Is It A Wise Idea To Rely A Lot On Stablecoins?

[Good-Person]

Stablecoins are the kind of cryptocurrencies that remains "stable" in the sense that its price does not fluctuate as it is "pegged" to the dollar price. Even when it fluctuates, it does not fluctuate that much. However, after the fall of Terra(USD),do you think that people should trust the Stablecoin? I do not think that it would be a wise idea to rely a lot on stablecoins, if you ask me.

 

[Planbizzle]

Stablecoins are intended to keep a constant value in relation to a fiat currency or a range of currencies and are typically backed by a backup asset. They are thus a fantastic choice for people seeking to safeguard their assets against market instability and carry out transactions at low cost.

 

[Riberet19]

Well, I would not trust them as much, as you comment with the fall of UST, it was clear to many that they should not do it, and now with the recent news that Paxos trust will have to stop minting BUSD for Binance and its cessation of joint commercial activities by order of the SEC I still think not.

 

[Mayorla]

There are a lot of stable coins in the crypto space. Even though stable coins are intended to be kept at constant value depending on what it is pegged against.

But in recent times, We have witnessed the crash of different stable coins especially UST which is supposed to be pegged to $1 constant. This have brought doubt to the minds of investors including me, making them lose value in stable coins.

 

[Nomad]

Stable coins are to be used for risk management and not for profit making because you don't profit by investing in stable coin. If you are not based in the US, you might earn some percentange profits when USD value compared to your local currency rises.

 

[Smiles20]

We have seen over recent that a lot of the stable coins that are out there do not have good algorithms to keep them pegged. This is why I always do a search on stablecoins first before even putting money into them because some of them are not really stable.

 

[Yohanna]

I trusted the USDT because it has maintained a constant value around the USD and that is why I always keep my asset in USDT because it is reliable stablecoin to choose.

 

[Kennysplash]

I think it is quite safe to rely on stable comes because as the name implies the prices are stable and it does not fluctuate like other currencies. So whether there is increase or decrease you always get your money's worth in stablecoins.

 

[Imran_Noori]

Trusting stable coins is not a good choice because what happened with USTC could happen with other stable coins too, USDT has the largest market cap among stable coins, despite of that it is insecure and I heard some news about it.

 

[Potuse]

The stablecoin is a famous cryptocurrency most especially the USDT has become very famous because of its features and its level of stability because it is pegged around the dollar .

 

[Connor909]

The decision to rely heavily on stablecoins will depend on a number of variables, including the person's risk tolerance, investing objectives, and knowledge of the cryptocurrency market. Before making any financial decisions, it is advised to conduct an extensive study and take professional advice into consideration.

 

[Trey]

They are relatively deserving of trust than other cryptocurrency. I prefer to receive payments in USDT because I am sure it won't be affected by a dip in the cryptocurrencies market. They are deserving of trust.

 

[Jonaville]

Stablecoins are the kind of cryptocurrencies that remains "stable" in the sense that its price does not fluctuate as it is "pegged" to the dollar price. Even when it fluctuates, it does not fluctuate that much. However, after the fall of Terra(USD),do you think that people should trust the Stablecoin? I do not think that it would be a wise idea to rely a lot on stablecoins, if you ask me.

I don't think I see anything wrong in relying on stablecoins as long as your price is fixed and it is not going to change so it is a good thing. It is not just good to rely on other coins

 

[Ernestnari]

Stable coins are what is used to cushion the volatility of the entire cryptocurrency space. For those that just want to have cryptocurrency for shopping, it is better they have stable coins.

 

[Joy123]

Stable coin are Inherently stable assets, making them a stable store of value and encouraging their adoption in regular transactions. Stable coins also increase the mobility of crypto assets around the ecosystem.

 

[Ononivami]

Stable coin are Inherently stable assets, making them a stable store of value and encouraging their adoption in regular transactions. Stable coins also increase the mobility of crypto assets around the ecosystem.

There is nothing wrong in depending on stablecoin because it is phenomenal in crypto investment. Also, it will shield your assets away from the market fluctuations.