DEFI RIDDLER πŸ§ͺ 8 minutes reading from Bitcoin

Introducing $MTR: The $BTC of Stable Coins

1/ What if you could hedge against BTC by holding a low cap πŸ’Ž ?

That's what it feels like to be a MTRG holder

And if ur sitting in stables, ur funds are not that SAFU πŸ₯Ά depegging

Introducing MTR - "The BTC of Stable Coins" @Meter_IO

Let's take a look 🧡 πŸ•΅οΈβ€β™‚οΈ

@Meter_IO 3/ What I'll cover in this thread:

1️⃣ What is @Meter_IO

2️⃣ BTC is not a currency 3️⃣ Stablecoin's Problem 4️⃣ The Impossible Trinity 5️⃣ Final Thoughts

Let's dive in πŸ§ͺ

@Meter_IO 4/

1️⃣ What's @Meter_IO ❓

Meter aims at creating a sound money independent from national governments 🏦

It divides:

β†’ bookkeeping

β†’ governance functions (given to MTRG)

β†’ function of unit of account (MTR), aka spendable money πŸ’³

"Ok sir but how?" πŸ‘‡

@Meter_IO 5/

MTR is mined through computing in a PoW environment and it's meta-pegged to the price of the electricity used to mine 1 MRT ⚑

Electricity here is taken as a link to a value present in the physical world, without having to rely on FIAT currencies


@Meter_IO 6/ The cost of electricity minus inflation has been staying relatively stable along the years, proving for an effective peg for a meta-stablecoin, more than FIAT currencies ⚑

That's also the reason for the "meta", unlike other stablecoins, MTR fluctuates much more

@Meter_IO 7/ To have the best of 2 worlds, the governance token, MTRG is issued by a PoS model

πŸ’° To buy it, you have to spend MTR in dutch auctions

πŸ”₯ Part of these MTR gets burned, and part gets retained as reserves 🏦

This new model is called Proof of Value, or PoV

@Meter_IO 8/ When MTR supply is too scarce and the price increase, more miners will take the work up as it's more profitable ⛏️

On the other hand, if it's not profitable, miners will use their machinery to mine other cryptos

This way, price and supply are kept balanced βš–οΈ



2️⃣ BTC is not a currency

Unit of account is why cryptocurrencies and BTC still find it hard to be adopted as peer-to-peer cash as intended by Satoshi

Too much volatility makes it hard to price goods in BTC (and other crypto) in a FIAT dominated world πŸ’²

10/ A currency needs to work as a medium of exchange, as a unit of account and as a store of value πŸ’°

While BTC ended up being a good store of value it's not as good for spending:

Price varies extremely πŸ“‰ Slow Txs 🐌

11/ The extreme volatility makes it almost impossible for regular crypto to be used as a medium

It creates unnecessary risks both to the buyer and the seller to pay more/profit less, and it makes the seller weaker against competition βš”οΈ

Enter Stablecoins

13/ These stables need more collateral than what you get in return, so people will think twice before going with it πŸ’­

β†’ USDT on the other hand is highly centralized

β†’ You have to trust the team that every USDT is backed 1:1 with USD

This prevents free capital flow β›”

14/ Some stables work with a seigniorage system and an elastic supply

They issue bonds to regulate the price like central banks do and can buy them back to reduce it

Price reduction will pump the supply and with the price going down it gets harder to reduce the supply πŸ“‰


4️⃣ πŸ”Ί The Impossible Trinity πŸ”Ί

In international finance, and between digital-physical economies, the impossible trinity is a basic economic principle.

Similarly to the Blockchain trilemma, a country can only have one side of the triangle

16/ Other stablecoins think they can fulfil all 3, but by being pegged to 1 they've already lost independent monetary policy

Only USDT breaks the trinity by forsaking independent policy and restricting the free flow of capital

All in all, stables ignore the problem πŸ€”


17/ @Meter_IO decides not to ignore the problem

MTR's peg to⚑ costs is more stable than actual FIAT, working as unit of account & store of value

Its infrastructure supporting multiple blockchains will allow for it to be a medium of exchange as well with high efficiency


5️⃣ Final Thoughts

@Meter_IO aims to solve stablecoin's problem & creating a cryptocurrency that acts as one

β†’ It works w/ economic principles like the Impossible Trinity instead of ignoring it πŸ‘

β†’ It has a hybrid model of consensus with both PoW and PoS called PoV

19/ MRT get mined while the staking secures the system with MRTG

The balance between price and supply of MTR is sustained by the profitability of the miners πŸ’Έ

It creates a decentralized, trustless & secure blockchain and its infrastructure will support many blockchains 🏦

20/ So if you're torn between PoW and PoS, give PoV a shot

@Meter_IO will also include a cutting-edge stablecoin and will be interoperable with a multitude of chains ⛓️

Plans are in the making for SDK and bridges for cross-chain protocols with @cosmos and @Polkadot πŸ‘₯

21/ For Updates

@Meter_IO ⚑

Threadoors 🫑 @MoonKing___ @AdamHODL @thelearningpill @WolfyCryptoMan @CryptoKaduna @TheSoulCrypto @CryptoRock__ @CryptoKameal

Army 🫑 @madak2203 @Mylon122 @itsmeyako @zilla0000 @Paul250889 @CryptoWizardd

Who else? ↓↓

𝐑𝐒𝐝𝐝π₯𝐞 𝐦𝐞 𝐭𝐑𝐒𝐬 𝐀𝐧𝐨𝐧 🧩 are you buying now, or do we meet at the top?

Follow me @0xtypejohnny for more alpha 🧡 's like this

Like/RT the first tweet to spread the alpha πŸ–€

DEFI RIDDLER πŸ§ͺ on TwitterDEFI RIDDLER πŸ§ͺ on Twitter

DM'ing everyone that wants to join MTRG squad group (@xiaohanzhu the CEO is also there)βš‘οΈπŸ’™

This post is based on this twitter thread.


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