John Jacques's Avatar
published in Blogs
Nov 12, 2018

A New Cryptocurrency Project that Could Change Everything

Venture capital money has been flowing into fintech and artificial intelligence in 2018, but cryptocurrencies have been a different story. Investors are keen to back projects dealing with their underlying technologies, like blockchain, but less enthused to hitch their wagon to the inherent volatility of crypto in a still murky regulatory climate.

Now a new kind of cryptocurrency project has emerged – one that ties its price to reserve currencies to mitigate wild price fluctuations. They are called stablecoins, and venture capital kings Andreessen Horowitz believes they have significant potential.

Andreessen Horowitz (a16z) has explored crypto in the past, backing CryptoKitties and OpenBazaar in two separate transactions. Now they have invested (or, in the company’s words, made a “strategic purchase” of) $15 million in Maker, a stablecoin network. That commitment to the MakerDAO project “will offer a16z the rights to govern MakerDAO and the Dai Credit System as it becomes the first decentralized autonomous stablecoin organization,” according to a report from CCN.

The Maker system runs via “a set of autonomous smart contracts…which means that anyone with an internet connection and collateral can create Dai [a decentralized stablecoin] without the need for trusted intermediaries,” said a16z in a statement announcing the deal. “To ensure the system remains solvent, a network of market makers is incentivized to liquidate loans that risk becoming undercollateralized, thereby removing excess Dai from circulation and keeping the balance of Dai to collateral in check.”

This means Dai will always be worth $1, regardless of other cryptocurrency prices. While Dai is currently backed by ether which, like most cryptocurrencies this year, has seen huge drops in price, MakerDAO “plans to introduce a diverse basket of collateral types, which would include tokenized equities and fiat-backed stablecoins” to eliminate reliance on a single type of cryptocurrency.

An additional CCN report indicates that a16z views the investment as a way to receive a “consistent yield return” from the network “due to the unique structure of the Maker blockchain network.” They anticipate an additional revenue stream from price increases with the Maker token “affected by the buyback program of Maker.”

To Katie Haun, a general partner at a16z, “the future economy [will] belong to decentralized stablecoins.” Their ability to mitigate the inefficiencies that plague traditional crypto will, in her opinion, not only increase adoption rates but also be more useful for long-term loans and other transactions. Can stablecoins make good on their promise? Andreessen Horowitz is betting yes.
 

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John Jacques's Avatar
published in Blogs
May 16, 2022
A.I. Stock Market Predictions: Head & Shoulders

A.I. Stock Market Predictions: Head & Shoulders

Statistics for the Head-and-Shoulders Bottom Pattern The days where only hedge funds used algorithms to trade stocks are officially over. Now retail investors can use Artificial Intelligence (A.I.  Here’s an example of the algorithm in action: Late last year, Tickeron’s A.I.
Edward Flores's Avatar
published in Blogs
Apr 29, 2022
How to Become the Millionaire Next Door

How to Become the Millionaire Next Door

The Golden Gate Bridge is always a fixture of these walks too, one of man's most beautiful creations.  As we were walking, at one point she turned to me and said, "Man, I'll never have a million dollars."" My girlfriend is 27 years old and works as a graphic designer, making about $75,000 a year.
Sergey Savastiouk's Avatar
published in Blogs
May 16, 2022
When Is the Next Recession Coming?

When Is the Next Recession Coming?

However, we also know that economists predicted 22 recessions out of 11 that took place since 1945. Are there real recession signs we should watch for?Indeed, the answer is yes, and here are a few very important ones: The first one is almost obvious and known to everyone – it is the Fed.
Sergey Savastiouk's Avatar
published in Blogs
Mar 14, 2023
How to Start Trading Penny Stocks

How to Start Trading Penny Stocks

Penny stocks have long been marginalized within the professional investment community, oftentimes being painted with a broad brush of simply being “too risky.” Leonardo DiCaprio’s depiction of the penny stock peddling conman, Jordan Belfort, in the Wolf of Wall Street certainly didn’t help.Here are four reasons to start trading them now. Reason #1: Let’s State the Obvious -- Penny Stocks are Cheap A single share of Apple Inc. costs over $350.
Dmitry Perepelkin's Avatar
published in Blogs
Mar 14, 2023
5 Habits that Lead to Successful Investing

5 Habits that Lead to Successful Investing

To consistently make money in this industry, you need emotional fortitude, an analytical mind, and a willingness to self-reflect. Despite trading and investing being two different activities, these principles can be applied to both.Conversely, investors with good habits often become great traders.  Rather than full sentences for titles, we’ve labeled each of our top-five investing habits using a single word principle.
Allana's Avatar
published in Blogs
Mar 23, 2023
What’s the Difference Between Data Analytics and Machine Learning?

What’s the Difference Between Data Analytics and Machine Learning?

Artificial intelligence (AI) technology is developing rapidly.Data mining can deliver raw numbers, but it does not necessarily provide actionable insights. Structure is necessary to taking abstract information and extracting commonalities, like averages, ratios, and percentages.
Sergey Savastiouk's Avatar
published in Blogs
Mar 13, 2023
4 Tips for Fast, Effective Stock Analysis

4 Tips for Fast, Effective Stock Analysis

With just a few clicks, an investor can search for individual stocks, categories of stocks, sectors, or investment themes, and then he or she can conduct a full range of technical and fundamental analysis within seconds.All powered by Artificial Intelligence.  Below, we give you 5 tips for fast, effective stock analysis using Tickeron’s Screener.
Sergey Savastiouk's Avatar
published in Blogs
Mar 20, 2023
5 Golden Principles in Investing

5 Golden Principles in Investing

You have enough faith in that stock, based on research, that the return will equal or exceed the investment.  Do unto others.The principles outlined here will ensure that happens.  Principle #1: Diversification Investors can’t be one-dimensional when constructing a portfolio.
Sergey Savastiouk's Avatar
published in Blogs
Mar 15, 2023
The five most important Lessons Learned After 10,000 hours of Trading
Edward Flores's Avatar
published in Blogs
Mar 12, 2023
What's the Difference Between Tokens and Altcoins?

What's the Difference Between Tokens and Altcoins?

Between their inherently technical nature, multiple varieties and sub-varieties, and endless terminology, cryptocurrency (defined here as digital or virtual currencies that are encrypted using cryptography, powered by the immutable digital ledger known as the blockchain) represents a whole, complex world.All altcoins possess their own blockchain, independent from their source code, that records all transactions of their native coins. Many altcoins are variants, or forks, of Bitcoin that leverage that cryptocurrency’s open-source protocol as the basis.