The Stablecoin Liquidity Trap

Kevin and Mitchell, Co-Founders of Sierra, talk about how their backgrounds in central banking and liquid funds led them to build a next-generation stablecoin protocol. We chat about the mechanics of yield, the regulatory landscape for platforms like Polymarket, and why the current shift in crypto is moving toward lean, efficient fintech models. Notes: * 95% to 100% of capital earns yield * Money market yields currently 2-3% * Industry shift to fintech and robotics Timestamps: 00:00 Start 00:44 Mitchell's background 02:11 Kevin's background 03:41 What is Sierra? 05:07 Yield strategies 05:31 Why is Sierra different? 09:01 Abstracting complexity away 10:50 Assessing risk 14:40 Yield percentages 15:48 DeFi Summer yields 18:05 Why use Sierra? 24:00 RWAs & T-bills 27:34 RWA "quality" 32:20 What is "on-chain"? 37:14 Composability 42:04 Current state of funds 46:38 Future of venture funding 49:24 Winners & losers The Gwart Show is sponsored by Ellipsis Labs. Ellipsis Labs builds the most efficient on-chain markets. Their orderbook and Prop AMM products have delivered price improvement to hundreds of billions of dollars in retail volume. Now, they are bringing their expertise to build Phoenix, the best on-chain perpetuals platform. Ellipsis Labs is hiring New York-based engineers. If you're an engineer looking to work with a proven team in making DeFi better, go to ellipsislabs.xyz/careers. Learn more about your ad choices. Visit megaphone.fm/adchoices