The stablecoin dilemma is worth paying attention to. Over 95% of stablecoins globally maintain their peg against the US dollar—but here's the catch: when you zoom out to a 20-year timeframe, this dependency becomes increasingly risky. Moderate inflation or even hyperinflation scenarios could fundamentally undermine the viability of dollar-pegged assets. This isn't speculation—it's a structural challenge that the crypto space needs to reckon with. As Vitalik has pointed out, relying heavily on a single currency peg introduces systemic vulnerability. The question becomes: how sustainable is this model when macroeconomic conditions shift? It's a conversation that bridges crypto economics and traditional monetary policy in ways most people haven't fully grasped yet.
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LiquidatedAgain
· 12h ago
Here we go again discussing stablecoins. To put it simply, when the dollar skyrockets, our U also cools off. Have you ever thought about that?
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NFTArchaeologis
· 12h ago
Stablecoins, to put it simply, is like putting all your eggs in the US dollar basket. From a 20-year perspective, the risk is indeed quite high.
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StablecoinArbitrageur
· 12h ago
actually, the correlation between usd inflation and stablecoin utility breaks down way faster than 20 years—try running the numbers on the last decade's monetary expansion alone. most people sleeping on this risk haven't even glanced at the basis point shifts in collateral ratios.
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GasDevourer
· 12h ago
Wow, I really can't hold back anymore with this stablecoin situation... Can the US dollar hegemony last after 20 years?
The stablecoin dilemma is worth paying attention to. Over 95% of stablecoins globally maintain their peg against the US dollar—but here's the catch: when you zoom out to a 20-year timeframe, this dependency becomes increasingly risky. Moderate inflation or even hyperinflation scenarios could fundamentally undermine the viability of dollar-pegged assets. This isn't speculation—it's a structural challenge that the crypto space needs to reckon with. As Vitalik has pointed out, relying heavily on a single currency peg introduces systemic vulnerability. The question becomes: how sustainable is this model when macroeconomic conditions shift? It's a conversation that bridges crypto economics and traditional monetary policy in ways most people haven't fully grasped yet.