Latest Innovation in Web3 | European Blockchain Convention 9

Transcript

[Music] 2 one let's do it uh good evening everyone uh please find yourself some some spot before before we start my name is bil Alami I'm the founder and CEO of Paris lab we are startup studio and incubator based in Paris um I'm here today with Typhoon and oldis uh which will accompan me on this topic of innovation in web 3 um so as a quick introduction I'll have the speakers quickly introduce themselves and then we can start in in the question so tyoon please go ahead um

okay uh thank you very much everyone being here my name is uh tyon karabagli I am the ecosystem manager at uh Huawei Cloud I'm actually responsible for the Partnerships with web tree companies thank youis what about you hi everyone congratulations for surviving onto this uh red eye panel or what what to call it so my name is zis I am the CEO of nexpay we provide banking for underbanked Industries and obviously this has been premiery underbanked industry for for many years and we have been uh uh helping companies and innovators in the in the space and in web 3 uh for for uh around 5 years now um helping them with

banking helping them with uh crypto brokerage and basically providing the financial foundation for for their projects thank you very much so we both have a representative of cloud and infrastructure for for for application Builders and also payment and banking for Mass adoption so let's start by um the the the by ulis uis um in order to to create the mass adoption um you need a proper onboarding and you also need um payment canals that make sense in their business model and what I've seen today is that most of those providers are a very huge fees so

can you tell us a little bit on how um how you see the innovation in the space to be able to on board those um next million billion user yeah I think one of the one of the key issues in the space is uh is the lack of trust and the lack of trust increases the barriers of Entry it increases the cost and it increases the the hassle of uh of doing business and whatever projects there are that are uh in in web 3 or around web 3 almost all of them need some kind of payment facilities and uh and payment facilities in web 3 in crypto that would not be

let's say Fiat based are uh very uh how to say uh well they're basically totally unregulated have have been so far which from one side is is very good because it's then easy to operate easy to set up from the other side it keeps a lot of players from entering the space from uh from building products from building projects because they just feel like there's not enough infrastructure to make sure that whatever users they're going to add on their uh on their platform on their metaverse or whatever their money is going to be safe the transactions are going to be processed um so so I think that uh there's a huge

potential uh from regulation that is coming with the MAA uh directive in Europe because it will just level the playing field make the rules pretty clear and open the doors for anybody be it Banks be it big Tech be anybody to to build in this space with confidence with regulatory Clarity that what they do is compliant what they do is you know safe and what they do can unlock uh value for for the users for the end users and as these uh major institutions and companies join the space obviously competition increases and the prices go down so then your question about high

fees uh should be should be solved and also there are you were talking about the regulation um there are huge kyc and AML um uh how can I say constraints while building and using those uh services and and I give you an example some of the services require a k KC uh when you use 1,000 some other when you use € 10,000 um how are they um what makes the difference between those two um one is where are they licensed so that can make make a difference second is whatever you know compliance culture they have what kind of risk appetite or

risk tolerance they have and at the end of the day it's ultimately the regulator of of that uh region that jurisdiction that dictates the tone on what can or what cannot be done um I think that there's there's a lot that uh that can be solved with uh with the decentralization and Adoption of uh of uh Crypt based product calls however that in today's world does not fit together very well with with the existing Financial system so I think it will take quite a long time for for uh countries to figure it out how we can combine traditional or trafi with uh

with the web 3 with decentralization with uh let's say less less control less uh less uh checks on uh on the people interacting and I think that that uh potentially we we might get to a point where where uh this uh there a Breaking Point where the overburdening of transactions with AML and KY kyc requirements will result on a lot of innovation being in the space and consensus building around people and governments that hey maybe you know it's not where it's not necessary to ask a thousand questions about a 500 EUR

transaction so of course and um where would you say is the best location to set up this kind of uh services that basically minimize uh the risk of fro Maxim minimize the the maximize the the the threshold amount for the kyc while being at at the level of what Mika expects that is to be determined because uh I think there's going to be a massive uh shift in the in the landscape in Europe in terms of where crypto projects and crypto companies are domiciled and that will depend on the fast efficient and smart adoption of mikaso so

countries I think will be competing for a lot of business similarly as it was when the AML fif directive was implemented and and countries in Europe started to uh apply AML regulations for crypto businesses this next way and it you know sent a thousand companies to Estonia then similar amount to Lithuania because they were quick they were efficient the rules were clear and now there's going to be a huge kind of uh uh de let's say U division of the market or redivision of the market based on which countries will be the fastest the most efficient and the smartest in in M adoption because because companies are in the space are very agile and they're

very very looking for uh for Clear smart and understandable regulations so so I think that there's uh I cannot answer this question for you right now because it's going to change a lot basically next year by at the end of next year uh who's going to be there first issuing those licenses and providing those clear rules excellent thanks this typhoon I'm looking at you now you're come you're coming from yway which is quite a big company uh and you're handling the the cloud part and the relation with the web3 ecosystem can you tell us a little bit more what what is your job for um we're actually responsible for the partnership with web3 companies but I can definitely say something about this

subject I think everyone in this audience using mobile phone for the end user is very important but before we start looking to the end users we need to go to the hardware layer so the basic layer on the network infrastructure if it's going to be fixed then we can actually provide good networking scal infrastructure and also every service that at the end the end user from Front End use the deps Payment Solutions but also other Solutions if the infrastructure is not okay and not capable then we have a very big problem because we cannot onboard a lot of users your network or your website or your company will have outage so we don't want to face this because if you want to

have a very reliable uh infrastructure what the cloud providers is providing for example who Cloud but also uh our competitors they need to have a responsibility to provide the infrastructure for web3 companies so that they can easily host a notes they can connect their databases they can provide CDN so that the end user have a very good infrastructure also environment easily transact between Alice and Bob what is the most important technical part for the web3 uh builders that are using the cloud is it the node is it the the scalability the

availability um hosting a node is or set uping a note is very difficult you need to having a computer you need to maybe spend around €2,000 and it need to be turned it on every day but if you are using your personal computer then you cannot use it anymore because it's a note so you can better use a cloud provider and they provide some kind of uh templates where you can easily host a note within a second so that you can build your company on the cloud and now everything is changing in the cloud infrastructure because you have low code providers no code providers that makes it also easy for the everyone who can easily set up a company so you need a little bit

technical knowledge but it's not like in the do com bubble you need to build everything from the scratch because the cloud companies is actually adopting their services if they are going to adopt more and more it will be very easy for every company in the world easily set up their uh web tree environment okay so you're you're answering this for everything related to um um hosting uh but um what about the trend on for example decentralized cloud computing do you work a little bit on that from the highway Cloud part or is it something you're looking at um decentralized yeah every blockchain company talking about the decentralized solutions but they are still hosting

their Solutions on the cloud but still if you are going to host some of your notes on Huawei cloud or competitors of uh of Huawei Cloud you can still have some clouds on your own environment or you choose to uh Community host some noes it is still decentralized because you are not hosting everything on the cloud so you are not dependent on the centralize data sensors all right super interesting and I have one more point because I've heard a lot about people building um on what they call uh multicloud or cross cross Cloud application um do you think it makes sense um with

um one of the uh Services what we are providing at this moment is hybrid multicloud in essence is that you can host some services in Huawei Cloud you can have a edge cloud or on Prem data center but you can also lift and shift your uh whole clusters between different kind of cloud providers for example you can buy a Data Center and set it in your home you can host it there but you can also connect with the cloud some information or uh sensitive data or very important stuff to be uh to be online you can keep it on Prem or maybe move to the cloud from time to time when you need to think about the um when there is a busy time let's say about the bill

Market some companies needs a lot of notes and services then you can actually scale with the cloud while you are having on Prem or age cloud services thanks and I'm I'm addressing to you to now um except from your area of expertise what are the latest innovation in web 3 that you find very trendy and worst looking at um one thing is um that International organizations like uh ISO International standard organization they doing a lot of stuff for standardization of the BL chain uh interoperability it is very important for companies to actually use those services that can be very interesting but it's need to be adopted by companies another thing is very

Innovative is the uh ethereum Community because they are coming with ethereum proposal for Real Estate tokenization or account abstraction or different kind of solutions and other uh blockchain uh providers or L1 or L2 so solutions they are actually following ethereum because they are the uh biggest one in the blockchain sector thanks and this is there an innovation that you think will trigger the next bull market I think that um that one thing that we'll we'll see uh a bit of a returning to the headlines is the metaverse and the different metaverses and virtual reality and uh like these online personas that

that uh that you can build uh in in the gaming world I I see a lot of projects uh building like that I see a lot of very good technology Facebook coming out with uh with with new U these quest uh products and also I saw this um conversation between Lex Friedman and uh and Mark Zuckerberg uh which was looked like uh a whole new type of metaverse not like your cartoon uh world but like a real inperson interaction so I think that a lot of uh a lot of the hype was was blown out uh by the bare market and lack of funding and lack of uh a lack of uh interest but I think with the with

the next wave of uh of of of the bull market I think their money is going to go back into that industry and Project's going to see a lot more visibility and uh a lot more interactions between people where are going to happen on the metaverse thanks um I want to finish with one last thing maybe last word from from both of you um what is the main learning you you learned from the the previous bull market or or this beer market both as an entrepreneur and and as a representative of a corporate um it's it's a very good question I think um I think companies need to do very clever Investments uh with the um money that they are raising and if you have a huge

investment uh you can definitely exist for several years if you are going to use it in a very proper way but if you are um not very good in allocating your um Investments and that companies can easily die and we have seen that in uh several bull markets some companies totally disappeared even they raised 30 million 20 million in the Ico boom they are not here some companies done very well with their investment we can cash is King be careful where you spend your money I think you need to really think about uh how you are going to survive for the next bull market or for 10 years or maybe 20 years and it's about allocating your um your

resources that's for actually for every company not only blockchain companies every company exists in the world thanks for this I guess for me the main main learning would be to I'm I'm all for Innovation and also in in in finance but you have to be very careful when it comes to financial engineering and what kind of each each wave I've I've been now through two cycles uh in the space and uh and each wave comes with some kind of innovation and as it is very financially driven market then it usually comes with some kind of financial engineering and there has been a lot of uh a lot of uh pain uh unraveling when when people think they

understand economics but there's different layers of Economics that maybe they didn't understand some second or third order effect and uh and I think you just have to be very careful when uh when following these Innovations um you have to support them but you have to be you know also very cautious if something looks too good to be true then it probably is thanks thank you very much guys thank you