The one thing holding all crypto-currencies back is volatility and price stabality.
If Nem can implement a decentralized bank similar to what bitshares is
doing.
Its game, set and match.
I am skeptical about bitshare economic model. I don't think the way they peg bitusd arbitrarily to $ could work in practice. Lending business is pretty difficult to do with bitcoin because of its deflation nature so i am interested so see if anyone can come up with a viable model.
well it has worked in the past, i don't see any reason why it couldn't work in a decentralized manner.
Lets say you have 100 NEM, you put it in the bank, bank gives you 100 BANKNEMS, NEM value drops from $1 too $0.50, you withdraw your nems, you end up with 200NEM. BANKNEMS are what you would use for day to day transactions as there is no volatility.
This way you have the option too:
1. Hold nem, in order to speculate on the price and make money
2. hold banknems for a safe and stable currency
This model fails when a bank run occurs. There are ways to mitigate this, such as a portion of the transaction fees and/or mined nem go towards the nem bank.
Another option is to have an autonomous system to buy and sell nem (increase and decrease the supply of nem) in order to stabalize the price. A better option but much more difficult to pull off, you would also need a significant amount of funds.