Theoretically, yes. The difficulty of getting fiat online is digitizing it. If you secure it by not letting users print it at will, but instead at a either known rate or entirely pre-mined, then it is secure, but it's value fluctuates with market demand. If you have genuine fiat and it can be printed at will by somebody, then you can't trust the value of it.
The only solution is indeed something like mint chip-- a directly government/bank controlled digital fiat that is made by government/bank, thus minting doesn't matter because it's government/bank BACKED. Thus it's value is locked (as much as inflationary fiat can be). It doesn't make for a great alternative currency in its OWN right, but it DOES make for a FANTASTIC transition intermediary to get fiat digitized, so that it can then be traded and exchanged into bitcoin.
There was a thread somewhere around here proposing dUSD, or digital USD, an alt chain pegged to USD. The problem is, the only way to peg a digital alt-chain to a currency is to have a large entity that buys and sells on par with the currency, one which is large enough to be bigger than any reasonable market, thus negating market forces from trading at prices that aren't on par with its physical counterpart. Unfortunately, there's really only one entity with such power to do this: governments.
But that's a GOOD thing. We should ENCOURAGE governments to create digital currencies pegged to fiat, because once it's digital it can go anywhere, like into bitcoin. So buying and selling become MUCH easier with government backed digital currencies.
The only solution is indeed something like mint chip-- a directly government/bank controlled digital fiat that is made by government/bank, thus minting doesn't matter because it's government/bank BACKED. Thus it's value is locked (as much as inflationary fiat can be). It doesn't make for a great alternative currency in its OWN right, but it DOES make for a FANTASTIC transition intermediary to get fiat digitized, so that it can then be traded and exchanged into bitcoin.
There was a thread somewhere around here proposing dUSD, or digital USD, an alt chain pegged to USD. The problem is, the only way to peg a digital alt-chain to a currency is to have a large entity that buys and sells on par with the currency, one which is large enough to be bigger than any reasonable market, thus negating market forces from trading at prices that aren't on par with its physical counterpart. Unfortunately, there's really only one entity with such power to do this: governments.
But that's a GOOD thing. We should ENCOURAGE governments to create digital currencies pegged to fiat, because once it's digital it can go anywhere, like into bitcoin. So buying and selling become MUCH easier with government backed digital currencies.
Very old thread but this needs to be quoted
