Hello Crypto Fam.
So, the FSB has released a recommendation on stablecoin regulation. They are doubting the notion that stablecoins are "stable," arguing that issuers lack the necessary tools to keep their stablecoin peg at all times, implying that no stablecoin currently meets their recommendations.
What do you guys think about this? Would you recommend the use of stablecoins or they just aren't worth the risk?
The simple truth in my opinion is, that no crypto stable coin that exists right now is really 100% safe, so waht the FSB is saying is definitely true in my opinion. I mean just look at what happened with Terra Luna a few months ago. They could not hold their stablecoin at the dollar peg anymore and that killed the whole company and brought the rest of the crypto market down. Without the events of Terra Luna i think FTX would not be bankrupt today.
Also USDT has also lost it's PEG for a few days. According to coinmarketcap it is at 0,9996 at the moment. Of course this is only a very small deviation from it's peg but still. As long as their is no official digital $ or we won't have real stablecoins.