Are more stablecoins still needed in crypto?

I've been wondering, do we really need even more stablecoins in this crypto scene? Honestly, I think we already have plenty. But it seems like every time a new coin pops up, another stablecoin follows. Look at USDT, USDC, BUSD, satUSD, and a bunch of others out there. They just come up with a name, and voilà, they hit the market. Plus, I've noticed that with stablecoin projects like River that allow value to flow smoothly across different chains without needing bridges, these coins start getting listed and gaining visibility even before they officially launch.

USDT & USDC are enough for me, I don’t think we need any more. If we start getting lots of individual, exchange based stablecoins we risk another FTX type situation & that’s not something I want to see again.

But many of them are coming into the market. With the stablecoin act that Trump passed recently, we should expect more of them to come. What I do not just like is how some can depeg at anytime. Yala was the recent one that depegged but it later increased to almost $1. I will prefer more stable coins to come into the market, but I do not like algorithmic stable coins.

As the saying goes, the more the better. And since Trump administration is crypto friendly, this companies are really getting into the stable coin market. Maybe it's going to be good along the way as we have a lot of options now, market of stablecoins become so liquid. The problem that I can only see is that if there will be a new one that join and suddenly gets the hype then suddenly de-pegs on the supposedly 1:1. If that happens then there is going to be a big problem. And this new stable coins should not be operating on the notion of fractional reserves, they should really back up everything 1:1 so that this issues is not going to happen.

Quantity doesn't mean quality. There can be hundreds of stablecoins available on this market, and it may be still not enough yet, because they lack trust and sustainability. Stablecoins are a polemical matter until nowadays, as there isn't solid proof and evidence they can maintain the 1:1 ratio for sure in case everyone started suddenly dropping their stablecoins on the market at same time. Do they have sufficient exchange reserves to keep the stablecoins ratio sustainable? Since there are doubts on this point, the advice is to not hold large portions of stablecoins for too long.

USDT is more than enough for me. I don't even need USDC for my transactions when Usdt is always serving me. I see multiple stablecoins as unnecessary because I still cannot understand the kind of competition which occur between these stable coins since most of their prices are nearly fixed and not so volatile like the bitcoin and other altcoins but I also guess having just the two may not go smoothly for two reasons. One reason is because some people do not want to use USDT for transactions because they feel USDT is the digital version of USD and Secondly because using just Usdt for example can cause a lot of delays on the system as the system might become overwhelmed.

The more stables appear in the market, the greater the risks become. This raises the likelihood that another collapse like FTX, Luna or something similar could emerge.

Truth is apart from USDC and USDT I haven't for once used any other stablecoins and I also want to believe that there are people like me out there so then do we really then more stable coins, personally no! instead the patterns of stablecoins and exchanges are so strange that they can just be depeged at any instance hence living us to move to another stables again so for me it's a big no!

We don't need more of them, we've got a lot of it already. And if a country will produce their own stable coin in the form of crypto, the CBDCs, this is happening as well. So, that will be another and additional stable coins in the market. I also think that the creation of the newer ones will make more inflow of money out of thin air and that's where another issue will rise. So, for me we don't need anymore. As you've said, we've got plenty of them and we've got enough and so, we have to stick to these ones. There's also the GUSD and other stable coins made by exchanges.

As long as the new stablecoin is properly audited and truly backed by reserve that keeps its peg, I actually have no problem. It will allow me to diversify better and even right now I've been diversifying. Since the market cap of stablecoin is huge anyway, I think it's only normal for us to have many stablecoin alternative, not just stuck with the existing ones.

Seeing how Tether and Circle profit from their stablecoins has attracted a lot of interest, and I believe it's truly a highly profitable market. Just look, even though we're simply creating a stablecoin to facilitate the smooth operation of cryptocurrencies in the blockchain world, the field has become very competitive in terms of profit-making. Because stablecoins are so frequently traded, even becoming the primary means of interaction between real money and the broader blockchain world, USDC and USDT have become giants in this space, with estimated revenues of $1.2 billion to $2.6 billion per 180 days. That's certainly a pretty crazy number.

The question is similar to whether you need more burger chains beyond McDonald's, Wendy's, Burger King, etc. The answer is probably no (for now), but you won't know until the new one emerges and is proven to be better and more beneficial to users. So, as long as the demand for stablecoins remains high, there will be competition, with more companies innovating, tickers coming and going, and the best one prevailing.

We need stablecoins but stables that are properly audited and controlled

Although we know USDT and USDC as stablecoins, all other coins are unstable. However, we can expect more stable coins in the future.

Stablecoins are spawning up like cryptocurrencies and memecoins. It is not the matter of 'do we', it is matter of how to stop these companies to issue stablecoins unbacked by real world assets. USD1 and future infura of stabelcoins ecosystem affecting the market and biased regulations keeping these companies to conduct their business in a free form.

Sure. Starting from other stablecoins that are pegged to something other then USD. There are already stablecoins for other fiat currencies, but i am guessing they are needed more and more. ¨ They are needed both in trading pairs and store of value in case of crash, as USD has been now decreasing in value fast, far more then in other inflation cases in recent history. I mean you can buy one USD with 0,85 euros now. Just this year feb, dollar was still around 0.98 euros.

In the centralized era banks didn't stop at a few number, there were scattered all over the world to serve people's need. Allowing stable coins to be limited would not suit the nature of crypto which is open source for anybody to contribute, build and participate. If any group or organization is determined to make a change in the industry with a new stable coin it'll be great to have them around and see what they've got to offer. Provided a project is real it's welcomed in crypto.

We don't need more of these stablecoins in the crypto market because the more they are coming in the more it could be confusing for users in using any, we have to consider this aspect as well, if they least perform, they might got delisted or unpegged, the way we are only having a few is more perfect for us once they continue and maintain serving their purpose and have their own network.

I do most of my transactions in USDT, USDC, and where you mention BUSD, it was Binance's official stable coin, but it has now been closed and replaced with FDUSD. I personally think I don't need more stablecoins because stable coins have very unclear proof of reserve and there is a lot of risk involved. So I personally think one or two stable coins but proof of reserve is enough as long as it is transparent and trusted.

I will prefer to see more stablecoins so that there will be more options for us. Imagine that we only have USDT and Europe stopped using it what do you think would have happened assuming USDC isn't there. It's good to see more of them to that you can choose which of them that you prefer to the other. Personally, I only use USDT and USDC which are my top stablecoins. I don't think that I will love to try any other only if these two isn't meeting up to my expectations.