Stable Coins: why they are needed and how they work

If you are in crypto, you have definitely encountered stablecoins — these are coins that do not fly to the moon and do not fall into the abyss. Their value is tied to real assets: the dollar, euro, or even gold.

Why is this needed?

Imagine: you hold Bitcoin, and overnight it drops by 20%. Ouch, right? Stablecoins solve this problem. Their price remains stable because each coin is backed by a real asset — a bank account, currency in a vault, something tangible.

This is especially useful:

• For traders — quickly exit positions without losses
• For countries with inflation — to have an alternative to unstable national currency
• For storage — it is safer to hold stablecoins than cash in an unstable economy

What to pay attention to?

Not all stablecoins are the same. The key is transparency: are the promised assets really backing the coin? Who controls them? What are the rules? Before investing, it's worth digging deeper and understanding the mechanics of the specific project.

Conclusion: stablecoins are a bridge between crypto and the real economy. Boring? Yes. Useful? Very.