In a recent X post, Ju spilled the tea on why censorship-resistant stablecoins might just be the next big thing. With traditional stablecoin issuers now under the government’s microscope, things are getting spicy in the crypto world.
Dark stablecoins are likely to emerge in the future.#Bitcoin was created by the cypherpunk community to be censorship-resistant and belongs to no one, making it impossible to control.
— Ki Young Ju (@ki_young_ju) May 11, 2025
Stablecoins, however, act as a bridge between the internet and the real world, so they need…
Ju pointed out that while Bitcoin was designed with censorship resistance in mind, stablecoins still need that centralized backbone to link digital money to the traditional finance world. But that could be about to change.
The Tether and Circle Drama
Ju highlighted the role of stablecoins like Tether and Circle, which have been able to play it cool with minimal government interference... until now. These stablecoins have been a safe bet for many, especially for Chinese miners looking to keep things on the down-low. Ju remarked that "governments, except when tackling money laundering, haven’t really interfered with stablecoins." That might soon be a thing of the past.
Ju predicts that government-issued stablecoins are about to be hit with some serious regulations. Think along the lines of traditional banking—automatic tax collection via smart contracts, wallet freezes at the government’s command, you name it. Yikes.
The Hunt for Censorship-Resistant Stablecoins
This new wave of regulations might push stablecoin users, especially those handling big international transfers, to seek out censorship-resistant alternatives. So, what’s on the horizon? Ju laid out two potential solutions:
- Algorithmic stablecoins that stay clear of government control.
- Stablecoins from countries that don’t censor financial transactions.
One interesting idea is decentralized stablecoins that mirror regulated coins like USD Coin, using oracle networks such as Chainlink. Ju admitted, though, that he hasn’t spotted any successful models just yet.
Could USDT Turn Into a “Dark” Stablecoin?
In an interesting twist, Ju suggested that Tether’s USDT could evolve into a “dark stablecoin,” especially if the company decides to dodge U.S. regulations under future administrations. Ju, being the strategist he is, also hinted that dark assets could create juicy investment opportunities in the world of internet capital markets.
Stay tuned, folks. The world of stablecoins is about to get a whole lot more interesting!
Abimbola Adu
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