Web3 Daily

View Original

Stablecoins

What are stablecoins?

Stablecoins are cryptocurrencies whose values are tied (or ‘pegged’) to those of real-word assets, like the U.S. dollar.

They were created as a response to the price volatility experienced by traditional cryptocurrencies, like Bitcoin.

Eg: Tether’s USDT coin should always equal $1 USD in value. No more, no less.