Stable cryptocurrencies (stablecoins) like USDC are often seen as a 'safe haven' in the world of digital assets. But it's important to understand: USDC is not an investment. Neither in yield nor in growth potential is it comparable to stocks, cryptocurrencies, or even bonds. Here's why:
USDC is always pegged to the US dollar at a 1:1 ratio. This is both a plus (stability) and a minus — you will never profit from price increases. Investing in USDC is like simply holding dollars in a bank account without interest.
As long as you hold USDC, its purchasing power decreases due to inflation. If inflation is 5% per year, your 1,000 USDC will still be 1,000 USDC after a year — but you will be able to buy less with it. This is a direct path to losing the real value of assets.
Unlike bonds or dividend stocks, USDC does not generate income. Some platforms offered income on USDC through lending, but this is no longer just 'holding' a stablecoin — it's an additional risk comparable to investing in DeFi products.
Although USDC is considered one of the most transparent stablecoins, it is issued by a centralized organization — Circle. They hold reserve assets in banks and bonds, which means: control is not in your hands. In the event of regulatory changes or problems with reserves, the asset may be frozen.
USDC is a convenient tool for storing and transferring funds in the crypto universe. It is great for trading, temporarily locking in profits, or hedging against volatility. But if you are looking for capital growth or passive income — seek other tools. USDC will not make you richer; it will just help you stay in place.
