BeinCrypto spoke with Kraken’s Maximilian Marenbach on Bitcoin as a store of value, DeFi, Initial Exchange Offerings (IEOs), and the future of cryptocurrencies.
Kraken is one of the world’s major cryptocurrency exchanges. At the time of writing, it had a 24-hour trading volume of $907.26 million. As a result, it has been at the forefront of many of the changes that have occurred during this time. One of its key objectives is to hasten the adoption of cryptocurrency.
Marenbach is presently the exchange’s Head of Partnerships & Business Development for Europe. On the side, he works as a freelance blockchain consultant and an ICO advisor.
“This can be a revolution”
Much like Kraken, Marenbach is not new to cryptocurrency. “I started out getting into crypto around six years ago, plus-minus a little, a little bit longer six, nine years. I got introduced to it by a then colleague of mine,” he explains.
“Then I started to doing a little bit more research about it and what it actually is that I just invested my money in. I began to understand more the philosophy. The idea of decentralization, the idea of giving power back to the people and why the hell is only a government allowed to issue legal tenders for exchange of goods and services.”
“Now, why would they? Why not the two of us that get certain tenders? And this idea really struck me, having worked in the banking sector before, having seen how many people got absolutely shredded in the financial crisis,” he says.
“Having seen how many people lost their fortune, lost their livelihood because of, the greed of financial institution really stuck with me. I really saw that this can be a change. This can be a revolution. I call it the monetary revolution so to say. This is then when I began when I got more involved in the space.”
Marenbach is no stranger to the volatility and cycles that surround the original cryptocurrency, bitcoin, as a veteran of the cryptocurrency sector.
However, bitcoin’s high volatility makes it difficult for all investors to trust its promise as a store of value. As a result, its value as a safe haven is frequently questioned. This volatility, according to Marenbach, should not put the coin in jeopardy.
“If you look at the price history of bitcoin over the past three or more years and compare it to other asset classes, I would still see bitcoin and other crypto assets as a safe haven. However, it is also no secret that the bitcoin price shows a certain degree of volatility, which has, however, decreased significantly in recent years. “
He explains that more individuals will flock to bitcoin, especially in times of economic and societal turmoil. Furthermore, he regards the current market trends as a normal maturation phase for any new industry.
In the crypto world, establishing trust and security is crucial.
While Marenbach believes bitcoin is still evolving rather than failing, he is less enthusiastic about all other tokens.
This is especially relevant in the case of Initial Exchange Offerings (IEOs), which Kraken does not support. Despite the fact that several other exchanges promote these offerings, the trading platform defies the trend.
“Kraken Cryptocurrency Exchange has strict screening criteria for the tokens we have listed. The main criterion for listing new tokens is to support projects that are in line with our company’s main mission: Accelerate the adoption of cryptocurrency so that the world can achieve financial freedom and inclusion. We make sure that every token goes through compliance, legal and security checks. The security of the exchange and the security of our customers are our top priorities and determine everything we do.”
“Kraken has always been ranked as very secure and very trustworthy avenue. This was very important in building our brand and building our reputation and actually promoting the whole ecosystem, the whole revolution and the whole movement behind it,” he explains.
It’s also about catering to everyone’s needs. It’s not simply for people with a lot of money to invest. While investment and spending trends can be tracked across regions, each individual, according to Marenbach, is ultimately unique.
“Everyone has their own goals, and this is key for Kraken, to make sure that we cater to all the different user types and that’d be not just service one because in order to really foster global monetary change, you need to be able to service everyone because we’re all part of it.”
DeFi is a big deal
For Marenbach, it’s not simply about whatever cryptocurrency reaches a new high or when bitcoin’s next bull run begins. He’s also curious about the tools that are being developed using the same technology.
“I’m a huge proponent of DeFi space just because it gives investors or users or whatever you want to call it, a million alternatives to the existing crusted financial system which has failed people.”
“I mean, we created things in a financial system for a very good reason and if you look at it now, it definitely has failed us as a society in general. This has benefited a very small portion, maybe largely, but the huge majority of people are feeling kind of betrayed. So I see that the DeFi space can really help kind of allow them to ease their pain and make sure that people have an alternative to the old school centralized financial system,” he explains.
“So much more to come, so much more to do”
Crypto, according to Marenbach, is still in its infancy. He sees the community expanding and issues arising on a regular basis. When it comes to the future, he, on the other hand, sees this as only the beginning.
“Again at the beginning, I didn’t have a lot of experience. It took me quite some time to get to understand it. The philosophy, of course, but also of the technology behind it, especially,” he says.
“I feel like there’s just 0.01% done here, right? It’s just so much more to come, so much more to do, so many more challenges to face, and I’m just super excited to be a small part it.”
