Welcome to our comprehensive interview series – Humans of Blockchain™ where we get the best in the business to answer diverse questions.
This series will clear the air of doubt in the blockchain space today by focusing on bringing more transparency to the readers.
Our guest, today, is the Founder of Mobu.io, security token protocol and licensed security token exchange for local and global listings. Juan has an accurate understanding of the industry and his views are something we can all learn from.
Not wasting much time, let’s hear it out from Juan Engelbrecht himself.
1. We would love to know more about you Juan. Your journey and how you entered the Blockchain space?
I Come from a finance/stockbroking background. As a trader I am constantly looking for volatility. When I saw bitcoin jump from 200 to 300 dollar odd in a day it immediately caught my eye and started up reading up on it and blockchain and ended up starting the largest crypto mining operation in southern hemisphere.
2. We would love to know more about Mobu. The vision and mission.
Very excited to share with you! MOBU is vertically integrating all major financial services under one roof:
1) MOBU supports companies that want to raise capital like an investment bank
2) MOBU provides secondary trading like a stock exchange
3) MOBU provides retail brokerage and banking solution to everyday investors.
ALL on the blockchain to ensure more automation and less middlemen to support Corporate efficiency! And already have some of the most influential men of Africa as clients!!! In future we will develop consulting division for blockchain companies mergers & A, as well as tax consulting regarding STO’s
3. What is the status of Blockchain technology in South Africa? (both in terms of adoption and regulations )
South Africa was the country that googled bitcoin most in the world in 2017 and we have no problem converting fiat to crypto at all! The president’s son is very passionate about blockchain and the top level support follows.
4. There was a recent crash in the Crypto market. What are your views regarding that?
It is all relative in my opinion. If you look at 2 or 5 year view bitcoin is still the best asset class. There was definitely great hype in 2017 and it was overbought to a massive extent due to FOMO but this is a new technology and if used correctly has massive opportunity and ability to redefine some industries.
GoPro stock is down 95% from ath, and the NYSE is down roughly 13% for the month alone – all investments carry risk but the talent comes in managing the risk, diversify and not being naive. Most blockchain companies are now only developing their products and the value will follow as they roll out within the next few years.
5. What are your views about ‘stable coins’ like USDT? Are they providing any value?
I don’t see the need for stable coins other than potential decentralization as it only puts on another layer of fees.
6. How do you think we should go about improving the adoption rate of Blockchain technology?
The focus should change from getting rich quick to developing actual products and ensure it has an actual use case and solve a real world problem. Stop speculating with the price. Price will follow.
7. What other shortcomings do you think are there in the Blockchain industry? How should we go about solving them?
Market related marketing/legal/blockchain service/conference fees – the moment someone here a service is blockchain related they tend to add another zero to the price.
Competitive pricing platforms like Mobu will solve that with public ratings from users – it will ensure better quality and lower pricing. Also the burn rate of most ICO’s are too high. You don’t need to visit 20 countries a year to market your product, you can start-off with online marketing etc until you scale the business.
8. What are your views about the security tokens? Will they be helpful in growth of Blockchain industry?
ICO’s proved to the world the ability to raise capital but also proved they need to be regulated to protect investors. STO’s are similar to IPO’s but with less strict financial requirements and can be done at considerable costing which will favor entrepreneurs.
Security tokens have many benefits which include cross-border funding, 24/7 trading, more complex versions of dividend policies and voting rights, less fees, etc which all come down to corporate efficiency. Practical examples can be if you owned 20 apple shares for longer than a year you automatically receive discount on your next iPhone. Also due to fractional ownership can support liquidity in illiquid real estate assets.
9. What do you think the year 2019 holds for Blockchain companies?
Personally, I think a lot of people got hurt in 2018 and it will remain slow until real strong products gets rolled out. Blockchain is definitely here to stay and there is some exciting news which is laying ahead like btc etf, bakkt, etc but will take time to reach new highs but it is important to know that Revolut increased revenue by 5 times in 2018 bear market so it is very product dependent as well as Deloitte believes blockchain tech as an asset class will grow by 43% per annum over next 5 years. Also the job market in blockchain grew by 300% in 2018 which is very positive.
10. Any last words of motivation from your end Juan, for the audience?