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Stable coins vs Alt coins?

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  • #31
    Originally posted by disneysteve View Post

    Very interesting. So the next question is what risk is there to the investor? If they are lending out the money and a borrower defaults or they invest in a company that underperforms or goes under, they may not be able to maintain the interest payments. Is there also risk of losing principal?

    Obviously there has to be some significant risk here or else we'd all dump our portfolios into these 9.5% interest accounts.

    they can't default on over collaterized loan..

    The risks are
    - regulatory risks ( government is coming hard after stable coins.. they want to fold that industry into their own banking system.. because as you can see it's a threat to the big banks.. and to be fair to the banks ..they are not allowed to offer products like these. ALthough I don't think the regulatory risk is much of a threat to the consumer.
    - company risks - because they are not regulated .. and it's not that transparent.. that's why a lot of ctypto enthusiasts prefer the over collaterized loan of the smart contracts because everyone can see where the money is coming and going.


    Of course the smart contracts come with their own risks, smart contract bugs , & the potential of being hacked.

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    • #32
      Originally posted by james.hendrickson View Post

      That's like asking which stock someone should buy. Ha ha.

      Question - which altcoins are you considering? That might help move the conversation forward.
      Do you have any idea about CoinField Coin (CFC)? Though, this coin is new but limited in supply.

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