Is the market saturated with too many stablecoins?

[Twinkledoe]

in my opinion stable coins are useful to be able to maintain a certain balance on the various markets apparently all the big exchanges have their own but in my opinion it's okay this way

This is about how good the competition between all of the stable coins that are exist in the market. As long as these stable coins are fully audited and there was no problem with it and it can be considered as a new money for crypto too.

But the truth about these stablecoins is that not all of them are disclosing the real truth of their assets. Do they really have those assets at any given period of time? Maybe, stablecoins are good for short term purposes but long term? I don't think so. Once the management backing this stablecoin collapses, you have no way of recovering your assets.

[bgaf]

This is about how good the competition between all of the stable coins that are exist in the market. As long as these stable coins are fully audited and there was no problem with it and it can be considered as a new money for crypto too.

Audited? How about tether that failed to transparently show how they minted their tokens? As far as their reponse go, its not really that acceptable. Im sure their project is really good as tradera love trading pair with usdt but we can always choose safer and more reliable stablecoin like Dai, I dont mind market having too many stablecoins actually it helps as optiom for other investors.

[Reid]

IMO, it's not fine anymore.
Too much competition is not good for the market anymore.
Transparency, privacy, centralization, or whatever reason it may be. It doesn't matter. It should have not come to this.
What I am seeing is just reasons for pure profit.
They saw other stable coins making money out of their project and so they follow.

[Ozero]

Doubts sometimes arise in relation to private and commercial stable coins. Soon there will be even more stable coins, since now about 80 percent of all states are developing their own national stable coins, that is, the digitized currencies of their central banks. They, in my opinion, will have less risk for users and will be in greater demand in comparison with private stable coins.

[taynguyen_cry]

Stablecoins are cryptocurrencies designed to maintain a stable value against an asset or fiat currency. Most stablecoins on the market use the US Dollar as their reference point, and are supposed to be valued as close as possible to $1 at all times. Although their price can theoretically be linked to anything, in practice they are most often pegged to major fiat currencies.

[suryana]

But the truth about these stablecoins is that not all of them are disclosing the real truth of their assets. Do they really have those assets at any given period of time? Maybe, stablecoins are good for short term purposes but long term? I don't think so. Once the management backing this stablecoin collapses, you have no way of recovering your assets.

Most people actually invest with stable coins for their long-term investments, they hope the value their assets will be maintained without price fluctuations like other Crypto prices. I think, with a lot of stable coins appearing on the market it will be fine for Crypto world.

[JeffBrad12]

This is about how good the competition between all of the stable coins that are exist in the market. As long as these stable coins are fully audited and there was no problem with it and it can be considered as a new money for crypto too.

Audited? How about tether that failed to transparently show how they minted their tokens? As far as their reponse go, its not really that acceptable. Im sure their project is really good as tradera love trading pair with usdt but we can always choose safer and more reliable stablecoin like Dai, I dont mind market having too many stablecoins actually it helps as optiom for other investors.

Well that come to show that they're somewhat shady with that but having the market flooded with many stablecoins somewhat give a sense of competition thus giving us benefits of having an even better stablecoin than what we have currently. I don't mind at all that even if there's 10000 stablecoins being created in the future, after all the choice is ours and there's no one to force us to use them.

[jossiel]

There is no need for more stable coins. We've got plenty of them trying to get as much as volume that they want. The Gemini dollar, the USDC of Coinbase and soon we'll see more of the CBDC type of cryptocurrency which goes down to this category.

There are other stablecoins like fiat cryptocurrency used in other exchanges its not that it is not needed but it is prefer of course by other trader that convenient for them to use it.

Fiat cryptocurrency?

Other than the stable coins that have the value of most fiat currencies, what's that fiat cryptocurrency?

[GreenStox]

because tether (usdt) is the first stable coin so it will be difficult to get others to use other stable coins that are safer or clearer ownership, from the beginning of the year until now maybe the tether is the largest daily volume of coins, and even beat BTC, and I'm also curious if indeed the tether mentioned can disappear or a scam suddenly occurs, what impact will be caused on the market.

[Kotone]

Most people actually invest with stable coins for their long-term investments, they hope the value their assets will be maintained without price fluctuations like other Crypto prices. I think, with a lot of stable coins appearing on the market it will be fine for Crypto world.

Seriously stablecoins for long term? In my opinion, these stablecoins are used in order to save from inflation of major coins. I dont think many investors are investing with it, unless like other stablecoins offering a lending services that pays them with profitable interest aside from that, I dont see they can earn huge profits even they hold huge quantity of these stablecoins.

[Dart18]

It is.
I don't think there is a necessity for too much stable coins to be created.
Why not just 1 or a couple of it also for other field of industry if they really dislike altcoins and bitcoin.

Whales are the only ones which are really making a good use out of it.
Big profits from trading using stable coins as a safe haven.

[LbtalkL]

To be honest I am really suspicious of these stablecoins especially USDT which I keep seeing they have minted a huge amount of dollars several this year and in previous years. I have a question on my mind do they really have that amount of dollars deposited somewhere on a bank? There is no proof to support that. It is an easy money I guess no doubt big companies like binance, coinbase, etc. are creating their own stablecoins.

[Ceyflix-Rez]

I've noticed an increase of stablecoins on the market over the past few years. There are now many different types of stablecoins for USD, EUR, and other top Fiat currencies in the mainstream world. Some of them are legit, while others are just pure hype (scam). To my surprise, Tether (USDT) is the top stablecoin in market cap. For a company which often lacks transparency of its USD holdings, I think that Tether is just an over-hyped coin that will see its bubble burst real soon.

As far as other stablecoins go, I believe that people will only choose those that are on the top ranks in market cap. I wonder if so many stablecoins are actually needed or necessary for the blockchain industry to thrive? Do you think that the market is really saturated with too many stablecoins? Or is it still fine?

What are your thoughts?

I don't see any danger having too many stablecoins in crypto space, some will be good and some will be bad and I'm pretty sure that people like going for the best stablecoin in terms of marketcap which is why USDT still have upper hand till date, you just have to choose, you don't care about centralized then USDT is the best, if you want something more secured? Then find decentralized stable coins

[omnik]

To be honest I am really suspicious of these stablecoins especially USDT which I keep seeing they have minted a huge amount of dollars several this year and in previous years. I have a question on my mind do they really have that amount of dollars deposited somewhere on a bank? There is no proof to support that. It is an easy money I guess no doubt big companies like binance, coinbase, etc. are creating their own stablecoins.

usually a reliable stablecoin will usually have their asset published transparently they also might have been inspected by the authority but to further prove its actually more complicated than that and its true that these stablecoin is easy money, if it's not then why there's so many stablecoin keep appearing each day.

[imstillthebest]

To be honest I am really suspicious of these stablecoins especially USDT which I keep seeing they have minted a huge amount of dollars several this year and in previous years. I have a question on my mind do they really have that amount of dollars deposited somewhere on a bank? There is no proof to support that. It is an easy money I guess no doubt big companies like binance, coinbase, etc. are creating their own stablecoins.

usually a reliable stablecoin will usually have their asset published transparently they also might have been inspected by the authority but to further prove its actually more complicated than that and its true that these stablecoin is easy money, if it's not then why there's so many stablecoin keep appearing each day.

inspected by authorities really ? i didnt know that its possible here on this space but i though all here are online and not being monitored by some authorities  but there are so called detectives that tracks down fraudster . its normal that theyl be transparent and show thier supply or other info because how will the people know or invest  if they wont show thier details . in the crypto world anyone can create a coin and yes its easy money if investors invest on it or if your good at promoting/scamming  .

[drumamat]

I think we have to look at what's the real purpose of stable coins in the market? Will it bring that "stability" or will it make us confused more with their usage, specially noobs in the market. And we all know that the number 1 stable coin today has a lot of accusations of manipulations in the past. Obviously, Tether and Bitfinex has denied and said. that this is baseless. But if this stable coins allegedly is playing the market around then we might need some alternatives.

In my opinion, there are already a lot of alternatives.  Stable coins are exactly the assets that have saved the deposits of many traders. I speak from experience))

[torrantz]

I think we have to look at what's the real purpose of stable coins in the market? Will it bring that "stability" or will it make us confused more with their usage, specially noobs in the market. And we all know that the number 1 stable coin today has a lot of accusations of manipulations in the past. Obviously, Tether and Bitfinex has denied and said. that this is baseless. But if this stable coins allegedly is playing the market around then we might need some alternatives.

In my opinion, there are already a lot of alternatives.  Stable coins are exactly the assets that have saved the deposits of many traders. I speak from experience))

Definitely the main function of these stablecoins. Otherwise, these thing won't be a thing, these stablecoins couldn't even hold a candle against other cryptocurrencies in acceptance among online ecommerce for payment method. If a stablecoin couldn't save the money of people from fluctuation then it's as good as a ripoff coin.

[Refrumatrix]

Even if the number stable coins reach 1000 it won't hurt crypto at all, the use case of stable coins is to backed your assets at 1:1 USD price which is very useful for traders, you just have to decide which one you've prefer between centralized USD coins or decentralized USD coins

[trauchot]

I agree that in recent months a lot of cryptocurrency companies have created stablecoins for various reasons, and it is not clear whether this is good or bad, but we will continue to monitor the cryptocurrency market and later it will be more visible what this will lead to.

[jrrsparkles]

Even if the number stable coins reach 1000 it won't hurt crypto at all, the use case of stable coins is to backed your assets at 1:1 USD price which is very useful for traders, you just have to decide which one you've prefer between centralized USD coins or decentralized USD coins

But how can we actually trust every stable coin which is backed by USDs even the project tether is printing more money and injecting them into the crypto market which will surely affect the prices of altcoins because USD value is getting diluted here in the form of stable coin.