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🛑🛑🛑 Urgent update breaking news
🔴 Released now:
💎 America - 🇺🇸
⚪ The general budget of the federal treasury
▪️ Previous: 236.0B-
▪️ Estimate: 244.5B
▫️ Current: 210.0B
⬅️ Result: negative for the US dollar
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♥️You can support me with tips to provide better content♥️
#BTC #US #USD #Dollar #ETH
🛑🛑🛑 Urgent update breaking news
🔴 Released now:
💎 America - 🇺🇸
⚪ The general budget of the federal treasury
▪️ Previous: 236.0B-
▪️ Estimate: 244.5B
▫️ Current: 210.0B
⬅️ Result: negative for the US dollar
♥️ Thank you for Watching my Post ♥️
♥️You can support me with tips to provide better content♥️
#BTC #US #USD #Dollar #ETH
$BTC $ETH $BNB
🛑🛑🛑 Urgent update breaking news
🔴 American debt is now larger than the entire American economy.. 🇺🇸
• The US government will face a big problem, especially with interest payments on debt reaching $1 trillion.
🌟 Everyone realizes the danger of what is coming, except the economists in the United States who are still arrogant.. 🇺🇸
♥️ Thank you for Watching my Post ♥️
♥️You can support me with tips to provide better content♥️
#BTC #USA #USD #USDollarWarning #USDTScamAlert
🛑🛑🛑 Urgent update breaking news
🔴 American debt is now larger than the entire American economy.. 🇺🇸
• The US government will face a big problem, especially with interest payments on debt reaching $1 trillion.
🌟 Everyone realizes the danger of what is coming, except the economists in the United States who are still arrogant.. 🇺🇸
♥️ Thank you for Watching my Post ♥️
♥️You can support me with tips to provide better content♥️
#BTC #USA #USD #USDollarWarning #USDTScamAlert
$BTC $ETH $BNB
🛑🛑🛑 Urgent update breaking news
🔴The US dollar has lost 25% of its purchasing power since 2020.
• Every $1 you have from 2020 is now worth $0.75 in goods.
• With the rise in US debt and rising inflation, the US dollar will continue to lose its value.
⚠️ The best solution to protect your money now is to buy gold, silver, and real estate.
🛑🛑🛑 Any news or information issued by me is not advice, so do not forget to use DYOR
#BTC #USD #USA #BNB #ETH
🛑🛑🛑 Urgent update breaking news
🔴The US dollar has lost 25% of its purchasing power since 2020.
• Every $1 you have from 2020 is now worth $0.75 in goods.
• With the rise in US debt and rising inflation, the US dollar will continue to lose its value.
⚠️ The best solution to protect your money now is to buy gold, silver, and real estate.
🛑🛑🛑 Any news or information issued by me is not advice, so do not forget to use DYOR
#BTC #USD #USA #BNB #ETH
Less than 10% of Stablecoin Transaction Volume Consists of Real Users.
According to new findings from Visa and data platform Allium Labs, less than 10% of stablecoin transaction volumes are organic, that is, real people.
The report stated that only $49 billion of the approximately $2.2 trillion in transactions recorded in April were realized through "organic payment activities." The analysis excludes bots and traders executing high-volume trades in order to "detect trades made by real people."
Broker firm Bernstein reported that the stablecoin market supply currently stands at approximately $150 billion, with #Tether (USDT) and #USD Coin (USDC) dominating the market with shares of 75% and 22% respectively.
The note containing the findings of Visa's crypto head Cuy Sheffield included the following statements:
“Use scenarios where blockchains facilitate transactions that can be initiated by the end user manually or through automated bots take up a large amount of space in the data.”
According to the analysis, despite the difference between the total transfer volume and the bot-derived transfer volume, the number of stablecoin users increased steadily, reaching 27.5 million monthly active users.
$ETH $BNB $BTC
According to new findings from Visa and data platform Allium Labs, less than 10% of stablecoin transaction volumes are organic, that is, real people.
The report stated that only $49 billion of the approximately $2.2 trillion in transactions recorded in April were realized through "organic payment activities." The analysis excludes bots and traders executing high-volume trades in order to "detect trades made by real people."
Broker firm Bernstein reported that the stablecoin market supply currently stands at approximately $150 billion, with #Tether (USDT) and #USD Coin (USDC) dominating the market with shares of 75% and 22% respectively.
The note containing the findings of Visa's crypto head Cuy Sheffield included the following statements:
“Use scenarios where blockchains facilitate transactions that can be initiated by the end user manually or through automated bots take up a large amount of space in the data.”
According to the analysis, despite the difference between the total transfer volume and the bot-derived transfer volume, the number of stablecoin users increased steadily, reaching 27.5 million monthly active users.
$ETH $BNB $BTC
#US DOLLAR ANALYSIS
The US dollar pumped following the breakout of the symmetrical triangle. Currently, it is facing rejection from the horizontal resistance. The RSI is in the overbought region.
A rejection could be a likely scenario, while a solid breakout of the horizontal resistance would provide further bullish confirmation. It's important to note that it typically moves inversely to the crypto market.
#USDT #USD #bitcoin
The US dollar pumped following the breakout of the symmetrical triangle. Currently, it is facing rejection from the horizontal resistance. The RSI is in the overbought region.
A rejection could be a likely scenario, while a solid breakout of the horizontal resistance would provide further bullish confirmation. It's important to note that it typically moves inversely to the crypto market.
#USDT #USD #bitcoin
🔥🔥🔥 Here’s How Much #USD Needed to Make $1M If XRP Hits $5 and $10
Despite recent market downturns, analysts maintain optimism regarding XRP's potential for substantial gains. Currently priced at $0.4836, XRP has seen a 21.05% decline on the monthly chart, but many investors see this as an opportunity to accumulate more tokens at lower prices in anticipation of a potential surge. Notable analysts, including Ash Crypto, project XRP reaching $5 by September 2025, representing a 933% increase from its current price. Similarly, the Crypto Basic speculates that XRP could hit $5.2 this season.
Other experts, such as BarriC and Nick, have set even higher targets, anticipating XRP reaching $10 in the 2024/2025 cycle, a remarkable 1,967% rally from its current price.
For investors aiming to achieve millionaire status, the required investment varies based on these projections. At $5 per XRP, acquiring 200,000 tokens would require an investment of $96,720, while at $10 per XRP, 100,000 tokens would suffice, costing $48,360.
While these forecasts are enticing, it's essential to remember that they are for informational purposes only. The #cryptocurrency market is highly volatile and unpredictable, and there is no guarantee that XRP will reach these targets. However, potential catalysts such as the resolution of the SEC v. #ripple lawsuit and increasing adoption in cross-border settlements offer hope for XRP's future growth.
Source - thecryptobasic.com
$XRP
Despite recent market downturns, analysts maintain optimism regarding XRP's potential for substantial gains. Currently priced at $0.4836, XRP has seen a 21.05% decline on the monthly chart, but many investors see this as an opportunity to accumulate more tokens at lower prices in anticipation of a potential surge. Notable analysts, including Ash Crypto, project XRP reaching $5 by September 2025, representing a 933% increase from its current price. Similarly, the Crypto Basic speculates that XRP could hit $5.2 this season.
Other experts, such as BarriC and Nick, have set even higher targets, anticipating XRP reaching $10 in the 2024/2025 cycle, a remarkable 1,967% rally from its current price.
For investors aiming to achieve millionaire status, the required investment varies based on these projections. At $5 per XRP, acquiring 200,000 tokens would require an investment of $96,720, while at $10 per XRP, 100,000 tokens would suffice, costing $48,360.
While these forecasts are enticing, it's essential to remember that they are for informational purposes only. The #cryptocurrency market is highly volatile and unpredictable, and there is no guarantee that XRP will reach these targets. However, potential catalysts such as the resolution of the SEC v. #ripple lawsuit and increasing adoption in cross-border settlements offer hope for XRP's future growth.
Source - thecryptobasic.com
$XRP
The US dollar is performing strongly due to higher inflation and economic activity, leading to expectations of more interest rate hikes by the Fed.
#USD #interestrates #Binance #crypto2023 #BTC
#USD #interestrates #Binance #crypto2023 #BTC
Binance.US USD Withdrawals Restored, But Major Changes Announced
#Binance US news Update:
Binance.US has restored #USD withdrawals after a temporary suspension due to "extreme market conditions." However, the exchange has also announced major changes to its operations in response to the incident.What Happened?
On June 13, 2023, Binance.US announced that it would be temporarily suspending USD withdrawals due to "extreme market conditions." The exchange said that its banking partners had indicated that they would be terminating their services with Binance.US, which made it impossible for the exchange to process USD withdrawals.
What's Changed?
Binance.US has restored USD withdrawals, but the exchange has also announced major changes to its operations. These changes include:
Binance.US will no longer offer fiat-to- #crypto trading pairs. This means that users will no longer be able to deposit USD into Binance.US and then trade it for cryptocurrencies.
Binance.US will be working with a new set of banking partners. These partners are more likely to support cryptocurrency businesses, and they are less likely to terminate their services with Binance.US in the future.
Binance.US will be increasing its compliance efforts. This includes working with regulators to ensure that it is in compliance with all applicable laws and regulations.
Why Did This Happen?
The Binance.US USD withdrawal incident was likely caused by a combination of factors, including the recent decline in the cryptocurrency market and the ongoing regulatory scrutiny of the cryptocurrency industry. The USDT depeg is a separate issue, but it is related to the Binance.US USD withdrawal incident. USDT is a stablecoin that is supposed to be pegged to the US dollar. However, on June 13, 2023, USDT briefly lost its peg to the US dollar, trading as low as $0.94. This was likely due to the uncertainty surrounding the Binance.US USD withdrawal incident.
What's Next?
It remains to be seen how the changes announced by Binance.US will impact the cryptocurrency market. However, the exchange has said that it is committed to providing its users with a secure and compliant platform to trade cryptocurrencies.
Is This a Good Time to Invest in Crypto?
The recent volatility in the cryptocurrency market has made it a challenging time to invest in crypto. However, long-term investors may still see this as an opportunity to buy into the market at a discounted price.
Conclusion
The Binance.US USD withdrawal incident and the USDT depeg have both had a negative impact on the cryptocurrency market. However, it is important to note that these are just two isolated incidents, and the overall cryptocurrency market is still growing. Investors who are considering investing in crypto should do their own research and understand the risks involved.
#opbnb #zachxbt
$BTC $SOL
$ETH
Binance.US has restored #USD withdrawals after a temporary suspension due to "extreme market conditions." However, the exchange has also announced major changes to its operations in response to the incident.What Happened?
On June 13, 2023, Binance.US announced that it would be temporarily suspending USD withdrawals due to "extreme market conditions." The exchange said that its banking partners had indicated that they would be terminating their services with Binance.US, which made it impossible for the exchange to process USD withdrawals.
What's Changed?
Binance.US has restored USD withdrawals, but the exchange has also announced major changes to its operations. These changes include:
Binance.US will no longer offer fiat-to- #crypto trading pairs. This means that users will no longer be able to deposit USD into Binance.US and then trade it for cryptocurrencies.
Binance.US will be working with a new set of banking partners. These partners are more likely to support cryptocurrency businesses, and they are less likely to terminate their services with Binance.US in the future.
Binance.US will be increasing its compliance efforts. This includes working with regulators to ensure that it is in compliance with all applicable laws and regulations.
Why Did This Happen?
The Binance.US USD withdrawal incident was likely caused by a combination of factors, including the recent decline in the cryptocurrency market and the ongoing regulatory scrutiny of the cryptocurrency industry. The USDT depeg is a separate issue, but it is related to the Binance.US USD withdrawal incident. USDT is a stablecoin that is supposed to be pegged to the US dollar. However, on June 13, 2023, USDT briefly lost its peg to the US dollar, trading as low as $0.94. This was likely due to the uncertainty surrounding the Binance.US USD withdrawal incident.
What's Next?
It remains to be seen how the changes announced by Binance.US will impact the cryptocurrency market. However, the exchange has said that it is committed to providing its users with a secure and compliant platform to trade cryptocurrencies.
Is This a Good Time to Invest in Crypto?
The recent volatility in the cryptocurrency market has made it a challenging time to invest in crypto. However, long-term investors may still see this as an opportunity to buy into the market at a discounted price.
Conclusion
The Binance.US USD withdrawal incident and the USDT depeg have both had a negative impact on the cryptocurrency market. However, it is important to note that these are just two isolated incidents, and the overall cryptocurrency market is still growing. Investors who are considering investing in crypto should do their own research and understand the risks involved.
#opbnb #zachxbt
$BTC $SOL
$ETH
Dollar index reached target zone. From here we have a situation where both scenarios have 50% chances to happen. So I won't push any of them as the main one.
🔸Bounce from that zone (which alone may take 2-3 weeks) will push #DollarIndex back to 2022 close where it will either breakout or pull back again as shown by the original drawing. During consolidation BTC can still grow, but during the bounce it will go into correction.
🔸Break through that support will result in #DXY dump towards 99.7 and maybe 98.3 - whatever will be the reasons for that #USD weakness it will be very bullish for risk assets.
🔸Bounce from that zone (which alone may take 2-3 weeks) will push #DollarIndex back to 2022 close where it will either breakout or pull back again as shown by the original drawing. During consolidation BTC can still grow, but during the bounce it will go into correction.
🔸Break through that support will result in #DXY dump towards 99.7 and maybe 98.3 - whatever will be the reasons for that #USD weakness it will be very bullish for risk assets.
The Collapse of Stablecoin Projects: Real USD Lost Investor’s $131,000 in a Single Transaction👇
On October 11, the cryptocurrency community was rattled by a crisis in the stablecoin sector. Real USD (USDR), a real estate-backed stablecoin project, took a serious hit, leading to the vanishing of an investor's $131,000 investment. This incident unfolded when the investor attempted to exchange their USDR tokens for USDC, and they did so at a time when the value of USDR had plummeted by approximately 50% due to liquidity issues.
While the investor faced significant losses, an arbitrage bot operating in the ecosystem capitalized on the situation, making an impressive $107,000 in profit. This occurrence illustrates the vulnerability of stablecoins and the substantial price swings that can occur when liquidity is compromised in DeFi protocols. Such situations often see arbitrage bots step in, adding a layer of complexity to the market.
This isn't the first time such a situation has arisen. In September 2022, an investor sold cUSDC worth $1.8 million through the Uniswap DEX V2 and received a mere $500 worth of assets in return. A robot known as MEV profited over $1 million in that instance. It's essential to emphasize that these incidents don't involve hacking attacks but rather weaknesses within the system.
In the aftermath of this crisis, USDR announced its withdrawal from the market. Despite corporate backing, only 15% of the $45 million company assets were allocated to support the token at its launch, with the rest backed by tokenized real estate assets.
These incidents serve as a stark reminder of the challenges and uncertainties that continue to surround the world of cryptocurrencies. While crypto offers exciting opportunities, it's vital for investors to remain informed and cautious. The stability of stablecoins may not always be as rock-solid as we hope. #cryptocurrency #crypto2023 #USD #opbnb #Layer2
On October 11, the cryptocurrency community was rattled by a crisis in the stablecoin sector. Real USD (USDR), a real estate-backed stablecoin project, took a serious hit, leading to the vanishing of an investor's $131,000 investment. This incident unfolded when the investor attempted to exchange their USDR tokens for USDC, and they did so at a time when the value of USDR had plummeted by approximately 50% due to liquidity issues.
While the investor faced significant losses, an arbitrage bot operating in the ecosystem capitalized on the situation, making an impressive $107,000 in profit. This occurrence illustrates the vulnerability of stablecoins and the substantial price swings that can occur when liquidity is compromised in DeFi protocols. Such situations often see arbitrage bots step in, adding a layer of complexity to the market.
This isn't the first time such a situation has arisen. In September 2022, an investor sold cUSDC worth $1.8 million through the Uniswap DEX V2 and received a mere $500 worth of assets in return. A robot known as MEV profited over $1 million in that instance. It's essential to emphasize that these incidents don't involve hacking attacks but rather weaknesses within the system.
In the aftermath of this crisis, USDR announced its withdrawal from the market. Despite corporate backing, only 15% of the $45 million company assets were allocated to support the token at its launch, with the rest backed by tokenized real estate assets.
These incidents serve as a stark reminder of the challenges and uncertainties that continue to surround the world of cryptocurrencies. While crypto offers exciting opportunities, it's vital for investors to remain informed and cautious. The stability of stablecoins may not always be as rock-solid as we hope. #cryptocurrency #crypto2023 #USD #opbnb #Layer2
The Multichain bridge, which came to the fore with the hacking event it experienced before, faced a hacking event again yesterday.
Making a statement about the hack event, the #Multichain team stated that they were faced with an unexpected event and said that all users should suspend the use of Multichain services and cancel all Multichain-related transactions.
In this incident, it was stated that hackers exploited a vulnerability in the bridge's smart contract to steal millions of dollars worth of cryptocurrencies, including Wrapped #Bitcoin (WBTC), #USD Coin ($USDC ), Dai (#DAI ), and Wrapped #Ether (WETH ).
Making a statement about the hack event, the #Multichain team stated that they were faced with an unexpected event and said that all users should suspend the use of Multichain services and cancel all Multichain-related transactions.
In this incident, it was stated that hackers exploited a vulnerability in the bridge's smart contract to steal millions of dollars worth of cryptocurrencies, including Wrapped #Bitcoin (WBTC), #USD Coin ($USDC ), Dai (#DAI ), and Wrapped #Ether (WETH ).
US foreign currency debt ratings being downgraded, but the negative impact should not be long-lasting 🤨
To further ‘rub salt in the wound’, Fitch Ratings announced after the market-close that it has cut its long-term foreign-currency issuer rating on the US to AA+, stating “the repeated debt-limit political standoffs and last-minute resolutions have eroded confidence in fiscal management”. While the headlines sound ominous, we would caution against any over-reaction against the headlines, as the S&P’s last rating cut back in 2011 actually led to a drop in US yields and a rise in the USD as a counter-intuitive “flight to quality” reaction. We would be surprised to see any lingering and negative price impact on bond yields from this action alone.
#US #currency #debt #market #USD
To further ‘rub salt in the wound’, Fitch Ratings announced after the market-close that it has cut its long-term foreign-currency issuer rating on the US to AA+, stating “the repeated debt-limit political standoffs and last-minute resolutions have eroded confidence in fiscal management”. While the headlines sound ominous, we would caution against any over-reaction against the headlines, as the S&P’s last rating cut back in 2011 actually led to a drop in US yields and a rise in the USD as a counter-intuitive “flight to quality” reaction. We would be surprised to see any lingering and negative price impact on bond yields from this action alone.
#US #currency #debt #market #USD
BREAKING: PayPal Launches a Stablecoin for Payments and Transfers
#PayPal is launching its own #stablecoin option. PayPal is preparing to launch PayPal USD ( #PYUSD ).
PayPal USD (PYUSD) will be issued by #Paxos Trust Co. and will be fully backed by US dollar deposits, short-term treasury bonds and similar cash equivalents.
Global online payments giant PayPal has announced the launch of its own cryptocurrency stablecoin, PayPal USD (PYUSD), to expand its crypto services and give its customers more choice.
PayPal #USD is the Paxos Trust Co., a regulated trust company and custodian of digital assets. and will be fully backed by US dollar deposits, short-term Treasuries and similar cash equivalents.
Stablecoins are a type of cryptocurrency that are designed to maintain a stable value, often pegged to a traditional asset like a fiat currency (such as the US Dollar), a commodity (like gold), or other financial instruments. The primary goal of stablecoins is to mitigate the price volatility commonly associated with other cryptocurrencies like Bitcoin or Ethereum. This stability makes stablecoins useful for various applications, such as facilitating transactions, serving as a store of value, and enabling smart contracts on blockchain platforms. Here's a comprehensive overview of stablecoins:
Types of Stablecoins:
Fiat-Collateralized Stablecoins: These stablecoins are backed by reserves of traditional fiat currencies, typically held in a bank. Each issued stablecoin is pegged to a specific amount of the fiat currency, like 1:1 with the US Dollar. Examples include USDC (USD Coin), Tether (USDT), and TrueUSD (TUSD).
Commodity-Collateralized Stablecoins: These stablecoins are backed by physical assets like precious metals (e.g., gold) or other commodities. The value of the stablecoin is tied to the value of the underlying asset. Digix (DGX) is an example of a gold-backed stablecoin.
Crypto-Collateralized Stablecoins: These stablecoins are backed by other cryptocurrencies or digital assets. Users lock up a certain amount of cryptocurrency as collateral to mint stablecoins. MakerDAO's DAI is a well-known example, where Ether (ETH) is used as collateral.
Algorithmic Stablecoins: These stablecoins rely on smart contracts and algorithms to maintain their stability. They are not directly backed by any collateral but use mechanisms to control their supply and demand. Ampleforth (AMPL) is an example of an algorithmic stablecoin.
How Stablecoins Maintain Stability:
Collateral Reserve: In fiat and commodity-backed stablecoins, the stability is maintained by keeping reserves of the underlying asset to back the stablecoin issuance.
Over-Collateralization: In crypto-backed stablecoins like DAI, users must lock up more cryptocurrency than the value of the stablecoins they mint, creating a buffer against price fluctuations.
Algorithmic Adjustments: Algorithmic stablecoins use smart contracts to adjust the supply of coins based on market demand. If the price is too high, the smart contract may issue more coins, and if the price is too low, it may decrease supply.
Use Cases and Benefits:
Payments and Remittances: Stablecoins can be used for quick and low-cost cross-border payments and remittances, without the volatility associated with other cryptocurrencies.
Decentralized Finance (DeFi): Stablecoins are a cornerstone of DeFi platforms, enabling users to lend, borrow, trade, and earn interest on their assets without worrying about price fluctuations.
Smart Contracts: Stablecoins facilitate more predictable and reliable execution of smart contracts by minimizing the risk of price volatility during contract execution.
Store of Value: Users can use stablecoins as a digital store of value, preserving wealth without being exposed to the extreme price swings of other cryptocurrencies.
Challenges and Considerations:
Centralization Risk: Fiat-backed stablecoins are centralized as they rely on trusted custodians and banks to hold reserves.
Transparency and Auditing: Ensuring proper collateralization and auditing of reserves is essential for maintaining trust.
Regulatory Challenges: Stablecoins could face regulatory scrutiny, especially if they are perceived as acting like traditional financial instruments.
Smart Contract Risks: Algorithmic stablecoins are subject to potential vulnerabilities in their smart contract code.
Stablecoins have gained significant traction and play a crucial role in bridging the gap between traditional finance and the blockchain ecosystem. They offer stability and utility, making them valuable tools for various financial and commercial applications.
PayPal USD (PYUSD) will be issued by #Paxos Trust Co. and will be fully backed by US dollar deposits, short-term treasury bonds and similar cash equivalents.
Global online payments giant PayPal has announced the launch of its own cryptocurrency stablecoin, PayPal USD (PYUSD), to expand its crypto services and give its customers more choice.
PayPal #USD is the Paxos Trust Co., a regulated trust company and custodian of digital assets. and will be fully backed by US dollar deposits, short-term Treasuries and similar cash equivalents.
Stablecoins are a type of cryptocurrency that are designed to maintain a stable value, often pegged to a traditional asset like a fiat currency (such as the US Dollar), a commodity (like gold), or other financial instruments. The primary goal of stablecoins is to mitigate the price volatility commonly associated with other cryptocurrencies like Bitcoin or Ethereum. This stability makes stablecoins useful for various applications, such as facilitating transactions, serving as a store of value, and enabling smart contracts on blockchain platforms. Here's a comprehensive overview of stablecoins:
Types of Stablecoins:
Fiat-Collateralized Stablecoins: These stablecoins are backed by reserves of traditional fiat currencies, typically held in a bank. Each issued stablecoin is pegged to a specific amount of the fiat currency, like 1:1 with the US Dollar. Examples include USDC (USD Coin), Tether (USDT), and TrueUSD (TUSD).
Commodity-Collateralized Stablecoins: These stablecoins are backed by physical assets like precious metals (e.g., gold) or other commodities. The value of the stablecoin is tied to the value of the underlying asset. Digix (DGX) is an example of a gold-backed stablecoin.
Crypto-Collateralized Stablecoins: These stablecoins are backed by other cryptocurrencies or digital assets. Users lock up a certain amount of cryptocurrency as collateral to mint stablecoins. MakerDAO's DAI is a well-known example, where Ether (ETH) is used as collateral.
Algorithmic Stablecoins: These stablecoins rely on smart contracts and algorithms to maintain their stability. They are not directly backed by any collateral but use mechanisms to control their supply and demand. Ampleforth (AMPL) is an example of an algorithmic stablecoin.
How Stablecoins Maintain Stability:
Collateral Reserve: In fiat and commodity-backed stablecoins, the stability is maintained by keeping reserves of the underlying asset to back the stablecoin issuance.
Over-Collateralization: In crypto-backed stablecoins like DAI, users must lock up more cryptocurrency than the value of the stablecoins they mint, creating a buffer against price fluctuations.
Algorithmic Adjustments: Algorithmic stablecoins use smart contracts to adjust the supply of coins based on market demand. If the price is too high, the smart contract may issue more coins, and if the price is too low, it may decrease supply.
Use Cases and Benefits:
Payments and Remittances: Stablecoins can be used for quick and low-cost cross-border payments and remittances, without the volatility associated with other cryptocurrencies.
Decentralized Finance (DeFi): Stablecoins are a cornerstone of DeFi platforms, enabling users to lend, borrow, trade, and earn interest on their assets without worrying about price fluctuations.
Smart Contracts: Stablecoins facilitate more predictable and reliable execution of smart contracts by minimizing the risk of price volatility during contract execution.
Store of Value: Users can use stablecoins as a digital store of value, preserving wealth without being exposed to the extreme price swings of other cryptocurrencies.
Challenges and Considerations:
Centralization Risk: Fiat-backed stablecoins are centralized as they rely on trusted custodians and banks to hold reserves.
Transparency and Auditing: Ensuring proper collateralization and auditing of reserves is essential for maintaining trust.
Regulatory Challenges: Stablecoins could face regulatory scrutiny, especially if they are perceived as acting like traditional financial instruments.
Smart Contract Risks: Algorithmic stablecoins are subject to potential vulnerabilities in their smart contract code.
Stablecoins have gained significant traction and play a crucial role in bridging the gap between traditional finance and the blockchain ecosystem. They offer stability and utility, making them valuable tools for various financial and commercial applications.
1. **DigiFT's US Treasury #Token DUST Launch:** DigiFT, a security #Token decentralized exchange ( #DEX ) operating under Singapore's MAS FinTech Regulatory Sandbox, has introduced the US Treasury Token DUST. This investment opportunity enables investors to purchase the token using USD or USDC, offering an annualized return rate of 5.40% until August 3, 2023.
2. **Innovation in a Regulated Environment:** DigiFT's participation in the MAS FinTech Regulatory Sandbox reflects its dedication to developing innovative #technology within a controlled and regulated framework. This move underscores their commitment to fostering secure and diverse investment options for their users.
3. **Investment Choice:** The launch of the US Treasury Token DUST highlights DigiFT's drive to provide investors with flexible options by allowing token acquisition through both traditional #USD and the USD-pegged stablecoin, USDC, further broadening their range of investment possibilities.
2. **Innovation in a Regulated Environment:** DigiFT's participation in the MAS FinTech Regulatory Sandbox reflects its dedication to developing innovative #technology within a controlled and regulated framework. This move underscores their commitment to fostering secure and diverse investment options for their users.
3. **Investment Choice:** The launch of the US Treasury Token DUST highlights DigiFT's drive to provide investors with flexible options by allowing token acquisition through both traditional #USD and the USD-pegged stablecoin, USDC, further broadening their range of investment possibilities.
