Algo stablecoins technically can't survive. I mean just because of the simple fact that unless it has more money in it then any one single person can conjure, or even a group of people, that means it can't survive.
You need to have like 100+ billion dollars in it for a safety in case anything like UST happens, and it will not have that much money in it. Whatever you do, as long as it is going to be "protected" by a system that requires people to spend their money to recover it, that will not be working at all and it will cause it to go down. This is why people do not trust them right now and they will continue to not trust them at all for a long time as well.
Topic: A next generation "algo stable coin" is about to wipe out all stablecoins period (Read 155 times)
August 09, 2022, 06:43:06 AM
August 08, 2022, 09:48:59 AM
This definitely seems like an odd take on the remains of the Luna collapse. I think it’s been proven that algorithmic stablecoins are easily manipulated by market participants. A lot of people lost a lot of money thinking that this idea was possible. I’m sure others will try and meet the same fate. If you want to hold dollars, hold dollars. Buying stablecoins to throw into a DeFi casino or CeFi lending scheme has historically been a bad idea. Especially if you’re at the wrong end of the risk curve.
Somehow, it seems to me that it will take a lot more scandals for people to understand what kind of risks are involved when it comes to stablecoins, and especially when it comes to these new algo stablecoins, which are complete nonsense from any angle you look at them. Such things would actually be doomed before they even took off, but the level of greed and ignorance of the average crypto investor is unfortunately at a very high level.
August 08, 2022, 04:06:59 AM
Along with that luna disaster was also the collapse of ust and other algo/algorithmic based stable coins. That supposed to change your views about them but it seems that you are more encouraged to hold an algo based stable coin. Algo based stable coins are now depeging so it can't be that they can wiped out the traditional stable coins that we know like usdt, busd and usdc but they are the ones that will be wiped out first.
Quote
Only 3x in my life has my brain lit up like a christmas tree.
1st - finding out about bitcoin around 2011
2nd - many shit coins later, finding out about ethereum
3rd - you WISH you knew!!!
There must be things which are not related to crypto but if this was only about crypto then 3, is still little. After btc, eth is also the one that come out next. Shitcoins only came out after the ico boom on 2017. For the 3rd one, I guess this was about the topic that you made here? 1st - finding out about bitcoin around 2011
2nd - many shit coins later, finding out about ethereum
3rd - you WISH you knew!!!
August 07, 2022, 04:16:35 PM
This definitely seems like an odd take on the remains of the Luna collapse. I think it’s been proven that algorithmic stablecoins are easily manipulated by market participants. A lot of people lost a lot of money thinking that this idea was possible. I’m sure others will try and meet the same fate. If you want to hold dollars, hold dollars. Buying stablecoins to throw into a DeFi casino or CeFi lending scheme has historically been a bad idea. Especially if you’re at the wrong end of the risk curve.
August 07, 2022, 01:05:56 PM
For coding a good algo stable coin, ppl need huge experience of coding.
It's not even necessarily about the code — it's just that algorithmic stablecoins doesn't make sense and is mathematically unsustainable market-wise. You can literally have the world's best developer work on it, but if the math is bad, it will inevitably fail.
August 07, 2022, 10:15:26 AM
Well, if it's as weak as Terra Luna stable coin, it will be huge fail.
A good and reliable stablecoin is beneficial but we don't need more weak stable coins from script kiddies wanting to make a quick buck.
For coding a good algo stable coin, ppl need huge experience of coding.
A good and reliable stablecoin is beneficial but we don't need more weak stable coins from script kiddies wanting to make a quick buck.
For coding a good algo stable coin, ppl need huge experience of coding.
GET READY FOR $100k+ BITCOIN!!!!!!!!! 
(and I use to hate stablecoins and the algo stablecoins - but now after reading about the luna disaster... things changed......)
FULL REVIVAL of bitcoin and a HUUUUGE LEEP FORWARD in these so called "stable" coins.
People should learn first about: Bitcoin is technically independent from Altcoins (and I use to hate stablecoins and the algo stablecoins - but now after reading about the luna disaster... things changed......)
FULL REVIVAL of bitcoin and a HUUUUGE LEEP FORWARD in these so called "stable" coins.
July 25, 2022, 10:29:59 PM
You do realize that the reason why we are trading close to $20K instead of $30-40K is due to a stable coin which was suppose to be backed by Bitcoin, failed and caused all this mess.
Many were in denial and assumed it was a good idea to have a stable coin backed by an asset which is very volatile. So everybody staked their savings in it and then a horrible collapse happened.
It took out lending platforms, and many capital funds and numerous amount of people lost their savings.
Many were in denial and assumed it was a good idea to have a stable coin backed by an asset which is very volatile. So everybody staked their savings in it and then a horrible collapse happened.
It took out lending platforms, and many capital funds and numerous amount of people lost their savings.
July 25, 2022, 05:11:31 PM
I can imagine some new algo-stable-shitcoin emerges, buys a lot of BTC and pushes the price up by a few thousand dollars, then it gets hacked or just collapses, dumps the bitcoins and Bitcoin goes back to were it was before. Or maybe the market is no longer stupid enough and won't fall for the same trick for the n-th time, but who knows, traditionally crypto market has always liked to repeat the past mistakes again and again.
July 25, 2022, 11:02:49 AM
You should never say something like that is impossible in the world of crypto. I agree, all CURRENT algo stable coins should be avoided 100%
After many several unsuccessful algorithmic stable coins that have been created in the paste, Do Kwon was still overconfident to make an algorithmic stable coin. But what happened? It failed. But to discredit algo stablecoins is a dangerous idea ... and actually damages what makes bitcoin have value...
There are other stable coins that have been better and remain almost stable as the fiat they are pegged with, unlike many algorithmic stable coin that become failed. Most successful stable coins are basically fiat backed. July 25, 2022, 10:46:45 AM
You do realize what happened to the past algo stablecoin attempts.. right? And what? This time it's different, for the 20th+ time now?
https://cryptosec.info/failed-stablecoins/
https://cryptosec.info/failed-stablecoins/
July 25, 2022, 07:41:51 AM
Algo stablecoin == insolvent shitcoin
A stablecoin should be verifiably 1-to-1 backed by another store of value.
A stablecoin should be verifiably 1-to-1 backed by another store of value.
July 25, 2022, 07:32:54 AM
You topic title is not what your post is all about, your topic title is about an algorithmic stable coin that will wipe out all existing stable coins, but that is not possible though. Also people should avoid algorithmic stable coins because they can lose their peg with the fiat they are pegged with and become just like those in the past like UST
GET READY FOR $100k+ BITCOIN!!!!!!!!!
That is possible but it can take like 2 years before it will happen, what I think will caused it to happen is after halving, a period people will fomonto buy bitcoin and a time people having bitcoin will want to buy more. You should never say something like that is impossible in the world of crypto. I agree, all CURRENT algo stable coins should be avoided 100%
I have found the "holy grail" of this magical algo stablecoin - an idea I too have hated for along time.
But to discredit algo stablecoins is a dangerous idea ... and actually damages what makes bitcoin have value...
Feel free to discredit regular stablecoins - they completely defeat the purpose of crypto and "add to the energy bill" ..
July 25, 2022, 07:29:15 AM
Your topic title is not what your post is all about, your topic title is about an algorithmic stable coin that will wipe out all existing stable coins, but that is not possible though.
Also people should avoid algorithmic stable coins because they can lose their peg with the fiat they are pegged with and become just like those in the past like UST
Also people should avoid algorithmic stable coins because they can lose their peg with the fiat they are pegged with and become just like those in the past like UST
GET READY FOR $100k+ BITCOIN!!!!!!!!!
That is possible but it can take like 2 years before it will happen, what I think will cause this to happen is after halving, a period people will fomo to buy bitcoin and a time people having bitcoin will want to buy more. July 25, 2022, 07:21:04 AM
Get ready boys.
Only 3x in my life has my brain lit up like a christmas tree.
1st - finding out about bitcoin around 2011
2nd - many shit coins later, finding out about ethereum
3rd - you WISH you knew!!!
Get ready for the next generation!!
GET READY FOR $100k+ BITCOIN!!!!!!!!!
(and I use to hate stablecoins and the algo stablecoins - but now after reading about the luna disaster... things changed......)
FULL REVIVAL of bitcoin and a HUUUUGE LEEP FORWARD in these so called "stable" coins.
ITS TIME TO SHOW THE WORLD WHAT CRYPTO REALLY CAN DO.
Only 3x in my life has my brain lit up like a christmas tree.
1st - finding out about bitcoin around 2011
2nd - many shit coins later, finding out about ethereum
3rd - you WISH you knew!!!
Get ready for the next generation!!
GET READY FOR $100k+ BITCOIN!!!!!!!!!
(and I use to hate stablecoins and the algo stablecoins - but now after reading about the luna disaster... things changed......)
FULL REVIVAL of bitcoin and a HUUUUGE LEEP FORWARD in these so called "stable" coins.
ITS TIME TO SHOW THE WORLD WHAT CRYPTO REALLY CAN DO.
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