Definition of Algorithmic Stablecoin

Algorithmic stablecoins are tokens pegged to a fiat currency which is usually the US dollar, purely through software and specific conditions. For example, as the price rises, the algorithm may issue more coins, and when the price falls, it purchases them off the market.

Share this with a friend!

Related Terms

Emission

The speed/rate at which new coins are minted and released as dictated by the protocols written.

Liquidity

How easily a cryptocurrency can be bought and sold without impacting the overall market price.

Wash Trade

Meaningless back and forth trading between a single party with the aim of inflating trade volume.

Sim Swapping

It is a tactic where hacker overtake the mobile phone to exploit the two-factor authentication and two-step verification.

Hungry for more knowledge?

Glossary

Algorithmic Stablecoin

Share this with a friend!

Related Terms

Login to track your favorite coin easily 🚀