Bitusd is does not solve the problem anymore than the dollar does. Government can track/freeze funds at Coinbase level. Sure, you could be sneaky about, but you couldn't be anymore sneaky about it then you can with the dollar.
My statement will be true until the dollar is replaced. Even then, it may hold true. Depends on who adopts bitusd. If you could persuade a whole community to adopt it then it would be a solution.
Has anybody ever tried to coordinate a large group of people to move to an area and use only crypto? Business people, teachers, tradesmen, ect.., it would only take one community to change the world.
Their problem is not tracking and freezing though. Their problem is that the banks refused to serve them. They keep the cash and have to hire guards to keep it safe amongst other costs. It is kind of hard to pay cash to someone 1000 miles away without the banks. Both of those are solved with BTC...BTS ads to this the lack of volatility.
Ok. Customer comes in and buys drugs with cash/credit card. How do they convert that to bts? Bank > Coinbase > btc > bitusd. Clearly, bitusd does not solve the problem.
Now, let's assume the whole community adopts bitusd. Customer comes in and buys drugs with bitusd......that's it because the company can pay employees with bitusd who can then buy groceries with bitusd. No bank needed. Bitusd solves the problem.
Again, the only way bitusd solves the problem is if the whole community adopts it.
Once the light wallet and one step on ramp is out then Pot would be an excellent target market -- also once we have created the Lwallet and on ramp, what might be good strategy here for initiating cross-community demand? I have heard some say incentivize merchants who then pass the incentives to the consumer and employees (although IME promotions don't work well this way at the retail level as the retailer tends to keep the dollars for themselves if recieved upfront)
1step, 1000 steps. Both can be regulated the same. If a conversion to or from cash has to happen then it is not a real solution. There would still be a lot of red tape.
Can't they accept BitUSD as payment from customers. Now they have a dollar stable asset without the holding costs. If they need to pay bills they can covert BitUSD to BTC at bter.
Yes they can! However, this requires adoption as I previously suggested. The drug store may do a few sales this way, but the majority will still be cash/credit since these are legitimate businesses. It does not make bitusd a solution. If anything, it is added headache.
For it to be a solution the whole ecosystem needs to accept. This is why I suggested it.
If you truly want a business to use bitusd without adoption then you're going to need to add some better incentives, or find a business that wants to push adoption to its community. Either way, bitusd is not a solution until it is mass accepted with no conversions.
I guess my hang up is that we keep calling it a solution for a business. Right now it is a burden. Businesses who choose to accept are opportunities for bitshares holders; not businesses.
I hope that somebody rich changes this!!!!