Imagine a world where your “checking account” is actually a high-yield instrument backed by over-collateralized loans against Bitcoin. You are spending stable currency, but the backing is hard money.
I guess the stable currency would be the bank's digital dollar mentioned earlier.
If a bank can issue a digital dollar that is over-collateralized by Bitcoin, that digital dollar is “harder” and safer than a digital dollar backed by fractional reserve fiat lending.
the saylor plan, well articulated and very compelling. And yet ...
I'm not against this but the devil is in the details and the devil is centralization. Too few custodians and the whole thing becomes a honeypot replicating the same problems the gold standard had. I expect that is what will probably happen and the custody war will be the final boss battle of bitcoinization of financial collateral.
This caught my attention:
I guess the stable currency would be the bank's digital dollar mentioned earlier.
the saylor plan, well articulated and very compelling. And yet ...
I'm not against this but the devil is in the details and the devil is centralization. Too few custodians and the whole thing becomes a honeypot replicating the same problems the gold standard had. I expect that is what will probably happen and the custody war will be the final boss battle of bitcoinization of financial collateral.