If you have funds in a wallet and it is blacklisted, then those funds are locked forever because they can see where the funds move and continue to lock any new wallets they move to. One could argue that's actually kind of a neat feature of a blockchain, in being so public.
Interesting, it goes a bit further than I had kept up with. CENTRE seems disbanded. But given this is all crypto, it is full of backroom deals... one can be sure that Circle and Coinbase are tightly coupled.
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Have you looked at DEI / MakerDAO? They appear to be quite stable. But they are over collateralized as a stable coin should be.
Also the dollar backed ones would only fail if the foundations behind them fail (Eg. USDC)
The interesting thing here is that it was TradFi screwing things up for Crypto...
https://www.cnbc.com/2023/03/11/stablecoin-usdc-breaks-dolla...
It seems to be at 0.999 - which like prices in the counter party risk.
(Whether the risk is prices correctly can be discussed)
As always, actual price depends on the exchange you use.
You're probably looking at coinmarketcap, which sets the price based on the trade pairs.
It is always $1.00 on coinbase.
Well coin bases price is not a fair market price as they have ties to circle - they don't price in the counter party risk.
Any who, even USDC appears to be relatively robost, though with another risk landscape than dai.
Coinbase is the counter party. It isn't really "ties to circle", it is that both of them are the CENTRE Consortium.
The implied "problem" with USDC isn't depeg, it is this (and who controls it):
https://gist.github.com/chappjc/350aafb9031f7a66986967bf8ab6...
Practically, it hardly makes a difference as wallets are disposable.
Regardless, it depends on what risks we a looking at. Wait you raise is not really a credit risks - though I do understand why it concerns you.
Btw: https://www.theblock.co/post/349168/circle-paid-210-million-...
If you have funds in a wallet and it is blacklisted, then those funds are locked forever because they can see where the funds move and continue to lock any new wallets they move to. One could argue that's actually kind of a neat feature of a blockchain, in being so public.
Interesting, it goes a bit further than I had kept up with. CENTRE seems disbanded. But given this is all crypto, it is full of backroom deals... one can be sure that Circle and Coinbase are tightly coupled.
https://www.ledgerinsights.com/coinbase-and-ripple-vie-for-u...