Coinbase CEO Brian Armstrong in a latest interview unveiled his curiosity in a novel idea inside the cryptocurrency sphere, generally known as “flatcoins.” In response to Armstrong, flatcoins symbolize the subsequent evolution of stablecoins, providing a singular strategy to sustaining worth stability within the unstable world of cryptocurrencies.
Flatcoins, as Armstrong defined, are stablecoins that derive their worth from a special supply in comparison with conventional stablecoins. Quite than being backed by fiat forex or a basket of belongings, flatcoins are pegged to buying energy or the Client Value Index (CPI).
Because of this the worth of a flatcoin would fluctuate to replicate adjustments in the price of items and companies, making it doubtlessly extra resilient to inflation and financial fluctuations.
Though Coinbase just isn’t at the moment engaged on creating its personal flatcoin, Armstrong expressed a eager curiosity in exploring this revolutionary idea. He famous that the cryptocurrency neighborhood, together with influential figures similar to former Coinbase CTO Balaji Srinivasan and Ethereum creator Vitalik Buterin, has engaged in discussions surrounding flatcoins.
The core thought behind flatcoins is to supply a cryptocurrency that may protect its buying energy over an prolonged interval, offering a extra secure type of digital cash.
Flatcoins: A ‘Higher’ Kind Of Cash?
In Armstrong’s view, flatcoins have the potential to be a “higher type of cash” inside the cryptocurrency house when in comparison with current cryptocurrencies and stablecoins. This assertion underscores the idea that flatcoins might handle among the inherent volatility and worth fluctuation points which have plagued the crypto marketplace for years.
In the course of the interview, Armstrong additionally highlighted Coinbase’s latest accomplishments, together with the profitable launch of Base and its Coinbase Derivatives alternate. Base, a undertaking initiated below Coinbase’s Onchain Summer season initiative, has gained important traction within the crypto house and is now ranked because the third-largest Layer 2 chain on Ethereum by Whole Worth Locked, in line with information from The Block.
As of in the present day, the market cap of cryptocurrencies stood at $1.01 trillion on the every day chart: TradingView.com
Enterprise Investments In Modern Ideas
Armstrong’s enthusiasm for flatcoins isn’t restricted to informal dialog. In a earlier publish on X, he had outlined the ten crypto concepts that excited him essentially the most, with flatcoins prominently featured. Within the interview, Armstrong hinted at the opportunity of Coinbase channeling a few of its enterprise investments into these promising crypto concepts, together with flatcoins.
This implies that Coinbase is actively exploring avenues to contribute to the event and adoption of revolutionary cryptocurrency ideas.
Armstrong’s curiosity in flatcoins underscores the continuing evolution of the cryptocurrency house. Whereas flatcoins are nonetheless largely untested, they symbolize a compelling strategy to making a extra secure and resilient digital forex. Coinbase’s potential involvement on this thrilling growth hints on the firm’s dedication to pioneering new monetary applied sciences and reshaping the way forward for digital cash.
Featured picture from iStock
