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Is US dollar backed a good thing? At this point we should be backing things on gold, platinum. The Australian dollar has gone up about 20% vs the American doll

Is US dollar backed a good thing? At this point we should be backing things on gold, platinum. The Australian dollar has gone up about 20% vs the American dollar since Trump.

cj 1y ago
A basket of currencies and value stores seems like it would be the least volatile.
- JumpCrisscross 1y ago
  > basket of currencies and value stores seems like it would be the least volatile For whom? The least volatile asset relative to dollars are dollars. The moment you start building a money-market fund you have novel risks, from credit to rates and FX. (And, in the extreme, legal.)
  - cj 1y ago
    > For whom For people outside of the US.
    - JumpCrisscross 1y ago
      > For people outside of the US They’re better off with their own currency or an international currency (currently, Euros or dollars). Almost never a basket. (The IMF has SDRs. And various trade-weighted baskets are constructed for metric purposes. They aren’t practical instruments.)
dboreham 1y ago
If you don't hold it as an investment it doesn't matter.
JumpCrisscross 1y ago
> Australian dollar has gone up about 20% vs the American dollar since Trump Which makes it garbage for transacting if you’re paid in or pay with any other currency. Modern currencies split their store of value and medium of exchange components. Stablecoins (and credit cards and checking accounts) seize on the latter. Bitcoins (and Treasuries and money-market funds) the former.
Nervhq 1y ago
I mean.. That's factually not true, it's lost tons of value, it's currently 1.53, what are you talking about? You're either very confused Or just a straight up liar.
lossolo 1y ago
> Is US dollar backed a good thing? At this point we should be backing things on gold, platinum. It's about making free money, not about making sense. They back it with USD because recent US regulations allow stablecoins to be backed by US securities. They will buy these securities, and for every dollar converted into their coin, they will earn a percentage per year. Free money.

Is US dollar backed a good thing? At this point we should be backing things on gold, platinum. The Australian dollar has gone up about 20% vs the American dollar since Trump.

cj 1y ago

A basket of currencies and value stores seems like it would be the least volatile.

JumpCrisscross 1y ago
> basket of currencies and value stores seems like it would be the least volatile For whom? The least volatile asset relative to dollars are dollars. The moment you start building a money-market fund you have novel risks, from credit to rates and FX. (And, in the extreme, legal.)
- cj 1y ago
  > For whom For people outside of the US.
  - JumpCrisscross 1y ago
    > For people outside of the US They’re better off with their own currency or an international currency (currently, Euros or dollars). Almost never a basket. (The IMF has SDRs. And various trade-weighted baskets are constructed for metric purposes. They aren’t practical instruments.)

dboreham 1y ago

If you don't hold it as an investment it doesn't matter.

JumpCrisscross 1y ago

> Australian dollar has gone up about 20% vs the American dollar since Trump Which makes it garbage for transacting if you’re paid in or pay with any other currency. Modern currencies split their store of value and medium of exchange components. Stablecoins (and credit cards and checking accounts) seize on the latter. Bitcoins (and Treasuries and money-market funds) the former.

Nervhq 1y ago

I mean.. That's factually not true, it's lost tons of value, it's currently 1.53, what are you talking about? You're either very confused Or just a straight up liar.

lossolo 1y ago

> Is US dollar backed a good thing? At this point we should be backing things on gold, platinum. It's about making free money, not about making sense. They back it with USD because recent US regulations allow stablecoins to be backed by US securities. They will buy these securities, and for every dollar converted into their coin, they will earn a percentage per year. Free money.