Beyond the Dollar: Why New Stablecoins Are Shaking Up Crypto
Stablecoins pegged to the US Dollar face issues around centralization and security. In response, interest is growing in alternative stablecoins backed by other currencies.
For a long time, the most popular stablecoins, like Tether (USDT) and USD Coin (USDC), have been tied to the US Dollar. But these dollar-pegged coins aren’t perfect. Many rely on a single company to hold the actual dollars that back the digital coins.
This can lead to questions about how trustworthy and open they truly are. For example, some companies can even freeze funds or ban certain digital addresses, which feels a bit too “centralized” for a world that aims to be “decentralized.” Even popular decentralized stablecoins, like DAI, often depend on outside…
