Stablecoin in Kusama treasury

[Thebicsam]

Hi everyone,

I think Kusama should have stablecoin like USDC or USDT or DAI soon in the treasury, what do you guys think?

Thankss

[muddlebee]

There’s an ongoing referendum for a stable coin by Brale on Kusama Asset Hub.

Retroactive Funding for Brale’s Public Good Stablecoin Integration with...

[somedude]

I think it’s been discussed elsewhere. There are threads for staking stablecoins and ETH (hard to tell which one is more ridiculous).

Polkadot Stablecoin

Hey All, Has there ever been any thought about Polkadot issuing its own stablecoin and leveraging interest to help fund DAO operations. Not saying Polkadot would do directly but could own interest in a venture that is owned by the DAO, if legally possible to do, and interest paid to DAO. Would boost funding, shift sells from DOT to stablecoins, and I’m sure Polkadot holders would opt to leverage since it would indirectly benefit DOT holders.

@muddlebee

There’s an ongoing referendum for a stable coin by Brale on Kusama Asset Hub.

That isn’t issued by Polkadot, unless the OP meant Polkadot chain. If wrapped USDC/USDT can be made available, there’s less need to have Polkadot-native stablecoins, IMO.

[Thebicsam]

Hey guys,

My idea is about native USDT, USDC come from all other chain via Hyperbridge or Chainflip to KUSAMA (or from Polkadot as well via bridge DOT<>KSM), then KUSAMA treasury acquire and spend it in stablecoin, we will not spend native $KSM token anymore

[mister_cole]

I don’t get this–Treasury would have to spend KSM to acquire the USDT/USDC, after all.

[Leemo]

JFYI USDT used to be available on Kusama and was sunset by Tether (USDT issuer) due to lack of usage.

https://www.theblock.co/post/245976/tether-discontinues-usdt-bitcoin-kusama-bitcoin-cash

Something that might be possible is as/when we have decent liquidity for KSM/Stables on Polkadot (bridged KSM via the P<>K bridge) the Kusama treasury could decide to sell KSM on those markets into stables, and then bridge the stables back to the Kusama treasury.

Personally, I do not see Tether (or Circle for that matter) re-issuing USDT/C on Kusama, but I would be happy to be proven wrong.

[2075]

This is the way @Leemo .

I dont know if the previous responses imply the desire to issue a stable coin. To say the least: It also involves regulatory compliance if you want to scale it up Polkadot style into the enterprise world.

We are capable from regulatory perspective and have been working on something as an e.g. EUR backed stable for DOT. The reasoning to do or not to do this are plenty, but at the end you need users, utility and quite some capital to establish it in a way it will “fly”.

At the current point it is maybe even easy to set up something according to MiCa regulation, even using Hydration with a multi stable pool and then bridging it back to Kusama. But at the end, as Leemo said, KSM need to provide liquidity and there needs to be users.