I wouldn’t be surprised if folks/company with cash start offering cash to holders of those IOUs in exchange for those IOUs being purchased at a significant discount.
For instance, suppose J6p has an IOU for $2000. Assuming it would be transferrable, why not offer cash-strapped J6P $1300 cash in exchange for the IOU? While it’s seems like a shitty thing to do, it’s really a win-win proposition for j6p….J6p gets to continue to live paycheck to paycheck, and the person offering the cash gets a premium for taking on the risk in case CA defaults and those IOUs aren’t redeemable
I don’t see this doom and gloom…In fact, as shitty as it sounds, I think it creates opportunity.[/quote]
