What's the difference between stablecoins?

isaac_clarke22

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Quote from: VolkoB on October 28, 2020, 12:40:37 PM

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There's nothing much I can think of when it comes to difference of alts since they're pretty much aiming for the same thing of having 1:1 ratio in equivalence.
Only thing I can think of is what exchange they support and devs of course.
From all of the mentioned, USDT is by far the most widely used one though.

shoreno

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Quote from: oioi on October 30, 2020, 11:44:45 AM

their only difference is in the owner of the coin,

haha you got a point brod . here in crypto , every coins do mostly have a different owner and its rare to see an owner that has a two or more coins created . dunno why but that can be illegal ? and makes them greedy for profits but except to fork coins maybe because they mostly come from the original coin .

other difference can be the name of the coin , it supply and popularity , and etc .... dai and usdt are the stable coins that im more familiar with but ill chose usdt for now

Quote from: oioi on October 30, 2020, 11:44:45 AM

the rest of the coins are supported by a 1: 1 fiat

currency where the price will remain stable following the price of the fiat currency.

yes . for what they call a stable coin if they dont have a characteristic like that .

cepot9

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Since that difference has been mentioned by many people here and it is true, I am adding the stable coins you mentioned I think the most superior is USDT. Because USDT is already available on several platforms and also has a low cost of sending it with the trc20 platform

oioi

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their only difference is in the owner of the coin, the rest of the coins are supported by a 1: 1 fiat

currency where the price will remain stable following the price of the fiat currency.

hulla

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The cryptocurrency market is a broad setting which is what somehow trigger the huge numbers of stablecoins we have in the market but what makes each stablecoin different from each other is the concepts and potentials they have because there are some stable coins which were backed with precious metal while there are some which were backed with fiat currency. Moreover, some are centralized while some are decentralized but the perfect stablecoins are the precious metal back decentralized one that is honest about their vault storage.

nykka

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I don`t completely know, but I think the only one difference is background and base of stable price. For common users it doesn`t matter which stable coin to use. But obviously it`s safer to use such coins as USDT or BUSD, because they have more capitalization and more reliable background.

H1N1

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As i know, USDT is the first stable coin in cryptocurrency and it is still the most popular stable coin in crypto.
There is no much difference between stable coins, they are backed by different providers, run on different blockchains.
With defi hypes, stable coins are getting more popular to be used by investors and crypto enthusiasts.

TastyChillySauce00

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They're all almost the same and there was not a lot of differences, I think that the only points that will make it the difference was the audit. Some stable coins like USDC, BUSD, but DAI has been creating fully decentralized without try to put the backdoor to be able to control the tokens owned by its users and this is the safest one in the list if stablecoin that can be used for everyday use.
USDT still becomes a winner in this case in term of volume and then USDC and DAI.

samcrypto

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Quote from: bttmember on October 28, 2020, 12:43:52 PM

There is not much difference as most of them are ethereum based tokens backed by 1:1 fiat.
The only difference is the company, brand, level of trust and listing or acceptance at different exchanges, platforms and businesses. To me all are same to be honest.

The difference is the branding and how they market that stable coin but in general, they are the same and they are here for the same purpose, its for you to choose on what stablecoins will you use maybe a little research about those before you buy since they came from a different company, so meaning they will also have different rules and strategies to make these coin more stabel.

Febo

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Quote from: VolkoB on October 28, 2020, 12:40:37 PM

What's the difference between stablecoins?

Only difference is different centralised owner of it. Every stable coin have different issuer that can decide which coin is invalid and worth nothing anymore. Al central banks and a lot of banks and corporations will issue stable coins in near future.

justdimin

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I will try and explain the difference between USDT and USDC because I am not much knowledgeable about other coins.

TETHER

- Tether also known as USDT is issued by Tether Holdings.
- Highest market cap among stablecoins

USDC

- USD Coin also known as USDC is issued and maintained by Circle and is the stablecoin of coinbase.
- 2nd highest market cap among stable coins.

Now why USDC is way better than USDT in my opinion is because USDC has a more regulated and licensed approach also UDSC does regular audits while USDT does not.

Golftech

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Quote from: koang on October 29, 2020, 01:54:11 PM

Quote from: Yamifoud on October 28, 2020, 06:57:21 PM

I'd find comfortable with USDT than the rest.

What is the use of stablecoins? It is just protecting us to prevent a sudden loss due to market volatility. However, it is not the thing that we look for if we are wanting to make a profit from our investment. They are all the same and the fact that it never helps us to generate profit, most of us are converting it to Bitcoin or into potential altcoins. Because we are not here just to secure our funds, but we are here because we are ready to take the risk that is why having these stablecoins is not the prospect that we wanted to hold.

As protection from market volatility is just one use case for stablecoins.Apart from that stablecoins also have the potential to be used as everyday currency, smart financial contracts, and Stablecoins are also very useful for international payments because there is no need to convert different fiat

But from the perspective of an investor, you are right. stablecoins only to secure our funds.

The very mean of this coin is avoid traders losing their fiat value when the market certainly falls, you can convert your assets to any stable coin and wait for another bounced back, stable coin serve the purpose nothing else so whatever kind of coins you supported or you think that may help you it's okay as long as you research about it and you are just using it for that purpose then it's good as it is.

fullhdpixel

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Quote from: Freebieindia on October 28, 2020, 06:45:08 PM

on the basic level all stablecoins are same, that is having $1 value. But going into depth some are centralized, some are decentralized and All are run by different companies.

Also I personally prefer USDT because they have a humongous market cap and the coin that has better market cap is more likely to run in the long term and won't scam even if it is centralized.

I know having stablecoin as decentralized is better but the truth is so many coins came and died in surge of doing that so it is better to just flow with the market and trust the coin that is being trusted by so many.

I was not aware there were so many stable coins in the market because if someone asks me I can only tell them USDT as the better stable coin and maybe go with USDC next.

koang

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Quote from: Yamifoud on October 28, 2020, 06:57:21 PM

I'd find comfortable with USDT than the rest.

What is the use of stablecoins? It is just protecting us to prevent a sudden loss due to market volatility. However, it is not the thing that we look for if we are wanting to make a profit from our investment. They are all the same and the fact that it never helps us to generate profit, most of us are converting it to Bitcoin or into potential altcoins. Because we are not here just to secure our funds, but we are here because we are ready to take the risk that is why having these stablecoins is not the prospect that we wanted to hold.

As protection from market volatility is just one use case for stablecoins.Apart from that stablecoins also have the potential to be used as everyday currency, smart financial contracts, and Stablecoins are also very useful for international payments because there is no need to convert different fiat

But from the perspective of an investor, you are right. stablecoins only to secure our funds.

jrrsparkles

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Quote from: gunungkembar on October 29, 2020, 10:26:37 AM

of some of the coins that you have mentioned, I prefer to believe in USDT because so far new coins are not very convincing because they cannot be used for other platforms, maybe this is the result of differences in the team behind USDT who finally tried to make new coins themselves, like the case of the breakup of BCH which resulted in 2 different coins.

Do you believe in USDT? They are printing their money with no limits and there is no real fiat to back up all those money were printed in the recent days so you shouldn't have to trust them at any cost for now.

gunungkembar

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of some of the coins that you have mentioned, I prefer to believe in USDT because so far new coins are not very convincing because they cannot be used for other platforms, maybe this is the result of differences in the team behind USDT who finally tried to make new coins themselves, like the case of the breakup of BCH which resulted in 2 different coins.

darewaller

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Quote from: BillionaireWannaBe on October 28, 2020, 06:55:55 PM

Quote from: Freebieindia on October 28, 2020, 06:45:08 PM

on the basic level all stablecoins are same, that is having $1 value. But going into depth some are centralized, some are decentralized and All are run by different companies.

Can you tell me which are decentralized. That would be interesting. I know of only one.
I would like to examine this or ask a more knowledgeable friend to give me his opinion.

I don't know if he is able to reply so let me take the opportunity and answer you. So basically DAI is one stable-coin that is decentralized and has a very transparent mechanism. Personally I also use tether like many others but honestly speaking I love the mechanism and working way of Dai because it is decentralized and hence it cannot dump the market of its own. I am not saying that tether will suddenly dump their coins and scam but it is better to be safe than sorry and decentralization was made to let people control the pricing.

I still prefer tether because it has monumental cap and the volume is even more impressive but then if moving forward someone asks me the future for stable coins, I would without hesitation vote for Dai.

MCobian

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There was no significant difference from all the stablecoins mentioned in the opening post, all 1:1 with US Dollar. Maybe only the platforms
and the volume differ, but the function is still the same. But of all the stablecoins, I use USDT the most of the time. It is certain that USDT
has the highest demand compared to other stablecoins, because it is already listed on almost all existing exchanges. Even the volume of
USDT is above Bitcoin, This is what makes me believe USDT is a little better than other stablecoins.

Yamifoud

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Quote from: VolkoB on October 28, 2020, 12:40:37 PM

There is a huge amount of stablecoins in the world of cryptocurrencies today.
What is their difference, why are there so many of them.

There are more than 5 types of stablecoins on binance alone, for example
USDT
USDC
BUSD
TUSD
DAI
Is there anyone who understands the depth?

I'd find comfortable with USDT than the rest.

What is the use of stablecoins? It is just protecting us to prevent a sudden loss due to market volatility. However, it is not the thing that we look for if we are wanting to make a profit from our investment. They are all the same and the fact that it never helps us to generate profit, most of us are converting it to Bitcoin or into potential altcoins. Because we are not here just to secure our funds, but we are here because we are ready to take the risk that is why having these stablecoins is not the prospect that we wanted to hold.

BillionaireWannaBe

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Quote from: Freebieindia on October 28, 2020, 06:45:08 PM

on the basic level all stablecoins are same, that is having $1 value. But going into depth some are centralized, some are decentralized and All are run by different companies.

Can you tell me which are decentralized. That would be interesting. I know of only one.
I would like to examine this or ask a more knowledgeable friend to give me his opinion.

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