Stablecoin Adoption: DAI in a Visa Card, Tether Sees Use in E-Commerce
Ethereum-based decentralized stablecoin DAI is now spendable where VISA cards are accepted and leading stablecoin Tether (USDT) is seeing increasing use by e-commerce organizations.
DAI now usable in E.U. stores
According to a press release shared with Cointelegraph Oct. 29, collaborative financial platform 2Gether added DAI support to its platform. A spokesperson claimed that this is the first stablecoin added to the platform.
As a result of the addition, 2Gether users can now spend their DAI like euros, without fees, anywhere where Visa is accepted with the dedicated card. Furthermore, 2Gether will also enable DAI holders to buy and sell 13 cryptocurrencies, without fees, and send DAI to external addresses. The firm explains what it hopes to achieve with the addition of the crypto asset to its platform:
“The addition of Dai to 2gether’s crypto catalog offers the possibility of operating with a cryptocurrency that’s both decentralized and stable at the same time.”
E-commerce picks up on Tether’s USDT
Paolo Ardoino, chief technical officer at both Tether and crypto exchange Bitfinex, told Cointelegraph that Tether is expanding to e-commerce organizations and claimed that Tether is an effective way to improve the speed of activity, since it is faster than credit cards and traditional payment systems. He noted:
“Merchants need to have a stablecoin in order to protect their businesses from the volatility of other crypto assets such as Bitcoin. Tether is being widely used by merchants and e-commerce outfits but as this is a new trend we are still collecting and evaluating the data.”
This is in line with recent reports that USDT is gaining popularity as a payment method, with some analysts seeing it catching up with Bitcoin (BTC) and Ether (ETH).
That being said, the future of stablecoin use as means of payment is in danger given that the United States Congress is considering a draft bill that claims all managed stablecoins must be seen as investment contracts and therefore as securities.
As Cointelegraph reported earlier today, the German government announced the intention to forbid stablecoin adoption, declaring:
“It will be ensured that stablecoins do not establish themselves as an alternative to state currencies and thus call into question the existing monetary system.”