Lets call it BankUSD. One perceived advantage of BankUSD to the mass market is that it would be backed by the banks themselves (compared to BitUSD which backs it with a less widely known share). Most people who have USD sitting in the financial system are already exposed to that counter-party risk, and in the absence of bank insolvencies would likely not care if the crypto-USD exposed them to the same risk. As a result, it would be a moot point whether the banks actually hold fiat USD reserves to back it, though presumably they would do this at least to some degree as USD already sit on their balance sheets. Would it have an edge on BitUSD? Or does regulation in that industry prevent it from somehow from going this path?
How would BitUSD fare in comparison?
Topic: Hypothetical: What if the banking system launched a crypto-USD? (Read 1072 times)
