[bko]

No, it's just some legal entity that is bound by law to hold those securities in a trust that is legally owned by the contract. This is how stable coins work, although tether holds assets not necessarily the underlying currency. But other stable coins hold 1:1 reserves based on the currency they're meant to track.

Its centralized sure, the company could f up or commit fraud but there would likely be best standards and multiple options.

[anaganisk]

So basically its just the same old system with a new database?

[bko]

Did you read my original comment?

> When someone figures out how to custody financial assets on the blockchain (e.g. stocks, bonds, etc), then you can create exchanges that aren't regulated and are open 24-7.

The databases are outside of the purview of the state, so they're able to get around restrictions. Why can't you gamble online, depending on the state you're in? Why can't I send money to people in Iran? Why can't I invest in a start up if I'm not accredited?

[anaganisk]

What you are describing are regulatory hurdles, do you think MySQL automatically shuts down at 9PM? Do you think stock markets dont function on holidays because, their software refuses to? Do u think govts will silently and watch while people are exercising their will on blockchain. Brother we’ve gone thru that already. Its called the internet, internet was decentralised and unregulated. Once govts and corporates started sniffing money and propaganda. It became Ad Powered, regulated, censored and controlled. Whats stopping ethereum from being taken over by US and run only smart contracts allowed by them. All pipe dreams with optimism and failure to learn from past. For me blockchain fintech is just a clumsy database for a solved problem.