this is a book and we're here at the world economic forum in davos switzerland coming up i can't see how great a show it is i'm very excited we've got the c.e.o. of one who is a rock star and one of the animals here today gordon brander plus we've got the best selling author don tapscott who wrote the book walk chain revolution but first let's check out some headlines in business and finance back in the studio in washington. u.s. treasury secretary steve menuhin speaking at the world economic forum in davos embraced a weak dollar and the nugent told reporters quote obviously a weaker dollar is good for us as it relates to trade and opportunities and weaker dollar generally favors domestic production by making imports more expensive blackrock chief executive lawrence fink also played down the dollar slide and said investors and the media overreacted to me and statements i.m.f. managing director christine lagarde however said she hoped menuhin would quote clarify his comments and suggested that the recent trump tax cuts would push the

dollar's value higher. as puerto rico struggles to recover from hurricane maria the island's leaders announced late wednesday that they won't be able to pay back any portion of that seventy billion dollars debt for at least five years their original plan for puerto rico to pay creditors three point six billion dollars through two thousand and twenty two in order to start paying off their massive debt but now puerto rico's governor ricardo rosello says that the budget is expected to go into deficit by two to three billion dollars annually for five years the details are outlined in a plan submitted to the federal oversight board that congress gave control over the u.s. territory the government also estimates more than two hundred sixty two thousand people will leave the island in twenty eighteen an estimated population loss of about seven point seven percent. bank of america customers took to protesting after the banking giant made a change to

a number of accounts customers found themselves suddenly transferred from evading accounts into ones that required a twelve dollars monthly fee unless they had a monthly deposit of two hundred fifty dollars or a minimum balance of fifteen hundred dollars irate customers took to the internet and launched a petition on change dot org saying that the changes were going to hurt lower income families and individuals this comes as other banks in the us examine charges on checking accounts with maintenance costs which also provide additional income through overdraft fees. there are manila chancing in for bart chilton who is on assignment in davos at the world economic forum the future of crypto currency is a big topic their part manage to catch up with one c.e.o. in davos who says that kryptos future could be the same as the internet here's bart

with alex gordon brand new or a mega one. and we're back here in davos at the world economic forum and we've got a real treat for you when they have all these panels here in davos there are some standouts and we have a standout rockstar for you here today with us right on boom bust and he's the c.e.o. of mega one alex gordon bender who used to work with the largest hedge fund in the world bridgewater alex thank you for being with us it's a pleasure to have you here thank you so much for having me alex you reached out to me last year because one of the things that's important to you at omega one and you personally is to do things in a transparent aboveboard way and you want to ensure that you abide by all the rules and regulations and you actually do more than is needed in disclosure for our viewers advising omega one in that regard but tell me how and why that is so

important to you why you feel that in your bones well the block chain is the most transformative technology to hit finance possibly at a and there's such a huge amount of potential in digital assets and yet most of the noise and fury at the moment in the space is highly speculative a lot of scam artists promising instant millions of riches and this is a massive distraction firm the promise of digital asset technology. we are very committed to the future sort of institutional institutionalization of block change technology as it truly transforms financial markets and this can only happen hand in hand with regulators and hand in hand with consumer and investor protection and so we started

a conversation because the. the space was still. very open in terms of regulations and a lot of people were taking advantage of that and i wanted to make sure that we had an offering the was in line with base in line with regulations and protected to the people who are going to participate in the space people do need to be careful out there and be careful where you invest your money but you know it makes me think alex that. there is all this distrust in general in the block chain and digital economy about the stinking government and sort of a libertarian view but i view you a mega one and others in in this space as really the professionalization in the maturation of the digital economy that you do need to have certain sideboard certain basic rules of the road now on your panel today where you really were the

standout person here in davos you talked about how to build the financial future how you build financial systems going forward and explain what the main takeaways were there what were your messages today to the audience. so it was a it was a great conversation i was fortunate to be with some of the luminaries in this space including joe lubin who is the co-founder of the theory i'm the founder of consensus who have some forty or fifty different projects going at the moment each of which is going to significantly disrupt a different industry or a different area of people's life so. you know we the conversation ranged from the role of blocked chain in banking the on banks and bringing financial services to the world's financial service deserts and in the same way that mobile to lef anie can leapfrog through landlines in parts of the

world it's quite possible that the decentralized financial system sort of internet three point zero sitting sitting on mobile devices is going to bring sophisticated banking services to part of the world currently don't even have access to simple bank accounts so what we owe it blocked chain right now is kind of roughly where we were with the internet in the late ninety's so it was pretty obvious by then that you could do things like record a video on your computer and send it to somebody you could created these are things which we forget were radical only a couple decades ago create a piece of text send it to everybody in the world without having to photocopy the thing and fedex it and these things were clearly transformative but it was hard to

actually predict facebook or google back in one thousand nine hundred five one six there were pets dot com and a million on the things so we're at a similar kind of. place in block chain. where we are instead of disrupting sort of the world of media with disrupting the world value and transactions of value it is all of us that there is as profound a change coming as there was in that world. we're at an inflection point a couple of inflection points in the digital asset story we have this kind of future that we're heading towards where. you know everything is tokenized and you know your self driving car is going to be negotiating with a i bought on the market to buy right of way to get into the fost lane on the freeway this sort of saif i stuff is maybe five ten years away from us at

this pace of change and right now we just at the point where the market infrastructure is starting to get solid enough to be attracting major institutions into the space the. we've seen in the last year. there was a flash crash on one of the major exchanges where the price of ether dropped from three hundred dollars down to ten cents in the space of fifteen seconds we've seen exchanges including the the most the largest most liquid exchange get hacked to this day on current prices they've been over twelve billion dollars stolen firm crypto exchanges which if you look at the list of heists in history that's pretty high up on the list so there's clear and there's

. massive fragmentation in the market it's very hard to get transparency huge job persisting in the market so you you've got a market which is suddenly getting a lot of attention major players in zero two billion dollars of institutional capital flowed in the last few months and the infrastructure is still a mess and so our job is essentially to mid-wife the. mainstreaming of this asset class in a way which enables it to not blow up in pop because you know the wave the lack of liquidity in fragmentation comes maps of volatility and enables you know pension funds institutions to enter the space in a way that is safe and in a way that is aligned with their fiduciary responsibilities and just tell me from

your perspective for omega one in particular is it your goal to have liquidity not just your own liquidity at omega one as an exchange but then too i think the word you use is harvest liquidity from veriest a digital currency exchanges around the world so ultimately you'll have unparalleled liquidity which will create a better price discovery that is better actual prices for investors and that's how it's going to work yes so the way i make one works is exactly that we're going to be. liquidity pull ourselves for all of the members on a major one will be a a hybrid decentralized exchange and say well those words man and then it but if someone comes to trade as a member on our exchange and they don't find matching liquidity in the exchange immediately we're connected into all of the other crypto exchanges in the world and

we just harvest the liquidity at cost price and serve it up to our members so it won't cost members any additional transaction fee except to that is harvested when you harvest that liquidity that's correct if they match on our exchange they'll pay a small fee but they'll be getting a better price than they can in no where else in the market because one that should mid-market otherwise if they match out from the public exchanges we're going to basically poss that through a cost so that we'll end up. probably being cheaper for most people will have better pricing on those exchanges and they well time now for a quick break but stick around because when we return we'll have more from the world economic forum in davos switzerland and here are the numbers at the closing bell.

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teeth like this and you know another patient. is democratic socialism the future of the democratic party the future of america is moving to the left a winning strategy to take on donald trump's vision of conservative populism one thing is undeniable mainstream politics in both parties for. sure to evolve and become more account. which appears for just a second single family home sales fell last december to much lower levels than expected sales saw their single largest drop in more than a year and a half this is likely from the boost of replacement houses built in the wake of the

hurricanes that ravaged the south in twenty seventeen economists estimated that the housing market would drop around eight percent instead sales numbers fell almost ten percent last december after sales grew by nearly seven percent in november this comes as jobless numbers also surprise many the number of jobless claims rose to around two hundred thirty three thousand still staying below the three hundred thousand threshold. are just before we went to break parts sat down with alex gordon brander the c.e.o. of a mega one to talk about the history of the block chain and the future it might have now here's the second part of that interview and alex the you know the theme here building a consensus in a fragmented world if you're at davos the world economic forum how does block work into that how does this figure in blocking digital economy into

what is a pretty fragmented world won't take that on a couple of levels the you know the obvious sort of you know. it was a lowball question there is a local answer there is that the block chain itself is a consensus mechanism the entire point of the block chain is a way that actors in a distributed network can achieve consensus and the the real power of it is even if up to hearth of the act is in the distributed network a malicious act is trying to break it the overall network achieves consensus so from purely technological perspective that's not sort of the question but of course you know alex technology is america all of our sociology and our interactions and so the very protocols the enable technological consensus are

also mechanisms to achieve a kind of social consensus you expand on that just a little bit up to this point in history. really governments in all states and corporations have been sort of the primary modes by which human beings have been able to come together to achieve common aims and the very nature of both nation states and corporations is that they are internally co-operative but externally competitive and there's a kind of. win lose dynamic the isn't naturally the case in sort of either nation state or corporate interactions what the blotching does is unable different kinds of social mechanisms to come together so you know i'll

take an example of a protocol coins like file coin. which is a a protocol where people share their spare hard drive space for other people who want to store their files. here is a mechanism way a community of people come together around a common purpose that has no corporation around it has very porous boundaries people are investors in the network by virtue of also being participants in the network and this and this you know this is a very specific example but this can happen around community organization around social organization around the world when you bring together the different mechanisms for humans to interact socially and create consensus that have co-operative a network effect on them ix rather than competitive dynamics there's really an

opportunity to reshape the whole social fabric of humanity alex gordon brander c.e.o. of omega one rock star. here really appreciate your time thank you for being with us all the pleasure thank you so much. at one of the few things more exciting than the history of watching is the future of botching and its potential to grow and help around the world for a closer look at the heights that block chain might reach by managed to catch up with don tapscott author of the book chain revolution check that. and you can guess where we still are and we are most fortunate to be joined by a bestselling author he's written sixteen books including one we're going to discuss today blocked chain revolution we're joined by don tapscott done thank you so much for being here happy to be here and don can you put sort of block chain in

historical perspective with regard to other technological innovations many of which you've written about over the years by the way i like to think about block chain as this is the second era of the internet so for forty years we've had this internet of information and when i send you some information like a power point or i'm e-mail i'm actually sending you a copy and that works great for information but when it comes to things that really matter for the economy assets things of value like money or stocks or bonds or intellectual property or loyalty points carbon credits music art votes sending a copy of those is a terrible idea and so. well and also if i send you a thousand dollars it's really important that i don't still have the money you know i can't spend or to send it somewhere else so cryptographers of called this

a double spend problem and the way that we handle this in our economy is through big intermediaries banks governments credit card companies social media companies and they perform all of the sort of business and transaction logic of every type of commerce they identify who you are that's really a dollar they clear and settle transactions they keep records and they haven't been doing a very good job especially since two thousand and eight when the core modus operandi of wall street almost brought down the whole global economy and done who you think will be the early adopters which sectors of the economy folks around the world who are going to be the ones that sort of embrace block change first well. it started in the financial services industry for good reason because that's the industry that deals with money and a lot of these assets and when you think about it the whole banking system is kind of like this rube goldberg machine you know this american engineer developed all

these ridiculously complicated machines that would do a really simple thing like open a door crack an egg well you tap your card in a starbucks and a bunch of messages go through half a dozen companies each with ancient computer systems and then three days later a clearing and settlement occurs well if all of that were based on a single distributed leisure there would be no three day settlement period because a payment a settlement is the same activity and there would be no counter party risk for each of those come that's what almost brought us down in two thousand and eight there would be no cost there would be no delay so the banks look at this and they think on the one hand this is a big threat this could disinter media a lot of what we do but on the other hand they think you know maybe this is also an opportunity not just to streamline the whole banking system but to start to create a whole bunch of new financial services in new customers done can you speak

a little bit about the developing world at davos here we're we're all about not just the industrialized countries of course but how is blocked chain set to impact the developing world with regard to either the unbanked that we hear about a lot or others and developing world there are two billion people that are excluded from the global financial system so they're not really part of the economy and in fairness to the banks it's not just because they can make money off them it's a lot of these people don't have an identity but they've got a super computer in their pocket so we can instantly use block change to bring them into the global financial system they won't be dealing with the bank they'll be dealing with all kinds of peer to peer financial service. as for collaborative lending and other stuff and you can just see an example of that venture capital in the last year has been completely turned on its head through these initial coin offerings which are bought chain crowdfunding campaigns they raise more money for

early stage companies that all venture capital in the world so that gives somebody in africa an opportunity to get access to funding and that's just the tip of the iceberg then you've got big issues like land titles seventy percent of the people in the world won't in the developing world have one land don't have a valid title so you're in honduras and some dictator comes to power says i know you got a piece of paper says you own your farm but my government computers as my friend owns your farm and this is happening or that actually happened and you put land titles on to a block chain this isn't a mutable ledger and no dictator no you know corrupt low level clerk in an indian land titles office can mess with that because these systems are infinitely more secure than the kinds of computer systems that we have today the way i like to describe it is a block chain is a highly processed thing it's sort of like

a chicken make nugget and to hack it it would be like turning this chicken mick nugget back into a check it now somebody may be able to do that someday but for now it's going to be tough so those would be. two examples there are all kinds of others and talk about specifics with regard to some companies that are really engaging in using blocking air b. and b. you know is one perhaps lift others well. these examples are part of the so-called sharing economy isn't wrong term to describe them because the reason they're successful is precisely because they don't share. haggard gate all these services together and then they sell them and that's created a seventy five billion dollar corporation called google but what if google or air b.n. b. were just a distributed application and a bunch of smart contracts on

a block chain so you're looking for a place and in the world economic forum which is tough to start a good thing to start right now for next year and there are these places available they all have ratings because a blog chain is a big kind of ledger it's a database you click on the one you like to come back here a year later you open the door the smart contract initiates a partial payment to the owner you like the place you leave you shut the door the full payment is made do you read it five star and nobody can mess with that unless they can turn the chicken mcknight get back into a check and all of this is done by software so what happens is that all of the owners of rooms and coaches and so on apartments sort of become a cooperative and you create a real sharing economy don tapscott author of block chain revolution and if you all want to read about it you can read about it in the new york review of books it's a fantastic review it's just out done thank you so much for being with us.

all right that's going to do it for me here in d.c. but be sure to join us tomorrow as we bring you more action from the last day of the world economic forum including a speech from president donald trump is the first sitting u.s. president to attend the conference since bill clinton back in two thousand and three watching i'm going to channel it send it over to bart for his final. that's all for now check out boom bust that you tube dot com boom bust our teeth see it tomorrow from davos so on. leg length or let. the

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think. the first beyond the notorious trump of russia dossier will face a grilling on the right physics so caught up in a defamation lawsuit brought by a russian entrepreneur. ecuador confirms the wiki leaks chief joining the song she will need to eventually leave the country's embassy in london. russian president vladimir putin says that he is ready to go to washington to meet donald trump and invites the u.s. leader to visit moscow. good evening thanks for joining us this is international first this hour the for the infamous russia does say we'll have to face questions it's been a long.