3 ms·
It's not really a crypto coin. It's a stable coin. The value is backed by hard cash in a vault somewhere. And not anyone can mine it, only the 10 million buy in
by CodiePetersen 7y ago
It's not really a crypto coin. It's a stable coin. The value is backed by hard cash in a vault somewhere. And not anyone can mine it, only the 10 million buy in organizations can process transactions on their nodes. But essentially it's pay pal labeled as a crypto coin. So they can get away with skirting some laws because "it's not actually money man".
Just a sleezeball move in my opinion to capitalise on the hard work the crypto community has been putting in to make safe trustworthy decentralised systems. That's in no way saying there isn't sleeze balls in the community, but there are real believers about the whole idea that have been working hard.
- mihaifm 7y agoOn top of that it's likely that they'll run a fractional reserve scheme, meaning that only a small portion of the coins will be backed by real currency at any given time. I haven't found any reference to this in their paper, I wonder if they'll provide transparency on this topic.