Distinguishing Between Stablecoin and Bitcoin
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As digital currencies continue to tread new grounds by disrupting financial markets, a direct challenge has emerged between Bitcoin and Stablecoin. Let us understand more about their functioning and the key differences between the two assets.
Meaning of Bitcoin
Bitcoin is the leader of the cryptocurrency industry. It acquired huge popularity after Satoshi Nakamoto disclosed the whitepaper in 2008. Bitcoin is known for its volatility as its value keeps on fluctuating depending upon the market conditions and regulatory environment. Traders would have to wait and watch before buying or selling Bitcoins. Bitcoin operates in a decentralized environment without intervention from third parties or authorities.
Meaning of Stablecoin
Stablecoins are also a type of digital currency specifically designed to control the volatility in price. They would be pegged to the value of any related cryptocurrency, fiat currency, or any other commodity. It can overcome the inefficiencies present in the payments system and lead to more financial inclusion. Read more at: https://www.blockchainappfactory.com/blog/distinguishing-between-stablecoin-and-bitcoin/