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Canada to Require Pension Funds to Report Cryptocurrency Investments

Coindesk | Aoyon Ashraf | Mar 28, 2023

Unsplash Jievani Weerasinghe crypto - Canada to Require Pension Funds to Report Cryptocurrency Investments

Image: Unsplash/Jievani Weerasinghe

Canada's national government said federally regulated pension funds in the country will need to disclose their crypto assets exposure to the Office of the Superintendent of Financial Institutions (OSFI), as Ottawa tightens its regulatory oversight on the volatile industry.

  • "To help protect Canadians’ retirements, Budget 2023 announces that the government will require federally regulated pension funds to disclose their crypto-asset exposures to OSFI," the government said in the new 2023 budget plan.
    • The federal government will also work with provinces and territories to discuss crypto-asset or related activities disclosures by the country's largest pension plans, which would ensure Canadians are aware of their pension plan’s potential exposure to crypto assets, the budget plan added.
    • The move comes after several high-profile bankruptcies such as the FTX exchange and the recent collapse of crypto-friendly U.S. lenders Silvergate Bank and Signature Bank exposed the extreme volatility investors face in the industry.

See:  Digital Asset Experts School Senate Banking Committee Members on Silvergate Debacle

  • Some of the pension funds in the country have already felt the burn of investing in crypto.
    • Last year, Quebec-based pension fund Caisse de Depot et Placement du Quebec said that it wrote off a US$150 million bet on Celsius Network.
    • Ontario Teachers' Pension Plan, one of Canada's largest pension funds with nearly US$250 billion in assets under management (AUM), also last year said it would write down the entirety of its US$95 million investment in FTX.

Continue to the full article --> here


NCFA Jan 2018 resize - Canada to Require Pension Funds to Report Cryptocurrency InvestmentsThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

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Planning to Invest in Blockchain Games? You Have 10 reasons to Do So

March 29, 2023

Gaming and games blockchain - Planning to Invest in Blockchain Games? You Have 10 reasons to Do So

Blockchain technology has been around for over a decade now and has the potential to revolutionize a wide variety of industries.

However, using blockchain technology in the gaming industry is a relatively new concept for many people.

Blockchain games use blockchain technology in their design and development, making them unique and potentially more valuable than traditional games. Top-notch blockchain technology gives gamers a whole new experience with some amazing features.

So, if you’re looking for a profitable investment option, take a look at these ten reasons why you should definitely invest in blockchain games.

1. Ownership and Asset Monetization

One of the most significant advantages of blockchain games is that they allow players to own and monetize their in-game assets.

In traditional games, players invest time and money to acquire in-game assets but have no ownership over them.

With blockchain games, players can own their in-game assets, which are recorded on the blockchain and become the player's property. This means players can sell, trade, or even rent out their in-game assets for profit, just like real-life properties.

2. Secured Environment

Another reason to invest money in some of the best blockchain games is that they provide the most security for your assets. In fact, blockchain has the most secure background, allowing you to keep all the money you earn from playing the game.

Thanks to the wonders of blockchain technology, you can withdraw your deposits at any time, even if the game is no longer around.

3. Decentralized System

A huge advantage of blockchain games is that they operate on a decentralized system, which is great news for investors. Traditional games are centralized, meaning all game data is stored on a central server owned and controlled by the game developer.

The centralized system in traditional AAA games often becomes vulnerable to hacking, cheating, and other forms of fraud.

Blockchain games, on the other hand, operate on a decentralized system, which is far better than traditional systems. In this new system, the game data is stored on a distributed network of nodes, making it much more secure and transparent.

4. Non-Fungible Tokens (NFTs)

The use of non-fungible tokens (NFTs) in various game assets has been one of the key features of blockchain games. The tokens used in blockchain games are unique and cannot be replicated, which makes them valuable and secure simultaneously.

Furthermore, NFTs are stored on the blockchain, so it's nearly impossible to delete or alter them under any circumstances. The effective use of NFTs is also a good reason to invest in blockchain gaming startups.

5. Transparency and Fairness

Blockchain games offer transparency and fairness to players, which is quite rare compared to traditional games. In traditional AAA games, the developers usually determine the outcome of the game, and players have to trust that the game is fair.

On the contrary, blockchain game development is based on smart contracts that are visible to everyone on the blockchain.

This allows the game to be 100% fair and transparent for all kinds of players who play these games. This also means that players can trust the game's outcome as cheating becomes virtually impossible.

6. Global Audience

Since blockchain games are run on a distributed network of computers, they can be accessed from anywhere in the world.

As a result, blockchain games are getting global exposure and attracting gamers from different countries.  This also creates a variety of built-in marketplaces where players can buy, sell, and trade in-game assets on a global scale.

7. Having a strong community

Because of the built-in marketplaces, players can easily reach out to one another and form a strong community for themselves.

This also gives a platform to dedicated players who are passionate about the game and its economy. These players can be a great asset to the blockchain gaming communities and can help to expand the industry even further.

8. New Revenue Streams

As players can truly own the assets they acquire in blockchain games, they get the opportunity to create new revenue streams.

Players can earn money in the gaming world by either being really good at the game or earning tokens by completing specific tasks that are assigned to them within the game. This means both players and developers can get financial support by trading digital assets in built-in marketplaces.

On top of it, new revenue streams from blockchain games also attract investors and open the door to endless possibilities.

9. Potential for Growth

The gaming industry is one of the largest and fastest-growing industries in the world, with billions of players worldwide. Although blockchain games are relatively new to the business, their growth potential is significantly higher than in other sectors.

According to a report by MarketsandMarkets, the blockchain gaming market is projected to grow from $56 million in 2020 to $1.6 billion by 2026. Blockchain games have a compound annual growth rate (CAGR) of 57.2%, which can potentially give significant returns in the future.

10. Early Adoption Advantage

Investing in blockchain games right now will allow you to get an early adoption advantage which can turn out to be crucial in the future. It’s because blockchain games are still a relatively new concept, and few investors know their potential.

Investing in blockchain games in the early stages could give you a head start in this emerging market. As the industry grows, you might be able to yield a significant return from your blockchain game investment.

Conclusion

Blockchain games offer you a unique and exciting investment opportunity if you’re interested in the gaming industry. As blockchain technology continues to evolve, blockchain games have the potential to be one of the most profitable sectors in the digital world.


NCFA Jan 2018 resize - Planning to Invest in Blockchain Games? You Have 10 reasons to Do SoThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

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Why You Should Start Your Forex Trading Journey With a Broker

March 29, 2023

Unsplash Marga Santoso trading - Why You Should Start Your Forex Trading Journey With a Broker

Image: Unsplash/Marga Santoso

Forex trading involves changing one currency into another. While some people undertake this action purely for tourism reasons, others make a living out of it. There can be many benefits associated with forex trading, such as low costs, easy short-term sales, and an abundance of currency options. However, forex investment can be risky, and you might like to align yourself with a forex trading broker for some of the following reasons.

You’re New to Forex Trading

We all have to start somewhere in the investment world, but the complexities surrounding forex methodology and forex markets can make it easy for beginners to make costly mistakes. Many beginner forex traders entrust their money with forex brokers to make sound investment decisions on their behalf. This can be a worthwhile decision when you lack the skills to undertake trading yourself but understand the many benefits of getting involved.

You Don’t Have Time

Forex trading takes a considerable amount of time and effort. While the investment itself can take just a few seconds, you also have to study and analyze forex market data to ensure you’re making wise investment decisions. Hiring a forex broker can sometimes be in your best interest if you’re busy with work and family life. They already understand how the forex market works, and their full-time job is watching it evolve and change. They can put your money to work when life commitments mean you don’t have time to.

You Want Sign-Up Bonuses

Many forex brokers want to make themselves stand out from their competition, as thousands of forex brokers are likely fighting for new customers. As a result, they sometimes offer incentives to bring new customers on board, such as free credit or extra money for each deposit you make.

After ensuring the forex brokers you’re considering working with are legitimate, you can compare their bonus offerings and decide which sounds most appealing. If you still can’t decide which broker to choose based on their bonus offerings, ask them what else makes them stand out from their competition.

You Want to Improve Your Chances of Making Money

Forex trading is often considered a high-risk investment, which means you won’t always make money. Sometimes, you’ll lose it. However, you might be less likely to lose money if you enlist the services of a professional. They understand the intricacies of the market and can keep an eye on your investment hour-by-hour. While they take a commission from profits earned, that can be a far better option than losing money because you’re an inexperienced trader.

They Have Technology You Don’t

While the average forex trader can visit a website and enjoy a live feed of currency exchange rates, they don’t typically have the same technology as most brokers. The best forex trading brokers use various software to analyze currencies, predict future trends, and calculate risks based on their own strategies. This technology helps them to make sound trading decisions to potentially boost your profit potential.

See:  Trading and the Power of Expectations (including your own)

There’s no reason why you can’t start your forex trading journey on your own and spend time learning how to make the best investment decisions. However, you might enjoy some of these benefits above by hiring a forex broker to lead the way. 


NCFA Jan 2018 resize - Why You Should Start Your Forex Trading Journey With a BrokerThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

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Court Tests the Liability of DAOs and Their Makers: What You Need to Know

Coindesk | Sam Reynolds | Mar 29, 2023

Unsplash Tingey Injury Law Firm - Court Tests the Liability of DAOs and Their Makers: What You Need to Know

Image: Unsplash

Decentralized autonomous organizations (DAO) are beginning to look like general partnerships in the eyes of U.S. courts.

  • A U.S. court in California has ruled in favor of plaintiffs who alleged that the bZx protocol, and governance token-holding members of its decentralized autonomous organization (DAO), were negligent and liable for losses resulting from a hack that drained its treasury.
    • The putative class action against bZx, its founders, software developers Leveragebox LLC and Hashed Labs LLC was initiated in July 2022.
    • Drained wallets:  The case stems from the $55 million hack of decentralized finance (DeFi) lender bZx in 2021, which resulted because a developer downloaded an email attachment containing malware. Not only did the attacker drain the wallet of the BZRX token, but other digital assets like ether. This is on top of other hacks the protocol suffered in 2020, one of which was for $8 million, while two others that occurred were for $630,000 and $350,000.

See:  Sushi DAO Head Chef Served With SEC Subpoena

  • While the court dismissed some of the claims, such as claims that founders Tom Bean and Kyle Kistner are personally liable for breaching fiduciary duty, the fact that it allowed the negligence claims to proceed has created a landmark ruling in the relatively murky topic of the liability of governance token holders in DAOs.
    • The decision implies that DAO members might be held liable for negligence, potentially undermining the already challenged decentralized nature of DAOs, while providing a defense for founders who have seen their creations accused of wrongdoing.
  • Does a DAO have duty of care and fiduciary liability?  Before the court was the question of whether all persons holding BZRX tokens are part of a general partnership.
    • The court found that the bZx protocol meets the definition of a general partnership because of how the token holders can both suggest and vote on governance proposals, including hiring and dispersing treasury assets to token holders in the same way that a corporation authorizes dividends.
      • The involvement that token holders have in the business via participation in governance protocols also means they have a duty of care, the court found, including that the protocol was properly maintained and had sufficient security measures.

See:  Ooki vs CFTC: Emerging Questions on Legal and Tax Status of DAOs

  • Are DAO founders personally liable?  The court found that complaints against developers Leveragebox LLC and Hashed Labs LLC failed to provide the necessary elements to establish claims of negligence, breach of fiduciary duty, and joint and several liability.
    • "Because Plaintiffs have failed to allege that the Moving Defendants had actual authority to control the bZx DAO, the Court finds that Plaintiffs have failed to allege joint and several liability,” the docket reads.

Continue to the full article --> here


NCFA Jan 2018 resize - Court Tests the Liability of DAOs and Their Makers: What You Need to KnowThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

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Peer-to-Peer Finance and the Empowerment of Marginalized Communities

Guest Post | March 28, 2023

Financial inclusion and civil rights - Peer-to-Peer Finance and the Empowerment of Marginalized Communities

Introduction

Since the 1970s, global finance has seen significant changes that have impacted millions of people. The development of mobile phones and other technologies has enabled new ways to make and manage payments, invest money, and take out loans. But not everyone has been able to benefit from these technological advances. In particular, marginalized communities often lack access to financial services that can help improve their lives.

The importance of financial systems

The importance of financial systems is often overlooked in the development community. While there have been many innovations in technology and business models, we've failed to keep up with the rapid pace of change in the financial sector. As a result, millions of people still lack access to essential banking products and services, and even more so if you look at those living on less than $2 per day.

What's most alarming is that this trend isn't new: it has been going on for decades. In fact, according to data from the World Bank Group's Global Financial Development Database (GDFD), only 1% of all adults worldwide had access to formal savings accounts as recently as 1990 - a number which rose by only 3 percentage points over two decades later!

But why does this matter? Well for starters: economic growth depends on investment; investment depends upon adequate capital. Adequate capital comes from savings...and so forth down your basic supply chain until eventually, we arrive at our desired outcome: poverty reduction through sustainable growth.

There are many reasons why this is the case, but perhaps one of the most important is that people who lack access to basic banking services are less likely to save money. Integrating these individuals into financial systems through microfinance institutions (MFIs) is a proven way to improve their livelihoods. In fact, it's been shown that when someone has access to the credit they can invest in education or small businesses which helps them escape poverty. But there are also other benefits, such as improved health and nutrition outcomes for children.

In conclusion, financial systems play a crucial role in reducing poverty and promoting sustainable economic growth. While progress has been made, we still have a long way to go, especially when it comes to reaching the most vulnerable populations. By integrating them into the formal financial sector through microfinance institutions and other innovative models, we can help lift them out of poverty and improve their overall well-being. These efforts are not only essential for achieving our development goals but also align with the values of social justice and equity, which have been at the core of many social movements throughout history, including the civil rights movement. Therefore, it's important to continue advocating for policies and programs that promote financial inclusion and empower underserved communities. Scholars and students can further explore the impact of financial inclusion on marginalized populations by writing a civil rights movement paper, examining the role of economic empowerment in advancing social justice.

Marginalized communities

One of the most common examples of marginalized communities is that of women. Women have been historically excluded from the formal financial sector, due to their gender and other factors such as age or race. The reasons behind this exclusion are many: they're often disadvantaged by having less education than men and being unable to work outside the home; they face higher rates of domestic violence; they may be unable to travel alone or perform tasks requiring physical strength (such as carrying heavy loads) because it could put their safety at risk. They might not have access to traditional banking systems in their country because there isn't one nearby where they live, or even if there is one nearby, it may be too expensive for them since these services tend not only cost more than what poorer people can afford but also require documentation like proof-of-residence documents which can be difficult for undocumented refugees who've fled war zones etcetera...

It's easy to see how many women in the world are excluded from financial services. And it's even harder to imagine the impact this has on their lives. Without access to banking services, they can't save money or invest in assets like houses and businesses. This is especially true for women living in developing countries where labor laws often exclude them from formal employment opportunities.

Social and cultural barriers to financial inclusion

There are a number of social and cultural barriers to financial inclusion, including:

  • Lack of trust in financial institutions and services. Many people feel that banks are only out to make money at their expense, and they're right! Banks are businesses that need to make profits by charging fees on their customers' accounts. As such, they often don't care about your needs as much as they do their own bottom line, and this is especially true when it comes to marginalized communities where there isn't much profit potential (e.g., lower-income families).
  • Lack of financial literacy among marginalized groups: People who live below the poverty line may not have gone through any formal schooling themselves. If so, then chances are good that no one ever taught them how money works or why saving for the future is important, or even how credit cards work! These individuals often don't know what questions ask when looking into different types of loans/credit options either because no one ever explained them before OR because this information isn't readily available online unless you know exactly what terms mean beforehand which makes things more difficult still since most people aren't going through any kind formal education system until later stages in life so...

How peer-to-peer lending can help marginalized communities access finance

Peer-to-peer lending can be used to help marginalized communities access finance and build their credit history. In addition, peer-to-peer lending can also be used to help marginalized communities build their savings.

See:  So what is financial exclusion in the era of Open Finance?

For example, let's say that you're a member of a community that doesn't have access to traditional banks or credit unions because there aren't any nearby branches or ATMs. In this case, peer-to-peer lenders may be willing to provide you with an alternative way for them to get loans--and as long as you have good intentions behind your borrowing (i.e., no intention of defaulting), then these platforms will work with individuals like yourself who might otherwise be denied by traditional financial institutions due solely based on where they live rather than anything else!

Improving access to finance is a crucial development objective in many countries.

Improving access to finance is a crucial development objective in many countries. Financial inclusion is the ability of people to access and use financial services, and it's been recognized as one of the key tools for reducing poverty, and inequality, and improving the lives of women.

It's also important that we understand what drives people who don't have bank accounts or credit cards, people who fall outside traditional models of banking - to seek out alternative forms of financing.

Conclusion

We hope this blog post has given you a better understanding of the importance of peer-to-peer finance and its potential role in improving access to finance for marginalized communities. As we have seen, there are many barriers to financial inclusion that need to be addressed through innovative solutions like P2P lending.


NCFA Jan 2018 resize - Peer-to-Peer Finance and the Empowerment of Marginalized CommunitiesThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

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FFCON23: MARCH 28, WEEK 3 AGENDA: ReFi, Sustainability, Purpose

Team FFCON23 | March 27, 2023

FFCON23 Week 3 ReFi Sustainability Purpose - FFCON23:  MARCH 28, WEEK 3 AGENDA:  ReFi, Sustainability, Purpose

Want to get insider access to some of the most innovative advances happening in #fintech. Grab an OPEN ACCESS ticket and enjoy a live virtual event at  #FFCON23 with access to all on-demand content!  On behalf of NCFA and our valued partners we look forward to seeing you there.   More information can be found:  https://fintechandfunding.com/

 

 


NCFA Jan 2018 resize - FFCON23:  MARCH 28, WEEK 3 AGENDA:  ReFi, Sustainability, PurposeThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

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Epic’s CEO Tim Sweeney Illuminates How the Metaverse Will Actually Function

The Verge | Andrew Webster | March 23, 2023

Epic Games Fortnite - Epic's CEO Tim Sweeney Illuminates How the Metaverse Will Actually Function

Image: Epic Games/Fortnite

Epic’s CEO, alongside executive VP Saxs Persson, talks about the future of virtual worlds and what needs to happen for the metaverse to really come to fruition.

  • Epic’s outspoken CEO, Tim Sweeney, took some time to talk about one of his favorite topics, the metaverse, which is something the company is putting a lot of money into. Right after the event, I had the chance to sit down with Sweeney, as well as Epic’s executive VP Saxs Persson, to talk about just what the heck a metaverse is and how it might work in practice.

See:  What CEOs Should Know About the Metaverse

  • Can you give me a clear definition of what the metaverse is?  Tim Sweeney: It’s just an online social entertainment experience in a real-time 3D setting. You and your friends, going around having fun together, in a 3D world.
    • What’s happening here is somewhat a phenomenon of scale. We now have enough people with access to powerful devices so that you can actually go out and do this with all of your friends. It’s no longer something for elite computer nerds.
  • That makes you convinced that this is an inevitability? Other companies are pushing hard into this space, and it’s not always working
    • TS: It’s a much more enjoyable and personal and empathetic medium than today’s social networks, for example. Of all the ways you can engage with your friends, it’s awesome to be together in person, it’s awesome to be together in Fortnite, either playing battle royale or going to a concert. It’s not awesome being on Facebook with everyone griping about politics and showing how awesome they are through photos. It’s very impersonal and asynchronous. And you lose the empathy when people aren’t interacting naturally.
    • Saxs Persson: I think it’s meaningful choice and meaningful actions. Why is it inevitable? Because we’re not fighting a trend. We’re trying to invent something. We’re just trying to broaden something that we already see today in Fortnite. That’s all we’re doing really is doubling down on the things that we know are successful today. That’s what Tim is saying. If you play with your friends, if you have more choice, you stay longer, play more, you enjoy your time more. The formula is pretty simple.

See:  10 Most Innovative Companies in 2023: Blockchain, Crypto, Metaverse, Web3

  • The open ecosystem stuff sounds great, but practically how does that work? How do you convince Roblox or the equivalent that this should be an open system where you work together?
    • TS: One step at a time. One thing that’s going on rapidly is all of the game engines are integrating these open standard file formats. These are getting us closer and closer to having content interoperability at a basic level.
    • Let’s use the web analogy because the web has open standards, and it works. So look at all of the pieces we have and what’s missing. We have some of the file formats, but the web has HTML for describing the entire page, and there’s not an all-encompassing standard like that for 3D worlds.
    • That’s something that needs to be developed over time. The web has a standard for scripting behavior called Javascript. Fortnite has Verse, Roblox has Luau, and they are candidates that could be weighed as open standards for the future. And every engine has its own networking protocol for servers to talk to each other and to clients. Those are all proprietary, but those could be standardized over time.

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