theCUBE + NYSE Wired: Crypto Trailblazers | Michael Kazley, Stablecoin Development Corporation

Michael Kazley, Stablecoin Development Corporation

In this insightful episode of the Crypto Trailblazers series hosted by theCUBE, Mike Cagney of Figure Markets sits down with analysts from theCUBE Research to discuss groundbreaking advancements in blockchain technology and their implications for the finance sector. This video is part of the NYSE Wired digital event, aimed at bridging the gap between Silicon Valley and Wall Street by integrating technology and finance. Cagney, an eminent figure in fintech, shares expertise on the transformative role of blockchain in financial markets during this interview. Conducted by seasoned analysts at theCUBE, the discussion delves into Figure’s innovative contributions, including their blockchain-native loan origination and securitization process. He outlines how Figure leverages blockchain to achieve cost reductions, enhanced security and improved liquidity in financial transactions. Key takeaways from the interview highlight insights on the evolution of the Web3 ecosystem, such as the emergence of stablecoins as pivotal to transaction processes and the rise of decentralized finance (DeFi). Oltsik states these developments signify a shift towards democratizing finance, wherein truth and transparency are foundational. The conversation concludes with a look at Figure’s pioneering efforts in creating a new financial marketplace utilizing blockchain technology. #CryptoTrailblazers #FigureMarkets #BlockchainInnovation #Web3 #NYEWired #BlockchainFinance #DecentralizedFinance #Fintech #Stablecoins Find more SiliconANGLE news and analysis https://siliconangle.com/. Follow theCUBE's wall-to-wall event coverage https://siliconangle.com/events/ Learn about the latest theCUBE events https://www.thecube.net/ 00:00 - Intro 00:05 - Emerging Innovations in Financial Technology and Market Dynamics 02:45 - Key Elements in Financial Ecosystem Dynamics 06:20 - Blockchain: Truth and Transformation 09:39 - Shaping the Future: Innovations in Financial Markets and Stablecoin Integration 13:15 - Enabling the Future: Navigating Disruptions in Banking and Lending 16:51 - Exploring Opportunities and Building Confidence in the Blockchain Ecosystem

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More from theCUBE + NYSE Wired: Crypto Trailblazers

Michael Kazley

Chairman of the Board & Chief Executive Officer

Stablecoin Development Corporation

pause_circle_outline Pharma Company Rebrands as Stablecoin Development Corporation Four Days After Pivot, Backed by R01, Framework, Tether, Sky Frontier

play_circle_outline Company acquired greater than 9% stake in the Sky Protocol

play_circle_outline Roadmap: Raising Equity or Debt to Scale Sky Investments and Monetize Staking's Cashflow-Like Returns

play_circle_outline Sky Protocol's USDS Drives Stablecoin Surge: 2025 Growth ~90%, YTD +20%, $11.5B Supply on $15B Collateral

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Michael Kazley, Stablecoin Development Corporation

Michael Kazley

Chairman of the Board & Chief Executive Officer Stablecoin Development Corporation

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Gemma Allen

>> Welcome back to theCube studio here at the New York Stock Exchange. This is Crypto Trailblazers, part of our programming with NYSE Wired. And joining me now is the CEO and Chairman of the Board of Stablecoin Development Corporation, newly named Michael Kazley. Welcome, Michael. So Michael, this is a very interesting story. This company, newly named, newly rebranded just four days ago. It is not just a typical pivot. You guys were originally a pharmaceutical company. And in the hardcore space in that you were doing eye care, wound care, now you're in the stablecoin business. That is not just a transformation. That's like a full metamorphosis. Tell me about what happened, what drove this?

Michael Kazley

>> This. Yeah, it's been a complete repositioning and pivoting of the original strategy. We spent months looking for a good target. That was a company that was ready to do a deal where we could take a controlling position. We did that in October. We took a controlling position in the company. In January, we raised a larger pipe investment. Our investors included R01 Fund LP, Framework Ventures who is a leading VC firm. Tether Investments, who's the world's largest stablecoin issuer, and the Sky Frontier Foundation, whose stated mission is to advance the Sky protocol.

Gemma Allen

>> Wow. And your own background, because you've come into this company in October 2025, am I correct?

Michael Kazley

>> Correct. Yeah.

Gemma Allen

>> So your background though, you're a traditional finance dude historically, right?

Michael Kazley

>> Yeah, totally.

Gemma Allen

>> Talk to me a little bit about your , or your growth into the world of crypto.

Michael Kazley

>> Yeah. So I started my career as a Financial Analyst within Goldman Sachs. Very quickly, I had the bug to go on to more entrepreneurial things. So I started a hedge fund called Cedar Lake. From there, I teamed up with old Goldman partners, and we launched one of the first crypto index funds, Crescent Crypto. That fund launched an active fund, the Digital Opportunities Fund, which was very well performing in the 2021 bull cycle. Took a year to slow down, basically a family office style role, until I was excited to start the next effort, which was R01 Fund LP, another crypto hedge fund that was more active, a little smaller base. We were able to do cooler trades and investments. And then we made our biggest investment yet, which was into this company. And so that's my long story of how I've started at Goldman, and I've worked in the crypto space since 2017 professionally.

Gemma Allen

>> Wow. So Stablecoin Development Corporation. Set out the parameters of this. Talk to me a little bit about what it is exactly that you guys seek to deliver.

Michael Kazley

>> Yeah. So we wanted to bring a public market vehicle that could organize, acquire, and provide access to Stablecoin cash flows. Historically speaking, there haven't been a lot of public market plays for Stablecoins. I think the market as a whole realizes this is a great opportunity. In 2020, there was $5 billion of Stablecoins in total. Today there's over $300 billion of Stablecoins, and so you've seen really solid secular growth. There's limited opportunities to play this. Tether, who I mentioned is the single largest issuer. They're a private company valued north of $200 billion. Circle and Coinbase share ownership over USDC. Coinbase is about a $50 billion company. Circle's a $30 billion company. And the Sky Protocol is a $2 billion asset. And that's where we focused our attentions. We find it to be overlooked, undervalued. We're wildly bullish. And so our public company has acquired greater than a 9% stake in the Sky Protocol. We're participating in the network by contributing to governance, as well as staking our assets and earning a nice rate of return.

Gemma Allen

>> So I guess the most obvious comparison is probably the micro strategy playbook, right? How do you guys differentiate in that space? How do you think about it, I guess in terms of your unique market message?

Michael Kazley

>> Yeah. So it's similar in the sense that we're both companies with crypto assets on our balance sheet, but I think it's very differentiated. Michael Saylor set the path forward for me and companies like us, but I think we're differentiated. We look at ourselves like an on-chain holding company focused on the Stablecoin economy. And so Saylor owns two to 3% of all the Bitcoin in existence. We already own more than 9% of the Sky protocol. We are a more active participant. Rather than being a passive holder of a much larger asset, we're a large, active holder of a smaller asset. And from here, we have our eyes wide open. We're looking for more cashflow opportunities. We're looking to invest more into the Sky Protocol, and ultimately give public market investors an opportunity to participate in the growth of the stablecoin economy.

Gemma Allen

>> So in terms of this rebrand, that's quite new. Talk to me a little bit about the product roadmap, the customer roadmap ahead. What are you guys hoping to bring in the next six to 12 months that might be in some way unique to the market?

Michael Kazley

>> Yeah. So we have our eyes wide open. We've been moving really quick. I think there's an element to financial engineering, raising more capital, be it through equity or debt. And so that's definitely on our roadmap. From there, we're looking for more opportunities that are similarly compelling. I think for now though, our focus does remain on the Sky Protocol. It's overwhelmingly compelling on a valuation basis. Unlike some of the other crypto assets, you talk about Bitcoin, which has really filled this role of being a digital store of value. It has a $1.4 trillion valuation. It's a risk on asset. I support Bitcoin. I believe in Bitcoin. Ether is the next largest asset everyone knows about. It's a $260 billion asset. It's a little challenge with how its fees work. I think investors have a hard time looking at Ether and saying, "This is a really compelling purchase." Because the fees don't necessarily accrue to token holders. In Sky, you can actually look at it from a cashflow basis. We stake our Sky, and we're able to earn this rate of return. The Sky Protocol is profitable. By staking, we're able to participate directly in the profitability of the enterprise. I can look forward and think, "Hey, what is the price to earnings of the Sky Protocol? Is this attractive?" And it continues to be one of the most attractive plays in this secular growth market of Stablecoins.

Gemma Allen

>> And in terms of what's happening broadly for Stablecoins, let's talk a little bit about governance for a second, because it has been somewhat of a game changer. Especially in terms of mass market appeal. Talk about how you have seen things play out from the perspective of direct impacts, the folks that you talk to day in, day out.

Michael Kazley

>> Yeah. There's been a lot that's happened in the crypto space, governance models that are top end heavy. Your stake matters, and our stake matters a lot. I wouldn't call it a decisive stake because generally speaking, we own more than two billion tokens. It's probably six to seven billion dollar tokens to really have a dominant vote in this section, but we support the efforts of the foundation and the engineers who work on the protocol. We think they have their head screwed on straight. It's a serious institutional effort to grow their balance sheet, proliferate the growth of USDS, which is their core stable coin. And so we're a benign supporter.

Gemma Allen

>> Wow. So you mentioned some interesting investors there. Talk to me a little bit about their investor thesis. How do their intentions align and maybe split a little bit? How are those playing out from the perspective of competitive dynamics too in the space? Where there's at least the perception of collegiality, but it's still a cashless market at the end of the day. So talk about that.

Michael Kazley

>> All of my investors certainly want to make money and have financial returns, but I think it is interesting. Tether is the world's largest stablecoin issuer. And here they are investing in a public company that owns the third largest stablecoin. There's a key differentiation between USDT and Tether's product, and even USDC, which is the second largest, which those are more considered payment stablecoins. Stablecoins have a broad use case between trading, settlement, stable value for DeFi collateral, but USDS and Sky are the dominant category leaders within the yield-bearing stablecoin ecosystem. And so by owning USDS, you can stake it or supply it to a deposit account, and earn a 3.75% rate of return. So it is a source of yield for DeFi. And zooming out, the Sky Protocol has about a $15 billion collateral balance sheet. Today, there's 11.5 Billion of their stablecoins in supply, and it's been rapidly growing. Full year 2025, the stablecoins in their system grew over 90%, and year-to-date, up another 20%. So you have a $15 billion collateral pool that's funding this $11.5 billion of stablecoins. A lot of the effort now has been to diversify and embrace complexity within the portfolio. As it scales, they need to provide more returns. They need to find ways that are resilient. And I think Sky and engineers there have done an excellent job as risk managers, zooming out and not following the latest fad, but looking for solid, stable returns.

Gemma Allen

>> And when you think about scale, especially at your own organization at this turning point, new brand, new image per se. What's ahead from the perspective of your own growth? Are you hiring? What's happening in the industry broadly? We hear so much about what's happening in tech. And it's not always positive. What's happening in your space? Are you seeing more and more people move from the world with TradFi into DeFi? Are you looking for specific sorts of skillsets? Where's the growth current?

Michael Kazley

>> Yeah, we are hiring. I think we have a solid team today. We're wholly focused on our mission, very successful and thoughtful team members who can work with me, a great board. I think Stablecoins in general have become a serious figment within the digital market infrastructure. So they aren't just crypto assets in that sense. You've seen recently with the Genius Act, Clarity Act's, that stablecoins, which are once a fringe crypto asset, are now working their way into mainstream conversation.

Gemma Allen

>> Well, they've seen as the grownup option. That certainly seems to be the impression on this site. But talk a little bit about those acts. They get a lot of media. There's certainly a lot of commentary around them and they have had mass impact. How does it actually tactically deliver an outcome though? Are you seeing that on the other side? Are you seeing more skeptics coming on board? What are the day-to-day impacts like?

Michael Kazley

>> Yeah. Having seen a lot of regulation get proposed, pulled back, talk about for years, for various topics, this is more serious. I think the Genius Act is moving forward. The lens that I understand today is that there's a clear bifurcation between payment stablecoins and yield bearing stablecoins. And so it was maybe a bit of a blow to payment stablecoins in the sense that you're not going to be able to have your stablecoins sit idly and earn rates of return. That's been likely as a result of bank lobbying, that's been the proposed result. And I do think it's interesting to note that what stablecoins represent, is a direct competition to savings accounts and deposit accounts, in the sense that you could either have money as an electronic balance at a bank, or you can send your capital into a crypto exchange, buy stablecoins, and what you've effectively done is traded in your dollars for this new financial asset. So banks have been lobbying against being able to pay these rewards and interest rates, so that in some sense it's a little less competitive, I think is the potential outcome of what we're seeing, but it's still in flux. Nothing is set in stone. And so we have our eyes wide open for how it all comes together.

Gemma Allen

>> I think one of the challenges still in the crypto space is around who owns the compliance angle. Is it the issuer? Is it the holder? That from a mainstream perception is still somewhat unclear. What are your thoughts? Do you think that there is a world whereby these two collide in some respects?

Michael Kazley

>> Yeah, I think they do. I think there's a lot of different formats. Banks can issue their own stablecoins. They can use them internally. The compliance angle that we just discussed is really around customers holding stablecoins within financial institutions, and how rates of return are paid. And so I think you'll see more, whether it's cross-border remittance, KYC/AML, there's a lot of regulation to be sussed out.

Gemma Allen

>> So we're coming up on time, but I have to ask you about one question which certainly fascinated me when I read your bio. The no salary commitment, until 2027.

Michael Kazley

>> Correct.

Gemma Allen

>> That sends a very interesting signal to investors for sure. Talk to me a little about the decision to publicly decide upon that, and what the response has been too.

Michael Kazley

>> I think one, to your point, it is a signal. I think secondly, I invested more than $4 million into the deal and the pipe, and that's because I'm very bullish on our prospects and what we're doing. So I consider myself an equity investor, and that's always been the role I've played throughout my hedge fund career is to invest my capital and work for it. Taking a salary would be a bad signal, and so I'm committed to making our equity more valuable.

Gemma Allen

>> I love it. I love the clarity in which you deliver that too. So last question. Talk to me a little bit about what's ahead for you now. You've had this rebrand, you're at the NYSC, times are changing. What does the next six to 12 months look like for you, and the team at this newly named entity?

Michael Kazley

>> Yeah. It's hard to look that far ahead. Every day is a sprint, but we're looking for ways to be more productive with our capital, I think is interesting. You could use Sky in a couple different ways to make more money. They're still exploratory. We've considered other investments and things that are adjacent to the Sky Protocol, as well as stablecoin-aligned. And so we have our eyes wide open. I think we approach this like institutional investment managers, and we want to build a solid diversified portfolio that is resilient and profitable.

Gemma Allen

>> Can you give any comment on the sorts of adjacent investments you're thinking? Can you give us a sneak preview in terms of what might be coming?

Michael Kazley

>> Yeah. I think partnering with other public companies that are in the lending space is interesting. I think proliferating the growth of USDS is super interesting. I think there's the mortgage market, the prime brokerage lending market are two prime candidates for disruption, that can actually use DeFi systems today. I think there's an educational curve, there's a deal making curve, and we need to keep looking.

Gemma Allen

>> Well, wonderful to have you on. Fascinating story. Congrats on the rebrand, and thanks for coming on theCUBE.

Michael Kazley

>> Awesome. Thank you so much for having me. It's been great.

Gemma Allen

>> I'm Gemma Allen here at theCUBE Studio at the NYSC. This is Crypto Trailblazers, part of our NYSE Wired programming. Thanks for watching.

Michael Kazley, Stablecoin Development Corporation

search

Gemma Allen

>> Welcome back to theCube studio here at the New York Stock Exchange. This is Crypto Trailblazers, part of our programming with NYSE Wired. And joining me now is the CEO and Chairman of the Board of Stablecoin Development Corporation, newly named Michael Kazley. Welcome, Michael. So Michael, this is a very interesting story. This company, newly named, newly rebranded just four days ago. It is not just a typical pivot. You guys were originally a pharmaceutical company. And in the hardcore space in that you were doing eye care, wound care, now you're in the stablecoin business. That is not just a transformation. That's like a full metamorphosis. Tell me about what happened, what drove this?

Michael Kazley

>> This. Yeah, it's been a complete repositioning and pivoting of the original strategy. We spent months looking for a good target. That was a company that was ready to do a deal where we could take a controlling position. We did that in October. We took a controlling position in the company. In January, we raised a larger pipe investment. Our investors included R01 Fund LP, Framework Ventures who is a leading VC firm. Tether Investments, who's the world's largest stablecoin issuer, and the Sky Frontier Foundation, whose stated mission is to advance the Sky protocol.

Gemma Allen

>> Wow. And your own background, because you've come into this company in October 2025, am I correct?

Michael Kazley

>> Correct. Yeah.

Gemma Allen

>> So your background though, you're a traditional finance dude historically, right?

Michael Kazley

>> Yeah, totally.

Gemma Allen

>> Talk to me a little bit about your , or your growth into the world of crypto.

Michael Kazley

>> Yeah. So I started my career as a Financial Analyst within Goldman Sachs. Very quickly, I had the bug to go on to more entrepreneurial things. So I started a hedge fund called Cedar Lake. From there, I teamed up with old Goldman partners, and we launched one of the first crypto index funds, Crescent Crypto. That fund launched an active fund, the Digital Opportunities Fund, which was very well performing in the 2021 bull cycle. Took a year to slow down, basically a family office style role, until I was excited to start the next effort, which was R01 Fund LP, another crypto hedge fund that was more active, a little smaller base. We were able to do cooler trades and investments. And then we made our biggest investment yet, which was into this company. And so that's my long story of how I've started at Goldman, and I've worked in the crypto space since 2017 professionally.

Gemma Allen

>> Wow. So Stablecoin Development Corporation. Set out the parameters of this. Talk to me a little bit about what it is exactly that you guys seek to deliver.

Michael Kazley

>> Yeah. So we wanted to bring a public market vehicle that could organize, acquire, and provide access to Stablecoin cash flows. Historically speaking, there haven't been a lot of public market plays for Stablecoins. I think the market as a whole realizes this is a great opportunity. In 2020, there was $5 billion of Stablecoins in total. Today there's over $300 billion of Stablecoins, and so you've seen really solid secular growth. There's limited opportunities to play this. Tether, who I mentioned is the single largest issuer. They're a private company valued north of $200 billion. Circle and Coinbase share ownership over USDC. Coinbase is about a $50 billion company. Circle's a $30 billion company. And the Sky Protocol is a $2 billion asset. And that's where we focused our attentions. We find it to be overlooked, undervalued. We're wildly bullish. And so our public company has acquired greater than a 9% stake in the Sky Protocol. We're participating in the network by contributing to governance, as well as staking our assets and earning a nice rate of return.

Gemma Allen

>> So I guess the most obvious comparison is probably the micro strategy playbook, right? How do you guys differentiate in that space? How do you think about it, I guess in terms of your unique market message?

Michael Kazley

>> Yeah. So it's similar in the sense that we're both companies with crypto assets on our balance sheet, but I think it's very differentiated. Michael Saylor set the path forward for me and companies like us, but I think we're differentiated. We look at ourselves like an on-chain holding company focused on the Stablecoin economy. And so Saylor owns two to 3% of all the Bitcoin in existence. We already own more than 9% of the Sky protocol. We are a more active participant. Rather than being a passive holder of a much larger asset, we're a large, active holder of a smaller asset. And from here, we have our eyes wide open. We're looking for more cashflow opportunities. We're looking to invest more into the Sky Protocol, and ultimately give public market investors an opportunity to participate in the growth of the stablecoin economy.

Gemma Allen

>> So in terms of this rebrand, that's quite new. Talk to me a little bit about the product roadmap, the customer roadmap ahead. What are you guys hoping to bring in the next six to 12 months that might be in some way unique to the market?

Michael Kazley

>> Yeah. So we have our eyes wide open. We've been moving really quick. I think there's an element to financial engineering, raising more capital, be it through equity or debt. And so that's definitely on our roadmap. From there, we're looking for more opportunities that are similarly compelling. I think for now though, our focus does remain on the Sky Protocol. It's overwhelmingly compelling on a valuation basis. Unlike some of the other crypto assets, you talk about Bitcoin, which has really filled this role of being a digital store of value. It has a $1.4 trillion valuation. It's a risk on asset. I support Bitcoin. I believe in Bitcoin. Ether is the next largest asset everyone knows about. It's a $260 billion asset. It's a little challenge with how its fees work. I think investors have a hard time looking at Ether and saying, "This is a really compelling purchase." Because the fees don't necessarily accrue to token holders. In Sky, you can actually look at it from a cashflow basis. We stake our Sky, and we're able to earn this rate of return. The Sky Protocol is profitable. By staking, we're able to participate directly in the profitability of the enterprise. I can look forward and think, "Hey, what is the price to earnings of the Sky Protocol? Is this attractive?" And it continues to be one of the most attractive plays in this secular growth market of Stablecoins.

Gemma Allen

>> And in terms of what's happening broadly for Stablecoins, let's talk a little bit about governance for a second, because it has been somewhat of a game changer. Especially in terms of mass market appeal. Talk about how you have seen things play out from the perspective of direct impacts, the folks that you talk to day in, day out.

Michael Kazley

>> Yeah. There's been a lot that's happened in the crypto space, governance models that are top end heavy. Your stake matters, and our stake matters a lot. I wouldn't call it a decisive stake because generally speaking, we own more than two billion tokens. It's probably six to seven billion dollar tokens to really have a dominant vote in this section, but we support the efforts of the foundation and the engineers who work on the protocol. We think they have their head screwed on straight. It's a serious institutional effort to grow their balance sheet, proliferate the growth of USDS, which is their core stable coin. And so we're a benign supporter.

Gemma Allen

>> Wow. So you mentioned some interesting investors there. Talk to me a little bit about their investor thesis. How do their intentions align and maybe split a little bit? How are those playing out from the perspective of competitive dynamics too in the space? Where there's at least the perception of collegiality, but it's still a cashless market at the end of the day. So talk about that.

Michael Kazley

>> All of my investors certainly want to make money and have financial returns, but I think it is interesting. Tether is the world's largest stablecoin issuer. And here they are investing in a public company that owns the third largest stablecoin. There's a key differentiation between USDT and Tether's product, and even USDC, which is the second largest, which those are more considered payment stablecoins. Stablecoins have a broad use case between trading, settlement, stable value for DeFi collateral, but USDS and Sky are the dominant category leaders within the yield-bearing stablecoin ecosystem. And so by owning USDS, you can stake it or supply it to a deposit account, and earn a 3.75% rate of return. So it is a source of yield for DeFi. And zooming out, the Sky Protocol has about a $15 billion collateral balance sheet. Today, there's 11.5 Billion of their stablecoins in supply, and it's been rapidly growing. Full year 2025, the stablecoins in their system grew over 90%, and year-to-date, up another 20%. So you have a $15 billion collateral pool that's funding this $11.5 billion of stablecoins. A lot of the effort now has been to diversify and embrace complexity within the portfolio. As it scales, they need to provide more returns. They need to find ways that are resilient. And I think Sky and engineers there have done an excellent job as risk managers, zooming out and not following the latest fad, but looking for solid, stable returns.

Gemma Allen

>> And when you think about scale, especially at your own organization at this turning point, new brand, new image per se. What's ahead from the perspective of your own growth? Are you hiring? What's happening in the industry broadly? We hear so much about what's happening in tech. And it's not always positive. What's happening in your space? Are you seeing more and more people move from the world with TradFi into DeFi? Are you looking for specific sorts of skillsets? Where's the growth current?

Michael Kazley

>> Yeah, we are hiring. I think we have a solid team today. We're wholly focused on our mission, very successful and thoughtful team members who can work with me, a great board. I think Stablecoins in general have become a serious figment within the digital market infrastructure. So they aren't just crypto assets in that sense. You've seen recently with the Genius Act, Clarity Act's, that stablecoins, which are once a fringe crypto asset, are now working their way into mainstream conversation.

Gemma Allen

>> Well, they've seen as the grownup option. That certainly seems to be the impression on this site. But talk a little bit about those acts. They get a lot of media. There's certainly a lot of commentary around them and they have had mass impact. How does it actually tactically deliver an outcome though? Are you seeing that on the other side? Are you seeing more skeptics coming on board? What are the day-to-day impacts like?

Michael Kazley

>> Yeah. Having seen a lot of regulation get proposed, pulled back, talk about for years, for various topics, this is more serious. I think the Genius Act is moving forward. The lens that I understand today is that there's a clear bifurcation between payment stablecoins and yield bearing stablecoins. And so it was maybe a bit of a blow to payment stablecoins in the sense that you're not going to be able to have your stablecoins sit idly and earn rates of return. That's been likely as a result of bank lobbying, that's been the proposed result. And I do think it's interesting to note that what stablecoins represent, is a direct competition to savings accounts and deposit accounts, in the sense that you could either have money as an electronic balance at a bank, or you can send your capital into a crypto exchange, buy stablecoins, and what you've effectively done is traded in your dollars for this new financial asset. So banks have been lobbying against being able to pay these rewards and interest rates, so that in some sense it's a little less competitive, I think is the potential outcome of what we're seeing, but it's still in flux. Nothing is set in stone. And so we have our eyes wide open for how it all comes together.

Gemma Allen

>> I think one of the challenges still in the crypto space is around who owns the compliance angle. Is it the issuer? Is it the holder? That from a mainstream perception is still somewhat unclear. What are your thoughts? Do you think that there is a world whereby these two collide in some respects?

Michael Kazley

>> Yeah, I think they do. I think there's a lot of different formats. Banks can issue their own stablecoins. They can use them internally. The compliance angle that we just discussed is really around customers holding stablecoins within financial institutions, and how rates of return are paid. And so I think you'll see more, whether it's cross-border remittance, KYC/AML, there's a lot of regulation to be sussed out.

Gemma Allen

>> So we're coming up on time, but I have to ask you about one question which certainly fascinated me when I read your bio. The no salary commitment, until 2027.

Michael Kazley

>> Correct.

Gemma Allen

>> That sends a very interesting signal to investors for sure. Talk to me a little about the decision to publicly decide upon that, and what the response has been too.

Michael Kazley

>> I think one, to your point, it is a signal. I think secondly, I invested more than $4 million into the deal and the pipe, and that's because I'm very bullish on our prospects and what we're doing. So I consider myself an equity investor, and that's always been the role I've played throughout my hedge fund career is to invest my capital and work for it. Taking a salary would be a bad signal, and so I'm committed to making our equity more valuable.

Gemma Allen

>> I love it. I love the clarity in which you deliver that too. So last question. Talk to me a little bit about what's ahead for you now. You've had this rebrand, you're at the NYSC, times are changing. What does the next six to 12 months look like for you, and the team at this newly named entity?

Michael Kazley

>> Yeah. It's hard to look that far ahead. Every day is a sprint, but we're looking for ways to be more productive with our capital, I think is interesting. You could use Sky in a couple different ways to make more money. They're still exploratory. We've considered other investments and things that are adjacent to the Sky Protocol, as well as stablecoin-aligned. And so we have our eyes wide open. I think we approach this like institutional investment managers, and we want to build a solid diversified portfolio that is resilient and profitable.

Gemma Allen

>> Can you give any comment on the sorts of adjacent investments you're thinking? Can you give us a sneak preview in terms of what might be coming?

Michael Kazley

>> Yeah. I think partnering with other public companies that are in the lending space is interesting. I think proliferating the growth of USDS is super interesting. I think there's the mortgage market, the prime brokerage lending market are two prime candidates for disruption, that can actually use DeFi systems today. I think there's an educational curve, there's a deal making curve, and we need to keep looking.

Gemma Allen

>> Well, wonderful to have you on. Fascinating story. Congrats on the rebrand, and thanks for coming on theCUBE.

Michael Kazley

>> Awesome. Thank you so much for having me. It's been great.

Gemma Allen

>> I'm Gemma Allen here at theCUBE Studio at the NYSC. This is Crypto Trailblazers, part of our NYSE Wired programming. Thanks for watching.