Whatever that thing is, I know it has nothing to do with the united states or FDIC lol. But from the brief description on wikipedia i don't think i would trust it further than i could throw it.
When saying "in 9 years" you don't mean just a time span of 9 years, right, just like any other 9 years in human history during which we more or less know what happened, right? Imo, the 9 years we have ahead of us can be so different, technologically and economically wise, from what we've seen before that we can't extrapolate our knowledge of market in the past to the future 9 years.
yep things do change dramatically in the crypto space in just a short time period but things like usdc and gusd become part of the underlying operating infrastructure for the crypto market so i dont expect them to go anywhere in the next 25 years. especially usdc. 25 years is something i wouldn't bet on though.
So, no one knows for sure, but imo the probability of BTC staying here and stable coins like GUSD vanishing is high because(again, it's only my opinion) ... because Bitcoin is revolutionary money, the technology that is yet to be understood by most people, while stable coins is rather an attempt to return back to the old road.
bitcoin will outlast any centralized stablecoin because bitcoin doesn't rely on a single company to operate. stablecoins do. eventually usdc and gusd will lose market share to something else and after that they might go away completely. at some point. but not in the next 9 years. thats my take on it.
That's not accurate. I've traded both bitcoin and monero for years, hundreds of times, and never once had to have any trust in an exchange whatsoever because I trade exclusively peer to peer.
if that's true then that's very cool. i think that's how bitcoin was supposed to be. trading person to person. but then companies took over and created online everything and put people at their mercy.
And trust what their bank say. And trust what their accounting firm say. It all comes down to trust. With bitcoin you don't have to trust - you can verify.
Well bitcoin and centralized stablecoins are 2 different beasts. As we saw with UST, making a truly decentralized stablecoin is not so simple. Things can fail catastrophically. DAI is a decentralized stablecoin though that seems to have been around for quite some time.
Quote from:
https://www.gemini.com/dollarEach GUSD corresponds to a U.S. dollar held by Gemini in accounts at U.S. FDIC-insured bank accounts and money market funds holding short-term U.S. treasury bonds and maintained at a custodian. The cash portion of these GUSD reserves may be eligible for FDIC “pass through” insurance for Gemini customers, in the event of the failure of a bank holding the U.S. dollar deposit portion of the GUSD reserves.
Freely admitting that GUSD reserves are not all held in cash, some are risked on commercial paper and held with third parties.
It's not just any commercial paper. It's us government short term treasury bonds. big difference. I would think that short term us treasury bonds are probably pretty safe and we won't be seeing a default on them. If that happens then there are big problems with the economy and people will have bigger problems than not being able to redeem their gusd. But if gemini is not the holder of the treasury bonds and they are just trusting some 3rd party to invest into treasury bonds via some money market setup then that would introduce more points of failure.
And if stablecoin issuers were open, honest, and up front about that risk, then I'd not have so many issues with them. But they aren't. They gamble your funds for their own profits.
if you can read then gemini has the warning posted before you invest with them to get 7% that it is not an insured investment. how much clearer could they be? but i guess not everyone knows how to read or does read terms and conditions. you have to do that when its your money though. don't like the terms and conditions? then don't invest. no one is twisting anyone's arm to get them to invest either.
There is absolutely no way that Gemini make that distinction.
I'm sure they could make the distinction but whether they do or not I have no idea. that's called doing your due diligence. you do that before you give them your money. if you don't like what you hear then you saved yourself from being involved in something you wouldn't feel comfortable with. now with that said, one thing i am not impressed with gemini is you can't just pick up a phone and talk to someone. for me, that's an important thing to being able to ask anything i want and get all my questions answered. can't do that with them.
