Hayes noted that the companies issuing stablecoins are striving to follow the example of Circle — the issuer of the USDC token, which listed its shares on the New York Stock Exchange in early June. According to Hayes, Circle's initial public offering (IPO) marks the beginning of a 'mania for stablecoins,' however, most new public crypto companies may be overvalued.
‘A new wave of companies launching stablecoins that will be traded on stock exchanges will only be imitators of Circle. Therefore, investors should trade them like hot potatoes. This bubble will burst and separate fools from capital worth tens of billions of dollars, using a mix of financial engineering, leverage, and showmanship,’ said Hayes.
At the same time, Hayes did not advise traders to take short positions on the stocks of such companies, as the lenient U.S. policy towards cryptocurrencies and the emergence of clearer regulations for stablecoins will initially drive up stock prices.
Hayes explained that every stablecoin issuer must carefully consider how they will distribute their product. He highlighted only three effective methods: cryptocurrency exchanges, social networks, and traditional banks. However, all of them are already actively used by existing players, so new participants will have to pay high fees to exchanges, while social networks and banks will create their own stablecoins, Hayes explained.
