1. There will be Fiat gateways soon - businesse who can buy and sell LocalUSD, LocalEUR and etc for real fiat.
2. There will be OTC platfrom where people can trade LocalUSD, LocalEUR and etc.
That means that it is not 1:1 now,
but in future maybe 'there will be'
If anyone now owns localUSD you can only exchange it on your exchange for LLC and then to LTC
It is like BitUSD
and we can all see how 'stable' it is
https://www.coingecko.com/en/coins/bitusd