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Is Kong stabilized/a stablecoin or is it a commodity-style asset?
by lazzlazzlazz 7y ago
Is Kong stabilized/a stablecoin or is it a commodity-style asset?
- ccamrobertson 7y agoNo, there is nothing backing the Kong token. See section 4 in the paper for more of a discussion on the token issuance. We considered various stablecoin constructions, but most of them effectively pin to fiat which (1) seems to defeat the original intent of cryptocurrencies (i.e. think back to 2009) as not subject to the whims of central banks and (2) seems to just duplicate fiat currencies in a more expensive format. Likewise we are doubtful that most folks holding BTC/ETH/etc. would actually be willing to spend it on something, vs. just continue to hodl in a cooler format.
- lazzlazzlazz 7y agoYou mentioned two stablecoin methods, but not the interesting and somewhat successful MakerDAO approach. What do you think about that?