Topic: Stable Coins are a Threat for Bitcoin? - page 4. (Read 2008 times)
Stable coins are not a threat to bitcoin. In terms of trading and earning a profit from volatility bitcoin is still more attractive to stable coin. Stable coin on the other hand is attractive to merchants since the price is not volatile. In some way there are some market impacts on bitcoin but the impact of stablecoin is not much of a threat to bitcoin market.
The threat is in the potential fallout from the companies behind these coins printing too much fake money and going bankrupt. USDt was supposed to be backed 1:1 by usd. People were asking them to show them proof that it's backed and got none. Finally the company admitted that some of the USDt in circulation is not backed. Who wants to be the last fool to turn their USDt into USD? Not me.
The same goes for all bitcoins on deposit at exchanges, or dollars on deposit at your local bank. Eventually, fractional reserve will take its toll. This is characteristic of all trusted custodial arrangements, not just centralized stablecoins.
That's why decentralized stablecoins like DAI are much more interesting to me. It uses economic incentives to pressure the price towards a $1 peg and is completely trustless -- no third party custody.
In trading, stable coins are very useful for storing values or locking profits. And stable coin is not a threat for Bitcoin. Stable coins are only a complement to support the needs of traders. And there is nothing to lose if you hold or deposit a portion of a stable coin to store trading profits.
they are all centralized and highly risky, there is no threat in that for a decentralized bitcoin like bitcoin. specially from dozens of them that keep popping up like mushrooms these days.
the only thing that could only cause a short term drama and that only in price of bitcoin is tether and that is only because it is oldest and biggest otherwise they have nothing to do with bitcoin.
the only thing that could only cause a short term drama and that only in price of bitcoin is tether and that is only because it is oldest and biggest otherwise they have nothing to do with bitcoin.
Additionally, stablecoin's centralization issue is getting worst by the emergence of new stablecoin competitors saturating the whole market but negating the effects that supposedly makes a "threat" to Bitcoin. Also, if I'm not mistaken, most of these stablecoins has no fix supply as compared to Bitcoin - the reason some of them can just easily release or mint new tokens overnight thus adding more cloud in the "fiat backing" credibility issue.
Isn't this a vital threat for bitcoin? These backing issues are preventing bitcoin from mass adoption. It shouldn't be a scam scheme. But if we don't have these stable coins, these will not happening for sure.
Why stable coind can't help bitcoin to be recognize? As far as I know, there are some exchange who do not accepts USD so you will first exchange your USD to other stable coins then you will use that STABLE COIN (like USDT(Tether)) to buy some Bitcoins.For me, stable coins is not really threat for Bitcoin as long as they are 100% transparent, or really backed/pegged with some national currency like USD.
I think stable coins are not a threat for bitcoin, stable coins are used by people to save assets when there is a bear market. Stable coins
are also used to store profits from investments or trading. Stable coins substitute cash in the digital world. So the conclusion is stable coins
make the investment world healthier, stable coins are also very useful for bitcoin its not as a competitor but as a supporter of bitcoin.
With its stable coins make investors more enthusiastic with the world of cryptocurrency, therefore stable coins are not a threat for bitcoin.
are also used to store profits from investments or trading. Stable coins substitute cash in the digital world. So the conclusion is stable coins
make the investment world healthier, stable coins are also very useful for bitcoin its not as a competitor but as a supporter of bitcoin.
With its stable coins make investors more enthusiastic with the world of cryptocurrency, therefore stable coins are not a threat for bitcoin.
I don't know why people think that stable coins are a threat to bitcoin. Infact they are playing a bigger role to helping to solve the problem of high volatility in the cryptospace that has left most traders with losses.
The threat is in the potential fallout from the companies behind these coins printing too much fake money and going bankrupt. USDt was supposed to be backed 1:1 by usd. People were asking them to show them proof that it's backed and got none. Finally the company admitted that some of the USDt in circulation is not backed. Who wants to be the last fool to turn their USDt into USD? Not me.
Isn't this a vital threat for bitcoin? These backing issues are preventing bitcoin from mass adoption. It shouldn't be a scam scheme. But if we don't have these stable coins, these will not happening for sure.
I don't know why people think that stable coins are a threat to bitcoin. Infact they are playing a bigger role to helping to solve the problem of high volatility in the cryptospace that has left most traders with losses.
The threat is in the potential fallout from the companies behind these coins printing too much fake money and going bankrupt. USDt was supposed to be backed 1:1 by usd. People were asking them to show them proof that it's backed and got none. Finally the company admitted that some of the USDt in circulation is not backed. Who wants to be the last fool to turn their USDt into USD? Not me.
Let's discuss the potential effects of stable coins which are bound to usd or eur. We usually use them to avoid the volatility or short bitcoin in a way. There are many stable coins in the last year. By writing threat, I didn't mean issues like tether's issue. I mean, they are not coins, they are just usd and eur.
I don't know why people think that stable coins are a threat to bitcoin. Infact they are playing a bigger role to helping to solve the problem of high volatility in the cryptospace that has left most traders with losses.If Stable coins are a threat to BTC, then why is the Bitcoin dominance currently at 66% compared to 2 years ago where it was at around 30% and yet there was no stable coin hype at that time?
Let's discuss the potential effects of stable coins which are bound to usd or eur. We usually use them to avoid the volatility or short bitcoin in a way. There are many stable coins in the last year. By writing threat, I didn't mean issues like tether's issue. I mean, they are not coins, they are just usd and eur.
This is great topic that's pretty on par with the recent G7 article that was released? I'm assuming that is what prompted this thread - right?I believe comparing stablecoins and Bitcoin is basically comparing apples and oranges. They both have different functions and are used for different things. The only correlation they might have is when Bitcoin investors want a safer option and therefore convert their funds to USDT or other stablecoins to hold the fiat value of those coins.
Otherwise, it doesn't really impact the market and won't change Bitcoin - completely different things here.
They are not a threat because they are different from Bitcoin, hence they will attract different audience. Bitcoin is for people who don't trust centralized organizations like banks and payment companies, stablecoins are for people who don't understand how crypto works or for some reason trust the companies behind the stablecoins. I don't care if stablecoins will take some users from Bitcoin, that would mean that those users weren't good bitcoiners in the first place, and probably wouldn't have stuck for long anyway.
Let's discuss the potential effects of stable coins which are bound to usd or eur. We usually use them to avoid the volatility or short bitcoin in a way. There are many stable coins in the last year. By writing threat, I didn't mean issues like tether's issue. I mean, they are not coins, they are just usd and eur.
Stable coins have zero threat to the bitcoins. Coin is stable only if is artificially controlled by a central body and hence stable coins are centralized ones. You should not compare the centralized coins with decentralized ones. Tether has already big issues associated with it and i do not understand why people still keep their money in tether.
Well, actually, I wasn't mentioning tether is an issue but for Bitcoin, it is a threat and we have seen it. We may have new tether examples in the future with other stable coins. This is another part of the threat.
Stable coins could see more ETF approval in the future than the volatile coin. We could see more stable but the strategy of profit making could different for investor, maybe through staking etc. After such a long bear market, Investors with low risk capacity but want to benefit from the space might need a stable coin with a use case that drive volume trade. An annual profit of 20% could be enough for staking for long term investors in stable coin. We need to reduce volatile coins in the market.
By writing threat, I didn't mean issues like tether's issue. I mean, they are not coins, they are just usd and eur.
If you realize that point, then the question is moot. Bitcoin derives a lot of its popularity from the fact that its value is subject to the free market, meaning that its price moves according to supply and demand. Stable coins don't do that, and there is never going to be significant interest in them other than using them as a substitute for cash on exchanges.So no, there isn't a stable coin in existence or one to be yet created that will present a threat to bitcoin, or to any altcoins.
that might not be possible. the only way it could happen is if we trade items base on the intrinsic (BTC) value i'm asking for the apple you wanna buy. but since we can always agree on the market price we can just do it base on USD which acceptable for all. there will be no haggling when we do it this way. its never a threat but its best to just trade with stablecoins, most of us use it for that purpose.
Let's discuss the potential effects of stable coins which are bound to usd or eur. We usually use them to avoid the volatility or short bitcoin in a way. There are many stable coins in the last year. By writing threat, I didn't mean issues like tether's issue. I mean, they are not coins, they are just usd and eur.
Can you give me a valid reason for these stable coins becoming a threat to the crypto economy? I don't think so! These stable coins are made for good reasons! it helps immensely in trading, especially the day traders are benefited the most from it. It is an arguable statement, if these are coins or not! But they are definitely a digital representation of fiat currencies like USD or EUR. It certainly helps protect your capital during a bearing market. I personally don't think they are any threat to the crypto economy rather it helps in growing the crypto economy by allowing the traders to have a straight forward calculation and faster execution!
One of the reason we use bitcoin is because it is fast and cheap, well, there are other altcoins cheaper and faster surely. Stable coins provide fast and low fee transactions too. On the other hand, daily total max volume is not on bitcoin, it is with tether.
Let's discuss the potential effects of stable coins which are bound to usd or eur. We usually use them to avoid the volatility or short bitcoin in a way. There are many stable coins in the last year. By writing threat, I didn't mean issues like tether's issue. I mean, they are not coins, they are just usd and eur.
Stable coins have zero threat to the bitcoins. Coin is stable only if is artificially controlled by a central body and hence stable coins are centralized ones. You should not compare the centralized coins with decentralized ones. Tether has already big issues associated with it and i do not understand why people still keep their money in tether.
Let's discuss the potential effects of stable coins which are bound to usd or eur. We usually use them to avoid the volatility or short bitcoin in a way. There are many stable coins in the last year. By writing threat, I didn't mean issues like tether's issue. I mean, they are not coins, they are just usd and eur.
If you think that Stable coins will be a threat in the future then stop using it as a way to avoid the volatility of Bitcoin, Eventually, this type of coins may become a threat if people are always using it, And maybe you are right that these Stable coins are just mere USD and Euro but they are here cloaking and disguising themselves as cryptocurrencies and many investors and traders that didn't know are then thinking that these stable coins are like decentralized ones its crucial to the market because some people are trusting it,
But I don't think this could be a threat to the market of Bitcoin or becoming the top in the crypto world.
I think not, because stablecoins are currencies that are backed in some way by fiat currencies, some by the dollar, others by dollar, euro, I think that for Bitcoin it would not be any threat, I see it as an opportunity for people to finish adopting bitcoin, recently what I think that if they can bring consequences is for some countries that may endanger their local economies, such is the case of China with Libra, because they know that Libra will not be present in the Chinese Yuan but if the US dollar, thus representing a dominion over them, particularly over the United States also represents a type of threat to its economy.
The case of Libra seems interesting because it would reach all parts of the world through Facebook and in every corner of the world most people have an account there, when they begin to know that through that Stablecoin they can skip dollar bans. Euro, among others, will use the stablecoin to then change it to Bitcoin, the fact is simple, bitcoin represents money, a money that can inflate at any time to triple, although it may fall, it represents a deflationary economy.
The case of Libra seems interesting because it would reach all parts of the world through Facebook and in every corner of the world most people have an account there, when they begin to know that through that Stablecoin they can skip dollar bans. Euro, among others, will use the stablecoin to then change it to Bitcoin, the fact is simple, bitcoin represents money, a money that can inflate at any time to triple, although it may fall, it represents a deflationary economy.
Stable coins are not a threat to bitcoin. These stable coins were created because the price of bitcoin is not stable. So investor can move to stable coins when market becomes riskier. The situation right now is a suitable time to move on to a stable coin. We don't know which way the price will go so investors who don't want to gamble and want to be safe with their investment can move to a trusted stable coin like USDC or TUSD(I don't recommend USDT). Even sometimes when you work online and get paid in Bitcoin things can be unusual when the price of bitcoin moves too much. I get paid last month in BTC but the price went down $2000 in a few weeks So Stable coin solve this problem as well. A stable coin is helping people who work on crypto space and is using crypto regularly & is not a threat to bitcoin in any way.
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