#USStablecoinBill Stablecoins are a class of cryptocurrencies designed to offer price stability relative to a certain reference asset. A stablecoin’s value is fixed, or “pegged” – through various mechanisms, depending on the design of each stablecoin – to the value of a “stable” reserve asset like the US dollar, euro, or gold. In essence, a stablecoin is a digital asset that exists on the blockchain while maintaining the same value as a currency or commodity that it tracks.

Assets such as backed stablecoins can give risk-averse buyers and sellers certainty that the value of their tokens won’t rise or crash unpredictably in the near future. For both beginners and seasoned traders, the stable and certain nature of backed stablecoins makes them a good asset to hold on to or invest in, especially during the bear market seasons.