Oddbean new post about login | logout Stablecoins are just non-kyc fiat bank accounts. They serve a real purpose for real people
bitcoin is also non-kyc, why not use that instead? people who use stablecoins instead of bitcoin have reasons for doing so I'm just trying to persuade them they are dumb reasons
Broke people are risk averse as hell and will prefer stability even if it doesn't logically compute. They will use tron to access stablecoins instead of btc because they over-price day-to-day risks while ignoring the less common massive risks.
People in the global south use stablecoins because they denominate everything in dollars and are not comfortable with Bitcoin yet. Now if you use a stablechannel that runs on bitcoin rails that's better because they will be on boarded to Bitcoin regardless. It's a temporary measure until everyone values everything in SATs.
A temporary purpose in my opinion until BTC reaches such a critical mass that its volatility levels out.