Quote from: alyssa85 on November 05, 2019, 10:50:37 AM

Quote from: Wysi on November 05, 2019, 08:31:02 AM

We have seen some of the assets backed crypto coins in the market on the way and do you guys think this will be the future as this is directly based on national assets like gold and other products like charcoal and energy based products. This will help in growth of country's economy if not taken over by greedy corporatesand and and will it have government's support or soft corner in the regulator's eye as it will bring in some money from outside.

The problem with claiming that you have an asset to back your coin is that the regulators demand proof that the asset exists. Tether for example has got into trouble for not being able to prove it is backed by a reserve of dollars.

Agreed, that's basically the biggest issue with USD based stablecoins, and other coins that claim to be holding reserves of gold in order to protect user's funds. Often times, stablecoins don't have large amounts of capital that they claim.

Quote from: Wysi on November 05, 2019, 07:19:09 PM

Quote from: Mometaskers on November 05, 2019, 05:49:55 PM

I'm skeptical with these so called asset backed crypto. How would I be completely sure they have enough asset to back up their coins? I'd probably rather just buy gold than buy a coin that is supposed to be backed by gold.

So basically physical assets and then crypto. Or stocks in a company that produces the good if you really want to be in commodities.

Yes I have just realized it with some expert reviews on my post and now I got a clear picture of the other side of asset based crypto and there demerits, but there are some projects which is backed by their government but it will not take longer for them to develop conflicts just like how it happened with Tether. I think crypto will be better without any government backed projects.

It depends. If you are in crypto from the beginning, you'll probably dislike government intervention from projects, I mean, who wouldn't.

But even though, we still need to admin that government intervention would be great for mainstream adoption of cryptocurrencies.