Stablecoins explained: What they do, how they work, and why risks remain

A stablecoin is a cryptocurrency designed to maintain a consistent price relative to another asset, usually the U.S. dollar. Said another way, a perfectly effective stablecoin pegged to the dollar will always be worth $1. This behavior differs dramatically from traditional cryptocurrencies like bitcoin and ethereum, which are known for their volatility. iframe src="https://www.myfinance.com/as/37116dfa-df19-4d13-bdae-a6452384794a?utm_medium=embed&imr=https://finance.yahoo.com/&utm_campaign=yahoofin-invest ...