The FDIC could not make the system solvent in the event everyone tried to redeem... | Hacker News

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anm89 on May 19, 2021 | parent | context | favorite | on: The Tether Ponzi Scheme

The FDIC could not make the system solvent in the event everyone tried to redeem their funds. It can only keep up confidence to try to prevent people from all trying to redeem their funds.

whimsicalism on May 19, 2021 [–]

The government promising by law to pay everyone back does build more confidence than Tether's 2.3 cents + outstanding debt from other exchanges.

This is why I stick with defi stablecoins.

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