Eyal Hertzog

Bancor and 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 we discussed in this episode
  • 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