Topic: Increase in stable coins adoption might just be the key to crpyto dominance. - page 2. (Read 608 times)

Stable coin does not represent the entire cryptocurrency industry and it is no different from currency in its digital form.  so I don't think that proves crypto dominance or that cryptocurrencies are being used more than other traditional means.  even if people use more stablecoins than fiat or banks, I don't see that having any positive effect on making bitcoin more popular.
Ultimately, what is happening with stablecoin usage proves only one thing, people still prefer centralized systems and services over decentralized ones.

What I don't understand in the OP's position is that he is trying to connect the dominance of stablecoins in the digital asset market with the dominance that crypto will have as a direct result of that. This assumes that stablecoins are considered cryptocurrencies when they are just another form of digital fiat currencies. These stable currencies derive their value from the fiat currency (mainly the dollar), and this also represents their biggest problem at the same time, since most of them are issued without sufficient dollar reserve cover.
As for the uses, the most important areas of using stable currencies is in the field of trading to freeze the price in cases of a sharp decline, and I have not heard that these currencies are used in shops and commercial exchanges in general.

Stablecoins have become a dominant force in the payments industry Op?

I was thinking the OP is saying about the adoption of CBDCs of different countries and not stable coins. Although CBDCs are stable coins but they are more of fiat than crypto. The government who is avoiding or fighting crypto is still in the crypto space. Whether with or without facilitation, crypto must be widely adopted and it will have high level of dominance.

In the example of PayPal in particular, it can be said that the company is making attempts to enter the WEB 3 market in different ways. This may be without sufficient knowledge of market conditions and users, or perhaps it is experiments to come up with evaluations on the basis of which the next step is taken. PayPal did not seek to solve this problem by implementing some modernization proposals, especially since it only takes its name from the blockchain, while development and support are completely centralized. This is one of the worst experiences ever, in my opinion.
Expected for those merchants on having that kind of treatment or behavior on which they cant really be just that easily be adopting or integrating on things which are decentralized or not really that regulated.
As much as possible they would really be avoiding on things which would really be putting up in trouble. Speaking of news and updates then lets stick to Paypal.

PayPal’s PYUSD struggles with early adoption — Nansen
https://cointelegraph.com/news/paypal-pyusd-stablecoin-struggles-with-adoption-nansen

They do even tend to create their own stablecoin which it is always that pegged with dollar and since these coins are really that stable or getting in line with regulation then it has nothing
to  do different on what we do have in fiat. Therefore, it isnt something that would be relevant on speaking about crypto dominance since these arent crypto at all in the first place.

Stable currencies are mainly used in trading platforms, where a novice user cannot understand the basics of their development and will most likely treat them as if they were fiat dollars. PayPal, Neteller, and other financial institutions never have a priority to spread blockchain culture and educate their users, and they do not even provide users with the ability to make payments except through a payment gateway.

Though most (or maybe all) of stable coin is centralized, and backed by fiat, as long as they are using Cryptographic encryption and blockchain technology, they still can be considered as cryptocurrency, a centralized crypto currency but still cryptocurrency, and it might sound weird, but there are actually some people who are never learn Bitcoin or Crypto, but they are familiar PayPal, Skrill and other online payment method, with PayPal releasing a cryptocurrency, it might be their first step to learn about crypto. I don't fully agree to every statements by OP, but some part of his opinion actually make sense.

I would not attribute the increase in the share of stablecoins to the accelerating spread of cryptocurrencies.

What value stablecoins settle? Go to any supermarket in the world and you'll see people paying with Visa or Mastecard every single minute. But where are the stablecoin payments?  I never encountered a business, even a small one, that accepts stablecoins.

My guess is that most of the activity on stablecoin network is speculative trading, especially by bots. If someone shut down stablecoins tomorrow, the world wouldn't notice. If someone shut down Visa tomorrow, that would be Armageddon.

Though most (or maybe all) of stable coin is centralized, and backed by fiat, as long as they are using Cryptographic encryption and blockchain technology, they still can be considered as cryptocurrency, a centralized crypto currency but still cryptocurrency, and it might sound weird, but there are actually some people who are never learn Bitcoin or Crypto, but they are familiar PayPal, Skrill and other online payment method, with PayPal releasing a cryptocurrency, it might be their first step to learn about crypto. I don't fully agree to every statements by OP, but some part of his opinion actually make sense.

What I don't understand in the OP's position is that he is trying to connect the dominance of stablecoins in the digital asset market with the dominance that crypto will have as a direct result of that. This assumes that stablecoins are considered cryptocurrencies when they are just another form of digital fiat currencies.

Many countries are actually adopting crypto as a legal means of payment the only reason visa is still more in use is because many firms are not accepting crypto payments yet and I mean your supermarkets and other physical business that uses faits. And for now there isn't much demand for crypto payments for offline vendors. And I think you haven't read the article yet to see what I'm really talking bout

What value stablecoins settle? Go to any supermarket in the world and you'll see people paying with Visa or Mastecard every single minute. But where are the stablecoin payments?  I never encountered a business, even a small one, that accepts stablecoins.

My guess is that most of the activity on stablecoin network is speculative trading, especially by bots. If someone shut down stablecoins tomorrow, the world wouldn't notice. If someone shut down Visa tomorrow, that would be Armageddon.

I stumbled upon a captivating news piece online titled 'Stablecoins Settled as Much Value as Visa in 2022.' It's quite intriguing. Lately, I've been engaged in discussions with my friends about the implications of the growing adoption of stablecoins as a payment option in the current global landscape. To me, it appears to be a positive trend for the world of cryptocurrencies and us crypto users. More individuals are becoming acquainted with crypto, and it's increasingly becoming a preferred choice for many.

The thing about stablecoins is this.... it was developed to mimic fiat currencies and that is it's ultimate downfall. Other Crypto coins have good volatility and that help people to make good profits, if they use Crypto currency as an investment. (A lot of them even beat inflation)

The stablecoins are used to park money, when there are too much volatility and that does not increase it's utility. There are also more benefits to other Crypto currencies, like Smart contracts and side chain developments.

That is %100 true and this is why I do not use stablecoins at all. People who think that stablecoins are fine are people who are just kidding themselves. I just put my money in fiat and wait for the price to drop if that's what I want to do, which is rarely what I want to do to be fair because I keep all my investments in bitcoin and nothing else, but in rare cases that I rather have dollars, I do not use usdt, I just use usd and that way I know that it's the same thing.

Most places have a withdraw option to your bank, and in order to do that you need to have fiat, and then fiat in your account could stay there without you withdrawing it and then you could reinvest it. USDT has nothing over USD at all and people will eventually realize it.