Jeffrey Manner, general partner at Weave VC, explained the stablecoin movement during the latest installment of Valhalla Private Capital’s Ask An Expert series, which discussed Web3, the metaverse and its impacts on investors and startups alike.
Speaking with
Mark Mitchell, Edmonton Chapter President at Valhalla Private Capital,
Aly Madhavji, managing director at
Blockchain Founders Fund;
Dhawal Shah, co-founder of
Frontier; Jeffrey hailed crypto and web3 as “a foundational technology that will talk to every business in one way or another in the next decade”.
Described as “cryptocurrencies without the volatility” by
Ethereum, Stablecoin aims to offer price stability through an external reference, such as the US dollar or the price of a commodity, for example gold.
Propelled by its use case for traders, Jeff explained: “If you have an account with an average centralized exchange, and you trade to US dollars but those USD are held with the exchange, there's a lack of security there.
So as a big trader,” he continued, “you'd actually want to pull your stable coins off into your own wallet, and that's how the proliferation of the original stable coin started.”
As a result of the stablecoin movement in tandem with
DeFi, Jeffrey claims those who use the cryptocurrency “might be able to earn a yield far above what the traditional finance market is able to offer today”.
‘Ask An Expert’ contributor
Aly Madhavji, also explained the
perks and pitfalls of NFTs during the event.
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