Stablecoins are the grease for CEXs the gateway (drug) for - since a lot of people trust their keys in the hands of the exchanges themselves - "claims" on liste

Stablecoins are the grease for CEXs the gateway (drug) for - since a lot of people trust their keys in the hands of the exchanges themselves - "claims" on listed cryptocurrency tokens. In service of efficiency and maximizing profits: claims on cash with claims on digital tokens. I will leave out the massive inflationary use of cryptocurrencies themselves like CEXs issuing their own tokens as a bonus sideline. At this point one could easily argue that the market cap lists are advertisement panels controlled by CEXs disguised as score boards (filled with "sponsors".) As we know from the practices of centuries old fractional reserving (how much does a bank has to hold on reverseves to create some amount money (credit) out of thin air?) "traditional" stablecoins are most certainly backed by (intransparent) fractional reserves, the most infamous one being Tether. For all we know they could be running at whatever is needed (some percent) to keep the machine barely running by people cashing out. Sooner or later triggering events will briefly pause the music on those merry trips to Jerusalem - but on this scale of course not equally for all so that those at the centralized sources themselves have enough time and the insight to react accordingly by taking everything they can and run; which again leaves the rest with basically nothing. So, in short exactly the opposite of what were/are the stated goal of cryptocurrencies. From that perspective I am eagerly awaiting the next iterations of CEXs and at some point after a lot of financial casualties the growing awareness of their abusive ecosystem of playing into the addictive and destructive nature of gambling fueled by the financial insecurities and disillusionment of social mobility a lot of people are facing in the real world. But I guess, this will be a long fight.