Fiat-collateralized Stablecoins:
Fiat-collateralized stablecoins are the foremost variant of stablecoins you would come across. They have the backing of a fiat currency such as Euro, GBP, or the US Dollar. Fiat-collateralized stablecoins are the simplest stablecoin types with a 1:1 ration backing. The 1:1 ration implies that one stablecoin would be equal to one unit of currency such as a dollar or one Euro.
