USD1 is a stablecoin, which means that its price is artificially pegged to the value of a real asset (in this case - the US dollar). This is achieved through reserve assets, typically something like bonds or bank deposits.
Why it is used:
USD1 is often used as a means of storing value and for making transactions in the crypto world, as it is less volatile than other cryptocurrencies, allowing to avoid risks associated with price fluctuations. $USD1 #usd1 #USDT