#USCryptoWeek ✨✨Stablecoins are cryptocurrencies designed to maintain a stable value, generally linked to a fiat currency (such as the US dollar) or a commodity (such as gold). Here is a classification:
🔹Most well-known stablecoins (stable value).
1. USD-Tether (USDT) – Linked to the dollar.
2. USD-Coin (USDC) – Backed by Circle and Coinbase.
3. Dai (DAI) – Decentralized stablecoin backed by collateral in Ethereum.
4. TrueUSD (TUSD) – Backed by dollars.
5. Binance USD (BUSD) – Issued by Binance (although regulated).
6. Pax Dollar (USDP) – Issued by Paxos.
7. TerraUSD (UST) – Note: UST lost its peg in 2022, it is no longer stable.
8. Frax (FRAX) – Partially algorithmic and collateralized.
🔸Non-stable cryptocurrencies (volatile).
- Bitcoin (BTC).
- Ethereum (ETH).
- BNB (BNB).
- Solana (SOL).
- Cardano (ADA).
- XRP (XRP).
- Dogecoin (DOGE).
- Polkadot (DOT).
- Polygon (MATIC).
- Shiba Inu (SHIB).
⚠️ Watch out for "algorithmic stablecoins"
Some stablecoins do not have 1:1 backing in real money, but instead use algorithms to maintain stability (like UST, which collapsed). The safest ones are usually collateralized (USDT, USDC, DAI).