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How will you redeem your stable coin without some interaction with and approval from a bank? Where do you think the stable coin issuers hold their dollars? I m
by rank0 1y ago
How will you redeem your stable coin without some interaction with and approval from a bank? Where do you think the stable coin issuers hold their dollars?
I mean FFS the dang tokens are literally pegged to the dollar.
- Ekaros 1y agoStable coin is digital IOU. Where issuer makes the rules. I never got the idea how for that reason there is any guarantees that you can get money out in those less served locations.
- rank0 1y agoEven in ANY jurisdiction you’d presumably need a contractual agreement with the issuer. IIRC only certain entities may redeem tether/USDC for cash. You at a minimum need an account! Not like I can just send those companies my tokens and get straight cash. The whole thing is just asinine. The killer use case for crypto is dodging laws & regulation. Not even judging because that’s REAL utility!
- jgilias 1y agoThe vast majority of USDC(T) to cash transactions don’t happen through the redemption mechanism. The redemption mechanism is there for the purposes of holding the peg.