Yep. This is how a monetary system should work. If an exchange mismanages money it fails and dies. It doesn’t get propped back up with tax payer money.
RE: Yep. This is how a monetary system should work. If an exchange mismanages money it fails and dies. It doesn’t get propped back up with tax payer money.
Think about it... you won’t have any trust in any currency... the single slightest rumor ( true or false ) will cause a run on the currency.
You’ll have massive inflation and deflation weekly or even daily.
Or have its obligation to redeem suspended by legal fiat - the traditional way insolvent banks got bailed out.