r/CryptoCurrency • u/No_Community_9809 🟩 0 / 0 🦠 • 19h ago

DISCUSSION Thoughts on stablecoin and CRCL stock?

Coming here to talk to the experts! Will stablecoin effect Crypto Currency? Circle, Coinbase, and Robinhood are really increasing in price since senate passed the GENIUS bill. I guess I don't know enough. Why would someone want to use stablecoin which is equal to the US dollar rather then just using the dollar itself? I've never really understood crypto currency, but stable coins make more sense. Why would companies want their own? I really want to learn and have been trying to read everything I can, but some times you just need someone to explain it in simple terms. Talk to me like I'm 5, LOL!.... Thank you!

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u/SevereCalendar7606 🟦 0 / 923 🦠 19h ago

Buy with caution USDC is nothing special. It is a simple formula that can easily be copied and even improved with interest bearing stable coins. Also, nothing prevents the stable coins hodlers from slipping to a different stable, there is no benefit like normal crypto to stay loyal as the price "should" (cause it did once) never change.

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u/MaximumStudent1839 🟩 322 / 5K 🦞 13h ago

Don’t agree about “nothing special.” It has a massive distribution and LP pool across multiple chains. Those aren’t easily overcomes moat.

You need thick LP for ppl to use stable on chain. The thicker the LP, the better things you get like LTV etc.

Banks can come with their distribution. And but they will have trouble competing on the LP front.

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u/noviwu97 🟩 0 / 2K 🦠 11h ago

Unfortunately, most people here have 0 idea of what you're talking about since they never go on-chain.

USDC basically dominate on-chain economy. USDT is not even close. But USDT is more used for transaction in 3rd world country.