 Mark asks, hey address, it's official Facebook is giving us global coin early next year Please put all our concerns to rest and remind us why this will only compete against central banks and fiat currency And not be a threat to Bitcoin. Thanks. Unfortunately. I can't put your concerns to rest In fact, I've sold all my Bitcoin in order to buy global coin. No, I'm just kidding Fundamentally the the thing to understand here is that what Facebook or any company like Facebook is proposing is not a cryptocurrency It doesn't have any of the fundamental characteristics of cryptocurrency It doesn't stand on the five pillars of an open blockchain. In fact, it has none of those So what are the five pillars that we talked about before you've probably heard this a few times an Open public cryptocurrency is open It's public. It's neutral It's borderless and it's censorship resistant and all of these things are characteristics that stem from decentralization of control Anything that's created by a centralized organization any centralized organization that can be identified that exists in a specific Jurisdiction that is subject to specific laws Cannot achieve any of these five pillars and the reason they cannot achieve is because the law prevents them from doing so so first of all They can't be censorship resistant. Let's start from the end They can't be censorship resistant because they are legally required to prevent the transmission of funds to certain entities These entities include sanctioned countries like Iran North Korea Venezuela, etc These include sanctioned entities that are people Companies and people those listed for example on the OFAC list that's run by the US Department of Treasury You can't send money If you you can actually go find the OFAC list Google search it. It's a search engine You can type in a name and they can tell you if that name is on the OFAC list Just for fun type Pablo number one name that's gonna come up is Pablo Escobar And you are not allowed. In fact, it is a felony to send money to Pablo Escobar and that list is long how long nobody knows because it's a secret list and That list is something you are required if you're a regulated entity to check against before transmitting payments So it can't be censorship resistant In fact, you're required by law to censor certain transactions and and these transactions You know that list is getting longer and longer and longer. So if it can't be censorship resistant It also can't be borderless because you're prohibited from sending money to certain countries Which means that you have to be able to identify both who is receiving this money and where they are In order to identify who and where they are You have to do know your customer Anti-money laundering counter-terrorist financing regulations essentially you start behaving like a bank Anybody who implements a payment system that centralized has to follow all of the rules of a money transmitter or bank at that point You're no longer neutral the protocol itself cannot be neutral because neutrality means any Sender any recipients any value regardless and the protocol does not care Where you are who you are what you're doing with that money and why and a regulated entry entity cannot Not care about all of those questions. They have to Check all of those things. Who are you? Where are you? What are you doing with that money and where did it come from? You may notice those are very specific questions You've probably recognized your bank has probably asked you some of these questions One of the exchanges you're dealing with has probably asked you some of these questions What is your income show us your ID? Which country are you in? Are you an American? Etc. Etc. So and this applies across the world and every jurisdiction has different rules, which means that You can't be borderless in another way, you know Facebook operates as a borderless company in Many aspects of its operation money is not one in which it can do that it can do that with content through various protections of the law and Even that results in Facebook being blocked and banned in a number of authoritarian countries But to try and follow the payment regulations for two billion customers with splits in a hundred and ninety four countries is a Morass and it would result in the same kind of problems that PayPal has You know, why is PayPal not a global company that serves a hundred and ninety four countries equally? Because they can only serve 20 or 30 countries equally and even there they have to do all of these things because they became a bank They're not censorship resistant. They're not borderless. They're not neutral and They can't be public either Because they can't make all of this information publicly available because that would violate various laws now They've got a lot of privately identifiable information about owners of money. They can't make any of that Available publicly. They can't create public APIs. They can't create public transparency reports. They can't do any of that because of all of the laws that apply to the secrecy of financial information and as a result most importantly, they cannot be Open they cannot give you access to this to send it or receive it outside of their platform They cannot allow you to extract it from their platform They cannot allow you to sell it to someone else without them being an intermediary They will have to sit in the middle and control every transaction They're not open. They're not public. They're not neutral. They're not borderless. They're not censorship resistant They're not a cryptocurrency They're a bank They're a bank just like PayPal and JP Morgan Chase now. They're going to be a very large multinational Very powerful bank with a lot of users So banks should be really scared because when technology companies start playing in banking and they have all of these users and all of this experience in technology That creates a real challenges for banks because Even though Facebook cannot be as open as borderless as neutral censorship resistance of cryptocurrency. They can certainly be more open More borderless and reach more countries than JP Morgan Chase and they start off with more users So that should be scary for all of the existing financial services Companies it should also be scary for some authoritarian regimes that will try and fail to block Facebook And then try legal shenanigans and again probably fail or face an army of lawyers So this does affect central banks as well, especially central banks in countries that have Problems it does affect fiat currencies because it's going to force banks to to basically modernize and So again all of these legal restrictions are gonna get challenged of course Which is going to probably make the banking system more open and that's a good thing but it can never be a Cryptocurrency and it can never be as open as Bitcoin or any of the other open borderless public neutral censorship resistant crypto currencies So I'll hold what I have Because to me this is not about convenience of payment This is not about access to a two billion user base This is about being able to be free to hold my own money to Not have anyone be able to freeze it Sensor it tell me who I can transact with or when I can transact or how I can transact or what I can transact for That freedom is at the core of cryptocurrency And that freedom is the one thing that you can't do with this global coin