How to make money by stablecoin

[sykt62]

We all know that stable coin maintain their price all time.
My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Please express your own opinion about it..
Thanks in advance

[1714909593]

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[1714909593]

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[1714909593]

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[Javi_Anibarro]

The stablecoin makes money by selling their coin on the market and nobody is trading stablecoin directly because the majority of people are using stablecoin as a pair base to make a trade. Stablecoin can be considered as fiat in cryptocurrency, people are trading Bitcoin and altcoins paired with stablecoin to keep the value of their investment.
so people are not getting profit by trading stablecoin directly but instead, they are getting profit by trading Bitcoin and altcoins and then keep the value of their investment into stablecoin.

[sikke]

The stablecoin issuers have obvious incentives.

Essentially, they are getting absolutely free credit. Better yet, they may even charge conversion fees in terms of deposit or withdrawal fees to convert fiat in and out of their coins. Usually, when a bank takes your funds, they have to reward you with interest. With stablecoin, it's essentially an interest free debt instrument for the issuer.

They can take your money and invest it in growth assets or even speculate on bitcoin price itself, even though it is a stablecoin and is supposed to be backed by USD fully. That's why I don't necessarily trust them, you don't know whether they're running a fractional reserve.

[yazher]

Stable coins are just some coins to help you keep the original price of certain coins when its price has moon. Like for example XRP has increased its price suddenly let's say +1000% from yesterday, knowing that it will decrease soon, you will need to convert all of your XRP to some trusted stable coins. then when the price of the XRP fell to -900% by the next day, you already manage to convert it to stable coins which will make the price stable at +1000. remember not all stable coins are guaranteed for its price to be stable, some of them are decreasing too. like minus 1-10% from whatever backup currency it is.

[CryptopreneurBrainboss]

Although stablecoin aren't might for investment opportunity to gain return on investment, you can still profit (to use your exact words, 'make money from them') on rare occasion like when the value of the stablecoin falls below it's stable form ($1). This is a very risky investment decision so you should applied caution as the possibilities of loosing all your funds is very high if the stablecoin doesn't recover.

Some stablecoin (most especially USDT) experience down times when the value of the stablecoin decrease due to fud cause by manipulation or foul practices. You can gamble on the possibilities of it returning to it's stable form (which it usually does) and buy the stablecoins. It have happened on numerous occasions that the price of USDT falls below $1 and returns back to $1 or rises few cents above $1. To profit from stablecoins in this situation, you'll need large capital because it wasn't created as an investment vehicle instead as a store of value to minimize losses in bear market conditions.

[jets567]

My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Stablecoins are mostly used by traders to secure the value of their cryptocurrency which means no one is actually holding it for a long time though there is a way to profit from it easily, if you bought stablecoin when the price is below $1 because the value will eventually push back to $1. Take for example the history of Tether (USDT) based on coinmarketcap, the price changes from $0.91 - $1.08 but the value always come back to $1.

[mu_enrico]

In order to reap profit from a stablecoin, you need to trade. If you are only holding or hoarding USDT (for example), you are not investing but saving. Savings in the form of USDT might not be a good idea since you are not receiving interest, well except you put it in some form of investment providers (casinos, exchanges, etc.).

If you decide to trade, you can profit from it just from trading BTC/USDT pair back and forth. For example:

- Buy 1 BTC at 8,500 USDT
- Sell 1 BTC at 10,000 USDT
- Rebuy 1.11 BTC at 9,000 USDT
- Sell 1.11 BTC at 10,000 USDT

Your profit would be ~11,111 - 8,500 = ~2,611 USDT

[masterrex]

We all know that stable coin maintain their price all time.
My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Please express your own opinion about it..
Thanks in advance

Stablecoin was also fluctuate but its just minimal compare to cryptocurrency that's why you can still trade it with other stablecoin, and have some profit. But mostly stablecoin like USDT tether is use to convert cryptocurrency to maintained its value overtime, other uses was just a base pair like (BTC to USDollar) trading since it was relatively posses the same value as US dollar or (fiat) and there is a profit out of it.

[DaveWave]

We all know that stable coin maintain their price all time.
My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Please express your own opinion about it..
Thanks in advance

Put yourself in a situation where you bought $1,000 worth of USDT. That's 1,000 USDT. Now start using your brain. Does owning and holding 1,000 USDT gives you profit in order to increase your $1,000 worth of investment?

In order to gain profit you obviously need to trade or invest using your 1,000 USDT. It's like asking if you can catch a fish without going fishing. May Oden grant you op with common sense.     

[batang_bitcoin]

I have believed it before that you can earn with stable coins thru waiting for the centavo increase of it. And then sell it if its above $1 but in the long run I've seen that it's not that good. The main way of earning thru stable coins has been explained well by enrico.

[bigcash2011]

With increasing competition in the stablecoins and many new coming up almost every month there will be new methods to make money with them as well as i ws reading that a new stablecoin is offering staking or holding reward to investors if they purchase their coin and hold it longterm. In future i think more and more marketing and incentivizing campaigns can be launched by stablecoins to attract users to use them.

[sykt62]

We all know that stable coin maintain their price all time.
My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Please express your own opinion about it..
Thanks in advance

Put yourself in a situation where you bought $1,000 worth of USDT. That's 1,000 USDT. Now start using your brain. Does owning and holding 1,000 USDT gives you profit in order to increase your $1,000 worth of investment?

In order to gain profit you obviously need to trade or invest using your 1,000 USDT. It's like asking if you can catch a fish without going fishing. May Oden grant you op with common sense.     

Sometimes cryto become big mess.see, sometimes dai become 0.95 and same day they also become 1$
In trade there are any way that make profit in there 0.05 ..??

[Tipstar]

And most of the stablecoins are issued for ease of use in specific platforms, exchanges issues stablecoins to make it's users be able to trade with lower fees to fiat equivalent coins. They would also increase the number of user base and would increase the volume of the exchange. The success of the coin would also be a good advertisement for the exchange.

[Latines]

And what kind of stable coin? And then you write everything abstractly. And I don’t understand what a coin always costs at the same price. I thought there wasn’t such a thing in the crypto world.

[Nadziratel]

We all know that stable coin maintain their price all time.
My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Please express your own opinion about it..
Thanks in advance

You can make money with stable coins only 2 way.

1) If you live in a country other than the US and the USD is increasing against your country's currency. ( I think all reliable stablecoins are based on USD)
2) Trading with stablecoins quickly and easily. ( With FIAT, you should also pay attention to the drawbacks of depositing and withdrawing funds into your bank accounts.)

[biddicoin]

We all know that stable coin maintain their price all time.
My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Please express your own opinion about it..
Thanks in advance

Stable coin isnt a coin to make more money by buying it, stable coin just for save your money "value"
it is very usefull when bearish market happens, so you can convert to stable coin instead of others crypto to save money value

You can make money with stable coins only 2 way.

1) If you live in a country other than the US and the USD is increasing against your country's currency. ( I think all reliable stablecoins are based on USD)
2) Trading with stablecoins quickly and easily. ( With FIAT, you should also pay attention to the drawbacks of depositing and withdrawing funds into your bank accounts.)

This way treats stable coin like FIAT, making profit by trading forex
if you wanna trading forex, youre better do it in broker not stable coin

[DabsPoorVersion]

We all know that stable coin maintain their price all time.
My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Please express your own opinion about it..
Thanks in advance

Put yourself in a situation where you bought $1,000 worth of USDT. That's 1,000 USDT. Now start using your brain. Does owning and holding 1,000 USDT gives you profit in order to increase your $1,000 worth of investment?

In order to gain profit you obviously need to trade or invest using your 1,000 USDT. It's like asking if you can catch a fish without going fishing. May Oden grant you op with common sense.    

Sometimes cryto become big mess.see, sometimes dai become 0.95 and same day they also become 1$
In trade there are any way that make profit in there 0.05 ..??

You mean like this?

Do you think that it's a good profit for an investor? You need a thousand dollars to earn 10$ out of your investment. It rarely happens so I don't think that you can make a good profit with that.

[LuckyBtc]

We all know that stable coin maintain their price all time.
My question is if they maintain their price 1$ all timr.
How they make money..
And how users or investors make profit by stablecoin.

Please express your own opinion about it..
Thanks in advance

Tether,USDC etc.. make money off interest from their reserves, If they'd earn just 1% that's a lot when the amount of money is in billions, They also charge fees for withdrawing to bank account.
Users only benefit from fast availability of USD for trading, But there are alternatives like DAI which give interest to users.

[TRONTON]

You mean like this?

Do you think that it's a good profit for an investor? You need a thousand dollars to earn 10$ out of your investment. It rarely happens so I don't think that you can make a good profit with that.

just hoping from the actual usd conditions, there is no room for small capital except to trade it as a crypto pair, the main function of Stablecoin as a way to keep prices from the rapid movement of crypto prices. Some others also offer guaranteed asset ownership if there is a problem, because dev's focus as a third party, there are no other options such as staking, because it really fulfills a stable element.

[andriarto]

Stable coins are very useful when the market is bearish, by storing them on stable coins, then we can wait for an area to buy coins that we think are prospective for the future. when entering the area of ​​purchase that we want, then we can buy with the same capital and get more coins