without focusing on assets that may increase in value but are difficult to liquidize
Hi HB
This has nothing to do with liquidity.
Assets that can increase in value are also assets that can decrease in value.
They are not-stable assets.
Backing a currency whose value should be stable (stable-coin) with assets whose value is not stable doesn't make sense.
what caught my attention is that their assets are distributed between cash and US Treasury bonds, without focusing on assets that may increase in value but are difficult to liquidize, such as debts and real estate.
Both US Treasury and fixed deposits are debt:
US Treasuries is debt of the US gov, Fixed deposits is debt of banks.
None of them is cash.
There is no cash backing FDUSD.