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> Stablecoins are conspicuous in their absence in patio11's post. Stablecoins are just fractional reserve banking but with a thin veneer of tech, and a massive
by KaiserPro 4y ago
> Stablecoins are conspicuous in their absence in patio11's post.
Stablecoins are just fractional reserve banking but with a thin veneer of tech, and a massive narrative to differentiate them from standard fiat currency.
You're far better off just buying commodities directly, at least where your value is located is much more transparent.
Stablecoins are basically "trust me bro its worth this much, and will never drop, just don't trade too much and make me defend the peg."
- spir 4y agoThe reason this is not true is because the best stablecoins, like American-run USDC, have excellent transparency and are backed 1:1 in cash and short-duration treasuries, with no fractional reserve system. https://www.circle.com/en/transparency https://www.circle.com/en/transparency