stablecoins are in trouble because they are unstable & manipulative, so when you don't have the fundamental characteristics of stablecoin, then you are indeed not a stablecoin, you are something else, and this is so true and even more profound in whatever we see, a bit of panic across the stablecoins, of all types.
Source: Coinmarketcap
See the Stablecoin USDT, after the UST fiasco, the market cap of USDT has dropped from 83 Billion to 73 Billion USD. Is not that alarming? Is not that a sign that a few have switched to some other forms of stablecoins or fiat? But the question is, all the stable coins may not be manipulative, or fake like USDT, but they suffer from the fundamental problem of stability. A stablecoin ought to be a stablecoin in the first place.
So I think this is one area in which crypto still has a lot more room to improve.
While market cap is a big issue, I still think whether or not it can hold the peg is the biggest thing to pay attention to. As of right now, Tether is still cashing out dollars so they do have enough reserves to pay people. Of course, in the case, it can't pay or the peg breaks for an extended period of time, then the entire crypto market will be in trouble.
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I have personally switched to BUSD. I trust it more than USDT.
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Same here, I feel BUSD is more secured and transparent than USDT
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Certainly there is a lot of room for improvement. We need to build the store of value. This is something that many are overlooking.
There is no shortcut on this although I think everyone is looking for one.
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Yea I also expect a lot of cryptos to fail until we develop coins that learn from them. Without these failures, we won't really learn about the large issues that can happen.
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It is the nature of technological advancement. We really cant avoid it.
Failures are how we progress forward.
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I think this is why buffet said he won't own any coins ,even if if fall to less dollar,when stable coins as a use case ,it will always have value in the market, making hbd accepted in several places is a form of building value around it because the manipulation is too much this days ,and we don't know who is manipulating it , they may turn to hbd and remember because other stable coins did not have use case that is one of the reasons it easy to manipulate
Warren Buffet is so wrong on so many things. If he's that rich it doesn't mean he knows everything.
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Sure I know but for stablecoins to be stable we need to build value around it