Economy, asked by priyankaridhans4161, 10 months ago

What is the role of stablecoins in the cryptocurrency market?

Answers

Answered by Anonymous
0

Answer:

Explanation:

Stablecoins are cryptocurrencies designed to minimize the volatility of the price of the stablecoin, relative to some "stable" asset or basket of assets. A stablecoin can be pegged to a currency, or to exchange traded commodities (such as precious metals or industrial metals).

Answered by ImpressAgreeable4985
0

Answer:

that attempt to peg their market value to some external reference

Explanation:

Stablecoins are cryptocurrencies that attempt to peg their market value to some external reference. ... Stablecoins achieve their price stability via collateralization (backing) or through algorithmic mechanisms of buying and selling the reference asset or its derivatives.

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