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USDD/Tron near collapse: USDD stablecoin below $0.97, reserve collateral drained
- justahuman74 4y agoI'm sure the relevant central bank will step in to prop up the currency
- nxmnxm99 4y agoAnd if not, surely a political body with armed forces backing said bank could negotiate for leverage or support from other governments
- zahllos 4y agoPerhaps they could ask for support from the international monetary fund, an organization established in the wake of the great depression in order to try to preserve financial stability worldwide?
- Reason077 4y agoPlot twist: The Federal Reserve devalues the USD in order to maintain parity with TRON.
- ackbar03 4y agoCause jpow was long crypto this whole time
- ShivShankaran 4y agohave you seen jpow and SBF in the same room at same time? Cause Jpow is SBF incognito
- casualbob_uk 4y agoIt does this all the time
- louwrentius 4y agoI would actually be surprised if the whole crypto ecosystem isn’t going to implode soon. The thing is that it doesn’t create any value, it’s all a game of musical chairs. I don’t care VCs holding the bags, but I do care about the retail “investors” that were naive. (I don’t care about the hfsp bros). In a few years we will look back at the crypto space and we wonder why nobody intervened like nobody intervened with Madoff, despite multiple people warning about him. The damage the crypto space has caused is just beyond redemption. To both people and the environment. It’s time that this stuff is regulated to death. It will also kill the crypto ransom ware pipeline because of a lack of on/off ramps.
- Synaesthesia 4y agoThe only real value it has beyond speculation is bypassing sanctions, buying drugs and sending money abroad. The speculation has really gone majorly overboard lately. Honestly the Chinese government are looking quite wise in retrospect for banning crypto.
- Saig6 4y agoDon't forget about giving tax authorities and relevant three letter organizations easy insight into said activities. Crypto is making public sector more efficient! :)
- throw6383878 4y agoCrypto is the only reliable way to pay contractors in Russia now. Saying "no real value" is quite stretch!
- usr1106 4y agoThe question is whether paying contractors in Russia is ethically any better than paying illegal drugs. Not that the contractors would all be bad people. But sanctions are there to force change. The easier it is to make sanctions ineffective the longer change will take.
- janalsncm 4y agoWhat is the purpose of “stable” coins? If you want a thing that is worth a dollar, why not just use dollars? Or use Belize dollars. They’re worth $0.50 by law and have no instability issues.
- Proven 4y ago
- xiphias2 4y agoMost people in the world don’t have access to the reserve currency of the world (especially the countries don’t have the right to print it), they are born in disadvantage.
- BillyTheKing 4y agoI'm not sure why you're being down-voted, but that's exactly the biggest real-world use-case for stable-coins. They're a way for people to buy USD and sell their own deflating currency
- dragontamer 4y agoExcept you aren't buying a USD when you buy a stablecoin. You are buying a fraud that pretends to be a dollar. A true dollar, offered by a bank or money market fund, has assurances from the US that it really exists in our federal reserve system. A stablecoin is a chuck e cheese token pretending to be a dollar. I can make an excel spreadsheet pretending I have a billion dollars, but I'd be a liar if I did that.
- crizzlenizzle 4y agoI think the idea was (or still is) to have dollars or some other equivalent that is more tangible and easier to transfer in the world of cryptocurrencies.
- Ekaros 4y agoSome explanations: 1) Actual regulated banking is ... well regulated. Buying and possibly selling monopoly money passes this regulation. 2) Making a token out of everything allows you to play on the chain. 3) There is profit in trading customers real money to your own monopoly tokens... Which of value is determined on market while you keep the real dollars. 4) It could allow some people to argue that they never realised any profits from their trading. Thus tax avoidance...
- dools 4y agoIf only all these end-the-fed libertarians had read history instead of creating crypto https://www.investopedia.com/articles/economics/08/federal-reserve.asp https://www.investopedia.com/articles/economics/08/federal-r...
- _pc3z 4y agoSad nobody talks about Monero when cryptocurrency is mentioned. It is pretty much the only viable cryptocurrency. There are no wild promises of getting rich quick, just technology. There are hundreds of cryptocurrencies and Monero stands out like a sore thumb, trying to deliver nothing else other than privacy, security, and stability. It's what Bitcoin should have been. I am seriously not all that interested in cryptocurrency. For the most part, it's all just nonsense and a waste of electricity, but Monero actually delivers.
- nprateem 4y agoNow exchangeable without fees on the Basicswap DEX. https://basicswapdex.com/ https://basicswapdex.com/ https://particl.news/basicswap-open-beta-is-now-live/ https://particl.news/basicswap-open-beta-is-now-live/
- deleted 4y ago[deleted]
- matheusmoreira 4y agoYeah. The saddest thing about the cryptocurrency space is how actual good projects remain marginalized despite their value. Monero is what cryptocurrency was supposed to have been like since the start. Holding XMR means losing money because it doesn't increase in value proportionally to BTC and gets absolutely destroyed even in minor market crashes. It would be so nice if Monero turned into the de facto stable coin of the cryptocurrency world but it's still way too volatile with all the drawbacks and none of the benefits.
- int_19h 4y agoThis won't change until speculation stops being the most common use case for crypto. In fact, I would dare say that crashes are good for the ecosystem for this exact reason. At the end of the day, the only people left will be those who really care about privacy and security - and that's when we'll see more substantial advancement in those areas.
- jpgvm 4y agoRemember folks stablecoins have exactly 2 stable states, 1 and 0.
- pestatije 4y agoAnd only one of those is stabler
- raverbashing 4y agoAnd depending on how it flips from one state to another, it might be an astable coin
- rinze 4y agoOnly 0. The "1" state is apparently stable when there's permanent excitation of the underlying cryptomatter (otherwise known outside of cryptophysics as "pumping"), but that always comes to pass, as the pumping molecules are finite.
- RestlessMind 4y agoYou know that fiat currencies are also pumped by all the institutions managing them, right? If you are one of the lucky minorities who are privileged enough to have trusted institutions doing a good enough job, then just look at who is desperately trying to get in your country. Their home countries would probably have shitty institutions with horrible currency management.
- masklinn 4y agoRemember folks, 1 st = 1 st, you have not lost anything until you exit. Few understand. (lol)
- aqme28 4y agoThe 1 is only metastable
- simple-thoughts 4y agoBaloney. Many stablecoins are not pegged 1:1 to USD, for a strict example see Rai. If a stablecoin has enough collateral, then the managers (human or algorithmic) can let the peg loosen in order to purchase and burn the coin at a discount or mint and sell the coin at a premium. That said I’m being a bit pedantic as the specific design of USDD (as well as UST) has that property since the collateral is correlated to the stablecoins peg. So you’re correct in this specific case though not in general.
- causality0 4y agoStablecoins are just regular crypto except somebody else promises they'll go broke before you do.
- raverbashing 4y ago> somebody else promises they'll go broke before you do. Pro-tip: they won't And even worse: you won't "notice" its actual value is falling until it's too late
- ls15 4y agoTron was the most obvious shitcoin in 2017 already. Justin Sun announcing announcements was a common meme back then. John McAfee was promoting it. It is astounding that some people still take this obvious joke serious.
- MomoXenosaga 4y agoI have the feeling that as more people find out crypto is not a way to get rich quick the interest from mainstream society will dwindle. Cryptocurrency was and still is being shilled everywhere and FOMO is real.
- danuker 4y agoIt may not be a get rich quick scheme, but it's certainly helpful in countries with oppressive inflation, in spite of its 80%+ crashes. Venezuela's inflation rate was 1,700,000% in 2018.
- landoftheice 4y ago
- aetherane 4y agoIt seems equally helpful as USD then.
- RestlessMind 4y agoUSD transfers are cumbersome. Bitcoin can be sent to someone with an internet connection. My colleague sends bitcoins to his family living in an OPPRESSED_REGIME with currency controls and high inflation, where the government artifically lowers the official exchange rate of USD.
- D13Fd 4y ago> It is astounding that some people still take this obvious joke serious. This was more or less my impression on reading the article. Events have revealed that most of crypto is made up of playthings and pseudo-scams, but this article takes it really seriously.
- arcticbull 4y agoDon't count on it. If I recall correctly USDD still doesn't have a redemption mechanism. USDD is just Justin Sun messing around with folks to get a rise out of them. He can restore the peg at his discretion for a few bucks. Sun was on twitter a few months ago shitposting about "steady lads deploying capital" (referring to Do Kwon's infamous Terra posts) as it lost the peg before, and nothing came of it then either. USDD isn't a 1:1 asset backed coin, and it's not a properly algorithmic coin. Also Justin Sun is a piece of work. It's all just a weird mess. Moreso than usual for crypto.
- jmartin2683 4y agoCryptocurrency, as a thing, just needs to go away. How many people have to lose their life savings before we admit a bad idea? All so that NK can pay for nukes, people can buy drugs and extort people on the internet. We’re not making the world a better place here, folks. Good effort, but no. Let’s stop now.
- ls15 4y agoHow is Justin Sun's fraud Monero's or Bitcoin's fault?
- louwrentius 4y agoIt enables fraud.
- ls15 4y agoWater enables drowning.
- louwrentius 4y agoWater is required for life. Crypto has no legal reason to exist.
- ls15 4y agoI think that there are valid reasons for crypto to exist (just not for the 10K scam projects), but since when do things need a legal or any other reason to exist? Kitchen knives are not required for life, but they enable murder. I find cheerleading really unnecessary, but it leads to 20K injuries amongst adolescents every year. Why is nobody stopping this?
- int_19h 4y agoWhat exactly would you ban? Cryptographically signed public ledgers?
- 4y ago
- Apocryphon 4y agoSad that this will probably take down BitTorrent, the company not the protocol, along with it.
- yashg 4y agoAnother one bites the dust And another one gone and another one gone Another one bites the dust