CryptoDark stablecoins will emerge, here's why

Dark stablecoins will emerge, here’s why

-



CryptoQuant CEO Ki Young Ju predicts the rise of “dark stablecoins” as government regulations on digital currencies tighten.

In a recent social media post, Ju shared why censorship-resistant stablecoins might become necessary as traditional stablecoin issuers face increased scrutiny.

According to Ju, while Bitcoin (BTC) was designed to be censorship-resistant by the cypherpunk community, stablecoins currently need centralized management to bridge digital and traditional finance.

Chinese miners use Tether and Circle stablecoins

The CryptoQuant executive highlighted that stablecoins like those issued by Tether and Circle have operated with minimal government interference — until now. As per Ju, it has served as a safe haven for various groups including Chinese miners.

“Governments, except when tackling money laundering, haven’t really interfered with stablecoins,” noted Ju. Ju predicts that government-issued stablecoins will soon face regulations similar to traditional banking. This could potentially need automatic tax collection through smart contracts and implementing wallet freezes based on government mandates.

These changes could drive users who rely on stablecoins for large international transfers to look for alternatives that resist censorship. How? Ju presents two ways:

1. Algorithmic stablecoins that aren’t controlled by governments.

2. Stablecoins issued by countries that don’t censor financial transactions.

One technical approach could include decentralized stablecoins that track regulated coins like USD Coin using oracle networks such as Chainlink (LINK). However, Ju stated that he hasn’t yet identified projects that have successfully implemented this model.

Interestingly, Ju suggested that USDT could turn into a dark stablecoin if the company opts not to comply with U.S. regulations under future administrations. The CryptoQuant CEO noted that dark assets might present investment opportunities in internet capital markets.





Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest news

Ethereum Closes on $2,800 in 7% Gain But Resistance Remains 

Ethereum has made a rare move north today, adding 7% in under 24 hours to reach $2,787 during...

John Karony trial starts with a confused witness and SafeMoon merch

The trial of former SafeMoon CEO John Karony saw testimony from a victim who lost $20K and a...

Imagen Network (IMAGE) Launches RLUSD-Based Components for Stable AI-Powered Social Transactions

Integration of Ripple's RLUSD stablecoin enhances transaction stability and consumer entry throughout decentralized social instruments. July 10, 2025 1:00 AM...

Advertisement

Akave Cloud Launches Decentralized Data Layer on Avalanche L1

Akave has launched a decentralized storage network called Akave Cloud on a dedicated Avalanche Layer 1 blockchain. This...

GMX crypto price outlook after team explains $40m hack

The GMX crypto token nosedived on...

Must read

Ethereum Closes on $2,800 in 7% Gain But Resistance Remains 

Ethereum has made a rare move north today,...

John Karony trial starts with a confused witness and SafeMoon merch

The trial of former SafeMoon CEO John Karony...

You might also likeRELATED
Recommended to you