This is a huge blow to the crypto industry, which was just beginning to gain traction and acceptance in mainstream finance. It’s also a major setback for those who had invested their money into Genesis Crypto Lending, as they now face significant losses.

So what led to this unfortunate situation? It appears that the company was unable to cope with the market rout that followed the collapse of FTX. This caused a liquidity crisis, leading to an inability to meet its obligations and ultimately forcing it into bankruptcy.

It’s important to note that this isn’t the first time a crypto-related business has gone bankrupt due to market volatility or other factors. In fact, there have been several high-profile cases in recent years where companies have gone under due to similar issues. This highlights just how risky investing in cryptocurrencies can be and why investors should always be aware of potential risks before putting their money into any venture related to digital assets.

The impact of this news on the progress of the crypto industry cannot be overstated. It will undoubtedly cause some investors to become wary of investing in digital assets and could potentially lead them away from cryptocurrencies altogether. This could slow down adoption rates and put a damper on innovation within the space, which would be a huge setback for those hoping for mass adoption of digital currencies in the near future.

At this point, it’s too early to tell what long-term implications this news will have on the industry as a whole but one thing is certain: it serves as yet another reminder that investing in cryptocurrencies can be extremely risky and should not be taken lightly. As always, investors should do their own research before putting any money into any asset class and only invest what they can afford to lose if things don’t go according to plan.

Sources

• https://www.reuters.com/technology/crypto-lending-unit-genesis-files-us-bankruptcy-2023-01-20/
• https://www.theverge.com/2023/1/20/23472388/genesis-lending-digital-currency-group-bankrupt-ftx-crypto-winter
• https://www.coindesk.com/business/2023/01/20/genesis

Another reason for FTX's failure is the questionable actions of its CEO, SBF. His lack of transparency and questionable decision-making have led to mistrust among traders and the wider crypto community. This has further damaged the reputation of the exchange and made it difficult for it to attract new customers.

To prevent future mass failures like FTX, stricter regulations and oversight need to be put in place in the crypto industry. This will help to increase transparency and accountability, making it easier for traders to trust and do business with crypto exchanges. Additionally, stricter guidelines should be put in place for crypto exchange executives, such as SBF, to ensure that they are held accountable for their actions and that they act in the best interests of their customers.

As for the moral code that comes with dealing with traders' money, it is essential for crypto exchange executives like SBF to understand that they are responsible for protecting and safeguarding the funds of their customers. This means that they must act with integrity and transparency, and make decisions that are in the best interest of their customers. They must also be willing to take responsibility for their actions and make amends when they make mistakes. Ultimately, a true leader in the crypto industry should put their customer's best interest at the center of their decision making process, and always act with integrity and transparency.

In conclusion, FTX's failure is a result of a lack of regulation and oversight in the crypto industry, as well as questionable actions of its CEO, SBF. To prevent future mass failures, stricter regulations and oversight need to be put in place, and crypto exchange executives must be held accountable for their actions and act in the best interests of their customers. The moral code that comes with dealing with traders' money is to always act with integrity, transparency and to put customer's best interest at the center of decision making

What is a privacy policy and why is it important

The purpose of a privacy policy is to provide individuals with notice of their rights and the entity's obligations with respect to their personal information. Privacy policies typically address topics such as how the information is collected, used, disclosed, and stored. In some cases, they may also address other issues such as identity protection and data security. Privacy policies are important because they help to ensure that individuals' personal information is handled in a transparent and fair manner. They also help to build trust between an entity and its customers or clients. Finally, privacy policies may be required by law in certain jurisdictions.

How to create a privacy policy for your business

Creating a privacy policy for your business is an important way to protect your customers' information. There are a few key elements that should be included in any privacy policy. First, you will need to explain what information you collect and how you use it. Be sure to be clear and concise so that your customers can easily understand your policy. Next, you will need to disclose how you protect customer information. This will include explaining your security measures and outlining what steps you take to safeguard data. Finally, you will need to include a contact method so that customers can reach out if they have any questions or concerns about your privacy policy. By including these key elements, you can create a comprehensive privacy policy that will help to protect your customers' information.

The benefits of having a privacy policy

As businesses increasingly move online, consumer data privacy has become a hot-button issue. In response, many companies have implemented privacy policies in an effort to protect the information of their customers and employees. While some may see privacy policies as a nuisance, there are actually several benefits to having one in place. First, privacy policies help to build trust between a company and its customers. By openly disclosing what information is being collected and how it will be used, businesses can show that they are committed to protecting their customers' data. Additionally, privacy policies can help companies avoid fines and other penalties if they are found to be mishandling customer data. In the European Union, for example, companies that violate the General Data Protection Regulation (GDPR) can be fined up to 4% of their global annual revenue. Finally, having a strong privacy policy can give companies a competitive edge in today's business landscape. In an era where data privacy is top of mind for many consumers, businesses that can demonstrate their commitment to protecting customer data are more likely to win over new customers and retain existing ones. Ultimately, there are numerous reasons why companies should have a robust privacy policy in place.

How to make sure your privacy policy is effective

A privacy policy is a statement or a legal document that discloses some or all of the ways a party gathers, uses, discloses, and manages a customer or client's data. It fulfills a legal requirement to protect a customer or client's privacy. A privacy policy can be short or long, depending on the organization's type, size, and complexity. drafting an effective privacy policy requires understanding how your company handles personal information, what data you collect and store, and what your obligations are to customers or clients. You'll also need to decide how much detail to include in your policy. Once you have this information, you can start writing your privacy policy. Remember to include key details such as the types of data you collect, how it's used, who has access to it, and how customers or clients can opt out of having their data collected. Be sure to review your privacy policy regularly and update it as needed to ensure that it remains accurate and effective.

The consequences of not having a privacy policy

One of the major consequences of not having a privacy policy is that it can lead to data breaches. This is because without a privacy policy, companies are less likely to have adequate data security measures in place. Moreover, without a privacy policy, companies are also more likely to collected data without the consent of the people involved. This can result in large data sets that are vulnerable to theft or misuse. Additionally, not having a privacy policy can also make it difficult for people to understand their rights when it comes to data collection and use. As a result, they may be less likely to trust the company with their personal information. Lastly, not having a privacy policy can also lead to regulatory penalties. This is because data protection laws require companies to have certain measures in place in order to protect the data of their customers. Without a privacy policy, companies may be found in violation of these laws and subject to fines or other penalties.

A privacy policy is a document that outlines how a business will protect the personal data and information of its customers. It’s important for businesses to have a privacy policy because it helps ensure customers feel safe sharing their personal data with the company. When customers know their information is protected, they are more likely to buy from the company. Additionally, having a privacy policy can help improve your website’s SEO ranking. Making sure your privacy policy is effective requires taking steps such as providing clear and concise information about how you collect and use customer data, getting user consent, and regularly updating your policy. Not having a privacy policy can have serious consequences for your business, including fines from regulators and negative publicity. By creating a privacy policy for your business, you can protect yourself and your customers while also benefiting from the many advantages it provides.

Elon Musk's recent acquisition of Twitter puts a dollar value on each user within the social media platform. This could potentially have implications for future acquisitions and valuations within the industry.

Musk closed his $44 billion deal to buy the social media service on Thursday night, said three people with knowledge of the situation. He also began cleaning house, with at least four top Twitter executives — including the chief executive and chief financial officer — getting fired on Thursday. Musk had arrived at Twitter’s San Francisco headquarters on Wednesday and met with engineers and ad executives.

By putting a dollar value on each Twitter user, Musk has set a precedent that could influence future acquisitions and valuations within the social media industry. This move could also have implications for other industries where user data is a key asset. It will be interesting to see how this plays out in the coming months and years.

In July 2022, Twitter released its earnings report for the second quarter of the year. The report showed that the social media platform had a total of 238 million monetisable daily active users around the world. This figure represents a significant increase from the 191 million daily active users that Twitter had in the same quarter last year.

According to a Refinitiv survey of analysts, the company lost 8 cents per share, adjusted. This is compared to expected earnings of 14 cents. Revenue also came in below expectations at $1.18 billion vs $1.32 billion.

Twitter first Quarter Earnings, Twitter Second Quarter Earnings. 

Though Elon Musk has paid 152 dollars per active user in taking the company private, this move provides him with capital to infuse Tesla and SpaceX with a strong bank account. Now that Twitter is private, Elon Musk does not really need to answer to SEC regulators. This move allows Musk more freedom to do what he wants. Because of this, Elon Musk has made the smartest move of the century.

The pandemic has dealt a severe blow to the value of office buildings in New York City, with a new study estimating that the total value could decline by as much as $50 billion.

The study, from the National Bureau of Economic Research, found that values have already declined by nearly 45% in 2020 and are forecast to remain 39% below pre-pandemic levels. The continued rise of remote work is a major factor contributing to the decline, as more women have entered the workforce and sexual harassment concerns have made many workers protective of their home offices.

This is bad news for landlords and investors, who are facing mounting pressure to adapt their properties for a post-pandemic world. Many experts believe that the office sector will never fully recover, and that the pandemic has simply accelerated a long-term trend towards remote work. For now, though, the value of NYC office buildings remains in free fall.

If you're thinking of buying a home, you're not alone. In recent years, houses have been selling like hotcakes, with sellers often receiving tens or even hundreds of thousands of dollars over asking price. But some experts are cautioning would-be homeowners about quickly jumping into the home-buying pool without first doing their homework.

"Listing prices are still high, and combined with the higher mortgage interest rates, people are going to be overpaying for their homes," says Mark Weiss, a real estate agent in Los Angeles. "Buyers need to be careful not to get caught up in the frenzy and pay more than they can afford."

Weiss advises potential homebuyers to look beyond just the purchase price of the home. "Interest rates are important, but there are other red flags to watch out for," he says. "For example, many homes are being sold 'as is,' which means the buyer could be stuck with expensive repairs."

He also recommends that buyers get a thorough inspection before making an offer on a home. "An inspection will reveal any hidden problems that could end up costing you a lot of money down the road," he says.

So if you're thinking of buying a home, take your time, do your research, and be sure to work with a qualified real estate agent who can help you navigate the process. With careful planning, you can find the perfect home without overpaying.

As interest rates continue to rise, experts are warning homebuyers to be on the lookout for other potential red flags that could impact their purchase.

According to mold remediation specialist Joe Aakjar, one of the biggest dangers is hidden mold. "In some cases, the mold isn't visible," he said. "If I'm doing an inspection on a Manhattan apartment at the top of a 30-story building, I may not actually see evidence of mold, but an air test will indicate that mold is present. Then we have to start looking for it."

Concerning new construction, Aakjar cited other common problems, such as undersized boilers or air-conditioning units, improper insulation, poor-quality windows, and foundation cracks.

Homebuyers should be aware of these potential hazards and factor them into their decision-making process. With careful planning and due diligence, they can avoid costly mistakes down the road.

OPEC Plus, the oil producers' group, is considering announcing a major cut in production when it meets on Wednesday, according to a person familiar with the thinking of Saudi Arabia, the group's de facto leader. Such a move would be a blow to the Biden administration, which has lobbied the Saudis to increase output.

The potential production cut would come as a response to falling oil prices, which have been caused by oversupply and weak demand. Analysts say that a significant reduction in output is necessary in order to prop up prices and prevent further decline.

This is not the first time that OPEC Plus has taken action to support oil prices. In 2016, the group agreed to a historic deal to reduce production in order to address an oversupply issue. The move was successful in boosting prices, and analysts believe that a similar cut could be effective once again.

The final decision on production levels will be made at the OPEC Plus meeting on Wednesday. However, it is clear that the group is considering taking action to support oil prices. This would be a positive development for the global economy, as higher oil prices can lead to inflation and other economic problems.

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Kardashian agreed to pay $1.26 million in penalties and interest, and cooperate with the Commission’s ongoing investigation.

This is not the first time that Kardashian has been accused of failing to disclose her relationships with products that she promotes. In 2015, the Federal Trade Commission charged her with failing to disclose that she was paid to promote a weight-loss product on social media.

The SEC’s charges against Kardashian underscore the need for celebrities and other influencers to disclose their relationships with companies when promoting their products or services. Otherwise, they may be violating federal securities laws.

The first red flag was Nike's revenue growth, which came in at just 4%. While that might not seem like a big deal, it marks a significant slowdown from previous quarters. Nike's revenue growth has averaged around 10% over the past five years, so this quarter's results were definitely a disappointment.

Another cause for concern was Nike's gross margin, which declined 1.6 percentage points to 43.3%. This is the sixth straight quarter that Nike's gross margin has declined, and it suggests that the company is losing pricing power. In addition, Nike's inventory levels rose 7% year-over-year, which could lead to markdowns and further margin pressure down the road.

The final red flag was Nike's guidance for the current quarter. The company forecasted earnings-per-share of between $0.50 and $0.55, which was well below analysts' expectations of $0.61 per share. In addition, Nike said that currency headwinds would reduce its revenue growth by about 2 percentage points in the current quarter. 

Nike's stock took a hit on Friday following the company's latest earnings call. While Nike reaffirmed its full fiscal sales outlook, there were several red flags that caused investors to lose confidence in the company. In this blog post, we'll take a look at what happened and why Nike's stock took such a big hit.

What Happened?
Nike reported its fourth quarter and full year results for fiscal 2020 on Thursday evening. For the quarter, Nike posted revenue of $10.36 billion, which was up 4% from the same period last year. However, analysts were expecting revenue of $10.57 billion for the quarter. Nike also announced that it expects revenue for fiscal 2021 to be flat to up slightly on a currency-neutral basis. 

The company's earnings per share came in at 62 cents, which was below analyst expectations of 68 cents per share. Nike also announced that it will be taking a $790 million charge related to the coronavirus pandemic in its upcoming fiscal first quarter. 

Following the release of Nike's quarterly results, the company's stock plunged around 10% in pre-market trading on Friday morning. At one point, the stock was down as much as 12%. As of 9:45 am ET, Nike's ticker page was the most active on the Yahoo Finance platform. 

Why Did Nike's Stock Plunge?
There are several reasons why Nike's stock took such a big hit following the release of its quarterly results. First and foremost, the company's EPS came in below analyst expectations. Additionally, Nike announced that it expects revenue for fiscal 2021 to be flat to up slightly, which suggests that the company does not expect a strong rebound from the coronavirus pandemic. 

Furthermore, Nike's earnings call appears to have rubbed some investors the wrong way. On the call, CEO John Donahoe said that he expects "the environment will remain highly dynamic and challenging" due to the pandemic. He also said that while digital sales were strong in Q4, they are not enough to offset declines in brick-and-mortar sales. 

Lastly, while confirming its full fiscal sales outlook (excluding the impact of foreign exchange), Nike also announced that it is withdrawing its guidance for gross margins and EPS for fiscal 2021 due to uncertainty surrounding the coronavirus pandemic. 

Investors sent Nike's stock plunging on Friday after a series of disappointing announcements from the company. While reaffirming its full-year sales outlook, Nike warned that gross margins and EPS would be impacted by the coronavirus pandemic and withdrew its guidance for those metrics. Additionally, CEO John Donahoe struck a more downbeat tone on the earnings call than investors would have liked to hear, saying that he expects "the environment will remain highly dynamic and challenging." With so many uncertainties surrounding Nike at this time, it's no wonder why investors are spooked.

Nike's disappointing earnings report was a wake-up call for the sneaker giant. With competition heating up and margins under pressure, Nike will need to work hard to maintain its place at the top.

Swift, the interbank messaging system used by over 11,000 banks globally to move money across borders, is investigating how it could make use of blockchain technology. Swift's chief information security officer (CISO), Craig Spiekerink said the company is conducting "proofs of concept" (PoC) with a number of blockchain networks including Bitcoin and Ethereum. Swift wants to see if it can use blockchain to improve the speed and security of cross-border payments.

SWIFT is using the Cross-Chain Interoperability Protocol (CCIP) in an initial proof of concept.

CCIP will enable SWIFT messages to instruct on-chain token transfers, helping the SWIFT network become interoperable across all blockchain environments.https://t.co/8GOBNhzwCk pic.twitter.com/Pvm0Cex45e

— Chainlink (@chainlink) September 28, 2022

Spiekerink said Swift is also looking at how blockchain could be used to verify the identity of Swift users. This would be important if Swift was to offer its services to crypto exchanges or other crypto companies that are not currently Swift members. At present, these companies have to go through a Swift-licensed bank to access the network. Swift is hoping that by using blockchain it will be able to offer its services directly to these companies, which would make it easier for them to send money internationally.

The PoC utilizes Chainlink's cross-chain interoperability protocol (CCIP), allowing SWIFT messages to instruct token transfers across nearly every blockchain network. Nazarov believes that this will accelerate the adoption of distributed ledger technology (DLT) blockchains across capital markets and traditional finance. By utilizing blockchain, Swift hopes to improve the speed and security of its payments system and make it more accessible to companies in the crypto industry. Swift is just one of many companies that are exploring how blockchain can be used to improve existing financial infrastructure. It remains to be seen if Swift will actually implement any of these PoCs, but the fact that it is investigating the use of blockchain is a positive sign for the adoption of this technology in the financial sector.

How He Got Where He is Today?

It was 2016 when Gavin Wood started thinking about how he could create the next version of Ethereum. He hosted the first Polkadot meetup in Berlin and emphasized using the existing technologies like Bitcoin and Ethereum to come up with a more futuristic and capable blockchain platform.

The Core Idea Behind Polkadot

Gavin Wood’s aimed to build a unique platform to disintermediate many of the middlemen, institutions, and authorities by eliminating the need for trust in society. In the beginning, they had a patchwork of some kind of independent and isolated legal system of the worldwide internet. According to him, it was a big problem because this creates different groups who share the same vision and face misalignment in terms of achieving their goals. 

Gavin Wood identified the existing technology of Bitcoin and Ethereum that allows automating the most fundamental aspect of the economy which is trust. His idea was to make an autonomous and efficient platform that can expand the capabilities of the existing system and provide the users with a more agency-oriented system that doesn’t require them to trust someone.  

He said that his team has this general idea of keeping Ethereum 2 under development while working on Ethereum back in 2014. He was motivated and encouraged his team to embark on something that can be complimentary to Ethereum in 2016. 

What is Polkadot and How It Became a Reality?

Polkadot is multi-chain technology that focuses on executing multiple transactions at the same time making it possible for different chains to interoperate with each other efficiently. With Polkadot, Gavin Wood and his team were able to unleash the real potential of parallelizing multiple blocks and achieve a hundred times the number of transactions per second (TPS) taking place on a single block or a chain like Bitcoin and Ethereum.

In 2018, Gavin Wood attended the first Web3 Summit in Berlin and presented his unique idea to the audience. He said that Polkadot is the biggest bet in this ecosystem that works against chain maximalism. He took 15 minutes and gave a demo of developing a custom blockchain and upgrading it online using a simple MacBook.  

He downloaded a substrate node template which was a very small repository acting as a sort of skeleton blockchain. The substrate is a blockchain framework that allows making new blockchains by placing a specialized logic. He says that substrates are written in such a way that they act as any conventional blockchain like Bitcoin and Ethereum as well as one of the unique blockchains under the umbrella of Polkadot that are known as parachains. He put efforts into creating a whole new class of development teams and applications where experts do not have to worry about knowing everything and can simply focus on doing just enough to come up with a domain-specific chain with its parameterization. He made it a reality to get a new job done that wouldn’t have been possible before because smart contracts were too expansive and needed a lot of work to write a new blockchain.  

Gavin Wood Wanted to Create an Autonomous Algorithmic Service Online

While talking about the coding revolution, he said, “the keyboards will soon become mightier than the pen pretty soon.” 

It was 2020 when he got near to the launch of Polkadot in Berlin and everything came together nicely. He started with the launching of the first chain candidate for a Polkadot Relay Chain with the Web3 Foundation. 

The candidate attempted to launch a new chain “Genesis Block” acting as a proof of authority and a simple bookkeeping exercise. It enabled the team of experts to start the chain without needing validators and potentially unfilled governance structure. 

They started to evolve a restricted chain into a fully decentralized and permissionless chain with the Genesis Block while gaining trust in the network’s stability. They used a pseudo module to lift the limitations on this restricted chain through a series of governance decisions. This module is known to allow a single element to issue any kind of command it wants within the system. It can rewrite the chain logic and reprogram it according to the requirements. The entire launch process comprised of the following phases:

The First Phase:

Polkadot operated as a proof of authority chains, fixed the validator nodes, make sure that the validators never change, and that these validators will always be operated by the Web3 Foundation. In this phase, the chain was limited to only a few functionalities. 

The first functionality is the Pseudo Module which allows the Web3 Foundation to upgrade the chain as per the requirements. The second functionality is to allow claims so that dot tokens indicators can be easily claimed. And the third functionality allows the owners of the allocations who signal their allocations to the state while becoming the validators. 

The Second Phase:

Polkadot’s second phase started with having enough people signaling their intent with pseudo permissions. This allowed the team to switch from proof of authority to proof of stake. In this phase, all the indicators with their signals to become validators will be selected. This allowed Polkadot to move from being operated by a single validator to a set of international validators. By trusting in the economics of the cryptographic logic, they moved the chain into becoming a proof of stake.  

The Third Phase:

In the third phase, the team used a pseudo key to enabled various pieces of governance to function. At this state, the governance apparatus of Polkadot became sophisticated and stood alongside Kusama. This phase included the following four modules:

1. Referendum Module: It that allows a coin weighted voting system meaning that the dot token holders will be able to alter the fate of the Polkadot network. 
2. Council Module: It allows the token holders to elect a certain number of members to the Polkadot Council.
3. Technical Committee: It is a non-voted body and selected by those teams who implemented the Polkadot network while upraising the required upgrades.
4. Treasury: It allows the council as well as the assembled token holders to place funds masked that are masked through the block reward system. 

These four modules allowed the public or the dot token holders to have the avenues to affect changes in the system which means Polkadot was now in the hands of the token holders. It also included a final runtime upgrade by the Web3 Foundation to remove the pseudo module. It involved eliminating the omnipotent position which can cancel the chain.

At this point, Polkadot became a live decentralized and permissionless network. 

The Final Phase:

Followed by the three phases, the final phase of the Polkadot launch included the extra pieces of functionality such as balance transfers allowing the dot token to be transferable instead of just being the validators, rolling out the first parachain, purchasing and leasing modules, and the X CMP cross power chain message.

Garrick Hileman, the head of research at Blockchain.com made an appearance and after a short talk about Ethereum, he was questioned about the smart contract by the guest in which he explained that for instance, you have booked a flight ticket which got delayed or canceled. If the insurance was on a smart contract, then it will automatically refund the amount by verifying whether the flight was canceled or delayed. Thus, a user won’t have to claim the insurance.

It was further discussed that smart contracts can bring a huge change if New York Exchange or NASDAQ opt for this technology. A few decentralized exchanges are already built that are working in an automated way which can be considered as a smart contract exchange. It was also revealed that the term smart can be misleading as millions of dollars have been exploited due to bugs in the codes of smart contracts.

Next, decentralization was discussed in which the guest explained that it is more like a spectrum and it can’t be completely decentralized as considered by the mass audience as there are various degrees. But the rules that are automated on the blockchain can’t be easily broken as often done by the banking systems.

After smart contracts and decentralization, Defi was discussed in which Garrick stated that it is associated with dApps that are built on Ethereum blockchain. They are mostly referred to as money market protocols that are related to lending and borrowing. It is also considered as the new financial system by the audience.

The host asked whether the Ether is necessary for the Ethereum blockchain to work long term to which the guest replied that both are distinct but integrated as well. Ether can be considered as the train and Ethereum blockchain as train tracks, which means that both are meaningless without each other.

When Garrick Hileman was asked about the risk involved due to programming issues and the future relating to them, he revealed that over half-billion US dollars have been lost due to cyberattacks and bugs. According to the guest, developers need to understand the risk and work accordingly as some of the strongest projects have been prone to attack as well. However, underlying projects like Ethereum and Bitcoin have been secured.

Speaking of Ethereum’s scalability, Garrick said that it will be facing tough competition in the future soon as other blockchains have improved their scalability to a great extent. Further, the host asked if we will see any development in Ethereum to which the guest replied that there has been major improvement due to which it has been able to become a potential competitor to Bitcoin.

Additionally, Arjun Kharpal questioned the guest that Bitcoin is regarded as digital gold but what’s the future and what role Ethereum can play in the future against the giant crypto? The guest stated that Bitcoin is more decentralized than other blockchains but the Ethereum is making quick progress. So, it will be interesting to see where both stand after 10 years.

After bidding farewell to Garrick Hileman, the head of strategic sales Liz Mathew at Concsensys joined the podcast to share her insight on the Ethereum blockchain. The host started by questioning her about the most promising applications to which she replied that the volume has been growing exponentially and people can now make such transactions that were limited to a few investors.

Arjun further stated that blockchain was considered a buzzword but considering the present, where do we see it now and how financial institutions are approaching it. As per Liz, we are still in the experimental phase and the current financial system is still manual due to which the majority is looking forward to adopting this technology to provide better service to their clientele.

The speech from the commissioner of the commodity future trading commission in which the spokesperson believed that central body is important and Defi is a bad idea for the system. Liz Mathew was in consent and believe that there must be regulations for better access and applications.

Non-Fungible Tokens (NFT) that are built on the Ethereum blockchain are a great hype nowadays. The host asked about the guest's insight on the future of this technology to which she replied that it has become a currency in itself and the impact on the gaming industry is also unmatched. Further, she was optimistic about the financialization of NFTs.

The host had a great emphasis on interoperability and asked whether the applications built on the Ethereum blockchain can work together with other blockchains. Liz provided her insight that there are several chains that have access through MetaMask. So, it is possible in the near future.

The blockchain industry is continually transforming with newer ideas. Keeping this in mind, Gavin Wood started scratching the surface to create the next version of Ethereum that features cross-blockchain transfers across multiple parallel platforms. 

While talking about chain mergers and acquisitions, Gavin Wood explains how sovereign chains can interact with each other through Polkadot. He characterizes a unique change in the overall progression of the blockchain industry from currency-oriented to a more politically-oriented sort of segment. According to him, it is one of today’s most interesting trends that have a huge impact on society in the future.   

What is Polkadot?

Before getting into any further details, Gavin Wood gives a brief introduction to Polkadot, its properties, and functionality. He explains Polkadot as a Scalable Heterogeneous Multichain that allows the users to parallelize the execution and processing of blockchain transactions. It is a one-of-its-kind platform to create a trust-free system and aims to give greater technical guarantees and facilities like flexibility, performance, and security.  

Performance: Each of the processing logic do not specify the fundamental kind of these transactions and leave them entirely open-ended to the lying developer. It gives an unprecedented level of flexibility which is much more than the dynamic model that Ethereum offers. Polkadot allows smart contract models as well as fixed-function pipelines for transactions with improved performance.

Scalability: When it comes to comparing the number of transactions per second (TPS), Bitcoin has 5 TPS, Ethereum has 25 TPS, and Kusama has 1,000 TPS. Whereas, Polkadot at its basic level of computation without any additional tricks can reach up to 100,000 to 1M+ TPS. So, compared to other famous platforms, Polkadot is a WebAssembly-based metaprotocol that has got a lot more potential on both parachains and relay chains.   

Upgradeability: Gavin Wood is confident that Polkadot has an expansive capacity to upgrade and outperform other platforms with 1000s of transactions per second on hundreds of parachains. It encourages seamless upgrades controlled by a consensus of the underlying logic. There are limitless possibilities in terms of the kind of design upgrades and optimization in database, I/O, storage layer, web assembly, interpreter layer, multi-threading, and other elements. He says that the platform can easily unleash the real potential of today’s six-core or eight-core CPUs.

Governance: Polkadot hosts its unique logic which is indeed a crazy idea possible through the use of web assembly. It allows the algorithm to be described as data or instructions by cooperating and coordinating between individual parallel transaction processing units and relay chains. With the ability to dictate new logic for upgrades, Polkadot has complete control over its destination and acts as a fully autonomous agency.  

What is a Token?

Gavin Wood also emphasize tokens or token economies with respect to chain mergers and acquisitions. He explains how these economies interact with other sovereign levels. He explains token economies as one of the three C’s that are commodity, currency, or corporation depending upon the fundamental protocols other than the derivative that can be exchanged.  

Commodity, Currency, or Corporation: He identifies Bitcoins as commodities because they do not have any property that can make them an agency. Along with that, currencies are those that are somewhat managed by a central authority or a central bank, and lastly corporations as agencies because they are built on amorphous protocols that can reinvent themselves.

Derivatives: Gavin Wood also sheds light on the mergers and acquisition models within the Tokenomics domain. The first model is the Gold Standard where any currency such as USD acts as a derivative of Gold. The second model is the ETH1 – ETH2 allowing ETH1 to burn and populate ETH2. So, these are not mergers instead they are derivatives because they cannot act on their own. 

In other words, the aforementioned models do not have any agency over them to allow one to agree to the other network’s minting process. So, it is way difficult to complete a merger in an environment where everything is based on machine execution which requires understandable terms.

Mergers and Acquisitions in Tokenomics: To complete mergers and acquisitions, chains have to respect each other’s tokens. If two or more sovereign chains have agreed on a specific price then they have to be subservient to each other based on their token logic. This gives rise to having some shared idea of sovereignty which encompasses a fundamental underlying security layer of consensus. 

To fill the gap, Polkadot serves exactly as the required underlying platform for blockchains. It allows them to get their shared security or consensus without restricting in any way as far as there is a deterministic logical execution.  

Keeping all this key knowledge and information in mind, it is agreeably evident that Polkadot acts as the only sophisticated system that allows sovereign chains to interact with each other and exchange transactions without prejudice in a trust-free fashion. That’s how Gavin Wood perceives mergers and acquisitions within the blockchain space.