Important points
- Modernizing existing financial infrastructure is more effective than reaching individual users directly.
- Businesses that are already connected to their users can enhance their services through modernization.
- Yellowcard is the largest licensed stablecoin payment infrastructure provider for emerging markets.
- Yellowcard provides a comprehensive digital asset infrastructure including wallets and fiat payments.
- Information asymmetry is a major barrier to accessing dollars in emerging markets.
- Stablecoins provide a solution for international payments without using traditional banking systems.
- Traditional banking systems are inefficient for emerging markets.
- The cryptocurrency ecosystem currently relies on intermediaries rather than peer-to-peer trading.
- Improving access to capital markets can benefit a wider range of people.
- B2B2C and B2B models help companies leverage their existing infrastructure to reach end users.
- Stablecoins help businesses avoid the black market in international payments.
- Yellowcard’s infrastructure supports companies entering the digital asset space.
Guest introduction
Chris Maurice is the co-founder and CEO of Yellow Card, Africa’s largest licensed stablecoin on/off ramp operating in 20 countries. He co-founded the company from his dorm room at Auburn University in 2016 and successfully facilitated over $3 billion in deals while securing $85 million in four funding rounds. Under his leadership, Yellow Card became the continent’s first licensed virtual asset service provider in 2022.
Modernization of financial infrastructure
The focus should be on modernizing the existing financial infrastructure rather than reaching every individual user directly.
— Chris Morris
- By leveraging existing systems, broader financial inclusion can be achieved.
We would rather help provide digital asset infrastructure to modernize systems like mobile money to modernize banking systems.
— Chris Morris
- Businesses that are already connected to their users can improve their services through modernization.
They are already connected to the user. That means they already serve people they know every day in these areas.
— Chris Morris
- Partnerships with established companies enhance financial services.
- Modernizing corporate financial management is part of the strategy.
- It is important to understand the challenges of reaching underserved populations.
Yellow card market position
- Yellowcard is the largest licensed stablecoin payment infrastructure provider for emerging markets.
We are the largest licensed stablecoin payment infrastructure provider for emerging markets.
— Chris Morris
- Yellow Card operates in Africa, Southeast Asia, South America and the Middle East.
- The importance of stablecoin infrastructure in emerging markets is growing.
- Yellowcard provides a complete infrastructure for companies to enter the digital asset space.
We provide a complete infrastructure to enable companies to enter this field.
— Chris Morris
- Services include wallets, fiat payments, and compliance.
- The role of yellow cards is important in facilitating digital asset transactions.
Information asymmetry in emerging markets
- Information asymmetry is a major barrier to accessing dollars in emerging markets.
It almost always comes down to information asymmetry.
— Chris Morris
- Market inefficiency is primarily due to information asymmetry.
- It is important to understand the dynamics of currency access.
- Information flow plays an important role in financial transactions.
- Addressing information asymmetries can improve market efficiency.
- Emerging markets face unique challenges in currency access.
- The importance of information in financial transactions cannot be overstated.
Stablecoins as a solution
- Stablecoins provide a solution for businesses that require international payments.
Stablecoins are the first technology to help these companies make these types of international payments.
— Chris Morris
- Stablecoins enable bill payments without using traditional banking systems.
- Businesses can avoid black markets in international trade.
- The role of stablecoins in facilitating international trade is important.
- Liquidity issues in emerging markets can be solved with stablecoins.
- Stablecoins offer practical applications for businesses.
- Emerging markets are seeing increased adoption of stablecoins.
Limitations of traditional banking
- Traditional banking systems are not designed for emerging markets.
Correspondent banking systems were never built for emerging markets.
— Chris Morris
- Significant inefficiencies exist in the movement of funds in these regions.
- There are serious flaws in the global financial system that affect emerging markets.
- Banking infrastructure needs to be improved.
- Emerging markets require customized banking systems.
- The current system is built for the United States and Europe, not the rest of the world.
- Addressing these inefficiencies can strengthen financial inclusion.
The role of intermediaries in cryptocurrencies
- The current cryptocurrency ecosystem relies heavily on intermediaries.
I think we’ve gotten sucked into the false narrative that cryptocurrencies are peer-to-peer.
— Chris Morris
- Transactions are facilitated by wallets, custodians, and exchanges.
- The evolution of the cryptocurrency ecosystem has moved away from peer-to-peer.
- In the current cryptocurrency landscape, intermediaries play an important role.
- Misconceptions about cryptocurrency trading need to be cleared up.
- Understanding the role of intermediaries is critical for the industry.
- Reliance on intermediaries calls into question the original vision of cryptocurrencies.
Improving access to capital markets
- Access to capital markets needs to become more efficient and liquid.
Making capital markets more efficient, accessible and liquid.
— Chris Morris
- Current capital market inefficiencies impact user access.
- Improving accessibility is critical to the growth of the cryptocurrency ecosystem.
- Efficient capital markets benefit a wider range of people.
- Efforts to improve capital markets are underway.
- Improving the user experience in capital markets is a priority.
- The importance of liquid capital markets cannot be overstated.
Strategic focus on B2B2C and B2B models
- B2B2C and B2B models effectively leverage existing infrastructure.
This is a big part of why we focus on B2B2C and B2B.
— Chris Morris
- Companies can reach end users more effectively through these models.
- Existing financial institutions play a key role in this strategy.
- Solving infrastructure challenges requires leveraging established systems.
- By focusing on these models, we address last-mile challenges.
- Modernizing systems such as mobile money is also part of the strategy.
- A strategic approach strengthens the financial sector infrastructure.
