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Can Dash provide a stable value coin?

Discussion in 'General Discussion' started by Ricardo Temporal, Mar 22, 2018.

  1. Ricardo Temporal

    Ricardo Temporal New Member

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    I propose the Dash community to provide a stable value coin, supposedly DashUSD. Otherwise, the merchants have to convert their payments to the local currency immediately for the reason of risk management. They just can't accept their business crashing together with the market price. I'm afraid that Dash will never become a digital cash really because of the volatility of the cryptocurrencies. It will be just another asset used as a store of value.

    The demand for stable value coins is increasing as we can see the growth of the market cap of Tether and bitUSD, and the launch of a new stable coin called TrueUSD.

    I propose the Dash community to mimic the bitUSD. Then, we can provide a mobile application for the merchants to accept payments without the need of a third party. Finally, we can really abolish the need of banks and credit cards.

    In fact, the US dollar is not a stable value currency. We should provide a DashUSCPI (Consumer Price Index). Eventually, the coin will be adopted as a unit of account.
     
    #1 Ricardo Temporal, Mar 22, 2018
    Last edited: Mar 22, 2018
  2. camosoul

    camosoul Grizzled Member

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    You mean Tether?
     
  3. yocko

    yocko Member

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    This cannot happen without creating a centralised fake and highly manipulated situation.
    DASH will have stability once it reaches mass adoption and its not just a speculative tool.
     
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  4. TheSingleton

    TheSingleton Active Member
    Masternode Owner/Operator

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    You should take a look at DAI/MakerDAO a fully decentralised stable coin build on Ethereum.
     
  5. deathcutie

    deathcutie New Member

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    Yes, you can trade it easily on Coindeal, they have dash implemented.
     
  6. Ricardo Temporal

    Ricardo Temporal New Member

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    No, not like Tether. Tether and this other solution in Ethereum, both, require a third-party risk. Check the following example of the bitUSD. Replace all the "BitShares" by "Dash". The masternodes could provide the quotation of DASH.

     
  7. camosoul

    camosoul Grizzled Member

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    With DASH's primary feature functionally eliminated by the IRS, not sure what DASH has to offer, much less making it stable...
     
  8. Julia Zitko

    Julia Zitko New Member

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    Hi everyone! I'm working on a project about 'merchants and real businesses accepting cryptocurrency'. It's crypto payments processor which avoids losses due to the volatility of the exchange rate by converting cryptocurrency into traditional money in real time for merchants bank account.

    We are multycryptocurrency and, of course, we accept DASH. Now we've already working in about 50 real businesses in Vilnius, Lithuania. Among them United Colors of Benetton, restaurants, bars, hotels, shops, barbershops, etc. We are planning to hold a huge festival Crypto Vilnius Day this summer to unify crypto and real worlds :)

    Would be happy to chat!
     
  9. Pati_345

    Pati_345 New Member

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    Could you please give us more information about CoinDeal? :)
     
  10. Valhalla

    Valhalla New Member

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    Noone needs stable economic situation here, high volatility of currencies is a crucial part of modern economy ;)
     
  11. rosita

    rosita Member

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    I think DASH will have stability only after the creation of a strong centralized system. but even in this case the probability of stability is very low.
     
  12. Matt Robertson

    Matt Robertson New Member

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    While I think ease of use is the most critical thing to focus on first. The next thing right after that, that prevents people using crypto as a currency is the volatility. A stable coin similar to bitUSD / Steam Dollar should be our next focus. (there is no 3rd party risk with those stable coins... are some full system risks, but bitUSD is 2x collatorlized and all collataeral is refreshed every 30 days. (or last i looked at it.) This is critical to get the mass adoption, venmo, paypal type of usage. Not only does it reduce risk of holding, but also makes the Unit of account in an easy form as well as makes pricing easier, as you don't have to re-price everything every week.

    Payment processor is a nice first step as it eliminates the volitility risk, but the end goal is for people to stay int he world of cryto. We need to create a stable coin baked into the Dash blockchain.

    Again check out the mechanics of how bitUSD or SteamDollar or MKR work (i think I haven't looked at this one recently). they are all market based, no 3rd party risk, more than fully collaterilzed, and fully decentralized. It is possible.

    I know some people will say.... oh oh, it's been pretty stable last couple of months... we don't need a stable coin... okay, just wait till the next boom bust cycle. I'm talking less than 0.5% change/month. When you can show me a 2 year period with no single month that didn't change more 2% I'd say okay, but as it is and will be for a long (10 year+) we need stable coin.
     
  13. Matt Robertson

    Matt Robertson New Member

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    except that every time things cool off a bit, people (some) do start saying... wow look how stable it is now.. no problems anymore. Then it gets crazy again. There are also people that say. oh once the marketcap is big enough the volatility won't be a problem anymore. Well, Look at Facebook, 631 $B -> 511 $B in 1 day. Bitcoin has market cap of 100$B . I think even if Dash gets to a market cap 1 Trillion the volitility will STILL be a problem. Even Ryan Taylor has said volitility will go away when market cap grows. I think he may be wrong about that. Oh more worryingly, we will never get to that point because we can't attract enough users (business and people that want low risk holdings).

    Even a centralized solution like TrueUSD is better than no alternative, does the Omni protocol work on DASH where there could be a token?, The MKR/DAI would be a better option since it's fully decentralized.
     

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