A better proxy, available since mid-2018, is the New York Fed's "Secured Overnight Financing Rate" or SOFR, "a broad measure of the cost of borrowing cash overnight collateralized by Treasury securities."
Selgin talking about this.
Enough talking, let us make a synthetic SOFR, an actual SOFR coin. It will trade the SOFR rate, buy and sell overnights from any liquidity source meeting the SOFR prequals, a perfect match. We will whomp on bitcoin, make it secure ID for bearer asset. The SOFR prequals are carefully risk adjusted by our pals at the NY Fed, we can pay them a charge if they want.
Synthetic means the pit boss settles bets about an external target, actual means the pit boss trades directly with the bets. Mke the autoi S/L, auto hedge, you got lotta choices here, more choices than libra.
SOFR coins will hav a release function, one that supports wiener process. But it will be traded across the major currencies because SOFR will e the closest example of a no arbitrage yield curve generator, everyone in finance will adopt.
I am in, who is starting the company for real?.
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