Retail sit in low APY lending pools in DeFi because... they can't cash out their USDT/USDC to fiat. So many cases. Some worry about taxes and many are afraid to deal with their local banks. In Portugal, for example, converting crypto to stablecoins is tax free. The moment you sell to fiat, you are taxed. Also, so much stablecoins in DeFi is bullish as these could quickly be redeployed to buy spot. When stables leave to fiat, it's bearish.
Share
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.