Kory Hoang on why he started Stably stablecoin

0:21all what is Staley and why is an important asset in the blockchain industry yeah definitely Staley is a startup we're backed by venture capital or from Seattle our team is made up of former Amazon and Microsoft engineers and we built what's called a stable coin a US dollar back stable coin and what that means is essentially we're building the 21st century version of what a check or a

0:48money order or cash a check would be and we're building it using blockchain technology as well as you know cryptocurrency technology we issue a token on a blockchain to represent a claim to a dollar one to one that's sitting in our reserve at a regulated financial institution so people can deposit a dollar into the trust account and we can issue them a stable coin in

1:16return or they can bring a stable coin to us and we can return the dollar to reserve back to them and this is useful because you know it's acts very similarly to money orders to act cash your checks which you know there are a lot of use cases around but the fact that this table coin is built on a blockchain mean that it could be transferred almost anywhere in the world

1:40the system is borderless so it's application for international or global remittance and payments is significantly higher than traditional methods interesting so savely is a regulated and transparent stable coin you say now what are the current problems in the industry that stalee is specifically solving yeah the largest problem that we have in the

2:05industry right now is obviously we have tether which is a dollar back stable coin that is by an unregulated entity and they're actually not very transparent at all about the reserved backing up there they're stable coin so I think for every tether out there and they have publicly admitted that there might only be 70 or 75% of reserved to back it up so

2:31obviously you know feather is still the largest one around but we think there's a lot of risk built into it and it's only a matter of time before that stable coin collapse and of course when it does collapse it will leave a lot of buoy in the space that Ella other players like myself could come in to capture market share with interesting and many people have heard of tether but

2:55there are also a lot of other companies and other exchanges that are bringing on other stable coins are you considered to be competing with these other stable coins and what is the difference between stable II and these other coins besides tether absolutely so stable II is a Fiat back stable coin we're backed by US dollar so we're not back by cryptocurrency or gold or even some

3:20stable coins out there our unpack they're regulated by smart contract which has no physical dollar backing so the fact that we actually have a dollar in the reserve makes us organic and easy for people to use and we conduct regular attestation every month for our reserve so that you know yeah we bring in a CPA firm to confirm that there is money and

3:44okay versus how many tokens circulation and we also broadcast the balance of our reserve via the partners API when we work with and that is broadcast on our website 24/7 for anyone to see so you can always verify how much money we have versus how we're different from other fiat backs they will coins like for example 2 USD or US DC or Paxos is we

4:13don't charge issue andrew debt redemption fees to issue a redeem to stable coin we waive all wire fee use for clients who are redeeming the stable coin for US dollar and we're all expanding our stable coin onto other blockchain protocol most recently we expanded on su by Gnaeus chain and we are launching it on Finance Dex next week as well which is a decentralized

4:38exchange upon that happening we will officially become the fastest major stable coin in the world with about three to four thousand TPS Wow very impressive Corey congratulations thank you now how much time was put into the development of stable e and when was it first released into the market yeah we raised seed funding in April of 2018 and

5:07it took us about eight months to build the product so we code the smart contract we got it audited by a smart contract security firm we also partner with a regulated financial institution in the United States who helped us carry out this business model compliantly and that institution is called prime trust they're a Nevada based trust company that is regulated as a administrator and

5:34issuer for our stable point system and toward the end of November the end of 2018 we listed our stable coin for the first time ever on pin tracks which is a regulated u.s. crypto exchange which is we're very well known across the world within two months of that we listed it on by Nance which is the world largest crypto currency exchange period I we became the fifth and so far final stable

6:03coins be added to that exchange very interesting and now is the development done or are you further developing advancements and enhancements to stable e and do you guys have a development team that's doing that right now yeah absolutely a development never stops we think the space is going to continue to evolve and there are many different level of evolutions that we're

6:29going to see in the next several years we're scaling out our development team into other markets like India and Vietnam we're developer costs a little bit cheaper we compared to all the major stable corn project we actually raised 8090 percent less funding than they have and we managed to pull up our own ground pretty well so it's kind of like a David and

6:52Goliath situation we got going on my vision or our vision is there will be many generations of stable coin and each generation is going to have improvements over previous generations right now we are in the first generation of stable coin and we have very what I call vanilla stable coin it's backed by Fiat one-to-one it has transparency eyes audited it has liquidity and it has

7:18stability right so these are the very basic building blocks that any good stable core would need to have and I'm just speaking mainly about Fiat back stable coin here I think that generation to stable coins will come out ones companies and corporations like Walmart or Costco or Amazon or even shell which have Ron or even car companies like Nissan Toyota finally realized that you

7:43know they could themselves create their own stable coin and add additional benefits and utility from their ecosystem on this table coin imagine going to shell and Chevron and you know being able to pay shell each Ephron in stable coin in shell stable coin right now whichever I want or shell wants to do this right well when you pay them with a stable coin and rely on the

8:10blockchain instead of these are a MasterCard shell or Chevron doesn't have to pay Visa or MasterCard four to five percent per transaction on top of that now that they're having now that they have a stable coin they're actually earning interest income from the Fiat Reserve that is backing up the stable coin so you're going from paying money to now earning money now think about the

8:34potential she'll giving some of that saving back to the customary or something earning back to the customer in the form of discount bonus rewards whatever right so I think that one day you know these generations to stable coins will have hundreds of thousands of them all over the world from Walmart to Costco to Amazon to Shell Chevron you name it right and they

9:00will all have their unique utilities a benefit that is you know contained within their ecosystem which Springs you know which bring us to I think looking a little bit ahead here but generation three stable coins it's where we have consolidation all these different utilities stable coins right and people are going to start combining them into basket so we'll have a basket stable

9:26coin of Amazon of pesco of Walmart the eat the e-commerce or the retail stable point basket that you can use at any of these retailer in that basket right and you'll still benefit from that utility so basically it will allow you to spend your Amazon coin at Costco and don't make it work it's actually very interesting the future soundscape commissary now when you first built

9:52stately did you first see it as how most people see stable coins right now as sort of a hedge to the Bitcoin price you know when bitcoins going down people don't want to move into American dollar so they move into a stable coin and that seems to be one of the primary uses it was that the original goal of stately or are you envisioning this full you know

10:11retail experience as you're speaking of yeah absolutely originally it was mainly just for trading so how I got into stable coin in the first place was I used to trade crypto very actively in 2017 oh and I was doing it with trading algorithms so at some point you know I had tens of thousands of t'other that I didn't want to hold because it was very not very not

10:40non-transparent very shady and there's a lot of issues a lot of that press coming out so I wanted to find a difference in stable Point Park my money in so I was a consumer I was consumer trying to find a reliable option for me I can trust and I couldn't find anything and you know Here I am trying to park 50 60 70 grand it to something and I couldn't

11:04find it and that was just me we imagine how many other people out there in the world were in the same situation so within a week I was actually driving and I drove past a casino and on to casino bill de Bourgh's I saw pictures of casino chip and right when I saw it's just like what's up my head and Here I am that's a great story Corey now you mentioned a little bit ago that you guys

11:31had raised quite a bit less than some of the other stable coin projects now how do you plan to sustain the business is there a business model or some kind of revenue generation for stabili how do you foresee you know business ongoing absolutely it has been proven in the stable coin sector over the past 12 months that just because you have a lot of money and a lot of resources and

11:55capital that doesn't mean you can actually go to market successfully and I'm not gonna name any names here but there's one major stable point out there that has seen a significant decline in market cap recently because they execute it incorrectly on their business development marketing as well as certain promotions that they gave out I really work out for them and you know we as

12:20stay bleep we burn less than $80,000 a month and total expenses as a start-up so by staying very lean very efficient and very nimble and you know just making not making the same mistakes that some of these larger players have already made I think it will place us ahead of the pack in the long run if we are able to continue so this is a very David Goliath situation that's very

12:45interesting and now one of the biggest challenges because you continue to grow for the rest of this year is it that business development and marketing or what other challenges to you foresee growing absolutely we believe it is a combination of both technological advancement as well as a business development so in terms of technology is it is not as important as the business

13:12development for us right now but we do want to stay ahead in terms of what context knowledge you were able to put out and what kind of upgrades you know how can we evolve our stable core essentially so I have this vision of generation to generation three stable coins so how do we get there how do we build it right but we don't want to build it right now when no one's

13:31using it right so we want to kind of slowly scale that up over time most importantly for us right now is to focus on business development to get people to start using our stable coin for remittance or payments or whatever that they want to use the benefits is very straightforward you save four to five percentage points per transaction the transaction could be done almost

13:56instantly in a few minutes could be sent globally without any borders and the people who received them would have relatively good real quiddity because you know our simple coin is listed on Finance we're less taking out more exchanges we're integrating with more over-the-counter and broker desk and more partners all over the world so as time go on we believe that our liquidity

14:21as well as adoption of girls will continue to rise and this is a very large market you know I think what mutual mutual funds for many market securities is a three trillion dollar industry you look at cash bank notes checking posit that's 30 trillion dollar so you know this is a large industry and there's a lot of potential growth here definitely now how can viewers learn

14:50more about stabili or get involved with the project yeah you can definitely go to our website www.weg.net and I'm always available to be reach out in person I try to be the only stable

15:18coin CEO that's know opens a public communication 24/7 so if you want to reach out to me for any comments a question morning welcomes do so my email address is Cory at state we do amazing we're weighing CEO has been a pleasure speaking with you thank you so much for your time and all the best of luck with stabling Thank You Ashton thanks for having me