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Stablecoin

Beginner

A stablecoin is a type of cryptocurrency designed to maintain a stable value. By being pegged to a real-world asset, such as the US dollar or gold, it combines the benefits of cryptocurrencies (like speed, accessibility, and decentralisation) with price stability. Stablecoins are widely used in trading, savings, and lending within decentralised finance (DeFi), providing a safer way to store value or transfer funds, especially during volatile times. Popular examples include USDT, USDC, and DAI.

Related Words

Smart Contract

Intermediate

A smart contract is a self-executing program, written in code, that runs automatically when predefined conditions are met. It reduces the need for intermediaries, making transactions cheaper, faster, and secure.

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