Stablecoins have already acquired a large market. Reportedly, the total supply for stablecoin grew by about 493%
The Libra project raised market’s attention to stablecoin to an unprecedented level. It not only forces global financial regulatory bodies and central banks to take necessary measures, but also stimulates market’s enthusiasm in developing more stablecoins. Since Libra’s project scope is too large, it assumes a lot of risks. There is a big uncertainty in its future. But, Libra’s design and its experience can certainly be learned by other stablecoin projects. Better designed and more feasible stablecoins can be brought to the market.
As restaurants, shops, airlines and factories shut down around the world, a global coronavirus-fueled recession is no longer a looming threat. It’s here. During the last downturn, I lost a lot of money and I don’t plan on doing that again. So, it is a great opportunity to reexamine it all and turn it into lessons or personal reminders.
The main focus on Libra so far was the stablecoin - a digital currency pegged to a basket of underlying assets. If the pegging mechanism works as intended, Libra coin won't undergo any crazy crypto pumps & dumps. Holders of Libra coin probably won't face any bigger risk than holding cash. This of course also means they won't make any money on the coin.
Stablecoin adoption has exploded over the last year, seeing a collective market cap rise from around $10 billion to over $100 billion. This was at least partly amplified by yield generating opportunities from the DeFi market boom and a growing interest in digital assets, providing the tokenized and frictionless benefits of moving between crypto and fiat over permissionless blockchains.
Cryptocurrencies, although the best assets of the financial world, have since inception in 2009 seen their fair share of volatility-related issues. Bitcoin has historically been the most volatile of all crypto assets.
During dAppcon, a recent conference in Berlin, I had a chance to talk to Rene Reinsberg, founder of Celo.
Unit Protocol is a decentralized lending protocol that allows using a variety of tokens as collateral. $USDP $DUCK
HashKey Capital is an asset manager with three dedicated funds investing exclusively in blockchain technology and digital assets.
There is no question that stablecoins are making waves in the sea of cryptocurrencies. Binance research backs up this general sentiment, showing a rise in stablecoin popularity and trading pair usage in 2019. At the moment, fiat-backed stablecoins are flooding the market as a natural transition from our global fiat-driven economy; however, it’s only a matter of time before fiat-backed stablecoins are replaced with algorithmic coins that are better able to retain purchasing power over time.
The rising popularity of stablecoins has often been highlighted as an indication of the growing adoption of blockchain technology. With projects such as Facebook’s Project Libra and JPMorgan’s JPMCoin, it is clear that even large corporations from beyond the blockchain space are seeking to partake in this growing trend.
Money is a contract between two or more parties. The arrangement solves a central challenge in trade referred to as the coincidence of wants problem
Leveraged Yield Farming is a widely used investment strategy across DeFi because it can provide higher returns and lower risks if used properly.
What exactly is going on in this corner of DeFi? What does this controversy mean for the future of the DeFI ecosystem?
Learn the risks that Central bank digital currencies (CBDCs) pose to your monetary freedom and privacy.
Soon Terra can have more Bitcoins than Tesla. Moreover, in long term, it can get more Bitcoins than Microstrategy.
DAM Finance has announced the launch of its decentralized, multi-chain liquidity infrastructure on Ethereum and Moonbeam.
Cryptal.global is a platform for anybody looking to securely invest in lucrative international markets, ensuring they will get a return on their investment.
Having a plan in place helps to avoid mistakes that can result in large losses.
Yield farming is putting your crypto assets to work to generate returns. Yield farming is one of the most popular uses of decentralized finance or DeFi.
At the moment, it’s hard to see sustainable benefits that would outweigh the enormous cons of introducing retail CBDCs.
TrueUSD is a cryptocurrency stablecoin built on the Ethereum blockchain pegged to 1USD.
Binance USD is a stablecoin pegged to the US dollar. The stablecoin attempts to match each cryptocurrency unit to a traditional currency 1:1.
In HackerNoon’s weekly polls, for 03/13/23 - 03/29/23, we asked the HN community of 4M+ monthly readers what stablecoins they trust. Here's how they voted.
The IMF warns about the risk of cryptoization in emerging markets where residents opt to use crypto assets instead of their local currency.
The USD coin is a stablecoin pegged on the US dollar. A stablecoin is a cryptocurrency that is matched 1:1 on a traditional currency.
TrueUSD has introduced a new stablecoin called TCNH that is 1:1 tied to the Offshore Chinese Yuan (CNH).
With Paypal withdrawn and Visa and Mastercard soon to follow suit, the death knell has sounded for Facebook’s cryptocurrency, Libra. Here’s an analysis of what happened in just 4 months.
Request Finance processed over a quarter of a billion dollars ($263m) in crypto invoices, payroll, expenses, and more.
Red Bull Racing has announced a multi-year worldwide partnership with Bybit as its first-ever Principal Team Partner.
Are we heading to a bank crisis in the US?
Astar Network has broken a world record by publishing a national newspaper advertising with the largest brands in a single ad.
A way to manage crypto’s trademark volatility, what a concept. Stablecoins are one of the most successful ideas that the cryptocurrency industry has produced.
The global crisis is causing an explosive increase in demand for stablecoins. Some even say that it's stablecoins that will drive the mass adoption of crypto, not hypervolatile coins like Bitcoin. It's time to ask the question: which stablecoins will benefit more from the recession – regular ones, such as USDT, or decentralized ones, like DAI and others?
Bluejay Finance has secured $2.9 million in financing from Zee Prime Capital, C2 Ventures, Stake Capital Group, RNR Capital and Moonlanding Ventures.
Scalability is currently one of the largest concerns for the Ethereum network. The network still suffers from slow transactions and high gas costs.
Holding a lion's share of total stablecoin market for years, USDT began to lose ground to its competitors. According to The Block statistics, currently, USDT accounts for 47.99% of total stablecoin supply. As of January 2021, 1st, USDT accounted for as much as 74.17% of the stablecoin market.
DAI/USDC/USDT Free Transfer?
How to maximize upside in the next market cycle - take advantage of these 5 burgeoning trends.
In this work we not only propose a mechanism of a stable coin, but a monetary system of two interconnected coins within a ALEO blockchain.
Binance is a global company that has been under a lot of scrutiny by governments around the world.
Uniswap is a decentralized finance platform that allows users to buy, sell, or trade digital assets such as Ether (ETH), ERC20 tokens, and DAI stable coins.
Stablecoins, with a market capitalization of over $170 billion, comprise a significant portion of the crypto market. Until recently, it was believed that this type of cryptocurrency is completely stable and able to keep our funds safe from market fluctuations. The recent UST collapse has proven that this is far from the truth, at least in terms of algorithmic stablecoins that are not backed by stable liquid assets.
On July 29, 2022, Klein Finance announced mainnet official launch based on KCC ecology.
In this article, we are excited to introduce an in-depth guide on USDT (Tether) where we explain what USDT is, its transaction volume, and more.
Stablecoins have been gaining traction among users ever since their inception. Thanks to steady market growth, its risk-mitigating properties and DeFi and more.
Central banks are pushing for strict regulation of centralized, privately issued global stablecoins. Fiat-anchored crypto-currencies are being scrutinized based on the recommendations of the Financial Stability Board.
CBDC is a digital liability of a central bank that is widely available to the general public, and analogous to a digital form of paper money.
NemsisDAO is bringing a decentralized reserve currency system to Binance Smart Chain. The DAO is supported by a treasury-rebase mechanism
Alternative trickle-up economy blueprint
Review the criteria a project can use to choose a lending platform. Steps that users need to follow to take out a stablecoin loan.
With the DeFi revolution ramping up, the cryptocurrency community has witnessed the rise of stablecoins. Tether has been investigated and fined by the CFTC...
Many people used to see stablecoins as a safe haven for extremely high interest earning, but the Terra Luna crash has made them realize the risks involved.
For the last month, hedge funds have been shorting Tether and betting on a potential collapse of the stablecoin that is pegged to the US dollar.
The Acala Dollar, a multi-collateral stablecoin, has been released by Acala. The stablecoin (aUSD) protocol acts as the Polkadot ecosystem.
The US Senate Committee on banking, housing, and urban affairs conducted a virtual hearing tagged Digitization of Money and Payments. The hearing took place on Tuesday, 30 June, 2020. In attendance were the ranking Senators of the committee and several experts from the cryptospace.
Ardana’s on-chain asset-backed stablecoin is integrating with yield aggregation protocol to provide a DeFi suite to users on Cardano.
Sei Network's Dan Edlebeck unpacks crypto's opportunity to perfect the stablecoin concept, allowing for the consistency and scale the space needs.
What's Stopping Cryptocurrency From Achieving Mainstream Adoption? The COVID-19 pandemic and the lockdown have increased the demand for cryptocurrencies/
An explainer about Stablecoins and how they work. This piece covers the six different types of stablecoins, stablecoin Trilemma, and future of regulation.
Unlike highly volatile popular cryptocurrencies, stablecoins are virtual assets that maintain their value since they are pegged to less volatile assets.
The biggest factor behind major crypto adoption is the tokenization of non-crypto assets. However, these non-blockchain assets bring compliance into the picture
It is easier to understand why something acts as a solution, than understand why it acts as a problem.
Mark Smargon, co-founder of Fuse.io, talks to Ishan Pandey about his personal journey into the blockchain space.
SEC chairman Gary Gensler was sworn in as a Securities and Exchange Commission member on February 3rd, 2021. Many considered him Bitcoin-friendly and great for crypto as a whole.
In my previous article (So Many Public Chains, So Few Dapps), I pointed it out that too many public chains was one of the reasons that there were so few Dapps. App developers really do not want to develop their apps for so many blockchains.
Let's look at GTON Capital and how the platform works.
Cryptocurrency insurance can be instrumental in reducing the losses that come with engaging in the crypto market.
The lid on the fabled "Facebook coin" project has been finally lifted in the middle of June. Libra, a name evoking an ancient unit of weight, scales of justice and a somewhat clever jab at Winklevoss' Gemini, has already been written about extensively.
Unit is a DeFi project that allows its users to create collateralized debt positions (CDPs) and mint the protocol’s native stablecoin. Be your own bank.
In 2021, we've seen the rise of blockchains challenging Ethereum, all-time highs, the NFT craze, new milestones, and a step to mass adoption of cryptocurrencies
Justin Sun spoke at Token2049 and discussed his beliefs about the future of crypto, decentralization, and blockchain.
A stablecoin is a cryptocurrency that functions similarly to other cryptocurrencies but differs in volatility.
Facebook recently announced their new Libra cryptocurrency, a stablecoin set to launch in 2020 which will initially let users transfer money between Facebook’s Messenger and WhatsApp applications. However, the larger goal of Libra is to transform the global economy. In conjunction with other companies and partners that make up the Libra Association, including payments companies, technology companies, marketplaces, and venture capitalist firms, Libra has the potential to do just that. Having been involved in the cryptocurrency industry for the last couple of years there is definitely a reason to doubt how decentralized Libra truly is and if it can even be considered a cryptocurrency. However, one thing is certain, given the proposed makeup of Libra it could ultimately replace all current stablecoins, and quickly.
When we transferred money overseas, we had to top up extra cash. Exorbitant remittance fees, foreign exchange rates, and commissions all meant that we had to transfer more than what our recipient needed, just so we could ensure that the recipient actually received the full amount.
The financial system is broken, and no one is coming to save you. Therefore you must learn to make and protect money on your own.
True value derives from the usefulness of an invention to solve a problem. Similarly, Ethereum derives its value from scarcity and its ability to problem-solve.
Do you remember when stablecoins were still just for hedging risks? In the crypto industry, just about anything can become a source of profit – including stablecoins. But which of the USD-pegged coins should you buy to maximize your earnings?
Interview with the CEO of Rocket Vault, where we discuss use of artificial intelligence in building smart trading systems.
The most essential difference between Libra and Saga is a governance mechanism. In Saga, the owners of the currency and its "fate" so to speak are the SGA holders. Saga has a built-in democracy to prevent the case of plutocracy.
2020 is proving to be the year of stablecoins. From $5.3 billion in January, the overall market capitalization of the stablecoin market skyrocketed beyond $13 billion as investors rushed to protect their capital from the effects of the global economic crisis. But why are some stablecoins growing much faster than the overall market?
How are off-chain stablecoins influencing the crypto market? In this article, you'll have an overview of the top three stablecoins.
How to get a loan secured by your cryptocurrency and make money on it? If you do not know anything about stablecoins with cryptocurrency backing or lending in decentralized finance, read this article.
Humanity has come a long way from a barter-era economy to a modern, remotely functioning finances. Along that road, some developments have been positively received like the introduction of banknotes in China, while others were rejected or remained in the shadow.
While the global economy is being severely impacted by the coronavirus crisis, we. at Sperax, a Silicon Valley-based blockchain company, are aiming to build a trusted infrastructure for a decentralized economy that provides far greater efficiency, flexibility and self-governance than the traditional economic model. The world needs decentralisation more than ever to bring everyone together, to collaborate and to share the value created.
When people hear the word “stablecoin”, they generally think about a digital asset tied to another asset of stable value in order to ensure stability. Further breaking this down, many people will think of projects such as Tether or the soon to be “Libra” to better understand what a project is meant to do and how it operates.
Success
Explores the question of when an asset can be called money, particularly in the context of cryptocurrencies, role of supply/demand on volatility and stablecoins
USDC, the fifth most popular cryptocurrency coin and trusted stablecoin, lost its peg to the US dollar on Saturday, 11th March 2023.
dappOS aims to unite the many chains into a single experience for the Web3 novice to access decentralized applications.
Today there exists a DeFi alternative for almost every traditional finance (TradFi) service, and more are launching every day.
Within just a couple of days, the price of LUNA crashed from above $83 to almost zero, and an algorithmic stablecoin of the ecosystem called UST lost its peg to the US dollar. This event shook the cryptocurrency market and pulled the prices of all cryptocurrencies down. Even USDT which is backed by USD and securities was traded at a rate slightly lower than 1 USD for a while. But while USDT recovered rapidly, UST after a short improvement continued its freefall.
As concerns mount, we revisit and remind ourselves of the raison d’etre of stablecoins. Only then can we understand why they continue to exist…
Vice-chancellor and Germany's finance minister, Olaf Scholz, says ‘No’ to Facebook, ‘Yes!” to digital currency.
Tether is a cryptocurrency that is linked to the US Dollar. Tether tokens are issued by a company known as Tether Ltd.
Shortly after the United States assassinated influential Iranian military leader Major General Qassem Soleimani in Baghdad, the price of bitcoin spiked alongside gold and crude oil. Bitcoin’s price leap was especially significant because gold and crude oil are considered safe havens that tend to attract investment in the wake of economically destabilizing events like the strike against Soleimani in Iraq.
MasterCard and PayPal Backing out of the Promised $10M Investments and more...
The expression decentralized finance - often abbreviated as DeFi - describes to an alternative financial infrastructure built on top of the Ethereum blockchain. DeFi uses smart contracts to create protocols that replicate existing financial services in a more open, interoperable, and transparent way. This article highlights opportunities and potential risks of the DeFi ecosystem. I propose a multi-layered framework to analyze the implicit architecture and the various DeFi building blocks, including token standards, decentralized exchanges, decentralized debt markets, blockchain derivatives, and on-chain asset management protocols. I conclude that DeFi still is a niche market with certain risks but that it also has interesting properties in terms of efficiency, transparency, accessibility, and composability. As such, DeFi may potentially contribute to a more robust and transparent financial infrastructure.
Ivan Starinin and Alexander Salnikov are two alumni of Moscow’s elite Higher School of Economics that went on to forge a prolific entrepreneurial partnership in the blockchain space.
The global financial system is comprised of a framework of legal agreements, institutions, and both formal and informal economic actors that together facilitate international flows of financial capital for purposes of investment and trade financing. Our current global financial systems are based on a series of historical events and innovations that brought us to where we are today. Historical markers such as the first minted coin, the use of paper money, the adoption of the US dollar as the international reserve currency, abandonment of the gold standard, and the ubiquity of mobile payments have all greatly influenced the way we exchange and store value on a micro and macro scale.
What happened when a stablecoin lost its footing and the sequence of events that led Terra and UST to experience a meteoric fall as a consequence of that.
Nash is a stablecoin which is designed to maintain its price stability by using an algorithmic mechanism, without the requirement for central control on supply
In May 2020, Deloitte mapped out 4 potential scenarios for the global travel and hospitality industry to get to the “next normal.” Each scenario evaluated known unknowns such as disease severity, government collaboration, healthcare response, economic consequences, and social cohesion.
This article would like to dig deep into the root clause and discover and uncover the reasons behind the glory of stablecoin, which alarm us all.
The Nakamoto Terminal CBDC Factbook is a compilation of intelligence insights on international efforts to create Central Bank Digital Currencies.
Tether is beginning to become a threat to fiat as a value transfer mechanism. There is significant evidence that USDT is where money laundering is occurring.
The article discusses the issue that regulations are coming to stablecoins and that Tether is to be blamed for it due to non-transparency in operations.
Pop stars are never far from the news, and it can often feel like you’ve seen it all and heard it all when more coverage of glamorous exploits and overly-ambitious business projects emerge. However, US artist Akon may have broken new ground when he announced that he’s set to build a futuristic city in Senegal that runs entirely on cryptocurrencies.
Centralization runs deep in society in the form of corporations, businesses and governments. Not that they’re bad, but blockchain technology can offer a viable structural alternative by creating a more transparent and accountable system. The idea of open-source decentralization is to redistribute power and to create a fair and trustless system across all industries. This technological breakthrough, therefore, brings lots of promise and hope for the future.
The Self Collateralized Stablecoin (SCS) is a highly stable dollar alternative completely independent from the legacy financial system.
How different types of stablecoins differ and how they function, why are they stable and are they even stable at all?
All Cryptocurrencies Are Equal, But Some Cryptocurrencies Are More Equal Than Others!
Stablecoins are a digital representation of fiat currencies on blockchains, developed to mimic the price of fiat currencies using a stabilization mechanism.
Stablecoins are digital currencies developed to minimize the volatility of the price of set stable coin. Stablecoins can be pegged to fiat currency, like the US Dollar, another cryptocurrency, like USDT, or to exchange traded commodities, like precious metals. As such, stablecoins are not intended as an investment vehicle, but rather a safeguard towards the underlying value of the pegged asset (b.g. US Dollar, gold, USDT).
Without hard-backed assets, the value of a stablecoin is purely speculative.
Of course, Libra is not a paper tiger. Otherwise it won’t cause theimmediate concern of global financial regulatory bodies and central banks, as well as the hearings by United States congress. But, this project indeed has inherent risks which make it very vulnerable. There is a good chance that it may get seriously delayed or may be forced to shut down if it cannot deal with these risks appropriately. If, unfortunately, it is forced to stop, then its short period of existence is then really a paper tiger.
(fig. 1 - Patent number 10121126 is readable here)
For a mechanical entity that nobody was aware of just three years ago, blockchain has certainly come a long way. Bitcoin’s rise in popularity turned the blockchain technology that drives it firmly into the limelight, but what does the future hold for this brave new world?
The Money Tree, which should be familiar to researchers of CBDCs, is a good tool for differentiating cryptocurrencies, traditional bank deposits and CBDCs
President Donald Trump & Famous Economist Stephen Moore are “Frax-ing” with Everipedia’s Sam Kazemian
HOLDCommunity is like no other crypto and it's changing lives and wealth as we know it.
Stablecoins have become the most important source of short-term liquidity for central crypto exchanges. And among those Tether. What's the current scenario?
A gold-backed token is a cryptocurrency pegged to the value of gold. Every single token has a value correspondence in real-world gold.
Alyze Sam, Adam Alonzi, Patrick Devereux and Koosha Azim term themselves themselves ‘the Stablecoin Group’ as they collectively try to be the unbiased go-to for Stablecoin knowledge, with the help of their communities. Alyze Sam's book, ‘Stablecoin Economy’ was released May 14, 2020. This article is a section from my book that breaks down the top ten stablecoins. Please enjoy this free chapter and consider supporting my work, as I produce a stablecoin to reward children for altruism. Thank you!
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