Topic: Stable coin or having USD in bank (Read 1030 times)

I choose both. stable coins for investing or trading crypto while USD in the bank is used for daily needs or buying things we want. without USD crypto has no exchange value. but USD without crypto will have difficulty in transaction mobility. Having both in life is very beneficial because you don't have to choose one.

How's it possible why did you say stable coins are safer to saving money in the bank. If stable coins lose value like Terra did it doesn't matter who's guarantee backs it you aren't getting your money again. During the years you've held stable coins you could've seen Bitcoin touch $65k so which benefits did you get. Your reasons aren't logical.

Many stable coins have legality and guarantees so that storing stable coins is a safe thing. I have always kept stable coins for almost 4 years and until now continue to get the benefits, for example, stable value and of course safer than saving money in the bank.

This is a good question. Let's say your are in Zimbabwe.  They were printing 100 trillion dollar notes.

They are now officially using the USD. If I lived there I would turn my btc to usd and some yuan as they accept that if you trade with china . I do purchase direct from china.


here is a ccn article on inflation and Zimbabwe https://www.cnn.com/2016/05/06/africa/zimbabwe-trillion-dollar-note/index.html

it mentions they use USD now but will use a few other money units.

"What do the U.S. dollar, South African rand, the British pound, Indian rupee, Japanese yen and Chinese yuan have in common?

They are among the currencies being used in Zimbabwe as a solution to the country’s problems with hyperinflation"

quotes are from the article.

If I have money in the bank and there is a problem with inflation here, I would not hesitate to take all my money out of the bank and convert it to Bitcoin or another cryptocurrency. Because in this way, I will be able to control the use of this fund so that I can grow it in trading activity here or in stakes or farming to have more profit.

I won't gamble my money on stablecoins knowing that I will be in trouble, so that's the way it is. If you have doubts, don't do it or continue; that's the simple thing to do, right?

With the high rate of inflation and the limited access I believe I have over foreign currency account from here in my country, I see having USDT on my private wallet will be better off for me than having USD in any of my foreign or local account which will allow me to save on foreign currency, this is because I will have much of a control I’ve the money in my wallet over the one in my account I will not have to think about networks and some kind of limit exchange and all of that, another thing is that the exchange rate if I want to convert directly from bank account to my local currency is lower compare to the exchange rate when I want to convert my USDT to fiat.

Imagine you're saving $500. If you're choosing between USDT or bank it's always going to be worth $500 when ever you cash out. If you're buying BTC the price you buy's going to be different to when you sell. Choose bitcoin if you're happy taking risks with out knowing if you'll make profits or losses.

I will vote for USD in the bank or cash, not the USDT. It will give you safety and security.
If you are looking to reinvest your money in cryptocurrency and want privacy and hold, USDT is the more convenient option, but the risk of de-pegging is the major concern after the recent UST (TerraUSD) crash.
In my opinion, it is better to invest in GOLD, silver or real estate than deposit the amount in a bank. This way, you will have a liquid asset and a hedge against inflation.

Life is a choice, you can choose the best when faced with two choices. Before choosing, there are many things that must be considered so that you don't make the wrong choice. For most people living in countries with higher inflation rates, they will have to save dollars rather than the official currency in their country. I prefer to keep stable coins rather than keep foreign currency in the bank, even though I don't have full control and its centralized nature, I can use it at any time without any holidays like the system set by the bank.

You probably owe money to a bank, hence why it makes more sense to have an easily assessible deposit to service your debts.   That simple take explains the majority of the Dollar reserve system, its actually mostly about debt trading rather then the traditional asset backed monetary system we had for capitalism a long time.   How it works is kinda gravity defying but it has thus far.

bitcoin is undeniable a good profitable investment but I guess in this case, OP seemed to want instrument to save his wealth without any volatility which fiat actually serves that purpose despite still having fluctuations.
therefore if we are talking about whats better in this case, I guess having USD in bank might win because these bank even if there goes bankrupt still gonna get back up by the government therefore ensuring that we won't lose any money at all.
different with stablecoin that is owned by private company in which could go bankrupt anytime, therefore in this case saving USD in bank is far better.
though stablecoin like USDT i don't see its gonna be bankrupt anytime soon.

I also think that Bitcoin is much better than the choices given in the title.  Since the plan is a long hodl, I would take advantage of the Bitcoin market trend which we know an uptrend and can give us a good amount of profit unlike holding our fund in stablecoins that only diminish in value over time since it is pegged to USD, while banks although give u some interest it is too little to compensate for the inflation.  So the only best choice I think is not on the given option in the title but rather in Bitcoin.

Holding the money in the bitcoin will be the far better option as compared to the money holding in the USD.The USD value will not increases with a time period and only few dollars we get as the interest which is 4-6 percentage.But if you hold the money in the bitcoin,it will give you 10-20 percentage based on the time period you are holding in terms of bitcoin.When the market was moved in the positive way,you can convert the bitcoin to USD.This will give good profit by the bitcoin trading for the certain period of time.

Nigeria government push a hard policy without providing them with solution and that's why the economy is suffering today, everything happen because of subsidy removal from the sales of petrol to the people, they now buy from the market price instead of the subsidized rate it was selling before. And mind you, it's not only USDT stablecoin that has gain against the Naira, it's all dollars that are sold across the parallel market.

The problem with Dollar to Naira is because the central bank has unified the exchange rate which means that banks and other entity will have to buy and sell at a uniform price unlike before when they use to have official rate of the bank and the parallel rate(black market) but now, there is a single price that unified the dollars sales but the problem with this new rules is that there is more demands than the supply and that is a result of low exportation of crude oil, Nigeria government is not making money from crude oil to get more dollar to supply to people and the removal of subsidy has worsen case because the imporers of petrol need dollars to buy them to ship the country which has also increase the price of dollars in the country.

If you are seeing that dollar is good as an alternative to investment, you should be becareful with it because the government can't be trusted, I believe they might be doing or working something out to deflate the Naira and by the time that happens, people will sell the dollars and change back to Naira just not to miss the opportunity again. Also, don't forget, you may like dollars but stablecoins are not worth it.

Saving cash or fiat or stable coins is the same because have inflation in the future, I think better for long term holding or saving assets use Bitcoin than cash or fiat as USDT. I don't think good ideas with gold or silver because any manipulated based on in my country we have paying higher taxes transaction for precious metals such as gold and silver transaction. Bitcoin or keeping in altcoin is good ideas with our saving assets and get benefit later if price up than holding in fiat have percent up or cash money will get inflation several years later.
Should manage risk when prefer saving bitcoin than cash or fiat because Bitcoin price not stable and has two way will drop or up in the future and need smart when right time for investing or saving money in bitcoin.

Due to the recent downturn of our economy (Nigeria economy). Those who save naira in banks will see more reason why to invest in stable coin like “usdt” that is if they are crypto incline. Usdt (tether) is one of the largest stable coin by market capitalization. Traders use stable coin like usdt to make transfer between different cryptocurrencies or to move their investments into or out of the fiat currencies. The value of usdt is pegged with the U.S dollar meaning 1usdt is equivalent to $1. For instance instead of leaving all your naira in the bank, with zero interest couple with bank stress and all. One can save in stable coin at least you certain that the naira has zero chance against the dollar. The dollar will always be a superior to naira, there’s a tendency of having an increased rate. We are seeing how fast dollar is growing over the naira.
 I would prefer having the stable coin than saving in the bank, not only for the interest rate it may attract but also for the accessibility and easy transfer of money from without having to past through the struggle of banks. Now people are tench into going into this cashless policy which as kinda help in its own. Stable coin will help see more effective cashless policy can go.

I would say if you want to hold for a longer period of time then holding bitcoin is definitely the right thing to do.  And keeping cash is more useful for daily life. I personally don't like bank harassment.  They interrogate each and every thing. Where did the money come from, what is the source of the money etc.  In many countries, the value of their regular currency has fallen due to the increase in the dollar, so many people are afraid to keep money in the bank.  If you want to accumulate some wealth physically I suggest you invest in gold and silver.  So if you have more capital then you can invest money on land.

As I also said, stablecoins are just an intermediary for us to easily convert investments and of course we will need them in investing. It would be very difficult for us to enter the market without using stablecoins, because currently, direct conversion from national currencies to cryptocurrencies on exchanges is still limited. But if we talk about storing assets and comparing the two then it is clear that USD is absolutely safer than stablecoins. USDT has never been a good choice for storing assets or saving like USD.

When you convert an asset to stablecoin, you choose a parental company that has an asset value equivalent to 1:1 ratio of USD. If you chose USDT, it means you converted your asset to a USD but can only be convertible with tether company in physical form or you can convert to fiat with anothrt person that want the USDT. In addition, converting your asset to any stablecoin, it means that any day it depeg, your equivalent will depeg too but when if you live it in USD, it will stay that way except if US Dollar lose power when there is inflation.

How, it's not all company that suppurt USD, only few like Bittrex exchange allow you do that but to me, it's riskier because you can't tell if the exchange has a fiat to back up the asset you have on the exchange. It's good to withdraw your coins from exchange because as long as you don't have the private keys, then they are not your coins.

People prefer to save their money and one class of people prefer to invest their money. Saving money will keep your money unchanged but your money will be safe but when you invest your money will have the potential to grow so your money will have some risk. Those who invest risk money create a possibility for their money to grow. People who prefer savings without investment should definitely prefer to keep money in bank instead of converting their money into stable coins because keeping money in bank is safe. Keeping money in bank is risky only when there is financial crisis in the country and some banks are likely to go bankrupt, moreover it is safe to keep money in bank. If money is not invested, a person must keep the money in the bank without converting it into stable coins.