The fact is that no one asks and will not ask for our opinion when issuing stablecoins. Any kind of money has the right to circulate. Stablecoins will generally always be centralized as they are backed by centralized state currencies.
In the next few years, on the contrary, digitized stable currencies of states will be massively issued and it is quite possible that they will to some extent displace all other types of means of payment. In any case, governments are counting on it.
That's certainly true, mate. Decentralized or centralized stablecoins wouldn't make much difference if they're backed by government-issued currencies. Crypto is all about being an alternative to the current monetary system by providing people a new kind of money that's backed by algorithms instead of a central authority. Believe me, stablecoins are nothing more than a glorified version of Fiat. They're essentially experimental versions of CBDCs (Central Bank Digital Currencies). While decentralized stablecoins are backed by crypto assets and algorithms (instead of real world currencies), they're essentially governed by the issuer (like it's the case with DAI). We might as well forget about decentralizing stablecoins, as they rely on centralized currencies. Stablecoins are certainly useful for traders, but extremely risky for long-term investors.
Nonetheless, time will tell us the fate of the stablecoin industry as governments devise new regulations that would either stifle or stimulate its growth. With most governments' skepticism towards crypto/Blockchain tech, one would guess they won't be friendly towards stablecoins. The situation is worse when stablecoins mimic Fiat in every way. Governments wouldn't want stablecoins to replace Fiat in its entirety, leading them to crack down on stablecoin issuers themselves. At least, traditional cryptocurrencies will be able to stand the test of time as they're independent (sort of) from the current monetary system. Just my opinion
