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YC: Requests for Startups

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514 points sarimkx | 1 comments | | HN request time: 0.376s | source
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jbverschoor ◴[] No.39371787[source]
Small comment about the "Stable Coins":

> $136b worth of stablecoins have been issued to date but the opportunity seems much more immense still. Only about seven million people have transacted with stablecoins to date, while more than half a billion live in countries with 30%+ inflation. U.S. banks hold $17b in customer deposits which are all up for grabs as well. And yet the major stablecoin issuers can be counted on one hand and the major liquidity providers with just a few fingers.

This is not entirely true. There has been a stable coin for over 50 years now, and most billionaires should be familiar with it because it's used to pay for satphone calls.

SDR (Special Drawing Rights) is IMF's stable coin. US$935.7 billion SDR are currently allocated. It has been called paper gold and an international reserve currency.

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1. chucklam2828 ◴[] No.39473768[source]
Lyn Alden (a noted bitcoiner) has talked about SDR in a few interviews. Here’s one I can find right now: https://www.youtube.com/watch?v=6aUwtxMw-D0&t=882s.

SDR is fairly well known among people who study reserve currencies. While most people take for granted the US dollar as the global reserve currency, those who study it are aware of alternatives (SDR, gold, bitcoin), even though those are too tiny (right now…) to seriously get the “reserve currency” title.

FWIW, Facebook’s stablecoin (Libra/Diem) was designed as a basket of currencies like SDR. In fact, it’s not too far off to explain Libra/Diem as SDR on blockchain, but backed by its own association instead of the IMF. If you understand the geopolitical challenges facing SDR (even with its IMF backing), you can imagine why Libra/Diem got such pushback.

I had no idea you could pay for satellite calls with SDR. (I don’t roll like that…) I’d love to learn more.

The satellite call use case is interesting though. I’ve heard rumor/speculation that Starlink may accept crypto for payment. The use case makes sense. If you’re bringing internet access to parts of the world that don’t already have it, you can’t assume those users have easy access to traditional payment rails.

And this is not a unique problem for Starlink. Many internet companies I know or have worked with have users from all over the world, but in many countries those users are stuck in the “free” tier because there are too many hurdles for them to pay (or in some cases, get paid) for online services. I know of small businesses in SE Asia that would set up a company (and bank account) in Singapore just to pay (get paid) for online services. There’s a huge gap between the inexorable rise of the internet economy and the fossilized global payment system. In fact, I’m founding a startup to use stablecoin to bridge that gap.