Armstrong urged the government not to give preference to the banking sector – for the sake of market freedom, banks and cryptocurrencies should have equal opportunities. According to him, stablecoins are already actively used in the market due to the binding to the US dollar and other fiat currencies. However, the average person and the entire US economy could extract the maximum benefit from stablecoins if consumers received income from them-the so-called onchan processes.
Coinbase CEO explained that usually issuers of stablecoins keep backup assets in US dollars and in low -term risk assets, for example, short -term treasury bonds. The interest received from these investments remain with the issuer. Cache percent would allow stablecoins to function as a means of payment and directly bring to holders interest, by analogy with the savings contribution.
Armstrong is sure that billions of people around the world will benefit from this, who still do not have access to banking services, and which lose their savings due to growing inflation and reducing the value of state currencies. They cannot access US dollars, so stablecoins bringing interest will help them provide them with transparent access to the banking system. To do this, you only need to connect to the Internet, without the need to go to the bank or pay huge commissions for the transfer.
Earlier, Armstrong spoke out against insider trading memcoirs, and also suggested adding only bitcoin to the US State Reserve. In his opinion, this should strengthen the position of bitcoin as a means of maintaining values.
Source: Bits
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