When the cryptocurrency will move to such a structure. But it will not be soon. Since cryptocurrencies at the moment will not be able to compete with Fiat which is tied to gold.
Topic: Are asset-backed stablecoins the future of money? (Read 139 times)
There are many stablecoins which are backing their currency with fiat or an asset (like gold). Is this a sustainable solution for the future of money?
Let me know in the comments below.
Asset and fiat backed stable coins will actually provide a sustainable currency in the future because they were create for cryptoneirs to maintain their profit in case of crypto market dump in price occur. But, not all stable coins will have the prevail to be future money because only those that are backed with asset poses the require potential cause fiat depreciate sometime. Let me know in the comments below.
I think it's very good crypto which is directly supported by Fiat and assets such as gold and others. can be crypto which is very stable.
There are many stablecoins which are backing their currency with fiat or an asset (like gold). Is this a sustainable solution for the future of money?
Let me know in the comments below.
It's not sustainabke silution for the future of money, that means crypto still pegged to the traditional money and it can't even discover its real price. It must be proven by its adoption and development because this is something new. Let me know in the comments below.
I think it depends upon the backing model itself. So, not all stablecoins are created equal!
Also, many are risky because of fraudulent actions. But, this doesn't mean they are not here to stay. I feel precious metals, like gold is a good real value for backing crypto-assets. Take for example the Gigzi project, (which is on its ico stage right now) it has a good "Tokenized Precious Metals" model. Moreover, Gold has a more stabe price than just using fiat currency. So, yea, I'm with real asset-backed crypto.
Also, many are risky because of fraudulent actions. But, this doesn't mean they are not here to stay. I feel precious metals, like gold is a good real value for backing crypto-assets. Take for example the Gigzi project, (which is on its ico stage right now) it has a good "Tokenized Precious Metals" model. Moreover, Gold has a more stabe price than just using fiat currency. So, yea, I'm with real asset-backed crypto.
Agreed, that's a great point.
Gold and other precious metals definitely appear more stable than fiat. So then the question is, whats behind the concept of "stable value"?
Is it just a consistency of demand and supply?
If demand for gold changes, and its supply match it, the price will move.
Tell me why we can't build a cryptocurrency which constantly adjusts its supply to meet demand, therefore making it stable... without having to be backed by anything?
I think it depends upon the backing model itself. So, not all stablecoins are created equal!
Also, many are risky because of fraudulent actions. But, this doesn't mean they are not here to stay. I feel precious metals, like gold is a good real value for backing crypto-assets. Take for example the Gigzi project, (which is on its ico stage right now) it has a good "Tokenized Precious Metals" model. Moreover, Gold has a more stabe price than just using fiat currency. So, yea, I'm with real asset-backed crypto.
Also, many are risky because of fraudulent actions. But, this doesn't mean they are not here to stay. I feel precious metals, like gold is a good real value for backing crypto-assets. Take for example the Gigzi project, (which is on its ico stage right now) it has a good "Tokenized Precious Metals" model. Moreover, Gold has a more stabe price than just using fiat currency. So, yea, I'm with real asset-backed crypto.
There are many stablecoins which are backing their currency with fiat or an asset (like gold). Is this a sustainable solution for the future of money?
Let me know in the comments below.
Let me know in the comments below.
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