Bancor: The Rise of User-Generated Currencies

Bancor is a simple, but hard-to-understand protocol that enables price discovery and liquidity even for assets that aren’t actively traded. Co-Founder Eyal Hertzog joined us to explain how the Bancor protocol works and why they think it will play a key role in enabling a massive wave of small, but interconnected user-generated currencies. We dissected the workings of the protocol, its radical implications as well as the takeaways from their record-shattering, but controversial crowdsale.

Topics:

• Eyal’s background in early internet startups
• The origin story of Bancor
• Why asset markets suffer from the double coincidence of wants problem
• The benefits of Bancor-based Smart Tokens
• How Bancor and BNT can create a liquidity network
• Why BNT benefits from network effects
• What went well and what didn’t go well about the Bancor Crowdsale
• Why Eyal thinks the price floor was a good idea

Links:

• Bancor protocol
• Bancor Whitepaper
• Response to “Bancor is Flawed” – The Bancor Protocol
• Bancor at Coinfest 2017 in Amsterdam - YouTube
• Bernard Lietear, EURO architect discusses Bancor
• Bancor protocol