8 ms·

funny how everyone refers to coins which are pegged to a massively inflationary fiat currency as "stable"...

• ogogmad 5y ago
  The "stable" refers to the absence of massive short-term volatility. The purpose of stablecoins is "banking the unbanked" - in other words, allowing people to spend money who don't have bank accounts. At least I think that's what they're for. It allows people to use USD in the wild, wild west.
  • noxer 5y ago
    >The "stable" refers to the absence of massive short-term volatility. Nope, See my reply, stable refers to pegged to something and thus stable in value to that something. The absence of massive short-term volatility is not a property of stablecoins its a property of pegging to something without massive short-term volatility. Stablecoins exist in the Fiat world too. For example the Bahamian dollar is pegged to the US dollar on a one-to-one basis. So its a Fiat USD stablecoin. It doesn't have a long term stable value (buying power) just like the USD does not.
• noxer 5y ago
  Stablecoins is a synonym for pegged-coin it is stable to the value of something else not stable in buying power. You could have a gold stablecoin it would have the vale of defined mount of gold and would therefore move in value just like gold.