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The Pomp Podcast

Eyal Hertzog, Co-founder and Product Architect at Bancor: The Coming Changes to Bancor

9/9/2019 · 65 min · transcript via mlx

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Key topics

Eyal Hertzog's early career building consumer platforms (Contacts.com, MetaCafe) and his entry into cryptocurrency in May 2011 after discovering Bitcoin at $6.

Bancor protocol's architecture: a liquidity network using smart contracts with token reserves to guarantee continuous liquidity for any asset pair regardless of trading volume.

Bancor's $153 million ICO in June 2017 and the team's advantage as consumer software developers rather than pure technologists targeting mainstream adoption.

New governance model making BNT an inflationary token with default zero inflation, controlled by community voting using weighted median mechanism to decide inflation levels and liquidity pool support.

Creator.eco platform launch enabling anyone to issue free tokens for their audience, with tiered perks based on token holdings rather than monthly subscription fees.

Expansion to multi-blockchain liquidity (EOS, other chains) and introduction of USDB, a BNT-collateralized stablecoin similar to DAI.

Market & price signals

None discussed.

Actionable insights

Focus on building products users actually want rather than chasing market hype; long-term adoption comes from real utility, not speculation—a lesson Hertzog learned from surviving both the 2000 internet crash and the 2018 crypto winter.

Bancor's permissionless relay creation and fee-setting by liquidity providers lower barriers to entry for builders; Creator.eco's zero-cost token issuance with low failure risk may seed viral growth if creators encourage supporters to launch their own tokens.

Community governance via weighted median voting offers a more mathematically fair and tribalism-resistant model than simple majority voting for managing shared protocol parameters like inflation and fund allocation.

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