Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

Stripe Launches L1 Blockchain: Tempo

tempo.xyz

Post reply on HN
Print view View original

921–930 of 1001 posts

Re: Stripe Launches L1 Blockchain: Tempo

#921

Post by grafmax »

drumdance wrote: post #881
grafmax wrote: post #799

Earlier quoted context omitted.

The issue with stablecoins is not just regulatory. They are fragile to market shocks.

How so? Stable coins issued under the GENIUS Act are fully reserved, unlike regular banks.

They’re backed by treasuries and subject to treasury market shocks (like the March 2020’s dash for cash). Large redemptions can see a feedback loop of redemption -> rushed selling -> treasury market stress -> redemption. Exactly the sort of scenario one might expect as the secular trend of the weakening dollar bubbles to the market’s surface.

Stablecoins hold a sizable portion of the treasury market - https://fintelegram.com/stablecoins-became-a-top-20-us-debt-...

Re: Stripe Launches L1 Blockchain: Tempo

#922

Post by lokar »

ftmz wrote: post #898
pc wrote: post #46

There are lots of crypto skeptics on HN (and we ourselves were disappointed with crypto's payments utility for much of the past decade), so it might be interesting to share what changed our mind over the past couple of years: we started to notice a lot of real-world businesses finding utility in stablecoins. For example, Bridge (a stablecoin orchestration platform that Stripe acquired) is used by SpaceX for managing…

Fernando from DolarApp here. To add some context: our clients in LatAm use DolarApp to spend internationally with a card at the best rates, send and receive cross-border transfers (not just remittances, but also payroll), and to keep their savings pegged to the dollar. Stablecoins let us deliver a much better user experience and significantly lower fees — in some countries, up to 10x better than incumbents. That said…

Why did this need blockchain? Why could you not use a central private e-money system w/ a good API? It sounds like you think they don't really care about the implementation?

Re: Stripe Launches L1 Blockchain: Tempo

#923

Post by notpushkin »

Zanfa wrote: post #735
benjaminwootton wrote: post #601

Earlier quoted context omitted.

You are correct but with Venmo or PayPal there’s a middleman charging fees who can lock your funds. A decentralised PayPal is appealing.

Just to be clear, Tether and Circle also have complete control over their respective stablecoins if they so choose. They have the exact same power to reverse, freeze and block any transaction or balance just as PayPal and Venmo do.

Can you elaborate?

Re: Stripe Launches L1 Blockchain: Tempo

#924

Post by hvb2 »

fsckboy wrote: post #390
hvb2 wrote: post #209

Earlier quoted context omitted.

So why can a traditional bank not solve this? In Europe you can wire money across borders for free, you just need to know the account number. Arrives in seconds at 0 cost. I feel like a lot of the fintech in the US is purely a result of a lack of regulation. For the example of Argentina, the real reason that business is using crypto is because their currency is unreliable. It might be a good fit there but trading in…

> in Europe you can wire money across borders for free do you mean "electronic funds transfer"? because "wiring" is an old school thing that uses Telex machines and and gets processed by people and I would doubt it carries no fee. (It's probably been modernised so that people handle virtual slips of paper, but it very much carries the feel of an "order on a slip of paper" type of transaction and is far from instantan…

I used the term wire because it most closely resembles a sepa transaction. You put in the receiver's details and hit send

Re: Stripe Launches L1 Blockchain: Tempo

#925

Post by afiori »

wrs wrote: post #342
afiori wrote: post #259

Earlier quoted context omitted.

I don't like Blockchains mostly but the technology of the Blockchain here is not irrelevant, it is a way to use peer to peer liquidity. That is there is no need for a central entity to have liquidity in many different circuits because you can trade with other coin holders directly in many different exchanges. Sort of like banks use customer money to offer loans to avoid the need of centralised liquidity. The Blockcha…

Running a database does not require liquidity.

Running a database with no liquidity does not allow you to actually transfer funds.

When A sends money to B both have an expectation that B is able to access such money through normal monetary systems like: seeing their bank balance go up, withdraw it as cash, or transfer it again to C which will have a similar recursive set of expectations.

Unless your database is the de facto central banck for the currency A and B use you will have to convice B's monetary system to believe B now has more money. The simples and almost only way to do that is to pay the appropriate price in a currency they like.

Which requires liquidity.

As an example if you wanted to install a bitcoin ATM with withdrawl* in a train station (or anywhere else) you would need liquidity in whatever currency the user want to withdraw.

* I suppose you could withdrawn bitcoin by giving out fresh wallets with the sum or by simply transfering it.

Re: Stripe Launches L1 Blockchain: Tempo

#926

Post by [deleted] »

kiitos wrote: post #573
baby wrote: post #202

Earlier quoted context omitted.

A cryptocurrency is basically a distributed database, except that you are getting different actors who don't necessarily trust one to run it cooperatively.

yeah, I guess a slow and shitty distributed database where there's no way to recover a lost or forgotten password (private key)

[deleted]

Re: Stripe Launches L1 Blockchain: Tempo

#928

Post by knorker »

soared wrote: post #690
knorker wrote: post #536

Earlier quoted context omitted.

> Over the last few years, stablecoins have become a preferred means to hold and move money (for convenience, etc). Huh? In the western world this is nonsense. I move 6-7 digits regularly, internationally, even between continents, for free. Convenience of cryptocurrency? Lol. Maybe if I want to send money to Nigeria or North Korea. Cryptocurrency was never more convenient. It's cheaper than Western Union when that's…

How are you doing it for free, how long does it take, and what happens if something goes wrong? These are the things companies want. With current methods you must take on risk to move money cheaper, faster, or without chargebacks/etc.

Sorry, forgot to reply to this part:

> and what happens if something goes wrong?

If something goes wrong I have a chance to get my money back. Unlike with cryptocurrency, where it's just gone forever.

If fact things have gone wrong with fiat, and it's always been fixable.

Are you being sarcastic? That's literally the most broken thing about cryptocurrency.

Re: Stripe Launches L1 Blockchain: Tempo

#929

Post by [deleted] »

pc wrote: post #46

There are lots of crypto skeptics on HN (and we ourselves were disappointed with crypto's payments utility for much of the past decade), so it might be interesting to share what changed our mind over the past couple of years: we started to notice a lot of real-world businesses finding utility in stablecoins. For example, Bridge (a stablecoin orchestration platform that Stripe acquired) is used by SpaceX for managing…

[deleted]

Re: Stripe Launches L1 Blockchain: Tempo

#930

Post by [deleted] »

pc wrote: post #46

There are lots of crypto skeptics on HN (and we ourselves were disappointed with crypto's payments utility for much of the past decade), so it might be interesting to share what changed our mind over the past couple of years: we started to notice a lot of real-world businesses finding utility in stablecoins. For example, Bridge (a stablecoin orchestration platform that Stripe acquired) is used by SpaceX for managing…

[deleted]
Post reply on HN