the issue is your local currency will lose its value over time

Is there a (government-issued) currency that doesn't?

It's not an inherent feature, but they steer it in such a way so, no, there isn't (at least not for long), unless someone would make a good case for it at some point in the future

The interesting question would be what their currency, where this 11% is offered, typically loses year-on-year

Basically they will become the toll-lords of the internet. And because of that, THEY can choose what they accept as payment. A stablecoin (probably just run by them but technology coming from one of the stablecoin providers like Paxos) is perfect for this, as it will be regulated and akin to a digital dollar, with the addition that they can earn yield on treasury bills at the same time.

Pretty smart.

and sending money cross borders to your family and paying suppliers outside of your country and having a multi-currency account without insane fees and automating finance and upgrading financial systems to modern tech

I found interacting with the blockchain world to be much higher in fees than when going via the real finance route.

New technology usually gets most of its power from just finding ways of skirting existing regulation.

all these are solvable problems

we can get decentralized systems to sub 0.0000000000001 cent fees. Fee volatility Wille xist but thats a prerequisite for openness.

USDe is definitely not decentralized lol.

It's a hedge fund with a dual structure

Hi, thanks for correcting me on that. It actually says right [here](https://docs.ethena.fi/solution-overview/risks/exchange-fail...) that they use CEXs to trade the derivative positions so I clearly didn't do my due diligence on this. I don't mind being wrong but I shouldn't have been spreading misinformation when I didn't know the details so I apologise for that.

I'm actually quite disappointed that this is how they implement the protocol because to me the main benefit of the hedged collateral model was that it was the one way to produce a truly decentralized stablecoin. Do you know of another project that implements the same mechanism fully on-chain and decentralized?

yes in many many many countries.

and if wise bans you?

that we need one company to achieve such big scale that they literally are regulated in every single country and basically become monopolistic in terms of their influence?

a Blockchain based system can maintain similar effects but with a balance of power

think about it

No worries, if any DLT-system would become somewhere somehow relevant, any regulator will catch it sooner or later.

Though, its an issue for the company, as this allocates a lot of resources wrongly.