Stablecoins

Crypto pegged to another asset (usually $1): USDT, USDC, DAI.

Stables types: 1) Fiat-backed (USDT, USDC: $1 in bank = 1 token), 2) Crypto-collateralized (DAI: 150% ETH = 100 DAI), 3) Algorithmic (UST collapsed 2022). Total cap: $240B (2025). USDT $160B, USDC $60B. Uses: CEX/DEX trading, international transfers, savings in inflation countries.

In plain words

Crypto pegged to the dollar, 1 USDT always ≈ $1. Work like a digital dollar: park profits without leaving crypto, trade on exchanges, send abroad for cents. In high-inflation countries (Argentina, Turkey, Nigeria) they're a lifeline for savings.

Example

USDT: $160B cap. USDC: $60B (most regulated). DAI: $5B (decentralized). PYUSD: $1B. Risks: depeg (USDC to $0.87 Mar 2023 SVB crisis), regulation, audits (Tether opacity criticism).

Also known as: stablecoiny, USDT, USDC, stablecoin

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