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Doesn’t it seem concerning to tie a countries currency to something so volatile that it could literally halve over night? Not trying to argue. Just trying to un
by TenJack 5y ago
Doesn’t it seem concerning to tie a countries currency to something so volatile that it could literally halve over night? Not trying to argue. Just trying to understand.
- cwkoss 5y agoFiat currencies can go to zero in an instant via political changes. (Ex, see indian demonitization in 2016). All forms of money have risks. I think the diversification of supporting BOTH USD and BTC seems to get a bit of the best of both worlds.
- TenJack 5y agoRight so why not USD coin instead of Bitcoin?
- cwkoss 5y agoUSD-pegged stablecoins kind of have the worst of both worlds - the risks of crypto AND the risks of fed monetary policy. Stablecoins shouldn't be used as a store of value, only as a medium of exchange.
- TenJack 5y agoYou just said having USD was part of the best of both worlds (despite fed monetary policy) and Bitcoin has the risk of crypto as well. Seems contradictory
- cwkoss 5y agoUSD and Bitcoin each have risks and disadvantages. USD-denominated stablecoins have the union of the risks and disadvantages of both.