Coinbase has led the digital currency revolution in the US from the front and has grown beyond the American borders to provide services to a global audience. The company is working on several other services too, specifically dedicated to bringing more institutional investment in the space. Speaking at the Money20/20 conference, Coinbase COO Asiff Hirji compared the cryptocurrency sector to the smartphone markets.
What Did Hirji Say?
Coinbase revealed Hirji’s comments in a recent Twitter post, where he said:
“Fintech before crypto is like mobile before the iPhone came along.”
He was referring specifically to stablecoins as for the first time in the world; money has become “programmable.” He said that there would be innovation around this concept and there will be “programmatic money applications like we have not seen before because now money is truly programmable.” He called it the “iPhone moment” for the cryptocurrency industry.
Interestingly, Coinbase has listed only one stablecoin on its exchange – USDC, backed by Circle. It has remained away from Tether, TUSD, Paxos, and GUSD. Their first and only stablecoin listing is also very recent, as USDC was introduced to the exchange on October 25.
Where Will Stablecoins Take the Crypto Industry?
Stablecoins are cryptocurrencies that are pegged to a stable asset. Most of these currencies, like GUSD, Paxos, and USDC are paired to the US Dollar 1:1. This means that every stablecoin can be redeemed for or represents the value of 1 US Dollar. This helps in creating a bridge between the world of fiat and digital currencies. Moreover, if the price is pegged to fiat currency, it reduces the volatility dramatically, hence the name stablecoins.
Recently, Huobi, one of the largest crypto exchanges in the world introduced the HUSD. This stablecoin program, designed for multiple stablecoins pegged to the USD and listed on the exchange, clubs the balances of the stablecoins together and presents them as HUSD. Users can then deposit in GUSD and withdraw in USDC if they like, removing the risk of holding a single stablecoin.
Coinbase COO Asiff Hirji Says Stablecoins Will Enable “Programmatic Money Applications Like We Have Not Seen Before” was originally found on [blokt] – Blockchain, Bitcoin & Cryptocurrency News.