CoinShares analysts suggest that a Bitcoin-based stablecoin, potentially rivaling the speed and cost of other stablecoins, may emerge in 2024. This prediction is based on the belief that the year will be significant for Bitcoin in the stablecoin sector.
The forecast comes from CoinShares’ Bitcoin research head, Christopher Bendiksen, and analyst Matthew Kimmel. They anticipate the development of feasible projects that could offer a viable alternative to existing stablecoins while inheriting Bitcoin’s fundamental stability.
Bendiksen and Kimmel argue that the Bitcoin blockchain network possesses the longest history, highest stability, least technical errors, and strongest assurances, making it an ideal platform for stablecoin projects.
Although Bitcoin-based stablecoin projects have been attempted before, the analysts predict that a successful Bitcoin stablecoin project will become easily accessible this year, potentially integrating stablecoin spending into businesses and Bitcoin-based projects, fueling continual growth in usage.
The analysts believe that this development could enhance Bitcoin’s monetary features and its resistance to censorship. However, they acknowledge technical barriers and past preferences for faster, lower-cost networks for stablecoin usage, despite Bitcoin’s lack of native support for externally pegged assets such as dollar-tied tokens.
