I am asked tiger this is the kaiser report were in the sun the north american Bitcoin Conference in miami the excitement is palpable electricity in the air startups are starting up. Yes max its a pretty wild ride here very fine its getting bigger and bigger every time we go to a big bang conference as more and more people. I do want to know one thing that weve kind of overlooked in the past week of coverage is the fact that the dow jones. Went up one thousand points the fastest in history it twenty five thousand points and then it hit twenty six thousand points the fastest move the fastest one thousand white moves in the history of u. S. Stock markets as i think thats the best thousand points since tropicana president so i think we see some of that inflation perhaps you might call it hyperinflation that janet yellen and other central bankers were hoping for but you know youve got the wealth effect because youve got stock market by Market Property market trip the market all hitting guys do all time highs trading trillions of dollars while i walked into the entrance of the hotel here in miami and theres just replete with lamb bones everywhere lamppost rolls royces plus rotting you know the trickle down of different dont come to be the stock market the Property Market is having a boom time. This is the sort of town where you can drive a lamborghini into the hotel lobby its pretty interesting so one of the biggest stock on the stock market of course is apple i think it was the First Trillion Dollar Company right getting pretty close and very close and so they theyve had a good time obviously in the past year as a stop. Its influence but one thing i want to look at is what has Tax Reform Tax reform has done to their bottom line and what sort of benefit its going to bring perhaps the u. S. Economy this isnt this headline apple says it will pay thirty eight billion dollars in foreign cash taxes and create twenty thousand u. S. Jobs apple said last week that it would make a one time payment of thirty eight billion dollars to repatriate some of its vast overseas Cash Holdings the company which has faced International Criticism for its tax evasion policies also said it would spend thirty billion dollars in the u. S. Over the next five years creating twenty thousand new jobs so this is rolling off of the tax reform weve weve seen a lot of these sort of announcements out that apple is also giving a two thousand five hundred dollars bonus to most of their employees in the United States we saw walmart announcing thousand dollars bonuses Southwest AirlinesAmerican Airlines so many corporations have been amounts and big bonuses because of the tax cuts theyve had a huge tax cut down to twenty one percent. Of the likes of apple will go into it only ever paid one percent but well get into that event right yes so this is all about bringing those jobs back to america bringing the cash back to america chump just finished his first year in office and this is some of the Campaign Promises that he made and hes making good on those promises just really hard to criticize because hes doing stuff he said he would do this is obviously going to be a huge boon for jobs in the u. S. Going to start manufacturing in the us and credible about being if you start seeing i phones and i have some other equipment actually being manufactured not giant in the nation but in the United States i dont know if youre going to do that or not but there are clearly bring a lot of jobs and are going to build a whole new apple campus and then i guess are shopping for a city now where to put that new apple campus of this will be a choice. No the company should have a have a big specific announcement of what these twenty thousand dollars will be and could all be at apple stores for all we are now selling more products. In terms of their tax so apparently theyre paying a fifteen percent tax on repeat trade in profits it looks like theyre going to repatriate if you look at thirty eight billion thats pretty much fifteen percent of the two hundred forty six billion they have held overseas so it looks like theyre bringing it all back by that those numbers the article goes on to say that in june trump told the wall street journal that apples chief executive officer tim cook had promised to build three big big big plants in the u. S. As part of a discussion about tax reform the company is the latest to announce a one off payment as a result of recent changes to u. S. Tax law which allows companies to pay a levy a fifteen point five percent and overseas Cash Holdings that are repatriated to the u. S. You know i remember the reagan years the trickle down economics that was introduced and there wasnt really a lot of trickle down but here this is actually trickling down in real time jump announce a tax cut and boom twenty thousand jobs from the Biggest Company in the world relocated to the u. S. Are treated in the u. S. Thats genuine job boom tied to a tax policy and again this guy was a novice coming into office year ago i said you know why in the ball student does all the professional politicians suck you know suit this guy can do so far looks good well you know one thing i want to say is that since the financial crisis and then president obama came in a lot of people in the occupy wall Street Stores were like you know big bankers got bailed out and then they were collecting all these big bonuses they are the ones that actually are getting hit hard because of these new tax reform because they have massive losses in the two thousand and eight two thousand and nine financial crisis and theyve been writing those. So some of these guys i think like citi group just a bounce that twenty two billion dollars that theyre going to have to hit on their profits this year because of this new tax reform is that they were counting out riding off all their big losses during their scams in the last. Crisis so now theyre going to be hit hard so hes actually hitting them hard unlike what weve seen in previous administrations yes it makes perfect sense you know the tax loss carryforwards are going to be you know ended so theyve got a real genuine bottom line event happening to them and theyre being penalized for making bad bets and lead to depression two thousand and eight barack obama applied zero zero accountability after the two thousand and eight crisis about five just to shower Democrat Money and said no pledge try to do better next time guys again trump says the policy is actually inflicting a little pain to our belong to the banks so back to apple you know the panama paper is had showed that apple had set up a complex web of offshore companies to basically pay less than one percent tax rate. Regarding the article mentions that in twenty thirty in a Senate Committee accused apple of using a highly questionable web of offshore vehicles to avoid paying taxes on the u. S. Senator john mccain said his constituents were quote mad as hell to learn that the worlds Biggest Company was paying tax rates that were sometimes lower than one percent ive never seen any thing like this thats across the board all Big Industrial companies all big doubt Companies Just people their tax rates member General Electric reported on this couple years ago in a seventy thousand page tax return and at the end of the process they enter it with a tax credit they got money back from the government so any kind of tax reform like this that levels the Playing Field is going to be a boon to industry. Its. Long overdue i would imagine theyll be another tax reform bill next year just simplified bring in a flat tax me four years old all over and done with top will bring in a fifteen percent tax rate across the board which would be the best possible solution to the tax you know question in the us yeah so i mean i think obviously taxes have gone down in corporations we already have a low tax on Capital Gains so capital is very low tax across the world labor is still taxed very highly i saw somebody talking about this on twitter this morning about these tax rates and it is interesting to note that right now labor is so cheap tax Interest Rates capital is so low so there there should be some sort of mechanism whereby you know we should make leverage cheaper we dont need to make capital any cheaper theres already so much of it thats why stock markets keep on going up a thousand points and twelve days so we dont need any cheaper like a lower burden on copple at this point we need a bit of a lower burden on labor because labor you know that the top tax rate is still in that well into the thirty percent for seven years weve been preaching to labor that think Solutions Offered by government are insufficient you must accumulate crypto currency we started preaching this when pinpoint was three all market was less than fifty million its now five hundred million six hundred billion got to eight hundred billion the way to fight against government if you want to build capital is via crypto weve been saying this for six years six now years and weve been absolutely right and i meeting people here at the miami north american miami big point conference you can walk up to me and say thank you for a times reported twenty thirteen twenty seven twenty twelve youve made the industry youve made me millions of dollars im fighting against the banks im fighting against governmental look. I do want to caution you know. It is quite. The prices are much higher on all these cryptocurrency and they were back in twenty thirteen bitcoin was down in the hundreds it was how the oil could fund as a government is slow on their feet to move in for wages and the way to fight back is via crypto of course you have to ensure with your hand up which you have your own sovereignty dont rely on the government to provide sovereignty for you they provide stuff for corporations not labor thats the message for seven years if youve been standing and waiting for better prices waiting for better prices youre going to have to wait for the rest of your life youll never be a sovereign individual. You know you yesterday in the last episode you interviewed harry you. Storm tokyo so there are other ways to enter the Crypto Markets by the way you dont have to do your savings take your cast and convert it to crypto and then. You know suffer the anxiety of the ups and downs of the Crypto Market because it could be very volatile for a while so with like the like system token there are loads of platforms now where you can start to earn some crypto thats where primarily all my early crypto was urns so it does i think make it a little bit less emotional i know for a fact that i feel more emotionally distraught over it when i convert. To crypto and then prices go down the stuff i earn from my time exceeds my time my labor for that for the crypto less store and so get is when it also there are still mining opportunities so many all kinds you can still mine all kinds of home mining and you can do that all so many videos and so many resources if youre not participating in crypto at this point because you want to be poor. Are you well ok i mean there are different ways of thinking of it not just poor but like not wealth or sort of sovereignty poor. And freedom corps like you know we have to get a little bit outside of the whole you know crypto bro sort of notion of like we all have lamborghinis of that and theres a serious matter near zero percent and its great for corporations and its great for those politicians that are benefiting from that its also great for those wanting to get into the crypto space because the cost of capital has never been cheaper and the cost of being in this space is never going to get any cheaper but anyway thats it for this first half from the north american making a conference here in miami city of the second half a lot more coming your way. To. Join me everything on the elec so im unsure when ill be speaking to guest of the world of politics sports business im show business ill see you then. You know one of the things we saw in this entire Campaign Leading up to trump selection was very little discussion of the facts nobody said look you know you may be the smartest person in the world in your area of treating people in the Real Estate Market but when it comes to actually understand economics you have no background i think any you know good economists could possibly have won that election. Depressed paid and attention to that. Welcome back to the kaiser report im max kaiser here at the north america because a conference in miami time now to turn to marco centaury marco welcome thank you very much well i dont were not just for a number of years now youre a veteran in this thing youre a lawyer yet would you believe in your lawyers that theres theres a couple of us ok so now youve specialized in bitcoins and tokens and tripped out for years you were the very first one the very first people that youre a veteran in this space and now were entering a new period called initial coin offerings and its always been a challenge in this space theres always been a regulatory question mark from the very very beginning and fall michael tell us a little bit about what the challenges are now for i. C. L. If as you see it. You know now the regulator is as he said right this is what everybodys talking about when token sales before its open so it was just because it was Money Services if things got really exotic it was like coin or ether and people were talking about a totally different area of the law and the Money Laundering k. Y. See now people are talking about securities laws commodity derivatives lost the things that you know people who have been in Financial Services for years sort of second hand to the. Second nature but her isnt technologists this is brand new so the issues are am i selling a security if i make some if i slip up and make some kind of a statement or im not able to you know plan the entire house of the scope and say oh the minute you can securities fraud brand new questions that technologists really have to answer right now i started my career on wall street and its a highly regulated environment and i know that at the beginning of the crypto space a big space the big question was is it a commodity is it a currency and no one ever figured that out definitively i think they regulators are kind of coming down and calling it more. More of a commodity that you see f. T. C. Is looking at it more in those terms but now at the size you know space they clearly comes under the belly wake of the s. T. C. And so are these i c. E. O. s of ramping up their legal talent and are they prepared for this or is it a mismatch and secondarily the the f. C. C. Seems like theyre a bit accommodating somewhat that theyre letting some of the growth happen organically is that whats your perception there as you see it has been in this space longer than most people realize i remember back in two thousand and thirteen sitting down with us you see before there were token sales before the rice ios just just talking through sony now with us you see talking through the basic issues of this is the watching this is how you can see what do you direct so is this is the difference between a private key and a network address theyve been in this space for a long time quietly learning which is what regulators ought to do they havent they havent demolished the industry the chairman has actually come out and said look some of these things are just not securities theyre things were not going to regulate made it very clear that if therion for example with the r. C. Twenty tokens as a real use case that of the network on which a lot of these token cells you know lets talk how we test how we test what is it lies in part barco its the test for what tokens are securities that also happens to be the test for what parts of orange groves are securities so its really odd fit people say oh its really a square peg in a round hole or maybe its a testament to sound principles based regulation but the reality is this is a test from a sudden its going to test in the seventys when someone tried to sell plots of land in orange grove or really not the plants themselves just the profit from the box as you see some thats a security how he said no no no or intros as he she won that argument and they came up with a test of the Supreme Court headsets for how it was investment of money in a common enterprise but the expectation. Profit primarily from the efforts of others to take the test and you would talk and theyre all different right and there seem to be more variations and then allows in the how we test in other words theres so many hybrids if you will in the space and on the legal front is that part of what youre doing is trying to sort through a lot of the minutia in the various to come up like you know how does this fall and then absolutely its a facts and circumstances based test which is sort of a legal way of saying its a smell test although when i see it but at least you know it gives flexibility to regulators you need flexibility in the world of changing facts. And accommodates all the weird stuff you see happening like well i wont name any particular sales but theres just this Great Variety where in the midst of dislike came green and blue blossoming of all these different token models models for raising money bubbles for moving money around bottles for representing assets that are not money as tokens so that they can be traded as freely as you can trade a big one right and where do you see in all this because you know thats to granddaddy of it all and its got the biggest market cap still and on the regulatory front there Different Countries are taking different approaches some countries are trying to position themselves as the quote unquote so its a little bit going they want to be because they want to try to bring that business inhouse some cou