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Goldman Sachs tells us what it takes to make stablcoins successful

Goldman Sachs told us what it takes to make stablcoins successfulВ Goldman Sachs рассказали, что надо для успеха стейблкоинов

Algorithmic steblecoins can succeed in the long term only if they are widely used in payment transactions. That’s the conclusion reached by analysts at Goldman Sachs.

In their report, the experts pointed out that, currently, stabelcoins are being used as a means of payment “only on a limited level.”

“If real-world use were to expand over time, it could create a more stable base of demand for the assets. Hypothetically, an algorithmic stabelcoin could survive in the long run if it had a steady demand associated with transactions,” the paper said.

Goldman Sachs noted that “stablecoins” fill a need in the cryptocurrency market by allowing investors to trade less volatile assets without the hassle of converting to fiat.

“However, algorithmic stablecoins in particular are vulnerable to self-fulfilling crises, which is now evident after the collapse of UST and LUNA. […] appropriate regulation could improve stability and reduce risk in the stablcoin market,” the analysts added.

As a reminder, the Fed has spoken out about the risks associated with stablocoins.


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