With this possibly upcoming crisis in mind...

[Kyraishi]

With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
Or maybe, I have a misconception of the reasons for their existence and nobody is actually hoarding st.coins?

I've only ever used stablecoins that have been tied to the USD dollar for trading bitcoin when the market is changing a lot, for example I was able to use it to preserve my assets when BTC dropped from 20,000

I don't think there's a lot of other uses of it, it was way easier for me to move my funds to USDT instead of moving it to actual fiat currencies.

I don't believe in them at all, they are way too centralised in a market that should be decentralized.

[danherbias07]

If that stable is backed in any fiat currency, like in USDT(Tether) is backed by US Dollar (as they said), then it is almost the same with fiat US DOLLAR.
Since most of the stable coins is pegged with US DOLLAR, then for sure if the fiat currency will lost some value, then their digital stable coin here in cryptocurrency will also lost in value.

Truth here.
Why would you waste effort converting it to USDT if it just the same as having USD?
For what purpose? USD goes down and so does USDT. It is just the same converted into an internet money.
I would rather use it for trading against bitcoin or altcoins rather than keeping it.
It is not worth the HODL for me. I would stick with bitcoin instead having a larger chance to grow if they use it as an escape pod to protect their money.

[taufik123]

Investing in a stable coin which is standardized in FIAT in my opinion will be very safe for now, because the price will follow the FIAT currency like USDT which follows the USD price. Stable coins are intended to bridge the cryptocurrency with FIAT and prices must be stable. For the current crypto market crisis the choice of investing in stable coins is not bad, compared to investing in crypto coins whose prices cannot be predicted and prices are very volatile.

[alexsandria]

With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
Or maybe, I have a misconception of the reasons for their existence and nobody is actually hoarding st.coins?

It is not a good investment for traders 'cause it has low profit than decentralized cryptocurrencies. Although it has a low probability of sinking unlike crypto. Well it is good for payment but for long term investment it is not. Since decentralized cryptocurrencies are bound to burst it is much better to invest on crypto for something sky-rocketted profit. In the end cryptocurrencies doesn't represents any true value.

[michellee]

I don't think I want to invest in stable coins at this time because I see the market is not in the downtrend. The market still trying to survive, and from that, I want to try to make a profit from many coins. If we invest in stable coins, we cannot make a bigger profit as the moving of stable coins is not too fast as the other coins.

Invest in stable coins is work if the market in a downtrend so we can save the amount of money while we are waiting the price reaches the bottom price.

[GreatArkansas]

If that stable coin is backed in any fiat currency, like in USDT(Tether) is backed by US Dollar (as they said), then it is almost the same with fiat US DOLLAR.
Since most of the stable coins is pegged with US DOLLAR, then for sure if the fiat currency will lost some value, then their digital stable coin here in cryptocurrency will also lost in value.

Truth here.
Why would you waste effort converting it to USDT if it just the same as having USD?
For what purpose? USD goes down and so does USDT. It is just the same converted into an internet money.
(...)

Because we want it to be running under the technology of blockchain, like we have public ledger, it's transparent. Compare to pure United State Dollars(USD) or euros, you can't see some public ledger for them.
That's why some stable coins said that they are totally backed with those national currency. And also it's much secure since it uses blockchain technology.
That's what I can see the reason why stable coin is here.

[tenakha]

With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
Or maybe, I have a misconception of the reasons for their existence and nobody is actually hoarding st.coins?

While there are hundreds of other coins to invest in the market, why invest in stable coins? The cash you have in your pocket is more reliable than them. They are backed up with the money you invest in them. It seems that they have systems to protect it for now, but that is not collateral to the next days. I think it is best to stay away from stablecoins.

[Ucy]

With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?
Or maybe, I have a misconception of the reasons for their existence and nobody is actually hoarding st.coins?

Well, if fiat currencies sink, most/all stablecoins will definitely sink with them unless they are not really pegged to fiat or are scams.
I guess we need some creative minds to create some sort of stablecoins that are pegged to other things that wouldn't be too affected by such crisis. I have different things in mind for this but haven't really researched into them, to understand how they react during global crisis.

I think cryptosphere should have different options and not just stablecoins that are pegged to fiat currencies

[Aabcde]

I am also still confused about the use of Stablecoin itself. Because if you want to keep your assets safe from falling prices, it's better to keep FIAT. Why must be converted to Stablecoin?
If the reason is for faster delivery to someone on the other side of the earth, I think XLM can do that better than having to save stalbecoin.

[Bim abk]

I am also still confused about the use of Stablecoin itself. Because if you want to keep your assets safe from falling prices, it's better to keep FIAT. Why must be converted to Stablecoin?
If the reason is for faster delivery to someone on the other side of the earth, I think XLM can do that better than having to save stalbecoin.

but stablecoin in my opinion is useful to help investors to conduct inter-market transactions. if you use XLM to be used as a method when cross-market transactions I think it should be more thorough because the prices between markets vary even though only in small volumes and I think it will cost more.

But for the problem of usage it depends on the user if you use XLM then that is your choice and so is the other coins. because they certainly have different goals in each of these coin developers

[dothebeats]

I don’t think so, because stablecoins won’t give you some guarantee about your money and any time they can lose value once those who issued them lost valuation or just disappeared in the void. It can work for only a couple of years or until the one who issued the coins exist, and if that’s the case it’s better to diversify in case the stablecoin provider gets lost in the void.

[ardentvolcanoes]

Today i was reading somewhere that G20 has been considering comprehensive policy about stable coins, if they do legalize and regularize them soon i think sooner or later crypto is coming to the mainstream as well because stablecoins are also crypto form of fiat/money so next step will definitely be crypto adoption.

It's this the Calibra thing? not sure but I've heard from the news that there's a lots of government institutions who are considering this stable coin to co-exist with fiat system. If this will finalize and make the impressions it will bring more exposures with crypto market.

Things might be different once this stable coin will be accepted worldwide.

[slaman29]

Stable Coins is for assurance of price like this will stay only so this is like fiat only so that's all then if this turn bad like scam or hack

Then you need to decide on that because anytime it can really happen like that the crisis still i think base your using and investing in the team behind of the stable coins like they are trusted then popular already so this will not turn like that

I don't really get stablecoins, or rather, can't explain why people would want to keep their cash in stablecoins.

UNLESS you are at an exchange constantly looking to buy and sell crypto, and keep value in the exchange, sure.

But to actually say you want to store value in stablecoins instead of fiat? I don't get it. If you still want to trust fiat, keep it in usd/euro and keep it in a bank so at least it's insured. But stablecoins? Trusting some unknown company?

[Beparanf]

Stablecoins is good for the hodlers and huge investors since it will protect their money from volatility, USDT is stable yet still risky. If you can’t find Bitcoin as an stable coin then it will be hard to look for other cryptocurrency to hold for. If there’s a new stable coin that can assure you profit, then choose that coin.

Holding stable coins does not guarantee profit but it guarantees a less risky investment since it's not volatile that also means no probable profit. It's good only if we want to take a break for trading bitcoin but still want it to be still in exchange for less transactions fees. The only risk it can be is when the one operating it plans to pulled it out in exchanges.

[Obito]

With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?

If you are for long term investment with low profit then it is safe to say for you to invest in stable coins but if you are for either short term investments or long term investments with better and higher profit but with a greater risk then go invest to crypto. It may be the safest thing to invest in stable coins because there is an assurance of return in the end but it has low profits than crypto. On the other hand, chances of sinking like a stone on the market is not that high more likely closest to being impossible.

[bangdol]

Stablecoins is good for the hodlers and huge investors since it will protect their money from volatility, USDT is stable yet still risky. If you can’t find Bitcoin as an stable coin then it will be hard to look for other cryptocurrency to hold for. If there’s a new stable coin that can assure you profit, then choose that coin.

Holding stable coins does not guarantee profit but it guarantees a less risky investment since it's not volatile that also means no probable profit. It's good only if we want to take a break for trading bitcoin but still want it to be still in exchange for less transactions fees. The only risk it can be is when the one operating it plans to pulled it out in exchanges.

it is one of the best ways that I now do after trading crypto daily. but now I wonder if that is the reason that the altcoin market is also not experiencing growth? because traders save their money on stable assets. different from the past, where the best bitcoin and altcoin is the best way to store our assets.

[Ridwan Fauzi]

First of all, I just thinking if stable coins are not investment place. They were created just for to send money with an easy way or to make an easy way for those traders to keep their money when comes a crash in cryptocurrency prices. It will be useless, if there are some poeple who have intention to save their money when the crisis economic comes because its value will also fall.

Therefore, if you have an intention to save your money when the crisis economic comes it will be good if you use bitcoin only. Bitcoin price will not go down who affected by crisis economic, even there are some people who has said that bitcoin can be included as safe heaven and can be aligned as gold because its characteristic is same IMO.

[disconnectme]

Stable coin are stable and you have nothing to worry about, all you need is to trust the tokens and be sure that they are indeed backed by the by actual Fiat money. I think the only project likely to have issue is the Stablecoin backed by Algorithms since then are still not that tested

[alan2here]

With this possibly upcoming crisis in mind, what you guys think about investing in stable coins standardised with fiats?
Is is even a thing, that they will sink like a stone, just like fiats will? Are there any mechanisms that can protect such stablecoins?

If you are for long term investment with low profit then it is safe to say for you to invest in stable coins but if you are for either short term investments or long term investments with better and higher profit but with a greater risk then go invest to crypto. It may be the safest thing to invest in stable coins because there is an assurance of return in the end but it has low profits than crypto. On the other hand, chances of sinking like a stone on the market is not that high more likely closest to being impossible.

If you have participated in this market, very few people choose to invest in stable coins because these coins often do not bring much profit to investors and if hold , it will not help you. In my opinion, choose coins that have a tendency to increase during this period because those coins are very potential and you absolutely can make very high profits if you are lucky.

Everyone will have different thoughts but when you decide to invest, you will have to accept all risks in this market.

[nutriagrigia]

Stable coin are stable and you have nothing to worry about, all you need is to trust the tokens and be sure that they are indeed backed by the by actual Fiat money. I think the only project likely to have issue is the Stablecoin backed by Algorithms since then are still not that tested

to check whether the coin is really supported by real money is impossible. you cannot request data from the project that there is some amount of money in their bank accounts.