Stablecoin - News, Opinion & Analysis

Stablecoin

311 Articles 25 Followers

A stablecoin is a digital token that is pegged to a certain value, usually in a 1:1 ratio with a fiat currency like the US dollar. For example, the USD Coin (USDC) launched by Coinbase is backed by US Dollars in a 1:1 ratio. Most stablecoins in reality deviate from the $1 position ever so slightly, 

Most stablecoins are pegged to a fiat currency, with the US Dollar being a popular choice. However, some stablecoin ventures distinguish themselves by backing their stablecoins with other assets. 

An example of this kind of stablecoin is the well known MakerDAO ecosystem, which is a stablecoin ecosystem that consists of two tokens: the stablecoin DAI and the governance/utility token MKR. The stablecoins are backed by Collateralized Debt Positions which demand Ether as collateral. There is a complex mechanism in place to ensure that the token does not deviate from the $1 value.

Stablecoins have been ascending in popularity in discussion in 2019. This is largely because there is some consensus in the idea that stablecoins are effective in combating the volatility of the market. Since the value of these tokens remain stable, investors who use stablecoins do not have to worry as much about bear markets, and can use these tokens to make investments during these bear markets to gain profit.

As most stablecoins are pegged to fiat currency, there has been scrutiny on the finances of stablecoin issuers, who must confirm that they possess the reserves to back the total value of stablecoins. This increased scrutiny has led to calls for more audits and better transparency.


Will Bitcoin replace the current traditional payment system?

17 Jun 2020 2 minute read 0 comments Mabla

At beginning of the bitcoin Era around 2010 2 pizzas were bought with 10 000 bitcoin. since bitcoin was claimed to be capable of replacing the current traditional payment system and it proved it can then that’s when people started to adopt bitcoin an...

What drives demand behind the Stablecoin $ 10 billion market capitalization milestone?

16 Jun 2020 2 minute read 0 comments PassionCryptodotcom

The growth of stable parts in 2020 is unlike anything seen before. Every week more and more fiat-guaranteed crypto assets are printed, almost as quickly and as often as the Federal Reserve prints new cash. After the final boost, total stable market c...

Everything you need to know about DAI

16 Jun 2020 4 minute read 0 comments Cryptomeitei

Hello guys this is my third day on publish0x and i am very much pleased to see the  response from the  readers out here. In this article i am going to share you everything  about one of the most popular stable coin DAI. Before that lets fully underst...

Study: Chinese investors buy USDT through over-the-counter markets!

13 Jun 2020 1 minute read 0 comments InsanisFox

In the research company Sino Capital said that Chinese market in 2020, made a great contribution to the increase of the capitalization of the Tether (USDT). Local investors are buying this stablecoin on over-the-counter platforms. This activity trigg...

What is PAX Gold (PAXG)?

13 Jun 2020 3 minute read 0 comments Yasin

The PAX Gold token (PAXG) is a digital asset that represents one fine troy ounce of a London Good Delivery gold bar. The gold bar is stored in professional vaults in London. Unlike other gold-backed tokens by owning PAXG you own the underlying gold w...

People may be prohibited from owning gold. Stablecoins will save

13 Jun 2020 3 minute read 0 comments Kluma

History knows examples when in the XX century the authorities of large countries confiscated gold from private owners. Now the world is on the verge of a new economic shock, so there is a chance that the situation will happen again. Digital money wil...

The crazy growth of Tether (USDT)

13 Jun 2020 2 minute read 1 comment NassiroV

Image Source His speech is rare but precious. Paolo Ardoino, CTO of Bitfinex and Tether, returned to the implications of the USDT in the cryptocurrency industry when he appeared in the podcast “On the brink with castle island”. An explosive growth B...

Half of PAX stablecoin transfers are linked to a Ponzi scheme

13 Jun 2020 1 minute read 0 comments NassiroV

Image Source CoinMetrics offers a weekly report called “State of the Network” which analyzes crypto networks for trends. In the latest report, CoinMetrics looks at stablecoins, their distribution and how they are used. PAX highly involved in MMM pon...

What Are Stablecoins and How Do They Work?

10 Jun 2020 5 minute read 0 comments NOWPayments

One of the big reasons people use cryptocurrencies, and why other people hate cryptocurrencies, is the volatility. Ten years ago, a bitcoin was worth just a couple cents. Nowadays, one bitcoin is sold for more than 7,000 dollars, that’s a really big...

Episode 71: Lets Talk Stablecoins, Bitcoin, and XRP Interview with Diana Barrero Zalles

9 Jun 2020 1 minute read 0 comments NewCreationCapital

Audio:   Video:     Join The New Creation Cronies Telegram Group In Episode 71: I sit down with Diana Barrero Zalles and talk about stablecoins, bitcoin and XRP.  This is our Story of the Day Helpful Links: https://minepi.com/NewCreationCapital Bit...