Bitmex Co-Founder Is Calling For A Crazy Idea – A Bitcoin Based Stablecoin
Are you ready to have your socks blown off? Because here comes something that could make the crypto world take note – Bitmex co-founder Ben Delo is calling for the introduction of a Bitcoin based stablecoin! While the idea of a cryptocurrency that is immune to market volatility may at first seem like a contradiction in terms, the concept behind it could revolutionize the crypto market.
What is a Stablecoin?
A stablecoin as the name implies is a cryptocurrency which is not subject to extreme market volatility. The value of stablecoins is pegged to something more stable like a fiat currency or cryptocurrency. They are issued to create a balance between the advantages of crypto and the stability of fiat.
Ben Delo’s Crazy Idea
Let’s get back to the genius of Ben Delo! His proposal is to back a stablecoin with Bitcoin, while at the same time keeping its price relatively stable. This would combine the benefits of Bitcoin, such as decentralization and smart contract technology, with the stability of fiat.
The Benefits of a Bitcoin-backed Stablecoin
A Bitcoin based stablecoin could have plenty of advantages. Here are a few of them:
- Less Volatility: Since the price would be maintained at a steady level, traders would be able to hedge against price swings and take advantage of Bitcoin’s price movements without suffering the volatility.
- Better Liquidity: By tethering a stablecoin’s price to Bitcoin, liquidity could be improved.
- More Stability: By tethering a stablecoin’s price to Bitcoin, it would provide more stability in the crypto marketplace.
Our Final Thoughts
Ben Delo must be a mad scientist, right? A Bitcoin based stablecoin – it would be like having your cake and eating it too. It would certainly be an interesting experiment to watch unfold, and we think the crypto world should pay attention.
Who knows – it might just be the best thing to happen to crypto since the invention of Bitcoin!
