Stable Coins Development

Stable Coins is a cryptocurrency that is pegged against fiat money, gold, oil and other traditional assets. Exchange rates of common digital coins are characterized by high volatility, which delays their introduction into everyday life. It is extremely difficult to store and use a payment instrument with the price changing several times a day. By pegging Stable Coins to stable assets makes it possible to stabilize its exchange rate and eliminate risks of using it as a means of payment in everyday life.
StableCoins
Up to date, the most successful project related to implementation of fiat currency in blockchain is Tether (USDT). The digital asset is 100% pegged against the US dollar. The Tether Limited Company redeems coins at 1:1 rate. Interaction between fiat with digital coins facilitates financial flows between cryptocurrency exchanges, since many platforms don't support traditional currencies.
On-going searches for a stable cryptocurrency resulted in introduction of enhanced coins, for example, Labour-Hour Tokens. It is a token that is pegged against labour power and is redeemed by an amount equivalent to average hourly earnings in a region.
What problems can Stable Coins solve
The Stable Coins technology makes it possible to remedy shortcomings of traditional cryptocurrencies:

Exchange rate volatility
Pegging against traditional assets provides stability; at the same time, Stable Coins aren't dependent any banks. Traditional currencies' exchange rates tend to fluctuate as well, but generally these are minor changes that play no significant part.
Slow promotion
Volatility of unpegged cryptocurrencies' exchange rates delays their introduction into everyday life. Stable Coins perform the same functions without high volatility risks, which contributes to their mass promotion.
Stable Coins Development
Projects that tokenize fiat currency are in great demand. The idea of introducing stable coins has been in the air for a long time. However, the pilot projects appeared only in 2015 and are gaining popularity since then.

There are 3 types of Stable Coins:

1. Fiat-pegged coins. In fact, it's a loan certificate, which can be purchased for dollars, euros, pounds, etc. The tokens appear the moment fiat currency is deposited to a bank account. After withdrawing the coins from an account, they automatically vanish. it is a centralized scheme that requires trust in the assetsdepositee.
2. Cryptocurrency-pegged tokens. To avoid resorting to centralized financial organizations, assets are pegged against a reserve cryptocurrency. Thus, it creates an endless circle: after all, the digital coins' exchange rate is subject to high volatility, and we are talking about a stable financial asset. In this case, there is only one way out – to provide a Stable Coin with such a backing that can absorb changes in the supporting asset's exchange rate.

3. Unpegged Stable Coins. They are based on seigniorage, which is an economic process with income depending on the money emission. Such coins are regulated by smart contracts.

Stable Coins development requires basic programming skills. The process of creating your own cryptocurrency shouldn't become a commonplace set of conventional tools. A project should contain a special flair that will attract users' attention and solve the scaling problem. By turning to experts on the subject will help to avoid a number of mistakes. A cryptocurrency development involves not just coin writing, but also a lot of additional work on launching and unimpaired operating of a project.

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