What are stablecoins?
Stablecoins are a type of cryptocurrency designed to stay steady in price. Unlike Bitcoin or Ethereum, which can jump up and down in value, stablecoins are usually linked to a real world currency like the US dollar. For example, one stablecoin is meant to always equal on dollar.
People use stablecoins because they make it easier to trade in and out fo other cryptocurrencies without going back tto normal cash. They are also used for payments, lending, and moving money quickly between exchanges. Stablecoins can be seen as the “safe zone” of crypto. They are not risk free, since they rely on the companies or systems behind them but they do provide stability in a market that is know for big ups and downs.