0000,0000,0000,,If I transfer my current balance account\Nto your account -
Dialogue: 0,0:10:20.35,0:10:23.01,Default,,0000,0000,0000,,don’t get your hopes up,\NI don’t have that much money -
Dialogue: 0,0:10:23.01,0:10:25.75,Default,,0000,0000,0000,,and then I try to transfer it again\Nto the gentleman here,
Dialogue: 0,0:10:25.75,0:10:29.24,Default,,0000,0000,0000,,my bank, which controls the updates\Nof the ledger, is going to tell me:
Dialogue: 0,0:10:29.24,0:10:31.52,Default,,0000,0000,0000,,"No Ferdinando, you cannot do that.”
Dialogue: 0,0:10:31.52,0:10:36.69,Default,,0000,0000,0000,,How are we going to create\Na valuable digital asset,
Dialogue: 0,0:10:36.69,0:10:38.55,Default,,0000,0000,0000,,that is to say an non-duplicable asset?
Dialogue: 0,0:10:38.55,0:10:40.75,Default,,0000,0000,0000,,Because – think about\Nthe painting "Gioconda".
Dialogue: 0,0:10:40.75,0:10:42.38,Default,,0000,0000,0000,,Gorgeous, no doubts about that.
Dialogue: 0,0:10:42.38,0:10:44.86,Default,,0000,0000,0000,,Its market price is incalculable.
Dialogue: 0,0:10:44.47,0:10:47.30,Default,,0000,0000,0000,,But if the painting\Ncould be duplicated without control,
Dialogue: 0,0:10:47.30,0:10:49.81,Default,,0000,0000,0000,,for an unlimited number of perfect copies,
Dialogue: 0,0:10:49.81,0:10:51.28,Default,,0000,0000,0000,,it would still be gorgeous,
Dialogue: 0,0:10:51.28,0:10:53.97,Default,,0000,0000,0000,,but its market price\Nwould drop down to zero.
Dialogue: 0,0:10:53.97,0:10:57.26,Default,,0000,0000,0000,,That’s what is happening with Bitcoin,
Dialogue: 0,0:10:57.26,0:11:00.91,Default,,0000,0000,0000,,and it's limited to 21 milion Bitcoins.
Dialogue: 0,0:11:00.91,0:11:04.94,Default,,0000,0000,0000,,Bitcoin, in a way, is as scarce\Nas physical gold:
Dialogue: 0,0:11:04.94,0:11:08.06,Default,,0000,0000,0000,,gold on the physical level,\NBitcoin on the digital level.
Dialogue: 0,0:11:08.50,0:11:12.95,Default,,0000,0000,0000,,Bitcoin is, or at least is aspires to be,\Nthe digital counterpart of gold.
Dialogue: 0,0:11:12.95,0:11:16.71,Default,,0000,0000,0000,,And now I'm going to hope\Nfor a second moment of upheaval.
Dialogue: 0,0:11:16.71,0:11:22.21,Default,,0000,0000,0000,,I’m pretty sure, you all today\Ncame here in this theatre
Dialogue: 0,0:11:22.21,0:11:25.44,Default,,0000,0000,0000,,believing every digital thing\Ncan be duplicated.
Dialogue: 0,0:11:25.44,0:11:29.69,Default,,0000,0000,0000,,This is the very intuition\Nthat Bitcoin proves wrong:
Dialogue: 0,0:11:29.69,0:11:31.51,Default,,0000,0000,0000,,It’s a digital gold
Dialogue: 0,0:11:31.51,0:11:35.49,Default,,0000,0000,0000,,and attached to it,\Ninside of the Bitcoin itself,
Dialogue: 0,0:11:35.49,0:11:39.48,Default,,0000,0000,0000,,there is a transnational network,\Nwhich is both safe and not-censurable,
Dialogue: 0,0:11:39.48,0:11:42.82,Default,,0000,0000,0000,,that can be used\Nto transfer this gold globally.
Dialogue: 0,0:11:42.82,0:11:46.12,Default,,0000,0000,0000,,I know you are skeptical,\NI can see it in your faces.
Dialogue: 0,0:11:46.12,0:11:47.99,Default,,0000,0000,0000,,Let’s play another game, then:
Dialogue: 0,0:11:47.99,0:11:50.40,Default,,0000,0000,0000,,imagine that an alien\Nwas going to land here, okay?
Dialogue: 0,0:11:50.40,0:11:53.04,Default,,0000,0000,0000,,You have to explain\Nthe traditional currencies to him,
Dialogue: 0,0:11:53.04,0:11:54.98,Default,,0000,0000,0000,,and I’m going to explain Bitcoin.
Dialogue: 0,0:11:54.98,0:11:57.70,Default,,0000,0000,0000,,I will start right away\Nby telling the alien:
Dialogue: 0,0:11:57.70,0:12:01.18,Default,,0000,0000,0000,,"Look, their currecies\Nhave no inherent value."
Dialogue: 0,0:12:01.18,0:12:03.70,Default,,0000,0000,0000,,At this point you might respond,\Nslightly irritated:
Dialogue: 0,0:12:03.70,0:12:07.07,Default,,0000,0000,0000,,"The same goes for Bitcoins, Ferdinando!"
Dialogue: 0,0:12:07.07,0:12:08.50,Default,,0000,0000,0000,,And I will say, you serious?
Dialogue: 0,0:12:08.50,0:12:11.47,Default,,0000,0000,0000,,I’ve just explained to you\Nthe shortage in the digital world!.
Dialogue: 0,0:12:11.47,0:12:12.78,Default,,0000,0000,0000,,But your game is easy:
Dialogue: 0,0:12:12.78,0:12:16.89,Default,,0000,0000,0000,,What about the social contract,\Ncenturies of history of the currency,
Dialogue: 0,0:12:16.89,0:12:17.90,Default,,0000,0000,0000,,the legal tender -
Dialogue: 0,0:12:17.90,0:12:20.64,Default,,0000,0000,0000,,Alright, 1-1, time for the kickoff,\Nlet’s start this over.
Dialogue: 0,0:12:20.64,0:12:23.65,Default,,0000,0000,0000,,This time I’m going to start\Nby pulling your leg,
Dialogue: 0,0:12:23.65,0:12:27.64,Default,,0000,0000,0000,,saying that the cash you carry around\Nis just a bunch of colored paper.
Dialogue: 0,0:12:28.15,0:12:30.63,Default,,0000,0000,0000,,Yeah, right, special paper, special ink:
Dialogue: 0,0:12:30.63,0:12:34.30,Default,,0000,0000,0000,,but, let’s be honest, it's just the same\Nas the cash in the game of Monopoly.
Dialogue: 0,0:12:34.30,0:12:38.30,Default,,0000,0000,0000,,My coin, on the other hand,\Nis pure math and encryption.
Dialogue: 0,0:12:38.81,0:12:43.02,Default,,0000,0000,0000,,Not only that, I will also tell the alien\Nthat while I am a kind person,
Dialogue: 0,0:12:43.02,0:12:47.03,Default,,0000,0000,0000,,I’m not forcing my Bitcoin on you,
Dialogue: 0,0:12:47.03,0:12:49.60,Default,,0000,0000,0000,,you are instead rather coercive.
Dialogue: 0,0:12:49.60,0:12:52.27,Default,,0000,0000,0000,,I cannot refuse your euro.
Dialogue: 0,0:12:52.27,0:12:53.87,Default,,0000,0000,0000,,The legal tender tells me,
Dialogue: 0,0:12:53.87,0:12:59.91,Default,,0000,0000,0000,,if a debtor wants to settle\Nhis debt with me in euro,
Dialogue: 0,0:12:59.91,0:13:01.65,Default,,0000,0000,0000,,I can’t deny him that.
Dialogue: 0,0:13:02.08,0:13:07.87,Default,,0000,0000,0000,,I’m goint to let you figure out\Nhow the alien is going to see all of this.
Dialogue: 0,0:13:07.87,0:13:10.03,Default,,0000,0000,0000,,Oh, I almost forgot,
Dialogue: 0,0:13:10.03,0:13:14.23,Default,,0000,0000,0000,,maybe I should also tell the alien\Nthat a gentleman, in Frankurt -
Dialogue: 0,0:13:14.23,0:13:17.37,Default,,0000,0000,0000,,a very composed gentlemen,\Nthe most serious of us all -
Dialogue: 0,0:13:17.37,0:13:22.96,Default,,0000,0000,0000,,he can print as much of that colored paper\Nas he likes, whenever he likes,
Dialogue: 0,0:13:22.96,0:13:24.78,Default,,0000,0000,0000,,and give it to anyone he likes.
Dialogue: 0,0:13:24.78,0:13:26.23,Default,,0000,0000,0000,,He was not elected,
Dialogue: 0,0:13:26.23,0:13:29.68,Default,,0000,0000,0000,,and he won’t need to take responsability\Nfor how he carries out his duty.
Dialogue: 0,0:13:29.68,0:13:31.88,Default,,0000,0000,0000,,Meanwhile I’ve already\Nexplained to the alien
Dialogue: 0,0:13:31.88,0:13:35.35,Default,,0000,0000,0000,,that Bitcoin’s monetary policy\Nis perfectly deterministic,
Dialogue: 0,0:13:35.35,0:13:37.77,Default,,0000,0000,0000,,it can’t be influenced.
Dialogue: 0,0:13:37.77,0:13:40.61,Default,,0000,0000,0000,,You might say: "Right,\Nbut no one is using Bitcoin.
Dialogue: 0,0:13:40.61,0:13:43.59,Default,,0000,0000,0000,,there are no business transactions\Ncarried out using Bitcoin."
Dialogue: 0,0:13:43.59,0:13:45.73,Default,,0000,0000,0000,,That’s for sure:\Nthose who bought, in 2010,
Dialogue: 0,0:13:45.73,0:13:48.64,Default,,0000,0000,0000,,two pizzas, paying them 10.000 Bitcoin -
Dialogue: 0,0:13:48.64,0:13:52.21,Default,,0000,0000,0000,,which at the current rate\Nwoul be 40 milion dollars -
Dialogue: 0,0:13:52.21,0:13:55.33,Default,,0000,0000,0000,,Well, let’s just hope that\Nthose pizzas were really, really good,
Dialogue: 0,0:13:55.33,0:13:59.31,Default,,0000,0000,0000,,because I wouldn’t have been able\Nto digest them in any way.
Dialogue: 0,0:13:59.31,0:14:02.84,Default,,0000,0000,0000,,Bitcoin is a safe-haven asset,\Nso it's stored.
Dialogue: 0,0:14:02.84,0:14:05.100,Default,,0000,0000,0000,,Therefore it makes much more sense\Nnot to compare it to a currency,
Dialogue: 0,0:14:05.100,0:14:08.11,Default,,0000,0000,0000,,but to actual gold.
Dialogue: 0,0:14:08.11,0:14:10.26,Default,,0000,0000,0000,,Gold has been accepted\Nby all civilizations
Dialogue: 0,0:14:10.26,0:14:15.11,Default,,0000,0000,0000,,as the earliest form of currency,\Nwithout any type of centralized planning.
Dialogue: 0,0:14:16.14,0:14:19.15,Default,,0000,0000,0000,,It was for centuries\Nthe most successful currency,
Dialogue: 0,0:14:19.83,0:14:23.52,Default,,0000,0000,0000,,it set off the development\Nof all the monetary systems we know,
Dialogue: 0,0:14:23.52,0:14:27.01,Default,,0000,0000,0000,,it was overtaken by forms of currencies\Nmuch more sophisticated
Dialogue: 0,0:14:27.01,0:14:29.38,Default,,0000,0000,0000,,without it becoming outdated.
Dialogue: 0,0:14:29.38,0:14:32.74,Default,,0000,0000,0000,,What happened over the centuries\Nto physical gold,
Dialogue: 0,0:14:32.74,0:14:34.91,Default,,0000,0000,0000,,is happening in these ten years,
Dialogue: 0,0:14:34.91,0:14:37.81,Default,,0000,0000,0000,,and will probably happen\Nin the upcoming decades, to Bitcoin.
Dialogue: 0,0:14:37.81,0:14:40.50,Default,,0000,0000,0000,,The Bitcoin's most scary trait\Nis the value volatlity:
Dialogue: 0,0:14:40.50,0:14:41.98,Default,,0000,0000,0000,,it goes up and down.
Dialogue: 0,0:14:41.98,0:14:44.40,Default,,0000,0000,0000,,There isn’t much to fear, to be honest.
Dialogue: 0,0:14:44.40,0:14:46.84,Default,,0000,0000,0000,,I mean, every time\Nsomeone talks about Bitcoin
Dialogue: 0,0:14:46.84,0:14:49.76,Default,,0000,0000,0000,,you should fasten your seatbelts,
Dialogue: 0,0:14:49.76,0:14:52.18,Default,,0000,0000,0000,,because the ride tends to be quite bumpy.
Dialogue: 0,0:14:52.18,0:14:54.42,Default,,0000,0000,0000,,But Bitcoin's volatility is physiological.
Dialogue: 0,0:14:54.42,0:14:57.00,Default,,0000,0000,0000,,When market mechanisms\Nof supply and demand
Dialogue: 0,0:14:57.00,0:14:59.81,Default,,0000,0000,0000,,try to assess the value of a certain good,
Dialogue: 0,0:14:59.81,0:15:02.46,Default,,0000,0000,0000,,if the product is controversial,\Nlike digital gold,
Dialogue: 0,0:15:02.46,0:15:05.01,Default,,0000,0000,0000,,the process is going to be\Njust as mush controversial.
Dialogue: 0,0:15:05.01,0:15:08.42,Default,,0000,0000,0000,,We’ve seen it already happen,\Nin history, with e-commerce:
Dialogue: 0,0:15:08.42,0:15:12.94,Default,,0000,0000,0000,,take a look at the history\Nof Amazon’s ratings, its volatility.
Dialogue: 0,0:15:12.94,0:15:16.10,Default,,0000,0000,0000,,The worrying part about Bitcoin\Nis the so-called "drowdown":
Dialogue: 0,0:15:16.10,0:15:18.23,Default,,0000,0000,0000,,highest to lowest point,
Dialogue: 0,0:15:18.23,0:15:22.92,Default,,0000,0000,0000,,it managed to lose\Nmore that 93 percent of its value.
Dialogue: 0,0:15:22.92,0:15:25.22,Default,,0000,0000,0000,,So my bottom line is,
Dialogue: 0,0:15:25.22,0:15:27.23,Default,,0000,0000,0000,,if you ever plan to invest in Bitcoin,
Dialogue: 0,0:15:27.23,0:15:30.52,Default,,0000,0000,0000,,do it with a small percentage\Nof your savings,
Dialogue: 0,0:15:30.52,0:15:35.72,Default,,0000,0000,0000,,small enough that you would be able\Nto reasonably sustain its complete loss.
Dialogue: 0,0:15:35.72,0:15:38.63,Default,,0000,0000,0000,,The good news is that\NBitcoin is not correlated
Dialogue: 0,0:15:38.63,0:15:41.97,Default,,0000,0000,0000,,to other investment asset classes,\Nto other investment opportunities:
Dialogue: 0,0:15:41.97,0:15:46.58,Default,,0000,0000,0000,,It doesn’t move with them,\Nit diversifies the risks.
Dialogue: 0,0:15:46.58,0:15:50.89,Default,,0000,0000,0000,,So, if put it in an investment portfolio,\Neven if it sounds counterintuitive,
Dialogue: 0,0:15:50.89,0:15:53.57,Default,,0000,0000,0000,,but it draws dawn\Nthe risks of that portfolio,
Dialogue: 0,0:15:53.57,0:15:55.77,Default,,0000,0000,0000,,expected rate of return being equal,
Dialogue: 0,0:15:55.77,0:15:59.96,Default,,0000,0000,0000,,or, given the same risk,\Nit increases greatly the expected return.
Dialogue: 0,0:15:59.96,0:16:03.77,Default,,0000,0000,0000,,So it is a good idea\Nto invest a small amount in Bitcoin,
Dialogue: 0,0:16:03.77,0:16:06.88,Default,,0000,0000,0000,,and this gives us a cue\Nfor some final considerations.
Dialogue: 0,0:16:06.88,0:16:10.78,Default,,0000,0000,0000,,Let’s imagine that 2 percent\Nof the assets under management -
Dialogue: 0,0:16:10.78,0:16:13.69,Default,,0000,0000,0000,,I’m not referring\Nto 2 percent of the global wealth,
Dialogue: 0,0:16:13.69,0:16:16.64,Default,,0000,0000,0000,,but 2 percent of those assets\Nthat are professionally managed -
Dialogue: 0,0:16:16.64,0:16:19.78,Default,,0000,0000,0000,,let’s imagine that they invest in Bitcoin\Nover the next few years.
Dialogue: 0,0:16:19.78,0:16:20.99,Default,,0000,0000,0000,,Well, if we do the math,
Dialogue: 0,0:16:20.99,0:16:24.06,Default,,0000,0000,0000,,the value of a Bitcoin is going to be\Na hundred thousand dollars.
Dialogue: 0,0:16:24.06,0:16:29.30,Default,,0000,0000,0000,,But if Bitcoin is, or proves to be,\Nthe digital gold -
Dialogue: 0,0:16:29.30,0:16:34.11,Default,,0000,0000,0000,,I say if because it’s a bold experiment\Nand it might fail, let’s not forget that,
Dialogue: 0,0:16:34.11,0:16:39.00,Default,,0000,0000,0000,,but it’s an experiment substantiated\Nboth culturally and technologically -
Dialogue: 0,0:16:39.00,0:16:41.47,Default,,0000,0000,0000,,again, if it proved to be\Nthe digital gold,
Dialogue: 0,0:16:41.47,0:16:44.49,Default,,0000,0000,0000,,well, ladies and gentlemen,\Nit would be better than actual gold:
Dialogue: 0,0:16:44.49,0:16:48.61,Default,,0000,0000,0000,,extremely light, instantly transferable,\Nlow transactional costs,
Dialogue: 0,0:16:48.61,0:16:53.33,Default,,0000,0000,0000,,no logistic problems,\Nnon-censurable and unstoppable.
Dialogue: 0,0:16:54.06,0:16:58.75,Default,,0000,0000,0000,,Therefore, if Bitcoin was to capitalize\Nthe same amount as gold today,
Dialogue: 0,0:16:58.75,0:17:02.37,Default,,0000,0000,0000,,its value would raise to 400.000 dollars.
Dialogue: 0,0:17:02.37,0:17:07.48,Default,,0000,0000,0000,,100.000 dollars, 400.000 dollars -\NI’m not here to sell you Bitcoin,
Dialogue: 0,0:17:07.48,0:17:11.89,Default,,0000,0000,0000,,I’m just saying,\Nif Bitcoin is digital gold,
Dialogue: 0,0:17:11.89,0:17:15.01,Default,,0000,0000,0000,,it's currently greatly underestimated.
Dialogue: 0,0:17:15.01,0:17:16.84,Default,,0000,0000,0000,,Someone might object saying that:
Dialogue: 0,0:17:16.84,0:17:18.94,Default,,0000,0000,0000,,"I've read that it’s not Bitcoin,
Dialogue: 0,0:17:18.94,0:17:22.44,Default,,0000,0000,0000,,It’s the blockchain,\Nthe technology underlying it,
Dialogue: 0,0:17:22.44,0:17:24.10,Default,,0000,0000,0000,,the real deal".
Dialogue: 0,0:17:24.10,0:17:27.79,Default,,0000,0000,0000,,When it comes to this,\NI love to paraphrase Confucio, he said:
Dialogue: 0,0:17:27.79,0:17:31.90,Default,,0000,0000,0000,,“When a wise man points at the moon,\Nthe fool looks at the finger”.
Dialogue: 0,0:17:31.90,0:17:35.41,Default,,0000,0000,0000,,The moon is Bitcoin,\Nthe finger is the blockchain.
Dialogue: 0,0:17:35.41,0:17:40.58,Default,,0000,0000,0000,,You can’t overlook the relevance\Nof the Bitcoin phenomenon.
Dialogue: 0,0:17:40.58,0:17:45.88,Default,,0000,0000,0000,,If you have the slightest understanding\Nof the role that gold played
Dialogue: 0,0:17:45.88,0:17:51.02,Default,,0000,0000,0000,,in the history of civilization,\Nfinance and currency,
Dialogue: 0,0:17:51.02,0:17:53.37,Default,,0000,0000,0000,,the rise of gold's digital counterpart
Dialogue: 0,0:17:53.37,0:17:56.89,Default,,0000,0000,0000,,in the digital civilization\Nand in the future of finance and currency
Dialogue: 0,0:17:56.89,0:17:58.45,Default,,0000,0000,0000,,is going to be explosive.
Dialogue: 0,0:17:58.45,0:18:04.27,Default,,0000,0000,0000,,I would like to end with a thought:\N25-27 year ago,
Dialogue: 0,0:18:05.23,0:18:11.71,Default,,0000,0000,0000,,I used the e-mail and surfed the web,\Nbut I'd never imagine
Dialogue: 0,0:18:12.19,0:18:15.02,Default,,0000,0000,0000,,that on top of the TCP/IP protocol,
Dialogue: 0,0:18:15.60,0:18:19.08,Default,,0000,0000,0000,,the technology underlying\Nthe web and the e-mail,
Dialogue: 0,0:18:19.08,0:18:24.52,Default,,0000,0000,0000,,would be used to organize our weekends\Nin digital clubs – Facebook,
Dialogue: 0,0:18:24.52,0:18:29.62,Default,,0000,0000,0000,,or buy liquid, digital books and CDs\Nfrom online shops,
Dialogue: 0,0:18:29.62,0:18:33.01,Default,,0000,0000,0000,,or we would ask questions\Nin natural language
Dialogue: 0,0:18:33.01,0:18:35.64,Default,,0000,0000,0000,,to a computer, a digital assistant,
Dialogue: 0,0:18:35.64,0:18:38.05,Default,,0000,0000,0000,,expecting a meaningful answer.
Dialogue: 0,0:18:38.05,0:18:40.01,Default,,0000,0000,0000,,I can’t tell you, 20 years from now,
Dialogue: 0,0:18:40.01,0:18:44.48,Default,,0000,0000,0000,,what we will be able to make\Non the value's TCP/IP protocol,
Dialogue: 0,0:18:44.48,0:18:47.58,Default,,0000,0000,0000,,which type of incredible apps\Nwe will have managed to create:
Dialogue: 0,0:18:47.58,0:18:52.09,Default,,0000,0000,0000,,that’s exactly the adventure\Nthat is waiting for us over the horizon.
Dialogue: 0,0:18:52.09,0:18:53.60,Default,,0000,0000,0000,,Thank you.
Dialogue: 0,0:18:53.60,0:18:55.39,Default,,0000,0000,0000,,(Applause)