Andy Jagoe

0 to 1 builder and investor // Find me on Farcaster:

[Andy Jagoe @andyjagoe]

@VeraShokina Absolutely - will DM you

[Andy Jagoe @andyjagoe]

@VeraShokina Interesting opportunity to build an AI harness in this space - could go in many directions

[Andy Jagoe @andyjagoe]

@packyM Code isn’t read. It’s run. AI is cranes for great builders. The sweat moves upstream.

[Andy Jagoe @andyjagoe]

@dcinvestor same applies to flat number of active L1 addresses

what matters is whether L1 has (and can grow) pricing power with L2s

[Andy Jagoe @andyjagoe]

@robbiepetersen_ yes, which means fintechs can now scale globally like messaging and social apps

[Andy Jagoe @andyjagoe]

@chuk_xyz 🎯

many parallels between telecom 20 years ago and financial services today

door is open for iPhone Moment in banking

[Andy Jagoe @andyjagoe]

for generations, depositors have been subsidizing bank loans and getting terrible cash mgmt ux in return

the FUD around impact to credit markets is similar to when money market funds were introduced

one answer might be to require stables to hold some reserves as bank deposits in addition to treasuries

This keeps M2 stable and banks lending

but also reduces rate pricing power of banks (they go from lots of little depositors to a few big depositors)

[Andy Jagoe @andyjagoe]

@sytaylor good question on moat:

https://t.co/FIFUXc9b3G

[Robbie Petersen @robbiepetersen_]

It's becoming increasingly clear that stablecoin distributors — exchanges, wallets, payment apps etc — have more leverage over stablecoins issuers than most people intuitively think.

Value almost always accrues to whoever owns the end user. Stablecoins will be no different.

[Andy Jagoe @andyjagoe]

@econoar yes

cash flows on ethereum today not as important as whether it becomes the de facto global settlement layer and can maintain pricing power

[Andy Jagoe @andyjagoe]

@brian_armstrong exactly

but need path to make sure credit market doesn't break if users move bank deposits to stables en masse

[Andy Jagoe @andyjagoe]

@mikebelshe for generations, depositors have subsidized bank loans and get awful cash mgmt ux in return

no longer makes sense

[Andy Jagoe @andyjagoe]

@Matt_Hougan 💯

70% of mortgages immediately sold to Fannie and Freddie anyway

[Andy Jagoe @andyjagoe]

@JoeCarlasare The ultimate irony is that after a decade of this 'Internet' hype, the only real use case—excluding chat rooms—is email.

[Andy Jagoe @andyjagoe]

@TKL_Adam

[Andy Jagoe @andyjagoe]

@qthomp

[Andy Jagoe @andyjagoe]

@Beckmania I definitely wonder if it will fade critical thinking

[Andy Jagoe @andyjagoe]

@mottice 💯

Why would a fintech building a cash management / spend product today choose demand deposit rails over stablecoin rails?

[Andy Jagoe @andyjagoe]

@MikeBotkin_ @Apple @UPS A UPS account would provide all someone needs to do this. Maybe someone created a UPS account with your address and someone else’s email? Or maybe your UPS account is compromised?

[Andy Jagoe @andyjagoe]

@0xngmi https://t.co/pyhg5HCgz9

[Viktor Bunin 🛡️🇺🇸 @ViktorBunin]

I think all stablecoin issuers assumed yield will necessarily be passed back to consumers. Just look at Coinbase - we're passing back yield on USDC held on Coinbase AND ALSO onchain.

It's not stablecoin issuers that are afraid, it's banks. They're the ones most vulnerable to consumers holding their own dollars while earning a fair yield on those dollars. Our highly leveraged financial system exists on the premise that consumers are locked into holding their funds at banks, on which banks pay close to zero interest, while making loans and other efforts to generate yield on those dollars for themselves.

It's the exact same reason the federal government hasn't allowed narrow banking whereby a bank takes in deposits and just holds all funds at the federal reserve, without making any loans, thereby creating incredibly safe and stable banking for consumers.

This isn't about consumer protection. It's about protecting entrenched interests and also preserving the ability of the federal reserve to monkey with interest rates and other risk parameters to control the economy.

[Andy Jagoe @andyjagoe]

@mdudas @6thManVentures to where?