Ser JJG, I have a question for you and your valued opinion is truly needed.
There's a project called "Bamk" that utilizes the Runes protocol on top of Bitcoin to build a Synthetic Dollar - a stablecoin. Everything will be onchain, and it could be traded without the need to deposit your Bitcoins to a centralized party, like exchanges.
What are your opinions on such a project? Is it good, or bad, or neutral?
I know this question was directed to JJG. Permit to share my opinion here and correct me JJG if am wrong.
The idea is an impressive work by the Bank project since the aim is to eliminate the process of passing through the centralized exchange counterparty risk which has been the fear of many investors for some years now. However, when I hear about such a project the first question I ask myself is, how do they intend to implement it and keep transparency? Is the Bank project open source so that one can see vulnerabilities or manipulation that is kept secret?
Another concern is how will the Synthetic Dollar maintain its peg to the US dollar, am only being concern because we have seen most de-pegging events in other project which has led to losses for investors. If you have more information about the Bank project or a link to the source remember to share them here so that we can brainstorm together and see a brighter picture of what the Bank project potential.