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I think stablecoins are fundamentally a centralized technology. It betrays the purpose of cryptocurrency in the first place if there's a single point of failure
by cowtools 4y ago
I think stablecoins are fundamentally a centralized technology. It betrays the purpose of cryptocurrency in the first place if there's a single point of failure that can be regulated to hell.
- Sargos 4y agoThere are lots of stablecoins of all different types. You are probably thinking of Tether or USDC which are companies and can be regulated/shut down but there are also stablecoins like DAI which are decentralized and cannot be shut down. I imagine most people would just use DAI on Aztec when buying porn or drugs.
- cowtools 4y agoFrom what I understand, stablecoins generally fall into two categories: 1. Relies on some central entity to buy/sell it as to peg/back it to another asset. 2. Relies on some central observer to sign exchange rates so that the system can automatically adjust its reward system.