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RE: LeoThread 2025-01-01 23:50

in LeoFinance20 days ago

Part 5/9:

Malekan’s discussion of Ether as an HQLA reveals a crucial aspect of the asset's potential. He likened Ether to U.S. Treasuries—the backbone of our financial system—asserting that for any decentralized financial system to function effectively, it needs a reliable and liquid asset at its core.

Just like Treasuries are trusted and liquid, providing a foundation for borrowing and lending, Malekan views Ether's staking capabilities and liquidity events through decentralized finance platforms as pivotal for its adoption. He points out that Ether’s utility extends beyond mere speculation; it's increasingly being integrated into practical applications, thereby cementing its status as a monetary asset for the digital age.

The Complex Interplay of Decentralization and Financial Systems