Stablecoins provide stability in the volatile world of crypto. This article explores what stablecoins are, their different types, and why traders rely on them.
What Are Stablecoins?: Define stablecoins as cryptocurrencies that are pegged to stable assets like fiat currency (USD) to reduce volatility. Examples include USDT, USDC, and DAI.
Types of Stablecoins: Discuss the three main types: fiat-collateralized, crypto-collateralized, and algorithmic stablecoins, explaining how each maintains its value.
Why Traders Use Stablecoins: Explore how stablecoins are used for trading pairs, yield farming, and as a safe haven during periods of market volatility.