Crypto Stablecoins (USDC, BUSD, USDT) (1 Viewer)

[DrStrange]

Any institution offering you " interest" is offering an implied deal. You earn "interest" and agree to take on the risks of insolvency. Traditional banking now uses depository insurance to mitigate this risk. Not so much with crypto "banks".

Maybe it is a good deal, but it isn't free money. It isn't risk free. Many people learned harsh lessons a century ago as unregulated banking speculation lead to chronic losses, but it seems these lessons need to be relearned by new generations. Be careful out there.

Very likely these sorts of transactions are taxable income as well. Even if you don't get a 1099 sort of notice.

And I also would expect every transaction using a stable coin to require a matching line on your tax return. Sure, the transaction might be a zero gain/loss trade, but these are all still taxable trades.

 

[LotsOfChips]

The entire "can I trust Coinbase" is why I encourage anyone and everyone using crypto to only keep your virtual currencies on an exchange for as long as you need to. Then you don't have to trust them long term. Withdraw your virtual currencies to your own protected/secure wallet. If every FTX customer did this, then they would not have lost anything.

^^ This!

After Mt. Gox, 3AC, Voyager, Blockfi, Celcius, Babel, Hodinaut, FTX, etc. , you would be crazy to keep anything on an exchange for longer than it takes to make a purchase.

Then there are the multiple coins that were once touted as the next great thing - Terra/Luna, Zilliqa, SpaceBIT, PayCoin, GetGems, Squid Game, Bogged Finance, Ekta, OneCoin, DAO. etc.

I'm not trashing the idea of blockchain, but in the unregulated wild west that is currently crypto, caveat emptor seems like a relevant saying.

 

[Carnth]

^^ This!

After Mt. Gox, 3AC, Voyager, Blockfi, Celcius, Babel, Hodinaut, FTX, etc. , you would be crazy to keep anything on an exchange for longer than it takes to make a purchase.

Then there are the multiple coins that were once touted as the next great thing - Terra/Luna, Zilliqa, SpaceBIT, PayCoin, GetGems, Squid Game, Bogged Finance, Ekta, OneCoin, DAO. etc.

I'm not trashing the idea of blockchain, but in the unregulated wild west that is currently crypto, caveat emptor seems like a relevant saying.

Again all this is outside the scope of this thread (look at me trying to get this thread back on track). We're just talking about how to get USDC and use it to buy chips to feed our addiction.

There are many dangers in crypto. But you don't have to step into dangerous territory to use it.
There's risk in everything you do in your daily life... Driving in traffic, climbing a ladder, carrying cash in the downtown area, using dice chips at a PCF meetup, just going to a PCF meetup... But I digress.

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For everyone:
Buying USDC and then immediately sending it as a payment is the safest thing you can doing regarding virtual currency.

As I recommended in an earlier post, get your feet wet by trying with a small amount. Five bucks. Send it to your friend(s) to test how the whole things works. Cash it out. If something goes wrong, five bucks is not bad for a learning experience.

 

[kk405]

^^ This!

After Mt. Gox, 3AC, Voyager, Blockfi, Celcius, Babel, Hodinaut, FTX, etc. , you would be crazy to keep anything on an exchange for longer than it takes to make a purchase.

Then there are the multiple coins that were once touted as the next great thing - Terra/Luna, Zilliqa, SpaceBIT, PayCoin, GetGems, Squid Game, Bogged Finance, Ekta, OneCoin, DAO. etc.

I'm not trashing the idea of blockchain, but in the unregulated wild west that is currently crypto, caveat emptor seems like a relevant saying.

For the purpose of buysing/selling chips and or other small transactions on PCF, I have zero interest going beyond USDC. I will buy/sell immediately and transfer to my bank all the net proceeds immediately...

As I recommended in an earlier post, get your feet wet by trying with a small amount. Five bucks. Send it to your friend(s) to test how the whole things works. Cash it out. If something goes wrong, five bucks is not bad for a learning experience.