Why did crypto creators establish stable coins??

[Zevin]

I am not very sure but I think stable coins were created to make the transaction on decentralized financial services less volatile. Stable coins were created to lessen the risk.

 

[BrolySSJ]

I am not very sure but I think stable coins were created to make the transaction on decentralized financial services less volatile. Stable coins were created to lessen the risk.

Stablecoins are able to provide you with a very good way of trying to reduce the risk and you have said however I believe that stablecoins were actually created in order for cryptocurrency users to have a way to store the monetary value of the cryptocurrency coins without having to actually worry about fluctuations in the market. Also it is a very important pairing when it comes to trading on various cryptocurrency exchanges.

 

[delnovem]

Stablecoins were created to be used the way cryptocurrencies were intended — as a simplistic, stabilized, scalable, and secure means for transactions. After all, most businesses aren't interested in accepting a currency like bitcoin that might tank in value the very next day.

 

[Senator]

Just as it is a very high risk to only safe your cryptocurrency in non stable assets form because of fluctuations that might go against our total investment, that's why keeping them in stable coins will retain our cryptocurrency value as we left it

 

[GoldenLady]

Everyday I ask myself , what is the reason behind the creation of all this stable coin in the crypto market. When I know they aren't volatile in nature, and can't even appreciate nor depreciate. Their current state isn't a profitable one for investors, i don't see stable coins going higher either. Cos they work hand in hand with country's fiat currency, they increase only when the country they represent in the digital currency increases. That kind of increment can't bring profit to investors cos fiat currencies don't explode over night like the way volatile digital coins do.

What is the reason behind the establishment of stable coins?? when the coins won't be a profitable one for investors.

They are a necessary tool for all investors and traders. Imagine Tyne market going down by 50% or more and you have no choice but to watch your money go down the drain. With stable coins one can at least preserve the capital used.

 

[Senator]

Cryptocurrency creators created the stable coins to help bridge the gap that these volatile coins cannot feel. With the presence of the stable coins now, our cryptocurrency assets will be able to maintain their values so long as they're in stable coin format

 

[GIFTMICHAEL]

Stabilizing your monetary asset from falling down when bearish run occurs is an advantage. They're simply like the fiat currency. Your funds will remain stagnated provided you're saving it using the stable coins.

 

[Heatman]

Seriously, if there is nothing like a stable coin, it's definitely going to be very difficult for cryptocurrency traders especially those who are into peer to peer trading to carry out their transactions successfully.

 

[Chibson]

Without stable coins cryptocurrency traders will find it very difficult to trade because there will be no stable alternative to swap their cryptos.

 

[Suba]

The name is Stablecoin so we don't need to expect the price to be high, but in my opinion, first Stablecoin is very unique because fiat money is blockchain based, which can hide privacy, second Stablecoin (USD) we can use as a hedge when local fiat money goes down or inflation. Third, Cryptocurrencies are getting more and more famous because Stablecoins are widely used by people (not crypto users) to send and receive money across countries.

 

[Thinker009]

I think crypto Creator's established it so that people could use those stable coins to trade other crypto and make more gain's , I think it's one reason why it was established and for also keeping cryptocurrency asset

 

[joy101]

I don't really know their reason maybe them know the reason why them created established stable coin in the market, maybe more attractive to the coin.

 

[Ruth]

Personally I believe the creation of stable coin was in other to make people less volatile in cryptocurrency trading. And it can be a a great form of exchange from one country to another since some countries currency is highly than others.

 

[Sotherefore]

That is one of the best thing they actually did to us because this has prevent us from being liquidated when the movement of cryptocurrency is down.is it used in preserving coin in the Bear market

 

[eLdavis]

I think stable coins where created so people can easily buy other coins and token, since every country have its own currency and each currency has its value, so you can easily buy a stable coin and use it in buying your desired coin

 

[Ceeny007]

I want to believe they are created for transactional purposes like swapping to buy another coin without loosing value of your cash I could be wrong though

 

[Dagm1]

I believe the factor for producing steady coin is actually to develop a much less unstable body in cryptocurrencies.
Stable coins attempt to deal with cost changes through connecting the worth of cryptocurrencies to various other more steady possessions - typically fiat.

 

[Elfinito]

Most stable coins are fist currency and these coins are created for the digital currency to compete with.
They are being used for exchange in the crypto space and they have a very low volatility

 

[Ub40]

This is a question worth pondering about, because actually, there is no profit in stable coins until there is a rise in the country currency it is representing, then why was it created? But some comments above can be looked at too as there should be some truth in them. That is my opinion.

 

[Aaron625]

There are many benefits of using stablecoins. Simple and useful way is it helps in trading other cryptocurrencies like bitcoin and litecoin. Instead of using fiat money like paypal , one can use a crypto that is backed to USD value to reduce fees and also time while trading crypto.