(Nov 28, 2025 09:46 AM)Omniscient Wrote:  [x]https://x.com/DeFi_Hanzo/status/1994180609925656723?s=20[x]

For those who trust Stablecoins, this keeps happening. It's not at an alarming rate but it's only going to take one government regulation, an executive order, or a Senate hearing and they'll drop the hammer on tons of stablecoins.

Be very careful about the percentage of your portfolio you hold in centralized stablecoins.

USDS (formerly DAI) is one actually decentralized stablecoins without freeze ability. Unfortunately I do believe their backing assets does include Tether.

Still, be cautious in the world of Smart Contracts and the myth it's decentralized and your funds can get frozen.

(Nov 28, 2025 09:48 AM)The Joker Wrote:  If someone wants to invest on stablecoins, it's better to invest on gold/silver, etc.

(Nov 28, 2025 09:48 AM)nodes Wrote:  Oof

I am wary of stablecoins because many of them have volatile collateral that could cause a death spiral if they can't execute trades faster than their margins slip in a bad crash.

It worries me that we have volatile crypto being backed up with stablecoins that also have volatile collateral, in an incestuous cycle of crypto-to-crypto defi

If a coin is backed up by a coin that is backed up by that same coin.... That's fucked, but that's reality right now

(Nov 28, 2025 10:08 AM)Mewtwo Wrote:  I never trusted USDT, they print billions in thin air. Not a lot of real proof audits with their 1:1 backup:

NYAG - they were actually backed by loans, commercial paper, and unsecured assets
CFTC - they said they only had 27% during the time of 2016-2018.

Actually, none of them have proof of backing with the complete Big Four.

It’s more of a Wild West here. There’s not much regulations in place. Even if found convicted, they just print it all up to make it up for it.

(Nov 28, 2025 10:19 AM)SUI-3183372 Wrote:  I used to think similarly, but have completely shifted my stance over the last 3 years. Over the last 3 years, I've had the opportunity to work with Tether on a somewhat regular basis, and working with the Tether team compared to working with the Circle/USDC team is night and day. Tether are transparent, they're quick to act, they aid the security community greatly with a very open flow of information coming in and out to Tether. North Korea steals $10m? You better believe Tether have that address blacklisted in 30 minutes (after thoroughly verifying the facts of the matter), Circle won't give you a reply until 2 weeks later, and even then it's just to tell you that they need more information. North Korea is thriving right now entirely due to Circle, if Circle operated anywhere close to the way that Tether does, North Korea would very likely have lost somewhere in the ballpark of 50% of the funds that they've been able to secure thanks to Circle.

Even Tether's stance against MiCA is commendable in my eyes. MiCA would force Tether to wind down their investments in US Treasury bonds in favor of weaker EU-based investments/holdings.

I've shifted 99% of my stable holdings over to Tether in recent years, only deviating when yields are too good to pass on other stables.

(Nov 28, 2025 09:46 AM)Omniscient Wrote:  USDS (formerly DAI) is one actually decentralized stablecoins without freeze ability.  Unfortunately I do believe their backing assets does include Tether.

(Nov 28, 2025 12:12 PM)SUI-3183372 Wrote:  Important distinction, USDS is not a rebranding of DAI, they are two different and unique assets.

USDS is MakerDAO's new stablecoin that is aiming for compliance, DAI will remain a secondary offering by MakerDAO. "Upgrading" your DAI into USDS is optional, you are free to continue holding and transacting with DAI.

Fortunately DAI isn't going anywhere, unfortunately it will turn into MakerDAO's black sheep of the family, and DAI will lose focus. Yield opportunities are going to be directed to USPS, we'll see DAI liquidity start to dry up. I fear this puts DAI at increased risk of the assets backing DAI to view it as too unruly or unregulated and we see the issuers of these assets tell MakerDAO/DAI to comply or risk these assets being frozen.

(Nov 28, 2025 03:09 PM)Omniscient Wrote:  https://www.coingecko.com/en/coins/dai

Better tell Coingecko.

Quote:Do I have to upgrade my DAI?

No. DAI will remain unaltered in it's original form for the foreseeable future. You can continue to hold the token exactly as you have in the past. But only by holding USDS and SKY can you utilise the Sky Protocol functionalities available in your region.

(Nov 28, 2025 09:58 AM)Omniscient Wrote:  And that's the problem, they absolutely have issues with collateral. if there should be better regulation in the industry, it technically imho should be with stablecoins.