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All of those transactions are settled in USD. Just because it's happening behind the scenes doesn't mean it's not happening at all.

toomuchtodo 6y ago
But it can be settled in any currency trivially. All you want in a currency is acceptance and value stability, and the infrastructure to support rapid changes in currency polices. Disclosure: I work in financial services and am familiar with this infrastructure.
- selectodude 6y ago
  Then you should almost certainly aware of the fact that the spreads on USD currency pairs are extremely low. Low enough where it ends up being cheaper to go Currency A -> USD -> Currency B than it is to go Currency A -> Currency B. If all you want is acceptance and value stability, it doesn't get a whole lot more stable than that.
  - toomuchtodo 6y ago
    You’re missing my point (which is probably my fault). It’s not about the financial mechanisms of currency exchange, it’s about the financial infrastructure. How does a crypto exchange support a new coin at genesis? They just add it to the platform. We’re arguing about the window dressing (currency spreads), and I’m talking about the technical implementation and fundamentals of supporting global treasury management. Edit: @JumpCrisscross I am familiar with how TransferWise works under the hood. The underlying settlement system is the legacy slowly being replaced.
    - JumpCrisscross 6y ago
      > We’re arguing about the window dressing (currency spreads) TransferWise is the window dressing. It is bolted onto an international credit and settlement system which is built on dollar settlement rails. The fact that it's turned every other currency into, in effect, a feature, underscores the point.
    - selectodude 6y ago
      >The underlying settlement system is the legacy slowly being replaced. The underlying settlement system is basic supply and demand. I'm not entirely sure how they (you?) plan to create some system where every currency pair is in perfect harmony. It simply doesn't work that way.
- JumpCrisscross 6y ago
  > All you want in a currency is acceptance and value stability And ready lenders and collateral and repos et cetera. Or maybe you don't, but a good fraction of the individuals you transact with, or with whom they transact, do. The fundamental advantage of the U.S. dollar is in our consumption. That litters the world with dollars searching for a home, and seeds the cross-border financial infrastructure whose pervasiveness makes transacting in dollars so much more convenient for so many more people than in any other currency.

toomuchtodo 6y ago

But it can be settled in any currency trivially. All you want in a currency is acceptance and value stability, and the infrastructure to support rapid changes in currency polices. Disclosure: I work in financial services and am familiar with this infrastructure.

selectodude 6y ago
Then you should almost certainly aware of the fact that the spreads on USD currency pairs are extremely low. Low enough where it ends up being cheaper to go Currency A -> USD -> Currency B than it is to go Currency A -> Currency B. If all you want is acceptance and value stability, it doesn't get a whole lot more stable than that.
- toomuchtodo 6y ago
  You’re missing my point (which is probably my fault). It’s not about the financial mechanisms of currency exchange, it’s about the financial infrastructure. How does a crypto exchange support a new coin at genesis? They just add it to the platform. We’re arguing about the window dressing (currency spreads), and I’m talking about the technical implementation and fundamentals of supporting global treasury management. Edit: @JumpCrisscross I am familiar with how TransferWise works under the hood. The underlying settlement system is the legacy slowly being replaced.
  - JumpCrisscross 6y ago
    > We’re arguing about the window dressing (currency spreads) TransferWise is the window dressing. It is bolted onto an international credit and settlement system which is built on dollar settlement rails. The fact that it's turned every other currency into, in effect, a feature, underscores the point.
  - selectodude 6y ago
    >The underlying settlement system is the legacy slowly being replaced. The underlying settlement system is basic supply and demand. I'm not entirely sure how they (you?) plan to create some system where every currency pair is in perfect harmony. It simply doesn't work that way.
JumpCrisscross 6y ago
> All you want in a currency is acceptance and value stability And ready lenders and collateral and repos et cetera. Or maybe you don't, but a good fraction of the individuals you transact with, or with whom they transact, do. The fundamental advantage of the U.S. dollar is in our consumption. That litters the world with dollars searching for a home, and seeds the cross-border financial infrastructure whose pervasiveness makes transacting in dollars so much more convenient for so many more people than in any other currency.