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KarlHungus

David Schwartz XRP Ledger Stablecoin Prop

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     I think I need to watch that again or maybe five more times. Is my understanding correct that the proposal is to utilize xrp as collateral to the value of a stable coin to create a capability to utilize the xrp ledger for transactions of the stablecoins?

Also I would assume that this would be utilized in areas where xrp is not legal or accepted, but a stable coin would be ok?

 

It also sounds like a creation of independent market makers using  xrp as collateral to use stable coins within a specific area?

A lot of information I've watched it twice and need to go over it again. You know I'm slow.

 

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23 minutes ago, invest2lose said:

so, is this good for xrp?

Overall it seems good for xrp.  Any demand for the xrp-backed stable coins creates demand for xrp since they’re the collateral.  It creates a way to digitize other assets and use the speed and efficiency of the ledger, consequently moving more value to xrp....I think I have that right.

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33 minutes ago, peanut56 said:

     I think I need to watch that again or maybe five more times. Is my understanding correct that the proposal is to utilize xrp as collateral to the value of a stable coin to create a capability to utilize the xrp ledger for transactions of the stablecoins?

Also I would assume that this would be utilized in areas where xrp is not legal or accepted, but a stable coin would be ok?

 

It also sounds like a creation of independent market makers using  xrp as collateral to use stable coins within a specific area?

A lot of information I've watched it twice and need to go over it again. You know I'm slow.

 

Sounds right...it took two viewings for me to feel comfortable with it.

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4 minutes ago, KarlHungus said:

Overall it seems good for xrp.  Any demand for the xrp-backed stable coins creates demand for xrp since they’re the collateral.  It creates a way to digitize other assets and use the speed and efficiency of the ledger, consequently moving more value to xrp....I think I have that right.

It allows the stablcoin money supply to be controlled by an open market of ANY ENTITY with assets to trade.

For the first time in decades, the money supply would not be in the hands of central bankers, but decentralized asset holder behold to agreeable price feeds.

In plain English, you will be able to create currency with your own assets - not just by promising to pay money back later. Savers are finally rewarded with the ability to directly empower a currency with their own assets and profit directly from the opportunity.

Edited by jag216

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2 minutes ago, invest2lose said:

can something like this be done on btc?

The decentralized exchange built into the ledger seems to be central to the process - I'm sure something similar could be bolted on to the bitcoin blockchain, but it would be far easier to use bitcoin IOU as collateral on the XRPL.

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44 minutes ago, invest2lose said:

so, is this good for xrp?

I’m unconvinced myself.  Although it locks XRP at a leveraged rate it only does that at the start.  After that the volume is on the stable coin not XRP.  I can see that they are coupled,  but I’m not at all sure of the price dynamics of such a system.

It is possible that the growth of the stable coin usage is leveraged growth in XRP locking, but that may not be reflected in XRP price in the same way that an equivalent amount of XRP activity would be.

But this might just be a spectacular failure of vision on my part...  I can easily imagine being very embarrassed about my short-sightedness at a later date.  :) 

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Man, rewatching the segment from 10:30 or so - if that doesn't speak to the democratizing of money I don't know what does. Anyone can create a position - there is no authentication process. You pledge collateral and if a position doesn't already exist, it is created. This means you are free to pledge your assets in order to receive money on the ledger. Creating a position = bringing more of the stablecoin into existence. Redeeming a position = exhausting the stablecoin from the supply - it vanishes.

Chills. Chills. Where's Bob Way to comment on this video man?

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2 hours ago, Tinyaccount said:

I’m unconvinced myself.  Although it locks XRP at a leveraged rate it only does that at the start.  After that the volume is on the stable coin not XRP.  I can see that they are coupled,  but I’m not at all sure of the price dynamics of such a system.

It is possible that the growth of the stable coin usage is leveraged growth in XRP locking, but that may not be reflected in XRP price in the same way that an equivalent amount of XRP activity would be.

But this might just be a spectacular failure of vision on my part...  I can easily imagine being very embarrassed about my short-sightedness at a later date.  :) 

I wonder the same. Galgitron says that arbitrage would even out the pricing between the two.

But this all seems very exciting - especially considering how quickly the total circulating supply could be eaten away at. I hope something comes from this. 

R3 will be talking about tokenizing assets later this month. Let's see if that plays into this at all.

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