Dialogue with French President Macron: I want to ensure that European players master the technological components related to Web3 and the metaverse

Source: The Big Whale

Compiled by: Hu Tao, Chain Catcher

Introduction: Today, Macron won the French presidential election and officially began his second term as President of France. Last Friday, Macron was interviewed by the local crypto media The Big Whale, discussing his views on the Web and the crypto industry. His main points included: I want to ensure that European players master the technological components related to Web3 and the metaverse to avoid dependence on American or Chinese giants; I do not believe in a self-regulating financial sector, as it is neither sustainable nor democratic; I hope our major cultural institutions will formulate NFT policies, such as promoting, disseminating, and protecting digital twins or their physical collections.

Here is the full translation of the interview by Chain Catcher:

The Big Whale: People are increasingly talking about Web3. What does it represent for you? Is it an opportunity?

Macron: It is a demand and an opportunity that cannot be missed. France and Europe have the chance to lead the next generation of the web, and France has the assets and talents in this regard. In a world where technological development precedes economic dominance, it is crucial to maintain our work and independence. But it is also a social challenge: the acceleration of technology has already become a significant centrifugal force in our society between those who master digital technologies, artificial intelligence, quantum computing, and blockchain code, and many who are excluded. We must ensure that technology continues to serve society and progress.

The Big Whale: When you arrived at the Élysée in 2017, you said you wanted France to become a "start-up nation": a country capable of ensuring the emergence of future leaders in technology. After five years as president, what is your assessment?

Macron: By the end of 2017, France had 3 unicorns. Now there are 26. Investment in French start-ups has quintupled in five years, and 2022 is expected to set another record. But for me, the most important thing is that we are witnessing a wonderful change in atmosphere. Today, capital flows are creating hundreds of thousands of jobs across the country, but most importantly, our best talents are staying in France, showcasing themselves while optimistically pushing our country into the future. This is crucial.

Not only from an economic perspective, but also because we need more innovation to address the major social challenges of our time: ecological transition, aging population, food challenges, etc. All of this is the result of the efforts of entrepreneurs and their employees, as well as the systematic support policies implemented by the government: financing, talent attraction, regulatory environment, key technology investments… General discourse supporting innovation is essential, as is the work done to cover fiber optics and mobile fields. France and Europe's technological sovereignty is gradually being established, but we still have a lot of work to do.

The Big Whale: If you are re-elected, what is your vision for French start-ups and French-speaking technology? What are your priorities? The number of unicorns, the level of investment?

Macron: We must go further. The past five years have helped us restart and roll the game, but it is still not enough. The global economy and our daily usage are still almost entirely dominated by Anglo-Saxon or Chinese companies. That is why I have set a goal of 100 new French unicorns and 10 European giants by 2030.

We need our companies to be more and stronger and to develop in key areas such as quantum computing, biotechnology, and future agriculture and energy. To achieve this, we must intensify our efforts. It starts with talent.

The digital age is an extremely profound transformation. We must work on training and provide our society and economy with the tools to master it. If the French trust me, we will expand coding education and digital applications starting from the fifth grade and retrain 400,000 to 500,000 developers and computer experts over the next five years. We must benefit from this effort and incorporate social mixing and diversity into the core of the ecosystem.

The Big Whale: Do you think France and Europe are doing enough in terms of technological investment? Do you regret that new unicorns like Ledger or Sorare are funded by large American funds?

Macron: In this regard, things are also moving forward, but we must go further. In recent years, we have focused on business growth. We must continue, but also ensure that more start-ups are created and funded each year. That is why we are working in two directions.

First, we must encourage early financing of innovative companies by enhancing the attractiveness of our tax system. To this end, we must draw inspiration from the successful systems of our neighboring countries, such as the UK's SEIS. Then, we must continue to build the venture capital industry in France and Europe—both by launching a second "Tibi" plan with institutional investors and ensuring that commitments to scale are implemented in Europe as soon as possible, which will lead to the emergence of strong European investment funds.

Having so much foreign investment in our ecosystem is an advantage in global competition, as long as the headquarters of start-ups and technology remain in France, I am very much in favor, but a strong ecosystem also means a strong European venture capital industry. Additionally, we will continue to implement tax measures that favor innovation, such as the proven CIR, CII, and JEI.

The Big Whale: France has many engineers, with several leaders in fields like data, artificial intelligence, video games, or blockchain. But compared to the giants in the US and China, their scale is still relatively small. Is there a risk of missing out on a new wave of technology again, like we did 20 years ago with the internet?

Macron: We are currently re-engaging in the global technology game, and if we continue to pursue the right policies, we can win. The reason is simple: we have the best talents. Our duty is to create an environment that encourages them to stay in Europe. That is what is happening: the reforms being implemented, the pandemic, and the search for a better balance in quality of life are our continent's main assets.

Proof of this is that in 2021, the number of unicorns created in Europe surpassed that of China for the first time. I also want to mention the recently passed Digital Markets Act during my presidency: I believe it is the most important economic regulatory text since the early 20th century. We are reopening the game and allowing new players to emerge by fighting monopolies. In short, there is still a long way to go, but if we make the right efforts, I am very optimistic.

The Big Whale: You mentioned the "European metaverse." What do you mean by that?

Macron: As we know, Web3 and the metaverse can represent a new phase of the web. My wish is for Europe to play a central role in this area, rather than the current situation. I want to ensure that European players master the technological components related to Web3 and the metaverse to avoid dependence on American or Chinese giants. We already have a breeding ground for players, whether in virtual and augmented reality, in digital twins, or in mastering blockchain technology… Our idea is to support other alternative graphic engines, capture technologies, or tackle future challenges, such as creating immersive universes that can reproduce the physical characteristics of our world. There are many questions, and we do not know all the answers, but I hope we cultivate a strategic approach to these issues, especially an ecosystem.

Building a European metaverse also means producing, promoting, and mastering our cultural and creative content. The metaverse has enormous potential in culture and leisure due to its applications in music, concerts, art exhibitions, etc. Without this revolution, we cannot consider our cultural policy. I hope our major cultural institutions will formulate NFT policies, such as promoting, disseminating, and protecting digital twins or their physical collections. Finally, through its language, heritage, cities, villages, and monuments, France must also exist in the virtual world. I hope we can think about what a dematerialized French history museum might look like in this universe: how great a project it would be to think about the digital historiography of our collective history.

The Big Whale: Let's return to Web3 and Crypto. Europe may be a leader in this area, but the European Parliament has just passed very strict regulations. Meanwhile, some countries are adopting Bitcoin as legal tender, although this is not common. When research shows that the French and Europeans are becoming increasingly interested in these new currencies, is there not a risk of missing out on a major revolution again?

Macron: In this regard, I believe clear principles are needed. First, in terms of future technologies that go far beyond financial innovation, mastering technology is a challenge that Europe faces, and we must be prepared for it. Therefore, we already have leading players in France: Ledger and Sorare. We are emerging more people like them and attracting the best to our territory.

Moreover, I see a very strong interest among people in these technologies and the services they provide—especially among the younger generation—whose application potential is enormous. But I do not believe in a self-regulating financial sector. This is neither sustainable nor democratic. It is up to public authorities to determine the appropriate conditions to allow the sector to develop confidently while encouraging innovation.

To this end, we need a pragmatic approach: what does technology bring, what are the real issues (not the fanciful ones), and how do we respond? This is in line with the principles adopted in the Convention Law, which established the first balanced rules in this field (taxation, accounting, regulatory framework for service providers, etc.). We must now ensure consistency of rules on European territory to create a unified market.

In this context, I support rapid progress on the MiCA regulation based on a balanced approach promoted in the Council and inspired by the French framework. France will closely monitor that this legislation does not hinder innovation and remains as neutral as possible in terms of technology. What is happening should also prompt us to act more quickly on the topic of the digital euro.

The Big Whale: Another cultural revolution that public authorities seem to often distance themselves from involves video games. You recently addressed this issue.

Macron: While it would be wrong to say that I am a very active video game player, I am part of a generation that grew up alongside video games, and I want to measure what they represent culturally, especially for our young people. This is a French asset in today's world: we are one of the world's recognized great video game countries, known for the richness of its art, the quality of its training, and the vitality of its industry. We are fortunate to have a strong French video game industry (Ubisoft, Quantic Dream, Voodoo…).

I also will not forget the extent to which video games have contributed to mastering advanced technologies. This will again be true for Web3. Video games are an important part of France's cultural soft power and a significant component of our country's image worldwide. But they also stem from our ability to project and express our understanding of society. That is why I also hope we take a strategic approach to continue creating the right conditions to promote France as a video game nation.

We have adjusted the video game tax credit: we want to make it permanent and continue to invest in financing and training to position and attract production in our country. Finally, I have not forgotten about e-sports, another area of excellence for France, with teams like Team Vitality or Karmine Corp. In this regard, we have a historic opportunity: the 2024 Olympics. We have a responsibility to fully leverage the connection between these two worlds by hosting the greatest e-sports events in the world: CS:GO Majors, League of Legends World Championship, and Dota 2 International. If the French trust me, we will get to work on this as soon as I am elected. This is also where France's influence lies.

The Big Whale: These digital revolutions can be exciting but also exclusive. How do you respond to those who portray you as an apostle of a "start-up nation" and technological "solutions"?

Macron: I believe the term "start-up nation" is rooted in a local, diverse, and open approach to all talents. I want to coordinate start-ups and industry through the France 2030 investment plan. Innovation and risk-taking resonate with our country's long history. France achieved some of the greatest technological and industrial feats at the end of the 19th century and the beginning of the 20th century, thanks to a kind of "start-up nation" at that time. Trains, airplanes, chemicals, vaccines, and so on…

France's innovation, audacity, and genius have shaped our greatness and success. However, you are right; we must consider all those who feel excluded from this movement today. For this reason, I have strongly emphasized the fight against the digital divide during my five-year term. Never before have there been so many efforts to deploy fiber optics or reduce white areas. Nearly 2,000 French service agencies have opened, and 4,000 digital advisors support our citizens daily in mastering digital tools. If I am elected, I will continue to use these positions and double their numbers: opposing transformation is absurd, but we have a responsibility to accompany and train all citizens to master them.