Crypto Fans Lured by 20% Stablecoin Yields Even After 2022 Bust
- Founders and VCs are flocking to interest-bearing stablecoins
- ‘You have to have a horse in the race,’ one CEO says
Exchange rates at cryptocurrency exchange shop in Hong Kong.
Photographer: Lam Yik/BloombergThis article is for subscribers only.
The same type of investment product that led to widespread disaster in the cryptocurrency market in 2022 is proliferating once again.
It involves a tantalizing ambition that, in theory at least, sounds simple on paper: Create a so-called stablecoin that tracks the US dollar one-to-one while paying investors yields that are competitive with those available in traditional markets.