On July 19, 2018, The Chicago Blockchain initiative sponsored a CryptoEconomics event in Chicago. Because bitcoin economics and decentralised token governance are vital symbiotic conditions for current and forthcoming blockchain initiatives, understanding the main operating principles is essential. The Cryptoeconomics event highlighted factors to think about in order to fund, distribute, and adopt cryptocurrency successfully.
Who Were the Guests of Honor?
Wulf Kaal (Wulf Kaal)
Wulf Kaal is a blockchain expert with experience in a variety of businesses. He has a great deal of experience with ICOs, smart contracts, and private investment funds. Kaal advises and guides: as a prominent proponent of dynamic regulatory solutions for innovation.
foreign policymakers, crypto startups, venture capital funding
Wulf Kaal kicked off the conversation by clarifying what cryptoeconomics is. He described it as a technological science that focuses on the design and distinguishing characteristics of crypto protocols and is linked to cryptography, behavioural economics, and computer science.
Kaal went on to describe how micro- and macroeconomics affect the cryptoeconomic system. He underlined that cryptoeconomics is a developing and experimental field, and that numerous methodologies and models are now being tried and evaluated.
Matt Leidlein has 18 years of cash and derivative market execution experience. Matt has a unique background, having led teams in the pits of the CBOE, Europe's call-around options market, via IM in OTC markets, and electronically across equity, energy, interest-rate, metals, and foreign currency products, in addition to a sterling track record of liquidity provision in volatile assets and derivatives.
The key aspects of dispersing crypto-asset value amongst holders and users were highlighted by Matthew. He talked about the concept of security tokens and how they're issued in STOs, as well as the differences between token economic models and use cases.
Danny is one of Chicago's most knowledgeable blockchain professionals. He founded Pinkcoin in 2014, a blockchain-based social impact donation platform.
Johnson, who holds a master's degree in business administration, management, marketing, and related support services, is currently a member of the Chicago Blockchain Project team. He is an advisor to a number of cryptocurrency funds and a mentor to notable blockchain initiatives.
Johnson talked on the present state of cryptocurrency exchanges and the several ways to sell security tokens. He emphasised that investing in securities is feasible if all token qualities are assessed and users are offered advantageous terms with future profits.
Yankun Guo is the founding partner of Yankun Guo Law. In the Chicago blockchain community, Yankun has been a guiding light. She previously worked as:
CME Group legal and compliance consultant and regulatory counsel at Opportunity Financial, LLC.
From a financial standpoint, Yankun focused on the cryptocurrency market, token governance, and utility. In terms of security tokens and their relationship to cryptoeconomics, she believes it is critical to determine whether securities are truly considered as such, and whether the company's product or service has a certain value.
Safronenko, Mykyta (Moderator)
Mykyta is a regular contributor to the Silicon Valley Blockchain Community. He works with several crypto hedge funds, ICO projects, and blockchain startups from all around the world as the Business Development Director. Mykyta earned a marketing degree from San Francisco State University and has worked for Google and Facebook.
He introduced speakers to the audience and encouraged conversation on cryptoeconomics, token governance, exchange markets, and STO futures as the event moderator.
What Did We Discover?
The blockchain system, which operates in a decentralised fashion and is thus incorruptible, independent, and reliable, relies on users reaching consensus.
The panellists, Kaal, Johnson, Leidlein, and Guo, discussed the bitcoin capital market's prospects and risks.
Token usage cases, as well as pertinent business plans, price volatility difficulties, and common token economic models, were recognised.
STOs (security token offerings) have been described as "financial securities" because they are similar to regular business stock. Because STOs are relatively new to the community, the issue of security token trading has arisen. The panellists underlined that token listing will not be a problem, and that it will operate similarly to a traditional cryptocurrency exchange. Due to present policy, this would be easier to accomplish outside of the United States.
“In the United States, there are two ways to trade security tokens: real utility token trade and listed security token trade with an ATS (alternative trading system) licence,” Wulf explains. “However, neither model is currently moving forward.”
The panellists next discussed the current condition of exchange markets and whether security tokens have a chance of being listed and traded on initial stock exchanges.
To summarise, any token or asset's primary aim is to provide final value to customers. Because cryptoeconomics is still a new topic, numerous methods and strategies are being used to figure out how it works and what the best solutions are.