Has Crypto Won Already? Scaramucci on XRP vs SEC

I think the SEC will eventually lose Solana Aptos algorand uh I think those Things survive there's no reason why Bitcoin couldn't be any 10x asset uh From here earlier this month a U.S Court Ruled that the crypto token xrp is not a Security the ruling was largely Interpreted as a landmark victory for Crypto over the U.S Securities and Exchange Commission which has been Cracking down on digital assets by Limiting them as a registered Securities But what is the broader significance of The xrp ruling which other crypto assets Could benefit from it and does it mean That the crypto industry can Successfully fight back against the SEC Crackdown to answer these questions I Talked with Anthony scaramucci the Founder and managing father at skybridge Capital I'm Giovanni on this show we Challenged the ideas that shape the World of crypto in each episode we Assessed a crypto narrative a Macroeconomic Outlook or a potentially Disruptive technology only the most Solid us will make it to the other side [Music] Let's talk about the latest xrp ruling So that was definitely a big victory for Report but what do you think is going to Be the product impact on the Cryptocurrency industry Well I think the first thing we have to

Look at Giovanni is whether or not the SEC is going to appeal the decision and Then what would happen at the Appellate Court there's a lot of people that are Saying that they're going to appeal it But I predict that they will not appeal It because if you look at the Appellate Court the Appellate cord has more Conservative judges frankly and the Likelihood of it getting overturned I Think is quite small so I don't think The SEC wants to go through the further Embarrassment of appealing it and so Just stepping back are they resoundingly Lost that case and I know there's a lot Of speculation well they didn't Technically lose it because there were Some things said inside the case that Define certain things as a security Versus others but plaintively in the Decision was the Howie test and Basically what our current SEC Commissioner uh Gary Gensler said back In the 2018-2019 time frame when he was an MIT Professor he said that many of these Cryptocurrencies did not meet the Howie Test for purposes of assigning the Definition security to those assets and So uh the great irony here is Mr Gensler Because he's politically expedient he's Now decided that what he said based on The facts and based on the law in 2018-19 he no longer believes and so

He's zealously Prosecuting these cases But he's going to be further embarrassed Uh because the good news about the United States due to judicial and Partiality uh they're reading the law Exactly the way it was written and They're interpreting it exactly the way It was written and so he's going to Continue to lose those cases so that's Why the markets are up Um I see it as a very positive sign for Cryptocurrencies in the future this Ruling is likely to have a positive Impact on the further uh cases the SEC Is moving against the other Cryptocurrencies so what are the Specific crypto assets that according to You are gonna benefit the most out of This ruling Well I think I think the two major Crypto assets Bitcoin and ethereum are Going to be likely the ones that benefit The most in terms of their durability And their long-term scalability I think You did notice that Solana had a very Big move Salon has a very fast uh token It's very fast protocol uh and I think It's a Survivor I will fully disclose Everybody listening I own a lot of Solana and I'm a big believer in it and So the fact that xrp is not a security I Think that means that Solana even though The SEC says it's a security is not a Security um but if you said to me okay

Who's going to survive uh it's obviously Bitcoin and ethereum there'll be uh Securities like Solana Aptos algorand uh I think those things survive and I think They go on to build great communities And I think they get demarcated uh Because of this ruling as Non-securities and I think that has Positive ramifications for the industry Well sure and uh another issue here that I want to talk about is institutional Adoptions so when we talked last time it Was back in August 2021 so almost two Years ago Back there you are making the foreign Overhyped narrative you said that large Pension funds and endowments had very Little appetite for crypto at Bitcoin so Now BlackRock has applied for a spot Bitcoin ETF So first of all do you think it has good Chance to go through and do you think That if so that is the moment when best Passion funds and endowments are going To be to this guide Yes so good really good question and so I think I think you know not to Pat Myself on the back but when you ask me That question two years ago I if you Look at the unfolding two years I think I was right there wasn't a lot of demand There was hype and talk about demand but It really did not materialize but I Think now you're asking me that question

Again in 2023 I do think there is demand I think there is a door opening sort of Like you can see the light shaft coming Through the door where there's a lot of Institutions if they get greater Regulatory Clarity uh they will adapt This asset so Um and I think all of that's coming it's Not quite there yet but somebody like Larry fake as an example applying for a Bitcoin ETF what would be an example of that a Heat could get rejected I'm not saying That it'll go through on the first time Because this uh commission is very Negative but man A quartz it'll be very interesting to See what happens because they have Approved a Bitcoin Futures Giovanni they Have approved a Bitcoin leverage Futures Where you can now go two to one on your Bitcoin exposure in a Bitcoin ETF and so You know grayscale wrote a letter to the Judge saying this is obviously arbitrary And capricious just explain that to your Viewers and listeners um there is a Clause and admin U.S administrative law That a regulator can't be arbitrary with The way they rule so if here's the law And and the regular settings well it's Okay to have a Bitcoin Futures ETF but it's not okay to have a Bitcoin cash ETF well the regulate are Going to have a really good reason uh

Pursuant to that law as to why because If they don't there's something called Arbitrary and capricious and uh that Standard is such where a judge can say Geez you're really not being there so to Me I think the SEC will eventually lose Uh it'll be interesting to see what Happens here with the grayscale Kate Um but if they lose that case obviously Uh Black Rock is going to get the retief Approved immediately this may not all Unfold until the first half of 2024 but If we're sitting here a year from now Um and hopefully you all might be back On your podcast if we're sitting here a Year from now will there be a cash Bitcoin ETF in the United States I Believe that there will be when we Talked last time you said that Bitcoin Was going to reach one billion users by The end of 2025. so that was back in August 2021 so in between then and now we add a Long bear Market the fgx collapse and Many other unfortunate events that Impacted heavily crypto so despite that Are you still convinced of your Prediction in tapiero very good friend Of mine uh his research team Says that Bitcoin right now has between 300 and 340 million users and so to put That into context uh that's the internet Back in 1998 so if we were sitting here Talking 25 years ago how much saturation

Did the internet have globally in 1998 About two percent of the people on Planet Earth had access to the internet Now obviously that's changed a lot over The last 25 years and so we're sitting Here now in 2023 uh when I made that Prediction it was just under a hundred Million users there's now 340 Or so million users I mean that's our Best guess and so you're telling me in The next two years do I think we can Exponentially go from 340 to a billion I Do believe that uh and by the way I will Point out that if you get regulatory Clarity in the United States you will Accelerate that adoption so so we'll Have to see what happens but I'm going To stick to that prediction I think That's going to be accurate and if That's the case there's no reason why Bitcoin couldn't be any 10x asset uh From here there's no reason why so you Know in five years Today not 2025 but we're sitting out in 2028 I don't I don't see why Bitcoin Couldn't be four to five hundred Thousand dollars uh 300 000 by the end Of 25 but four to five hundred thousand Uh uh by the by the end of 28 of course And uh yeah just to close the Conversation I just have a very quick Question about something that is going On in the US so Um around the satis just came out with a

Statement he said that if he's gonna win In the U.S presidential elections he Will ban uh Central beneficial Courtesies in the says that basically He's very much a gas the cbdcs and they Won't become a reality in case he got Selected Um what do you think about this and uh Yeah do you think that the cbdcs are Gonna eventually become reality in the US Okay so since we're in the prediction Business Ron DeSantis will not be President of the United States so we Don't have to worry about that uh the Chair that I'm sitting on is more Exciting and more magnetic and more Charismatic and Ron DeSantis now he's Talking about banning Central Bank Digital currency so I'm a Libertarian Um I'm not for Central Bank digital Currencies because of what governor DeSantis is saying we don't want this Type of social control we don't want People that could eventually get Involved in the government that could Enforce their values on us and maybe Shut down our accounts or they don't Like some of our Behavior they could Take money from us uh very easily with The Central Bank digital currency Um but I got bad news for everybody You're not going to stop technology in The world so if people are worried about

AI well I've got bad issue we're going To have it it's just going to happen so If you study human history if you have The technology the technology will be Used and deployed and so there will be a Central bank digital currency uh in China other places there will be uh will There eventually be one in the United States I predict that there will be but I think what is unique about the United States is that we haven't built a check And balance system over the last 250 Years that could prevent the things that Governor DeSantis or Libertarians like Me are worried about so I think it's Very politically naive and it's uh naive In terms of a lack of understanding of Human history to just blanketly say you Know I'm going to be the president United States and ban Central Bank Digital currencies yeah and uh it's it's Also very interesting what you said About technology being Unstoppable if we Assume that the cbdc's eventually will Happen we also We also sure we are also sure that Bitcoin cannot be stopped by any Government cannot began hey so you know That's a technology you and I like it's People don't like it they're trying to Stop it it can't be stopped now there's A technology that we don't like you and I don't like but other people like guess What that's not going to be stopped

Either you know it's just just the way It works Yeah yep I agree Okay Um Anthony it was a cool conversation Thanks a lot for coming on our show Thank you again for having [Music]