Cryptocurrency is a vast topic covering various topics, research, business models, trade systems, ecosystems, and much more. It is referred to as an umbrella term that is used to represent a wide range of digital assets which can be built on the blockchain ledger. The popularity of cryptocurrency is due to its potential for offering massive turnovers in business and trade due to price fluctuations and many more reasons.
The reason behind the fame of cryptocurrency is not only the vast turnovers but also the functions and features, which have much more utility than you can even imagine. Many features, such as lightning-fast transaction speed, intelligent contracts, interoperability, etc., are darling to many investors.
Investors should always pay attention to one aspect that, unlike traditional currency, has high volatility. There are many kinds of crypto trading, ranging from fiat-backed stablecoins to governance reward token systems and top stablecoins offered by blockchain platform decentralized apps. There is also a wide range of fluctuations that simultaneously offer huge turnover and loss to crypto investors. It is a famous saying that if you want to thrive in cryptocurrency, you must have the courage to lose your investment as much as you want to gain profit.
Stable Coin
Stable cryptocurrencies are the kind of crypto coins with their value tied to some object in the physical world. You can tie a digital asset’s worth to gold, the dollar (traditional currencies), or any precious object with price fluctuations. There are also external reference points in the coded system of stablecoins. Stablecoins are lesser-known yet valuable cryptocurrencies that are becoming increasingly popular due to a few aspects that are superior to other coins.
Terms Used Cryptocurrency Market
Before starting with the topic, it is mandatory to understand specific main terms for better navigation in the cryptocurrency world.
Fiat Currencies
Fiat currencies are digital currencies. The difference between a fiat currency and cryptocurrency is that fiat currency has a central record and observation system, while most cryptocurrencies are Decentralized.
Crypto Market
It is the kind of market that offers business opportunities. It is similar to the physical market we visit for household items. As its name suggests, cryptocurrency is a digital market doing business in digital currency. Due to the cash flow, the crypto market capitalization is much more than the physical market.
Smart Contracts
Smart contracts are the kind of agreements that are written in the form of codes. This coded information is used for the execution of trade within or outside the ecosystem of the Crypto world. For example, the contract for USD coin (USDC) can only be used for trade within the blockchain using USD coin (USDC) and other blockchain-enabled platforms supporting this digital currency.
List Of Stable Coins
We have mentioned a long list of popular stablecoins performing well in the cryptocurrency market in the proceeding lines. These digital coins also have ample market cap.
Tether
It is the best stablecoin, with its launch in 2014. It is 4th asset in the crypto market and is one of the most stable cryptocurrencies. It has the Ticker under USDT. The price per tether is one dollar, while the market capitalization is around 82.44 billion.
The value of the tether is tied to real-world assets of USD. This means with the price fluctuations of the dollar, the price of the tether will also fluctuate. One rope equals one dollar, so all the objects in the physical world used for trade and other purposes in dollars are directly/ indirectly linked with tether. The market price of the dollar also gives rise/fall to the price of rope.
USDC
The next stable crypto in this series is the USD coin. USDC is also equal to one dollar. It got its launch in 2018. USDC is under the management of Coinbase. The name of the currency is USDC with the ticker of USDC. The price of one coin is equal to one dollar. The market capitalization of USDC is around 51.35 billion dollars.
It is among the ten most valuable assets in the crypto world. It is one 9th number. There are claims that this stablecoin has linked with real-world assets of cash equivalents and cash. Other reserve treasuries in circulation in the US are also linked with the USD coin.
Binance USD
The third place in the list is secured by Binance USD (BUSD). It is regarded as one of the biggest crypto exchanges at the global level. Binance USD also has approval for trade in NYDFS (New York State Department Of Financial Services.
The name of the Binance coin is Binance USD, with the ticker name BUSD. The price per Binance USD is one dollar, and the market cap is around 17.88 billion dollars.
The rate of one BUSD is equal to one USD. Additional charges can be induced while purchasing and selling this crypto coin. These charges are relatively small and are usually acceptable. It is regarded as the 19th most valued stable crypto coin among all the stable crypto coins.
TeraUSD
The following digital asset is one of the most popular stablecoins. It is a digital asset presented by Terra. The working criterion of this digital coin is to track down the value of one dollar. When the price of one-dollar increases, there is also an increase in the price of one TeraUSD. TeraUSD is one of the most valuable cryptocurrencies in the overall cryptocurrency market. It secures the 31st spot in the list of most valuable stablecoins.
The name of this digital coin is TeraaUSD. The ticker is named UST. The price per TeraUSD is one dollar. The market capital of TeraUSD is around 16.70 billion dollars.
The fundamental use of TeraUSD is linked with getting a return on investment with Luna. There is a proper reward system and staking. It is one of the largest stablecoins among all types of stablecoins.
TerraUSD’s primarily used for earning returns with Luna, Terra’s staking and governance reward token system. Other use cases include earning returns through arbitrage opportunities.
DAI
The following digital coin in this list is known as DAI and is also linked to USD. The Ethereum blockchain and Ether Token back it up. This digital coin got its roots in 2015 from MakerDAO. It is regarded as the 36th most valuable crypto as judged by its market cap.
The name of this coin is DAI. The ticker of this cryptocurrency is known as DAI. The price per DAI is around 0.9936 dollars. The market capitalization of DAI is around $9.45 billion.