Exactly! Without a known amount of assets to back up the coin or controls on how much currency you can issue tied to hard assets it’s so much more likely become a mess. It shouldn’t be tied to “the dollar”, it should be tied to “their dollars.”
But you’re also right that it starts to centralize things a lot more. And if the only time coins can be generated is when they are purchased. It’s a real-world asset token.
That would be more stable to shadow the actual asset with the coin but then who holds the pot of money casting those shadows and what they are allowed to do with it is the big issue.
