...you are a Cardano native asset set, maybe you're using Marlowe to do your settlement and manage all your financial logic. Okay, so all of your ownership stuff is managed there, and maybe you connect your off-chain and on-chain stuff with Plutus. Now, what happens when, all of a sudden, you say, "Hey, you know, I want to add a regulation layer to that dapp?" Okay, well, right now, that would probably be...

...asset, make it a Cardano native asset, write all your financial logic in a domain-specific language like Marlowe, do some connecting tissue and Plutus and all your off-chain stuff. What I'd like to see happen is an ecosystem of service chains form and those chains basically provide different views or contexts as different capabilities and every single one of them has different logic behind it, excuse.

It's easier to draw it, it slows me down a little bit, and also it allows us to have no ambiguity, which is very important. Right now, we have the IO repos, and they're going to move over to the Intersect repos. At Input Output, we have this concept of tribes, and each tribe is connected to a different concept like smart contracts, for example, core technology. Smart Contracts covers things like Plutus, Marlowe, extended UTXO, core technology covers core node, network, consensus, we have tribes like identities, sidechains and so forth.

That's the point of good governance, that you can get things done but you get wise good things done on a regular basis. What's also super cool about this structure is that this structure can act as a primary secondary concern. What I mean by that is that you have Cardano as your top-level project but then you have these other projects like Hydra for example, Open Prism, Plutus as the language because that's different, Marlowe.

And you got that. That's what you have. That's Cardano. When you're a Cardano user, that's what you have, alongside Hydra, alongside Marlowe, alongside all these other things, plus the best community, the cryptocurrency space. I don't know guys, you know.

Also, we need to be smarter in the way that we argue for certain things. For example, with NFTs, if we want to win there, we have to be the best at giving people the ability to build very complex, imaginative, and unique experiences. 00:09:20 So for example, Marlowe, we're exploring right now combining with ChatGPT and other things so you can use AI-assisted DSL to make NFTs. How about that? It's pretty interesting. You have to be really good at innovating in areas that are going to become long-term persistent pains for people like the intellectual property and governance of NFTs, which is super hard.

...the ledger needs to work for Shelley, covering all the features that Shelley's going to have, like multi-asset accounting. So, when you issue assets, how can you track multiple assets at the same time? There are also extensions to UTXO models so that we can actually implement Plutus and Marlowe into the system, amongst a litany of other little features like, for example, the notion of preservation of value where...

Jared, the principal architect of these specifications, will be updating the ledgers based on the UTXO spec throughout this month and next. This update will reflect the reality that we're deviating from the normal UTXO to what's called extended UTXO. This revision is a requirement for Plutus and Marlowe to work in our system. Hence, we kind of have this beautiful team.

The Extended UTXO model has an advantage; the approach we've taken turns out to be a rather mild extension compared to delegation. Thus, it can be added quickly into Ledger post-Shelley, and it doesn't reach the same scale or complexity. Most of the scale and complexity are within the language design. Truly, it's a four-layer model consisting of Marlowe, Plutus, Haskell.

The implementations are just wonderful due to recent work, so we chose that model. Basically, with the Plutus side, the way Generation 1 dapp development will work is that you'll write your Marlowe and Plutus code for all of the logic that will go on the blockchain. Then, you'll write something like Haskell for the logic that's going to be on the client side, or you could write that...

So, the question is, will security tokens be a sidechain or will they be incumbent within the system. The nature of Plutus and Marlowe makes our system uniquely well suited for people to build an asset that will conform to many of the characteristics that just mentioned.

And one of the things we wanted to do before we got there was first have a really deep understanding of how expressive our UTXO model was going to be. So, we needed to create Plutus and Marlowe for that, second, we need to have a really good understanding of how we wanted to handle both delegation and voting. These are the ingredients that go into address complexity.

So, we have Haskell, Plutus, Marlowe. It runs the client server and blockchain and there's lots of things we can do within that model, to make those things easy.

I just returned from my long trip all around the world. I final trip was in Scotland; I was in Edinburgh for Plutus Fest and that was a great degree of fun. I had a chance to finally sit down with the Plutus and Marlowe team.

We've had a huge amount of successes here with the Ouroboros program. I think this is one of the crown jewels. There's really two major crown jewels of Cardano's portfolio, the other being Plutus and Marlowe, and our work with Yella and K and Ouroboros is the other crown jewel.

So we're going to be doing the workshop for IOHK and some of our third-party partners come early January in Berlin specifically about the delegation specification and to finalize that specification, much like Plutus Fest kind of forced us to finalize the specification for Plutus 1.0 and Marlowe 1.0, we'll be doing the exact same with the with the delegation specification, which will also be made publicly available, just like the wallet backend spec was made publicly available.

The delegation work and the rewriting of the entire code base. The smart contract stuff was done by a scholar team and done by a language designing team. The language designing team was led by Philip Wadler and Wilshire Vardy ?????, and they're based at University of Edinburgh, and they had their own group, their own resources and they were following a two-year track and that Plutus track and Marlowe track have now come to a research end, and we've been moving into actual implementation. So none of the Shelley delays from the Ouroboros side and the delegation side cascaded into the language side...

And that's that's mostly meant for the PHD's and people who care about that stuff and then the other track is going to be for developers. People who are interested in writing Plutus smart contracts and people interested in this extended UTXO model, as well as how does Pascal, Plutus, and Marlowe, How do they all fit together and what does that development experience look like.

Once It's there it. Make a lot of sense to go and try to push a DEX into the system because people are going to be able to issue their own assets. We'll have sidechain support and we'll have smart contract support via politics and Marlowe at the base layer.

Plutus fest is coming up in December, and we're going for the first time ever show off Plutus and Marlowe and let people write smart contracts and have a great chance to understand this new innovation that we brought to the space our sidechains research it's really just incredible.

In the distant future, maybe 5 or 10 years, we could even talk about security tokens, where co-ops of farms get together and they tokenize their output and actually issue assets put those assets through a series of complex financial transactions on the Cardano system as native assets, and then people trade them with domain specific contracts executed with via Marlowe.

Building manual transactions and offline transactions and extending that API for other parameters like delegation and so forth. We can do that without being on the normal release cycle for for Cardano. So those are going to be near term goals. That we're working towards me and meantime we have three parallel teams working full time on all of the Shelley related stuff, some on delegation, some on Ouroboros Genesis. Other dimensions of that stuff and some on the new Ledger rules You know some on how we're going to extend the UTXO set to include Plutus and Marlowe. It's a humongous amount of work.

The next versions will be on Ouroboros BFT and decoupling of components in preparation for Shelley. And then Shelley testnet next. And then after that, it's basically Shelley. Decentralization. Then very short leader after tackle on the side chains, extended UTXO and yeah, Plutus, Marlowe and then K-EVM and IELE. So lot of stuff is coming soon and long long overdo.

Can you explain the difference between Plutus, Marlowe and IELE and the K-EVM? So, you can break smart contracts and financial transactions into kind of two worlds. There is the world of I am sending some notion of value between one actor or group of actors to a another actor or to another group of actors.

Bitcoin only covers a small sliver of it, and that's one of the original biggest frustrations that I had and others had with Bitcoin was It only covered a sliver of this beautiful, rich financial ecosystem. So what we decided to do is say, all right, why don't we build an accounting ledger that allows you to represent the types of assets and those types of transactions in the most efficient and parallelizable way possible? 00:20:29 So, you can get these to scale long-term performance, but then you can also do everything that Wall Street is used to doing. So, we created a domain-specific language called Marlowe. We also created a general-purpose programming language that was functional that Marlowe embeds in called Plutus, and we really rigorously thought about the UTXO accounting model. We also came up with a method to issue assets within that model that's interoperable with the Ethereum-style account.

What's really exciting is Plutus and Marlowe, cause that's a totally new thing and we think people are going to really love that. And our hope is to pull that into SL itself if possible, so that you have the absolute best Ledger to issue assets on if that's your desire.