What do you say about this investment plan - page 4.

rodskee

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

why not give the name of that said project so we can check deeply ? we can speculate about what you are asking but the problem is we cannot directly address as we have no idea what is that kind of project then as DEFI is now in verge of collapsing as there are so much to blame about what had happened to other projects inside this popularity.

Quote from: LastKiss on March 08, 2023, 01:58:57 AM

Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

You need to know how the stablecoin in that project works if it works like Luna then you can find the other project. We are never able to guarantee what is safe in cryptocurrency since they all have big risks with big returns, if you want to feel safe you can choose stocks for little risk. Don't forget that most stablecoin in crypto is not 100% backed by real fiat money so careful when choosing.

not because stable coin has been mentioned meaning the said project is safe because we have seen this in LUNA so never believe what you see now and what to happen next.

LastKiss

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

You need to know how the stablecoin in that project works if it works like Luna then you can find the other project. We are never able to guarantee what is safe in cryptocurrency since they all have big risks with big returns, if you want to feel safe you can choose stocks for little risk. Don't forget that most stablecoin in crypto is not 100% backed by real fiat money so careful when choosing.

LogitechMouse

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

There is no safe investments when it comes to cryptocurrency. Not even investing into Bitcoin is considered safe.

So to answer your question, it's always a no to me because at first place, there are no safe investments in crypto. Remember Terra Luna? It has it's own stablecoin UST, but what happened to them? The project failed, became a fraud project and many lost their money. Though the project is still running like nothing happened in the past, the trust of their investors surely was affected heavily.

If you think that you have doubts on that project, you have 2 options. Either don't invest on that project at all or do a deep research into it. There is also a problem with Binance with their stablecoin BUSD. Not a DeFi though, but still it has it's own stablecoin.

Anyway, is there any DeFi projects here that has their own stablecoin? Because I don't know any project.

posi

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

If you already feel insecure about it, there's no point in trying to force yourself to invest in it. Once invested, there is nothing called safe, especially with highly profitable projects; once invested, you must accept risks and do not be too greedy when you want safety and high profits. Not even bitcoin can help you do that. To me, altcoin projects are like Ponzi projects, at some point, they will disappear with our money, so it is wise to invest in altcoins.

Luffygroove

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Investing in any type of cryptocurrency or DeFi project comes with risks, and it is important to do thorough research and understand the potential risks before investing. Stablecoins, in particular, can have their own set of risks and challenges.

Stablecoins are designed to maintain a stable value relative to a specific asset, such as the US dollar or a basket of commodities. They can be useful for traders and investors who want to avoid the volatility of other cryptocurrencies, but they can also be subject to risks such as overcollateralization, regulatory challenges, or liquidity issues.

When considering investing in a DeFi project that has its own stablecoin, it is important to evaluate the stability mechanism and ensure that it is transparent, reliable, and adequately collateralized. You should also consider factors such as the project's team, technology, use case, and market potential.

The Luna stablecoin incident that you mentioned is an example of the risks involved in investing in a DeFi project with its own stablecoin. However, it is important to note that not all projects are the same, and some may have stronger security measures and risk management protocols in place than others.

wxa7115

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Quote from: Huppercase on March 07, 2023, 02:36:01 PM

Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

I don't trust Defi projects with stable coin after what happened to Luna some months ago, we all should have learn from that and defi projects like that should be discourage because protocol can be manipulated and lot of damages can be done to investors who know little about this defy projects. When projects with stable coin crash, they hardly compensate users, what follows is always an appology from the team and the CEO and go into hidding because they fear SEC will come after them, I will always used USDT or BUSD when the need arises.

It is always the same story, the only thing that changes are the actors, I would think that with so many examples of the same happening over and over again investors should have learned their lesson already and refuse to invest in those projects as they are not really decentralized.

But each time I think about this I am surprised by the ability of investors to ignore those warning signs and invest in those coins anyway, and when I see that I simply wonder how long it would take this time around for those investors to lose their money.

Huppercase

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

I don't trust Defi projects with stable coin after what happened to Luna some months ago, we all should have learn from that and defi projects like that should be discourage because protocol can be manipulated and lot of damages can be done to investors who know little about this defy projects. When projects with stable coin crash, they hardly compensate users, what follows is always an appology from the team and the CEO and go into hidding because they fear SEC will come after them, I will always used USDT or BUSD when the need arises.

el kaka22

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It has always been said that any project could make you money, as long as it is legit and does everything right. I think it's a lot easier if you just named the project, if you say that it is defi or just stablecoin return or anything like that, it wouldn't mean anything to us, and everyone would just make a guess.

But, if you name the project, it could be checked closer and people could make a lot better calculations of how serious it is or how terrible it is and that would be a lot better review of whatever the result could be. Even in that case we could be wrong, we could say it's good and you may lose money, or say it's bad and it goes up, it's never certain what coins will do.

rozak

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

the reason to have a stablecoin or not, it will not reduce the risk of any Defi project you want to invest in. there are other factors that make altcoin projects survive in the market. there are many good and popular altcoin projects, why don't you choose one that is popular? or maybe you can convey the Defi project that you mean, some other members might be able to provide input to you.

Fundamentals Of

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That a DeFi project has its own stablecoin or not is not a basis whether it is wise to invest in it or not. Look at the project itself. Take note of what it is offering. Does it have a product that is both practical and working? Take a closer look at the developers and owners of that project. Luna didn't mess up because it has a stablecoin. It messed up because it is run by a scammer named Do Kwon.

But to be safe, you better start by assuming that the project is a scam. Guilty until proven innocent, that's the way to screen altcoin projects these days. Any project is a scam until it is sufficiently proven legit.

wxa7115

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

You may have your reasons for wanting to do this but if this was my money I will avoid DeFi projects whether they had a stable coin or not.

And this is because most of those DeFi projects are not really decentralized at all, so once the regulators put their sights on them you can be sure a great deal of them will collapse or turn into scams, and when that happens you do not want to have any money invested in them as it is likely you will never see it again.

Yatsan

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Quote from: Kelvinid on March 01, 2023, 06:27:30 PM

Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

The cost that Luna had made could really make us think that investing in stablecoins is no longer safe but we can't just think that all of these stablecoins are can't be trusted, some are still worth it. But of course, we still need to act with caution and we should have to know deeper about the project that we are about to invest in. Risky, yes absolutely but this is actually what crypto is meant for. If we don't have the courage and if we are doubtful of such a project, it is better not to invest them.

I agree. It will never be right to generalize. It is a given fact that what happened with LUNA gave 'trauma' to investors of it and a a bad impression to non investors of the said token and to this industry in general. But stable coins are still a good choice of investment especially if the project itself is promising. What yields to a bad outcome is not managing the risks involved; there is a right time to enter and exit. Some people just let their assets on their wallets for a long period of time believeing of stability and consistency which in the first place, does not exist in this industry.

Quote from: Oceat on March 01, 2023, 06:38:33 PM

If I were you I wouldn't even bother these DeFi thing these days since ever since they exist they are all good at the beginning but totally useless at the end. They were similar to ICO before or the so-called pump and dump coins but what is this stable coin you are talking about the?

Never heard of it before but still I wouldn't recommend you to invest on that you should choose wisely your investment plan because there are better choices out there. You just have to find the right one and I believe Bitcoin is one of them.

Depends on your vision as an investor but that is indeed true that most of the stable coins market value are falling in the long run. Defi projects based on my experienced are good for a year of holding but longer than that seems scary. Stable coins should be stable as it name implies but it happened that every existing coin in this industry are being influenced by overall market trend simply because demand determines the market price of a coin. Enough reason to be cautious of every price movement no matter what project you are into.

Oceat

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If I were you I wouldn't even bother these DeFi thing these days since ever since they exist they are all good at the beginning but totally useless at the end. They were similar to ICO before or the so-called pump and dump coins but what is this stable coin you are talking about the?

Never heard of it before but still I wouldn't recommend you to invest on that you should choose wisely your investment plan because there are better choices out there. You just have to find the right one and I believe Bitcoin is one of them.

Kelvinid

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

The cost that Luna had made could really make us think that investing in stablecoins is no longer safe but we can't just think that all of these stablecoins are can't be trusted, some are still worth it. But of course, we still need to act with caution and we should have to know deeper about the project that we are about to invest in. Risky, yes absolutely but this is actually what crypto is meant for. If we don't have the courage and if we are doubtful of such a project, it is better not to invest them.

lalabotax

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Quote from: FirmWars on February 28, 2023, 04:47:04 AM

Is it safe to invest in Defi projects that has it's own Stablecoin? There is one project I like but the thought of having a stablecoin makes me feel unsafe about the project, we all know how such projects always end up, the mess with Luna and it's stable coin still lives in me till date.

I don't think that it is a good plan for long-term investment, moreover you yourself also doubt abut the project to be unsafe. Actually, there is no cryto investment that is surely safe 100%. But at least, we can press the risk and choose the one with a higher percentage of safe or not. For me, investing in the altcoins, moreover in the DeFi project, or even moreover in the new projects will not be safe. Because most of them are not able to survive until the bullish era or especially for the long term.
if you are still doubtful enough about this, why don't you put your money into Bitcoin? crypto

blockman

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Quote from: o48o on February 28, 2023, 02:28:56 PM

Are there still DeFi projects with their own stable coins? If there are i wouldn't invest. Even if they got big. Or maybe especially when they get big i would avoid them because if i had to guess, i am assuming the whole peg could be dismantled with pure fud. And there's nothing easier than finding similarities for luna and and getting people to fear next luna.

We have seen the collapse of UST from the Luna project and we are trying to avoid DeFi doesn't have that good reputation anymore. Aside from many hacks that happen in that area, there goes the rug-pulling of the developers from there.
Because of those incidents, we're trying to become a better investor so that we won't be part of any next big rug pull and collapse from any project that can be found in the market. FUD and bad news does really affect these projects so quickly and most of the investors have that reflexes that we're reacting so fast whenever there is some bad news that has been seen. This is why the uncertainty in this space is a lot and if you don't want that experience, avoid being there.

TimeTeller

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Quote from: Captain Corporate on February 28, 2023, 02:05:54 PM

These type of questions do not really matter all that much. Why? Because it doesn't matter what type of investment it is, is it a token, is it a coin, is it yield farming, is it nft, is it staking? None of those matter at all, they are totally useless and worthless when you look at just "how" part of it. What matters is how good the project itself is, because if it is good, then it is good in any possible way, if it is bad then ti is bad in any method. Ther are good staking defi projects with its own stablecoin, there are bad ones, its not going to be good or bad just because of its own stablecoin, that alone doesn't give us any hint at all.

That is right, no matter what kind of investments you will venture into, you always need to do your own due diligence.
It doesn't matter if the DeFi platform has their own stable coin, the question is, how well do you know the project itself?
From my observation, it is indeed difficult to trust any DeFi platform particularly the new ones.
I was interested before also in staking some of the DeFi tokens before, but decided to sell off and not go with this investment route again.
You are always worried if when you wake up it is still trading in the market or it has still value, so don't want to go thru such stress.

so98nn

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There are better option than this. Stablecoins aren’t that good in managing their legalities when the time comes and thus eventually they fail. With SEC and CBDC watching over the Stablecoins far more strictly things are now going wild really. Many Stablecoins projects are trying to keep up the 1 buck price by forcing the money into system and most of the time using money that belongs to the investors. This could be risky bet in the long terms. Crypto space has many more options but not limited to this. Best way you should go for other portfolios and earn back let’s say on staking.

bitzizzix

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It is important for investors especially newbies to research and evaluate DeFi projects carefully before deciding whether to invest in them, because people in the crypto community always say DYOR before you invest into any DeFi project.
Doubt is a sign you should be careful and if you have any doubts you should leave before it's too late, and I think DeFi projects and platforms are relatively new and come with a number of risks that I think are good for passive income or trading, so it's all up to you, and you have to do some research to find the best information if there is any doubt.

vv181

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You did feel unsafe, and you did know how UST ends up. It is crazy that you still take a look for such opportunity, the general condition for stablecoin is currently getting scrutinized due to regulation pressure, even if those projects are algorithmic stablecoin like DAI, which does not require centralized regulated entities, it doesn't guarantee its robustness. Heck, you did not even mention which project you are talking about.

Also, I believe with the current market condition and the uncertainty of the platform and the token security itself, any rate that platform could give is not going to be worth it compared to the risks.

Topic: What do you say about this investment plan - page 4. (Read 567 times)