#StablecoinLaw

The Stable Coin Law refers to the principles that govern stablecoins—cryptocurrencies designed to maintain a fixed value, usually pegged to assets like the US dollar. This law ensures that for every stablecoin issued, there must be equivalent collateral (cash, crypto, or assets) held in reserve. The purpose is to provide price stability and trust, making stablecoins ideal for trading, storing value, or transferring funds without high volatility. Key types include fiat-backed (like USDT, USDC), crypto-backed (like DAI), and algorithmic stablecoins. Regulatory frameworks aim to ensure transparency, auditability, and solvency. In crypto markets, stablecoins act like a digital dollar—stable, secure, and essential for liquidity and smooth trading in volatile conditions.