Crypto Academy Week 6 Homework Post for @yohan2on: Stablecoin - Steem Dollars (SBD)

Hello friends ,

Today I am here to complete Crypto Academy Week 6 Homework. This is my 2 nd home work post in this community. Thanks to Professor @yohan2on for all the efforts made to present the lessons in a way that is understandable to crypto beginners.

source

This week's task:

Homework task: Write about any one of the following stable coins;
Tether(USDT)
Steem backed dollar(SBD)
DAI

What is a stable coin?

Stablecoins are a new cryptocurrency that seeks to provide price stability and are supported by reserve assets.
Below are some of the stable coins listed in the market.

• Tether
• USD Coin
• Binance USD
• Dai, Paxos Standard
• HUSD
• AMpleforth
• TrueUSD
• sUSD
• PAX Gold.

So now let's look at a stable coin that is unique to the Steamit platform. It is one of the 3 cryptocurrencies in the steemit. This is called Steem Dollars or SBD.
We cannot be aware of the Steambacked Dollar (SBD) regarding value stability without mentioning the origin of the SBD and the associated coin.
Steem is an open source blockchain. Steemit is the recognized platform for Steem-blockchain.as well as This is often referred to as the blogging platform.

source
Basically, here are the three main digital assets; Are Steem, Steem Power and SBD. This allows the system to contribute, earn, and retain its power. Both SBD and Steam Power get their value from Steam on Blockchain.
This system offers benefits in the form of SBDs that you can trade on exchange platforms. Steam is the local currency vapor power that trades only on blockchain, while the primary currency traded on exchange platforms is called steam.
This benefit scheme can be seen when you place your benefit tool on 50:50 SP and SBD or 100% SP.
SDB is a Stablecoin asset, but like all other coins we know, digital ones aim to manage the volatility of other assets by making value a priority.
As mentioned above, all other assets in the Steem blockchain derive their value from Steem in the Steem-blockchain, and SBD generates connections with Steam generated daily by the blockchain program. Accordingly, the entire Steam blockchain operates in sync with the SP.

STEEM BCKED DOLLAR (SBD)

The Steambacker dollar (SDB) is earned from mining. That is, you contribute to the blockchain platform by posting useful content that benefits from high content.

source

These are liquid fixed coins linked to $ 1 (USD).
These SDBs can be transferred to other user accounts for the exchange of Fiat or other digital assets and can be traded with Steam as seen in Blockchain. Now via swap.app SBD can also be converted to Steam through a rapid process.
SBD is a good investment when the Steam value grows at a higher rate than the interest rate paid for SBD.

Speaking of getting Steam dollars,

There are two main ways you can get Steam Dollar or SBD. Before there were 3 methods, it would take 3.5 days to convert directly into the wallet - but you've already missed the options in the wallet after checking it out.
as well as You can access the internal market in the main menu of Steemitwallet and exchange for your SBD STEEM with the current market price.

source

When it comes to dealing with SBD,

Dealing with Steam Dollars can be done very easily and you can simply go to your Steam page and do this task.

If we talk about the current valuation,

at the moment we can see that the price of Steam Dollars on the market websites is more than a dollar.
This is due to the high demand and the current limited supply of steam dollars. This is because there are always new ones being printed, from the benefit pool to the distribution to users for their payments, but it happens at a very slow rate.

SBD means to provide that stable coin in the market despite the market fluctuations affecting the price of Steam. It has partnered with Steam-Blockchain to maintain this stability by producing more Steam coins to repay debt equivalent to US $ 1.

Mentioning respected @steemcurator01 & @steemcurator02

#cryptoacademy #yohan2on-week6 #srilanka #steemexclusive #steemitblog #trading #begginers #steblecoin #sbd