Stablecoins seem to be recording a surge in adoption after several mainstream companies steered towards the same by launching their own. While some believe that stablecoins might be beneficial to the crypto-space as they eliminate the fear of volatility, a few others [mostly financial watchdogs] believe that stablecoins could have a negative effect on financial stability. However, Catherine Coley, CEO of Binance.US, agrees with the former.
During a recent Ask Me Anything [AMA] session, Coley, while addressing the several developments pertaining to the Binance.US platform, tumbled upon the question of stablecoins. Coley went on to highlight the flexibility of stablecoins, and claimed that they let holders engage in the cryptocurrency community when they want to. Stablecoins also give holders the leverage of sitting on the sidelines and speculating on when they wish to interact with the market.
Coley added,
“Stablecoins provide an ability to still stay engaged [with the crypto industry] without being fully binary, like completely in the system or out of the system.”
Coley also suggested that stablecoins are very important to people who learn to build the position that they are comfortable in.
Binance USD [BUSD], Binance’s stablecoin pegged to the U.S. dollar, was built on the Ethereum blockchain and Maker’s stablecoin, DAI, has been in the news lately following the launch of a Multi-Collateral Dai. Recently, Ethereum’s Co-founder Joseph Lubin had pointed out that stablecoins were extremely valuable to the emerging digital economy.
Earlier today, Binance also added support for altcoins Stellar [XLM] and Cardano [ADA], against its native stablecoin, BUSD.
It should be noted here that Binance.US came about following several regulatory concerns that arose in the United States. Despite rolling out an entirely new platform to comply with U.S regulations, not everyone can avail the services of Binance.US as around 13 states are yet to get Binance.US. Coley revealed that the platform’s expansion plan to other states is still in the application process. Coley also discounted any expansion plans to Canada in the near-term, stating that her priority is on securing a launch across the United States.
