Payments, Podcasts

[podcast] Alex Tapscott on why the future of finance will be on blockchain

  • According to author, blockchain is the second generation of the internet.
  • In terms of blockchain, we're still in 1993.
close

Email a Friend

[podcast] Alex Tapscott on why the future of finance will be on blockchain
[caption id="attachment_8891" align="alignright" width="230"]Alex Tapscott on Blockchain Alex Tapscott (Linkedin)[/caption] Honestly, I struggle with blockchain (I'm not too proud to admit it). On the one hand, I honestly believe that it's the most transformative thing to come to finance since Netscape launched its first browser in 1994. On the other hand, something this massive will take years before its true impact is felt. Of course, competitive dynamics and regulatory regimes will play a big role in how and how fast blockchain is adopted. So, let's just say I'm cautiously optimistic on blockchain's future. Today's guest is Alex Tapscott who runs Northwest Passage Ventures which works to build blockchain companies with capital and other resources. Alex's interest in blockchain stems from a research project he conducted a few years ago at the University of Toronto. Recruited to write a report on bitcoin and what it meant, among other things, for financial services industry, this experience set off a series of deeper research. Many projects later and through collaboration with his co-author, Don Tapscott, Alex recently published Blockchain Revolution: How the Technology Behind Bitcoin Is Changing Money, Business, and the World. Alex joins us this week on the podcast to discuss blockchain and its potential impact on the firm, the financial services industry and capital markets in general. Below are lightly edited and condensed highlights from the conversation. Why do you think blockchain is going to be so transformational? After a few years of research, we're convinced that blockchain technology represents nothing short of the next generation of the Internet. And as a result, it's going to have a profound impact on financial services, as well as on business and society. When you use the internet today to move, send, or share information, you're not sending an original -- you're sending a copy while retaining the original. That's one of the advantages of the internet: we have a printing press of information. But the problem is, when it comes to things of value, like money, stocks, bonds, sending a copy is a really bad idea. It's OK to have a printing press of information, but it's not good when it comes to assets of value. The blockchain is the internet of value. Do you think blockchain is a threat to incumbent players in the financial services industry? It's not a threat -- it's a technology that's going to change the industry. It really depends on how financial services firms respond to that change. Those who do it right will succeed. Those who don't will not. Financial services professionals shouldn't only think how this technology could optimize their businesses, but how blockchain can help them do something previously thought unattainable. What about the role of the stock exchange in the blockchain world? It's my opinion that most financial assets will be issued on this new native digital format. The role of the brokerage goes down because it's easier to connect buyers and sellers peer to peer. But maybe the role of the issuer actually becomes more important. Someone is going to have to reissue hundreds of trillions of dollars of notional value of securities on the blockchain. It's almost like the origination function of financial services becomes more important over time.

0 comments on “[podcast] Alex Tapscott on why the future of finance will be on blockchain”

Payments, Power of Payments Podcast

Power of Payments Ep. 22: ‘Frankly, the most important asset for SMB owners is time’ – Chase’s Brad Brodigan

  • Brad Brodigan, managing director and global head of SMB payments at Chase, joins host Ismail Umar on this week’s podcast.
  • He discusses the most important trends he’s seeing in SMB payments, the kinds of attributes SMBs look for in a payment processor, and how their needs differ from those of enterprise and retail customers.
Ismail Umar | January 27, 2023
Podcasts

Behind the launch of the QuickBooks Business Network with Intuit’s Juliana Berger

  • Intuit is looking to get a bigger payments chunk of the $2 trillion in invoices it tracks on QuickBooks.
  • The firm has launched a B2B business network aimed at targeting larger firms with payments automation.
Zachary Miller | January 26, 2023
Podcasts

Behind Citi’s move to become a global partner bank, with Chafic Haddad

  • If 2022 was the year of launching partnerships between FIs and tech firms, this year is more about fine-tuning them.
  • Tearsheet sat down with Chafic Haddad to discuss what Citi offers fintechs and the challenges and opportunities in providing these firms with global transaction and trade capabilities. 
Zachary Miller | January 18, 2023
Podcasts

Steez Podcast #5: Gen Zers – the sustainable generation

  • Gen Z and Millennials make up 50% of the world’s population. And 75% agree that their investment decisions can influence climate change.
  • They are not just investing to align with their values. They're actively driving change with their purchasing preferences and with every transaction.
Tearsheet Editors | January 18, 2023
Payments, Power of Payments Podcast

Power of Payments Ep. 21: 10 predictions for the payments industry in 2023

  • In the first Power of Payments episode of 2023, we discuss what the near future looks like for the payments industry.
  • Here are 10 trends that are likely to shape the payments landscape this year.
Ismail Umar | January 13, 2023
More Articles