USDC vs USDT, users will be able to trade using stablecoin on Tradecurve
Stablecoins have revolutionized the cryptocurrency landscape, offering stability amidst market volatility. Two prominent stablecoins, U.S. Dollar Coin (USDC) and Tether (USDT), have emerged as popular choices.
Stablecoins have revolutionized the cryptocurrency landscape, offering stability amidst market volatility. Two prominent stablecoins, U.S. Dollar Coin (USDC) and Tether (USDT), have emerged as popular choices. Tradecurve is a new hybrid investment platform that will allow the use of USDT but also offers unique ways for people to hold cash that do not rely on stablecoins.
USDC - Pros and Cons
Both USDC and USDT are on the Ethereum blockchain, although there is also the TRC version of USDT which operates on Tron’s network and offers lower fees.
Collaboratively developed by Coinbase and Circle, USDC is backed by an equivalent amount of dollar-denominated assets. Despite minor fluctuations, the price of USDC aims to remain pegged at $1.
In March however, there was a bit of a struggle for USDC to keep its value pegged to the U.S. dollar. This caused some panic among investors, but Circle took action to address the issue. They removed around 3.9 billion USDC from circulation to help stabilize things.
The trouble started when Circle's association with the troubled Silicon Valley Bank (SVB) came to light during a potential crisis in the banking industry. As a result, USDC's price dropped to 87 cents against the dollar before rebounding. Traders rushed to swap their USDC for Ether (ETH) and Tether (USDT).
USDT - Pros and Cons
Tether's history is not without controversy. While Tether aims to ensure each USDT remains equivalent to $1, previously doubt arose regarding transparency and token backing. Initially claiming full backing by the dollar, Tether Limited later disclosed that only 74% of tokens were backed by cash or cash equivalents. Reports indicate that Tether's reserves consisted of secured loans, corporate bonds, and commercial paper, with cash reserves comprising a small portion.
However, Tether has now changed its assets to be 100% backed by cash or similar, and plans to also buy Bitcoin (using profits) to diversify its portfolio.
USDT has generally maintained its peg to the US dollar. However, instances of depegging have occurred in the past, such as during the Terra UST crash in May 2022.
Tradecurve - A new way to use (or avoid) stablecoins
While transparency in the stablecoin space has greatly improved, some traders are looking for new ways to store their dollars on-chain. Tradecurve allows people to swap their USDT for stocks, bonds, indices, ETFs and even commodities like gold, and of course other cryptos. This hybrid model combines the best of traditional brokerages and CEXes like Binance, with the transparency of a DEX like SushiSwap.
CEX-like features include the ability for traders to use leverage (via collateralized crypto) at a rate of 500:1, while offering anonymity for traders who want it. The fact that it is on chain and doesn’t require KYC means that people targeted by unfair regulations can get access to all kinds of financial instruments.
Tradecurve’s token is TCRV which can be staked to earn income and secure deep liquidity for the platform. Holders will also get discounts on trading fees.
TCRV is currently in the second stage of presale on offer at $0.012, and some experts predict the coin will rise to around $5 upon launch on major exchanges, both CEXes and DEXes. USDT is one of the accepted currencies for buying into the presale. Given that Binance’s BNB coin was launched for $0.11 in 2017 and now trades at over $300 a coin, the analysts' predictions seem reasonable.
For more information about TCRV presale tokens:
Website: https://tradecurve.io/
Buy presale: https://app.tradecurve.io/sign-up
Twitter: https://twitter.com/Tradecurveapp
Telegram: https://t.me/tradecurve_official
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