Do we need stablecoins?

in #stablecoin3 years ago (edited)

Few days ago i posted about announce of new stable coin JPM coin from JPMorgan , now lets think what for are these coins?

First opinion is to make easier life for crypto investors! For example you join market and buy not bitcoin but usdt and when you want to buy something you buy it and if want to sell when you sell it, its quite easy and you are always in stable coin after the deal , so you dont lose money ( or gain ) while you are sleeping, so you control your finances better!

Second is crypto workers, many guys who work in blockchain companies receive salary in crypto for example binance workers receive salary in binance coin, but coin is not stable and you can lose or gain some value, that's why many guys convert their crypto asset into stablecoin first and after that into fiat ( all who want stable life)

Third option is for countries with non stable currency, for example venezuela , they buy stablecoins to make their life more stable( if they buy bitcoin they for example lose a lot in last year, but stable coins are stable) , so its great option to not be to influenced by local crisis.

4 option is to make banks more powerful in crypto world, for example tether got 2 billion market cap and its a good share of market, if JPMorgan join then this value will increase and they will control more share of a market!
Thats not bad in terms of longrun, people still trust more to banks and not to internet, thats why it can give more adoption to crypto overall! ( But share need to remain not big, or else it will be too centralized and controlled )

So what you think - will stable-coins help mass adoption of cryptocurrencies? or its a way for centralization?

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We do need stablecoins. The volatility of cryptocurrencies is turning people off.

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Stable coins offer the stability of fiat but at the expense of what makes crypto so cool The whole point of why cryptos were created, the decentralization that removes the control of currency from central banks and governments is what attracted me in the first place. Stable coins defeat the whole purpose and you may as well use fiat.

I hate bank...the reason i chose crypto is to avoid bank...as in option 4 if stable coin make bank more powerful in crypto world than i disagree with stable coin...i think in this case i will answer no to stable coins😊

No one needs stablecoins. Stablecoins only invite speculators who want to reduce their exposure quickly and efficiently while hiding from the tax man. This is bad for a market that is already being manipulated by big money whales.

Not to mention that stablecoins are also used to artificially pump up the market when there is no real growth.

An investor has no need for a stablecoin. He/she has done their research and believes that crypto will be a lucrative investment and/or has a real world use.

I believe the terminology stablecoin isn’t being used properly. For example tether tries to stabilize at a dollar and so does dai but will they be stablecoins of the future. Hypothetically when Bitcoin hits its volume cap the price will stabilize. Eventually turning Bitcoin into a highly valued stablecoin. Current stablecoins prices are controlled to maintain the perceived value of USD.

Stablecoin is good. But the problem is not about it. The usecase is not really wide. Nowdays, people just HOLD their coins. We need more usecase and more trader to accept it

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Yes we need stablecoins and you mentioned it why. Here are some stablecoins that can also help many of us; https://blog.kucoin.com/what-is-the-role-of-stablecoins-in-the-cryptocurrency-market-sk-st

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