HELLO! My name is Pedro Saa, I am new in steemit, this is my first post about cryptocurrencies, this time I will be talking about stable coins, thanks to teacher @yohan2on for the class and the opportunity to acquire knowledge of cryptocurrencies and Exchanges, without further ado I present what I learned.
Stable currencies are currencies which provide security to the user who owns them because these currencies are not volatile, ie do not vary in price against the dollar, this generates a decrease of stress in the user who wants to invest because he has certainty that the currency will not vary, at least not in an unstable magnitude (this will be discussed later), PERFECT! we know it is stable, but compared to what, let me answer that question, this currency is equivalent to the dollar ($), ie they are in 1:1 ratio. Now we will see more details and curiosities of this currency.
Already by the introduction you can imagine what we are going to talk about in this section, these (in this case the USCD) coins are equivalent to a dollar and are also in blockchain, this is a huge advantage, since as a user you would have to exchange and withdraw money from the platform constantly if not for this convenience, on the other hand you will have security and also without having to perform these actions (exchange and withdrawal), this saves a lot of time and avoids waste. These currencies do fluctuate and fluctuate in price, but the margin of fluctuation is very low, the details of the fluctuation of USCD you can see in the section of curiosities.
On the other side of the coin we have the disadvantages of this type of cryptocurrencies, one of them is that this currency is a centralized currency, because of the centralization of capital we have seen negative repercussions over the years thanks to the banks, when a currency is centralized there can be probability of corruption and inflation, centralization is due to the parity that exists between the stable currencies (in this case the USCD) and the dollar, since the dollar is controlled by the banks, it gives them some control over the USCD, this is what we call centralization, in a financial transaction there are three entities present, the issuer, the receiver and the intermediary (BANK). Centralization generates insecurity for investors since they depend largely on the intermediary. In another order of ideas, stable currencies do not serve to invest, since being STABLE they do not generate return of investment (profit).
In the social field, the newbies in the world of cryptocurrencies take refuge in this currency which does not generate the will to learn from the others.
USCD ORIGIN
The origin of this coin dates back to the year 2018, specifically on October 23rd of that year, we can see that it is quite current. The creation was a collaboration between coinbase and circle.
With nothing more to add, I bid you farewell.
- Text written by Pedro José Saa Tundidor.
Hi @pedro.saa
Thanks for attending the 7th -Crypto course on stable coins and for your effort in doing the given homework task.
Feedback
Fairly done. More research work was needed.
Homework task
6
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