Altcoins Talks - Cryptocurrency Forum
Cryptocurrency Ecosystem => Stable Coins Forum => Topic started by: Nwada001 on December 19, 2023, 05:18:53 PM
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In respect to this topic, which is currently being discussed in the Bitcointalk forum:
Tether USDT and it's freezing features (https://bitcointalk.org/index.php?topic=5478464.msg63351178#msg63351178)
I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
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I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
Stable coins that have Secret and Freedom types are difficult for me to know and this is a very good topic to continue in various forums, including the altcoinstalks forum.
Basically, stable coins are a type of coin whose price is equal to Fiat USD and of course USDT, USDC, FDUSD are not Privacy and are not Freedom because I am sure this USD is backed up by real money.
And I would even ask back, "How is it possible that Fiat USD, EURO, YEN, YUAN stable coins are created for privacy and freedom in cryptocurrency??
Meanwhile, USD, EURO, YEN, YUAN are real coins in this world that are widely used by people in various countries. This is make me dizzy. dammnnn
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I evaluate the goodness of stable coins on some criterias: proof of reserves, ability to maintain value compared to fiat, and legal safety.
Currently, USDT is the best in terms of ability to maintain value, they have proof of reserves but are not legally safe. I still believe that after Binance, Tether will be the next subject to be investigated by US Department of Justice.
USDC just experienced a de-peg to $0.8 but has recovered very strongly. Coinbase and Circle are major forces backed by large investment organizations as BlackRock, so I believe this is the strongest surviving stable coin in crypto market.
After BUSD weakening, new stable coins have appeared but do not yet have a large enough capitalization to compete. We just need to divide the stable coin reserves into USDT and USDC to be safe enough.
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In respect to this topic, which is currently being discussed in the Bitcointalk forum:
Tether USDT and it's freezing features (https://bitcointalk.org/index.php?topic=5478464.msg63351178#msg63351178)
I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
By seeing several opinions above, I think if you asked which is the best and safest of stable coin, USDT is the one.
I have used USDT at several exchanges and enjoy it.
Although there are many stable coins such us BUSD, USDC and other , I think USDT is still the first choice.
Maybe other member , I think will have the same opinion.
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Although there are many stable coins such us BUSD, USDC and other , I think USDT is still the first choice.
Maybe other member , I think will have the same opinion.
Be careful about BUSD. Binance will end support for BUSD this month
https://www.coinscan.com/blog/binance-to-discontinue-BUSD-support-in-December-2023
Binance, the world's largest cryptocurrency exchange, announced its decision to discontinue support for its BUSD stablecoin effective December 15, 2023
Also this, looks like the final limite date is January 1st 2024.
Users are encouraged to withdraw or convert their BUSD assets into other available assets on Binance before 2023-12-15. Users may trade their BUSD balances for FDUSD at zero trading fees, or convert their BUSD balances to FDUSD on Binance Convert at a 1:1 conversion rate with zero fees.
From 2024-01-02 03:00 (UTC), BUSD withdrawals will be disabled, and any remaining BUSD balances in users’ Binance accounts will be automatically converted to FDUSD at a 1:1 conversion rate. Thereafter, users may continue depositing BUSD into Binance and can manually convert their BUSD to FDUSD at a 1:1 conversion rate until further notice.
I recommend everyone to stay away from BUSD for now.
Other than data, USDT and USDC look safe. however, I wouldn't hold any of those coins for long term, just short term. I am paranoid about those centralized projects.
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In respect to this topic, which is currently being discussed in the Bitcointalk forum:
Tether USDT and it's freezing features (https://bitcointalk.org/index.php?topic=5478464.msg63351178#msg63351178)
I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
You cannot be talking about centralized stable coins and be talking about privacy. Anyone using centralized stable coins has no business with privacy. I do not have problems with the ability of Tether to free coins because they do not go around freezing random coins. I only read that they freeze stolen coins or hacked coins which is a good development. It is one of the advantages of centralization. So, we shouldn't disregard that.
Talking about privacy stable coin, I don't know the status of DIA now but it used to be a reliable decentralized stable coin.
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I evaluate the goodness of stable coins on some criterias: proof of reserves, ability to maintain value compared to fiat, and legal safety.
Currently, USDT is the best in terms of ability to maintain value, they have proof of reserves but are not legally safe. I still believe that after Binance, Tether will be the next subject to be investigated by US Department of Justice.
USDC just experienced a de-peg to $0.8 but has recovered very strongly. Coinbase and Circle are major forces backed by large investment organizations as BlackRock, so I believe this is the strongest surviving stable coin in crypto market.
After BUSD weakening, new stable coins have appeared but do not yet have a large enough capitalization to compete. We just need to divide the stable coin reserves into USDT and USDC to be safe enough.
Tether is reliable and secure, there is no doubt about that. The biggest concern is blocking addresses. I know such addresses are:
1. Or under sanctions;
2. Or the funds belong to people who sell weapons/people/drugs.
But, has anyone wondered if this is a test scenario? To block the accounts of regular users in the future. I realize it may seem like I'm wrong, etc., but if you reason logically, this scenario could happen.
What do You think about it? It is interesting to read other users' thoughts. 8)
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In respect to this topic, which is currently being discussed in the Bitcointalk forum:
Tether USDT and it's freezing features (https://bitcointalk.org/index.php?topic=5478464.msg63351178#msg63351178)
I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
I heard that USDC and DAI are the safest stablecoins. I never understood why USDT is so much hated as an stablecoin and called out so many times. I really don't see anything wrong In USDT. the team behind Tather Company Which runs and controls usdt seems dedicated and doing constant effort to make USDT a worth Stablecois. every exchange I know has Stablecoin as one of their primary pair against all tokens.
now see USTC for example. which was regarded as a very good stable coin by Crypto Gurus. but what happened to that everyone saw..
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By seeing several opinions above, I think if you asked which is the best and safest of stable coin, USDT is the one.
I have used USDT at several exchanges and enjoy it.
Although there are many stable coins such us BUSD, USDC and other , I think USDT is still the first choice.
Maybe other member , I think will have the same opinion.
It's not only about the usability but also the safety of using the currency. I believe that USDt is the most commonly used stable coin, but it's a centralized smart contract and can actually be ceased if, for any reason, there is a need for the coin to be ceased. It can actually be trapped in your wallet, and you can't withdraw it.
Take, for example, a hack issue that played out either last year or in 2022. After the hack, some huge funds were stollen and converted to USDt, and when the transactions of that hack were tracked, Tether had to freeze that asset in whatever wallet it was sent to.
If you are using USDT or any stable coin to carry out transactions more frequently, then you don't have issues doing that, but how about storing millions or billions of dollars in your wallet and peradventure the smart contract has an issue and your coin gets frozen?
I read some articles, and it was said that the safest coin is DAI. From the list, I also found that FRAX and LUSD are also safe, but USDT is the most used, while it's not the safest.
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Tether is reliable and secure, there is no doubt about that.
It is so reliable and secure that 2022 a federal judge in New York has ordered Tether to produce new documents proving that it has sufficient reserves to support its past issuance of USDT.
I still believe that after Binance, Tether will be the next subject to be investigated by US Department of Justice.
Not so much reliable and secure after all, isn't :D
I never understood why USDT is so much hated as an stablecoin and called out so many times. I really don't see anything wrong In USDT.
The most important part of a stablecoin is what guarantees its stability.
They stated that their coins were 100% backed by US dollar, but it was discovered that it wasn't true.
Maybe that's why the bad reputation ;)
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Which stablecoin the safest?
The first and most important part of a stablecoins are the assets that back that stablecoins and so guarantee its stability.
The safest stablecoins are stablecoins where there is an independent company that audits on a regular basis the assets backing those stablecoins.
For example, Tether use BDO as auditing company (https://assets.ctfassets.net/vyse88cgwfbl/36XORApdEYAq3AsH1FTXRT/9205ac62f2f57178c47ac5e2eca098c0/Std_ISAE_3000R_Opinion_30-09-2023_BDO_Tether_CRR_RC134792023BD0430.pdf), Kinesis uses Bureau Veritas (https://kinesis.money/wp-content/uploads/2023/12/Kinesis-Audit-October-2023.pdf)
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Stable coins have pegs to fiat currencies like US dollar. They can depeg and a most famous and terrible depeg is Terra UST algorithmic stable coin.
With depeg like UST, it is no longer a stable coin.
I see all stable coins are unsafe if you need a mean to store your asset long term. If you need such, use US dollar directly. At least US dollar won't depeg from value of US dollar, not joking.
However, storing your capital in US dollar or stable coin is not investment, because you won't get increase of value for your portfolio.
You must invest your money into something, like Bitcoin. Remember to store your bitcoins in non custodial wallet, aka. self-custodial wallet. Don't store it in custodial wallet, online account, you will lose it if those platforms shut down, scam exit.
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Tether is just a company, not a decentralized protocol, so they can freeze illegal transactions.
USDT is continuing to grow and is considered the best peg-holding stable coin. USDC once lost its peg while USDT was always stable around 1 USD.
I believe in USDT but will always keep a portion of stable coin in USDC to be ready for the worst case scenario where Tether continues to be prosecuted with the issue of proof-of-reserves.
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I see all stable coins are unsafe if you need a mean to store your asset long term. If you need such, use US dollar directly. At least US dollar won't depeg from value of US dollar
Why do you think stability = US dollar?
(https://static.seekingalpha.com/uploads/2020/8/7/saupload_5f2c2c5cd394752831f621fd__20Fiat_20Currencies_20vs._20Gold_20Since_201900_thumb1.png)
US dollar vs. Singapore dollar
last 40 years
(https://www.chartoasis.com/wp-content/uploads/2020/06/usd-sgd-historical-chart-chili.png)
Currently the US dollar is losing 8% of its purchasing power on a yearly basis.
Why would you store your wealth in an asset that is losing 8% of its value each year?
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I evaluate the goodness of stable coins on some criterias: proof of reserves, ability to maintain value compared to fiat, and legal safety.
Currently, USDT is the best in terms of ability to maintain value, they have proof of reserves but are not legally safe. I still believe that after Binance, Tether will be the next subject to be investigated by US Department of Justice.
USDC just experienced a de-peg to $0.8 but has recovered very strongly. Coinbase and Circle are major forces backed by large investment organizations as BlackRock, so I believe this is the strongest surviving stable coin in crypto market.
After BUSD weakening, new stable coins have appeared but do not yet have a large enough capitalization to compete. We just need to divide the stable coin reserves into USDT and USDC to be safe enough.
I don't trust these 2 steiblcoins like USDC and BUSD, to summarize, I don't hold them at all, I had BUSD a few times but I immediately got rid of them and changed to the usual USDT, but with USDC I didn't work out at all))) I haven't held this token from the very beginning when it was released, maybe it's prejudice))) but I trust only the popular USDT and that's it 8)
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I think USDT is the best stable coins, although there are several stable coins such as USDC, BUSD etc.
But I'm more confident in Tether USDT.
Sometimes I used another stable coin but will back to USDT.
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None of the stable coins are safe and they will never be safe.
Tether is currently has most usage worldwide, and many people in third world countries use it more than they use bitcoin, because their local currencies are worse than dollar.
They look for more stability with tether, but in long run they are also losing battle with inflation, so I would only use stable coins temporary.
On top of that, I am sure regulators can always make any stable coins illegal and freeze coins whenever they want.
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Let's start with what exactly is security for each of us? How much money will be stored/for how long, etc. First of all, ask yourself this question. Then you will find the answer to it.
To store on a permanent basis - definitely USDT. If we are talking for a day/two days and no more - USDC. I don't trust any of the steiblcoins from coinmarketcap anymore.
P.S. Try not to trust little familiar projects. Absolutely no CEO of any project will prove that the impairment of its stablecoin is 100%. By no means is this a call to action. Always think with your head. ???
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although there are several stable coins such as USDC, BUSD etc.
BUSD has now been removed from the market due to various factors including SEC regulations which require Changpeng Zhao to remove it, perhaps the information about bUSD being removed was 2 months ago.
Maybe I would suggest that DAI is aaaaaaaaaa stable coin that is recommended for privacy and is safer.
But I don't really understand what "Privacy" means for DAI coins because what is called a stable coin must have a real backup.
I've also checked on the DAI website >> http://www.makerdao.com/, here it explains a lot about the safety and privacy of DAI coins but I haven't tried it to buy from DEX, except I've tried buying it on Binance Exchange for trading P2P.
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In respect to this topic, which is currently being discussed in the Bitcointalk forum:
Tether USDT and it's freezing features (https://bitcointalk.org/index.php?topic=5478464.msg63351178#msg63351178)
I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
I am only using USDT but never that I leave my funds inside , meaning i just used USDT when need to convert into fiat or sending to someone that needed not to use other volatile cryptocurrency.
but all in that I rather maintain my holdings in my Bitcoin or altcoins that stable coins , but still USDT is the best currency to out your funds in stable position.
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Why do you think stability = US dollar?
(https://static.seekingalpha.com/uploads/2020/8/7/saupload_5f2c2c5cd394752831f621fd__20Fiat_20Currencies_20vs._20Gold_20Since_201900_thumb1.png)
I know about decreasing purchasing power of the US. dollar as well as other fiat currencies. Because they have have similar problem, inflationary and with inflation of their fiat currency supplies, purchasing powers of those fiats must drop with time.
Purchasing power of the US. dollar over time (https://www.visualcapitalist.com/purchasing-power-of-the-u-s-dollar-over-time/)
(https://www.visualcapitalist.com/wp-content/uploads/2021/03/Purchasing-Power-of-the-U.S.-Dollar-Over-Time.jpg)
I meant in my post, that if you have to choose between US. dollar and stable coins that peg their values to US. dollar, choosing US. dollar will be better.
Both US. dollar and stable coins are inflationary but only stable coins can lose their pegs. Like if you have 1 USDT, in theory it equals to 1 US. dollar but when USDT peg is lost, your 1 USDT can become 0.1 US dollar. Terrible.
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Purchasing power of the US. dollar over time (https://www.visualcapitalist.com/purchasing-power-of-the-u-s-dollar-over-time/)
(https://www.visualcapitalist.com/wp-content/uploads/2021/03/Purchasing-Power-of-the-U.S.-Dollar-Over-Time.jpg)
This chart deserves 3 karma points :D How wonderful...
I will use it!
Thanks tbc!
I meant in my post, that if you have to choose between US. dollar and stable coins that peg their values to US. dollar, choosing US. dollar will be better.
Both US. dollar and stable coins are inflationary but only stable coins can lose their pegs. Like if you have 1 USDT, in theory it equals to 1 US. dollar but when USDT peg is lost, your 1 USDT can become 0.1 US dollar. Terrible.
I understand your point.
I can make the same point ($ is better than USDT) from another angle: $ is legal tender in the USA: US sellers are obligated to accept $ as a means of payment.
USDT is not legal tender, so sellers can refuse to be paid with it.
How can a company guarantee the peg?
Backing their stablecoins 1:1 with what their stablecoins are pegged to.
So, how can a company guarantee that their $-backed stablecoins are pegged to the $?
Backing each stablecoin with 1 $
How can a company guarantee that their gold-backed stablecoins are pegged to the price of a gold unit?
Backing each stablecoin with 1 unit of gold.
Why are audits - regular audits made by an independent company - so important?
Because they guarantee that the stablecoins are backed, i.e. that the peg is not in danger to break down.
Why Kinesis is better than Tether Gold? :D
Because Kinesis let their metal get audited (https://kinesis.money/audits/) regularly - each 4 months - by an independent party, Tether Gold don't.
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I understand your point.
I can make the same point ($ is better than USDT) from another angle: $ is legal tender in the USA: US sellers are obligated to accept $ as a means of payment.
USDT is not legal tender, so sellers can refuse to be paid with it.
Legal tender is one of disadvantage of stable coins compares to fiat currencies.
How can a company guarantee the peg?
Backing their stablecoins 1:1 with what their stablecoins are pegged to.
Why are audits - regular audits made by an independent company - so important?
Because they guarantee that the stablecoins are backed, i.e. that the peg is not in danger to break down.
Some topics on Tether stable coin and audit reports.
Tether Excess Reserves Q2 2023 (https://tether.to/en/tether-excess-reserves-increase-by-850m-to-reach-3-3b-as-leading-stablecoin-reveals-72-5b-overall-exposure-in-us-t-bills-and-unveils-energy-related-investments/)
Independent auditor's report on the consolidated reserves report. (https://assets.ctfassets.net/vyse88cgwfbl/63oJePOHqIvrcnXWMPZ1M0/4cfaf2e7cdf80c30b17fdc70faaf741f/ESO.03.01_Std_ISAE_3000R_Opinion_30-06-2023_BDO_Tether_CRR.pdf)
Stable coins: a deep dive into valuation and depegging (https://www.spglobal.com/en/research-insights/featured/special-editorial/stablecoins-a-deep-dive-into-valuation-and-depegging).
Download it (https://www.spglobal.com/_division_assets/images/special-editorial/stablecoins-a-deep-dive-into-valuation-and-depegging/rl_stablecoins.pdf).
Independent Auditors' Report on the Consolidated Reserves Report (September 2023) (https://assets.ctfassets.net/vyse88cgwfbl/36XORApdEYAq3AsH1FTXRT/9205ac62f2f57178c47ac5e2eca098c0/Std_ISAE_3000R_Opinion_30-09-2023_BDO_Tether_CRR_RC134792023BD0430.pdf)
https://tether.to/en/transparency/#reports
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How can a company guarantee the peg?
Backing their stablecoins 1:1 with what their stablecoins are pegged to.
Why are audits - regular audits made by an independent company - so important?
Because they guarantee that the stablecoins are backed, i.e. that the peg is not in danger to break down.
Some topics on Tether stable coin and audit reports.
Tether Excess Reserves Q2 2023 (https://tether.to/en/tether-excess-reserves-increase-by-850m-to-reach-3-3b-as-leading-stablecoin-reveals-72-5b-overall-exposure-in-us-t-bills-and-unveils-energy-related-investments/)
Independent auditor's report on the consolidated reserves report. (https://assets.ctfassets.net/vyse88cgwfbl/63oJePOHqIvrcnXWMPZ1M0/4cfaf2e7cdf80c30b17fdc70faaf741f/ESO.03.01_Std_ISAE_3000R_Opinion_30-06-2023_BDO_Tether_CRR.pdf)
Stable coins: a deep dive into valuation and depegging (https://www.spglobal.com/en/research-insights/featured/special-editorial/stablecoins-a-deep-dive-into-valuation-and-depegging).
Download it (https://www.spglobal.com/_division_assets/images/special-editorial/stablecoins-a-deep-dive-into-valuation-and-depegging/rl_stablecoins.pdf).
Independent Auditors' Report on the Consolidated Reserves Report (September 2023) (https://assets.ctfassets.net/vyse88cgwfbl/36XORApdEYAq3AsH1FTXRT/9205ac62f2f57178c47ac5e2eca098c0/Std_ISAE_3000R_Opinion_30-09-2023_BDO_Tether_CRR_RC134792023BD0430.pdf)
https://tether.to/en/transparency/#reports
Thanks tbc,
but I was talking about Tether Gold (https://www.altcoinstalks.com/index.php?topic=315185.0), not about Tether USDT (https://www.altcoinstalks.com/index.php?topic=314971.0).
;)
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I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
Take note that with stable coins you cannot get privacy nor freedom, stable coins are issued by centralized companies and they are regulated by the government and will provide them with any information they neet at anytime. Stable coins can also be frozen by the issuers, even if you have it stored in your own wallet.
I don't consider any stable coin to be safe for storing funds, if you are a trader you probably need it, but other than that, it is not recommended to store your money in stable coins.
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I don't consider any stable coin to be safe for storing funds, if you are a trader you probably need it, but other than that, it is not recommended to store your money in stable coins.
Your statement about stable coins is very reasonable and can be understood by a few people, I too, after observing stable coins for a long time, have the same thoughts as you.
The scariest thing is when I store USDT coins in a personal wallet and then it is frozen by the owner of the stable coin, I will definitely be confused about how to claim it.
If you don't store in stable coins such as USDC, USD, DAI and FDUSD, what cryptocurrency coins do you store?
Btw, are you the type of investor, trader or something else in this cryptocurrency environment?
Do you fully store your assets in Bitcoin and Ethereum or what?
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In general, there is no stablecoin that is 100% safe. Stay away in particular from stablecoins owned by exchanges because they are mostly worthless because they do not have real asset coverage on the ground.
USDT is the most popular and widely used stablecoin, but it is not secure at all. You can only use it for trading or transfers.
Decentralized stablecoins like DAI are somewhat better, but they are also not completely reliable and are not very popular.
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The scariest thing is when I store USDT coins in a personal wallet and then it is frozen by the owner of the stable coin, I will definitely be confused about how to claim it.
There will be no way to claim it, except if it is unfrozen by the issuers of the stablecoin.
If you don't store in stable coins such as USDC, USD, DAI and FDUSD, what cryptocurrency coins do you store?
Btw, are you the type of investor, trader or something else in this cryptocurrency environment?
Do you fully store your assets in Bitcoin and Ethereum or what?
I don't store stable coins, neither do i store Ethereum. The only coin i use and store for now is BTC, i prefer to use a coin that i am fully in control of, that is why i store BTC in my own self custodial wallet and not in any centralized platform.
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Determining the safest stablecoin involves considering factors like transparency, regulatory compliance, and the backing of reserves. Some widely recognized stablecoins with transparent reserves and regulatory compliance include USD Coin (USDC), TrueUSD (TUSD), and Gemini Dollar (GUSD). However, it's crucial to stay updated on developments and do your own research, as the cryptocurrency space can be dynamic.
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Why do you think stability = US dollar?
US dollar vs. Singapore dollar
last 40 years
Currently the US dollar is losing 8% of its purchasing power on a yearly basis.
Why would you store your wealth in an asset that is losing 8% of its value each year?
There is no conviction in your comparison that the dollar is falling in the whole market.
It's just a comparison with one of the currencies that may be much more expensive and stronger than the dollar,
But it does not mean that the dollar is falling everywhere, there are plenty of examples of reverse charts with currencies of different countries.
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In respect to this topic, which is currently being discussed in the Bitcointalk forum:
Tether USDT and it's freezing features (https://bitcointalk.org/index.php?topic=5478464.msg63351178#msg63351178)
I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
USDT and USDC are the most popular stablecoins, they're owned by Tether and Circle respectively and they're under the claws of the authorities. If any suspicious activity is detected or if a scammer steals these coins, it can be easily frozen. But DAI is a decentralized stablecoin that's issued by makerDAO, it's not under the control of the government, and decisions about the coin is made by the community. If I wanted to hold a stablecoin for privacy concerns, I'd settle for DAI.
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USDT and USDC are the most popular stablecoins, they're owned by Tether and Circle respectively and they're under the claws of the authorities. If any suspicious activity is detected or if a scammer steals these coins, it can be easily frozen. But DAI is a decentralized stablecoin that's issued by makerDAO, it's not under the control of the government, and decisions about the coin is made by the community. If I wanted to hold a stablecoin for privacy concerns, I'd settle for DAI.
USDT is the most popular, it is the top 3 of crypto in the world. Although Tether has bad issue, I think it won't bring so much impact on USDT. People already trust USDT more than other stable coins, some people even use USDT as an investment. For USDC, it is also quite popular but it is not as popular as USDT. I think USDC and DAI will be the alternatives of USDT, people choose them if there is no USDT in the exchanges. Or when USDT dropped quite a lot.
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Stable coins are pegged coins. What is pegged can fall out of peg and deviate from the real price. So use them wisely.
For USDC, it is also quite popular but it is not as popular as USDT. I think USDC and DAI will be the alternatives of USDT, people choose them if there is no USDT in the exchanges. Or when USDT dropped quite a lot.
When USDT dropped quite a lot? In price or marketcap? Be it any of the two, I do not quite understand what you meant about this. USDT marketcap increased and also the price is not falling out of peg.
USDT, USDC and many of them can be frozen. No evidence yet that DAI can be freezed. But DAI is collateralized with coins like USDC. Which means if USDC depeg, DAI will depeg.
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I think at this stage, choosing the best stablecoin is still based on the Fiat currency behind it. Since the USD still plays a dominant part in currency in the past 50 years. That is what other currencies couldn't compete. I will suggest USDT and other USD-related coins
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USDT is the most popular, it is the top 3 of crypto in the world. Although Tether has bad issue, I think it won't bring so much impact on USDT. People already trust USDT more than other stable coins, some people even use USDT as an investment. For USDC, it is also quite popular but it is not as popular as USDT. I think USDC and DAI will be the alternatives of USDT, people choose them if there is no USDT in the exchanges. Or when USDT dropped quite a lot.
I hope you got the point Charles-Tim is trying to establish here since you're talking about trust. Stablecoins depeg and that's one of the disadvantages of holding it for a longer period of time. According to data from S&P Global, USDC and DAI are more prone to depegging and that could be one of the reasons investors prefer USDT over them. Sometimes when it depegs, it may not recover back and example of such cases is TerraUSD1.
1. The fall of UST and Luna (https://www.coindesk.com/learn/the-fall-of-terra-a-timeline-of-the-meteoric-rise-and-crash-of-ust-and-luna/)
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I think at this stage, choosing the best stablecoin is still based on the Fiat currency behind it. Since the USD still plays a dominant part in currency in the past 50 years. That is what other currencies couldn't compete. I will suggest USDT and other USD-related coins
so to people who look for stability you suggest coins related to this?
is this your idea of stability?
(https://wolfstreet.com/wp-content/uploads/2022/03/US-CPI-2022-03-10-dollar-purchasing-power-since-2000.png)
"That is what other currencies couldn't compete"
Not true.
There is another currency that can compete with USD.
In fact... she competed... and she won!
(https://cdn.knoema.com/infographics/Knoema_Data_Driven_Gold_and_Fiat_Money.png)
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I hold 50% in USDT 50% in usdc
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In respect to this topic, which is currently being discussed in the Bitcointalk forum:
Tether USDT and it's freezing features (https://bitcointalk.org/index.php?topic=5478464.msg63351178#msg63351178)
I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
All stablecoins are centralized so you don't get any freedom here. And to find a safe stable coin you need to find a platform that is trustworthy. USDT has a lot of value in the market and it can always maintain 1:1 ratio so in this case I think USDT is the strongest stable coin among others. I myself always use USDT. But many prefer USDC and Binance lovers also use BUSD. So it's up to you which one you use. USDT, USDC and BUSD are all in the market with many values.
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If you could use US dollar for trading, I would suggest you trade in this way instead of using stablecoin. Even though stablecoins are pegged with fiat currencies, currencies like US dollar is relatively more reliable if we consider the global dominance and influences it has. And sometimes things can happen on stablecoin. And it might cause any safe issues in the crypto market. But when things happen on US dollar, the whole financial market will be so screwed up.
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If you could use US dollar for trading, I would suggest you trade in this way instead of using stablecoin. Even though stablecoins are pegged with fiat currencies, currencies like US dollar is relatively more reliable if we consider the global dominance and influences it has. And sometimes things can happen on stablecoin. And it might cause any safe issues in the crypto market. But when things happen on US dollar, the whole financial market will be so screwed up.
There is a currency which in the last 30 years has been much stronger than $
$ value depends on 8.000 tons of that currency that apparently are stored in Forth Knox and some other place, backing the $
Stablecoins backed by that currency are by far more reliable than stablecoins backed by $
This chart shows (I think) how many mg of that currency you could buy with $1 in 1997 vs. today :D
(http://pricedingold.com/charts/USD-1997.png)
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I didn't know about the topic in bitcointalk so I'll make a post there. Centralised stablecoins they're all capable to freeze your funds so if you're asking protecting from freezing there isn't one which's safest.
In respect to this topic, which is currently being discussed in the Bitcointalk forum:
Tether USDT and it's freezing features (https://bitcointalk.org/index.php?topic=5478464.msg63351178#msg63351178)
I will like to ask about the best stablecoin, which could be considered the safest in terms of privacy and freedom, which includes being in full control of your holdings.
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In my opinion, USDT is the best stablecoin to have. It is backed by USD and which is a stable one.
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In my opinion, USDT is the best stablecoin to have. It is backed by USD and which is a stable one.
USDT is not the safest stablecoin out there but by popularity, they dominate the crypto space and many times, people has disagree with their opinion that Tether is not fully backed by usd, some are back by treasury bills and many other financial instruments and because they can freeze your usdt again makes it worse. So, you better use it with caution because it's a centralized stablecoin that can be freeze anytime any day.
The most trusted stablecoin of all time is Dai, it's a decentralized stable coin on ethereum and it's very safe and can be redeem anytime you like. It's one of the oldest stablecoin out there.
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In my opinion, USDT is the best stablecoin to have. It is backed by USD and which is a stable one.
It can be quite subjective about which stablecoin is the best.
Some people can choose USDT, other choose USDC, and the rest choose other stable coins.
I'm not sure if USDT is fully backed by USD although the team stated in their site. And it is also not 100% secure because the price of USD sometimes falls. No currency is very secure, personally I prefer the coins backed up by gold.
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When USDT dropped quite a lot? In price or marketcap? Be it any of the two, I do not quite understand what you meant about this. USDT marketcap increased and also the price is not falling out of peg.
The price of USDT dropped against the price of my local currency. It is what I mean.
For the market cap, I really understand if it always increases. I never stated the market cap of USDT was falling.
I hope you got the point Charles-Tim is trying to establish here since you're talking about trust.
What trust do you mean? I never destroy the trust on USDT.
Lol, it seems you all misunderstand my post. I only wanted to say that USDT price can drop against the price of my local currency. It doesn't always stable, it sometimes fluctuates although it didn't fluctuate like the common coins. Anyway, this is what I see in our local exchanges.
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I think USDT is relatively safe. But anyway, there is no such thing as safest in the financial market especially crypto market which is arguably one of the most volatile market in the world. And the fact that no one actually knows whether Federal Reserve holds the same amount of USD is really building up more uncertainty.
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I think USDT is relatively safe. But anyway, there is no such thing as safest in the financial market especially crypto market which is arguably one of the most volatile market in the world. And the fact that no one actually knows whether Federal Reserve holds the same amount of USD is really building up more uncertainty.
They say that USDT is backed by USD and USDT is issued by Tether, a company owned by iFinex. But we have no clear visibility through which we can verify that there is USD for every USDT issued.
But still USDT is a reliable stable coin among all stable coins revolving in the market. There is no guarantee about how long it will retain his reliability.
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I think USDT is relatively safe. But anyway, there is no such thing as safest in the financial market especially crypto market which is arguably one of the most volatile market in the world. And the fact that no one actually knows whether Federal Reserve holds the same amount of USD is really building up more uncertainty.
I'm willing to bet in that regard. Just because the USDT is believed by most users does not mean that it is safe. Any negative news from the SEC regarding their campaign, could spell big trouble.
P.S. Try (to the best of your ability) to stick to diversification. Not only in paper bills, but also in digital assets. In case of anything, so that no unpleasant situations arise. + don't fall for what's in the news etc.
Tether has minted another 1$ billion of USDT. ;D
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They say that USDT is backed by USD and USDT is issued by Tether, a company owned by iFinex. But we have no clear visibility through which we can verify that there is USD for every USDT issued.
But still USDT is a reliable stable coin among all stable coins revolving in the market. There is no guarantee about how long it will retain his reliability.
I can agree with you, buddy. Although they said that each USDT is backed by USD, we don't really know the truth. There is no regular update from the company about this information. So, we mostly just guess it. But if we look at the market cap of USDT, we can assume USDT is quite trustable. USDT is the most stablecoin used by all crypto users.
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Just looking at Coinmrketcap as a recommendation from seeing so many stable coins and the most numerous is always the valuation of Tether, I don't know about the development of the previous Tether coin or Tether's struggle to create a stable coin, I definitely see that this stable coin from Tether has a lot of value. I see that there are USDC, FDUSD, DAI which are in the high rankings of coinmarketcap but in my opinion Tether is probably the safest.
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Stable coins because of potential bridge between the traditional gap between financial systems it'd offer benefits such as fast transaction and secure.ther are several factors to evaluate the stable coins. Transparency and regulation,collateral mechanism, audits and reserves,
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I think USDT is relatively safe. But anyway, there is no such thing as safest in the financial market especially crypto market which is arguably one of the most volatile market in the world. And the fact that no one actually knows whether Federal Reserve holds the same amount of USD is really building up more uncertainty.
They say that USDT is backed by USD and USDT is issued by Tether, a company owned by iFinex. But we have no clear visibility through which we can verify that there is USD for every USDT issued.
But still USDT is a reliable stable coin among all stable coins revolving in the market. There is no guarantee about how long it will retain his reliability.
USD for every USDT means that the government will have to rapport with the cryptocurrency industry. These two entities doesn't seem to work in harmony, so that dichotomy will still be seen at any time.
As of USDT, the uncertainty behind it has been in existence for long but yet people are using it and it's cap is rising on daily.
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I can agree with you, buddy. Although they said that each USDT is backed by USD, we don't really know the truth. There is no regular update from the company about this information. So, we mostly just guess it. But if we look at the market cap of USDT, we can assume USDT is quite trustable. USDT is the most stablecoin used by all crypto users.
I use USDT only when I have to withdraw my crypto through exchange otherwise my preference is to keep my crypto in my open source wallet. There is no guarantee that for how long a stable coin will remain stable as we see them collapsing very often, remember UST crash?
https://www.coindesk.com/learn/the-fall-of-terra-a-timeline-of-the-meteoric-rise-and-crash-of-ust-and-luna/
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But we have no clear visibility through which we can verify that there is USD for every USDT issued.
Not true
What's backing USDT? Tether Reserves Breakdown (https://www.altcoinstalks.com/index.php?topic=314971.msg1492908#msg1492908)
Although they said that each USDT is backed by USD, we don't really know the truth. There is no regular update from the company about this information. So, we mostly just guess it.
Not true
What's backing USDT? Tether Reserves Breakdown (https://www.altcoinstalks.com/index.php?topic=314971.msg1492908#msg1492908)
We know that USDT is not backed 1:1 by $
USDT is backed by several financial assets, whose value changes over time
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I can agree with you, buddy. Although they said that each USDT is backed by USD, we don't really know the truth. There is no regular update from the company about this information. So, we mostly just guess it. But if we look at the market cap of USDT, we can assume USDT is quite trustable. USDT is the most stablecoin used by all crypto users.
I use USDT only when I have to withdraw my crypto through exchange otherwise my preference is to keep my crypto in my open source wallet. There is no guarantee that for how long a stable coin will remain stable as we see them collapsing very often, remember UST crash?
https://www.coindesk.com/learn/the-fall-of-terra-a-timeline-of-the-meteoric-rise-and-crash-of-ust-and-luna/
USDT is one of the best stable coins. BUSD was once a popular stablecoin because it was a Binance coin, but many people were afraid to use it until Binance delisted it. Next to USDC is USDC. These two stablecoins are in the market with huge market caps. But I always use USDT and prefer USDT even when holding stablecoins. But sometimes I use USDC. but binance again pushing FDUSD but i am not interested on it yet