Jed McCaleb’s Company Stellar Created for Economic Improvement in the Cryptocurrency Industry

GC Report’s article “The Road to Building Stellar with Jed McCaleb on Block Zero” describes the co-founder’s path to creating the recent blockchain company. Though the company was created in 2014, the path McCaleb took to create it was winding. He created this financial network as a non-profit to help repair the outdated infrastructure of the current financial system which currently limits the potential economic improvement within the world at large. The company connects technology and digital financial literacy. McCaleb hopes the company will eventually allow for full participation in the world’s economy.

McCaleb first became interested in digital finances in 2010 after he read an article on the popular technology site Slashdot. The article discussed a new technology called Bitcoin. McCaleb’s interest led him to the popular bitcoin centered chat called Bitcointalk. He was interested in the idea of a currency that wasn’t controlled centrally, but he wasn’t entirely sure it was possible.

After encountering the idea, he created a centralized trading exchange for Bitcoin called Mt. Gox. Mt Gox was one of the few exchanges available at the time for the digital currency and at one point in 2011, it controlled nearly 80% of all the cryptocurrency exchange. In 2011, McCaleb left Mt. Gox and sold it to Mark Karpeles, a software developer. Though he retained a small stake in the company of 12%, he wanted to dedicate his time to solving the issues at the heart of Bitcoin.

According to McCaleb, one of the largest issues the cryptocurrency was facing at the time was the inefficient mining abilities. It bothered McCaleb to the point of starting another company to solve the issue. The company eventually grew beyond McCaleb’s idea for it and became bigger than the original idea.

Then in 2014, McCaleb started the Stellar protocol. The Stellar Development Foundation was founded to oversee it. It was created to oversee the internet-level protocol for payments of the cryptocurrency. McCaleb wanted to create a network of banks and other financial institutions that could function in a similar way to email, streamlining the process.

McCaleb is also the advisor for a variety of companies like Machine Intelligence Research Institute and Mobius. More: Jed McCaleb on LinkedIn.

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