Re:
by neilwilson on Monday October 31, 2022 @02:42AM
(#33402691)
Yet the crypto stable coins with that two part design fall apart.
Why? Because you can discount a CoD into a derivative that also then circulates.
Which is essentially what a bank does - but with a much wider selection of assets.
Eventually you realise that the solution is to embrace Full Liquidity and use a powerful buffer stock offset mechanism to create price stability.
When you do that, then you can control inflation simply by controlling the supply of paper currency. Like the monetarists suggested.