The Dollar is an Asset Backed Token.
Many in the crypto land (us at Freeside included) share the opinion that "Asset Backed Tokens" or "Security Token Offerings" are the new black in legal token offerings and that they will bring new levels of liquidity to the crypto exchanges. At the same time "Stable Coins" are all the rage. What we are going to talk about is the link between the two which is deep and both obvious and obfuscated. The gist of the STO/ABT constructions is that actual assets, be it debt, equity, or what have you, are backing the token. Real (future) cash flows back the token created out of thin air. These can represent REITs, Accounts receivables, debt, VC or really any cash flow coming from the real world. To make things clear, and in an interesting parallel, we will describe FIAT money as an ABT. This is not a stretch or abuse of language but rather a factual staple of modern monetary theory (MMT) and a illuminating meditation for those that wish to spend so...