Im big fan of stable coins and this is what I think

[fullhdpixel]

I don't think that stablecoins are good for investment, because stablecoins are equal to fiat and so are their value will same, so there will be no ROI because the value goes up but like what OP said the ROI is when lend the stablecoin and get interest from borrower.

Stable coins are only good until legal restrictions are not applied on them because a cryptocurrency that is being regulated is more like digital fiat and because it is stable coin it serves no purpose really.

I agree that stable coins are not the best option for investment but they are good for people who want to stake coins and earn money, lending is different and staking is different because with lending you have a chance that you might lose your coins but staking happens smooth and without any risk unless the exchange or service where you stake the coins scams.

[Dragonfund]

I don't think that stablecoins are good for investment, because stablecoins are equal to fiat and so are their value will same, so there will be no ROI because the value goes up but like what OP said the ROI is when lend the stablecoin and get interest from borrower.

I know right, considering the amount of ROI banks give to users is so small compare to what OP is said, but borrowing and lending with a 7% APR will not be a good profit especially when one is holding a little amount for almost a year. Imagine holding $100 stablecoins for a year to gain $7, that's ridiculous 
Except if OP is having thousands to invest in stable coins
Why not invest that little amount into a good altcoins and have good returns in short or mid term.

[Darker45]

~snip~

Exactly.  Stablecoins are private or corporate wealth, whereas CBDCs (if they happen) will be national wealth.  The two will compete with each other for market share (but it's a different market share to that of Bitcoin and other non-backed crypto, because those serve an altogether different purpose), so holding corporate stablecoins could potentially cause you to lose money if CBDCs achieve dominance in that market.  And if any given nation does launch a CBDC, they have the notable advantage of being able to legislate against stablecoins, so it probably wouldn't be a fair fight.

By the time CBDCs are out, stable coins would have to contend very hardly for that tiniest of spot under the sun. They would surely and most probably very quickly lose relevance. I assume CBDCs of leading countries and regions such as the US, UK, EU, and so on would be truly global which means they could easily and smoothly cross borders just like stable coins. Furthermore, they would easily be embraced and supported by all kinds of infrastructures which accept stable coins as they are owned and issued by governments themselves.

Every stable coin user would be posed with a question, why use a privately-owned, shady, questionable, and fiat-backed stable coin when you can opt for non-backed and fully legal and compliant fiat coin itself?

Which brings me back to my point, OP, that hodling stablecoins is utterly pointless!

[bayu7adi]

I know right, considering the amount of ROI banks give to users is so small compare to what OP is said, but borrowing and lending with a 7% APR will not be a good profit especially when one is holding a little amount for almost a year. Imagine holding $100 stablecoins for a year to gain $7, that's ridiculous 
Except if OP is having thousands to invest in stable coins
Why not invest that little amount into a good altcoins and have good returns in short or mid term.

The two methods that you describe have different risks and also only investors with certain characters will be interested in this investment method method. One's playing style in investing is different

Lending is perfect for fertile investors who have untouched money who can still live to buy burgers and drinks even though the money is burned. Let's just say someone has $ 1 million, he can use 500k for lending and the rest for trading Altcoin, besides he can survive, he can also enjoy the risk

[asriloni]

It will be the same case that's happening in china when the government was distributing its CBDC to the some of its citizens. You still need a platform to did it. Do you mean about you can lend your money without received the collateral as guarantee for your money? that's crazy lol
This time you can be a banker too through use the lending service to get the annual interest from your stable coin. If that will be working like what you have said and stable coin will be useless.
There should always be requirements for the party to be able to borrow the stable coin from a platform or bank.

[sapnu]

I'm not really a big fan of stable coins because if you invest in that kind of coin the movement of you money is constant since the price of the token you have chosen is not rising at all. While investing on some altcoin, you can really make your own money grow by buying some token on a low price and selling it on a high price. Just make some portfolio that is solid to follow, that will be your guide to trade. In terms of china's stable coin, I dont think it can best bitcoin's dominance. I've been seeing some topics like that.

[BuNga_cute]

I believe many countries will make their own stablecoins, just like China created the digital yuan. Because in the future financial
transactions will be completely cashless, so everyone will switch to using digital currencies. It's no wonder Facebook is trying so
hard to launch Libra / Diem, because Facebook sees that the future is bright for stablecoins. But investing in stablecoins such as
USDT or USDC is not profitable, because the price is stable like fiat so it is difficult to get profit if we are holding stablecoins.

[AIF]

So the government will collect and mint stable coins like USDT USDC amd Other currencies like eur and gbp use it ethereum platform.

Next they will lend out the stable coins
And if we Buy Now or hold stable coins we will make good roi as we could lend out our stable coins too

I see this is coming ill hodle hard USDC.

So anyone could be the banker and lend others the stable coins who dont have them as world will go full in stable currencies

I have already seen such a bank project

https://bitcointalk.org/index.php?topic=5264440.msg55567675#msg55567675

[Argoo]

I guess governments may indeed shift to the use of CBDCs, so that's roughly the equivalent of stable coins. They'd be unlike the existing stable coins because they're not backed by fiat currencies; they're the fiat currencies themselves.

However, if this happens it is impossible that governments will issue their digital coins on a platform they do not own themselves. I don't think governments will make use as their official currencies coins which are built on Ethereum and other private or, if there are any, decentralized and independent blockchains.   

So I still don't know how you would possibly earn from hodling stable coins.

Governments certainly do not need private and commercial stablecoins, so they will not use them in their activities. They will issue their own digitized central bank currencies and in some cases will use the same digitized currencies of other countries. Using existing non-government stablecoins increases their risk, so they will not risk it.

[cryptoboss2020]

I guess governments may indeed shift to the use of CBDCs, so that's roughly the equivalent of stable coins. They'd be unlike the existing stable coins because they're not backed by fiat currencies; they're the fiat currencies themselves.

However, if this happens it is impossible that governments will issue their digital coins on a platform they do not own themselves. I don't think governments will make use as their official currencies coins which are built on Ethereum and other private or, if there are any, decentralized and independent blockchains.   

So I still don't know how you would possibly earn from hodling stable coins.

Governments certainly do not need private and commercial stablecoins, so they will not use them in their activities. They will issue their own digitized central bank currencies and in some cases will use the same digitized currencies of other countries. Using existing non-government stablecoins increases their risk, so they will not risk it.

They can put regulations on USDT

[AIF]

I guess governments may indeed shift to the use of CBDCs, so that's roughly the equivalent of stable coins. They'd be unlike the existing stable coins because they're not backed by fiat currencies; they're the fiat currencies themselves.

However, if this happens it is impossible that governments will issue their digital coins on a platform they do not own themselves. I don't think governments will make use as their official currencies coins which are built on Ethereum and other private or, if there are any, decentralized and independent blockchains.   

So I still don't know how you would possibly earn from hodling stable coins.

Governments certainly do not need private and commercial stablecoins, so they will not use them in their activities. They will issue their own digitized central bank currencies and in some cases will use the same digitized currencies of other countries. Using existing non-government stablecoins increases their risk, so they will not risk it.

They can put regulations on USDT

I wonder how they can do it

[so98nn]

It’s not that attractive scheme though. If you love stable coin so much and think about it as investment opportunity for example, lending, give aways, easy to transact etc then why not choose Fiat itself? It makes no such sense except the fact they are in crypto space. Personally I never liked the idea of stable coin to make income out of it. One way or other it’s just safe house for you when other crypto currency’s are falling apart during apocalyptic events. Lolz

But, won’t comment on other who states that it’s way of passive income. It’s good in theory but in practical approach it’s waste of time. 

[AIF]

It’s not that attractive scheme though. If you love stable coin so much and think about it as investment opportunity for example, lending, give aways, easy to transact etc then why not choose Fiat itself? It makes no such sense except the fact they are in crypto space. Personally I never liked the idea of stable coin to make income out of it. One way or other it’s just safe house for you when other crypto currency’s are falling apart during apocalyptic events. Lolz

But, won’t comment on other who states that it’s way of passive income. It’s good in theory but in practical approach it’s waste of time. 

The only difference from Fiat is the possibility of cross-border transfers bypassing banks

[JollyGood]

There has been a lot negative press with USDT because of the secrecy surrounding their claim to exactly have $1 value in swap with Tether. I think stable coins have a lot going for them if managed correctly. USDC seems to be limiting itself by concentrating on core customers of Coinbase and associated/involved companies but they seem to have little or no negative press whereas Tether really has had bad press.

Stable coins are without doubt a handy innovation but there fear of them not truly holding their stable price in USD$ is what pushes investors away as much as it pulls them towards it.

So the government will collect and mint stable coins like USDT USDC amd Other currencies like eur and gbp use it ethereum platform.

Next they will lend out the stable coins
And if we Buy Now or hold stable coins we will make good roi as we could lend out our stable coins too

I see this is coming ill hodle hard USDC.
So anyone could be the banker and lend others the stable coins who dont have them as world will go full in stable currencies

[CarnagexD]

Stablecoins are not as profitable as you're trying to make it out to be. They are definitely good store of value coins and a great start to educate people on how to use cryptocurrencies but that's about where their usability ends honestly. And in your post you mentioned government being involved in thsi scheme which is always a recipe for disaster if ever I saw one.

It’s not that attractive scheme though. If you love stable coin so much and think about it as investment opportunity for example, lending, give aways, easy to transact etc then why not choose Fiat itself? It makes no such sense except the fact they are in crypto space. Personally I never liked the idea of stable coin to make income out of it. One way or other it’s just safe house for you when other crypto currency’s are falling apart during apocalyptic events. Lolz

But, won’t comment on other who states that it’s way of passive income. It’s good in theory but in practical approach it’s waste of time.  

Exactly. It's good as a form of passive income because there is literally no risk involved in stablecoins, but the low rewards counteract this.

[GideonGono]

Same thing could be said in Decentralized coin like BTC if we hold it for a long time we could also get a good ROI,
Actually we could say the same thing to some crypto since they had shown us that they have grown over the past years.
But we must choose what we think would be most profitable for us and suited to our trading skills.

[kotajikikox]

So the government will collect and mint stable coins like USDT USDC amd Other currencies like eur and gbp use it ethereum platform.

if does then why does the USDT capitalization remains as lowest as 3rd position ? if government are accumulating this then this must have break ETH cap?

Next they will lend out the stable coins
And if we Buy Now or hold stable coins we will make good roi as we could lend out our stable coins too

Lol instead of USDT or stable coin they should have lend BTC instead because of the volatility that may favor them for long term.

I see this is coming ill hodle hard USDC.
So anyone could be the banker and lend others the stable coins who dont have them as world will go full in stable currencies

Sure?you HODL USDC? common , How much ?1000 USDC?

[Novatech8]

Stable coins aren't really like fiat, they just work like fiat in the digital world, USDT for example have nothing to sure the world that they ate really backed by real world assets or reserve, all we hear from them are nothing but words only, but I don't mind, we can't expect them to show us their reserves or can we?

[ololajulo]

I don't know of any stable coin in this market created by government. Mere holding stable coin especially not for taking from the bull market rewarding. However, more use have been coming as staking and Defi that could fetch more money while money sit in a wallet. Similar to bank fixed money but produce more reward.

[DooMAD]

There are only two possibilities when it comes to stablecoins and savings.  Either:

a) they're not designed for that purpose, or
b) whoever designed them did a terrible job on fulfilling that particular aspect

Anyone who thinks they're going to strike it rich by hodling an IOU that's pegged to fiat is setting themselves up for a fall.  The only useful purpose of stablecoins is to daytrade with other coins in an attempt to turn a profit.