Hidden gems in Reserve's history

I recently went through the history of Reserve AMA’s, project updates and community contributions and found some really interesting pieces of information of which it would be a shame not to share with the community that has not been here since the start.

A lot of these pieces further reinforced my belief in the success of the Reserve project, and I hope it may do the same for some of you.

Below you can find 8 pieces of information that I deemed worthy of sharing.

Gem #1

Upon the initial funding rounds of Reserve, all investors got a choice: either they received RSR tokens worth the same amount of their investment, or they received equity (= shares) in the Reserve company.

All investors made the conscious choice of receiving RSR tokens instead of equity, with the exception of Coinbase - since they were not legally allowed to receive tokens from projects they invested in. What this means is that all big-name investors like Peter Thiel, Sam Altman, Jack Selby, Digital currency group, … are RSR holders just like you and I. This also means that, in order for their investment to be worth it, they are just as dependent on the price of RSR, or the profitability of arbitrage, as the rest of RSR holders.

Gem 1

Gem #2

We all know how sleek the Reserve app looks now, but might not consider that it took a long time to get to this point. Here are the first ever released screenshots of the Reserve app. I’m sure we can all agree that the Reserve app has come a long way.

Gem #3

Besides allowing citizens of Latin American countries to save and spend USD indirectly, a major solution not yet solved is the remittances from other countries to Latin American countries. For example, many Venezuelans are counting on family/friends that live outside of Venezuela to send them USD. The problem is that the existing solutions to do these transfers charge a 10-15%(!) fee.

One of the intended use-cases for the Reserve app that many might not yet know about is to solve this remittance issue by allowing US citizens to transfer USD to RSV through the app, send the RSV to their family/friends in Venezuela (also through the app), which they can then “cash-out” into Venezuelan Bolivars if they choose to. This transfer only charges a transaction fee of $0.01.

Sidenote: the on-ramp transaction of USD to RSV might also contain a small fee. Yet, it will never be as high as the current 10-15% of existing solutions.

Gem3

Gem #4

The market price of RSR doesn’t actually matter for those that wish to earn profits through arbitrage. This is due to the fact that the arbitrageur will always pay $1.00 worth of RSR for 1 RSV. Very interesting to think about, especially in times where the market price of RSR is low.

Gem #5

Why are so many members of the so called PayPal mafia investors in Reserve? Because it was PayPal’s original intention to build a solution exactly like Reserve. Yet, due to multiple reasons, they did not succeed in this particular goal. However, their dream is still alive, and they believe Reserve will be able to make it come true.

Gem5

Gem #6

This one is more of a joke, but I believe it could actually contain some very possible consequences of what a centralized stablecoin like Facebook’s Libra/Diem could produce. The main thing to remember is that there is a big difference between a decentralized stablecoin like RSV and a centralized stablecoin like Libra/Diem - or any Central Bank Digital Currency (CBDC) for that matter.

Take a look at what could happen when you use Libra/Diem to make online purchases.

Libra

Gem #7

We know that governments like Venezuela are very strict on keeping control of their native currency. So what would happen if one of those governments tries to take down Reserve and its supporting apps? Here’s what Nevin (Reserve’s CEO) has to say about that.

Gem8

Gem #8

Once the Reserve project reaches the decentralized phase, RSV tokens will be backed by tokenized assets such as currencies, commodities and equities. Something that I personally was not yet aware of was that the Reserve team has a high-level plan about which of these assets will be added to the basket when. Take a look at Nevin’s ideas.

Gem9

I know many of us are going through a tough period with the market recently dropping a lot of value. I believe a good way to deal with this uncertainty is to gain an absolute trust in the project(s) you are investing in. My hope is that this post could be a first push in the right direction for atleast some of you.

Hyperinflation :money_with_wings: