caroline: i'm caroline hyde, in for emily chang. coming up in the next hour, the new york city subway shooting, the suspect arrested in facing terrorism charges.

meanwhile, the shares of lithium corporation l after a completely fake press release claiming tesla had purchased the minor. and could a crypto startup with $400 million in funding from an -- form equity? first and foremost, a story close to home for us right now, the biggest story of the day, we got him, the words from the mayor of new york city, eric adams. law enforcement officials say they have arrested frank james in manhattan in connection with the shooting at a brooklyn subway station. the new york city police commissioner said the 62-year-old was apprehended with the help of the public. >> officers in response to a tip stopped him in manhattan. he was taken into custody and has been transported to an

nypd's facility. caroline: he has nine prior arrests in new york dating back from 1992 to 199823 over yesterday's attack when he let off 33 shot, we understand, from his firearm. you have been reporting on the ground about this and my understanding is the ramifications for the city and leadership, but first and foremost, 30 hours this man was on the streets of new york, on the subway, on other forms of public transit? is this being deemed a success or not? >> officials seemed to be deeming this a success. but yeah and the aftermath of the attack, it was reported that cameras in the subway station were out. james, the suspected shooter, was said to have left the station and entered another

station at 9:15 a.m. and officials said that those were his last known whereabouts, more than 24 hours ago. he was eventually apprehended at 1 p.m. there are 24 hours that officials have not able to explain, you know, where this person was. caroline: extraordinary use of technology and failing of technology, cameras they made sure to show was the responsibility of the mta. but technology has been used. from social media clips of the man that actually helped to apprehend him on the streets, but also the way in which we as members of the public were sent messages to our phones, giving tips and the like. is this also a test in a way of climb -- crime prevention with this relatively new administration? >> and the mayor

has suggested he would like to use more technology to help prevent crime. it's not clear what he plans to do. there has been a lot of talk about the cameras in the subway station and whether there needs to be a review of what happened there end of the cameras in the system and whether there need to be other measures taken to prevent incidents like this, but they are coming. caroline: spending as well, on the police force, or the infrastructure? >> in the preliminary budget released by the mayor, we saw the new york police department budget remain relatively flat year-over-year. you know, america and i guess what it means is that headcount is staying the same and it seems that at least from the public budget that's not where the technology will come from. but there are other places where

they received the technology and the funds. caroline: you have been all over the story for several days. emotional at the moment i'm sure. really great reporting on the leadership of the city. meanwhile, taking the justice perspective right now and what the accused faces in the courts. we have a senior lecturer from the criminal justice department at the university of new haven with us. can your perspective -- give us your perspective on the prosecution unfolding. and the terror related charge. >> the reason for that, my opinion, the fact that there is a lot more exposure for frank james here. that is, he's looking at, this is title 18 1992, a terrorist act on a train or other modes of

mass transportation. it carries with it a life sentence, up to a life sentence that is far greater than he would get for this mass shooting that he did. it's much more than that exposure for the charge. caroline: we are of course a global network and sometimes federal versus local doesn't make sense. i'm the daughter of crown prosecution service in the u.k., where most of these things were done by the crown, the nation. what's the distinction between local law enforcement and federal prosecution and how do you know which one is going to take charge? >> in this particular case you saw at the event itself that there was a real enmeshment between the state, local, and federal law enforcement. nypd was identified as a lead agency on the case.

but there was input from the fbi and state police, atf. so, law enforcement was all working together. when it comes time to prosecute the case, the district attorney's office works with the other offices to decide which way the case is going to go but i don't want you to get the impression that they were fighting among one another but instead the decision was made to go federally because of the potential exposure here. caroline: of course we are all innocent before being proven guilty. there was something made of the prior acts, criminal acts, that occurred back in the 90's in the state of new york, philadelphia, new jersey. what will that be made of in court? >> a propensity to do violence, a propensity to do criminal acts. the criminal history is always brought into these cases.

this is again routine that you would discuss with any such caroline: we are of course a technology show and what has been interesting in the media has been trying to understand who frank james is and what his motives were. questioning his state of mind. people looking at youtube evidence, social media posts. how admissible is that in court? >> it's part of the public record that he has posted on youtube. there is no expectation of privacy. anything he puts on youtube would be admissible. but i think this case shows very much that we live in a surveillance society. cameras everywhere, cameras on the platform. the combination of a quick investigation was they were able to identify him.

his picture was put out. he called the crime stoppers number himself or some individual recognized him contacted police. it's not clear which it is at this moment. caroline: great to have your expertise. time spent interlinking crime with criminal justice there in new haven. thank you. meanwhile, coming up, fake press release. a 280% stock jump and an invitation for elon musk again. we will look at the lithium minor and what a wild ride had on wednesday. this is bloomberg. ♪

caroline: let's just get to another muska moment on twitter. kind of fascinating, really overall. but we once again are seeing how you might expect shares of lithium minor, the lithium corporation jumping 280% after a fake press release on twitter saying tesla had acquired the nevada company. ed ludlow spotted something was off and got to the bottom of it. he joins us again now. talk to us about tesla, elon musk, and what actually happened here. >> even by the musk and tesla standards it was odd, right? sitting at my task, i saw tweets from the community that follow him. some of the tesla owners and shareholders that were sharing screen grabs of a press release

saying tesla had acquired lithium. on the terminal and on the share chart after 1130 eastern, stocks jumped. but i looked at the image of the press release but none of this adds up. five w pub occasions question mark they don't represent tesla. they serve me don't represent this corporation. we started hitting the phones and it was of course a fake release and there were russians about how it ended up there but what's astonishing is the release was published yesterday on tuesday. the market reacted, look at that chart on wednesday. it's been a while day. official -- caroline: official technical responses from the company? ed: we got an email from the president of the lithium corporation, calling it fake news. his words. no deal with tesla. of course tesla didn't respond. they don't have an active press department, it was disbanded in 2020. later lithium corp. issued a press release saying contrary to

what had been reported, there was no discussion with tesla. the interesting part, they go on to say that none of their employees left to go join tesla but they would be happy to chat with elon musk if he was so inclined. maybe they just shooting there shot, you know? caroline: talk to us about that. he has talked about it on twitter, lithium minors. ed: it's a core component that goes into the cell chemistry for ev batteries and he tweeted recently, just five days ago, it's not that there isn't enough supply, there's abundant supply of it all over the world. you see it in that tweet. the extraction is the problem. domestic production of lithium in the united states lags behind international there has been speculation this might happen but on this occasion i'm afraid it was fake news, no deal between tesla and lithium. caroline: the real news from ed

ludlow. speaking of elon musk using twitter, let's talk about who used to lead twitter, jack dorsey. ever since leaving that business , he has become more and more focused on his next big vision, crypto, particularly bitcoin. >> if bitcoin existed before twitter started, i think we would seek completely different business models. i think we would see a lot less of the issues advertising systems can bring up in terms of privacy and, you know, everything we are seeing around surveillance capitalism as well. caroline: now for more on this i want to bring in sarah frier. a beautifully written story, obnoxiousness to make you laugh, but talk to us first and foremost about jack orsi and

when his love for bitcoin first arose. >> it came to the forefront during his trip to africa. when he went there, he saw how people were, were working the payments, how bitcoin could be a really fundamental technology in that part of the world and he was so inspired by that it he said he wanted to move there for three months to six months in the future. activist investors of course seized on that and said well you are not paying attention to the companies you run. well he's not running twitter anymore but he's obsessed with bitcoin. as kurt describes it, he's sort of the spiritual leader of bitcoin and the idea that it has this utopian decentralized division for changing the world. caroline: it is a great headline, bitcoin spiritual

leader. but he's not just there, he's also the ceo of loch fintech, a company that may well get used to embracing new forms of payment. in that respect, what is his current role looking like in the scheme? ed: he's really trying -- >> he's really trying to make them a leader in the mass acceptance of the -- a bitcoin, going so far as to say that they will support people by adding bitcoin mining in their own homes. this is just where he thinks the future is headed. one thing kurt wagner points out in this great story that we have seen in the last decade of tech, when he sees where the future is headed, he tends to be right. he doesn't always execute on it perfectly but he was one of the first investors in instagram, telling twitter to purchase vine, which died at twitter but

was the format later popularized by tiktok. he over and over picks where the future is going to head. so, what folks are saying is that if he is pointing towards bitcoin as the future, we had better pay attention to that. caroline: sarah, fascinating. we thank you so much. thank you for bringing us it on quicktake. with more people discovering stock market and assets like crypto, we speak with the atomic investors with how they are making wealth more acceptable -- accessible. that's next. this is bloomberg. ♪

caroline: in the pandemic, many young people, it was heady days,

think of gamestop. everyone sat at home, investing their money. atomic, with these, call them rookie investors, normal people, you and me, to have access to the market benefits. joining us now, the ceo. really interesting this focus on financial inclusion. there's a worry that with the euphoria of everyone rushing in, we got back to our normal lives. sitting at bars rather than trading online. is there still a pent-up desire and his wealth being built? >> 2020 was a very interesting year and it got a lot of people to participate in the market out of speculation and as he mentioned, as people come back to their normal lives, there is a need for them to continue investing but they don't have the time to think about their portfolio or construct a

diversified portfolio so part of what's very important for them right now is to have solutions that enable them to build wealth even without the time to do the research necessary to start the journey themselves. caroline: so, how is atomic invest helping you to do just that? david: that's a good question. when you think about what it took robinhood, betterment, and other platforms to create their infrastructure, it was hundreds of millions of dollars, years for them to build and maintain the infrastructure. we are enabling banks and credit unions to easily launch similar investing platforms in just a number of weeks without having to go through the burden of reinventing the wheel from scratch. caroline: so for the likes of robinhood where the share price has been under pressure, competition, i assume? everyone will be able to start offering a more accessible way

to invest? david: in the next three to five years we won't be able to count the number of investing platforms in our hands. investing will be ubiquitous. anyone will have the opportunity to start an investment journey through these platforms. caroline:/is the financial regulation therefore it, though? david: it is. part of what we do is take over that regulatory burden, offering investment without them having to build up the expertise to manage that solution because we cover that for them. caroline: i know that you are looking to move back to the u.s.. i moved to the u.s. from europe in 2018 and was dumbfounded by the innovation. many thought that it was being born in london and europe because the regulation was there. is that the case? why do you think there have been a few successes but fewer of them then we are use to in europe? david: that's a great question.

i think that i am large, financial services were concentrated among large institutions and banks, asset managers that provided a monolithic solution for everyone. what we have seen happen over the last couple of years is a lot of entrepreneurial activity around building platforms targeted at helping specific types of people in we are seeing an explosion of this. just in the last couple of months we have been able to speak to over 400 companies really focused on helping people build wealth and have financial platforms that otherwise weren't available to them. caroline: are you hopeful? you sit here with a fabulous education and a focus on what is deeply complex. i have the right fortune of talking business day in day out but even for me, you know, it's intimidating, the world of crypto. because of the analogies, the

acronyms. i feel like that's what wall street tried to build up back in the heady days of 2008. how intimidating is finance still for people at the lower income space that we want to see included and build wealth? david: very intimidating. we see that most people don't feel investing is for them. in the past, not as much effort has been taken to help them participate in investing. many people are still very risk averse. many people require a significant amount of handholding. this comes down to the fact that there is an educational gap when it comes to financial literacy investing in this country. caroline: how? is it about education? i see great content on things like tiktok and twitter. i would love to hope that we and i could provide for that, but there is a lot of rubbish on there, too. david: i think it's a three

wrong strategy. the first ideal solution would be investing in education and the high school curriculum so people can learn what investing is and isn't, learning the benefits of not putting all your eggs in one basket. about diversification. in an ideal world that would be best. what's happening today is interesting, platforms that we are working with, targeting people who have been disenfranchised in the past, allowing people to essentially participate in investing and educate those people in the context of where they are. i do think that work has to be done through social media and influencers. most of the content out there might be focused on what's buzzworthy and if someone receives investing tips from there, it's likely you will end up with a basket of asset classes that are not diversified so the work has to be done in not only having voices that are speaking about what's trending but races that are speaking about the benefits of planning for the future, divers

suffocation, asset allocation, and other principles of investing that are important to adhere to. caroline: well said. so much coming up in the world of technology and beyond. this is bloomberg. ♪

caroline: this is a bloomberg technology. it was a strong ending for the technology stocks today. >> i was saying we have been talking about the fed and economic data more than at any point in the last four years. the market really trying to think about inflation, are we at the peak of inflation, the pace and how aggressive the will be. we also saw our performance in

u.s. listed shares of chinese technology companies. we saw that on the nasdaq golden dragon index. we also have some slight outperformance in semiconductors. the stock is up 2.4%, yields are coming down. we are still 2.7% on the 10 year treasury in terms of the bridge mark -- benchmark. in the technology sector, no real reason or rhyme other than a broad risk on mentality. airbnb has been a juggernaut over the last 18 months, real impressive performance in 2020. stay-at-home stock zoom also doing well. activision blizzard down have a percentage point -- down .5%. resigning under protest that there was interference from gavin newsom's office over the

activision discrimination case that is ongoing, raising questions about the outcome of that case after the resignation. caroline: thank you. i was talking, we want to go back to another key store we are tracking. the new york city law enforcement officials have arrested frank james, a man in connection with tuesday's shooting. he will face federal terrorism charges. tracking this from the infrastructure perspective. we are a technology show and what has been demonstrated is a lack of investment in our transit and indeed it was largely blamed on the nca, that the cameras at the plate station were malfunctioning. tell us about the state of the mta right now? >> the mta has been trying to catch up and become this modern transportation agency. they're trying to keep up with

tokyo, london, and paris and what is happening abroad. this incident is not helping in terms of looking of the actual infrastructure of the nca. the camera was not working when the shooting happened. there is a lot that mta has to step back and take a look at the that they can continue to make the system as modern as possible. especially with technology expanding so rapidly, the have to keep up with the pace of technology. caroline: the camera footage taken at different subway stations, the accused rode later on in the day and we were able to apprehend him in east village earlier. i am interested in the people who are based around the world, what is it like, how comfortable are we getting on a mass transit system? we did not want to get on it anyway because of covid? >> now that frank james has been

caught there is a little bit of relief. there is this a lingering thought in the back of people's a minds where it is like what is what will happen next? doing a when something else could happen? it could be a trend colliding with another train. there are so many safety components to writing the subways. a lot of people have the in the back of their mind. a lot of people are on edge a little bit. they are worried because no one knows what will happen and when it will happen and they do not want to be that person. caroline: pressure being placed on the administration to invest in public infrastructure. of the infrastructure bill -- the infrastructure will likely helped. putting money to work in the mta? >> one of the issues is bringing riders back and get it serviced where it is reliable for its customers. once the service gets back to a

steady pace, going back to what it was pre-pandemic, we might start to see progress. they're bringing in a new subway president. he is a like we have to improve the service so that we can build on the layering issues. caroline: we thank you. meanwhile, crypto startup, an old og in the crypto circle, coming from investors like blackrock and fidelity. the adoption of crypto, this is bloomberg. ♪

caroline: time for our crypto report, the ethereum merge will be completed after june. let us bring in our contributor for more on this. talk to us about how this might be done in a few month's time. >> this is highly anticipated and we have one of the leading software developers tweeting that this will likely be a few months after june. no firm date yet but that we are in the final chapter of proof of

work on ethereum. bitcoin evangelists have concern about group roadwork and the debate around energy consumption here. this could be a game changer for ethereum that also has more than 100 projects the art contingent on this merge -- are contingent on this merge. caroline: we brace ourselves to have it in the sun again? >> we were talking about how alternative coins were selling more than bitcoin. we see bitcoin rise again, we are saying that on the others. there are some alternative coins that are rising at an even faster pace than bitcoin and if you track the group of 100 alternative coins, the group of 100 is actually also rising at a faster pace. bitcoin is becoming a smaller part of the ecosystem as the universe expands.

what remains at the end of the day and what takes off? layer one protocols have gained a lot of excitement when it comes to not just ethereum but it coin and the adoption of the lightening network changing the way the people use it. caroline: avalanche, plenty of exciting areas you can be investing in. those with the ones who are less tethered to an u.s. dollar. stable coins, we want to go to our keister of crypto payment company circle, the issuer of the second largest stable point which is the usd coin. some of the biggest institutional players, blackrock, fidelity investments, saying that jeremy will be joining us, ceo of circle. the 400 million dollars, what is it going to be used for? >> thank you for having me on. the $400 million has been part of our capital plan for

continuing to scale, invest, we are growing internationally, we are building very scenic and investments in product development. we are investing in sales and marketing around getting more and more thousands of businesses in infrastructure to build on sisi as the core part of the -- built on the fcc as the core part of the capital and growth capital and in new to dry the incredible growth and adoption we have seen over the past couple of years. caroline: frederick hated -- predicated on buy-in. we got involved in a space earlier but it was interesting what blackrock knew, a cautious cynic had concerns about payments and how it would facilitate trade. while what blackrock get

involved -- why would blackrock get involved? >> it is not investing their client's money, it is its own money. strategic partnership has been formed between circle and blackrock focusing on the reserve management model. they are a primary manager of the reserves that back usd c. that is important to get institutional acceptance for people to understand the safety, soundness. , security of all of this this is about how we are upgrading the fundamental financial ways and that dollars work in capital markets. the banking system does not work at the speed of the internet. there are risks, all kinds of challenges that are there and i think blackrock plays an incredibly large role in capital markets.

dealing with that infrastructure, this is an opportunity to bring use cases for usdc, there are a major use cases in digital asset markets, nfts, cross-border payments, we see an enormous opportunity. there is a belief in the opportunity in establishing dollar digital currency and private sector led innovation and dollar digital country and i think -- currency and i think blackrock can be an anchor for us as we establish this as a model that the u.s. can get behind. >> the convergence of this, you are closer to submitting an application to operate as a bank in united states. how soon can we see the application happen? how much of that is contingent on the regulatory environment we are seeing right now? >> we are seeing tremendous

progress in the regulatory environment. it has shifted from one focused on the risks and challenges of stable coins, now to a world where the head of the federal reserve, the secretary yellen, the head of the occ, members of congress on the left, right, democrats republicans, this is become an nonpartisan issue. how do we ensure that dollar digital currencies become the currency of the internet and policies moving towards that and making sure that large private sector actors are well regulated , that can federal supervision and there is a move towards that , we are excited about the progress that is being made in washington dc, the engagement we are seeing from the occ and others. we are very confident that this is going to become not only a federally supervised unregulated market infrastructure, but it will help the united states be

competitive. >> for circle, how important is this for you to get this done safely in terms of becoming a bank? >> in our view, it is no occ exempt manual for a stable point issuer. this is a new arena. we are dealing with multiple public blockchain's. u.s. pc operates on eight public blockchain's. one of the risk management procedures, -- what are the risk management procedures? we are applying to become a full reserve bank, a fractional reserve bank -- not a bang fractional reserve bank. we are patient, we want to get that right, we to work collaboratively. ultimately get to a place where there is great supervision on

article market infrastructure therapy at the foundation of the economic system in the next 50 years. caroline: what about collaboration in the space of stable coins? do think that you need to collaborate together? >> our view is very specifically, we believe there needs to be sound national policy and regulatory models around this. not just in the united states but around the world. we are seeing strong indications from the u.k. government, from other major financial market centers wanting to define the standards for this. regulatory harmonization is important. having those standards. technology standards, usdc was launched and governed as a set of standards through the consortium. we want to scale the and see more stable coins and more currencies around the world that can follow these standards. we think that standard and

regulatory harmonization is what is going to bring this to life. >> how would a potential fall of usdc mean for crypto? >> i think that we have seen incredible growth from things like usdc. there seen incredible growth in this whole sector -- we have seen incredible growth in this whole sector. the liquidity in these markets are active in that. the whole crypto economy is quite resilient and it be resilient from an event like that. caroline: we want to thank you for taking time walking us through funding, where it is going, a little bit about the competition as well. thank you, we thank sonali. how the new frontier fund will do that, which companies they

will be backing to help the climate, this is bloomberg. ♪

caroline: 925 million dollars, how much companies are about to buy carbon offsets to remove the co2 from the air. a is owned by a stray also got funding from alpha but -- alphabet, and others. it is great to have some time with you. talk to us about the progress you have made so far. how much you are looking to be offsetting some of the impact in the businesses you help the

network and movement of funds in climate change and withdrawing some of that. >> in order to hit local warming targets we need to do two things. stop emitting and remove carbon to the oxide that is already in the atmosphere and ocean. we are going to do a huge amount of both we are behind on the second because we did not really realize we were going to need to do it as much as we now know that we do. our focus so far as to write has been a small corporate commitment. it expanded to make it easy for many users to direct a fraction of their revenue to carbonate removal. -- carbon removal. we are not on track to scale carbonate removal to the required gigatons we need by 2050. hunter is an attempt to get carbon removal on the fastest

possible trajectory so we have the sweetest solution that we need to hit that zero in the coming decades. caroline: talk to us about how the fund came together. >> to came together from the -- the genesis is from the strip climate team looking at the science and saying we have made a lot of progress, we have a long way to go. how do we been the curve up for carbonate removal knowing that we cannot do this by ourselves. this formed the impetus of going out and starting to talk to a number of companies. had wasted a loud command signal to the industry of carbon removal -- how do we send a loud command signal to the industry of carbon removal? there is a paralyzed industry of carbon removal in many ways. >> how do you remove that?

>> we see a diverse set of companies attempting carbon removal. from direct air capture, like these giant fans pulling carbon out of the air. we have run a tight which is doing -- a company that is growing killed in ocean we have a company growing kelp in the ocean. we have another company turning it into bio oil and interdict it back underground. that is what we need, we need an order of magnitude, more attempts so that we have this portfolio that will collectively it to the 6 billion tons by 2060 every single year. caroline: some people see this when they see striped and investing and the fact that the previous series and rounds of

the investment did not go completely right. how to ensure that you have the right founder in place -- how do you ensure that you have the right founder in place? >> i want to make an important distinction, in the case of strep climate, we are buying carbon removal. this stems from the fact that when energy -- wind energy, we consume energy. with carbon removal there is no intrinsic buyer. nobody wanted to buy carbon removal when it is early and expensive. if you are a founder, or would you start a company if nobody is going to buy the thing they are selling? what would you invested a company that does not have a revenue stream? our theory of change is if we are the customer we can use that to pull project finance and more

founders into the space. the other point i will make, this field as early and we should expect a number of these companies do not work. that is ok, that is what an early ecosystem is like. we need to prepare for innovation, some will work, let us figure that out now. we can be more confident in the companies that we want to double down on to scale up. caroline: we want to thank you for talking to us. it is fascinating. that is the strep head of climate -- stripe head of climate. that does it for this edition of brick technology. do not forget to check out our new broadcast. you do not want to miss it. more coming up as we dig into the world of technology and the world of fintech with a focus on

crypto. this is bloomberg. ♪

>> good morning, welcome to daybreak australia. we are counting down to asia's major market open. >> the top stories this hour. and s&p 500 holds a three day drop as they dial back following the fed rate hike. >> the market fallout from russia's invasion of ukraine