Ah, that one.

The question should be posed like this: "who would the community trust?". Then the problem disappears.

The Montelibero community that you're testing in has coordinated to emit a stablecoin which is overbacked by bank accounts and regularly audited. Might be actually better than Tether. This is exactly the sort of community that would benefit from Fedimint more than from solo uncle Jim setups.

No but if it had 1s blocks, better privacy and Liquid would be congested than it would surprise me if that didn't happen.