# Stablecoin

`kaal:entity:stablecoin`

**Status.** derived

This node is assembled mechanically from the 4 claims that carry the concept tag `stablecoin`. It is a roster of what the corpus says under this term. It is **not** an adjudicated definition: no single statement here has been ruled canonical, and no first-appearance call has been made. Read the claims and judge for yourself.

## Every claim under this term

4 claims across 2 works, 2018 to 2021.

**2018**

- [3249860-023](https://wulfkaal.github.io/claims/3249860-023) [empirical/evidenced] -- Among the top 100 tokens, currency and utility models are the most common, USDT is the only purely Stablecoin token, Steem and Maker are both Stablecoin and utility, and only four tokens are asset-backed.
  > Of the top 100 tokens, currency and utility tokens were seen most commonly. USDT was the only purely Stablecoin token; two tokens (Steem and Maker) were characterized as both Stablecoin and utility. Bytom, DigiByte, Syscoin, and Salt are asset-backed.
  Wulf A. Kaal, Crypto Economics - The Top 100 Token Models Compared (2018). SSRN: https://ssrn.com/abstract=3249860

**2021**

- [3782205-027](https://wulfkaal.github.io/claims/3782205-027) [mechanism/argued] -- An artificially scarce currency such as bitcoin is deflationary as long as its market expands, and like gold its price fluctuation makes it unsuitable for daily commerce.
  > The artificially scarce bitcoin currency is deflationary as long as its market expands. Like gold, its fluctuation makes it unsuitable for daily commerce.
  Craig Calcaterra, Wulf A. Kaal, Eight Institutions for the Evolution of Decentralization (2021). SSRN: https://ssrn.com/abstract=3782205
- [3782205-028](https://wulfkaal.github.io/claims/3782205-028) [failure/argued] *(failure mode)* -- Without price stability, typical consumers will never hold their checking account in a cryptocurrency and no one will enter a long-term contract for an essential service denominated in it.
  > Without stability, typical consumers will never hold their checking account in the currency. No one will make a long-term con- tract for an essential service.
  Craig Calcaterra, Wulf A. Kaal, Eight Institutions for the Evolution of Decentralization (2021). SSRN: https://ssrn.com/abstract=3782205
- [3782205-030](https://wulfkaal.github.io/claims/3782205-030) [condition/argued] *(failure mode)* -- The stablecoin cannot be efficient until a robust decentralized economy already exists, producing a chicken and egg problem in which the required institutions presuppose one another.
  > We need a robust decentralized economy (#W, below) before the stablecoin can be efficient—another chicken and egg problem.
  Craig Calcaterra, Wulf A. Kaal, Eight Institutions for the Evolution of Decentralization (2021). SSRN: https://ssrn.com/abstract=3782205

## Verify

Every claim above resolves to a record carrying a verbatim source quote, the sha256 of the source PDF, and a preformatted citation. Nothing here asks to be taken on trust.

    curl -s https://wulfkaal.github.io/entities/stablecoin.md | sha256sum

**Canonical form.** This markdown file is the canonical hashed representation of this entity node. Its sha256 is the content hash.