Between the end of 1945 and July 1946, Hungary went through the worst inflation ever recorded in human history. An inflation rate that peaked at more that 207% on a daily (!) basis, that’s a yearly inflation rate of a whopping 41.9 quadrillion percent. No country in the world experienced such hyperinflation yet, even the second largest hyperinflation in the history was “only” 98%. Although it happened 72 years ago, there are still stories about how presses were printing so much money, that is was blown by the wind on street of Budapest and nobody cared to pick up a banknote from the street because it was worth nothing. If you take a look into the history of money, you should know why price stability is such an important issue.
In a recent article, Bloomberg stated that stablecoins are the holy grail of the crypto market. This is the hot, new and fastest growing area within the cryptocurrency space. But there’s a lack of information about stablecoins. Very few people know how and why they are working and what are they good for? Also, regulations about cryptos are usually unclear, inconsistent, in the case of stablecoins it’s even more obscure. Are they securities, utility token, virtual currencies or something else? It is crucial to make regulators understand the concept and risks of various types of stablecoins, and to convince them about the usefulness of these types of cryptos.
The world’s first initiative to establish cooperation within the stablecoin space is coming from the world recorder hyperinflation capital of Budapest. In a secret room at Blockchain Budapest conference on 8-9 November Global Stablecoin Association (GSA) will be established. Followed by presentations from stablecoins on the main stage where also leading blockchain and cryptocurrency experts, such as smart contract inventor and blockchain veteran Nick Szabo will have presentations.
Blockchain Budapest is the leading blockchain event of Central Europe, with 1000 attendees and more than 40 speakers from around the globe.
In the secret room, where GSA wil be formed only stablecoin projects, invited experts from Government Agencies and from the big 4 accounting firms will be present, and all that will happen behind closed doors. Stablecoin projects can still apply to be founding member of GSA. More information is available at this website: www.globalstablecoin.com
The mission statements of GSA:
1. To raise awareness on the importance of stablecoins
2. Be proactive in regulation issues
3. Creating common lobbying body and arguments to defend against haircutting type regulations
4. To help achieve mass adoption of cryptos in the real world economy
5. To publish guidelines, recommendations and best practices of the industry
6. To work out a self regulating system for the industry also a rating system and publish periodical market reports from stablecoins
7. Bring more transparency to the stablecoin space