It is coming...
The central banks have been flagging it for a while. From the BoE to the ECB, and now the IMF. The stable coin potentially solves many issues for the global system which is overly reliant on the dollar.
The stable coin suggested by Libra is clever because it is not a basket of currencies versus the dollar, but a basket that includes the dollar, this is incredible stable as the denominator is essentially money supply. This got the attention of the CB's
Now, Libra-style stable coins are far from perfect but they are potentially better for the digital world we live in. CB's like them because it doesn't exclude sovereignty and all the rights and benefits that conveys, but many are already discussing a sovereign crypto currency
Sovereign crypto solve the gradual money debasement issues but clearly are not decentralised, and can be potentially "altered" or abandoned. But, its a start. They can not and will not replace bitcoin, which is superior and dominant being the hardest of all money.
And it is likely destined to be the eventual store of value and collateral layer for the digital system and thus maybe the eventual denominator. It is possible that it becomes the settlements and custody layer along with the authentication, trust and payments layer too. Who knows
My guess is that to be the collateral and store of value layer would price it out of the ability to be the core of the other layers, and those are most likely to be served by other bitcoin layers like LN or new layers yet to be developed.
This is one of the most exciting areas of $BTC development and one where entirely new and unimagined applications can, and are being created. Other crypto and blockchain based system can and will coexist and act as layers or separate eco-systems so don't @ me about your favourite
But the new sovereign coin is maybe the on and off ramp that bitcoin really needed to unleash its incredible potential.
It feels that way to me.
These are extraordinary times. Things are moving faster than we imagined. Let's see what develops...
You can follow @RaoulGMI.
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