 There's been some news that has come out recently that has made me extremely mid to long-term bullish in the crypto market. And really what it comes down to is a excellent strategy that's going to be put forth by Coinbase. I think a lot of centralized exchanges and organizations will probably adopt this. And what I'm talking about is there was an article that came out which talked about how Coinbase says that there's just no way to register with the SEC amid calls for compliance. Now on this channel, I've said there's a couple of ways of hitting back at the SEC. And one of those was to sue the SEC and go on the offensive, which I still believe could be a pretty well done strategy. But Coinbase said a little bit differently. So this is the first things first, because they say, look, it's impossible for compliance. And Coinbase Chief Policy Officer Fagar Shazad said, we've tried and there's no way to do it. In fact, we submitted a petition with the SEC back in June, where we enumerated the specific issues that the agency would have to resolve for crypto platforms to be able to come in and register. And Shazad said, despite following a list of questions asking how to register with a commission, the SEC has not responded. Gary Gensler was asked the same question. He goes, look, they can do whatever they want to do, but they need to work with the SEC or we can continue on the course with more enforcement actions. Meaning what he's saying here is that you can keep screwing around, but we're just going to give you Welles notices. We're going to take you to court and the enforcement action, that's what we're going to do because we're the SEC. Asked whether the SEC has engaged with crypto firms, which is what Coinbase is saying they're not doing. Gensler said, it really is on these entrepreneurs and business leaders in the crypto space to come in and talk to us, which I thought is odd. He didn't really answer the question. And the second thing is, when Coinbase went in there about a year and a half ago and said, hey, I want to do an earn program. They said, here's a Welles notice. We're going to sue the pants off you. Thanks for coming in. So that is the problem that is happening. So what does Coinbase do? Well, first of all, there's two options. Again, legal. I thought again, suing the SEC. Brian Armstrong says, look, we'll go through the court process. We'll defend stake in the court of meetings. So we are ready to do those things. And people will say, well, Rob, they don't want to do that because the SEC is unbeatable. No, it's not. Mark Cuban beat them in 2013 for insider trading. And just remember that court case is just because you're an incumbent. Technology sometimes wins out. This is in 2003. This is a court case of voiceover in a protocol, a little company called Vonage. And they were sued in Minnesota. And the big telecommunications company says, look, these guys are doing everything for faster, cheaper, and easier. We don't like that. Sue them and make them pay. And they said, no, this is a totally different thing. This is a new technology. And we're not going to allow that. I'll link this article in the description. This essentially is part of the process allowed voiceover in a protocol, which you are using right now for free to reach you and your handheld device or desktop application. So again, you can go the legal route or I thought this was great. Coinbase is speeding up plans to expand outside the US. So what's happening here? Coinbase spokesperson said in an email that the company is accelerating work on its go broad or go deep strategy. And this includes growing its presence in every continent, except for Antarctica. What does this mean? There's a blog post. And this is what they want to do. Go broad and go deep. Go broad, they want to launch foundational products that are a gateway to web three and crypto in every country and go deep is the launch localized infrastructure and public basing products with a full suite of services. Again, what they're really doing is like, go and look, America may not be for us. I mean, we'll do what we have to do here and we'll defend ourselves in court one prong. But we will also branch out globally compete with Binance. That'll be our second prong because we are a public traded company and we want to be successful. Now the thing is with the SEC, they have to deal with a potential court case against Coinbase, Kraken, Gemini, whoever else is going to come forward. And then they also have to compete with this, which is they're already suing Ripple was going on for two years straight now. And also on another front, they have to fight the battle against Grayscale and their Bitcoin trust because they want that Bitcoin ETF, which the court has even questioned said, what's the problem here? You probably should have approved this. So on top of that, it is interesting what's happening with that case because this is from Tom Crown. He said, yeah, it looks like Grayscale Bitcoin trust looks weirdly bullish. Maybe there's some news we don't know about. Maybe a Bitcoin ETF will be approved. Look, I've been around since 2017. I'm not holding my breath for a Bitcoin ETF, but it is interesting just how spread thin potentially the SEC is. There's a government agency. Of course, that's why they're asking for funding. But it just seems like it's a total farce for them to just fight all these different fronts when they can just go, okay, look, we're just here for regulation, not regulation by enforcement. We're just here for for you guys to come in. We kind of work with you and go that route instead of just trying to direct the traffic. So to me, I think it would be very difficult. So there's two fronts really that they're having to fight and are the different things that these companies are trying to do. Coinbase is like, okay, we're just going to leave America and we're going to not leave totally, but we're going to branch out and we're going to be more of an international company. The second one is, okay, we're going to fight you here in courts and we can do that all day long. And the third option is kind of like what Kraken is doing, which is saying we're going to stay here and we're going to come at you, which is they're going to launch a US crypto bank because they already had to bend the knee with the SEC and say, okay, we're not going to do any kind of staking. That's fine. You know, with the problems with signature bank and Silicon Valley bank, they're like, but, you know, we still like America and we want to stick around and want to innovate and the banks are going to be here. So we're just going to start our own bank. And we talked about this yesterday and it looks like that is going on swimmingly. So again, three different options. You can stick around, but leave America and go globally. You can fight here in the legal court system or you can do a new product and come right at the SEC. And that is why I appreciate the different products that stick around and say, you know what, we'll see what happens. And one of those will be sweatcoin. Now I had Olig, who was one of the co-founders of sweatcoin, and they had come out and said, look, in September, we're going to bring our Web 3 wallet to America of this year. And when I covered this, this deep dive about seven, eight months ago, I didn't think they were going to do it. But they're like, yeah, we're going to come back. And the legal team said not to launch in the USA, but we're going to bring it back and we're going to see what happens. So I had to ask Olig, why did they do that and what's on the horizon? So just take a listen. All right, everybody. So what I want to do is bring in Olig just to give us an update about what the heck is going on. So there's some things, Olig, that I didn't think you guys would get to. So welcome back to the show. Thank you. It's absolute pleasure to always talk to you and connect with you and give an update to your audience. Yeah, this is crazy. This is how long it's been, man. It's been since July 4th. This was our deep dive video. We talked about the cut, the community, the utility, the team, the tokenomics and how you guys monetize this system for a free walk to earn program. And then we talked about where things were going. That was very interesting. We went deep into it. Then as time has gone on, we actually did a January walk-a-thon and we gave away some pretty great prizes. So I want to say thank you. Thank you for running that. Yeah, that was fun, right? A lot of people got hopefully a little bit better in shape. And today, the big news was this, we talked about a couple of weeks ago, which I honestly, when you told me that you were coming into the U.S. with the securities and all the different things with Gary Gensler, I thought, well, okay, I mean, you said 2023, I'm like, maybe they'll push 2024, but you didn't. It looks like September 12th, the sweat wallet, the cryptocurrency wallet, is coming to America. So everybody that has accumulated their sweat coins can now put those into sweat, the crypto. So just talk to us real quick about that and then we'll get into some road map and some other things. Sure, absolutely. And despite the scary nature of what's going on in the U.S. and all the recent events, actually, there is quite a lot of clarity that is emerging around types of products and propositions that U.S. regulators are having issues with. What also emerges very loud and clear is that the remit or the objective of their existence is to protect U.S. investors or U.S. retail from crooks and thieves and scammers, etc., etc. And one of the things that we're realizing is the nature of current enforcement is that it feels like that objective, but to proceed it with something a lot simpler, which is, okay, just whack them all, anything picked up. And in many ways, they're right. They're totally right because we let sort of fox in the chicken house. There are a lot of examples of unscrupulous and frankly nefarious projects and individuals out there. However, I think that we also have grown up and if you really put your main principle at heart to protect U.S. retail and U.S. citizens from harm, then you start thinking, okay, what is the definition? What actually needs to be happening and what does the project need to do in order to be able to accuse of causing this harm? And one of the things that we're doing extremely well and all around the world is we're actually making the world more physically active, making people move forward. We are able to monetize this user base, not by charging them, not by extracting value from their pockets, but monetizing this business and effectively giving these users value from their physical activity. So it is going to be an extremely difficult and a very onerous thing to do to kind of accuse us that the project of kind of that goal and transmission has always been to make the world more physically active of coming into the U.S. for the benefit of extracting value and pulling it from people's pockets. So basically the first principle is we know our ethics, we know how robust we are and our oversight and we know the mission and the purpose of our project and therefore we know that we cannot resolve right now differences of views on utility, security, all of that, and this is going to last for a very, very long time. But given how much pool we're having from our users, including yourself, that kind of mentions entering to the U.S. regularly, but I get three, five tweets a day, emails a day, when you come into the U.S. we really need you here. And let's be frank, U.S. is not one of those countries that has the kind of thinnest waistline around the world. And I'm not trying to knock anyone here, but it feels like if there is a country that we will add a lot of value to, it is the United States. Second point, damages. There is no way that we as a project will be causing damages to the U.S. retail. I just can't see how this can actually happen. And the third thing is, if you're actually looking at the regulation and the spirit of it and what regulators are actually trying to accomplish, let's assume that regulation was self-imposed rather than you're coming in and then you're ticking all the boxes and only then you consider regulated. But if there was a document or a set of documents that set out the spirit of what genuine in good faith operation in the U.S. is, and what we are effectively doing right now is we are going through all of this and we're doing absolutely everything to make sure that we are fully compliant. So we would like to be regulated. We would like to be fully compliant. We would like to be able to bring the value that we have in other countries in the world into the U.S. But we are fully realistic that in the given situation, if you follow the path that you supposedly should follow, you're just not going to result in absolutely anything constructive and it will set us back by multiple years. What we would like to do is come in an absolutely good faith and do everything to make sure that there is no opportunity to claim that we are doing anything wrong and we are operating in any way in a different fashion as if we were regulated in the United States. So we don't want to bring damages. We don't want to stay secretive. We want to bring all the disclosures and absolute clarity how our product operates and how these tokens are used and etc. So it is definitely a risk-based decision, but we would like to have a constructive dialogue with regulators where they understand that, again, we're not coming in with nefarious objectives or whatever, but we're coming in because the market needs us. The market asks for us and we are doing absolutely everything to make sure that we are compliant and taking absolutely every box, with exception of probably actually the box being ticked and the paper being signed, which we know has not happened ever. Ever. So a couple of things. What you just said is exactly what all the centralized exchanges and every single crypto product out there wants to do. They want to be compliant. They don't want to be on the bad side. They don't want to do the right things, but there is no clarity being given. And the second thing that I will say is that when you say, because I know some people haven't, they know I talk about sweat coin, they know that I want a bunch of it because I am super biased and I think I talk about on this channel the things that I actually own. When you say things like, you know, we monetize in a certain way, we're not monetizing you, you have to understand and we talked about this in the deep dive video. This is actually the question number three, the revenue generation of how you do these things. One of the things right now for everybody who is watching this video at home, you probably watch this on YouTube and before you watch this video, there was an ad and there may have been two or three ads and that's one of the ways in which they monetize their app. They don't sell your data or anything like that. They do those things and also there's different products that you can purchase within the app itself, which is how they also monetize. So it's a little bit different that you may have heard of like other move to earn type of programs where you have to like purchase a very expensive NFT or actually now a cheap NFT. It's not like that. Everything's free from the beginning. You earn those tokens. Those are your tokens and you can use them in a certain way, but you guys have figured out a way to monetize it and that's why you were either one or number three of the top apps in the global for health and fitness for 2022. I think that's one of the reasons. Was I often anything I said, Oleg? Now it's absolutely spot on. We've never transferred or sold or in any way monetized or used our users data. We just ethically, we do not think that this is right and also legally we are a European company. All the data from all over the world is kept in Europe, which is got by GDPR. So we are compliant with one of the most draconian kind of privacy protecting legal frameworks in the world. And yes, our business is to generate revenues without charging users directly. We do have premium subscriptions. So we make a little bit of money directly from users, but definitely not a line share. And as you absolutely rightly said, we are not upon the scheme where you first need to pay in order to be able to participate. It's absolutely free. And we've been going for eight years now. So we know how to build a business. And I think that there is a very interesting narrative that a lot of people in Web 3 are sort of pushing where Web 3 is fundamentally extremely very different type of business from Web 2. But in essence, every business, no matter what if it's Web 2 or Web 3, needs to generate more revenue than they spend it. That's a lifeblood of the business. And if you manage to build that business, that means it's sustainable business. And that means that everything is going to be fine. No matter how you structure it, no matter what legal framework is, if you're able to generate more revenue than you're spending on cost, you have a good business. And this is exactly what we are focusing on without spending an awful lot of time and very, very complicated explanations about flywheels and 17 degrees of separation between one token and the other. All of these very confusing terms that some projects are using. We're building sustainable business by making the world physically active and charging on the way for it. Right. To me, when I was choosing projects to talk about on my second channel, this is why I chose you guys. It was because you already had an economic model that was actually proven to be trustworthy and actually worked. And I thought to myself, well, think that Web 2, then they should do pretty well on Web 3. And it's the same, also the same reason why I chose Gensokishi, which is another different type of, it's a metaverse game where they already had it already on Nintendo, they had it on PlayStation 4 or 5, they had an iOS and Android, and they brought it over to Web 3. I thought if they already have the community, the utility, the team, and they actually got the tokenomics right, it's the same thing. So you and those guys, it just made sense to me. Yeah, no, I totally agree. And can everyone, no matter what business you're building, just focus on building sustainable business that brings value to the world. And I think that I am absolutely confident that the situation with regulation is going to be resolved. I am absolutely confident that rather than just simply trying to assume that anything crypto is bad for US retail, we will actually start seeing that as any other business, there is bad business and then there's good business. And I'm really looking forward to crypto becoming mainstream. Let's face it, it is going to happen and we need to get there. And I just don't want to be waiting for the next five years to be able to serve our American users who are gagging for us to be there for them. Well, you and me both brother. And I will tell you this, right now we're talking on Monday, it is the bank run day, we can see that of course, there's a bit of an inversion for crypto and things that are going on. So we know that we're in the right place at the right time potentially. But Oleg, let's talk about and we'll finish this up with just talking about what's on the horizon for you. Now, I know this just happened, as far as minting difficulty, we went from a thousand steps for sweat to now 3000 steps. And that is to make things more difficult because tokenomics. And then talk about this real quick and then we'll finish up with a little bit on the roadmap. So yeah, no, if you remember my kind of our original interview, what we're building, what sweat is, is actually a primary unit of physical utility value. But let's think about this is startup, you know, you know, startups don't just go, and all of a sudden it's a perfectly functioning business, right? Like a baby, you need to invest, you need to teach them to speak, to walk, talk, etc. And that's basically what we're doing right now. In order for sweat in long term to become that primary unit of physical utility value, we need to help it. And effectively, right now, we are investing not just the value of physical activity, but the value of attention, which we monetize on the way. Right. But with token economics built as it is right now, you know, kind of the value or the step value of each sweat is growing. And what happens is that maybe it's not necessarily the major factor in determining the value of the token, but it is a factor nonetheless. Let's give it a little bit of time where the value of physical activity is going to become more important and weighted, you know, the overall value perception is going to be weighted a lot more towards physical activity than our ability to monetize attention, which is where we're starting right now. The process will continue. It is totally formulaic. You can look into our smart contract, anyone and everyone can investigate and audit it and see for yourself exactly how it is developing. In terms of the roadmap, there is really, really cool stuff that is coming and, you know, not very far from being released. The short term stuff is we are in final stages of testing, you know, kind of crypto to crypto trading functionality. So you'd be able to, you know, use assets that you have right now to trade in for other assets that you want to get. But we're actually completely revising the approach to this interface, because again, you know, we genuinely believe in mass market world, into the world of, you know, kind of usability and user experience that is not driven by queries and smart contract design, but by the way humans think. And, you know, kind of when you walk into 7-eleven, you don't sort of go, I've got $56.97, what can I get for it? Which is a very much a kind of trading or swap interface as of today. But you go in and you kind of go, well, I just want to have red and milk, right? And that is exactly what we're building. We're building trading functionality that should allow you to choose what you want to get and then how you want to pay for it. And, you know, kind of it's simple and it seems, you know, kind of really not, you know, kind of not not terribly insightful, but weirdly interfaces like that do not exist at the moment. So we basically re rethinking and redrawing the kind of how is crypto to crypto trading should be done. The other massively exciting area is the is the process that what we, you know, can claiming and earning, you know, right now what we have is basically you open the wallet and you look at your balance and that's it, right? Right? So you're quite pleased with the, you know, kind of with the balance growing, right? What we would like to do is to basically turn this instance into a an interesting engagement where, you know, rather than just simply being happy with your balance growing, you are thinking, how else can I get value out of this token that I've earned with my feet? You know, do I want to, you know, kind of put it into growth chart? Do I want to opt in to participate in a reward? You know, basically, it's like ongoing earning that gives you an opportunity to earn and choose things beyond just simply having it in your wallet. Got it. And this is the process that we are going through right now with one of our product teams. And the last bit is this sweat hero, which is an incredibly cool game that we have developed and we have an MVP, so minimum viable product of it out with 4,000 to 5,000 people. And the feedback is incredibly, incredibly positive. So the team busy developing this is going to release sort of challenge a friend or basically person to person game. Right now you're playing against bots. And very, very soon, you're going to be able to basically engage other people in the network with this mechanic that allows you to win sweat if you are walking more than another person. And if your finger dexterity is better than theirs. Nice little competition. And then on two prongs, one on physical and one on ability. That's interesting. Interesting way to do it. Absolutely. So there is obviously an awful lot more because kind of one of the things that we are very determined is to get more utility for our token holders. We already have more than 15 million of them. And governance and ability to influence the development of a network is extremely important to us. So one of the most interesting projects that we're doing right now is looking at how would we build a DAO of 100 million members? Nothing like that has ever been built. Nothing like that has ever existed. And it is an extremely exciting thing that we're building the team to kind of to be thinking of and to start the process of on chain voting and on chain governance where all token holders can influence the way the system and the platform is developing. One sneak preview that I will give is it does look like that it is most likely going to be a representative democracy. So rather than having a situation where millions and millions of users each vote on the basis of how many tokens they have. In order for this to be moving faster and for decision making to kind of be more professional, we are likely to have a some sort of representative board body, kind of some sort of table that will include selected individuals that will be elected by the community and their role at the table will be backed by all the token holders that will need to pledge their sweat effectively giving these individuals a chair at the table to be able to influence things on their behalf which I'm really really excited about because you know kind of we don't really have an experience of building you know kind of organizations of this size in you know kind of in in web three. Right and then how many wallets do you have right now on web three because in web in web two I want to say you have over 200 million downloads. Yeah yeah I mean we have more than 135 million registered users yeah probably you know downloads yeah probably about 200 million 15 million token holders we have in web three and this for obvious reasons excludes the United States so we're very much looking forward to adding you know millions if not tens of millions of users who want to be physically active who are currently residing in the U.S. I am looking forward to this you have no idea greatly because I want to hear the stories about how you guys interact with the regulators and what's happening behind the scenes but Oleg we'll talk about that we've got plenty of time so Oleg thanks so much for stopping by on the show that was a lot of information a short amount of time if you are looking to get involved into sweat coin there is a link in the description looks just like this and you can watch the deep dive video we just showed we can download the app and then there's a leader board to try to beat me as far as steps anybody who beats me for the month and this is done every month I pay you 50 sweat coins if you can beat me hint you won't but go ahead and try so I absolutely love this tutorial this is you know honestly give it a go Rob is a good worker you're not gonna beat him that's right all everybody so so thanks for watching we appreciate all you've stopped by now let's jump back thank you very much all right so I hope that made sense I want to thank Oleg for coming back and talking to us about what that all means but again I see these developments as extremely positive it's not like we're gonna get crushed there is an offensive it just might take a bit of time so that's it for today so look like today's video give it a thumbs up consider subscribing everything we talk about is extremely time sensitive but that's it thank you so much and I will see you on the next one