Shant Mesrobian
@shantmm
Perhaps another stupid/newb question but: A CBDC basically demolishes the use case of stablecoins, right? I understand that current Trump policy has buoyed people's hopes of throwing CBDCs into the ash heap of history, but highly contentious and partisan-aligned policies are not very, uh, stable nowadays. I can easily see this seesawing between administrations. And in the event of a financial crisis? Forget about it. I think the opening for monetary innovation in that event would put CBDCs squarely back on the table.
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Dan Romero
@dwr.eth
If it were to happen, yes. But: 1. If the STABLE Act passes, would require a repeal and replace. Which would be much harder. 2. If stablecoins continue to grow, they will be a big business for banks, so would expect a lot of lobbying against. 3. The analogy here would be trying to move email over to the Postal Service in the 1990s. Once it's out there as a protocol, very hard to unwind culturally.
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christopher
@christopher
FedNow is pretty great and has gotten very little coverage. Solves everything a CBDC would solve for, except realtime transparency, but that’s not actually a concern member banks care about.
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Dan Romero
@dwr.eth
But not permissionless / programmable in the same way
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christopher
@christopher
I can’t imagine a world where a CBDC would be permissionless lol. Even Circle blacklists addresses to freeze USDC to comply with state terrorists, so.
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