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We're not actually certain whether Mastercard will include volatile cryptocurrencies, such as Bitcoin. Reading this article (https://arstechnica.com/tech-policy
by dman7 6y ago
We're not actually certain whether Mastercard will include volatile cryptocurrencies, such as Bitcoin. Reading this article (https://arstechnica.com/tech-policy/2021/02/mastercard-will-support-cryptocurrencies-but-not-the-ones-you-think/ https://arstechnica.com/tech-policy/2021/02/mastercard-will-...), their requirements suggest supporting stablecoins (i.e. USDC). These cryptocurrencies are pegged to the dollar and should be backed by a reserve. In that case, your argument about price movements doesn't apply here.
- TylerE 6y agoThat's a rather heavy should. I'd bet dollars to pesos at least some of them are operating fractional reserve schemes, or have the reserve "invested" in crypto.
- dman7 6y agoTrue. I'm mainly referring to the fact that some stablecoins, such as Tether, are not honest about their actual reserves: https://news.ycombinator.com/item?id=25788409 https://news.ycombinator.com/item?id=25788409
- PragmaticPulp 6y agoStablecoins are, in theory, just a cryptocurrency representation of actual money in the bank somewhere. I'm all for it, if it's properly audited and confirmed that the funds are in place. I'm a huge proponent of cryptocurrency technology as long as it doesn't: 1) Depend on wasting ever-increasing amounts of electricity doing arbitrary useless proof-of-work 2) Create a new currency out of thin air, when all we really want is a way to move our existing money around. I don't want to have to buy an arbitrary cryptocurrency from some early adopters at an inflated price just to move my USD from point A to point B.