What R3 think of our bitassets / smartcoins

[JonnyB]

R3 say our smartcoin design could maybe work but suggest pooled collateral instead of individual collateral for the smart contract.
 they also say that using an altcoin as collateral won't be good enough due to inherent volatility and liquidity.
 
worth a read     http://www.r3cev.com/blog/2016/8/24/stablecoins

I tend to agree that altcoins are a shitty form of collateral and only something with the depth and liquidity of bitcoin make sense.
This is why the having a bitcoin sidechain will be such a huge step forward.