Jed McCaleb wants to improve peoples’ lives by using technology to reduce inefficiency and to extend an opportunity to those without substantial resources. He wants to alter the current financial paradigm where he feels that too many people are being left behind. Jed works at a non-profit company called Stellar that is working on the future of a universal payments network. As the chief technology officer there, he presides over the development of a cross-border payment network. His opinion is that blockchain technology will alter the way that fundraising, stock markets, and global payments will soon operate. The XLM coins offered by Stellar, or “lumens” as they are also called, were among the 10 largest cryptocurrencies as of New Year’s Day. In addition to that, Stellar’s network is currently being used by IBM to initiate a payment system with some major banks.
Blockchain technology is fast becoming the favorite new encryption system that everyone is talking about. At Stellar, Jed McCaleb claims that their blockchain technology will decrease transaction time to around five seconds. The time it takes for a bitcoin transaction is significantly longer than that. In addition to being faster, he says that this will allow users to exchange government-backed currencies which is a unique concept.
Jed McCaleb believes that the popularity of initial coin offerings has exposed huge markets not yet explored by the current financial system. These “token sales” have generated around $9 billion in roughly four years. This method of fundraising is specific to retail investors who can buy digital coins to bolster a project. In this way, investors can buy something that can appreciate in value over time. It seems that we are looking at a situation where all equity will be tokenized. Jed McCaleb thinks that decentralized exchanges are likely to appear in our future where nearly anything can be traded.