Jeremy Allaire believes that offer immense opportunities outside the cryptocurrency industry. The Circle CEO says a set of standards, like those that make near-instant data transfer on the internet possible, is needed for digital representations of fiat value to truly transform global commerce.
Allaire’s company started working on its own stablecoin project in early 2017. As he explains in a recent interview with Messari CEO Ryan Selkis, the company made the decision to move away from Bitcoin in 2016. Allaire says that the Bitcoin-as-a-store-of-value narrative was gaining traction at a time when Circle wanted to focus on tokenized finance.
Circle CEO @jerallaire on the next phase for stablecoins amidst increasing interest from governments & central banks
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— Messari (@MessariCrypto) January 23, 2020
Working with Coinbase, Circle launched USDC at the end of 2018 as an open standard. This latter point, for Allaire, is crucial if USDC, or any , is to transform finance.
Allaire sees stablecoins as much more than a tool to help questionable cryptocurrency exchanges avoid regulatory scrutiny. He also sees them as more than just a means to enable decentralized finance. These “bootstrapped” use cases are just a “step along the way.”
The next chapter in the stablecoin story is adoption of payments and settlements more generally. For this to be successful, standards need to emerge, just like TCP/IP was needed for the internet to proliferate.
To illustrate the concept of standards further, Allaire uses the emergence of Visa. The payment network was actually formed as a result of numerous networks uniting under a single standard to enable the scaling of electronic retail payments. This is the kind of cooperation and interoperability, the CEO says, is crucial for stablecoins to disrupt global commerce.
Allaire thinks that stablecoins will be even more revolutionary than electronic payments were last century. Programmable money, lacking the of assets like Bitcoin, makes all kinds of new financial relationships possible.
He also welcomes regulatory scrutiny in the stablecoin sector, something which he acknowledges Facebook’s Libra proposals as generating a lot of. On global regulators and lawmakers expressing objections to the social network company’s financial ambitions last summer.
Although clearly not part of the Circle business model anymore, Allaire doesn’t seem to have totally fallen out of love with Bitcoin. He comments that having decentralized, permissionless value transfer networks is important and that Bitcoin is the best example we have of that.
3 Big Blockchain Firms Working Together On A DeFi Product That Pays Passive Income
In a special announcement made at the Unitize conference on July 6, Cosmos, Polkadot, and Terra revealed a new DeFi savings product called Anchor that aims to offer dependable interest rates on stablecoins deposits. The companies involved in the creation of Anchor plan to launch it across their respective blockchains at the end of Q3 this year and scale across to other PoS blockchains in the future. Do Kwon, founder and CEO of Terra, explained in a prepared statement:
“While DeFi staples such as Maker and Compound have been revolutionary in creating fully decentralized crypto money markets, the volatility of their interest rates makes them unsuitable to be used as a household savings product. DeFi mass adoption needs the creation of a fully decentralized savings account that offers dependable APR.”
Anchor’s smart contracts receive stablecoin deposits and use a portion of them to acquire staking positions on compatible Proof of Stake blockchains. Users will receive their passive income from these staking rewards. The initial governance for this platform will come from the Interchain Asset Association (IAA), a newly formed organization that sees Zaki Manian of Cosmos, Jack Platts of the Web3 Foundation, and Do Kwon of Terraform Labs collectively steering the ship.
Telegram Is Set To Shut Down The TON Testnet By August 2020
Although Telegram has terminated its blockchain project, Telegram Open Network (TON), in May 2020, the TON test net has been apparently running for almost one year. In a July 6 update, the official TON development group on Telegram announced that it would be discontinuing its support of the test network for TON. Remaining TON validators will be turned off by August 1. In the post, the TON official recommended network participants save all their relevant data and stop their testing processes. Despite the testnet being set to shut down less than a month from now, network participants will still be able to continue their experimentation after the testnet is terminated. In order to do that, users can install their own testnet validators, described in greater detail in three different how-to documents containing guidelines for the Full Node, the Validator, and Test Grams.
Telegram launched the TON testnet for explorer and node software on Sept. 6, 2019. In anticipation of its scheduled Oct. 31 launch last year, the company released an alpha version of an iOS wallet to work with its native token, the Gram. But Telegram’s TON plans were never fully realized, as the United States Securities and Exchange Commission suddenly deemed Telegram’s $1.7 billion ICO illegal in mid-October. After a long-running legal battle with U.S. regulators, Telegram agreed to shut down its TON project, as well as return $1.2 billion to investors in line with a court-approved final settlement. As officially announced by Telegram CEO Pavel Durov, the firm had already reimbursed more than $1.2 billion by June 25.
Brock Pierce Enters The 2020 US Presidential Race
Brock Pierce, entrepreneur, crypto venture capitalist, and child star, has announced his USA Presidential run on Twitter July 5. His tweet stated: “
“I, Brock Pierce, am running for President of the United States of America.”
Pierce’s campaign site states that he is a pioneer digital currency and has raised more than $5 billion for the companies he has founded. Pierce is the Chairman of the Bitcoin Foundation and co-founder of EOS Alliance, Block.one, Blockchain Capital, Tether, and Mastercoin (first ICO). His website, sparse on details, does not say if he is seeking a nomination in a political party or if he is running as an Independent.