Understanding The Concept Of Stablecoins And Why They Are Important?

[ife2020]

Stables more stable than fiat x)
Good way to store coins instead of banks

Well, you cannot compare stable coins to keeping funds in your bank. For stable coin, your money will retain its price for a long time without error while in banks, you get little interest on your money each month.

Stablecoin core advantage is that once you have your usdt, or tusd, you are opportuned to join any trade, at any time you want to either btc gas fee is high or eth gas fee is high

[Gubre]

Stable coin is just something that we can tell how digital market is somehow trustworthy but I am a little but  skeptical that this can be good basis for people to be dependent on it since until now government and cryptos aren't yet clear with regards to the security concern for the adopters.

[Amaya]

In addition to their usefulness in financial transactions, stablecoins can be used by traders and investors to protect their portfolios. Allocating a certain percentage of a portfolio into stablecoins is an effective way to reduce overall risk. At the same time, maintaining a vault of value that can be used to buy other cryptocurrencies during a drop can be an effective strategy. Likewise, these coins can be used to "lock" in profits earned when prices rise without having to withdraw them.

[Alcor]

Currently, the cryptocurrency market is dominated by private stablecoins and stablecoins of various business structures. However, more than 80 percent of states are now working to create their national digitalized central bank currencies. They must change the balance of priorities in the cryptocurrency market. Most likely, citizens of each state will trust their national digitized currencies more. It seems that they will greatly change financial relations in society. Stable coins of various forms of ownership should replace the current bank non-cash payments. Banks will largely lose their profits.

[Tnoy30]

There are many currencies on the market today. Although there are currently no thousands of coins, most of the coins were successful long ago. Current projects are becoming more successful. In other words, the project plan is going much better. But I think at this point in 2020, more tokens, that is, the project is going to be successful. But the beginning of 2020 was very weak. Because then the projects would not be successful. Now people are leaning towards the crypto world. But at one time there will be thousands of coins in the market. But then the project will be more likely to fail. Because then thousands of coins will be in the market and investors will decrease.

[Riya143]

Many people have been associated with cryptocurrency since its inception. Many have been able to profit from the cryptocurrency market. I think the cryptocurrency market people can show some faces because I bought a coin. The price of that coin was much lower. During this time it has increased a lot. So people have started investing after seeing such incidents. The number of cryptocurrency in the market has started to increase. DeFi project is ruling in the current market. Such projects are becoming more successful. Thus the number of cryptocurrency is increasing.

[Ten Ryuu]

Not a believer of Stablecoins here.  I always think holding a real fiat i better than one that act like one.  People say that is for ease of transfer, I am like wth, if your money is already in an exchange you can convert it to Bitcoin and back to fiat in no time.  This is just some propaganda thing. 

In addition to their usefulness in financial transactions, stablecoins can be used by traders and investors to protect their portfolios. Allocating a certain percentage of a portfolio into stablecoins is an effective way to reduce overall risk. At the same time, maintaining a vault of value that can be used to buy other cryptocurrencies during a drop can be an effective strategy. Likewise, these coins can be used to "lock" in profits earned when prices rise without having to withdraw them.

Why not convert it back to fiat?  Stablecoins act as the currency it mimic such as USDT for USD in terms of value.  Why would I hold USDT when I can actually hold the real USD and keep it in an exchange.

[Rain075]

By stable coins we mean those coins which are in a very good position in the market. We know all the coins in the market as stable coins whether they will go down or not. Such as USD. If the USD coin market is very good, it will be at that price and if the market is very bad, it will be expensive.

[Jaguar]

Stable coin is something to do with the normal price that won't be affected by pump and dump scenarios. This is the kind of coin that can be use for daily trading and a method of payment. Stable coin has less expectations than unstable coin. Investors and traders expect big with unstable due to unregulated value. They could earn more profit than stable coins.  Cryptocurrency place need both unstable and stable 'coz there are crypto communities who like stable than unstable, vice versa.

[Naimah]

Stablecoins also play a very important role now. It can be a place where you hide even traders when the market shows signs of volatility. They can quickly convert their assets to stablecoins to preserve them in just a few minutes, without having to liquidate their fiat money.

[NihonShoki]

Stablecoins are cryptocurrencies with stable prices, the market value of stablecoins is often pegged to the value of a fixed asset, such as USD or gold. This kind must be global - global, less volatile and not dependent on a central bank.

[Calantha]

Stablecoins are not subject to huge price fluctuations like other cryptocurrencies. For example, in 2010 a programmer bought pizza for 10,000 bitcoins (~ $ 30). But by the time of writing, that bill has risen to $ 94M - All of this comes from the massive price volatility of bitcoin.

[Lillian]

Stablecoins still take advantage of the benefits of cryptocurrencies. But they still do not lose the same security of asset value as traditional fiat currencies (USD or EUR).

[Thalassaya]

Stablecoins is capable of bringing many benefits to organizations and individuals that need fast and secure international payments. From migrant workers who need to send money back to their families, to large businesses looking for a cheap and efficient payment solution for overseas transactions. In all of these cases, they don't have to worry about their assets suddenly falling in value like bitcon.

[Rosemaryy]

This stablecoin will stand up to any fluctuations in the Crypto market, because they are all guaranteed by the amount of fiat money being stored and even if the Crypto market collapses, this stablecoin is immune.