MSV Podcast

Guests:

• Justin Colón, Head of Community at Ancient8
• Alper Çimik, CMO of Coin Muhendisi
• Abhinav Pathak, Research Partner at Woodstock Fund

 
Three Key Takeaways from Our Guests:

1. Emerging markets are embracing innovation, given their growing economic nature.

We started the conversation by asking our guests why cryptocurrency is significant in their local communities. In Vietnam, it's embraced due to being an emerging market with a sizable unbanked population. Additionally, the tech-savvy environment and a robust community of blockchain developers contribute to its popularity. India ranks second in crypto adoption due to its fast-growing economy, mobile-first approach, affordable internet, and widespread digital payment adoption across generations and income classes. Integrating NFTs is expected to engage further and monetize Indian users. In Turkey, the thriving crypto community drives numerous events and adoption efforts, prioritizing community engagement.

2. Regulation will affect people positively, but there is still a long way to go.

Considering the current rules and regulations, we wanted to hear our guests' thoughts on what's good and bad about them. All our guests agreed that regulations in their areas are moving positively. However, there are still many different rules in different countries and some unclear areas that governments need to sort out so that blockchain can be used for various purposes. The speakers also think it's important for countries to work together globally to ensure blockchain is open for everyone, not just limited to one region.

3. Education and making products relatable will help global blockchain adoption.

To close the roundtable, we inquired about the main barriers to Web3 adoption in our guests' respective countries. All our guests agreed that education and user familiarity with the systems they engage with are key factors. They emphasized the importance of ensuring that the products are relatable to users through localization, encompassing all languages, and ensuring accessibility. Additionally, they highlighted the need for government support for both startups and users to enhance the appeal of blockchain. Another factor currently impacting adoption is the bear market, with the hope that we may witness increased adoption during a bull market.

The Cross-Chain Revolution

• Guest: Simon Harman, CEO & Co-Founder of Chainflip
• Host: Szabolcs Gergely, Podcast & YouTube Host at Morningstar Ventures

Top 3 Takeaways from Our Guest

1. Chainflip is a fully native cross-chain DEX.

At the start of the interview, Simon explained that Chainflip functions as a swap solution rather than a bridge. It adopts a similar approach to centralized exchanges, with its distinctive feature being the involvement of 150 independent validators distributed globally within the vault. This design choice ensures a high degree of decentralization for the swap process. The architecture of Chainflip also addresses the issue of elevated gas fees on the Ethereum blockchain. While it doesn't directly decrease these fees, users of Chainflip are exempt from paying gas fees for the actual swap. Their only financial commitment lies in the transaction fee incurred when transferring funds from their wallet to Chainflip's vault in preparation for the swap. In essence, Chainflip goes beyond a mere bridge and can be better described as a "fully native cross-chain DEX."


2. User-friendliness and simplified onboarding will accelerate DEX onboarding.

We asked Simon how decentralized exchanges (DEX) can get more market share. He shared that DEXs are becoming more user-friendly lately, while CEXs are becoming a bigger hassle to set up with increased KYC and verification processes. Nevertheless, he doesn’t think DEXs will completely take over, as buying crypto with Fiat is only possible using a CEX. On the other hand, crypto-to-crypto swaps will predominantly be processed on DEXs. Simon gives the example of Uniswap, which improves its interface and simplifies the user experience for new members. Efforts, as such,  might accelerate the rate at which people switch from CEX to DEX in the future.


3. Comprehensive market scans help Chainflip select prime chains for their ecosystem.

Finally, Simon explained that the team is constantly scanning the market. This helps them choose which new chains to add to their ecosystem. The main goal is to ensure they can save money for users. Implementing a chain on Chainflips ecosystem only makes sense if they can offer the users a way to save on gas fees or better prices. For example, implementing Phantom wouldn’t make sense as the on-chain liquidity is not big enough. However, they believe Chainflip will significantly impact the Solana network with prices and gas fees; therefore, that is where most of the focus goes.

Guests:

• Ian Estrada, Co-founder of XLD Finance
• Michael Eerhart, CPO at Skynet Trading
• Ahmed Serghini, Co-founder of Hatom Protocol

Three Key Takeaways from Our Guests:

1. There is still a lack of tooling in the DeFi space.

We kicked off the spaces by asking our guests about the state of DeFi in the industry. The guests shared that the user experience offered by DeFi apps still needs improvement, which many projects are trying to improve daily. Another trend that the speakers have been seeing is that liquidity has been sparse in decentralized exchange ever since the FTX scandal. Furthermore, DeFi did see a surge in use after the FTX scandal. However, that has subsided almost 1 year after the event, and we see more people returning to centralized exchanges as if nothing ever happened. Finally, the lack of tooling in the DeFi space is another hurdle to overcome, and once that happens, we will see more DeFi adoption from institutions. 

2. Projects need to react to a fast-changing regulatory environment.

When asked about regulation, our guests agreed it could impact the crypto industry in two ways – at the project level and user acquisition and retention level. One way regulators can essentially “choke” DeFi is by restricting the onramp and offramp processes, which would hinder the transition from fiat to crypto. If this were to happen, then there might not be any real-world value to the assets classifying them as computer money. 
Projects must react to regulation, and our guests say this could happen in two ways. However, there might also be other people in the DeFi space who view regulation as an opportunity, as it can bring legitimacy, consumer protection, and more visibility to their projects. 

3. AI can potentially enhance the user experience of DeFi protocols.

At the end of the session, an audience member asked our guests about the integration of AI in DeFi. All guests agree that AI has the potential to enhance user experience and hopefully make it easier for users to understand how some of these rather “complicated” protocols and products work. AI agents could help with trades and offer educational content on storing crypto, trading, and using various functions properly. 

First God Game On The Blockchain

• Guest: Frank Cheng, Co-founder & CEO of Apeiron
• Host: Szabolcs Gergely, Podcast & YouTube Host at Morningstar Ventures

Top 3 Takeaways from Our Guest

1. Aperion’s mission is to grow its gameplay and create a franchise continuously.

The interview started by diving deeper into understanding the most important aspects of building a God-Game on the blockchain. Frank explained that he started building a game because, as a gamer, he felt that the games on the market were unfinished – they were missing something. Therefore, he created a game that is not only a game but a franchise. He elaborates on cross-chain interoperability between games and emphasizes that he wants Apeiron players to experience playing a game where they can explore different worlds and not just finish a specific journey to move on to the next level.


 2. Aperion is focusing on attracting more mobile gamers.

When asked about the difference between Web2 and Web3 gaming communities, Frank explained that Apeiron’s current major focus is attracting more mobile gamers. Especially those who show an interest in crypto. Frank believes Aperion has an advantage over Web2 games as competition is too high, whereas Aperion is still the first god-gam built on the blockchain. Comparatively, Web 2 gamers will need more convincing to start playing blockchain-based games, as PC gamers are the most loyal community members and require exceptional games to switch over to a new one. 

3. “The Metaverse will someday allow players to travel between virtual countries”.

The metaverse is an important topic within gaming. Frank shared his opinion on what the future of the metaverse will hold and thinks that even though the metaverse is not “popular” as it was one year ago, it will still be seen in gaming. He also thinks there will be only one metaverse, and games will act as countries within that metaverse, allowing players to travel to different “virtual countries” via a passport. This way players can visit and stay for a gamer as long as they want. Frank also expanded on how helpful generative AI could be in realizing this. He believes with AI, even if the games are very different in graphics, in-game assets could be adapted to the game the player wants to play without any major update of the assets somebody holds in their wallet. 

Guests:

• Ran Neuner, Founder of Crypto Banter
• Austin King, Co-founder of Omni Network
• Alexei Kulevets, Co-founder of Walken

Top 3 Key Takeaways:

1. “We are in a raging bull market.”

To kick off the conversation, we asked our guests where we were in the market; there was some discussion between the three if we were in a bear or bull market right now. Ran states that we are in a “raging” bull market, with Bitcoin up 85% compared to last year and seeing the highest level of on-chain transactions. Though Alexei shared how difficult it was starting Walken during a bear market, he agrees we still see signs of a bull market, despite not having 100x altcoin increases. Austin speaks from a builders perspective, stressing that one of the failures people make is demoralization and demotivation during a bear market. Building a team culture who are excited to build despite market conditions is essential. But he says there are many opportunities in the last six months and to come in the upcoming half year. Ran finishes the conversation by stating that his bull market differs from the others as it’s led by institutional inventions, like BlackRock, instead of retail investors. 

2. People are starting to understand that crypto is the neutral financial rail that fuels our global economy.

The conversation then discusses how the previous bear market demoralized the community. Ran told the audience that he left crypto for two months in 2021 but re-entered when DeFi became a top narrative. Austin says that when comparing the previous 2018 bear market, people didn’t know if crypto would make it. Still, in this cycle, you have people saying that tools like Bitcoin have the potential to revolutionize the financial system – but the fundamental difference is that the world understands that crypto is inevitable. That is why the US government is looking to clamp down on crypto through regulatory action. On the other hand, other global governments, like in Europe and Asia, are starting to understand and seize the opportunity that crypto will be the neutral financial rail that the global economy runs on. 

3. With the increase of rules and regulations, the days of 100x might be over.

Going deeper into regulation, the three guests mentioned that people don’t want anarchy and chaos; at the end of the day, people in the crypto space want to build valuable systems meaning they are very open-minded about moving their businesses to countries that have a better understanding of crypto and the potential it has in the future. Additionally, Alexei mentioned that one of the reasons the SEC is cracking down on crypto right now proves that the industry is maturing and could become a threat to other fiat currencies, like the dollar. He goes on to say that regions like the UAE are embracing innovation and will be an interesting place for the future of crypto to evolve. 

Web3 Adoption In Africa

• Guest: James Zhang, CEO & Co-Founder of Jambo Technology
• Host: Szabolcs Gergely, Podcast & YouTube Host at Morningstar Ventures

Top 3 Key Takeaways 

1. Jambo sees product market fit in Africa’s fast-growing and adopting demographic.

James introduced the project to kick off the conversation, saying it fundamentally combines two major components: hardware and software. The team is preparing to launch Jambo Color, a $99 Android smartphone to be released across Africa. James continues to say they see an opportunity given by the continent's young demographics and fast adoption of smartphones. Jambo Color will come with preinstalled Jambo software, which consists of tutorials about crypto and Web3 and earning opportunities for its users. The team is hoping this will jump-start the adoption of crypto and Web3 in Africa.


2. Web3 is a great opportunity for improving lifestyle.

James explained that the unemployment rate in Africa is above 60%, with a population of average age below 35 years old. Coupled with high inflation across many countries, most of the population earns a stable high-value income. For this, Web3 can offer alternative income and an opportunity for many people to change their financial future and gain an improved lifestyle.


3. Africa will adopt crypto faster than any other continent.

Referencing a personal anecdote, James said his friends from Congo use crypto more frequently than his friends from New York – and this is due to the primary purpose of crypto, namely its permissionless nature, and interoperability. Crypto is essentially the bank of the unbanked, and its fast and easy cross-border payment system allows people without bank accounts to still pay for their everyday needs. James finished the interview by stating that no single coin will bring solutions to all personal needs; however, the technology itself is very much needed, which is why Africa will adopt crypto faster than any other continent.

Guests:

• Nick Rose, Founder of Ethernity Chain
• Vijay, Founder of bitsCrunch
• Jason Hu, Co-Founder of  YoloYolo

Top 3 Key Takeaways :

1. The underlying value of NFTs will depend on different use cases and applications that the community accepts and encourages.

 The discussion started with the guests going deeper into the potential of brand value in the blockchain and how being a first mover in the space can provide a significant advantage. They highlighted the importance of bringing established brands with real-world value, such as Lionel Messi or Disney, onto the blockchain, as it can enhance their value and reach. The underlying value of NFTs depended on the community's acceptance and encouragement of different use cases and applications. While the market sentiment and various factors can influence the trading price of NFTs, all three guests emphasized that there is still much progress to be made in allowing communities to unlock and expand the utilities of NFTs, creating opportunities for users, members, and holders.


2. Given the current stigma around it, NFTs will become an underlying infrastructure that people will interact with and shift gears.

During the spaces, we raised the question of whether there is a stigma associated with NFTs, to which the guests acknowledged the existence of resistance and stigma surrounding the term. They mentioned that prominent brands like Roblox have started using the term "digital collectibles" instead of NFTs, aiming to distance themselves from the negative reputation of unsuccessful projects in the space. However, they emphasized the importance of considering that the NFT market has only experienced one bull run so far, and even within that limited timeframe, numerous innovations have emerged and are still being developed. The guests emphasized that we are currently standing at the precipice of what an NFT truly represents, and it is still in its early stages. As a result, they believe that the concept of NFTs is bound to evolve and change significantly in the future.


3. Art and gaming will continue to be disrupted by NFTs, but the sky is the limit in the future.

At the end of the conversation, we asked the guests what industry will be most disrupted by NFTs. Without a doubt, gaming came up first, as it is the perfect fit for mass adoption and inclusion, and we can already see use cases happening in real time. For example, Polygon recently made an announcement about its partnership with EA Sports. This collaboration is expected to progress and lead to the introduction of their offerings. In the short term, the disruption in the art sector will persist, as it was the original domain of NFTs, allowing for easy integration of digital art onto the blockchain. Our guests say that artists will witness ongoing innovation within the art sector, and beyond that, the possibilities for NFTs are limitless. As technology evolves, new avenues and opportunities are expected to emerge.

Building AAA Games On The Blockchain

• Guest: Vlad Korolev, CEO & Co-Founder of Gunzilla Games
• Host: Szabolcs Gergely, Podcast & YouTube Host at Morningstar Ventures

Top 3 Key Takeaways:

1. Building a strong team is the key to building a strong game

Vlad started the interview with a brief introduction, explaining that gaming is as much a job as it is a hobby for him. Throughout his career, he founded and co-founded important Web2 games like Warface, which is also the game he likes to play on the weekends. When creating a game, the most important factor for him is the “fun – this was first and foremost when building Off The Grid. He goes on to say that the Gunzilla Games team he put together all come with their unique skill sets, ultimately the key to making the game as high quality as possible. For example, his colleagues (a studio with 200+ employees) come with experience from games like Assassins Creed and game studios like Rockstar Games and Ubisoft.


2. Gunzilla Games’ Off the Grid is a game for pure enjoyment

Off the Grid, the AAA game by Gunzilla Games is not a “traditional” Web3 game. Vlad explained that the game being on the blockchain is not a marketing stunt or an attempt to onboard people to crypto – instead, Off the Grid is on the blockchain to give full control of the assets to the gamers. With the game, he wants to eliminate the centralization of assets. For example, in Web2, if a player’s account is suspended, he will lose all his assets; however, in Gunzilla’s Off The Grid Game, everything can be stored on a hardware wallet, meaning that one's in-game assets are safe. Nevertheless, it is the player’s choice to create a wallet or not, as they can also play the game without being involved in the Web3 features. The game is a game first for pure enjoyment, and if somebody wants to use the perks of the blockchain to improve, buy and sell in-game assets, the option is always there to link a wallet to the account.


3. Gunzilla Games is building its Layer 1 Subnet to improve the efficiency of the game

At the end of the interview, Vlad stated that most of the game's requirements are lower than what a blockchain can offer. Gunzilla Games is building its Layer 1 subnet on Avalanche. Vlad is convinced that the efficiency of the blockchain is more than enough to operate the game smoothly without overloading the potential capacity at hand therefore, it is a no-brainer to give the assets to the gamers and let them decide how they want to transact in-game items, setting scarcity by supply and demand, therefore the price as well.

Guests:

• BlockMia, CMO of Mystiko Network
• Joshua Tobkin, Co-founder of Supra Oracles
• Aniket Jindal, Co-founder, Co-founder of Biconomy

 Top 3 Key Takeaways:

1. We need simple web3 applications focused on learning experience design to educate new users

Joshua kicked off the Roundtable by giving an example of what they are doing with their gamified learn-to-earn program. The program experienced significant success during its beta run in January, attracting around 8-10k participants and gaining widespread popularity. This program provides economic incentives for learning, emphasizing the importance of being thoughtful in the learning process.

Moving forward, he says we must prioritize learning experience design, particularly in light of advancements such as Chatgpt and AI. Learning experience design involves meeting individuals at their current level of understanding and providing them with the necessary information in a manner that enables rapid comprehension and knowledge acquisition. Mia continued the conversation by stating that a notable strategy for onboarding users is Gamefi, an intriguing approach to educating more individuals. To engage new users in the web3 industry, addressing why blockchain matters to them in their real lives is vital. Therefore, integrating user applications and bringing blockchain infrastructure into daily routines is essential for effective education.

Finally, Aniket says applications must prioritize ease of use for all users, regardless of their familiarity with cryptocurrency. User-facing applications should be designed to be accessible to individuals who have no prior knowledge of crypto, even if they operate within the web3 environment.

2. The future will not solely be characterized by openness without privacy; rather, both coexist harmoniously

Our discussion moved to privacy, where Mia and Joshua provided insights into the future and the transition toward an open DeFi world. Mia elaborated on what Mystiko is doing, emphasizing how their protocol ensures privacy for general users while enabling the identification and exclusion of malicious users. Using ZK technology, Mystiko encrypts every transaction at the smart contract level, ensuring that only users can view and own their respective transactions.

Although Mystiko can collaborate with regulators by providing necessary proofs and transaction details, the decentralized nature of the protocol ensures the transactions remain private. The aim is to strike a balance between regulatory requirements and safeguarding the privacy of legitimate users, only providing privacy for positive purposes and not facilitating illegal activities.

Joshua elaborates on the topic and states – as we venture into an open DeFi world, other communities will likely adopt KYC procedures and implement anti-money laundering measures, a development anticipated shortly. However, the fundamental principle of eliminating intermediaries in transactions will persist.

3. More growth in the space 

We asked our guests what space is still underdeveloped in web3. Aniket starts the conversation by stating that Biconomy has initiated a program to facilitate collaboration with more projects and assist them in their development endeavors. He says that a key aspect that requires significant attention is key management, particularly in implementing seed phrases and enhancing the safety of onboarding processes. 

Mia agrees and says ensuring a strong UI and UX while providing developers with simplified tools and methods is equally crucial. The web3 space still has substantial room for growth and numerous areas for i

How ZK Is Shaping Blockchain

• Guest: Vince Yang, Founder of ZKLink
• Host: Szabolcs Gergely, Podcast & YouTube Host at Morningstar Ventures

Top 3 Key Takeaways:

1. ZK Proof has two significant components; Validator and Prover

The conversation started with the topic of security. ZK Proof is looked at as an extra layer that is supposed to keep our privacy and, in the meantime, make underlying actions easier. When we asked Vince about the safety of ZK, he stated that ZK is a bulletproof layer that is mathematically proven to have high security. He explains that ZK Proof has two significant components: 

1. Validator: This is based on the information of the proof that validates the existence of what is claimed to be there
2. Prover: Bringing proof of the underlying tech. 

2. DeFi needs to become more intuitive and comprehensive for day-to-day users

Vince explained that the primary focus of zKlink is the blockchain. Specifically, the segment which needs to upgrade most is DeFi. Since DeFi is unintuitive and complicated for most day-to-day users, many tend to go to CEX solutions to complete their transactions, this needs to change. zKLink builds a layer on top of DeFi applications that offers CEX UI and UE for users who can transact and trade on DeFi using their wallets without giving up the ownership of their assets. 

3. Make sure to understand what happens to your assets when you place them on a platform

Toward the end of the conversation, we asked Vince how zKlink proves the security and the ownership of the assets. Vince answered, "When you place your assets on a platform, do you always know what is happening in the background?” The answer, of course, is that you don’t know. Therefore the team organized a massive campaign called Dunkirk, where they simulated a system shut-down, where every user had to try and withdraw their assets from the platform to prove that with this infrastructure, even if there is a system failure, everyone's assets are safe and can be withdrawn to their wallets, unlike on any CEX at this moment.