Common issues with AI-created guides on energy-backed stablecoins

There are tons of AI-generated guides out there about "energy-backed stablecoins." They may sound legit but often mess up the basics. Check out this recent article as a good example. Here are four big mistakes to watch out for: 1. Calling it an "energy-backed stablecoin" is contradictory. Prices of kWh can swing a lot. A token tied to energy output isn’t really stable. 2. It's against the law in the EU and the US. MiCA Article 40 prohibits any yield on stablecoins. The SEC sees yield-bearing stablecoins as unregistered securities. 3. There’s no redemption option. If you can't exchange it for kWh, fiat, assets, or shares in a company, then there’s no real peg. 4. Smart contracts can’t create Power Purchase Agreements. A PPA is a legal contract signed with a utility. A token can’t replace the need for human negotiation or obligations from the other party. So why does this matter? Tokenizing real-world assets involves serious engineering and regulation. Focus on the fundamentals first, then the marketing.