What is a stablecoin?
Stablecoins are a type of cryptocurrency whose value is pegged to another asset, such as a fiat currency or gold, to maintain a stable price.
They strive to provide an alternative to the high volatility of popular cryptocurrencies, making them potentially more suitable for common transactions.
Stablecoins can be utilized in various blockchain-based financial services and can even be used to pay for goods and services.
Driving the Future of Money
Tether tokens are the most widely adopted stablecoins, having pioneered the concept in the digital token space. A disruptor to the conventional financial system and a trailblazer in the digital use of traditional currencies, Tether tokens support and empower growing ventures and innovation throughout the blockchain space. Tether tokens exist as a digital token built on multiple blockchains.
USD Coin (USDC) is a digital stablecoin pegged to the United States dollar. USD Coin is managed by Circle. USDC is issued by a private entity and should not be confused with a central bank digital currency (CBDC).
DAI is an algorithmic stablecoin issued by MakerDAO, an Ethereum-based protocol, that seeks to maintain an exact ratio of one-to-one with the U.S. dollar. It is primarily used as a means of lending and borrowing crypto assets without the need for an intermediary — creating a permissionless system with transparency and minimal restrictions.
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