Jed McCaleb and his Solution for the Financial Burden of the Banking Industry

Blockchain has the power to change the world, so why exactly are most blockchain experts using this technology to conduct simple trades? Well, not everyone is. Jed McCaleb and his company Stellar are working in countries all over the world to bring people a better way of life. Stellar is bringing financial options to underdeveloped countries.

Jed McCaleb was experienced in decentralized technology before most others. He worked with peer-to-peer file sharing, using a non-centralized method to deliver files to users.

McCaleb also created Mt. Gox, the world’s first international bitcoin exchange network.

During his time experimenting with blockchain, McCaleb realized he could answer a very important question: How can I make the banking industry better?

Jed McCaleb and Joyce Kim decided to create Stellar, altering the code of blockchain in order to make their service faster and less energy intensive.

Stellar was created after Jed sold Mt. Gox to Mark Karpelles, who then allowed Mt. Gox to be hacked. This event is still one of the most controversial and infamous events in the history of the existence of bitcoin.

Stellar is a little bit different from normal cryptocurrencies. Most coins require a process called data mining, where individuals volunteer their machines to house records for the currency. These individuals profit from this partnership by creating new coins on their machine. Stellar doesn’t utilize a data mining process, they simply give out their currency in a charitable fashion to those who are involved in Stellar, those who were already bitcoin owners, and partners.

Jed McCaleb and Stellar have created a system that can connect financial institutions all over the world, eliminating costly business fees and service charges. With these expensive fees eliminated, individuals who otherwise could not afford basic financial services now can. Stellar is already operational in Asia and Europe, even securing a partnership with IBM in order to create a more streamlined payment system for the computer giant.

Stellar is also partnered with Tempo, out of Europe; Cellulant, from Nigeria; and Distributed Lab, based out of Ukraine. Stellar assists these organizations in providing international transaction services and other banking services to the citizens of these areas.

Article source: https://cointelegraph.com/tags/jed-mccaleb

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