I can't wait to see that what will be happening with the crypto market once CBDC will be rolling out. This is a very interesting drama to be watched for sure whether the gov will try to rush stable token that exist in the market or not.
Topic: Stablecoins or CBDCs? - page 5. (Read 867 times)
This will become another shitshow for sure. The companies vs regulators. So people will be hardly speculate about which will become the winner but this time market dominated by the stable tokens that issued by the companies rather than regulators. If CBDC will be working locally like what china CBDC does and im sure that if crypto stable token that worked globally will always be dominating the market.
I can't wait to see that what will be happening with the crypto market once CBDC will be rolling out. This is a very interesting drama to be watched for sure whether the gov will try to rush stable token that exist in the market or not.
I can't wait to see that what will be happening with the crypto market once CBDC will be rolling out. This is a very interesting drama to be watched for sure whether the gov will try to rush stable token that exist in the market or not.
In my opinion, as a second generation cryptocurrency, stablecoins are probably more tested and proven than CBDCs. Stablecoins have great potential if they are able to bring in more institutions and increase their liquidity volume. The popularity of stablecoins is growing among individuals and businesses and If take closer look In recent years many new stablecoins have been launched and each has set benchmarks in terms of liquidity, transparency, technological advancement and global reach. If i not mistaken, some governments even welcome them with open arms because it seems much easier than launching a digital version of their fiat currency.
If stablecoins are already proven to be successful, why re-invent the wheel with the launch of a new government-backed digital currency? Can't just governments back stablecoins themselves and avoid all of the hassle of creating new digital Fiat currencies from scratch?
essentially they want to create a stablecoin that they can actually control. USDT, UST, USDC and other stablecoins are not government owned. although the government can control it by making regulations but still it cannot be fully controlled. that's why they wanted to develop stablecoins from scratch. their goal is only one they don't just want a piece of cake, but they want to get it all. that's why they made this.which became a problem when it became a reality, whether the crypto community accepts it or not. if they accept it then mainstream stablecoins like tether will be abandoned.
There is no need to consider the creation of CBDC as a replacement for stablecoins, since it is one of the varieties of money, along with its cash and non-cash form. Accordingly, the creation of a CBDC takes money to the next level of development, based on the blockchain, which accordingly helps the government to establish total financial control over its citizens.
The core issue with the nature of the two currencies lies in control, but the question is which one is better for the crypto market, which makes them more mainstream in world finance and growth true to their nature? I do see that the future adoption of CBDCs by governments will come with a lot more regulatory implications. The magnitude of the effect, however, we should wait and see.
I think that Stablecoins are still around. although I feel that it will be tough competition for Stablecoins to compete with CBDCs. the reason is, some people will still use Stablecoins because they think that it is a real crypto. however, I also think that it will remain in the habit of longtime crypto users to stick with Stablecoins. however, if CBDCs had more flexibility, I think new people or even old users will also use this coin as a habit. especially if CBDCs have government guarantees, and other advantages, I think new people will tend to use CBDCs for their Stablecoins needs in the crypto world.
however, if CBDCs only came as stabilcoins, I think stablecoins like theter would still be at the top.
however, if CBDCs only came as stabilcoins, I think stablecoins like theter would still be at the top.
What do you think the future of stablecoins will look like after CBDCs are launched? Will they die in the end or will they co-exist with CBDCs? Your input will be greatly appreciated. Thanks.
CBDC and tether to me look the same, so if CBDC is adopted by crypto exchanges then stablecoins like tether are no longer needed. only stablecoins like DAI that are truly decentralized will survive. can coexist, but I'm not sure the two will be the main choice. but it all depends on the centralized exchange, if all CEX agrees not to adopt it then CBDC will not enter the crypto space. and stablecoins like tether will remain the top choice.
Stable token will be co exist with CBDC but the different result when the government wanna try to ban all of the stable token and making the CBDC will be mandatory to be used in all of crypto exchange sites. This will be making CBDC to be used by the whole of crypto market and it may become the end for the stable token. The question is whether the government from any countries will be taking an action against the stable token. This will become a disaster for the stable token creator once the countries will be starting to against them.
So as an ordinary people and i can't say a lot about that caused by the future of the stable tokens totally depend with the government statement.
I agree that over time, governments may ban the circulation and use of private and other non-government stablecoins. States can do just that. After all, private stablecoins mainly use government fiat to provide them, and at the same time, private stablecoins are direct competition for state-owned CBDCs. Governments will certainly not use private stablecoins if they can create their own, which they can fully control. The public will most likely use their state's CBDC. This will largely depend on how all types of stablecoins will work with the cryptocurrency market. So as an ordinary people and i can't say a lot about that caused by the future of the stable tokens totally depend with the government statement.
CBDC of US will be probably the same as stablecoin, with the difference one is centralized by a government and the other is centralized by a company (which is still regulated by the government anyway), so they are pretty similar. Maybe CBDCs will be more precise at the 1:1 ratio conversion than stablecoins, but I'm not sure yet.
Between the two options I prefer to pick the less bureaucratic one. I expect CBDCs to be harder to deal with due to regulations and limitations imposed by each local government, so it's likely I will keep with stablecoins, but if CBDCs are going to be user friendly currencies I see no problem in adopting them as well.
Between the two options I prefer to pick the less bureaucratic one. I expect CBDCs to be harder to deal with due to regulations and limitations imposed by each local government, so it's likely I will keep with stablecoins, but if CBDCs are going to be user friendly currencies I see no problem in adopting them as well.
Goverment of any nation want to exercise their authority when it comes to handling finances. The advent of cryptocurrencies has been a concern for some Countries, as such Central Bank Digital Currencies (CBDC) is one of the ways the Government can participate in digital economy and perhaps benefit from it. Basically, having your funds in CBDC is not the same as having your funds in USDT, DAI and other crypto stable coins. Privacy and anonymity still plays role in cryptocurrency. While CBDC and crypto stable coins will co-exist for a length of time, crypto stable coins offer more anonymity and privacy when compared to CBDC. Government operating CBDC want to be in charge of people funds hence a third party. That is contrary to the true essence of crypto (the essence of establishing Bitcoin) 'Be Your Own Bank'. While some stable coins are somewhat centralised, they still offer more privacy when compared to CBDC.
It will be easier for each user on different countries with CBDC. There's no necessity for converting USD backed stable coins all the time just to adjust the trades or calculate the profits. I do to that before and its time consuming.
Early parts will be co-existing with it but once users got used to the new thing they will start to forget about stablecoins. That's the crucial part but I think stablecoins won't just go away for there may be exchange/trading platforms that won't agree with it yet.
Like BTC to USDT to CBDC for withdrawals and vice versa for deposits.
Early parts will be co-existing with it but once users got used to the new thing they will start to forget about stablecoins. That's the crucial part but I think stablecoins won't just go away for there may be exchange/trading platforms that won't agree with it yet.
Like BTC to USDT to CBDC for withdrawals and vice versa for deposits.
If people suddenly jump from using stablecoins to government cbdc then yeah there is a possibility the stablecoins era will end but if nobody uses cbdc and no government of any country forces their citizens to use it, I think stablecoins will just be fine and operate as usual. It all depends on the end users.
I think that they will coexist.
Personally, CBDCs aren't going to be used on a day-to-day basis for most international or online transactions simply because of the fact that it is traceable and the government is likely going to have control over the ledger.
There is still going to be a need for stablecoins, especially algorithmic ones, to ensure that governmental pressures do not result in loss of funds. Although for centralised stablecoins this is going to be increasingly difficult anyway.
Personally, CBDCs aren't going to be used on a day-to-day basis for most international or online transactions simply because of the fact that it is traceable and the government is likely going to have control over the ledger.
There is still going to be a need for stablecoins, especially algorithmic ones, to ensure that governmental pressures do not result in loss of funds. Although for centralised stablecoins this is going to be increasingly difficult anyway.
Algorithmic-based (decentralized) stablecoins might co-exist with CBDCs, but centralized stablecoins backed by real world reserves will eventually die in the long run. That's because governments will increase pressure on centralized stablecoin issuers to close up shop. After all, they don't want to lose dominance over their newly-launched digital currencies. Existing stablecoins such as Tether (USDT) and USD Coin (USDC) are just experiments for what's coming in the future. Once the US Digital Dollar is born, there will be no reason for such coins to exist anymore.
Things are developing rapidly in the crypto/Blockchain space, so it's hard to predict what will happen in the future. I don't mind about stablecoins and CBDCs as long as decentralization prevails in the long run. Just my thoughts
There will be a very strict competition between both and i was feeling curious which was one was better from both. I meant the companies will be competing with the regulators. If this competition will be real and this can be a very good thing for sure. People have more choice to pick which was stable token that is worthy to be used as a safe heaven for their assets during the bearish market. I would like to see that if both will be co exist and people will have more choice rather than only focusing into the one choice.
This is good for the ecosytem as people can also save their assets into the CBDC as well even if that was fully monitored by the government.
This is good for the ecosytem as people can also save their assets into the CBDC as well even if that was fully monitored by the government.
People prefer stable coins against the CBDCs. A central bank backed digital currency is just a new form of traditional fiat. This can ease the transaction of large scale funds between governments if the CBDC is created and integrated. The existence of these kind of cryptocurrencies will diminish the real value of decentralised money.
Recently read about a project on CBDC where few countries like Malaysia, Korea and few more involved. Here this will support multiple country transaction. This helps cross border transaction for minimal transaction cost.
Recently read about a project on CBDC where few countries like Malaysia, Korea and few more involved. Here this will support multiple country transaction. This helps cross border transaction for minimal transaction cost.
Every government wants full control of their own CBDC so they won't patronize the existing stablecoins. Because CBDC as you mentioned already that it is just the digital form of their traditional fiat currency. So every country has their own fiat, hence, they would want to have their own CBDC rather than use the existing stablecoin, in which, they don't have the control of its existence.
It depends, if you want to hedge your funds against the declining price then go with stablecoins and then play along as the market bounce back.
For me stable coins can't be traded right? as far as I understand, they won't be in an exchange. But it has its own purpose obviously for the government and for the people to make transactions smooth in their country. But still they are very different as compare to stable coins that is being used for crypto trading.
For me stable coins can't be traded right? as far as I understand, they won't be in an exchange. But it has its own purpose obviously for the government and for the people to make transactions smooth in their country. But still they are very different as compare to stable coins that is being used for crypto trading.
People prefer stable coins against the CBDCs. A central bank backed digital currency is just a new form of traditional fiat. This can ease the transaction of large scale funds between governments if the CBDC is created and integrated. The existence of these kind of cryptocurrencies will diminish the real value of decentralised money.
Recently read about a project on CBDC where few countries like Malaysia, Korea and few more involved. Here this will support multiple country transaction. This helps cross border transaction for minimal transaction cost.
Recently read about a project on CBDC where few countries like Malaysia, Korea and few more involved. Here this will support multiple country transaction. This helps cross border transaction for minimal transaction cost.
If stablecoins are already proven to be successful, why re-invent the wheel with the launch of a new government-backed digital currency? Can't just governments back stablecoins themselves and avoid all of the hassle of creating new digital Fiat currencies from scratch?
Government cannot back what it didn't create or does not control. CBDC will co-exist with Stable coins, the people will hardly trust any creation of the government in this crypto and blockchain world. CBDCs could only be mandated by the government for international trading and exchanges, but for traders, they will stick to stable coins like usdt they know.People will continue to use stablecoins because there is at least the perception of some kind of privacy.
This is correct, atleast you will have the sense that you control your money yourself. Then, government will not over push the CBDC project because it will affect the banks, unless they allow banks to manage them. CBDC’s are a horrible creation, the government/bank can freeze your accounts at any one point.
Well, some stable coins have proven that they are able to freeze some accounts. I don't see any difference about it.Yet, central banks have announced their intentions to launch CBDCs (Central Bank Digital Currencies) of their own. If stablecoins are already proven to be successful, why re-invent the wheel with the launch of a new government-backed digital currency? Can't just governments back stablecoins themselves and avoid all of the hassle of creating new digital Fiat currencies from scratch?
I don't think it can be said to reinvent the wheel. AFAIK, CBDC will surely have a significant difference with stable coins, technically. A few reasons CBDC is being built are to maintain control, and to have direct access to the currency itself, with that being said I don't see they will be built using blockchain like XRP, Stellar or even EVM-based tokens.What do you think the future of stablecoins will look like after CBDCs are launched? Will they die in the end or will they co-exist with CBDCs?
If governments will strictly control and regulate stable coins, I don't see what is the point of stable coins themselves. People will move to their own acceptable CBDC to deal with everything including cryptocurrency-related things. 
Stable token will be co exist with CBDC but the different result when the government wanna try to ban all of the stable token and making the CBDC will be mandatory to be used in all of crypto exchange sites. This will be making CBDC to be used by the whole of crypto market and it may become the end for the stable token. The question is whether the government from any countries will be taking an action against the stable token. This will become a disaster for the stable token creator once the countries will be starting to against them.
So as an ordinary people and i can't say a lot about that caused by the future of the stable tokens totally depend with the government statement.
So as an ordinary people and i can't say a lot about that caused by the future of the stable tokens totally depend with the government statement.
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