Banking & Finance Industry: Key Perspectives - Modern banks are chartered by nation states, making them political realities as much as economic functions [1] - Nation states regulate banks for political purposes, influencing how banking systems evolve [1] - Chartered banks are outcomes of bargains between power coalitions within a nation, defining their powers, limitations, and loss-sharing arrangements [2] - Stablecoins, to succeed, must navigate the political landscape and coalition-building, as demonstrated by the STABLE Act [3] Stablecoins & Future of Banking - Stablecoins have the potential to unbundle traditional bank services by offering an alternative payment system that bypasses the Federal Reserve's Fedwire [4] - The technology behind blockchain and distributed ledgers can enable not only better medium of exchange systems but also new definitions of the dollar [5] - Incumbent banks are threatened by stablecoins because they can create payment system networks that sidestep traditional banking systems [4] - The Genius Act represents a shift where incumbent banks are trying to limit stablecoins and integrate them into chartered entities [3] Political & Economic Considerations - The Bank Policy Institute (BPI) is portrayed as an entity that uses its power to hinder progress that benefits citizens over banks [6] - The American Association of Retired Persons (AARP) is criticized for promoting policies that benefit older generations at the expense of younger generations [43] - The US government's fiscal policy and debt levels pose a risk of high inflation, potentially leading to a default if a blockchain-based unit of account is adopted [33][39] - The future of stablecoins and the financial system is contingent on political decisions, requiring vigilance and organized groups to advocate for the public's interest [61]