#BigTechStablecoin

What are stablecoins?: Cryptocurrencies designed to maintain a stable value relative to a fiat currency.

Key characteristics:

1. Price stability

2. Backed by assets (fiat, commodities, or algorithms)

3. Low volatility

Types:

1. Fiat-backed (e.g., USDT, USDC)

2. Commodity-backed (e.g., gold)

3. Algorithmic

Uses:

1. Payments

2. Trading (hedging volatility)

3. Remittances

Examples: USDT, USDC, DAI

Stablecoins provide a stable store of value and medium of exchange in the cryptocurrency market.