Why Bitcoin Is The Only True Stablecoin

Those of you who are familiar with the cryptocurrency market in general are aware of centrally managed stablecoins – cryptocurrencies that are pegged to a benchmark asset like the US dollar. Examples of these are Tether (USDT) and USD coin (USDC) and there are others like Paxos and DAI, but the first two seem to be the most widely used. Speculators often use them to trade bitcoins, but there are other applications for stablecoins that may be unknown to most.

Stablecoin use cases include low-cost, low-volatility, real-time payments that are competitive compared to what consumers and businesses experience today with fiat currency. They could also make it cheaper for businesses to accept payments and easier for governments to run conditional cash transfer programs (including sending a universal basic income).