Stable Coins - Aims to Keep their Value Stable
Stable coins are a class of Cryptocurrencies whose goal is to keep the price or market value of exchange rate as stable as possible. The implementors of stable coins achieve this by fixing the price of a stable coin to an external factor like Price of Dollar or Price of Gold etc.
Cryptocurrency markets are highly volatile and the values of any coin may crash and sink to bottom or the value may increase and sky-rocket up to the moon. The market is unpredictable.
So, there is a need for a fixed value coins that don't undergo these type of unpredictable changes. Stable coins came into existence to fulfill this need.
Bitcoin is not a stable coin !!
Each Stable coin has its own Blockchain and all the transactions of that respective coin will get recorded in that Decentralized ledger.
Some of the popular & widely used Stable coins:
2) Paxos Standard Token
3) DAI
4) USD Coin
5) True USD
6) Reserve
and many more... Detailed posts on each of the stable coins will be updated soon... bookmark this page or remember this site (jvermaDLL.blogspot.com) for insights on cryptocurrencies for beginners.
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