Stablecoins is a good way to keep and save money or not?

[HeavensPro]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

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[minairia3]

I will tell you no, stablecoins are not good for long term holding and saving money. As a person who is seeking to save money, I recommend that you consider gold, in addition to gold being an investment, gold is a good saving due to its stable price and lack of depreciation, as compared to fiat currency.

Also, if you are interested in investing, you can learn about bitcoin, which is a good form of long-term investment and a safe place to store assets anonymously.

[smartaction]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

Stablecoin can keep stable your money and it will save your money it is true. But you must understand cryptocurrency is must risky and any cryptocurrency can crash suddenly for example UST was a peg but some weeks ago this coin has been crash and now it is under 0.05$. I believe USDT, BUSD, USDC is a strong peg. You can hold these stable coin. Hope this will never happen anything wrong

[MAAManda]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

I don't have any future views regarding stablecoins because in truth, stablecoins only act as assets that have little fluctuation and are good to have when a bear market comes along. As we know that some time ago the crypto space was shocked by the collapse of one of the leading stablecoins (UST), then later the price of USDT began to weaken.

Maybe you should know first the types of stablecoins, there are several types of stablecoins, including:
- FIAT Backed Stablecoin
- Crypto Backed Stablecoin
- Gold Backed Stablecoin
- Algorithmic Stablecoin

UST itself is an algorithmic stablecoin whose value depends on the algorithm they have (related to $LUNA). So, if you want to own a stablecoin, I advise you to only have BUSD and also USDC, because these two stablecoins are 100% FIAT Backed stablecoins. You don't have to worry about their future.

[bitbollo]

you expose yourself to a double risk.
The first is that the FIAT currency undergoes a devaluation and your investment decreases "by its nature".
The second concerns precisely the computational aspect ... behind a stable coin there are companies that claim to have a certain number of deposits / payments, in short, collaterals.

Do you trust it?
In our crypto field... we always say "DON'T TRUST! Verify!" This should be approached to everything.

How do you verify the existence of such deposit? how can you trust that from one day to the next they do not move everything and you are left with only one match in your hand?

Personally I have always been skeptical about this type of product since they were born.
And over the years I have witnessed several "collapses" and scandals in this sector.

No, I honestly don't find it a good way to invest and protect/save my funds.

[seoincorporation]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

Stablecoin can keep stable your money and it will save your money it is true. But you must understand cryptocurrency is must risky and any cryptocurrency can crash suddenly for example UST was a peg but some weeks ago this coin has been crash and now it is under 0.05$. I believe USDT, BUSD, USDC is a strong peg. You can hold these stable coin. Hope this will never happen anything wrong

That's right, they are stable until they crash.

This year we had the most important lesson about the stable coins when UST crashed. It was a big problem where people loses millions just for trusting in the term "Stable". Because when someone buys a stable coin the last thing he specs is to see coin crashing. So, it's important to know there is a risk even with stable coins.

[DeathAngel]

After what happened recently with UST & LUNA I would not put much faith in stablecoins. US Gov are desperate for Tether to fail too, I wouldn’t be surprised to see them try anything to take Tether down. For this reason I think keeping funds in stablecoins for any longer than necessary is negligent.

[cabron]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

Stablecoin can keep stable your money and it will save your money it is true. But you must understand cryptocurrency is must risky and any cryptocurrency can crash suddenly for example UST was a peg but some weeks ago this coin has been crash and now it is under 0.05$. I believe USDT, BUSD, USDC is a strong peg. You can hold these stable coin. Hope this will never happen anything wrong

That's right, they are stable until they crash.

This year we had the most important lesson about the stable coins when UST crashed. It was a big problem where people loses millions just for trusting in the term "Stable". Because when someone buys a stable coin the last thing he specs is to see coin crashing. So, it's important to know there is a risk even with stable coins.

You can't compare algorithmic stablecoin like UST to the stablecoin such as USDC since they are legitimately backed by company which there is a lesson to be learned from LUNA and other platforms.

But Stablecoin I think is a safe way to keep your money which is why its the first to be dealt with by regulators. Keeping stablecoin will be safer if what you are worrying about bear market yet its also not safe when it comes to inflation, confiscation or freezing by the companies that made it. So there's the scandal. Auditing is also a problem with stablecoins.

[jostorres]

I think the one that have a scandal is only usdt but the rest of the stable coins are free from anomalies so it's safe to keep or save your money with them. When I say the word rest (earlier) what I mean is the stable coins such busd, usdc and dai. I don't mean ust and other algorithmic based stable coins because they are risky. All of them are collapsing now.

I will tell you no, stablecoins are not good for long term holding and saving money

For hodling long term yes because they are stable. You can't get anything from them but you can always use them for staking and lending. The purpose of stable coin is not for hodling but they can be use to buy more coins later on, or when the price starts dipping. You can also use them like a money for paying and gambling.

[serjent05]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

I was once not fond of stablecoins but after an experience where my crypto holdings crashed really hard, from $120k down to $12k, I learned that shifting them to stablecoins could have saved me from the crash.  So I can say, converting your holdings to stablecoins can preserve your crypto's current price value from a bear market price crash.

[dothebeats]

Only good if you're looking to move your funds from point A to point B, but in terms of using it as an investment tool, I'd rather keep my money in fiat than convert what I have into stablecoins. Those who issued these stablecoins can restrict your funds, or they as an issuer of these financial tools can go bankrupt any time rendering your stablecoins useless. It is only wise to keep your funds in stablecoins for a short period of time but never in the long term.

[keyscore44]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

When the cryptocurrency market is in a bearish phase, keeping money in stable coins is the most reasonable in my opinion. However, it should be remembered that investing in any cryptocurrency involves risk. The safest stablecoins in my opinion are USDC and USDT, but I wouldn't keep everything in one stablecoin. I think it's best to diversify your money to at least two stablecoins.

[Johnyz]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

I suggest not to trust stablecoins that much, you have to learn from what happened to LUNA and probably, it can happen again. I’d rather hold with my BTC than to stablecoins honestly. If you want to save your money go with the banks but if you want to take the risk and you’re ready for that risk, go for Bitcoin instead. Once you are in cryptomarket, there’s no safe money here everything is at risk so better to be more wise on handling your finances and buy only the good coins.

[evichi]

IMO, stable coins is a preferable way to keep your funds during the bear market. I had some UNI tokens which fell from 12 to about 3.9 of which I just have to use at that point in time, so I made a loss. I think if you have some future project which at moment the money is in some crypto other than stable coin, it is better to keep the money in stable coin to be sure you can execute the project at the appointed time, more so during the bear market to avoid being disappointed. I think it is wise to keep in some selected stable coins like DAI, USDT, BUSD, not in only one stable coin. However, for long term saving, Bitcoin is preferable, IMO. The LUNA & UST experience is a BIG lesson learnt in the crypto space.

[Bttzed03]

Much have been said but the issue on centralization have not been pointed out yet. Apart from DAI, you also risk your money because the issuers (companies) of these stable coins can freeze them at any point even if it's in your non-custodial wallet. That's a pretty scary thought especially if you're trying to keep them for a very long time. So yeah, you have to put a complete trust on these companies that they do not do something that will destroy holders.

Someone already touched up on staking stable coins. If you have no problem with the issues we've mentioned, you might as well stake them. Platforms like mycointainer.com offers 10% annual return for USDT, USDC, and DAI.

[antsam]

Stablecoins in my opinion are not the best way to save and save money, because of their stable value. But when the market is volatile, the safest asset is stable coins. The current scandal is only a few stables that have no fundamentals, unlike BUSD, USDT and USDC which remain as trusted options

[robattfield]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

As a matter of fact, I find the OP is talking about some of the cases that leave a negative for the market, but not all. To me, the leading stablecoins like USDT, USDC, and DAI all provide a sense of security as well as a good tool for exchange in the crypto market. So don't just look at the few, but fear for the many. Or be more honest with yourself, not just doubting things that aren't real.

[zonefloor]

It is quite good to be in stable currencies during bear periods. But when we consider it as a long process, it means a big loss. Because they are stable currencies. It neither decreases nor increases, whatever it is, it stays that way. But if it is used by investing in bull periods, it can leave good money with smart moves. But as I mentioned in my first sentence, it will cause you to be worthless in the long run. In the bear season, it will prevent your money from melting.

[Jawhead999]

If you're a long term holders, there's no need to convert your coins to stablecoins since they're believe about their coins long term performance and skepticism about the security issues on stablecoins.

If you're a traders, stablecoins is very important since you're want to get a margin from buy and sell your coins, also you're not hold stablecoins for quite long time as you're only wait your coins will decrease or increase based on your analysis.

[TheUltraElite]

What do you think about stablecoins, some scandals around them and their future? It is interesting to hear the opinion of the members of bitcointalk

Stablecoins are good as an intermediary mode to store coins while tiding over the massive market movements, not for a long term storage.

Say you have 1BTC at hand and sell it at 40k USDT and hold the USDT till the price of bitcoin becomes 20k and use the USDT to buy that BTC back, getting 2BTC. You see how the amount of bitcoin got doubled just thanks to the market movement? Using a fiat as intermediary here would be difficult to liquidate and time concerns. Using an altcoin would also not be feasible because that itself is subject to market movements and change in price.

Beyond that I dont see any use of stablecoins, they are just altcoins which are controlled by certain organizations pegging their value to an asset.