Stablecoins are, in essence, the first large-scale experiment in narrow banking. Every USDC or USDT is (or supposed to be) fully backed by reserves – cash or short-term Treasuries – sitting safely off-chain. This architecture is what makes these tokens stable, but it also sterilizes capital: every dollar deposited creates no new credit, no new economic activity. In contrast, the...
Stablecoins, led by Tether (USDT) and USDC, now total $180 billion, with new entrants like yield-bearing stablecoins, PayPal's PYUSD, Agora and M0 trying to disrupt the market.
While USDT and USDC dominate, blockchain’s true potential could lead to disruptive changes in the future of money.
The post presents an analysis of Yield Guild Games, an NFT fund which invests mainly in crypto-gaming assets.
Last year, I wrote a post defining the most important component of a banking stack. This post is the complement to that one, and i describes the core elements of a modern lending stack, adding some new DeFi pieces to the architecture.