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141 sats \ 3 replies \ @freetx 19 Jun \ on: JPMD “stablecoin” by JP Morgan is coming! crypto
This is interesting.
They’re a bank… they don’t have to have it 1:1 backed, they just need the fractional reserves to meet required deposit thresholds meaning it’s a lot more scalable.
Technically 2020 removed any threshold requirements. So in an ideal world, I would prefer a 1:1 stablecoin.
However the question is: will it be FDIC insured?
Is anyone who holds this coin considered a "depositor" of the bank for FDIC purposes?
Lots of questoins....
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21 sats \ 2 replies \ @BlokchainB OP 19 Jun
Yeah if they are I can see banks looking to move on this and away from debit/credit issuers. Why pay Visa and mastercard when you can undercut them and settle much much faster.
I’m not a fan of banks but they desperately need innovation.
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72 sats \ 1 reply \ @freetx 19 Jun
The upper hand that stablecoins issues will have is interest shared with holders.
And that becomes not just a consumer preference but corporate... WWWMD? (What Would Walmart Do) - prefer to hold Tether w/ interest or JPMD
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10 sats \ 0 replies \ @BlokchainB OP 19 Jun
Yeah if anyone wants to compete with tether they would have to give some compensation for using their coin
But corporates they will go with the coin that gets the blessing from US regulators
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