Question 1

What are the different types of Stablecoins?

Accepted Answer

There are primarily three types of stablecoins: fiat-collateralized, crypto-collateralized, and non-collateralized. Fiat-collateralized stablecoins are backed by fiat currencies like the dollar or euro. Each stablecoin is equivalent to a specific amount of the fiat currency, which is held in reserve. Crypto-collateralized stablecoins are backed by other cryptocurrencies. Due to the volatility of cryptocurrencies, these stablecoins are often over-collateralized to absorb large price swings. Non-collateralized stablecoins are not backed by any reserve. Instead, they use a working mechanism, such as a smart contract, to maintain their value.

Question 2

What are the advantages of Stablecoins?

Accepted Answer

Stablecoins offer several advantages. Firstly, they provide stability in the highly volatile cryptocurrency market. This makes them a safe haven for investors during turbulent market conditions. Secondly, they enable the benefits of cryptocurrencies, such as fast and cheap transactions, while mitigating the risk of price fluctuations. Thirdly, they can be used as a medium of exchange, unit of account, and store of value, just like traditional money. Lastly, they can also facilitate cross-border transactions and remittances, providing a stable and efficient means of transferring value across borders.

Question 3

What are the disadvantages of Stablecoins?

Accepted Answer

Despite their advantages, stablecoins also have some disadvantages. One of the main concerns is the need for trust in the entity that holds the reserve assets. If this entity is not trustworthy, the stablecoin could lose its value. Additionally, fiat-collateralized stablecoins are subject to the same inflation and monetary policy issues as their underlying fiat currencies. Crypto-collateralized stablecoins, on the other hand, are exposed to the volatility of the underlying cryptocurrencies. Lastly, non-collateralized stablecoins rely on complex algorithms, which may not always work as expected, leading to instability.

#	Name	Price	1h %	24h %	7d %	Market Cap	Volume(24h)	Circulating Supply
3	Tether USDT	$0.9992	0.01%	0.05%	0.05%	$120.12B$120,124,058,463	$58,546,005,285 58,593,577,875 USDT	120,221,667,387 USDT
6	USDC USDC	$0.9999	0.01%	0.01%	0.00%	$34.37B$34,368,398,225	$6,887,758,597 6,888,720,091 USDC	34,373,195,864 USDC
20	Dai DAI	$0.9998	0.00%	0.02%	0.02%	$5.36B$5,364,352,483	$71,854,407 71,868,206 DAI	5,365,382,703 DAI
35	First Digital USD FDUSD	$0.9989	0.04%	0.04%	0.03%	$2.62B$2,624,113,197	$4,287,145,344 4,291,843,701 FDUSD	2,626,989,008 FDUSD
89	USDD USDD	$1.00	0.09%	0.11%	0.02%	$759.42M$759,417,427	$2,298,231 2,297,778 USDD	759,267,859 USDD
108	PayPal USD PYUSD	$0.9993	0.01%	0.02%	0.06%	$654.57M$654,573,163	$11,505,075 11,513,604 PYUSD	655,058,402 PYUSD
129	TrueUSD TUSD	$0.9956	0.01%	0.02%	0.16%	$493.43M$493,428,205	$34,924,219 35,078,046 TUSD	495,601,553 TUSD
201	Ethena USDe USDe	$1.00	0.00%	0.01%	0.14%	$2.61B$2,607,810,907	$57,254,756 57,244,820 USDE	2,607,358,346 USDe
208	Frax FRAX	$0.9969	0.00%	0.02%	0.01%	$647.4M$647,402,901	$4,674,738 4,689,400 FRAX	649,433,438 FRAX
213	Ondo US Dollar Yield USDY	$1.06	0.01%	0.07%	0.33%	$393.51M$393,510,545	$232,088 218,540 USDY	370,538,758 USDY
	USDBUSDB	$1.00
	USDJUSDJ	$1.14
	STASIS EUROEURS	$1.08
	TerraClassicUSDUSTC	$0.02
	Pax DollarUSDP	$1.00
	EURCEURC	$1.08
	USDX [Kava]USDX	$0.65
	Gemini DollarGUSD	$1.00
	Liquity USDLUSD	$1.00
	BUSDBUSD	$1.00
	Anchored Coins AEURAEUR	$1.08
	Venus BUSDvBUSD	$0.02
	Lift DollarUSDL	$1.00
	EuriteEURI	$1.08
	Tether EURtEURt	$1.07
	Steem DollarsSBD	$2.62
	Celo DollarCUSD	$1.00
	Reserve DollarRSV	$1.00
	XSGDXSGD	$0.76
	EdelcoinEDLC	$1.12
	BIDRBIDR	$0.00
	ZUSDZUSD	$1.00
	Rupiah TokenIDRT	$0.00
	Verified USDUSDV	$1.00
	GYENGYEN	$0.01
	sUSDSUSD	$1.00
	VNX Swiss FrancVCHF	$1.15
	HUSDHUSD	$0.04
	Fei USDFEI	$0.97
	Venus DAIvDAI	$0.02
	Origin DollarOUSD	$1.00
	Celo EuroCEUR	$1.08
	VaiVAI	$1.00
	Prisma mkUSDMKUSD	$0.99
	DjedDJED	$0.98
	VNX EuroVEUR	$1.08
	Sperax USDUSDs	$1.01
	Empty Set DollarESD	$0.00
	IDRXIDRX	$0.00
	Basis CashBAC	$0.00
	Savings DaiSDAI	$1.11
	USD+USD+	$1.00
	Bucket Protocol BUCK StablecoinBUCK	$1.00
	DOLADOLA	$0.99
	GHOGHO	$1.00
	USDSUSDS	$1.00
	USDP StablecoinUSDP	$1.00
	Gyroscope GYDGYD	$1.00
	lisUSDlisUSD	$0.99
	Worldwide USDWUSD	$1.00
	Fathom DollarFXD	$1.00
	XUSDXUSD	$1.00
	Magic Internet MoneyMIM	$1.00
	xDAIxDAI	$1.00
	Brazilian Digital TokenBRZ	$0.18
	ZedxionUSDZ	$1.00
	Decentralized USD (DefiChain)DUSD	$0.01
	CriptodólarUXD	$1.00
	USDHUSDH	$1.00
	XIDRXIDR	$0.00
	JPY CoinJPYC	$0.01
	Angle ProtocolEURA	$1.08
	MAIMIMATIC	$0.63
	BounceBit USDBBUSD	$1.00
	Amnis Aptos CoinAMAPT	$10.19
	Moola Celo USDmCUSD	$1.00
	StablR EuroEURR	$1.08
	Inter Stable TokenIST	$1.00
	Moola Celo EURmCEUR	$1.12
	BiLiraTRYB	$0.03
	dForce USDUSX	$1.00
	Meter StableMTR	$0.53
	ZARP StablecoinZARP	$0.06
	Tether MXNtMXNt	$0.05
	One CashONC	$0.06
	wanUSDTWANUSDT	$1.00
	CryptoFrancXCHF	$1.03
	USNUSN	$0.98
	TORTOR	$0.01
	JPY Coin v1JPYC	$0.01
	Fantom USDFUSD	$0.61
	Mad USDMUSD	$0.06
	USD BancorUSDB	$0.13
	Overnight DAI+DAI+	$1.00
	xDollar StablecoinXUSD	$1.06
	ParallelPAR	$1.10
	YUSD StablecoinYUSD	$0.99
	Digix Gold TokenDGX	$121.75
	Karatgold CoinKBC	$0.00
	BRCP TOKENBRCP	$0.22

Top Stablecoin Tokens by Market Capitalization