Circle CEO Says, Stablecoin Move from Value Phase to Utility Phase.
Circle’s CEO, Jeremy Allaire, said the world has finally transitioned from the speculative value phase of crypto to the utility phase, speaking at Converge22 in San Francisco. Comparing the Internet to its early days.
“It is an architecture that the internet was founded on many decades ago — this idea of open networks, of open standards and protocols, of connecting entities, devices and people in interoperable ways, of a globally intertwined world of decentralized systems,” he said.
The Existence of On-chain Mechanism
In accordance with Allaire, there are currently mechanisms on-chain designed to ensure a safe, trustworthy interaction between crypto users.
A number of technological advances are needed, such as zero-knowledge proofs, to prove identities and credentials while ensuring the privacy of individuals.
“People need to be able to interact with apps, and services, and content and transactions without knowing that they’re using crypto. I don’t know I’m using SMTP [Simple Mail Transfer Protocol] when I send an email with Gmail — I do know that, but a lot of people don’t know that, and that’s okay,” said Allaire.
Introducing a Simple Version of the Technology to Make Mass Crypto Adoption
A very simplified version of the underlying technology would be required for mass crypto adoption to happen, according to Allaire.
“People don’t need to know what chain they’re on or even what stablecoin they’re using. They just need to know that it’s frictionless interaction with data and money,” he said.
According to Allaire, blockchain is entering the next “broadband” phase, referencing early internet dial-up eras.
As we did with the internet, “we need safe, scalable, and energy-efficient public blockchains,” he said.
The recent move by Ethereum to proof-of-stake and the emergence of layer-2 and layer-1 scaling models are just a few examples of new developments.
He stated that the move is “necessary for this [blockchain] to become something that is used by everyday society for mission-critical applications.”