The Market for Stable Coins: All the Fiat Money that Exists.

Stablecoins such as the Dai and Basecoin are fascinating experiments.

Really because if you think about it... There is no need to print fiat currency if a stablecoin works.

If you could easily pay everything with Dai why bother pulling out dollar bills?

If the system is engineered correctly and the Mker holders don't mess up terribly, 1 Dai can be pegged to 1 USD.

If that's the case, there would be no need to go through tedious bank transfer wait times. Like waiting five days to transfer USD from your bank to Paypal. Dai could be done nearly instant through the blockchain (assuming ETH can scale).

On a more global view it gets extremely interesting...

Why not trust in a system no one owns or rather a collective decentralized network of people throughout the world owns to be the world's reserve currency?

That's what a stablecoin could mean.

Looking at the current market Maker DAO seems to be working for now.

Basecoin has a different model that seems promising as well.

Basecoins will be pegged 1 to 1 with the US dollar.

Within the system, there will also be base bonds and base shares making basecoin a three cryptocurrency system.

Read more about Basecoin here: https://www.coindesk.com/basecoin-revealed-a16z-metastable-seek-crypto-holy-grail-stable-token/

Definitely something to keep an eye on.

Cheers!