The banks hate the idea of a currency that is: - stable and always worth $1 - free to send to anyone anywhere in the world instantly - settles without a bank

They only post one side of the argument here. Nothing about cross border payment efficiency for example.

😂wasn’t it Silicon Valley bank that destabilized and infected a key part of the stablecoin market?

Banks: ‘If stablecoins integrate with us, they could infect the economy!’ Also banks: ‘We literally crashed the global economy in 2008.’ SIT THIS ONE OUT, CHAMPS! 😆🤦‍♂️🤡

🥱 Anyone still reading these?

Stablecoins are backed by U.S. Treasuries. Banks are backed by debt, derivatives, and politicians. If a stablecoin issuer fails, holders still have the Treasuries. If a bank fails, you get an FDIC promise and a prayer. Banks are scared of losing their monopoly on money creation. But once people realize stablecoins are safer than bank deposits, the next step is obvious... Bitcoin. Bitcoin doesn’t need treasuries, banks, or bailouts. It’s not “backed” by anything because it is the backing. No redemption gates. No central counterparty. Just freedom that is verified by math.

Even in a liquidation spiral where stablecoin lenders get wiped out and forfeit their tokens... the US dollars backing the tokens will still be safely invested in US Treasuries at a 1:1 rate (as required by the GENIUS Act). Yes foolish token holders will get liquidated, but the real assets do not move. Ironically US dollar stablecoins invested in US Treasuries are the only profitable crypto tokens - but only profitable for the token issuers such as Circle and Tether.

100% FUD. Banks have been greedy and lazy creating a regulatory note and not innovating. That time is over.

What? USD stablecoins are dollar tied backed 1 to 1 with Tbills. Can you elaborate?

This is retarded

Is this you? @SenWarren

You should be clear on the kinds of risks and what kinds of stablecoins are the issue. You should also be clear that looped assets and leveraged bond yields are just as much if not more of a problem in Traditional Finance compared to DeFi. The bigger problem with depegging is that it can even happen at all, not that the asset is a stablecoin. If everyone just agreed to what they were to be worth and just said a given stablecoin is effectively a dollar because it is mandatorily backed 1:1 with real dollars or equivalents (i.e. bonds) then we could avoid a lot of the issues people talk about around this. By the by, traditional finance is no stranger to rehypothecation or failures of market making. None of this is new from DeFi.

You guys just want to give up control. You've had full run of the money printer for a hundred years and look where it has gotten this country. The safeguards were put in place by the genius Act. Quit your whining and get out of the way

Adopt stablecoins or go extinct, no regulators are able to save you. Your future is exclusively in your own hands.

How does that make any sense? Stablecoins are just sitting in a different wallet collecting higher interest than in a large bank checking account. If the stable coin holder owns no crypto what is the risk if the stablecoin is backed 1 to 1?

The hacks are probably the worst part.............I don't see any way crypto becomes stable.................