憨厚的麦总

Recently, a friend asked me how I think banking giants will fare if they decide to create their own stablecoins. Will it disrupt Circle's business? Let me share my thoughts. The moat for stablecoin businesses is the existence of BTC, which is a business that requires building channels, winning users' hearts, and navigating regulations. The first-mover advantage is huge, as users have little reason to switch from their current options. Over the years, only USDT and USDC have managed to succeed, one relying on the early crypto boom and the other on the US regulatory system and DeFi. It's worth noting that even the largest exchanges and public chains, which have the most liquidity, distribution networks, and trading scenarios, have tried and failed multiple times. Do you think JP Morgan can succeed where others have failed? For example, Binance has supported three new stablecoins, BUSD, FDUSD, and TUSD, but none of them have taken off. Hyperliquid's USDH, Huobi's HUSD, OKX's USDK, Gemini's GUSD, Kraken's USDG, and Tron's USDD have all failed to gain traction. Other stablecoins have either imploded or seen their user base shrink. These old-school financial institutions used to think they could easily create a crypto exchange and win. Do they really think they can defeat the current stablecoin giants with their brand and resources? I think they underestimate the complexity and barriers to entry in this market.