Stebblecoins. What is it and what they are?
Stebblecoin – This is a type of cryptocurrency, whose value is tied to a specific fiat currency or physical asset, for example, gold. It is needed for those periods when high volatility is observed on the market, and it seems to be an extremely difficult event, in addition, being a good way to save money, such as bitcoin or ether.Stebblecoins with a “tied” cost are not subject to sharp jumps in prices and are great for those investors who do not like to take risks.
Tether (USDT) – The extremely popular and first stablecoin in the world, provided with an American dollar in relation to 1 to 1. He was released in 2014 by the programmer Craig Sellers, Bitcoin – investor Brock Pierce and entrepreneur Riva Collins.
Tether is a striking example of interaction between fiat currency and cryptocurrency, thanks to him, each investor can trade with an American dollar, despite the criterion of the volatility of other cryptocurrencies. This is a stable asset with which you can easily translate your own funds between the exchanges, selling it in the style of Forex.
You can store this stablecoin both on cryptocurrency exchanges, such as Binance, Huobi or Paxful, as well as in web, mobile wallets (Exodus, Trust Wallet, Tether Wallet) or hardware (Trezor or Ledger).
The main thing is to take into account what blockchain your coins are on. If, for example, your USDT OMNI, then they work on the Bitcoin blockchain using Omni Layer protocol. Such wallets as Omni Wallet or Omni Core are suitable here. If you have coins of the USDT ERC-20, then they function on the Ethereum blockchain, and the Myetherwallet or Metamask wallets are suitable here.
Trueusd (TUSD) – The first stablecoin created on the Trust Token platform (Trust Token, Inc. engaged in the tokenization of material and financial assets), tied to the American dollar in the same way as USDT, with respect to 1 to 1. The difference between TUSD and USDT in the regulation of emission, passing monthly certifications and the presence of escrow accounts, which makes TUSD in the legal field with a stronger stablecoin both for storing funds and trading on the exchange and lending.
The team of the developers of the Trust Token platform includes qualified detective specialists from large IT companies: Danny An, Stephen Cade, Kerry Fisher, Tori Reiss, Rafael Cosman and others. This platform is a qualitative tool for creating cryptographic assets that can be safely exchanged, thereby expanding the spectrum of investment prospects.
TUSD functions as an ERC-20 and TRC-20 token, that is, it works on Ethereum and Tron blockchains, so its storage is possible not only on cryptocurrency exchanges (Binance, Huobi, Mexc, Bitget, Phemex, Kucoin), but also on digital wallets Myetherwallet, Imtoken, TronLink, Mathwallet and Ledger Nano S and Trezor hardware wallets.
USDCOIN (USDC) – Steabblecoin, provided by the US dollar, like USDT and TUSD, in relation to 1 to 1. A feature of this stablecoin is its issuer, which enjoys the impressive trust of investors on https://gagarin.news/news/terraform-execs-to-notify-south-korean-authorities-of-plans-to-leave-the-country/ cryptor. USDC was released in 2018 by the Center consortium, which includes Circle and Coinbase – serious financial institutions that comply with the legislation on the release and provision of cryptocurrencies.
Given the well-organized legal foundation, the USDC is actively used when using smart contracts. In addition, he has a transparent system of reporting on his own reserves, which are not located in the accounts of authoritative American banks, safely overcoming inspections of independent audit companies.
USDC supports many networks to date: Ethereum, Soolana, Stellar, Algorand, Tron, Hedera, Avalanche, Flow. It can be stored on the same crypto -rhms and wallets as USDT.
DAI (DAI) – An interesting stablecoin, created in 2017, through the Maker Protocol platform, through which this digital asset can be purchased by sending other cryptocurrencies as a deposit. There is an opportunity to buy directly through adjustable crypto -rhins, such as Coinbase and Kraken. He, like previous stablecoins, is tied to the American dollar in relation to 1 to 1. In addition to the platform, DAI has its own decentralized management community (MarkerDao), which is a regulator of maintaining stability stablecoin prices.
DAI seeks to minimize market volatility, focusing on safe transactions, low commissions and quick calculations anywhere in the world. This stablecoin has a whole ecosystem that is regularly subjected to audits, modernizes the integrated DAI wallet and checks all smart contracts with the valid Ethereum blockchain, increasing the level of viability of the network.
DAI operates only on Ethereum blockchain, it can be stored on exchanges such as Binance, OKX, Bybit, Exmo. Conveniently stored in a decentralized Metamask wallet. It is present in wallets such as Exodus, Jaxx and Atomic Wallet. Ledger’s hardware wallets are also suitable.
Buy DAI using Sberbank card
Buy DAI using a Tinkoff card
Buy DAI using the Alfa-Bank card
Pax Dollar (USDP) – a serious competitor to previously voiced steablecoins, created in 2018 by Paxos Trust Company (founders of the company: Charles Cascaril and Rich Theo), which took care not only about the creation of a crypto active, but also a crypto -country, as well as the organization of brokerage and management services. They act as a trust fund, without the involvement of intermediaries. This increases the speed of transactions and reduces commission fees.
USDP is tied to the US dollar in relation to 1 to 1, but unlike the same USDT, the activities of PAX DOLLAR are regulated by the New York State Financial Services Department, which indicates regular checks and audits confirming the provision of coins by 100%. Moreover, 90% of the assets that sprinkle stablecoin – cash. Paxos built a whole financial system on the foundation of the blockchain. Given the built technologies, their cryptocurrencies can be based in any blocks of blocks. They are able to move trillions of dollars in the shortest possible time in any countries. This makes them very attractive for cooperation with giants such as Credit Suisse, PayPal and Stone X.
USDP operates on Ethereum blockchain. It can be stored on the exchanges of Binance, Huobi, OkX, Coinbase, as well as on Metamask, Myetherwallet, Jaxx cryptocurrencies.
In conclusion, I would like to note that the benefits of stablcoins are obvious: such assets are a great way to protect their crypto investments or conducted trading during the period of high volatility of ordinary cryptocurrencies. However, when choosing stablecoin, it is worth paying attention to the following criteria if you are concerned about the security of your assets: who is regulated by cryptocurrency, what reserves are ensured and whether issuers are undergoing corresponding inspections and certification.