<\/p>\n
Rest assured, crypto faithful. A massive, dramatic shift, from today\u2019s old-fashioned financial system to blockchain technology will happen in the US, Anatoly Yakovenko says.\u00a0<\/p>\n
Just as soon as Congress passes a stablecoin bill.<\/p>\n
\u201cThere is just a massive regulatory roadblock right now,\u201d he says. Speaking on the 1000X podcast (Spotify<\/a>\/Apple<\/a>), the Solana co-founder says, \u201cEveryone knows this technology is better. It\u2019s easier. All the APIs are easier.\u201d\u00a0<\/p>\n Yakovenko contrasts the merchant experience with crypto-based stablecoin technology versus services like Stripe and PayPal. Setting up in the old system feels like it takes \u201ca pound of flesh and a firstborn to deal with the mess,\u201d he says.<\/p>\n The merchant experience \u201csucks\u201d compared to the ease of setting up with crypto technology, according to Yakovenko. \u201cI just generate an address with a private key and I\u2019m good to go,\u201d he says.<\/p>\n Yakovenko points to the \u201cbizarre\u201d nature of the credit card system as an example. \u201cWhen I do a credit card transaction, it\u2019s equivalent to me sharing my private key with the merchant.\u201d<\/p>\n \u201cThen there\u2019s this massive process to figure out if\u2026somebody stole the private key in the process and did an invalid transaction,\u201d he laughs. \u201cYou step back for a second and you\u2019re like, What? Who built this?\u201d<\/p>\n Read more:<\/strong> Stablecoins are \u2018a better product\u2019 than local currencies in emerging economies, Carrica says<\/a><\/p>\n \u201cIf and when we get a stablecoin bill,\u201d he says, \u201cand we can start actually using these technologies, I think it will explode.\u201d<\/p>\n \u201cYour bank accounts will take USDC<\/a> deposits across a bunch of networks, just like exchanges do. People will forget about wires and all this other stuff.\u201d<\/p>\n Yakovenko argues that the Solana<\/a> network is best suited for stablecoin usage, primarily because \u201cit\u2019s cheaper and faster\u201d than blockchains like Ethereum<\/a>.\u00a0<\/p>\n \u201cI don\u2019t see Congress being super supportive of something that increases financial costs for the majority of Americans,\u201d he says. \u201cSomething in Solana definitely will decrease it.\u201d<\/p>\n As an example, Yakovenko mentions that a multi-route trade on Jupiter<\/a>, a swapping aggregator on Solana, costs about $0.05. \u201cIt can touch 50 different markets and find you the most liquidity across a bunch of markets for $0.05 without incurring any additional fees.\u201d<\/p>\n Yakovenko mentions Visa as an example of a major financial company that is dabbling in optimization via crypto technology<\/a>. For any blockchain solution to work at a satisfactory level, credit card checkout times have to be fast \u2014 completed in under two and a half seconds \u2014 he says.<\/p>\n Cost is a major factor for Visa as well, he adds. Being a \u201cprofit-driven company,\u201d Yakovenko suggests that Visa would never choose to implement blockchain services that cause an increase in fees. \u201cThere\u2019s just no way that would fly.\u201d\u00a0<\/p>\n \u201cEveryone should intuitively agree that finance is moving numbers around computers,\u201d he says. \u201cIt\u2019s a regressive tax on the entire economy. It should be as cheap as possible. Like, that\u2019s a win for the entire world if we reduce those costs.\u201d\u00a0<\/p>\n Still, Yakovenko says it\u2019s going to be tough for crypto technology to \u201cgo mainstream\u201d in America until \u201csome actual stablecoin legislation<\/a>\u201d is in place. But it\u2019s coming, he says.<\/p>\n \u201cThey\u2019ll do everything else before they do the right thing. But eventually, they\u2019ll do the right thing.\u201d<\/p>\n Don\u2019t miss the next big story \u2013 join our\u00a0free daily newsletter<\/a>.<\/strong><\/p>\n\u2018There\u2019s just no way that would fly\u2019<\/h2>\n
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