Vitalik revisits the concept of "synthetic stablecoins": pegging to personalized consumer price indexes and prediction markets as alternatives to the US dollar

Foresight News reports that Ethereum co-founder Vitalik Buterin has published an article, resharing his previously proposed new idea of "synthetic stablecoins" and exploring the fundamental issue of what stablecoins should be pegged to.

In the article, Vitalik states: If we build a synthetic stablecoin, what should its value remain stable against? He believes that the US dollar is not the best choice, and that if the crypto ecosystem relies long-term on dollar-backed stablecoins, it cannot achieve true decentralization. He further proposes a solution that does not require fiat currency: establishing price indexes and prediction markets for each major category of goods and services, with each user’s locally deployed LLM generating a personalized portfolio of prediction market shares based on their individual spending structure, which serves as a tool for “future N-days expected expenditure” stabilization. Under this framework, users can hold assets like ETH or stocks to accumulate wealth, and when they need value stability, switch to personalized portfolios of prediction market shares, thereby completely abandoning the concept of currency itself.