Topic: With this possibly upcoming crisis in mind... (Read 529 times)
Stable coins, this is the same ordinary currency, only in digitized form. It always clearly corresponds to one, that is, the price of the ordinary currency with which it is provided. This means that if the regular currency falls in price due to inflation, then the stable coin that represents it will also fall in price. After all, a stable coin should not deviate from the rate of the ordinary currency that it represents. Therefore, I see no reason to buy stable coins to protect against inflation.
Stable coins are in or by themselves meant to protect one's investment. Although, no matter how good a stable coin might appear, I do not recommend that it should be held for long. What is even the sole purpose of keeping one's investment in stable coin, if it is truly a stable coin. With time I believe it will become clearer.
I believe there are stable coins that claim to be backed by certain fiat currencies but in all honesty, they don't have that amount of money. They are deceiving the users. Remember USDT, they admitted that they are not really 100% backed by US dollars. How much more of these other stable coins?
https://www.forbes.com/sites/francescoppola/2019/03/14/tethers-u-s-dollar-peg-is-no-longer-credible/#3da4c28d451b
The only stable coin that comes to mind is USD coin on Bittrex, it is always pegged to the dollar equivalent, suffers no volatility unlike USDT for instance.
It is worth investing in stable coins when you need to fix a profit for a while when you have closed some deal. But i don't see the point of deliberately keeping my money in them.
Stable coins are in or by themselves meant to protect one's investment. Although, no matter how good a stable coin might appear, I do not recommend that it should be held for long. What is even the sole purpose of keeping one's investment in stable coin, if it is truly a stable coin. With time I believe it will become clearer.
In general, stable coins are quite suitable in order to transfer their assets into them for some time in order to wait out crisis times.
However, in view of the latest news that the US has issued a bill that can equate stable coins with securities, this can greatly affect the number of types of stable coins on the market.
Because if this happens, then many holders of stable coins will have to get rid of them in favor of bitcoin, and how a bitcoin will behave during a crisis is a big question.
However, in view of the latest news that the US has issued a bill that can equate stable coins with securities, this can greatly affect the number of types of stable coins on the market.
Because if this happens, then many holders of stable coins will have to get rid of them in favor of bitcoin, and how a bitcoin will behave during a crisis is a big question.
It seems that you are thinking of global financial crysis and possibilty that FIAT currencies will be less valuable in this case.
my suggestion would be to invest in gold if you are considering stable coins in the first place. Gold will increase in value while stable coins have questionable concepts behind them, especially USDT.
my suggestion would be to invest in gold if you are considering stable coins in the first place. Gold will increase in value while stable coins have questionable concepts behind them, especially USDT.
I think stable coins are designed to hedge against the falling price of bitcoin. So I don't think that it's good to be a leverage for incoming financial crisis if this is the case. And if people happen to think that way then I will assume it will go down as hard as fiat, in my opinion.
So for the looming financial meltdown, it's really good to put some wealth in bitcoin or any other cryptos and then some maybe in precious metals such as gold.
So for the looming financial meltdown, it's really good to put some wealth in bitcoin or any other cryptos and then some maybe in precious metals such as gold.
With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
Or maybe, I have a misconception of the reasons for their existence and nobody is actually hoarding st.coins?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
Or maybe, I have a misconception of the reasons for their existence and nobody is actually hoarding st.coins?
Stablecoins have a fixed value, so their value should never change. In other words, buying them is not really investing as much as digitizing your money. You won't be able to profit by buying stablecoins, but you will have access to a greater number of coins, as stablecoins are accepted on many exchanges, and have lots of trading pairs. However, investing in them is not the way to go if you want to secure your funds, as their value usually depends on the value of fiat currencies. There are some coins that use other cryptos to keep their value in check, so you might want to consider using those.
Stable coin are stable and you have nothing to worry about, all you need is to trust the tokens and be sure that they are indeed backed by the by actual Fiat money. I think the only project likely to have issue is the Stablecoin backed by Algorithms since then are still not that tested
to check whether the coin is really supported by real money is impossible. you cannot request data from the project that there is some amount of money in their bank accounts. 
With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
If you are for long term investment with low profit then it is safe to say for you to invest in stable coins but if you are for either short term investments or long term investments with better and higher profit but with a greater risk then go invest to crypto. It may be the safest thing to invest in stable coins because there is an assurance of return in the end but it has low profits than crypto. On the other hand, chances of sinking like a stone on the market is not that high more likely closest to being impossible.
Everyone will have different thoughts but when you decide to invest, you will have to accept all risks in this market.
Stable coin are stable and you have nothing to worry about, all you need is to trust the tokens and be sure that they are indeed backed by the by actual Fiat money. I think the only project likely to have issue is the Stablecoin backed by Algorithms since then are still not that tested
First of all, I just thinking if stable coins are not investment place. They were created just for to send money with an easy way or to make an easy way for those traders to keep their money when comes a crash in cryptocurrency prices. It will be useless, if there are some poeple who have intention to save their money when the crisis economic comes because its value will also fall.
Therefore, if you have an intention to save your money when the crisis economic comes it will be good if you use bitcoin only. Bitcoin price will not go down who affected by crisis economic, even there are some people who has said that bitcoin can be included as safe heaven and can be aligned as gold because its characteristic is same IMO.
Therefore, if you have an intention to save your money when the crisis economic comes it will be good if you use bitcoin only. Bitcoin price will not go down who affected by crisis economic, even there are some people who has said that bitcoin can be included as safe heaven and can be aligned as gold because its characteristic is same IMO.
Stablecoins is good for the hodlers and huge investors since it will protect their money from volatility, USDT is stable yet still risky. If you can’t find Bitcoin as an stable coin then it will be hard to look for other cryptocurrency to hold for. If there’s a new stable coin that can assure you profit, then choose that coin.
With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
If you are for long term investment with low profit then it is safe to say for you to invest in stable coins but if you are for either short term investments or long term investments with better and higher profit but with a greater risk then go invest to crypto. It may be the safest thing to invest in stable coins because there is an assurance of return in the end but it has low profits than crypto. On the other hand, chances of sinking like a stone on the market is not that high more likely closest to being impossible.
Stablecoins is good for the hodlers and huge investors since it will protect their money from volatility, USDT is stable yet still risky. If you can’t find Bitcoin as an stable coin then it will be hard to look for other cryptocurrency to hold for. If there’s a new stable coin that can assure you profit, then choose that coin.
Stable Coins is for assurance of price like this will stay only so this is like fiat only so that's all then if this turn bad like scam or hack
Then you need to decide on that because anytime it can really happen like that the crisis still i think base your using and investing in the team behind of the stable coins like they are trusted then popular already so this will not turn like that
Then you need to decide on that because anytime it can really happen like that the crisis still i think base your using and investing in the team behind of the stable coins like they are trusted then popular already so this will not turn like that
I don't really get stablecoins, or rather, can't explain why people would want to keep their cash in stablecoins.
UNLESS you are at an exchange constantly looking to buy and sell crypto, and keep value in the exchange, sure.
But to actually say you want to store value in stablecoins instead of fiat? I don't get it. If you still want to trust fiat, keep it in usd/euro and keep it in a bank so at least it's insured. But stablecoins? Trusting some unknown company?
Today i was reading somewhere that G20 has been considering comprehensive policy about stable coins, if they do legalize and regularize them soon i think sooner or later crypto is coming to the mainstream as well because stablecoins are also crypto form of fiat/money so next step will definitely be crypto adoption.
It's this the Calibra thing? not sure but I've heard from the news that there's a lots of government institutions who are considering this stable coin to co-exist with fiat system. If this will finalize and make the impressions it will bring more exposures with crypto market.Things might be different once this stable coin will be accepted worldwide.
I don’t think so, because stablecoins won’t give you some guarantee about your money and any time they can lose value once those who issued them lost valuation or just disappeared in the void. It can work for only a couple of years or until the one who issued the coins exist, and if that’s the case it’s better to diversify in case the stablecoin provider gets lost in the void.
I am also still confused about the use of Stablecoin itself. Because if you want to keep your assets safe from falling prices, it's better to keep FIAT. Why must be converted to Stablecoin?
If the reason is for faster delivery to someone on the other side of the earth, I think XLM can do that better than having to save stalbecoin.
but stablecoin in my opinion is useful to help investors to conduct inter-market transactions. if you use XLM to be used as a method when cross-market transactions I think it should be more thorough because the prices between markets vary even though only in small volumes and I think it will cost more. If the reason is for faster delivery to someone on the other side of the earth, I think XLM can do that better than having to save stalbecoin.
But for the problem of usage it depends on the user if you use XLM then that is your choice and so is the other coins. because they certainly have different goals in each of these coin developers
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