Finance and the Future Beyond Bitcoin
description
Transcript of Finance and the Future Beyond Bitcoin
-
Finance & the Future Beyond Bitcoin
Walter Stanish walter stani.sh@ >
-
#include std_disclaimer.h
I am not an `expert' (just interested) In some sense that means I might have more valuable
interpretations than mainstream experts...
Your opinions are just as valuable! Our community is uniquely positioned Gmc's opening suggested a focus on empathy Let's use common sense to take some of this stuff that runs
our world apart... in the spirit of O BSERVE H ACK M AKE
>
-
#include std_disclaimer.h
I am not an `expert' (just interested) In some sense that means I might have more valuable
interpretations than mainstream experts...
Your opinions are just as valuable! Our community is uniquely positioned Gmc's opening suggested a focus on empathy Let's use common sense to take some of this stuff that runs
our world apart... in the spirit of O BSERVE H ACK M AKE
>
-
#include std_disclaimer.h
I am not an `expert' (just interested) In some sense that means I might have more valuable
interpretations than mainstream experts...
Your opinions are just as valuable! Our community is uniquely positioned Gmc's opening suggested a focus on empathy Let's use common sense to take some of this stuff that runs
our world apart... in the spirit of O BSERVE H ACK M AKE
>
-
#include std_disclaimer.h
I am not an `expert' (just interested) In some sense that means I might have more valuable
interpretations than mainstream experts...
Your opinions are just as valuable! Our community is uniquely positioned Gmc's opening suggested a focus on empathy Let's use common sense to take some of this stuff that runs
our world apart... in the spirit of O BSERVE H ACK M AKE
>
-
#include std_disclaimer.h
I am not an `expert' (just interested) In some sense that means I might have more valuable
interpretations than mainstream experts...
Your opinions are just as valuable! Our community is uniquely positioned Gmc's opening suggested a focus on empathy Let's use common sense to take some of this stuff that runs
our world apart... in the spirit of O BSERVE H ACK M AKE
>
-
Overview / Romp Routing
Who is speaking Why we should care about finance What are we dealing with Finance in the past (overview) Finance in the present
Commodities and asset types Protocols and settlement systems
Political nature
Recent developments Where do we go from here
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Who is talking
Some random! Aussie by birth, also Kiwi/German by pass-pottery Lived a long time (8ish years) in China (awhile in UK, US...)
Been a bunch of other places (...Tunisian revolution, India) Have worked on a fair few systems (internationally) Now employed to consider this stuff, look at building some
better alternatives (slowly and ever-more-surely) Biggest claim to fame: pretty much nothing
Undeleting the Wikipedia Bitcoin article Undeleting the OHM2013 Wikipedia article
(but it got deleted again) Wikipolitics suck! Consensus my ass!
O
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
?
-
Why Should We Care About Finance
As an Utrecht street artist said:
O
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
Mayer Amschel Rothschild
Known for: - telling it like it is - founding one of the largest banking dynasties
Reality: - lived in a ghetto - got busy - ran a mail order business!
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
-
Why Should We Care About Finance
You obviously don't listen to enough hip-hop
I recommend Brother Ali's `Uncle Sam Goddamn' ... or the famous quote: `Give me control of a
nation's money, and I care not who makes its laws.' These days, the stuff's all tied up for new entrants
Significant regulatory fears Large capital requirements Men in suits with exotic names and money
Smells like a protection racket
O
-
It *is* a Protection Racket
The quick version
If everyone works to obtain `x' And someone controls most of the creation or supply of `x' Who controls `x' controls everyone
Something isn't right here!
Logically, people should revolt if they are being exploited that much
Historically, they did.
Resistance to this usury thing was even systematizedAncient countries of China and IndiaReligions (one of the few things they all agree on)
Buddhism, Christianity, Hinduism, Islam, Judaism
O
-
It *is* a Protection Racket
The quick version
If everyone works to obtain `x' And someone controls most of the creation or supply of `x' Who controls `x' controls everyone
Something isn't right here!
Logically, people should revolt if they are being exploited that much
Historically, they did.
Resistance to this usury thing was even systematizedAncient countries of China and IndiaReligions (one of the few things they all agree on)
Buddhism, Christianity, Hinduism, Islam, Judaism
O
-
It *is* a Protection Racket
The quick version
If everyone works to obtain `x' And someone controls most of the creation or supply of `x' Who controls `x' controls everyone
Something isn't right here!
Logically, people should revolt if they are being exploited that much
Historically, they did.
Resistance to this usury thing was even systematizedAncient countries of China and IndiaReligions (one of the few things they all agree on)
Buddhism, Christianity, Hinduism, Islam, Judaism
O
-
It *is* a Protection Racket
The quick version
If everyone works to obtain `x' And someone controls most of the creation or supply of `x' Who controls `x' controls everyone
Something isn't right here!
Logically, people should revolt if they are being exploited that much
Historically, they did.
Resistance to this usury thing was even systematizedAncient countries of China and IndiaReligions (one of the few things they all agree on)
Buddhism, Christianity, Hinduism, Islam, Judaism
O
-
It *is* a Protection Racket
The quick version
If everyone works to obtain `x' And someone controls most of the creation or supply of `x' Who controls `x' controls everyone
Something isn't right here!
Logically, people should revolt if they are being exploited that much
Historically, they did.
Resistance to this usury thing was even systematizedAncient countries of China and IndiaReligions (one of the few things they all agree on)
Buddhism, Christianity, Hinduism, Islam, Judaism
O
-
It *is* a Protection Racket
The quick version
If everyone works to obtain `x' And someone controls most of the creation or supply of `x' Who controls `x' controls everyone
Something isn't right here!
Logically, people should revolt if they are being exploited that much
Historically, they did.
Resistance to this usury thing was even systematizedAncient countries of China and IndiaReligions (one of the few things they all agree on)
Buddhism, Christianity, Hinduism, Islam, Judaism
O
-
It *is* a Protection Racket
The quick version
If everyone works to obtain `x' And someone controls most of the creation or supply of `x' Who controls `x' controls everyone
Something isn't right here!
Logically, people should revolt if they are being exploited that much
Historically, they did.
Resistance to this usury thing was even systematizedAncient countries of China and IndiaReligions (one of the few things they all agree on)
Buddhism, Christianity, Hinduism, Islam, Judaism
O
-
It *is* a Protection Racket
The quick version
If everyone works to obtain `x' And someone controls most of the creation or supply of `x' Who controls `x' controls everyone
Something isn't right here!
Logically, people should revolt if they are being exploited that much
Historically, they did.
Resistance to this usury thing was even systematizedAncient countries of China and IndiaReligions (one of the few things they all agree on)
Buddhism, Christianity, Hinduism, Islam, Judaism
O
-
Too Big To Fail
... no comment necessary.
O
-
Conventional Lies about Money
Economists tell us a story Many moons ago, a man with a cow went to market He wanted beer He couldn't hack off a leg of his cow to pay for a beer He had to walk home, losing valuable drinking time, to find a smaller denomination commodity. The smaller commodity soon became popular, since everyone likes beer, and beer is cheap. Soon we had shell money, which was lightweight and nice lookin'. Then we had metal money, which was more efficient and foolproof. Metal money became heavy (and unsafe to carry around thugs, after a few drinks) so we had paper money. Still later we wanted more efficiency so we had electronic money. Now and forever after everyone is consumes happily, under the forever watchful eye of unquestionable experts in suits, amen. ... PS. `You can trust me, I'm in a suit, or paid by people in suits!'
O
-
We Should Question This...
Pre-agricultural societies were generally organised differently Many of them don't have concepts of personal ownership Others share resources automatically Others penalise selfish behaviour in different ways Stateless societies tend also to be without markets
Produce and consume locally
Currency is pretty much tied to centralised (alarm bells here) states following the development of settled agriculturePartly as a form of advertisingPrimarily, later on, because it's an easy way to tax people
Demand tax payment in the currencyControl the issue of the currency (often through payment for military labour)Fix or heavily influence market prices for goodsPeriodically (eg. every new reign) slightly debase the currency
`The value of a unit of currency is not the measure of the value of an object, but the measure of one's trust in other human beings.' - Graeber, David. Debt: The First 5,000 Years.
O
-
Payments Down, in London Town
Roughly speaking, the modern International Financial System was largely founded on a few central banks (and some serious sneakiness)
The first of these was the Bank of EnglandBegan in 1694 by loaning 1.2m GBP to the king Bankers got 8% interest on that, plus the exclusive right to issue notesAnd double-charge interest on the notes
Banker's gotta eat.
O
-
Payments Down, in London Town
Roughly speaking, the modern International Financial System was largely founded on a few central banks (and some serious sneakiness)
The first to succeed was the Bank of EnglandBegan in 1694 by loaning 1.2m GBP to the king Bankers got 8% interest on that, plus the exclusive right to issue notesAnd double-charge interest on the notes
Banker's gotta eat.
O
-
Payments Down, in London Town
Roughly speaking, the modern International Financial System was largely founded on a few central banks (and some serious sneakiness)
The first to succeed was the Bank of EnglandBegan in 1694 by loaning 1.2m GBP to the king Bankers got 8% interest on that, plus the exclusive right to issue notesAnd double-charge interest on the notes
Banker's gotta eat.
O
-
Payments Down, in London Town
Roughly speaking, the modern International Financial System was largely founded on a few central banks (and some serious sneakiness)
The first to succeed was the Bank of EnglandBegan in 1694 by loaning 1.2m GBP to the king Bankers got 8% interest on that from the king, plus the exclusive right to issue notesAnd double-charge interest on the notes
Banker's gotta eat.
O
-
Payments Down, in London Town
Roughly speaking, the modern International Financial System was largely founded on a few central banks (and some serious sneakiness)
The first to succeed was the Bank of EnglandBegan in 1694 by loaning 1.2m GBP to the king Bankers got 8% interest on that from the king, plus the exclusive right to issue notesAnd double-charge interest on the notes
Banker's gotta eat.
O
-
Payments Down, in London Town
Roughly speaking, the modern International Financial System was largely founded on a few central banks (and some serious sneakiness)
The first to succeed was the Bank of EnglandBegan in 1694 by loaning 1.2m GBP to the king Bankers got 8% interest on that from the king, plus the exclusive right to issue notesAnd double-charge interest on the notes
Banker's gotta eat.
O
-
banksy
-
Apples 'n Pears, Stairs
Given we're in `Orwell Tent'... a largely useless anecdote Once shared a house with a Bank of England employee
An entire department today sets interest rates This guy was part of that department
The same building used to be inhabited briefly by both Orwell (`Down and Out in Paris and London') and Stalin. These days, it's a money-spinning pack-'em-in development allegedly owned by a Cypriate Jew next to an abandoned Synagogue, East London's largest mosque, a huge Sylhet- Bangeladeshi community, the foundry at which Big Ben was cast, and a great bar full of artists & musicians. One of the resident drinkers organised getting the first western artists in to post-Stalin Russia, and vice versa. Therefore, drinking is educational!
O
-
Apples 'n Pears, Stairs
Given we're in `Orwell Tent'... a largely useless anecdote Once shared a house with a Bank of England employee
An entire department today sets interest rates This guy was part of that department
The same building used to be inhabited briefly by both Orwell (`Down and Out in Paris and London') and Stalin. These days, it's a money-spinning pack-'em-in development allegedly owned by a Cypriate Jew next to an abandoned Synagogue, East London's largest mosque, a huge Sylhet- Bangeladeshi community, the foundry at which Big Ben was cast, and a great bar full of artists & musicians. One of the resident drinkers organised getting the first western artists in to post-Stalin Russia, and vice versa. Therefore, drinking is educational!
O
-
Apples 'n Pears, Stairs
Given we're in `Orwell Tent'... a largely useless anecdote Once shared a house with a Bank of England employee
An entire department today sets interest rates This guy was part of that department
The same building used to be inhabited briefly by both Orwell (`Down and Out in Paris and London') and Stalin. These days, it's a money-spinning pack-'em-in development allegedly owned by a Cypriate Jew next to an abandoned Synagogue, East London's largest mosque, a huge Sylhet- Bangeladeshi community, the foundry at which Big Ben was cast, and a great bar full of artists & musicians. One of the resident drinkers organised getting the first western artists in to post-Stalin Russia, and vice versa. Therefore, drinking is educational!
O
-
Apples 'n Pears, Stairs
Given we're in `Orwell Tent'... a largely useless anecdote Once shared a house with a Bank of England employee
An entire department today sets interest rates This guy was part of that department
The same building used to be inhabited briefly by both Orwell (`Down and Out in Paris and London') and Stalin. These days, it's a money-spinning pack-'em-in development allegedly owned by a Cypriate Jew next to an abandoned Synagogue, East London's largest mosque, a huge Sylhet- Bangeladeshi community, the foundry at which Big Ben was cast, and a great bar full of artists & musicians. One of the resident drinkers organised getting the first western artists in to post-Stalin Russia, and vice versa. Therefore, drinking is educational!
O
-
Apples 'n Pears, Stairs
Given we're in `Orwell Tent'... a largely useless anecdote Once shared a house with a Bank of England employee
An entire department today sets interest rates This guy was part of that department
The same building used to be inhabited briefly by both Orwell (`Down and Out in Paris and London') and Stalin. These days, it's a money-spinning pack-'em-in development allegedly owned by a Cypriate Jew next to an abandoned Synagogue, East London's largest mosque, a huge Sylhet- Bangeladeshi community, the foundry at which Big Ben was cast, and a great bar full of artists & musicians. One of the resident drinkers organised getting the first western artists in to post-Stalin Russia, and vice versa. Therefore, drinking is educational!
O
-
Apples 'n Pears, Stairs
Given we're in `Orwell Tent'... a largely useless anecdote Once shared a house with a Bank of England employee
An entire department today sets interest rates This guy was part of that department
The same building used to be inhabited briefly by both Orwell (`Down and Out in Paris and London') and Stalin. These days, it's a money-spinning pack-'em-in development allegedly owned by a Cypriate Jew next to an abandoned Synagogue, East London's largest mosque, a huge Sylhet- Bangeladeshi community, the foundry at which Big Ben was cast, opposite a great bar full of artists & musicians. One of the resident drinkers organised getting the first western artists in to post-Stalin Russia, and vice versa. Therefore, drinking is educational!
O
-
Apples 'n Pears, Stairs
Given we're in `Orwell Tent'... a largely useless anecdote Once shared a house with a Bank of England employee
An entire department today sets interest rates This guy was part of that department
The same building used to be inhabited briefly by both Orwell (`Down and Out in Paris and London') and Stalin. These days, it's a money-spinning pack-'em-in development allegedly owned by a Cypriate Jew next to an abandoned Synagogue, East London's largest mosque, a huge Sylhet- Bangeladeshi community, the foundry at which Big Ben was cast, opposite a great bar full of artists & musicians. One of the resident drinkers organised getting the first western artists in to post-Stalin Russia, and vice versa. Therefore, drinking is educational!
O
-
Apples 'n Pears, Stairs
Given we're in `Orwell Tent'... a largely useless anecdote Once shared a house with a Bank of England employee
An entire department today sets interest rates This guy was part of that department
The same building used to be inhabited briefly by both Orwell (`Down and Out in Paris and London') and Stalin. These days, it's a money-spinning pack-'em-in development allegedly owned by a Cypriate Jew next to an abandoned Synagogue, East London's largest mosque, a huge Sylhet- Bangeladeshi community, the foundry at which Big Ben was cast, opposite a great bar full of artists & musicians. One of the resident drinkers organised getting the first western artists in to post-Stalin Russia, and vice versa. Therefore, drinking is educational!
O
-
Meanwhile: A Less Useless Anecdote
300m west is a 1.22 square mile area known as the ``City of London'' A separate legal entity within London aka. `The Square Mile' Extremely rich A fully fledged tax haven Motto: "O Lord Direct us"
O
-
Until Recently, Run by This GuyO
-
Represent!O
... good example of what I call `dynastic capital' Multi-generational Often lots of prior ugliness lies behind it
Wars / weapons / financing / support services Colonialism Slave trade / trade in slave products (ongoing) Large scale drug empires* Opportunistic environmental pillaging
Tends to grow rather than shrink over time
* eg. The Opium War, or England making Indians grow opium... first to dump in, and later to sell to China at vast profits (chiefly in silver).
-
Conventional Lies about Banking
Likewise, bankers tell us a story
Many moons ago, a man with lots of valuables wanted to store them
He stashed them in a secure looking location, on the understanding he could pick them up later
The person running the facility issued paper notes of deposit
Others heard of the utility of such an approach and did the same
Crime rates dropped, everyone prospered without worry, and people began to trade the paper notes instead of actual valuables
Since then, everyone sees the inherent superiority of paper notes If you think otherwise, you are clearly a nutcase conspiracy theorist!
O
-
Hang on...
Bankers quickly realised they could:
Collect the fortunes of people who died Hide behind `privacy' to escape detection
Lend out more money than they had (`fractional reserve system')
Lend one person's money to another, profiting on interest
Buy protection and influence from the government
Make/break governments through (lack of) war financing These days, `campaign contributions' / media budgets
Governments and banks merged to form central banks Generally controlled by cartels of private bankers
O
-
Read This Book
UK anthropologist David Graeber calls the popular stories `creation myths'Tears them apart in his book `Debt:
The First 5000 Years' One line summary:The conventionally expounded view
of the history of money and banking is mostly bullshit Does not stand up to analysis
O
-
Conventional Money
Created `by fiat', or by a centralised decision with limited accountabilityObviously a bad idea
Tied closely to the global capitalist system ravenous for constant growth (there isn't enough
money to pay back all of the debts)
There are alternativesCommodities (gold, silver, wheat, rice)Private currencies (LETS, etc.)Emerging MBCs (Bitcoin, Ripple, etc.)
O
-
Alternatives to National Fiat Money
Barter Basket-pegged instrumentsExchange value is pegged through a `basket' of
commodities (eg. useful ones, like food) Time-pegged instrumentsMost famous in the US is `Ithaca Hours', many more.
`New currency systems will not solve all the problems generated by physical growth on a finite planet. But we will have zero chance of creating a more satisfactory global future if we do not create new mechanisms for facilitating commerce.' - Dennis L. Meadows
O
-
Some Monetary Reform Successes
1893 @ Johnstown, Pa. Crisis: Flood rendered 3600 dead During disaster, a railroad supplier couldn't get paid Issued bond money to employees that was later
redeemed by government 1923: German Rentenmark Crisis: Hyperinflation Primarily guaranteed by acceptance as tax Could exchange for gold loan @ 5% interest
1990s @ Argentina: numerous provincial government currencies
Many more exist!
O
-
Conventional Banking
Most countries have a national numbering system for domestic routing Format is usually:
bank_id + branch_id + account_id
Most also seem to use ISO20022 ATMs Deposit is quite rare, withdrawl is common
Biggest recent developments are: International Bank Account Number (IBAN) Single Euro Payments Area (SEPA)
O
-
IBAN
Developed in Europe by the European Committee for Banking Standards (ECBS)
Mandates a fixed-length BBAN per country Mandates a checksum (2 digit) Basic format:
country + checksum + bban country: 2-letter ISO code (ie. DK, IE, etc.) checksum: MOD97 bban: `basic bank account number': country specific
Now an ISO standard, SWIFT managed registry Began in Europe, widely gaining additional adoption:
Bahrain, Brazil, Costa Rica, Israel, Kuwait, Lebanon, Palestine, Tunisia, UAE, etc.
O
-
IBAN: Socio-Political Properties To create an endpoint (account) you need to be an
accredited bank in the country in question
Country in question has to be ISO listed (UN approved)No luck for you or I, Sealand, Transnistria, etc.
Nominally agitates for commodification of interbank payments and banking related software
Many countries with developed infrastructure have resisted adopting the IBAN
One example is my birth country of Australia
O
-
IBAN: Australia's Rejection IBAN is not used in Australia
Emailed the Reserve Bank of Australia (RBA) to ask about the situation
After a few days, they replied that:`The Australian Payments Clearing Associations (APCA) High Value Clearing System Committee has considered the adoption of IBANs and has determined they will not be adopted in the foreseeable future.'
They suggested I go direct to the APCA HVCSC with my query
O
-
IBAN: Australia's Rejection 2012-09-14: Emailed the High Value Clearing
System Committee
2012-09-27: Emailed them again (no response)
2012-10-02: Someone from `information management' got back to me with `Sorry for the delay we are looking into you (sic) enquiry.'
2013-07-28: Emailed them again (no response)
To date, I have not heard back from them. :(
O
-
$
Credit Cards: Emergence
US had a unique position after the war
Lots of people about, having kids, buying houses One of the only / largest intact industrial complexes in the world People wanted to buy things and travel
ProblemThe US was absolutely rife with tiny banks*People couldn't move money around easily enough
Credit cards were a solution of that, now-concluded, era
`Modern' magnetic stripes and signature security! Snail-mail oriented business processes! Entirely introverted / US-domestic in conception!**
O
* ... to a certain extent it still is, though not quite on a German `Sparkassen' level.
** OK - some things die hard.
-
$
Credit Cards: Issues Today
Large fraud problem High costs for merchants Consumers essentially farmed for
usury purposes Socially somewhat ethically
questionable business model
O
-
$
Credit Cards: Changes Now
Trying to move towards:
`chip and pin' proximity-based payments
mastercard `paypass' visa `paywave'
Moving away from:
signature-based payments
O
-
$
Credit Cards: Changes Now
Goals of moving away from signatures
Better resist fraud Liability shift to merchant / consumer
Drawbacks
Requires `online-always' operation Simply not feasible in some environments Therefore, fraud
O
-
$
Credit Cards: Trajectory
Will remain entrenched in the near term May never reach good penetration in still emerging markets
Most worried about two things:
Strong regulation... on credit (loan sharking) on consumer privacy (vs. for-profit data use)
Rival payment systems achieving solid levels of global market penetration This means physical presence Decent mobile offering would help greatly
O
-
Mastercard ProfitsO
(+9.16%) (+17.5%) (+7.94%)7.391 Billion USDNet Revenue...NOT TOO SHABBY
-
Visa ProfitsO
4.2 Billion USDNet Revenue...NOT TOO SHABBY
-
AbusesO
Wikileaks situation needs no introduction
Essentially forced this previously rather out-of-view card to be played
Wikileaks lives on (as per last talk)
-
SWIFT
Society for Worldwide International Funds Transfer Established (swiftly) in the mid 1970s
Effectively a global monopoly on cross-border interbank financial transfers
No real history of the organization is publicly available...
O
-
SWIFT: Beginnings
Self-stated 1970s era creation myth: A need to codify and reform differing interbank approaches to telex-based international financial transfers
Established as an `International Cooperative' under Belgian law
Observations: Grew suspiciously quickly given the limits of 1970s technology Hundreds of banks from tens of countries within 2 years
The `Belgian' running the show was actually the ex head of international affairs for American Express, with a wholly US-centric career AMEX 1970s 'international' business... how much, really
O
-
SWIFT: Beginnings
Self-stated 1970s era creation myth: A need to codify and reform differing interbank approaches to telex-based international financial transfers
Established as an `International Cooperative' under Belgian law
Observations: Grew suspiciously quickly given the limits of 1970s technology Hundreds of banks from tens of countries within 2 years
The `Belgian' running the show was actually the ex head of international affairs for American Express, with a wholly US-centric career AMEX 1970s 'international' business... how much, really
O
-
SWIFT: Beginnings
Self-stated 1970s era creation myth: A need to codify and reform differing interbank approaches to telex-based international financial transfers
Established as an `International Cooperative' under Belgian law
Observations: Grew suspiciously quickly given the limits of 1970s technology Hundreds of banks from tens of countries within 2 years
The `Belgian' running the show was actually the ex head of international affairs for American Express, with a wholly US-centric career AMEX 1970s 'international' business... how much, really
O
-
SWIFT: Beginnings
Self-stated 1970s era creation myth: A need to codify and reform differing interbank approaches to telex-based international financial transfers
Established as an `International Cooperative' under Belgian law
Observations: Grew suspiciously quickly given the limits of 1970s technology Hundreds of banks from tens of countries within 2 years
The `Belgian' running the show was actually the ex head of international affairs for American Express, with a wholly US-centric career AMEX 1970s 'international' business... how much, really
O
-
SWIFT: Beginnings
Self-stated 1970s era creation myth: A need to codify and reform differing interbank approaches to telex-based international financial transfers
Established as an `International Cooperative' under Belgian law
Observations: Grew suspiciously quickly given the limits of 1970s technology Hundreds of banks from tens of countries within 2 years
The `Belgian' running the show was actually the ex head of international affairs for American Express, with a wholly US-centric career AMEX 1970s 'international' business... how much, really
O
-
SWIFT: Beginnings
Self-stated 1970s era creation myth: A need to codify and reform differing interbank approaches to telex-based international financial transfers
Established as an `International Cooperative' under Belgian law
Observations: Grew suspiciously quickly given the limits of 1970s technology Hundreds of banks from tens of countries within 2 years
The `Belgian' running the show was actually the ex head of international affairs for American Express, with a wholly US-centric career AMEX 1970s 'international' business... how much, really
O
-
SWIFT: Early Growth
In less than 4 years, established their first `international center of operations' Assumption: Would have been in a financial center of
the time (London, New York, Paris...) Reality: The US state of Virginia (aka. CIA HQ)
No evidence of any other such centers
SWIFT's website contained zero information about this site until the recent death of their founder
O
-
SWIFT: Early Growth
In less than 4 years, established their first `international center of operations' Assumption: Would have been in a financial center of
the time (London, New York, Paris...) Reality: The US state of Virginia (aka. CIA HQ)
No evidence of any other such centers
SWIFT's website contained zero information about this site until the recent death of their founder
O
-
SWIFT: Early Growth
In less than 4 years, established their first `international center of operations' Assumption: Would have been in a financial center of
the time (London, New York, Paris...) Reality: The US state of Virginia (aka. CIA HQ)
No evidence of any other such centers
SWIFT's website contained zero information about this site until the recent death of their founder
O
-
SWIFT: Early Growth
In less than 4 years, established their first `international center of operations' Assumption: Would have been in a financial center of
the time (London, New York, Paris...) Reality: The US state of Virginia (aka. CIA HQ)
No evidence of any other such centers
SWIFT's website contained zero information about this site until the recent death of their founder
O
-
SWIFT: Early Growth
In less than 4 years, established their first `international center of operations' Assumption: Would have been in a financial center of
the time (London, New York, Paris...) Reality: The US state of Virginia (aka. CIA HQ)
No evidence of any other such centers
SWIFT's website contained zero information about this site until the recent death of their founder
O
-
SWIFT: Early Growth
In less than 4 years, established their first `international center of operations' Assumption: Would have been in a financial center of
the time (London, New York, Paris...) Reality: The US state of Virginia (aka. CIA HQ)
No evidence of any other such centers
SWIFT's website contained zero information about this site until the recent death of their founder
O
-
SWIFT: Routing Methodology
Nodes identified in two ways
ISO 9362 Business Identifier Codes (BIC) aka SWIFT-BIC, BIC code, SWIFT ID or SWIFT code SWIFT Standards manages registrations 2009 update broadened the scope to include
non-financial institutionsFormerly: Bank Identifier Codes
12-character SWIFTNet FIN address BIC derived + 1-char Logical Terminal (LTC) + 3-char branch ID
O
-
SWIFT: Routing Methodology
Nodes identified in two ways
ISO 9362 Business Identifier Codes (BIC) aka SWIFT-BIC, BIC code, SWIFT ID or SWIFT code SWIFT Standards manages registrations 2009 update broadened the scope to include
non-financial institutionsFormerly: Bank Identifier Codes
12-character SWIFTNet FIN address BIC derived + 1-char Logical Terminal (LTC) + 3-char branch ID
O
-
SWIFT: Routing Methodology
Nodes identified in two ways
ISO 9362 Business Identifier Codes (BIC) aka SWIFT-BIC, BIC code, SWIFT ID or SWIFT code SWIFT Standards manages registrations 2009 update broadened the scope to include
non-financial institutionsFormerly: Bank Identifier Codes
12-character SWIFTNet FIN address BIC derived + 1-char Logical Terminal (LTC) + 3-char branch ID
O
-
SWIFT: Routing Methodology
Nodes identified in two ways
ISO 9362 Business Identifier Codes (BIC) aka SWIFT-BIC, BIC code, SWIFT ID or SWIFT code SWIFT Standards manages registrations 2009 update broadened the scope to include
non-financial institutionsFormerly: Bank Identifier Codes
12-character SWIFTNet FIN address BIC derived + 1-char Logical Terminal (LTC) + 3-char branch ID
O
-
SWIFT: Routing Methodology
Claims: Transports messages in a `highly
secure' manner Does not hold actual accounts Does not perform any form of
clearing or settlement Reality:
Gives all messages to governments Facilitates asset seizure
O
-
SWIFT: Routing Methodology
Claims: Transports messages in a `highly
secure' manner Does not hold actual accounts Does not perform any form of
clearing or settlement Reality:
Gives all messages to governments Facilitates asset seizure
O
-
SWIFT: Routing Methodology
Claims: Transports messages in a `highly
secure' manner Does not hold actual accounts Does not perform any form of
clearing or settlement Reality:
Gives all messages to governments Facilitates asset seizure
O
-
SWIFT: Routing Methodology
Claims: Transports messages in a `highly
secure' manner Does not hold actual accounts Does not perform any form of
clearing or settlement Reality:
Gives all messages to governments Facilitates asset seizure
O
-
SWIFT: Routing Methodology
Claims: Transports messages in a `highly
secure' manner Does not hold actual accounts Does not perform any form of
clearing or settlement Reality:
Gives all messages to governments Certainly facilitates asset seizure
O
-
SurveillanceSurveillance
- EU performing 15,900 searches per - EU performing 15,900 searches per month (late 2012 statistic)month (late 2012 statistic)
- Not aware of any data on US- Not aware of any data on US search volumes search volumes
-
OWhat Happened - Quicky Version (1/2)
-
OWhat Happened - Quicky Version (2/2)
-
Anecdote Time
Well known global business-oriented NGO in .nl Members all men, 40+ Quick survey!
Heard of Wikileaks: 100% Supported gov. transparency: 100% ... if same impacted self: no comment Believed `significant systemic financial change
was imminent': 70%
O
-
Anecdote Time
Well known global business-oriented NGO in .nl Members all men, 40+ Quick survey!
Heard of Wikileaks: 100% Supported gov. transparency: 100% ... if same impacted self: no comment Believed `significant systemic financial change
was imminent': 70%
O
-
Anecdote Time
Well known global business-oriented NGO in .nl Members all men, 40+ Quick survey!
Heard of Wikileaks: 100% Supported gov. transparency: 100% ... if same impacted self: no comment Believed `significant systemic financial change
was imminent': 70%
O
-
Anecdote Time
Well known global business-oriented NGO in .nl Members all men, 40+ Quick survey!
Heard of Wikileaks: 100% Supported gov. transparency: 100% ... if same impacted self: no comment Believed `significant systemic financial change
was imminent': 70%
O
-
Anecdote Time
Well known global business-oriented NGO in .nl Members all men, 40+ Quick survey!
Heard of Wikileaks: 100% Supported gov. transparency: 100% ... if same impacted self: no comment Believed `significant systemic financial change
was imminent': 70%
O
-
Anecdote Time
Well known global business-oriented NGO in .nl Members all men, 40+ Quick survey!
Heard of Wikileaks: 100% Supported gov. transparency: 100% ... if same impacted self: no comment Believed `significant systemic financial change
was imminent': 70%
O
-
Anecdote Time
Well known global business-oriented NGO in .nl Members all men, 40+ Quick survey!
Heard of Wikileaks: 100% Supported gov. transparency: 100% ... if same impacted self: no comment Believed `significant systemic financial change
was imminent': 70%
O
-
SWIFT: Recent Developments
Public revelation of SWIFT's surveillance role All global transactions sent to the US Used for economic espionage as well as
intelligence gathering
Garnered reasonable media coverage
EU Parliament backlash was not insignificant
O
-
SWIFT: Recent Developments
Public revelation of SWIFT's surveillance role All global transactions sent to the US Used for economic espionage as well as
intelligence gathering
Garnered reasonable media coverage
EU Parliament backlash was not insignificant
O
-
SWIFT: Recent Developments
Public revelation of SWIFT's surveillance role All global transactions sent to the US Used for economic espionage as well as
intelligence gathering
Garnered reasonable media coverage
EU Parliament backlash was not insignificant
O
-
SWIFT: Recent Developments
Public revelation of SWIFT's surveillance role All global transactions sent to the US Used for economic espionage as well as
intelligence gathering
Garnered reasonable media coverage
EU Parliament backlash was not insignificant
O
-
SWIFT: Recent Developments
Public revelation of SWIFT's surveillance role All global transactions sent to the US Used for economic espionage as well as
intelligence gathering
Garnered reasonable media coverage
EU Parliament backlash circa 2006 was not insignificant
O
-
SWIFT: Recent Developments
EU's proposal= in response - SWIFT2 An EU SWIFT site for EU transactions Everything else via the US
Observation: Not a good solution for other nations
O
-
SWIFT: Recent Developments
EU's proposal= in response - SWIFT2: An EU SWIFT site for EU transactions Everything else via the US
Observation: Not a good solution for other nations
O
-
SWIFT: Recent Developments
EU's proposal= in response - SWIFT2: An EU SWIFT site for EU transactions Everything else via the US
Observation: Not a good solution for other nations
O
-
SWIFT: Recent Developments
Reality: Years of bickering and politicking Zero effective change
US still has access to all transactions US demands: for anti-terrorism! SWIFT claims: we don't have the ability to filter EU/non-EU transactions!
US can seize all transactions (right off the wire)
O
-
SWIFT: Recent Developments
Reality: Years of bickering and politicking Zero effective change
US still has access to all transactions US demands: for anti-terrorism! SWIFT claims: we don't have the ability to filter EU/non-EU transactions!
US can seize all transactions (right off the wire)
O
-
SWIFT: Recent Developments
Reality: Years of bickering and politicking Zero effective change
US still has access to all transactions US demands: for anti-terrorism! SWIFT claims: we don't have the ability to filter EU/non-EU transactions!
US can seize all transactions (right off the wire)
O
-
SWIFT: Recent Developments
Reality: Years of bickering and politicking Zero effective change
US still has access to all transactions US demands: for anti-terrorism! SWIFT claims: we don't have the ability to filter EU/non-EU transactions!
US can seize all transactions (right off the wire)
O
-
SWIFT: Recent Developments
Reality: Years of bickering and politicking Zero effective change
US still has access to all transactions US demands: for anti-terrorism! SWIFT claims: we don't have the ability to filter EU/non-EU transactions!
US can seize all transactions (right off the wire)
O
-
SWIFT: Recent Developments
Reality: Years of bickering and politicking Zero effective change
US still has access to all transactions US demands: for anti-terrorism! SWIFT claims: we don't have the ability to filter EU/non-EU transactions!
US can seize any transaction (right off the wire)
O
-
SWIFT: Abuses (Snatching funds)
Example (2012-02-26 report in `Berlingske', Denmark): Danish guy likes cigars Wants to buy USD $26,000 worth from a German guy Cigars were already in the EU, of Cuban origin Intra-EU transaction
Money was seized by SWIFT Upshot:
US able/willing to surveil/seize SWIFT transactions between allied nations
Given this, how does the EU provide for any kind of US independent defence industry ... maybe they don't.
O
-
SWIFT: Abuses (Snatching funds)
Example (2012-02-26 report in `Berlingske', Denmark): Danish guy likes cigars Wants to buy USD $26,000 worth from a German guy Cigars were already in the EU, of Cuban origin Intra-EU transaction
Money was seized by SWIFT Upshot:
US able/willing to surveil/seize SWIFT transactions between allied nations
Given this, how does the EU provide for any kind of US independent defence industry ... maybe they don't.
O
-
SWIFT: Abuses (Snatching funds)
Example (2012-02-26 report in `Berlingske', Denmark): Danish guy likes cigars Wants to buy USD $26,000 worth from a German guy Cigars were already in the EU, of Cuban origin Intra-EU transaction
Money was seized by SWIFT Upshot:
US able/willing to surveil/seize SWIFT transactions between allied nations
Given this, how does the EU provide for any kind of US independent defence industry ... maybe they don't.
O
-
SWIFT: Abuses (Snatching funds)
Example (2012-02-26 report in `Berlingske', Denmark): Danish guy likes cigars Wants to buy USD $26,000 worth from a German guy Cigars were already in the EU, of Cuban origin Intra-EU transaction
Money was seized by SWIFT Upshot:
US able/willing to surveil/seize SWIFT transactions between allied nations
Given this, how does the EU provide for any kind of US independent defence industry ... maybe they don't.
O
-
SWIFT: Abuses (Snatching funds)
Example (2012-02-26 report in `Berlingske', Denmark): Danish guy likes cigars Wants to buy USD $26,000 worth from a German guy Cigars were already in the EU, of Cuban origin Intra-EU transaction
Money was seized by SWIFT Upshot:
US able/willing to surveil/seize SWIFT transactions between allied nations
Given this, how does the EU provide for any kind of US independent defence industry ... maybe they don't.
O
-
SWIFT: Abuses (Snatching funds)
Example (2012-02-26 report in `Berlingske', Denmark): Danish guy likes cigars Wants to buy USD $26,000 worth from a German guy Cigars were already in the EU, of Cuban origin Intra-EU transaction
Money was seized by SWIFT Upshot:
US able/willing to surveil/seize SWIFT transactions between allied nations
Given this, how does the EU provide for any kind of US independent defence industry ... maybe they don't.
O
-
SWIFT: Abuses (Snatching funds)
Example (2012-02-26 report in `Berlingske', Denmark): Danish guy likes cigars Wants to buy USD $26,000 worth from a German guy Cigars were already in the EU, of Cuban origin Intra-EU transaction
Money was seized by SWIFT Upshot:
US able/willing to surveil/seize SWIFT transactions between allied nations
Given this, how does the EU provide for any kind of US independent defence industry ... maybe they don't.
O
-
SWIFT: One FOIA
In one of a few FOIAs I asked the EU Director Generate of Home Affairs about this case
After a long hassle including demanding reviews they claimed they had no knowledge of the case or any other case
It's their turf - the European Data Protection Supervisor referred me
Draw your own conclusions
O
-
SWIFT: One FOIA
In one of a few FOIAs I asked the EU Director Generate of Home Affairs about this case
After a long hassle including demanding reviews they claimed they had no knowledge of the case or any other case
It's their turf - the European Data Protection Supervisor referred me
Draw your own conclusions
O
-
SWIFT: One FOIA
In one of a few FOIAs I asked the EU Director Generate of Home Affairs about this case
After a long hassle including demanding reviews they claimed they had no knowledge of the case or any other case
It's their turf - the European Data Protection Supervisor referred me
Draw your own conclusions
O
-
SWIFT: One FOIA
In one of a few FOIAs I asked the EU Director Generate of Home Affairs about this case
After a long hassle including demanding reviews they claimed they had no knowledge of the case or any other case
It's their turf - the European Data Protection Supervisor referred me
Draw your own conclusions
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 1/3)
SWIFT recently blocked the entire country of Iran SWIFT president's comment: `unprecedented'
How? Organization UANI (`United Against a Nuclear Iran') appeared
Called itself `non-partisan, non-profit advocacy org.' Reality:
CEO is former US ambassador to UN, responsible for `UN Management & Reform'
Advisory board includes:Former head of CIAFormer head of Mossad (Israel's CIA)Council on Foreign Relations peopleGeorge Bush's `Homeland Security' advisor
O
-
SWIFT: Abuses (Iran, 2/3)
Next steps: UANI made lots of allied (Western) media noise US asked EU to OK a ban EU complied SWIFT blocked Iran's banks (but reports: not all at once)
Have read that SWIFT presidents, until recently, were reportedly all US or heavily US-linked. Recently they have all been Europeans, and a show made of the fact.
The new president was EU, reading between the lines not a huge supporter.
People in these positions are probably well paid pawns
O
-
SWIFT: Abuses (Iran, 2/3)
Next steps: UANI made lots of allied (Western) media noise US asked EU to OK a ban EU complied SWIFT blocked Iran's banks (but reports: not all at once)
Have read that SWIFT presidents, until recently, were reportedly all US or heavily US-linked. Recently they have all been Europeans, and a show made of the fact.
The new president was EU, reading between the lines not a huge supporter.
People in these positions are probably well paid pawns
O
-
SWIFT: Abuses (Iran, 2/3)
Next steps: UANI made lots of allied (Western) media noise US asked EU to OK a ban EU complied SWIFT blocked Iran's banks (but reports: not all at once)
Have read that SWIFT presidents, until recently, were reportedly all US or heavily US-linked. Recently they have all been Europeans, and a show made of the fact.
The new president was EU, reading between the lines not a huge supporter.
People in these positions are probably well paid pawns
O
-
SWIFT: Abuses (Iran, 2/3)
Next steps: UANI made lots of allied (Western) media noise US asked EU to OK a ban EU complied SWIFT blocked Iran's banks (but reports: not all at once)
Have read that SWIFT presidents, until recently, were reportedly all US or heavily US-linked. Recently they have all been Europeans, and a show made of the fact.
The new president was EU, reading between the lines not a huge supporter.
People in these positions are probably well paid pawns
O
-
SWIFT: Abuses (Iran, 2/3)
Next steps: UANI made lots of allied (Western) media noise US asked EU to OK a ban EU complied SWIFT blocked Iran's banks (but reports: not all at once)
Have read that SWIFT presidents, until recently, were reportedly all US or heavily US-linked. Recently they have all been Europeans, and a show made of the fact.
The new president was EU, reading between the lines not a huge supporter.
People in these positions are probably well paid pawns
O
-
SWIFT: Abuses (Iran, 2/3)
Next steps: UANI made lots of allied (Western) media noise US asked EU to OK a ban EU complied SWIFT blocked Iran's banks (but reports: not all at once)
Have read that SWIFT presidents, until recently, were reportedly all US or heavily US-linked. Recently they have all been Europeans, and some show made of the fact.
The new president was EU, reading between the lines not a huge supporter.
People in these positions are probably well paid pawns
O
-
SWIFT: Abuses (Iran, 2/3)
Next steps: UANI made lots of allied (Western) media noise US asked EU to OK a ban EU complied SWIFT blocked Iran's banks (but reports: not all at once)
Have read that SWIFT presidents, until recently, were reportedly all US or heavily US-linked. Recently they have all been Europeans, and some show made of the fact.
The new president was EU origin, reading between the lines not necessarily a supporter of this move.
People in these positions are probably well paid pawns
O
-
SWIFT: Abuses (Iran, 2/3)
Next steps: UANI made lots of allied (Western) media noise US asked EU to OK a ban EU complied SWIFT blocked Iran's banks (but reports: not all at once)
Have read that SWIFT presidents, until recently, were reportedly all US or heavily US-linked. Recently they have all been Europeans, and some show made of the fact.
The new president was EU origin, reading between the lines not necessarily a supporter of this move.
People in these positions are politicians... well paid pawns
O
-
SWIFT: Abuses (Iran, 3/3)
Reported results: Some hassle for Iranian government + business Not insurmountable
Bitcoin grew in IranIndia relies on Iranian oil for energy security
India now reportedly gives Iran gold in exchangeRemains fully in compliance with US/EU demands India is the world's largest hoarder of gold
More bridge-burning with tertiary governments
O
-
Western Union and MoneyGram
Two of the more established alternatives to conventional bank transfers via SWIFT
Accessible to people without bank accounts
Mostly used to parts of the developing world where recipients do not have bank accounts, or by migrant workers who have no bank account in the host country
O
-
Vague `Development' Claims
In July 2010, Western Union sponsored an `Economist Intelligence Unit White Paper' entitled
`Building a Future Back Home: Leveraging Migrant Worker Remittances for Development in Asia'
The document body only came to 21 pages, and drew fast and loose conclusions
Clearly a PR stunt
O
-
Vague `Development' Claims
In July 2010, Western Union sponsored an `Economist Intelligence Unit White Paper' entitled
`Building a Future Back Home: Leveraging Migrant Worker Remittances for Development in Asia'
The document body only came to 21 pages, and drew fast and loose conclusions
Clearly a PR stunt
O
-
Vague `Development' Claims
In July 2010, Western Union sponsored an `Economist Intelligence Unit White Paper' entitled
`Building a Future Back Home: Leveraging Migrant Worker Remittances for Development in Asia'
The document body only came to 21 pages, and drew fast and loose conclusions
Clearly a PR stunt
O
-
Reality Check !
In January 2012, Consumers International released `The remittances game of chance: playing with loaded dice?'
Convincing evidence that both Western Union + MoneyGram routinely take advantage of already exploited migrant workers who lack access to competing services Generally charge a flat fee plus ripoff exchange rates 2010 study of Latino workers in US: 53.3% no email / 30% no bank
account / 92% have mobile but over 80% no internet `In the club': Visa / MoneyGram has a `cash-to-Visa' program
In an even more amazing move, the World Bank actually did something useful and cross-compiled some statistics:
http://remittanceprices.worldbank.org/
O
-
Reality Check !
In January 2012, Consumers International released `The remittances game of chance: playing with loaded dice?'
Convincing evidence that both Western Union + MoneyGram routinely take advantage of already exploited migrant workers who lack access to competing services Generally charge a flat fee plus ripoff exchange rates 2010 study of Latino workers in US: 53.3% no email / 30% no bank
account / 92% have mobile but over 80% no internet `In the club': Visa / MoneyGram has a `cash-to-Visa' program
In an even more amazing move, the World Bank actually did something useful and cross-compiled some statistics:
http://remittanceprices.worldbank.org/
O
-
Reality Check !
In January 2012, Consumers International released `The remittances game of chance: playing with loaded dice?'
Convincing evidence that both Western Union + MoneyGram routinely take advantage of already exploited migrant workers who lack access to competing services Generally charge a flat fee plus ripoff exchange rates 2010 study of Latino workers in US: 53.3% no email / 30% no bank
account / 92% have mobile but over 80% no internet `In the club': Visa / MoneyGram has a `cash-to-Visa' program
In an even more amazing move, the World Bank actually did something useful and cross-compiled some statistics:
http://remittanceprices.worldbank.org/
O
-
Reality Check !
In January 2012, Consumers International released `The remittances game of chance: playing with loaded dice?'
Convincing evidence that both Western Union + MoneyGram routinely take advantage of already exploited migrant workers who lack access to competing services Generally charge a flat fee plus ripoff exchange rates 2010 study of Latino workers in US: 53.3% no email / 30% no bank
account / 92% have mobile but over 80% no internet `In the club': Visa / MoneyGram has a `cash-to-Visa' program
In an even more amazing move, the World Bank actually did something useful and cross-compiled some statistics:
http://remittanceprices.worldbank.org/
O
-
Reality Check !
In January 2012, Consumers International released `The remittances game of chance: playing with loaded dice?'
Convincing evidence that both Western Union + MoneyGram routinely take advantage of already exploited migrant workers who lack access to competing services Generally charge a flat fee plus ripoff exchange rates 2010 study of Latino workers in US: 53.3% no email / 30% no bank
account / 92% have mobile but over 80% no internet `In the club': Visa / MoneyGram has a `cash-to-Visa' program
In an even more amazing move, the World Bank actually did something useful and cross-compiled some statistics:
http://remittanceprices.worldbank.org/
O
-
Reality Check !
In January 2012, Consumers International released `The remittances game of chance: playing with loaded dice?'
Convincing evidence that both Western Union + MoneyGram routinely take advantage of already exploited migrant workers who lack access to competing services Generally charge a flat fee plus ripoff exchange rates 2010 study of Latino workers in US: 53.3% no email / 30% no bank
account / 92% have mobile but over 80% no internet `In the club': Visa / MoneyGram has a `cash-to-Visa' program
In an even more amazing move, the World Bank actually did something useful and cross-compiled some statistics:
http://remittanceprices.worldbank.org/
O
-
Stock Markets
2 years ago, began studying the world's largest 18 stock markets Looked for the following:
Protocol information System changes Motivations for change Stated future trajectory
Goal was to understand their technical function/challenges/limitations fromreal sources
Typical total market capitalisation 100s of billions (USD) equivalent ... sometimes more
O
-
Overview of Findings Some consolidation around protocols
Dominant is FIX/FAST Slightly different everywhere
Missed data Dropped connections
However, still plenty of big markets using other stuff (Canada, Hong Kong, Japan, etc.)
Market match-making algorithms vary Not always disclosed Certainly reverse-engineered by algo trading types Includes order prioritization by: price, time, volume, party, trading period
(`opening auction', `closing auction', etc.)
Available order types vary (eg. iceberg, contra, cross, etc.)
Industry-wide concern for latency
Trend of larger markets acquiring market technology vendors (vs. license)
O
-
Stock Markets: Fundamentals
Two kinds of assets: Consolidated
Most exchange listed sec's. Non-consolidated
Cash, commodities (gold...) Identification schemes
De-facto exchange-local Intra-exchange Reuters Instrument Codes (RIC)
EU antitrust case (2009) EU's uniform symbology ISO4166 ISIN (International Securities ID number)
Country + NSIN + checksum digit
O
-
Stock Markets: Edge Cases
Fun ancient things UK has a lot of them
Allotment letters, closed funds, debenture, equity warrants, fund units, leverage products exotic...
Generally ignored, maybe interesting
Multi-market listings Brazilian assets co-list in US
O
-
General Topology: Order Mgmt ___Member | |of the ===> Broker ===> | e |public | x | | c |Bigbiz ====> Order ==> | h |trader mgmt | a | p'form | n | | g | Algo. | e | trade => |___| engine
Note the proximity .. latency matters
O
-
General Topology: Market Info ___Member | |of the
-
Financial Information eXchange (FIX) Most popular client-facing protocol for market order
management
ie. offers to buy/sell Also allows reporting of:
Market ledger info (sum of above) Full status Real time diffs
Market/asset announcements Trading suspension Regulatory hold Asset-linked announcements (stock splits, etc.)
ASCII-based protocol
XML version exists, but rarely used
O
-
Financial Information eXchange (FIX) Most popular client-facing protocol for market order
management
ie. offers to buy/sell Also allows reporting of:
Market ledger info (sum of above) Full status Real time diffs
Market/asset announcements Trading suspension Regulatory hold Asset-linked announcements (stock splits, etc.)
ASCII-based protocol
XML version exists, but rarely used
O
-
Financial Information eXchange (FIX) Most popular client-facing protocol for market order
management
ie. offers to buy/sell Also allows reporting of:
Market ledger info (sum of above) Full status Real time diffs
Market/asset announcements Trading suspension Regulatory hold Asset-linked announcements (stock splits, etc.)
ASCII-based protocol
XML version exists, but rarely used
O
-
Financial Information eXchange (FIX) Most popular client-facing protocol for market order
management
ie. offers to buy/sell Also allows reporting of:
Market ledger info (sum of above) Full status Real time diffs
Market/asset announcements Trading suspension Regulatory hold Asset-linked announcements (stock splits, etc.)
ASCII-based protocol
XML version exists, but rarely used
O
-
Financial Information eXchange (FIX) Most popular client-facing protocol for market order
management
ie. offers to buy/sell Also allows reporting of:
Market ledger info (sum of above) Full status Real time diffs
Market/asset announcements Trading suspension Regulatory hold Asset-linked announcements (stock splits, etc.)
ASCII-based protocol
XML version exists, but rarely used
O
-
FIX Adapted for Streaming (FAST) Essentially multicast-oriented,
compressed FIX
Uses a custom, session-oriented vocabulary for compression
Every market's vocab is different Every market's recovery strategy
from lost packets is different Primarily driven by massive and growing
volumes of market data Big exchanges: Mbps => Gbps range
O
-
FIX Adapted for Streaming (FAST) Essentially multicast-oriented,
compressed FIX
Uses a custom, session-oriented vocabulary for compression
Every market's vocab is different Every market's recovery strategy
from lost packets is different Primarily driven by massive and growing
volumes of market data Big exchanges: Mbps => Gbps range
O
-
FIX Adapted for Streaming (FAST) Essentially multicast-oriented,
compressed FIX
Uses a custom, session-oriented vocabulary for compression
Every market's vocab is different Every market's recovery strategy
from lost packets is different Primarily driven by massive and growing
volumes of market data Big exchanges: Mbps => Gbps range
O
-
FIX Adapted for Streaming (FAST) Essentially multicast-oriented,
compressed FIX
Uses a custom, session-oriented vocabulary for compression
Every market's vocab is different Every market's recovery strategy
from lost packets is different Primarily driven by massive and growing
volumes of market data Big exchanges: Mbps => Gbps range
O
-
FIX Adapted for Streaming (FAST) Essentially multicast-oriented,
compressed FIX
Uses a custom, session-oriented vocabulary for compression
Every market's vocab is different Every market's recovery strategy
from lost packets is different Primarily driven by massive and growing
volumes of market data Big exchanges: Mbps => Gbps range
O
-
FIX Adapted for Streaming (FAST) Essentially multicast-oriented,
compressed FIX
Uses a custom, session-oriented vocabulary for compression
Every market's vocab is different Every market's recovery strategy
from lost packets is different Primarily driven by massive and growing
volumes of market data Big exchanges: Mbps => Gbps range
O
-
FIX Transport Independence (FIXT) Latency paranoia demands custom transport
layers (TCP is syn/synack/ack .. SLOW)
Multicast capable Message-oriented transports can provide
complex topologies n:n multicast pub/sub relays mixes of the above
Lots of these are open source (ZeroMQ, RabbitMQ...), some commercial also
O
-
FIX Transport Independence (FIXT) Latency paranoia demands custom transport
layers (TCP is syn/synack/ack .. SLOW)
Multicast capable Message-oriented transports can provide
complex topologies n:n multicast pub/sub relays mixes of the above
Lots of these are open source (ZeroMQ, RabbitMQ...), some commercial also
O
-
FIX Transport Independence (FIXT) Latency paranoia demands custom transport
layers (TCP is syn/synack/ack .. SLOW)
Multicast capable Message-oriented transports can provide
complex topologies n:n multicast pub/sub relays mixes of the above
Lots of these are open source (ZeroMQ, RabbitMQ...), some commercial also
O
-
FIX Transport Independence (FIXT) Latency paranoia demands custom transport
layers (TCP is syn/synack/ack .. SLOW)
Multicast capable Message-oriented transports can provide
complex topologies n:n multicast pub/sub relays mixes of the above
Lots of these are open source (ZeroMQ, RabbitMQ...), some commercial also
O
-
FIX Transport Independence (FIXT) Latency paranoia demands custom transport
layers (TCP is syn/synack/ack .. SLOW)
Multicast capable Message-oriented transports can provide
complex topologies n:n multicast pub/sub relays mixes of the above
Lots of these are open source (ZeroMQ, RabbitMQ...), some commercial also
O
-
Fun Historical Tidbit
Early 2000s, London Stock Exchange wanted to modernize their platform
Microsoft won the tender Delivered a platform that fell over constantly
LSE bought a Sri-Lankan, Linux-based startup `MilleniumIT' with a low latency platform
Deployed wholesale February 2011 Fixed the problem Now pushed out to South Africa (which has
historically followed London's technology) and many smaller exchanges
O
-
Fun Historical Tidbit
Early 2000s, London Stock Exchange wanted to modernize their platform
Microsoft won the tender Delivered a platform that fell over constantly
LSE bought a Sri-Lankan, Linux-based startup `MilleniumIT' with a low latency platform
Deployed wholesale February 2011 Fixed the problem Now pushed out to South Africa (which has
historically followed London's technology) and many smaller exchanges
O
-
Fun Historical Tidbit
Early 2000s, London Stock Exchange wanted to modernize their platform
Microsoft won the tender Delivered a platform that fell over constantly
LSE bought a Sri-Lankan, Linux-based startup `MilleniumIT' with a low latency platform
Deployed wholesale February 2011 Fixed the problem Now pushed out to South Africa (which has
historically followed London's technology) and many smaller exchanges
O
-
Fun Historical Tidbit
Early 2000s, London Stock Exchange wanted to modernize their platform
Microsoft won the tender Delivered a platform that fell over constantly
LSE bought a Sri-Lankan, Linux-based startup `MilleniumIT' with a low latency platform
Deployed wholesale February 2011 Fixed the problem Now pushed out to South Africa (which has
historically followed London's technology) and many smaller exchanges
O
-
Fun Historical Tidbit
Early 2000s, London Stock Exchange wanted to modernize their platform
Microsoft won the tender Delivered a platform that fell over constantly
LSE bought a Sri-Lankan, Linux-based startup `MilleniumIT' with a low latency platform
Deployed wholesale since February 2011 Fixed the problem Now pushed out to South Africa (which has
historically followed London's technology) and many smaller exchanges
O
-
Fun Historical Tidbit
Early 2000s, London Stock Exchange wanted to modernize their platform
Microsoft won the tender Delivered a platform that fell over constantly
LSE bought a Sri-Lankan, Linux-based startup `MilleniumIT' with a low latency platform
Deployed wholesale since February 2011 Fixed the problem Now pushed out to South Africa (which has
historically followed London's technology) and many smaller exchanges
O
-
Fun Historical Tidbit
Early 2000s, London Stock Exchange wanted to modernize their platform
Microsoft won the tender Delivered a platform that fell over constantly
LSE bought a Sri-Lankan, Linux-based startup `MilleniumIT' with a low latency platform
Deployed wholesale since February 2011 Fixed the problem Now pushed out to South Africa (which has
historically followed London's technology) and many smaller exchanges
O
-
Business Oriented Protocols
Very quickly, there are a bunch of reporting and invoicing protocols
Some are mandated within some jurisdictions (EU, etc.)
None are general enough to use for general finance
None support emerging assets and settlement networks as-is
O
-
Business Oriented Protocols
Very quickly, there are a bunch of reporting and invoicing protocols
Some are mandated within some jurisdictions (EU, etc.)
None are general enough to use for general finance
None support emerging assets and settlement networks as-is
O
-
Business Oriented Protocols
Very quickly, there are a bunch of reporting and invoicing protocols
Some are mandated within some jurisdictions (EU, etc.)
None are general enough to use for general finance
None support emerging assets and settlement networks as-is
O
-
Business Oriented Protocols
Very quickly, there are a bunch of reporting and invoicing protocols
Some are mandated within some jurisdictions (EU, etc.)
None are general enough to use for general finance
None support emerging assets and settlement networks as-is
O
-
Mobile Stuff
Everyone and their cat has started a mobile payments startup in the last few years
Oldschool premium SMS billing Carrier billing Proximity / NFC Appstore payments In-app payments
O
-
Mobile Stuff
Everyone and their cat has started a mobile payments startup in the last few years
Carrier billing Proximity / NFC Appstore payments In-app payments
O
-
Mobile Stuff
Everyone and their cat has started a mobile payments startup in the last few years
Historically, the mobile area has been about ownership of the customer
O
-
Mobile Stuff
Everyone and their cat has started a mobile payments startup in the last few years
Historically, the mobile area has been about ownership of the customer
Apple clawed this back from the vendors with the iProducts
O
-
Mobile Stuff
Everyone and their cat has started a mobile payments startup in the last few years
Historically, the mobile area has been about ownership of the customer
Apple clawed this back from the vendors with the iProducts Google used Android to fight back
O
-
Mobile Stuff
Types of mobile billing Oldschool premium SMS billing Carrier billing Proximity / NFC Appstore payments In-app payments
O
-
Mobile Stuff
Apple's approach: Grab customer credit card at
device purchase Bill everything through that Similar in all or most markets Ban third party payment systems
Google's approach: Copy Apple and adapt Google
Wallet to mobile
O
-
Mobile Stuff
Apple's approach: Grab customer credit card at
device purchase Bill everything through that Similar in all or most markets Ban third party payment systems
Google's approach: Copy Apple and adapt Google
W