@vgr

How can you hold full reserves in a different auditable asset? Or is this an algorithmic stablecoin model? Most things would still be dollar denominated. 🤔 Fiats just hold nation-state levels of real estate with military force. Makes their problem easy. Related problem: USD tracking works because it’s the most used not because it’s the most objectively “rational” basis in some sense. “Rational” in practice is “whatever reality USD underwrites” and when people start doubting that you get an economic freeze effect rather than flight to alternate transactional units. If USD hyper inflates we’ll be in an unprecedented modern era. Has a “reserve hyperinflation” ever happened? Closest I can think of is late 17th century Spanish silver. And the world wasn’t as globalized then. I don’t quite get the 2 part staking competition problem. Off to the LLMs.

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