Monday, 16 May 2022

When the SEC retaliates for Terra and Luna and so forth

We have the leverage because if they try to put kyc on native wallets or felonize, extradite, or intimidate developers for coding, or blackball smart contracts, give "defi licenses" to CME chicago good ole boys, we will dedollarize & pull everything out of the US. US gets nothing.

Look at what Tom Duffy and the CME are doing to our industry, this decrepit guy is admitting to the US ag hearing what he & his crony did the last 4 year to us. If they try to give licenses to DeFi w/ gate keeping, Dedollarize everything, let them know.

You know how easy it is to just write a front end that shows the usd dollar amount of a completely different stable coin pegged to god knows what. Dedollarization.

Just build collateralized stable coins tied to a basket of 50 different currencies and 20 or 30 treasuries, plus 20 or 30 commodities, if these nation state want to do reflexivity attacks on the collateral, they'll have to short every major currency in every major country in the world. Invent our own peg. Over collateralize it to peg it to a past snap shot of itself at a given index of valued assets. It can be done.

Unfortunately I believe normalizing stablecoin pegs to the US dollar was just a mistake and a giant lever of power for the gov to enforce kyc & gatekeeping for banking cartels on everything & one, to utterly destroy censorship resistance in the crypto ecosystem.
This means a stateless currency pegged to "things" (in small .0001 decimal place value) is going to have to be anonymously made, collateralized, run by anonymous devs, or built in a failsafe way. The US gov only understands fraud, force, & violence & coercion.

"Why flee the collapsing USD for a digital version pegged to it? Gtfo stables in general, stick to future proof currency that deflates over time. Screw stables full stop."

No one who has money on the line, or most advanced finance and fund management is going to just expose themselves to bitcoin and it's serious lack of stability, or any other deflationary asset. The concept of not having credit expansion or inflation in some degree, and some stability in asset price, is complete btc maxi peter pan stuff. I'm literally not talking about pegging it to the US dollar either, I'm talking about pegging it to the aggregate value of about 500 assets in decimal form, specially picked to reduce volatility, and to make impossible for the US gov to engage in reflexivity attacks without crashing the rest of the global economy.

For now you cannot put this stablecoin which we will call a "Defitii" on Bitcoin Cash's blockchain, and btc cash cannot scale it's nodes well enough because of various engineering challenges (perhaps a lack of sharding for BCH just as with Eth, lack of ubiquitous cheap harddrives, lack of distributed storage doing what is tantamount to sharding to increase total # of nodes)

But it would be highly advantageous to BCH to get it onto it's chain. Obviously.

submitted by /u/samdane7777
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source https://www.reddit.com/r/btc/comments/uqdxul/when_the_sec_retaliates_for_terra_and_luna_and_so/

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