What You Need to Know about Stable Tokens
As you know, cryptocurrency is unstable, which prevents it from being widely used as a medium of circulation. Stable coins seek to change this situation, becoming the first cryptocurrency with the stability of traditional money (this is achieved by tying the currency to something) and the decentralization of the cryptocurrency. At the moment, alas, there are no stable coins that have successfully embodied both of these qualities. So, for example, USDT is a stable coin pegged to the dollar and is therefore quite stable. But it is impossible to guarantee the security of each token with dollars, in addition, the fact of binding to a paper currency denies the basic principle of cryptocurrency - decentralization. Other stablecoins (e.g., Havven) operate on the principle of super-security, i.e. one cryptocurrency is supported by another with a higher value. Such stable coins are highly liquid and independent of financial institutions.
There are also few types of Stable Tokens:Tiberius (TCX) - a token issued by a Swiss-based financial asset management company. The uniqueness of the project lies in the fact that its value is supported by 7 precious metals, which allows to achieve even greater stability of the exchange rate, and investments in the token are comparable to investments in the valuable metals market, which, as you know, is highly stable.
LBXPeg (LBX) - stableblokoin, the value of which is secured by the pound sterling. Control and distribution is carried out on the basis of Ethereum smart contracts. The British company LBX was engaged in the development of the token, which in the future plans to link the value of the coin with the euro and the dollar, but after preliminary market research.
Candy is a coin that is issued on the basis of an official license issued by the Bank of Mongolia and tied to the value of the national currency - the Tugrik.
Paxos Standart (PAX) is an adjustable digital currency secured by the dollar. PAX differs from other stable cryptocurrencies in that its release was agreed with the New York Department. The cryptocurrency was based on Ethereum smart contracts; it can be purchased on the official project platform or on exchanges.
Gemini Dollar (GUSD) - just like the previous GUSD cryptocurrency, it is backed by the dollar and regulated by the US Department of State. Every month, company accounts are checked by an independent audit company, and all reports are published on the Web.
USD Coin (USDC) is another cryptocurrency supported by the US dollar. Tokens are designed so that the partners of the company can easily use the dollar as calculations of the necessary company, but also became available for public use and is traded on many exchanges.
Carbon USD (CUSD) is a stableblokoin, backed by the value of the dollar, but it differs from other similar coins in that it uses the use of a unique hybrid stabilization model that will be implemented as soon as the liquidity of the coins reaches the desired scale.
nUSD is a stableblokoin launched by the Havven decentralized payment system. Its value is provided by the US dollar.
Stonghold USD is a stable cryptocurrency released on the Stellar blockchain. Its peculiarity is that the value is supported by venture capital in dollars, and allows investors to easily exchange dollars for tokens for storage.
Now a day there is also one stable coin, appeared at the market – OERO. Oero (token - OEUR) is a digital mirror of the euro. One oero is backed by 1 euro. Oero provides you with a combination from all the benefits of the most popular currency in the world euro and upmodern blockchain technology. Oero lets you transfer personally a digital tokens tied to fiat currencies to any person in the world, protected by high secure, without any hidden taxes.
Stablecoins can become a catalyst for the use of cryptocurrencies and encourage people to use them massively. This is due to the lack of huge price volatility, which most cryptocurrencies using blockchain technology are prone to.This significant advantage is especially well demonstrated in the money transfer market. Money transfers are financial transactions carried out by people working abroad who send their wages home to their families. This vast financial sector is extremely inefficient due to the high cost of these money transfers, and it is the users who suffer from the fact that their salaries are consumed by high transaction costs.
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