Properly-constructed stablecoins are quite stable because, unlike Bitcoin (which has no redemption and a freely-fluctuating price), they have an arbitrage mechanism that restores the peg when they temporarily disconnect, and the largest ones are arguably more backed than a typical bank account via short-term T-bills and reverse repos.
factualpending
Speaker
Lynn AldenEvidence Quote
“stable coins have a mechanism to make them stable toward the dollars they're arbitraged... they're more backed than typical bank account is by short term... tbi, reverse repos”
Created: 6/18/2026, 1:58:51 PM
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