STEEMIT CRYPTO ACADEMY CONTEST/s8W2-WHAT ARE STABLE COINS
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INTRODUCTION
Hello my good friends, how are you all doing today? Hope you all ok?
Am here to participate in this contest that talks about what stablecoins are? how do I manage it to ensure a stable price.
In this contest I will explain all what I know about stable coins
EXPLAIN STABLE COINS?
Stablecoins is a crypto currency fixed price. Their market value is attached to another stable coins and it different from normal crypto currency.
Stable coins can be traded on exchanges that include U.S dollar, Euro and more.
Some stable coins can be pegged to another type of assets, which includes metals such as GOLD and any other CRYPTOCURRENCIES.
HOW TO MANAGE AND TO ENSURE A STABLE PRICE
Stable coins are coins that have small stable value, which is close to volatility, since volatility make use of crypto currencies. Seigniorage coins is a class of stablecoins that operates on demand and supply commission basic.
ADVANTAGE
DISADVANTAGE
The presence in controlling fiat-backed stable coins in the form of emitting and managing the reserves to fiat gateways makes the assets susceptible to external control.
WHY WERE STABLECOINS CREATED AND HOW ARE THEY USEFUL?
Stablecoins where created to create cryptocurrency token with a stable price. The stability is commonly achieved such as GOLD or Fiat currency. Crypto volatility has both long term and short term, it has made many coins known to a speculative investment.
The are useful to make money, it help to provide an alternative to the high volatility of known cryptocurrency which include Bitcoin which can make cryptocurrency less suitable
WHAT ARE THE MOST POPULAR STABLECOINS?WHICH DO YOU USE MORE AND WHY
For me the most stablecoin is Bitcoin, USDT, USD DAI TERRAI, so many people all over the world have heard about all this coins.
The coins I use more is Bitcoins because it's currency is higher than all those coins I mentioned.
CAN STABLE COINS LOSE THEIR STABILITY? IF ANSWER IS YES, THEN CITE SOME CASES WITH AN EXPLANATION OF THE REASONS OF THAT
Stablecoins can lose their stability because there are some risks because of unregulated issues opecity and complexity of the crypto ecosystem.
So stablecoins can lose their stability
WHAT ARE THE ADVANTAGES AND DISADVANTAGE OF STABLECOINS COMPARED TO TRADITIONAL CRYPTOCURRENCIES
ADVANTAGES
You gain more wealth when you invest wisely
It make you to be close to good opportunities
It provides good job opportunities
DISADVANTAGES
You lose if you do not invest wisely.
It's frustrating.
*If you're not consistent you will eventually give up.
CONCLUSION
This is a great post, we cannot but confess that the stability of these coins makes them useful for various purposes including facilitating international transactions between different people, serving as a storage of value instead of storing them in fiat which can be cumbersome, as well as opened to taxing even when not being used, also, it beats volatility in the market.
Thanks so much @thomisin Al what you said it correct
Thanks for your response. I wish you all the best.
TEAM 1
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Thanks so much for your support
I appreciate your efforts in sharing in details what stable coins are. I have learned a lot from you here. Keep up the efforts dear
Thanks so much ma I really appreciate
Hello dear @ekemini5, thank you for participating in our challenge this week. Your efforts are very commendable.
However, you must remain active on the platform and not launch power down operations regularly and you just come back to participate in our competition.
My recommendation for you is to stay active for the weeks and then enter other contests and make sure you stay active. It is then that we will consider you back at the SCA.
Invalid entry
You can do better next time, just try to follow all the rules, thanks for attempting