Skip to main content

tv   Inside Story  Al Jazeera  February 13, 2021 10:30am-11:01am +03

10:30 am
we just wanted to feel safe activists say the assaults reflect a bigger problem in us society it's part of again deep rooted systemic racism in america. see some people as belonging and others as outsiders and right now are cast as perpetual foreigners and rats researchers at san francisco state university reported 2800 racist incidents involving asian americans last year ranging from verbal abuse and spitting to physical assault rob reynolds al-jazeera los angeles. at half past the hour on al-jazeera these are the headlines donald trump's 2nd impeachment trial is nearly finished with a final vote in the u.s. senate expected as early as this weekend lawyers for the former president wrapped
10:31 am
up their defense they simply described the trial as unconstitutional. this unprecedented effort is not about democrats opposing political violence is about democrats trying to disqualify their political opposition it is constitutional cancel culture history will will will record this shameful effort as a deliberate attempt by the democrat party to smear censor and cancel not just president trump but the 75000000 americans who voted for him. house impeachment managers that insisted donald trump whipped up the right hands and didn't act to stop their rampage. he knew the violence that was underway he knew the severity of the threats and most importantly he knew the capitol police
10:32 am
were overwhelmingly outnumbered and in a fight for their lives against thousands of insurgents with weapons we know he knew that we know that he did not send any individuals we did not hear any tweets we did not hear him tell those individuals stop this is wrong you must go back we did not hear that you know the headlines and he can protesters are out on the streets of me and mouth for the 8th consecutive day they want the generals to release the deposed leader. is under arrest they also want an end to the military coup and there's been an explosion near somalia's parliament in mogadishu a car bomb suspected to have blown up near a hotel in the capital and there are reports of gunfire in the area ok been on that story and the rest of the news here on al-jazeera right after inside story. it's 10 years since the libyan revolution led to the overthrow of long time ruler mama to
10:33 am
die for. the country was torn by conflict rival claims of power. but it's hoped talks will finally bring peace and stability join us as we assess libya's approach to elections on al-jazeera. agreed to the cryptocurrency america's own this bank says it plans to hold transfer and issue digital currency so should invest is a government widely embrace them and what will this mean for the global economy this is inside story. hello welcome to the program on conventional for the 1st time ever america's oldest bank b. and why balance says it's planning to offer some crypto currency so this is great
10:34 am
news for digital currencies like record which has been soaring to all time highs while investing in it can be a rollercoaster ride that comes with many risks that hasn't stopped the chief executive of tesla mosque from purchasing $1500000000.00 worth of it as well as a besting in a tesla is now expected to accept the virtual money as a form of payment they don't submit along with buying in from institutional investors is pushing bitcoins prices to new records going above 48000 polling for the 1st time ever bank b. and y. balance decision to allow crypto currencies in its services is another boost for the digital asset but the c.e.o. of asset servicing and head of digital at the n.y. balland roman and says in a statement growing client demand for digital assets maturity of advanced solutions and improving regulatory clarity present a tremendous opportunity for us to extend our current service offerings to this. field lost
10:35 am
a card is also planning to open up its network to selected crypto currencies that had previously provided credit cards allowed people to use their crypto currencies but without going through its main platform master card says doing this will create a lot more possibilities for shoppers and merchants allow them to transact in an entirely new form of payment this change may open merchants up to new customers who are already flocking to digital assets with some officials have also showed their support of crypto currencies the mayor of miami francis witt is has written recently proposed a resolution offering to pay municipal employees and because i want to thank the city of miami commission for supporting my resolution which direction city manager after analysis to procure a vendor to be able to offer our employees to get a percentage of their salary in big corning allows our residents to pay for fees in big point and also would allow the city manager to cooperate with my many county to allow for taxes repeating it also
10:36 am
a request of the state legislature that the city of miami support efforts to make big point an acceptable currency for us to potentially invest in the future so let's take a closer look at cryptocurrency isn't how they work they are of course completely chilled in the form of computer files stored in a digital wallet transactions are made with no middlemen meaning it bypasses banks the currency can be used to buy goods and services but not many retailers except the payment happens to a system called block chain which records transactions across the internet and stores them in multiple locations but korean was the 1st online currency which was created in 2009 but since then thousands of other digital currencies have sprung up . thank you of time not to bring in our guest in london we have glen goodman a financial investor and author of the crypto trader and akram dale new york william cohen
10:37 am
a former mergers and acquisitions investment banker and writer and also in london celso of the as a video and international side and lawyer and barrister at 36 commercial a very well welcome to you all thanks for joining us here on inside story i'd like to begin with you glenn goodman how big is this news from b n y mellon and from mastercard is this bitcoin now well and truly on its way to the moon as proponents would say. i think it's certainly extremely good news for crypto currency in general particularly the b.m.y. melon news because the crypto world has been waiting a very long time for a big asset manager or rather an asset custody company to basically say yes we're prepared to look after because in and other cryptic currencies to keep them using our traditional financial channels on platforms that we ourselves maintain and and finally you've got such
10:38 am
a huge asset manager or asset custody and rather agreeing to do that and that is huge news because it will give a lot of financial institutions and other companies the confidence to buy because in another cryptic currencies it knowing that they will be looked after safely for them by one of the most trusted financial institutions in the world has confidence has been a very big thing that has been a very very volatile asset william cohen what's your take away going to continue to see big quite go up and up or are we going to see another major pullback we've seen it come down what like 80 percent in value in the past to me it has all the earmarks of a well orchestrated 21st century tulip bulb parade. i know that proponent just can't get enough of it and in a beeline much of the world shouldn't drive the prices higher and higher and it gets sort of swept up into the whole madness of crowds and social media friendly
10:39 am
but you know frankly i just feel like it not dissimilar from other bubbles your praises that proponents lock onto and just you know go now kilburn though i'm not particularly confident that it's going to continue and that's where i mean the b.n.y. is news out of the. good news it's just news it's more you know short of padding of the whole or inflating of the whole bubble currency what is it that you see that the likes of a lawn mosque the likes of jack dorsey square the likes of pay pal who are on board with bitcoin what is it that you see that they don't see. i mean they're billionaires. and i don't know if you know they think they will never be back i mean you know money is a crack but in game i mean what why did the dollar have very wide if any current
10:40 am
think of value because people believe in it and you don't get a moment people believe in big point i'll come to you south or the as a video do you think other banks are likely to follow in b n y mullins footsteps are they investing they say in the value should they be what are the legal constraints that banks might affect yes i'm afraid i'm going to sound a cautionary note to all that positively. you know use it is good news for instance that the u.s. securities and exchange commission. has recently pushed back you know means if you want gainst the government's current government not if you can do us that took 2 currencies or dangers route for terrorist financing. you know it pushed back on the december last year since then. failed to notice the hook calls rulemaking where banks in money services businesses
10:41 am
would be required to submit reports keep reports very fighting identity or customers in relation to transactions above sentence nationals importing cripple currencies additional assets. where their wallets were not hosted by financial institutions or c.b.c. wallets whole cities by us on issues in certain jurisdictions identified by this insane and this would be very onerous new york high and requirements and you see that concern in the recent statements from. the the. current and new. when they were say that they were going to tour they were going to up give some support to talk of currencies but they were concerned in they said you know in their statements there they were saying not all
10:42 am
of today's crypto currency is will be supported by our network. some of them will be but that will should be strict compliance protocols. in relation to know your customer requirement that was it was good to be used to snuff out illegal activity and induce action payments networks and then you have to remember that currencies are regulated piecemeal flash flash by many different rigorous across the asians you have debt and money laundering terrorism financing aimed at sea regulations aimed. you also have the money transfer willis lation so we. have to be optimistic but not not top to be sick you have to remember that there are many many many places critical mass is a band that come now to good men what do you say to that particularly when you look
10:43 am
at the technical analysis and when you look at the on chain data what do you think . well 1st of all i don't think it's fair to compare it to the tulip bubble the dutch to let bubble was a one off whereas because in now during the previous boom the 2017 boom that i was heavily involved in there was a nagging voice at the back of my mind saying what if this is a chilling bubble because the fact is that bitcoin and all crypto currencies as william quite rightly points out like all money are kind of a confidence trick it's all about faith faith in the u.s. government for example for the dollar and faith in bitcoin for people who believe that that's the new form of money that will dominate things in the future the true it bubble though as i say was a one off so we had the because in and crypto boom in 2017 and then it cooled off very significantly a lot of criticality lost more than 90 percent of their value over 282019 but the
10:44 am
fact is it didn't die it proved its worth by coming back because and in particular to even greater heights and what really gives me enormous confidence this time around is the sheer number of institutions particularly financial institutions but also large companies like tesla who are showing that they are now believing that it is the future that it will be around for a very long time and that they need to make the plumbing the infrastructure and actually buy the assets themselves in order to be part of the future economy as it were there are so many companies and institutions doing this now that i just don't think we can dismiss it as a temporary phenomenon anymore i do think the prices are in somewhat of a bubble once again they doubled doubled again and then doubled again it is getting a little bit crazy in the short term and it may well crash again like it did in 2017 but i do believe now that cryptic currencies and digital currencies in particular are here to stay william cohen we have you back now and i'd come back to
10:45 am
you we're talking about faith. i'm wondering what are the sort of macro dynamics that are driving this because in the u.s. in many parts of the world you have governments printing money and people are worried about what that means the value of their money the value of their their cash longer term so is that part of what is driving this gross and adoption of the likes of bitcoin and yes i mean obviously yes i mean clearly the fact that bitcoin is finite. substance by design you know there's whatever 21000000 bitcoins and people are desperately mining for them and the scarcity value you know in the man yes a function of supply and demand and i think now you see the demand higher than the supply and the price is go is going up again you know i do agree with mr goodman that you know this is
10:46 am
a confidence game so the fact that you know it more and more institutions in the financial sector whether it's you know b.n.y. mellon or you know j.p. morgan chase is now you know being sort of dragged into it because its employees want to trade it and its clients want to use it if more more people have confidence in this thing that frankly there's no reason to have confidence in them that can be a self-fulfilling prophecy it's no different in that sense than the money or gold or any other form of clinical currency or store of value that we use to trade with people need to be able to trade. goods and services and if they have confidence in bitcoin is the way to do that then that will be a self-fulfilling prophecy but at the moment this point is just a way to gamble in my opinion ok so also the as it. janet yellen in the u.s. that you bought an administration issue this written statement off to his senate
10:47 am
confirmation hearing talking up to handle benefits for the u.s. and she says you know it has potential benefits it also prevents opportunities to states and non-state actors looking to circumvent the current financial system but then goes on to say you know it also has the potential to prove the efficacy of the financial system can you talk to me a little bit about those 2 apparently opposing sides you on the one hand she saying well there is you know the potential that this could be used in a very bad way by very bad people on the other had pets maybe it could lead to some inequality pap's in some way it could help our financial system. yes the 1st thing i would have to say those are false dichotomy there i think to stick pins may be correct. it doesn't necessarily mean that 11 thing is wrong but they do push in different directions that you're not up to you know that there is that race. critical issues will be used for evil. for fraud. and can
10:48 am
be at the same time the use of another financial asset is something that is positive for society as a whole. because the question is how do you strike a balance of cleverly regulation medium ice's the reese or crime was at the same time maximize is the trust the society will housing these new assets you know that's where the economy's ok unclaimed goodman i'd like to come back to you what difference does it make when the likes of master card or pay pal say hey you know we're going to let you use that coin as a means of actually paying for things is that is that where the cryptocurrency or big corns value comes from its ability to be use every day or is it more as a as a store of value investors buying and holding. yeah it's the store of value and the interesting thing is actually that when william referred to it as as
10:49 am
a tool it bubble juror in the 2819 slump as i said the back of my mind i was thinking you know could that have been a one off is are these assets just going to slowly die as people lose interest in them because because like william said it's all about faith it's all about belief do rebuild leave these things are going to do well in the future and then they become a kind of self-fulfilling prophecy but what was interesting over the past year i think cove it may be the reason why they've come back stronger than ever because they create kovi created a new narrative for because of the cryptocurrency the idea of bitcoin as digital gold basically when the federal reserve turned on the money printing and started massively expanding their monetary policy in order to try and combat the deflationary effects of cove it that scared a lot of people and made them think well they're just printing money endlessly we don't believe in the dollar anymore it's shook investors faith in the dollar and
10:50 am
made them think that maybe their dollar was going to be so inflated and the dollar would depreciate in value so much that they needed a harder currency now traditionally that harder currency they would have flocked to would have been gold and they did flock to it to some extent but the younger generations felt that we had a new digital gold because and because it can only be created in very small quantities and a finite amount of venture it will stop being created all together at in about 100 years time but you know even now there are only tiny amounts of nick point in every single day so it makes people feel that it's a harder currency than the dollar and so that's why they've been flocking to it and i think that you know that that narrative will continue to prevail as long as there is money printing by central banks if the central banks get their act together and start having what i would consider a more. sensible monetary policy install reigning in all that new money then then
10:51 am
perhaps people won't be so interested in bitcoin anymore there will be some interest in gold anymore either ok i think we need to talk about the security issue william cohen you know the book chain itself has been described as very very safe but the personal security of one's wall that perhaps not so much how secure is a crypto currency like that coin or theory of you know security i mean you know if it's coin and these digital currencies they're all about the narrative everybody wants to talk about the narrative i mean and it's such an exciting story is that if i'm buying just and well i mean you know until you can use this point to buy things what's the use of it it's just a way to gamble and that everybody's excited about it last week everybody was excited about game stop this week they're excited about bitcoin because iran must decided to you know buy a 1000000000 and a half dollars unit because nothing on must like more than you know making people
10:52 am
crazy so you know to me you know that people talk about and talk about leisure here they talk about the security the time you know we'll have to just you know wait i mean at the moment it's all about faith and confidence and if people want to pretend that this is a good store of value then the price will still go up if you know it some point barricade will start game stop with the great store of value can i ask is there any value at which bitcoin could get to and when she would change your opinion of it if it cohen reached 100000 dollars 200000 dollars would that change your opinion. you know what would change my opinion is if you could use this thing widely whatever it is the currency to buy things if i could use bitcoin to buy a house you know regularly in a liquid way not just in a one off way that means very much bill in a liquid way on a daily basis it's part of my daily life yes ok maybe bitcoin and it would if i
10:53 am
could get my hands on it i mean i can always get my hands on dollars and use them to buy a house. i mean you can't do that with point at the moment except in one off you're going to suffer the as of a don't want to talk a little bit about the difference between stable coins by which i mean coins at the countries which are linked to say the dollar and also then you have central banks now getting involved in digital currencies what does that say to you about the role of digital currencies and the adoption of course of digital currencies is this central banks looking at the current things and getting nervous because they want to continue to control money or is there something else at play here. oh i think i think. it's all of this. and i think i think that you can see that in some countries you have to delete a situation in india that is modeled on the chinese regulation regime which effectively bond trading and use usage short quick took currency the wires at sit
10:54 am
while the same time the government is working on using its own virtual currency china impose a ban on dean usual offerings of courses in 2017 and i ask you because exchanges flu shot down since then china central bank has also blocked all access all domestic and foreign. exchanges. but i think maybe it's a little be more nuanced than that because for instance there is a report of last year by the bee gene arbitration corporation where saying that china's prohibition of bitcoin is not exactly as suggested because the the chinese legal illegal stansell group the currency like it quite needs outlined by major quit to relate to related activities that are prohibited by the government but at the same time allows some other to teasing other types of
10:55 am
curls of course all of our. activities so it is a very nuance and situation ok where we've got about 2 minutes left i'd like to come back to you glenn goodman want to you think about about what you heard earlier from from william cohen about the idea of not having its use case until you can spend that when you go to buy a pair of pants. you know whatever you go down to the dairy and buy a bottle of coke or whatever did did you agree with that sentiment. you know i actually do agree with william you refer to mastercard earlier in a and then move to integrate or to allow payments using digital currencies and i didn't really give you a proper answer there the fact is they're not going to allow people to use because when they're talking about digital currencies they were sort of referring vaguely to what will probably be the central government based stable coins that you're talking about a sort of digital dollar that kind of thing because they consider currencies like
10:56 am
big corn to be far too volatile in value obviously they shoot up and down in value you don't want to sort of get some big corn one day and then find out when you want to buy a cup of coffee that you've lost 30 percent of the value of the money you are about to buy a cup of coffee where it's just not usable on a wide scale for every day payments at the moment that we don't have the infrastructure and the actual price of it is too volatile and that goes for a lot of other correct and how that changes when next 10 to 15 years. it will change everything is going to change because there's going to be a huge almighty battle between the central bank digital currencies the ones that are based on the old fear currency what we're seeing in china government is going to be a fight between that and the decentralized digital currency is like big calling and we just don't know who's going to win but let's face it the governments have got power so that certainly gives them the advantage but it's a fast * moving sector to say that they stay thank you so much for all of your time
10:57 am
glenn goodman william cohen and the as evade. and i think thank you t 2 for what you can see the program again any time by visiting our website al-jazeera dot com and for further discussion things go to our facebook page that's facebook dot com ford slash a.j. inside story you can also join the conversation on twitter handle is at a.j. inside story from a conveyor belt and from the entire team here and all of us and. this thing is a set and it's time for a different approach one that is going to challenge the way you think aren't asking the questions now is the new host of the next season of the show that's got no space for sale but only covers the list leave simplicity to the headlines join me as i take on the last dismantle the misconceptions and give me the contradiction.
10:58 am
i'm marc lamont hill and it's time to get out front right here on al-jazeera. jump into the story there is a lot going on in this and julian global community when i talk about the misinformation i think we don't want to feed than we are aware be part of the debate don't ever take anybody's one word because there's always a difference when no topic is off the table we have been disconnected from our land we have been disconnected from who we are and would love to hear the new and be part of today's discussion this stream on out is the era. play an important role protecting you would. ringback face. is change because. people believe in a purpose that is bigger than their. reality where the way to make
10:59 am
a political move the my city around is they represented they put themselves to make the changes something that we. should have taken this long and they're going to learn about them as condemnation learn we have a disco war to create new areas we have to change this culture i am one of the fortunate ones who can leave and if that outside but all the people and on the majority of these illegal of us are talking about just good hardworking people that want to live the american dream like our ancestors these are going to refugees are terrified that they may. be forced to return to being mark. london is one of the most unfortunate cities in the world and decisions made here have an impact right around the globe and so here it out just right we will show you the true impact of those decisions on people but how it affects their every day
11:00 am
. we are free to put them on air and to really gauge this is because we know that all audience is interested not just in the mainstream news but also the more hidden stories from parts of the world that often go on the record. it's dishonest and the american people don't deserve this and the longer you must acquit. defendant all trump at his impeachment trial his lawyers say there is no proof the insides of a capital hill attacked. hello again i'm come out santa maria here in doha this is the world news from al-jazeera protesters in nigeria return to the scene of the controversial deaths of 12
11:01 am
demonstrators last year in lagos activists plan a rally at the very spot they were killed. and thirty's celebrate after the u.s. .


info Stream Only

Uploaded by TV Archive on