USDT is the preferred stablecoin for Brazilians, accounting for $9.7 billion acquired between Jan and Nov 2021. Other stablecoins bought included $1.6 billion in USDC, $12.9 million in DAI, and $5.6 million in TrueUSD - Any Brazilians here please spread the word to avoid USDT
YSK: UST & DAI are backed by trust dependent collateral that contracts during volatility/uncertainty. A mix of TDC with utility driven collateral where the latter is increased through market forces to create a self balancing mechanism that ensures backing is the key innovation Vader Protocol brings
I'd suggest you check out GOV, still very pretty much undervalued ATM but has a good longer-term potential for growth. Just recently launched on PCS and it has real world use-case by being able to increase the amount of USDT, USDC, or DAI you’re able to borrow against the USD value of your altcoin or NFT portfolio.
To me personally i reallt think Tether is just a Ponzi scheme that people are just in too deep which most certainly keeps everybody at Tether from doing a rugpull. Other than that DAI has just fundamental backing and not real monetary funding which is very fucking weird. USDT and BUSD as well as USDC and TUSD can all claim and do for the most part that they have the same amount of money locked in their bank. DAI is just (Yeah its 1;1 against the USD believe us ;) ;) ) BUSD seems for me the way to go, i know its just in Binance as a stablecoin and in some paper wallets, but binance is a massive Exchange if not the most in my opinion. Some regulatory troubles here and there but lets not forger their own Fundamental coin BNB hasnt fallen from the top 10 in several years. So yeah Terra is beautiful in theory but doesnt really do much and USDC is like that annoying cousin on Thanks Giving. Nobody says he is a bad kid but he spends all his day in his moms basement without socializing so nobody can also say he is a good kid. Ya feel me ?
The short story with USDT is that they don’t have enough Cash (on their balance) to support the claim of storing 1 USD for each 1 USDT. (Which is why some people shied away from it, I mean the downsides could be horrendously 🤷🏽♂️) USDC on the other hand took a different approach and is more as in 1 USDC is always 1 USD of BTC and ETH. And that still gives it a different future when it comes to scalability IMO. Makes its more secure and stable. As for DAI, for me is the possible growth it has because of its ecosystem. (And think about DAI more as a collateral crypto. And as more and more people get into crypto I believe that to be a very good thing.) One thing that can help is reading their whitepaper, to understand the company that created these stablecoins and their vision. Hope that helps, cheers! ✌🏽
The Terra Protocol - UST - maximizes yield potential while balancing platform risk - integrations are popping up like hot cakes - surpassed decentralized competitor DAI - reached record high marketcap It's an algorithmic stablecoin - different to asset backed coins - 1 UST redeemable for $1 worth of Luna directly interacting with protocol; destroying the UST and minting Luna in the process - $1 of Luna can be burnt to mint 1 UST; this is the peg.
There's definitely issues, none have released a full audit just an attestation, which from the NYAG court case, clearly showed a way to fake those if your sister company is an exchange. Otherwise Circle changed their wording from backed one to one, to now backed by dollar equivalents just like Tether without any real acknowledgement of the change. DAI isn't like that, but if it's made in part of the above assets it gets corrupted by the same flaws. Really every single thing in crypto has flaws. Almost all have the issue of what will happen with impending regulations. It's on the individual to research the risks and make an informed call. There is no "you shouldn't put money in this" just more "make sure you're aware".
Post is by: TryingToMakeAMil and the url/text [ ](https://goo.gl/GP6ppk)is: /r/CryptoCurrency/comments/s4wz01/usdt_usdc_and_dai_are_trash_and_you_should_be/ There are a lot of Tether (USDT) haters on this sub - and rightfully so. But at the same time, there seems to be a lot of USDC worshippers. It’s almost like a political situation with some people voting red and some people voting blue. In reality, they’re both essentially the same thing - **2 centralised coins issued by private corporations.** Gary Gensler has full authority over the regulation of the stablecoins. This means that the Securities and Exchange Commission (SEC) can regulate both USDT and USDC however they like. On top of being able to regulate the companies behind these stablecoins, this gives SEC **the ability to blacklist any address holding any stablecoin.** The possible damage of this authority is HUGE. Think about the “decentralised” DAI stablecoin (pegged to $1). It’s mostly backed by USDC and ETH collateral. The SEC can simply order Centre, the private corporation behind USDC, to use their blacklist (ETH address) function and blacklist DAI’s USDC collateral. The government can technically do this at ANY TIME. These coins are trash and the anti-thesis of cryptocurrency. Let’s keep in mind that crypto was invented as digital money that no single entity can control, unlike regular money which is under control of government/central banks. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/CryptoCurrency) if you have any questions or concerns.*
If I may share my personal opinion I read the USDT white paper and Bloomberg's article about USDT being a fugazi which article I really recommend. Idk man seems like one of those things where the whole Crypto Currency system itself is too deep to back out now. Like at this point, BUSD is just in binance. TUSD is really not massively adopted like Tether. And DAI is just .... DAI. Its hard to say foe me if it can be a rugpull since all those crypto whales use USDT as their bread and butter.
There isn't one single "correct" price. Sites displaying "the price" take price info from the various exchanges, each has its own market and price, and then they just calculate the average of that. If you take the feeds used by MakerDAO/DAI for ETH price it's pretty reliable since they use multiple of such feeds for sure and the outliers in one direction or another are excluded. If you had one centralized official feed it would be too easy to manipulate.
I'm not sure if USDT will ever die, it's too big at this point. Despite **all the reasons** not to use USDT it still has the highest marketcap among stablecoins, others don't even come close - USDC, DAI, BUSD. If it ever dies though, I still think that crypto as a whole will still recover, there are a lot of good stablecoins going around nowadays.
The day exchanges begin accepting direct deposits for paychecks is the day I quit banks. Direct deposit to USDC, DAI etc Would actually earn interest on idle money Bill pay isn't an issue with exchange debit cards offered now Many exchange debit cards offer % back on purchases, when has a bank paid YOU for using your debit card with them!? Easier to buy and sell appreciable assets to grow your wealth, again something banks don't offer.
Yes, they're compatible but two different networks altogether. Sushiswap and Curve are dexes. Defi Kingdoms has a dex too but it's a tad bit more complicated since it's part of the game ecosystem. You can buy Harmony versions of ERC-20 tokens, you can find the full list [here](https://explorer.harmony.one/hrc20). But yes, the ones you mentioned–ETH, DAI, etc.–are all available.
Good point. Worth also mentioning that Luna has an intrinsic value as it has real world uses (e.g. payment platform in korea) and so in theory shouldn't ever go to zero. This is in contrast with stablecoins like DAI, which are also algorithmically pegged but could, in theory (however unlikely), go to zero.
If you purchase them on layer 1 then yes. You can also purchase things on layer 2 currently through defi/dex and some cex are hopping on the layer 2 train. Also yes, unfortunately, your DAI is trapped until you see gas prices low enough for you to make the transition AFAIK.
Correct me if I'm wrong, but in order to use a Layer-2 solution I have to move crypto from L1 to L2 and *then* I get the benefit of the low gas fees. But in the meantime, anything I have in L1 is essentially trapped unless I'm willing to pay enormous gas fees to move it. (Ex. I have $100 in DAI in my wallet but to move it anywhere is often more than $100 in fees). If there's some magic to move from L1 to L2 without incurring crazy gas, I'd love to know.
I think a US central bank backed stablecoin would be amazing. Most stable coins currently require not only trusting the dollar itself, but also companies, or even worse, the dollars other companies print (for example, DAI being backed by the tether dollars tether prints). Would there be any drawback to a USCBD?
Would be nice to see UST, DAI and MIM make a big push to unseat USDT as well. USDT is like the blood of the crypto markets right now, and the sooner that markets get a blood transfusion of protocol based stable coins rather than centralized, the better.
I believe the more mainstream attention we get, the more precise and trustful stablecoins we need. What we lack in this space is transparency. That is why I do like projects like DAI, USDC at some point, and eMoney NGM array of stablecoins. They are backed by fiat audited fundamentals that are there for everyone to see.
I would definitely prefer a decentralized solution that would be closer to DAI. USDC is still a huge step up from USDT which I could see help collapse the whole crypto market for whole other reasons than centralization or connection to three letter organizations.
Noob question-- how do you get the 19% on DAI on the Gains Network? It doesn't look like there is anywhere to deposit DAI on the site? Also, any decent instructional videos on GainsNetwork out there? (a google search provided very little!)
You right! It may interest you to know that the team already submitted a proposal for OUSD and OGN to be included as collateral assets for minting DAI on MakerDAO. All things being equal, a great advantage it will be for all OGN and OUSD holders.
I guess it all depends on what you mean by serious endeavor. I can say for a fact that the amount of value locked on these protocols is in the billions of dollars, which in my opinion, is a quite serious endeavor. That said, the liquidity associated with traditional financial institutions is orders of magnitude higher... so I guess it's all a matter of perspective. That said, there are several platforms such as AAVE which have fantastic UI/UX and which seamlessly connect to all sorts of crypto wallets directly on the platform. The AAVE platform alone has around $13 billion worth of value locked on it, and has markets for many different crypto assets (stable coins and non-stable coins). For example, right now you can borrow DAI tokens (a stable crypto currency that tracks the price of USD) for 3.99% APY on a variable loan. While this borrowing rate seems quite high compared to things like mortgage rates, remember, you can literally borrow on this platform RIGHT THIS INSTANT as long as you have enough crypto currency locked on the platform. Basically, these protocols operate much differently from banks. Banks lend out money based on a fractional reserve system, whereby they only need to hold a percentage of their lent out funds as collateral. Decentralized protocols like AAVE operate based on an overcollateralized system, whereby the borrower can only borrow a portion of the funds they deposit on the platform. An example of a way to use the platform, is you can park your idle cash in DAI or USDC (another stable coin) earning roughly 1.5% - 3.5% APY. Let's say you deposit $10,000. Then you can borrow out some fraction of that based on the currency you deposited. For DAI / USDC / Other high quality stable coins, I believe the Loan to Value (LTV) ratio is around 75% worth of ETH. So in the case of my $10,000 deposit, I could borrow $7,500 worth of ETH and then go use that ETH for whatever the heck I wanted. There's no application process, there's no documents signed. This entire saving / lending platform is run by a sophisticated protocol in a trustless manner. It actually almost feels quite magical. While the above described type of savings and lending platform does not offer some obscene amount of leverage that something like a business loan would offer, what it does offer is an opportunity to expand the reach of limited capital, while also providing opportunity for competitive yields on your idle assets. Pretty neat stuff.
Beefy just added Gains Network, but hey are promoting 35% APR for the GNS/DAIL LP, when it's over 100%. I'm told they have been notified, and hopefully will correct that. But it's one of the best APRs in defi right now, all paid from trading fees collected from the gTrade platform. They also have a DAI only pool not listed on beefy paying over 20%.
Gains Network has been delivering 20-35% APY on DAI stable coin. Also 120%+ on their GNS/DAI LP which is 100% paid from trading and swap fees, not inflation. Their gTrade leveraged DEX earns the fees, and also burns the supply when traders get rekt doing leverage. Worth a look.
Fiat-backed: USDC by Circle, USDP&BUSD by Paxos Algorithmic: UST by Terra, cUSD by Celo, sUSD by Synthetix Algorithmic&Collateralized: FRAX by Frax Collateralized: DAI by Maker, LUSD by Liquity Unpegged: RAI by Reflexer If you want a stablecoin that actually backed by real US dollar, go with USDC/USDP/BUSD. If you want the decentralized one, go with Algorithmic and/or Collateralized stablecoins. If you want a non-pegged-to-fiat stablecoin, go with RAI The risk of centralized fiat-backed stablecoin is censorship. The risk of algorithmic and collateralized stablecoin is volatility. I'm not sure about the risk of RAI, still learning
I’m partial to audited coins fully backed by dollars or dollar equivalents. USDC is one, there are others too. DAI and UST are backed by smart contract algorithms. I’m not sure if they’d be resistant to a bank run, and the peg tends to drift some. There’s always a chorus of folks happy with their 20% yield in anchor but I’m not sold. Tether is pretty shady. They claim to be fully backed by dollars, dollar equivalents, crypto, and maybe other stuff. So far I don’t believe they’ve been audited and they didn’t show up to a recent US senate crypto hearing.
Compound DAI/ETH are cTokens from the Compound platform. Basically, when you lend out DAI on compound, you are given an equivalent amount of cDAI. These tokens appreciate in value against DAI based on the interest rate on Compound. When you withdraw your funds and close the contract you redeem your cDAI for DAI again. This is similar to how most lending pools work so that they aren't constantly paying out earnings which would incur unimaginable amounts in gas fees
Lol, even if cash is trash, you'll still need some emergency funds and that's what I keep in the bank. I have some of my funds in USDT and also spread my investments to minimize my losses. Gems like ATOM, DOT and CRO are solid, even some L2 tokens like x-DAI, MATIC and NII will blast off once the dip is over as they offer optimal solution for addressing the increasing load on the ETH network.
Save you a click, they include stablecoins NEM (XEM: -43.33%) Bitcoin SV (BSV: -24.36%) Celsius (CEL: -18.49%) Dai (DAI: -0.44%) Pax Dollar (USDP: -0.29%) Tether (USDT: -0.17%) Zilliqa (ZIL: -0.12%) TrueUSD (TUSD: -0.11%) TerraUSD (UST: -0.01%) USD Coin (USDC: -0.01%)
USD Coin (USDC: -0.01%) TerraUSD (UST: -0.01%) TrueUSD (TUSD: -0.11%) Zilliqa (ZIL: -0.12%) Tether (USDT: -0.17%) Pax Dollar (USDP: -0.29%) 2020). Dai (DAI: -0.44%) Celsius (CEL: -18.49%) Bitcoin SV (BSV: -24.36%) NEM (XEM: -43.33%) *saved you a click*
BUSD is used by Binance but is still fully backed 1:1 by USD. The coin is actually issued by Paxos and is fully insured and regulated, so Binance can't actually touch the backing of it, it is one of the safest stables out there right now. I would be a lot more worried about coins like UST and DAI that are only backed by crypto, there is no way a crypto backed stable could withstand the fallout of a Tether crash. Check out this link for more info https://paxos.com/busd/
>They think that somehow, an imaginary asset with fixed supply will solve all economic woes the world over, nevermind the fact if it ever happened would only worsen inequality as crypto holdings are egregiously more concentrated than other asset classes and would put early adopters on top of the food chain They could simply hoard their coinz and wait for others to come begging for scraps (which is, in earnest, what cryptobros actually want - not egalitarianism, just to become the new top of the monetary pyramid). The sleight of hand this has involved is quite brilliant from a marketing/conman perspective. When it started crypto was valuable despite not being backed by anything because it was going to become a global currency. When it became apparent its not going to be a functional currency, it changed to "store of value" without anyone questioning what its meant to be value for now it doesn't do the only reason it was meant to be valuable. It's become entirely circular "it's valuable because its valuable", or occasionally "it's valuable because its rare". just don't ask what the value is in a useless, arbitrarily rare token there can be infinite, functionally identical copies of. Or how this "store of value" differs from empty speculation on a useless token. The whole space has become dedicated to self-deceiving justification of ponzi-economics but using redefined terms to avoid the dreaded P-word because your average Joe knows ponzi schemes are frauds even if they know nothing else about economics. Hilariously occasionally they forget to say the loud part quiet and just outright describe a ponzi/pyramid scheme without cloaking it in the language of "disrupting finance" and being a "hedge" or a "reserve asset" or "digital gold". But the intention is implicit every time people talk about "buying the dip", "we're still early", "hodl". The message is clear, get in early and stay in so you can sell your bags to a later sucker. > This is not to mention the inevitable deflationary spiral that would ensue. Yup, its embarrassing how little thought Satoshi actually put into monetary theory. He didn't actually want Bitcoin to be hyper-deflationary, he wanted it to result in similar prices to USD and EUR, but he had no idea how to do that so he just guessed the amount that would be required. He literally thought you could just move the decimal point to avoid the problems of hyper-deflation should they occur, which is as brain dead as thinking moving the decimal can solve hyper-inflation. It shows ignorance of basic principles of supply and demand. you can't have a stable purchasing power if demand for currency fluctuates (as it always does with fluctuations in the overall economy), and supply is fixed. You would have to fix demand for currency at exactly the same rate as supply which is of course impossible. A stable currency must be able to increase and decrease supply to match demand. Doing this purely algorithmically in a way that's impossible to manipulate is basically impossible which is why even "algorithmic" stablecoins like DAI are mostly backed by dollar pegged stablecoins. The amount of double think this has induced is insane. You have the people claiming how they're always going to hodl and are never going to sell, who are also the same people claiming that its "FUD" to say no one would spend deflationary currency because once it hits some arbitrary market cap/"adoption" then everyone will suddenly start spending it because "people need to buy food". Because apparently hoarding Bitcoin and just using regular cash to buy food will become impossible somehow.
If you're investing in crypto solely for its token price, you cold be looking at this space with a narrow view. Tokens for defi have utility and passive income opportunities that can benefit you regardless of price action. Look at GNS for example. There is zero pressure to sell the token. So price is less important. Staking into the gTrade liquidity pools will earn rewards in the form of DAI (stablecoin on Polygon). Rewards are earned from the DEX trading fees so the money is organically sourced and sustainably earned. The presence of whales doesn't harm the investor because selling is not the end game. This is my first example but I'm sure there's other examples where selling is not the purpose for buying.
They're trying to grow. Also they only take/pay in DAI and synthetically track the actual coins using a custom chainlink oracle that takes the median price across 7 exchanges so you're not too much at risk. Similar to dydx or perm or GMX. Worse thing I don't like is their anon dev but I know enough solidity to looked over the contracts. Has saved my ass on binance flash wicks and NY has really barred any kyc leveraged options so I'm forced to v use the defi ones