Paypal launched their USD Stablecoin my answer would simply it will be too centralized.
1. PYUSD is backed by the same companies that backed BUSD in the past and we all know about BUSD recent news.
2. Currently the way minting and redeeming is through their Paypal site and back year a go there is case on my friend that paypal freeze the account for unknown reason
3. They are listed on heavily KYC exchanges like Coinbase Crypto.com Kraken and Bybit according to the https://coinmarketcap.com/currencies/paypal-usd/#Markets it is great but people want more exposure on the Decentralized Exchange
Topic: PayPal Just Announced Plans to Launch a USD Stablecoin - Thoughts? (Read 555 times)
October 26, 2023, 09:27:02 PM
October 26, 2023, 08:55:27 PM
@BenCodie. Yes I am saying that somewhere in the future people will sell their bitcoins because they have bought it as a speculative investment. Do you not see it occur on the market?
I did not say bitcoin was used for immoral purposes. You have said this. I said people use bitcoin for gambling and moneylaundering which are very good use cases for bitcoin and many cryptocoins, I reckon.
It can also be used as a very longterm savings account. No one can stop you. However, how can you prove this is not a very longterm speculative investment?
On scaling, you said on 2030 bitcoin will scale. We will wait for this. However, it appears from what is presently being done, scaling will be offchain or on more centralized networks.
On this Pomp, he is only one example of the many larpers in this community who larp about bitcoin and how it will fix everything. Also many times these larpers are very arrogant who think they are better because their coin is the one coin that is better than all coins. It is very head shaking behavior these larpers.
I did not say bitcoin was used for immoral purposes. You have said this. I said people use bitcoin for gambling and moneylaundering which are very good use cases for bitcoin and many cryptocoins, I reckon.
It can also be used as a very longterm savings account. No one can stop you. However, how can you prove this is not a very longterm speculative investment?
On scaling, you said on 2030 bitcoin will scale. We will wait for this. However, it appears from what is presently being done, scaling will be offchain or on more centralized networks.
On this Pomp, he is only one example of the many larpers in this community who larp about bitcoin and how it will fix everything. Also many times these larpers are very arrogant who think they are better because their coin is the one coin that is better than all coins. It is very head shaking behavior these larpers.
October 24, 2023, 04:39:16 PM
@BenCodie. You can disagree, however, much of the holders of bitcoin are presently holding it as a speculative investment that they can sell later. But you can also argue that some of the holders might use bitcoin for gambling, moneylaundering or for payments, however much of the usage is as a speculative investment.
This is caused by the monetary policy of limited supply that you have mentioned. You might say this is superior but this is also not perfect. The limited supply causes price volatility, coin hoarding and because of hoarding, this might cause a centralization pressure on bitcoin.
Also, what is this efficiency are you talking about in the codebase? I am talking about scaling. How much transactions per block can bitcoin do?
This is caused by the monetary policy of limited supply that you have mentioned. You might say this is superior but this is also not perfect. The limited supply causes price volatility, coin hoarding and because of hoarding, this might cause a centralization pressure on bitcoin.
Also, what is this efficiency are you talking about in the codebase? I am talking about scaling. How much transactions per block can bitcoin do?
You're saying that holders are mostly
1. Holding to eventually sell
2. For immoral purposes
What about those using it as a very long term savings account, only taking what they need to top up their crypto debit card or cash to live, until bitcoin or another blockchain is more widely available?
This category of people are growing year on year.
Also, what is this efficiency are you talking about in the codebase? I am talking about scaling. How much transactions per block can bitcoin do?
Scaling is an efficiency. I was saying to look at the changes from 2016 until 2023. The codebase has improved many aspects of Bitcoin, and I am sure that in the future, new additions will make Bitcoin increasingly scalable. Yes, the block size can not be changed...however transaction data can reduce, and mechanisms to take pressure off of the main chain can be introduced.
In anycase, my original argument is for us to be humble and not behave as if bitcoin is perfect. There are many arrogant people in the community who are like this and some of them were exposed as larpers. It is very headshaking because many people follow them.
I am talking about people similar to this Pomp.
I am talking about people similar to this Pomp.
Believing in Bitcoin should not be comparable to this guy who has shilled a centralized service and ended up screwing himself and everyone who followed him. If Pomp just stuck to BTC, that meme shouldn't exist. It's a shame he ruined his name with that...however the meme it isn't really relevant anyway...no one here is promoting something like Blockfi...and just because he did that, it doesn't mean that his conviction on BTC is rendered wrong.
October 19, 2023, 11:32:52 PM
@BenCodie. You can disagree, however, much of the holders of bitcoin are presently holding it as a speculative investment that they can sell later. But you can also argue that some of the holders might use bitcoin for gambling, moneylaundering or for payments, however much of the usage is as a speculative investment.
This is caused by the monetary policy of limited supply that you have mentioned. You might say this is superior but this is also not perfect. The limited supply causes price volatility, coin hoarding and because of hoarding, this might cause a centralization pressure on bitcoin.
Also, what is this efficiency are you talking about in the codebase? I am talking about scaling. How much transactions per block can bitcoin do?
In anycase, my original argument is for us to be humble and not behave as if bitcoin is perfect. There are many arrogant people in the community who are like this and some of them were exposed as larpers. It is very headshaking because many people follow them.
I am talking about people similar to this Pomp.
This is caused by the monetary policy of limited supply that you have mentioned. You might say this is superior but this is also not perfect. The limited supply causes price volatility, coin hoarding and because of hoarding, this might cause a centralization pressure on bitcoin.
Also, what is this efficiency are you talking about in the codebase? I am talking about scaling. How much transactions per block can bitcoin do?
In anycase, my original argument is for us to be humble and not behave as if bitcoin is perfect. There are many arrogant people in the community who are like this and some of them were exposed as larpers. It is very headshaking because many people follow them.
I am talking about people similar to this Pomp.
October 18, 2023, 05:05:43 PM
@BenCodie. The better economics of what? Bitcoin as a speculative investment? This is not economics hehe. But I agree, many people will become quite rich by 2030 because of holding bitcoin when the inflows of new dollars enter the cryptospace. Similar to you, I am also holding. However, we should be humble and not be on a position that we act better than other people or think that bitcoin is the best that has no second best, according to Michael Saylor Moon hehehe.
Also, on scaling, I am quite certain bitcoin will be the same on 2030.
Also, on scaling, I am quite certain bitcoin will be the same on 2030.
If you actually believe that Bitcoin is nothing more than a speculative investment and has no unique properties that has contributed to its success to date, then you're simply just uneducated. Superior economic rules such as the distribution by mining and the rules in that regard, transaction fees, irrevocability, the supply cap, etc. All play a role in why Bitcoin is better than fiat money economically as well as technically.
If you think Bitcoin won't become more efficient by 2030, I can prove you wrong right now. Go to the codebase of Bitcoin in 2016, look at how much has changed from then to now. You really mean to tell me that nothing new will happen between now and 2030? Get real.
October 16, 2023, 10:07:29 PM
@BenCodie. The better economics of what? Bitcoin as a speculative investment? This is not economics hehe. But I agree, many people will become quite rich by 2030 because of holding bitcoin when the inflows of new dollars enter the cryptospace. Similar to you, I am also holding. However, we should be humble and not be on a position that we act better than other people or think that bitcoin is the best that has no second best, according to Michael Saylor Moon hehehe.
Also, on scaling, I am quite certain bitcoin will be the same on 2030.
Also, on scaling, I am quite certain bitcoin will be the same on 2030.
October 16, 2023, 03:54:25 AM
Wrong on what? I am talking about asking the people around you in real life who are not bitcoiners when you walk on the street or go to work.
In any case, you know it gained very high value? This is caused by bitcoin's monetary policy which can also be argued that it is the cause of price volatility.
I am not quite certain why some people in the community think bitcoin's success as a world reserve currency that would overthrow all fiat currencies is a certainty. This is very head shaking and not living in reality. The reality is it cannot scale, it is volatile and it needs government issued fiat to determine the price.
You tell me I am part of the forum for a long time and I share the opinion of uneducated people? To this I reply, what I have learned is to stop listening to the larpers of the community who base their utopian predictions on belief and faith. It is very much similar behavior to these gold holders who have been waiting for many years for the gold standard to be adopted again hehehehe. This is what I have learned.
I only want to tell these larpers to be humble and not to act that they are better than everyone or act like bitcoin will solve all the problems about money. Bitcoin is not perfect.
Also, this is how unreasonable and funny larpers sound like. Watch video hehe.
https://streamable.com/vu98am
In any case, you know it gained very high value? This is caused by bitcoin's monetary policy which can also be argued that it is the cause of price volatility.
I am not quite certain why some people in the community think bitcoin's success as a world reserve currency that would overthrow all fiat currencies is a certainty. This is very head shaking and not living in reality. The reality is it cannot scale, it is volatile and it needs government issued fiat to determine the price.
You tell me I am part of the forum for a long time and I share the opinion of uneducated people? To this I reply, what I have learned is to stop listening to the larpers of the community who base their utopian predictions on belief and faith. It is very much similar behavior to these gold holders who have been waiting for many years for the gold standard to be adopted again hehehehe. This is what I have learned.
I only want to tell these larpers to be humble and not to act that they are better than everyone or act like bitcoin will solve all the problems about money. Bitcoin is not perfect.
Also, this is how unreasonable and funny larpers sound like. Watch video hehe.
https://streamable.com/vu98am
Yes, I am talking about people within my community. People who understand economics. People who understand how to identify when one thing is simply better than another.
Bitcoin can not scale? I'm sure there will be a solution by 2030.
Bitcoin gained very high value? Yes, that's superior economics at work.
Fiat will never fall? Look at what happened to money before the fall of the roman empire, look at fiat money right now. Key similarity? Debasement followed by infinite supply.
This isn't faith and belief. It's economics. Unless something that not only faces the time test that Bitcoin has faced comes about, that is what will come after fiat. Or, Bitcoin will be on the level of gold while a scalable solution takes the payment stage.
We are larpers? Again, let's talk in 2030 or sooner. I look forward to it.
Oh, and watch the video you posted? Why waste my time. I could find funny videos about you to but why do that when I can just come back and laugh in the future!
October 13, 2023, 10:12:51 AM
That would be way better because I really do not like Paypal because of the chargeback thing .
October 12, 2023, 11:43:31 PM
Wrong on what? I am talking about asking the people around you in real life who are not bitcoiners when you walk on the street or go to work.
In any case, you know it gained very high value? This is caused by bitcoin's monetary policy which can also be argued that it is the cause of price volatility.
I am not quite certain why some people in the community think bitcoin's success as a world reserve currency that would overthrow all fiat currencies is a certainty. This is very head shaking and not living in reality. The reality is it cannot scale, it is volatile and it needs government issued fiat to determine the price.
You tell me I am part of the forum for a long time and I share the opinion of uneducated people? To this I reply, what I have learned is to stop listening to the larpers of the community who base their utopian predictions on belief and faith. It is very much similar behavior to these gold holders who have been waiting for many years for the gold standard to be adopted again hehehehe. This is what I have learned.
I only want to tell these larpers to be humble and not to act that they are better than everyone or act like bitcoin will solve all the problems about money. Bitcoin is not perfect.
Also, this is how unreasonable and funny larpers sound like. Watch video hehe.
https://streamable.com/vu98am
In any case, you know it gained very high value? This is caused by bitcoin's monetary policy which can also be argued that it is the cause of price volatility.
I am not quite certain why some people in the community think bitcoin's success as a world reserve currency that would overthrow all fiat currencies is a certainty. This is very head shaking and not living in reality. The reality is it cannot scale, it is volatile and it needs government issued fiat to determine the price.
You tell me I am part of the forum for a long time and I share the opinion of uneducated people? To this I reply, what I have learned is to stop listening to the larpers of the community who base their utopian predictions on belief and faith. It is very much similar behavior to these gold holders who have been waiting for many years for the gold standard to be adopted again hehehehe. This is what I have learned.
I only want to tell these larpers to be humble and not to act that they are better than everyone or act like bitcoin will solve all the problems about money. Bitcoin is not perfect.
Also, this is how unreasonable and funny larpers sound like. Watch video hehe.
https://streamable.com/vu98am
October 12, 2023, 06:33:51 AM
@BenCodie. I might be stuck in the past. However, this is the reality that we witness and if you ask the people who are around you in your real life and talk about bitcoin very much similar on how you talk about it in this thread, I am quite certain many of them will have a similar reaction.
Actually, you're wrong. People who are also into Bitcoin know exactly where I am coming from. I don't have some unique view which no one else shares. Anyone who has been following Bitcoin, why it exists, why it has gained value to date and so much more know as well. You can argue that you have the "popular opinion" and of course if you walk around the street and ask the people who are within the system, who live from the fiat money system and don't know any better, of course they will have no idea and will share your opinion. It is very surprising that you, being a part of this forum, share the same opinion as the uneducated people who run in the hamster wheel...let's leave it at that though, and come back here in 2030
Or feel free to come back sooner if/when you wake up 
October 11, 2023, 10:40:45 PM
Everything will be tokenized soon and Paypal is just one of them since JP Morgan and Blackrock is tokenizing everything base on the articles coming out about their plans. One of it is tokenizing the money we have in our banks.
We are glimpsing the future of what will happen because even the stock market assets will be tokenized ehich I guess they can be sent as currency as well.
We are glimpsing the future of what will happen because even the stock market assets will be tokenized ehich I guess they can be sent as currency as well.
October 11, 2023, 10:20:40 PM
@BenCodie. I might be stuck in the past. However, this is the reality that we witness and if you ask the people who are around you in your real life and talk about bitcoin very much similar on how you talk about it in this thread, I am quite certain many of them will have a similar reaction.
October 11, 2023, 07:13:34 AM
@BenCodie. I am sorry, however, this image you shared is only something similar to a meme. Itmis difficult for bitcoin to be the dominant reserve currency because there will not be a dominant military to back and support it. There is a higher chance that bitcoin will be very much similar to gold, being used as a speculative investment and as a store of value.
In any case, what the next dominant reserve currency might be is the country's currency with a dominant military and a dominant economy. It might be China, also do not underestimate the rise of India. India's economic and military growth will shock everyone.
In any case, what the next dominant reserve currency might be is the country's currency with a dominant military and a dominant economy. It might be China, also do not underestimate the rise of India. India's economic and military growth will shock everyone.
I think that you are stuck in the past with your viewpoint. I also think that it is devolved to think that military power must be coupled with the reserve currency. Only the flaws in humanities past have made the two correlated. Otherwise, they should not be correlated.
I also stated clearly that the image was to highlight the nearing end of the USD, as other reserve countries have also ended. The reason I posted that image was to highlight that your view of "USD will be here forever" is factually flawed, all one needs to do is look at the other reserve currencies and how long they lasted in the past. I will quote my post for you again, since you seemed to focus on the part that I made very clear that I was not focusing on:
Will Bitcoin be the next global reserve currency? Maybe not, maybe BRICS will be between USD and Bitcoin. Will Bitcoin be a reserve currency? That's not definite or set in stone. What is definite is that the USD and other fiat money working like it is not designed to last forever. Bitcoin is fundamentally better than fiat. Right now you are right, we can't replace Bitcoin as the reserve currency...but what I am saying is not about right now, it's about the future...and if you think USD or fiat money is here to stay in the future, you are wrong. I am sure of that.
You can talk about China, you can talk about India, though at the end of the day, the western world will not bow down to either of these countries, nor will other countries seeking to become more powerful than those you have mentioned. Bitcoin being a reserve currency is not impossible, and even though I am happy to agree that having bitcoin in that image of reserve currencies can be considered a meme for now in 2023...I am sure my posts will age well when we get to 2030
October 10, 2023, 08:45:40 PM
@BenCodie. I am sorry, however, this image you shared is only something similar to a meme. Itmis difficult for bitcoin to be the dominant reserve currency because there will not be a dominant military to back and support it. There is a higher chance that bitcoin will be very much similar to gold, being used as a speculative investment and as a store of value.
In any case, what the next dominant reserve currency might be is the country's currency with a dominant military and a dominant economy. It might be China, also do not underestimate the rise of India. India's economic and military growth will shock everyone.
In any case, what the next dominant reserve currency might be is the country's currency with a dominant military and a dominant economy. It might be China, also do not underestimate the rise of India. India's economic and military growth will shock everyone.
October 10, 2023, 03:37:15 AM
@BenCodie. The argument is not if the American dollar, the Euro or any fiat currency is shit. You are correct, they are shit. I am telling you not to have this position of bitcoin is better because the pricing and the value is based on fiat and it will always be based on fiat. Bitcoin needs the scam fiat for the bitcoin market to exist and for it to have a price very similar to how oil, precious metals and industrial metals' value are based on fiat. This is reality and you will need the scam to continue your existence. Do not tell me you do not use fiat to live in this world. That would be impossible and a lie.
I reckon we should accept reality. If much of the people hold bitcoin as a speculative investment to earn more fiat, this should be okay. We should never imply that we or bitcoin is better than other people or other currencies.
I reckon we should accept reality. If much of the people hold bitcoin as a speculative investment to earn more fiat, this should be okay. We should never imply that we or bitcoin is better than other people or other currencies.
Just like all other reserve currencies, the US Dollar will fall. When it does, another will take its place. Will it happen tomorrow? Probably not. Will Bitcoin be the next global reserve currency? Maybe not, maybe BRICS will be between USD and Bitcoin. Will Bitcoin be a reserve currency? That's not definite or set in stone. What is definite is that the USD and other fiat money working like it is not designed to last forever. Bitcoin is fundamentally better than fiat. Right now you are right, we can't replace Bitcoin as the reserve currency...but what I am saying is not about right now, it's about the future...and if you think USD or fiat money is here to stay in the future, you are wrong. I am sure of that.
October 09, 2023, 08:56:04 PM
@BenCodie. The argument is not if the American dollar, the Euro or any fiat currency is shit. You are correct, they are shit. I am telling you not to have this position of bitcoin is better because the pricing and the value is based on fiat and it will always be based on fiat. Bitcoin needs the scam fiat for the bitcoin market to exist and for it to have a price very similar to how oil, precious metals and industrial metals' value are based on fiat. This is reality and you will need the scam to continue your existence. Do not tell me you do not use fiat to live in this world. That would be impossible and a lie.
I reckon we should accept reality. If much of the people hold bitcoin as a speculative investment to earn more fiat, this should be okay. We should never imply that we or bitcoin is better than other people or other currencies.
I reckon we should accept reality. If much of the people hold bitcoin as a speculative investment to earn more fiat, this should be okay. We should never imply that we or bitcoin is better than other people or other currencies.
October 09, 2023, 04:55:10 PM
I am surprised that no one has pointed out the fundamental economic flaw with this concept.
If the USD is backed by nothing but faith, confidence, and (arguably) oil....and PayPal is backed by USD... Then what isn't this technically just shit backed by shit?
And if we measure Bitcoin's price in USD, then technically Bitcoin is backed by nothing, it has zero value. But at the moment, everything is measured in American dollars. When you go the doctor for surgery, they'll calculate your bills in dollars. Even if they accept bitcoin payment, still, they will calculate it in USD value and then convert into bitcoins according to current exchange rate.If the USD is backed by nothing but faith, confidence, and (arguably) oil....and PayPal is backed by USD... Then what isn't this technically just shit backed by shit?
Not really. Bitcoin's value is derived from its economic rules, the ecosystem's speculation, the blockchain ledger, and so much more. While Bitcoin's rules are fixed and do not change, USD and fiat money's rules change around what's needed for it to survive.
If USD = 0 then Bitcoin would be measured against another commodity primarily, like ETH (also a commodity) or Gold. Also, if US = 0, it doesn't mean everything else goes to 0... It means everything else = infinite USD. Just like what's happened in Venezuela with their currency.
The main reason PayPal is doing this is for database integrity via the blockchain ledger, making all payments traceable while reducing the liability and costs involved with the amount of data they process daily. There will probably be a massive scalability boost if the blockchain they use has a reasonable TPS....
Yes but a lot of people simply don't care about that, is it hard to understand? A lot of people don't care about the fact that their transactions will be recorded by PayPal, all they care about is easy access to crypto and stablecoins to gain profit.For now they don't, as for now, it does not matter. When it effects them, it will matter to them. The way you are looking at it might seem correct to yourself for now, but there will come a day that this is no longer the case and your view will be clearly short sided in hindsight.
People also don't care about their social media data being sold to advertisers or insecurely/carelessly handled, I am sure they will care when their face is painted on a commercial thanks to AI, and it is allowed as they permitted it when they agreed to the terms of service on a platform like Facebook, which had a clause permitting such.
I am surprised that no one has pointed out the fundamental economic flaw with this concept.
If the USD is backed by nothing but faith, confidence, and (arguably) oil....and PayPal is backed by USD... Then what isn't this technically just shit backed by shit?
It's good for cryoto, if it enables people to move from PayPalUSD to cryptocurrency with no limitation. However, limitation is the biggest problem with PayPal. I doubt movement between crypto and PayPal's stablecoin will be seamless or limitless.
The main reason PayPal is doing this is for database integrity via the blockchain ledger, making all payments traceable while reducing the liability and costs involved with the amount of data they process daily. There will probably be a massive scalability boost if the blockchain they use has a reasonable TPS....
Though that's another question. If PayPal is going to make all balances backed by its stablecoin eventually, what chain will it be deployed on and can it keep up with PayPal's TPS?
If the USD is backed by nothing but faith, confidence, and (arguably) oil....and PayPal is backed by USD... Then what isn't this technically just shit backed by shit?
It's good for cryoto, if it enables people to move from PayPalUSD to cryptocurrency with no limitation. However, limitation is the biggest problem with PayPal. I doubt movement between crypto and PayPal's stablecoin will be seamless or limitless.
The main reason PayPal is doing this is for database integrity via the blockchain ledger, making all payments traceable while reducing the liability and costs involved with the amount of data they process daily. There will probably be a massive scalability boost if the blockchain they use has a reasonable TPS....
Though that's another question. If PayPal is going to make all balances backed by its stablecoin eventually, what chain will it be deployed on and can it keep up with PayPal's TPS?
[1] The USD is backed by the credit of the American government and America's military as what was shown when Saddam Hussien declared that Iraq will begin using the Euro for oil trades. They were invaded only 1 month after this declaration.
[2] Also, many people in the bitcoin community say that the dollar is shit, however, in what currency do we price bitcoin? What are the proposals and how to price bitcoin away from shit?
[3] You also mention that Paypal's stablecoin will be good for the cryptospace if it can be moved in the cryptospace without limtation? According to your words, it is shit. Why would you want more shit in the cryptospace?
Credit is shit. Military is where all the money went, and why the gold standard was eventually abolished. The invasion of Saddam Hussein is only one of many war crimes that the US have committed with the power they have amassed via the fiat money scam.
What better opponent to give Bitcoin than the once unopposed, all powerful reserve currency of the world? As Bitcoin has grown, USD has lost its power. As BTC continues to grow, USD will continue to lose its power. That is what the price truly reflects.
When you convert or redeem PaypalUSD you are able to convert shit to Bitcoin. Just like you can convert USD to BTC. If it's possible, it's another funnel of demand for Bitcoin.
You said that stablecoins are shit backed by American dollars which is also shit. Bitcoin's price is based on dollars and also backed by dollars. The market cannot exist without dollars. Does this imply that bitcoin is also backed by shit also?
You also said that you wish to witness Paypal's stablecoin would make it easier for inflows into bitcoin. This clearly implies a possbility of a pump that might become a bubble if this occurs. However, what would happen if people want to dump their bitcoin because they want dollars?
I will not be a hypocrite and tell everyone that I do not want to witness a big pump on bitcoin, however, mixing idealism with our speculative investments and having a position that say we are better, the other coins have no right to continue might not be a very good position to have.
However, I agree on the argument on stablecoins. I have always speculated that they might have fractionalized already. If the speculation is correct then stablecoins are fractionalized currencies backed by fractionalized currencies hehehehe.
I think you both are forgetting a very important fact.
The US Dollar is a scam, which is why Bitcoin was created and is superior to it.
Even though the USD scheme will be around for some time, it does not mean that its value will be. Bitcoin started at fractions of cents and is now worth 5 figures per coin. As more stablecoins, derivatives of USD, or in other words, more USD monetary supply is created, the higher BTC will be valued in USD. The more Bitcoin's price rises, the less USD is worth.
If you want a non BTC example, just look at purchasing power decline of USD and all other fiat currency to date. This won't reverse...and eventually it will be so bad that shit will be a nice way to describe fiat money, when you take into account how angry the normies that Syncronice somewhat described in the second part of his post will be when shit hits the fan
October 06, 2023, 08:52:42 PM
You said that stablecoins are shit backed by American dollars which is also shit. Bitcoin's price is based on dollars and also backed by dollars. The market cannot exist without dollars. Does this imply that bitcoin is also backed by shit also?
You are confused about what "being backed by something" means.A stablecoin being backed by dollar means there must be a fixed amount of dollar for each unit of that stable coin. For example 1 dollar for 1 tether.
Can you say that for bitcoin?!!!
Bitcoin price also does not depend on the dollar and is not related to it either. It's just that as the most used shitfiat internationally, it is easier to trade against dollar as opposed to other shitfiats. Otherwise bitcoin, as a currency, has its own value and its own price against all other currencies. If one shitfiat ceases to exist, bitcoin will still exist and work fine!
Not to mention that with the ongoing dedollarisation we eventually will see another centralized shitfiat replace dollar and dominate the market where everything is traded against.
P.S. It is kind of weird to talk about PayPal launching a stable coin while they launched their dollar backed stable coin in 1998 when they established PayPal
You are correct it is confusing because bitcoin is not really backed by anything. The price is determined by how much supply is available on the market, how much demand there is on a certain time and what type of attitude the investors presently have on the market. However, what does the market use to price bitcoin? Where does the market base the value? On fiat.
I agree that bitcoin does not depend on the dollar if there is an international market where it can be directly exchanged for commodities. However, it does not. The pricing depends on shit fiat currencies.
October 06, 2023, 05:06:44 AM
I am surprised that no one has pointed out the fundamental economic flaw with this concept.
If the USD is backed by nothing but faith, confidence, and (arguably) oil....and PayPal is backed by USD... Then what isn't this technically just shit backed by shit?
And if we measure Bitcoin's price in USD, then technically Bitcoin is backed by nothing, it has zero value. But at the moment, everything is measured in American dollars. When you go the doctor for surgery, they'll calculate your bills in dollars. Even if they accept bitcoin payment, still, they will calculate it in USD value and then convert into bitcoins according to current exchange rate.If the USD is backed by nothing but faith, confidence, and (arguably) oil....and PayPal is backed by USD... Then what isn't this technically just shit backed by shit?
The main reason PayPal is doing this is for database integrity via the blockchain ledger, making all payments traceable while reducing the liability and costs involved with the amount of data they process daily. There will probably be a massive scalability boost if the blockchain they use has a reasonable TPS....
Yes but a lot of people simply don't care about that, is it hard to understand? A lot of people don't care about the fact that their transactions will be recorded by PayPal, all they care about is easy access to crypto and stablecoins to gain profit. 
October 06, 2023, 01:45:38 AM
You said that stablecoins are shit backed by American dollars which is also shit. Bitcoin's price is based on dollars and also backed by dollars. The market cannot exist without dollars. Does this imply that bitcoin is also backed by shit also?
You are confused about what "being backed by something" means.A stablecoin being backed by dollar means there must be a fixed amount of dollar for each unit of that stable coin. For example 1 dollar for 1 tether.
Can you say that for bitcoin?!!!
Bitcoin price also does not depend on the dollar and is not related to it either. It's just that as the most used shitfiat internationally, it is easier to trade against dollar as opposed to other shitfiats. Otherwise bitcoin, as a currency, has its own value and its own price against all other currencies. If one shitfiat ceases to exist, bitcoin will still exist and work fine!
Not to mention that with the ongoing dedollarisation we eventually will see another centralized shitfiat replace dollar and dominate the market where everything is traded against.
P.S. It is kind of weird to talk about PayPal launching a stable coin while they launched their dollar backed stable coin in 1998 when they established PayPal
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