That FOMO is real.
A few months after their round at a (for us) already high valuation, Basecoin has announced the round that's being going around for a while, at a *super steep* valuation.
But apparently a long list of top investors think Basecoin will be the one stablecoin to rule them all. Bain Capital Ventures led the round and was joined by GV, Stan Druckenmiller, Lightspeed Venture Partners, Foundation Capital, Andreessen Horowitz, WingVC, NFX Ventures, Digital Currency Group and others.
One way Basecoin could actually become *the* one, is by now leveraging the massive amount of people with a vested interest in it, as they have also raised from major crypto exchanges, blockchain wallets, application developers, and economists.
You can read the CEO's announcement here
Our view on stablecoins is still fairly blurry. It is clear that they are much needed, but the best approach is still vastly unclear (jurisdictionally backed, crypto collateralized, algorithmic, etc.) and so paying up 9-10 digits valuations seems just incomprehensible to us. But clearly we just can't see the future yet.
The other thing that's unclear is *how* they can create so much value for rent seekers.
We're seeing examples with DAI/MRK but we've already seen many Basecoin "clones" that remove the Baseshares concept and thus remove the rent-seeking from the equation.
Still, a very interesting space to watch, until a FEDcoin is released and made mandatory on exchanges.Preston Byrne continues to not be impressed.
But I mean, this is a team that assumes a $5B valuation
at network launch as a "very conservative" estimate.