Glad I could be of help!
Steem Backed Dollar is a smart contract, an Asset/Token so you will. Which was ment to be pegged to match the value of one US Dollar. To make it easier for people to use in real life situations.
Behind the 1 SBD there is always a certain amount of Steem that will make up the amount to be about 1 USD in value. Imagine the market price of Steem would be $ 3.00 then 0.33 Steem would be needed to back the value of 1 SBD.
As 0.33 x 3.00 is about 1 USD. That is the way it is done in Bitshares too with things like bitUSD and bitEUR. The value is matched against a fiat coin value.
In Steem this resulted in a smart contract that creates Steem Backed Dollar, or SBD.
Hope this answered your quistion.
You are such a great help!
Thank you!
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Happy to know I could be of assistence to you!
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