USDM stablecoin can't be frozen?

[dkbit98]

I heard the news about new stablecoin USDM being released on Cardano blockchain, and they claim it is better than USDT and USDC because it can't be frozen.
Thy have limited release now, and they are based in New York and they obtained licenses in United States, with Europe and UK coming later this year.
Maybe nobody can freeze USDM coins, but they can freeze their bank accounts and ban it in future.
https://cointelegraph.com/news/usdm-stablecoin-retail-rollout-april-mehen-founder

Official website:
https://mehen.io

[Rex067]

I heard the news about new stablecoin USDM being released on Cardano blockchain, and they claim it is better than USDT and USDC because it can't be frozen.
Thy have limited release now, and they are based in New York and they obtained licenses in United States, with Europe and UK coming later this year.
Maybe nobody can freeze USDM coins, but they can freeze their bank accounts and ban it in future.
https://cointelegraph.com/news/usdm-stablecoin-retail-rollout-april-mehen-founder

Official website:
https://mehen.io

While the stable coins or the USDM can't be frozen because it's build on Blockchain network which means they can't freeze it same as bank can't also. Remember that stable coins are still regulated by the government, it can be block or freeze by the government in some certain transactions.

[bitmover]

I heard the news about new stablecoin USDM being released on Cardano blockchain, and they claim it is better than USDT and USDC because it can't be frozen.
Thy have limited release now, and they are based in New York and they obtained licenses in United States, with Europe and UK coming later this year.
Maybe nobody can freeze USDM coins, but they can freeze their bank accounts and ban it in future.
https://cointelegraph.com/news/usdm-stablecoin-retail-rollout-april-mehen-founder

Official website:
https://mehen.io

This is interesting.  However I have never used Cardano. I have seen many people saying bad stuff about it..

Many people are releasing many different types of stable coins. This looks to be very lucrative for the companies,  specially now that interest rates are so high.

If USDM comes to othert blockchains, I might try

[dkbit98]

This is interesting.  However I have never used Cardano. I have seen many people saying bad stuff about it..

I never touched that crap, but I heard transactions are usually cheaper than on ethereum and similar clones.
It's probably better than solana that has record number offline time 

If USDM comes to othert blockchains, I might try

I don't think they would be able to do the same thing on ethreum blockchain.
Vitalik is the boss there and he can do whatever he wants, same as CZ on binance chain or the Tron guy (can't remember his name) on his blockchain.

[bitmover]

This is interesting.  However I have never used Cardano. I have seen many people saying bad stuff about it..

I never touched that crap, but I heard transactions are usually cheaper than on ethereum and similar clones.
It's probably better than solana that has record number offline time 

Yeah..,  I can`t believe how solana is performing so well. Many people are saying that Solana may flip ethereum and become the number 2!! WTF!

If USDM comes to othert blockchains, I might try

I don't think they would be able to do the same thing on ethreum blockchain.
Vitalik is the boss there and he can do whatever he wants, same as CZ on binance chain or the Tron guy (can't remember his name) on his blockchain.

Justin sun..

I am glab to ignore satoshi's identity. It would be terrible for bitcoin to have someone like those people ruling it.

[dkbit98]

Justin sun..

Yes it's him
There are other examples, but all this guys are doing the same thing.
If you can revert transaction and freeze coins than this is not really valuable blockchain long term.
Solana price... it can go high because people with lot of money are behind it for now.
Let's see what happens with USDM.

[bitmover]

Justin sun..

Yes it's him
There are other examples, but all this guys are doing the same thing.
If you can revert transaction and freeze coins than this is not really valuable blockchain long term.
Solana price... it can go high because people with lot of money are behind it for now.
Let's see what happens with USDM.

I have been holding eth for some years just trying to see if I can get more btc out of it... but I don't believe in any of those altcoins in long term. But I believe ethereum is the best of them . If the price skyrocket somehow, I will convert it to btc

[dkbit98]

I found USDM token address on cardano blockchain, it has assetName 0014df105553444d
There is over 1000 transactions so far and current total supply is 101,155.69
https://cardanoscan.io/token/c48cbb3d5e57ed56e276bc45f99ab39abe94e6cd7ac39fb402da47ad0014df105553444d

I still prefer L-USDT on liquid network with it's confidential transactions.

[Husires]

They do not claim that there is a value of $1 per investment, but rather Backed by T-Bills and the price stabilization mechanism is explained here.

Primary market liquidity is limited to the USDC facility secured by Mountain Protocol. Note that very large movements of the market may deplete this buffer and liquidity SLA will fallback to T+2 business days. NOTE: T+2 business days is the standard TradFi settlement timeline. Mountain Protocol is not responsible for delays associated with delayed settlement of financial partners. Secondary market liquidity is limited to liquidity in secondary markets.

Very large movements may lead to a $1 peg if the USDC is depleted, so it is closer to DAI, but on the Cardano blockchain.

Maybe nobody can freeze USDM coins, but they can freeze their bank accounts and ban it in future.
https://cointelegraph.com/news/usdm-stablecoin-retail-rollout-april-mehen-founder

I do not think they have many bank accounts, but rather US Treasury bonds and USDC. The business model could be destroyed by depleting USDC reserves in a scenario similar to what happened with LUNA, where they will need a little time to sell the bonds and provide liquidity.

[Gurujebs]

I have gone to through the website and I'm not sure if this project is coming from the parent Cardano company, this might be an independent team that want to make Cardano as their underlying blockchain for their stablecoin which is like bringing more adoption for Cardano blockchain and increasing its activity.

The project is focus on been decentralized but their decentralization is not throughly decentralized, the image below says a lot about their limitations about their decentralization and I hope anyone planing to use in the future thread with caution.



We keep having more stablecoins as if that's what we really needed as an adoption, I just think no matter how we have stablecoin, Tether will never back down for anyone in this race.

[dkbit98]

Very large movements may lead to a $1 peg if the USDC is depleted, so it is closer to DAI, but on the Cardano blockchain.

Interesting, but let's see how this is going to work in real life.
They need to have several exchanges and other crypto services listing this USDM coin.
Without having real liquidity it won't really matter how good and stable token is if nobody is using it.

[Husires]

The project is focus on been decentralized but their decentralization is not throughly decentralized, the image below says a lot about their limitations about their decentralization and I hope anyone planing to use in the future thread with caution.

What is the thing against decentralization there? Proof of burning and minting does not indicate centralization. You can do proof of burning in Bitcoin by sending to an address where they cannot be spent. Does this make Bitcoin centralized?

In fact, Cross-Chain Transfer Protocol (CCTP) is based primarily on burning and minting between several blockchains.

The burning code is something like

Code: [Select]

const burnUSDM = await adaTokenMessengerContract.call("depositForBurn", [
     amount,
 
     destinationAddressInBytes32,
     USDC_UDSM_CONTRACT_ADDRESS,
   ]);
After confirming the burning, an equivalent amount will be sent from their bank account to your bank account.

They need to have several exchanges and other crypto services listing this USDM coin.
Without having real liquidity it won't really matter how good and stable token is if nobody is using it.

They do not need high liquidity to maintain the stability but they need it if large amounts of USDM are burned. This happens if panic occurs or everyone wants to burn USDM to obtain Bitcoin or dollars, then it will be the real test of the protocol.

[electronicash]

Very large movements may lead to a $1 peg if the USDC is depleted, so it is closer to DAI, but on the Cardano blockchain.

Interesting, but let's see how this is going to work in real life.
They need to have several exchanges and other crypto services listing this USDM coin.
Without having real liquidity it won't really matter how good and stable token is if nobody is using it.

there's not much exchanges interested to add tokens from ADA though. its supply is just too low to add but they have to keep minting til it goes larger.
if your bank is going to be frozen all because of this USDM,  it does mean those banks supports USDT/USDC and not really going to freeze their accounts. even in this age, we still can see how much finance system are trying to make people beg.

nothing is said about DAI though, i support banks will also freeze accounts of people using DAI?

[dkbit98]

They do not need high liquidity to maintain the stability but they need it if large amounts of USDM are burned. This happens if panic occurs or everyone wants to burn USDM to obtain Bitcoin or dollars, then it will be the real test of the protocol.

I know that, but I was saying how there is no point of having stablecoin when nobody is using in reality.
Most people will continue using tether because of the habit and because it's avaialable everywhere.
And maybe USDM can't be frozen on cardano blockchain, but this probably won't be the case if they create USDM on other blockchains.

[Charles-Tim]

And maybe USDM can't be frozen on cardano blockchain, but this probably won't be the case if they create USDM on other blockchains.

I thought USDT can be frozen on Ethereum and other blockchains because USDT developers made it to be like that. Or am I wrong? If USDM is created on blockchain like Ethereum, I do not think it can be frozen. But not on blockchain that is very more centralized like BSC and the beacon chain which their developers can freeze any coin of their choice. I think it would be better to even just hold the coin on Cardano blockchain.

As for USDT to be the dominant. No coin can take it from its place if everything is going good. People do not mind some kind of centralization because of ignorance. What they prefer is popularity and adoption.