Stablecoins
Digital money for everyday use
Stablecoins are Ethereum tokens designed to stay at a fixed value, even when the price of ETH changes.
Why stablecoins?
Stablecoins are cryptocurrencies without the volatility. They share a lot of the same powers as ETH but their value is steady, more like a traditional currency. So you have access to stable money that you can use on Ethereum. How stablecoins get their stability
Stablecoins are global, and can be sent over the internet. They're easy to receive or send once you have an Ethereum account.
Demand for stablecoins is high, so you can earn interest for lending yours. Make sure you're aware of the risks before lending.
Stablecoins are exchangeable for ETH and other Ethereum tokens. Lots of dapps rely on stablecoins.
Stablecoins are secured by cryptography. No one can forge transactions on your behalf.
The infamous Bitcoin pizza
In 2010, someone bought 2 pizzas for 10,000 bitcoin. At the time these were worth ~$41 USD. In today’s market that’s millions of dollars. There are many similar regretful transactions in Ethereum’s history. Stablecoins solve this problem, so you can enjoy your pizza and hold on to your ETH.
Find a stablecoin
There are hundreds of stablecoins available. Here are some to help you get started. If you're new to Ethereum, we recommend doing some research first.
Editors' choices
These are probably the best-known examples of stablecoins right now and the coins we've found useful when using dapps.
Dai
Dai is probably the most famous decentralized stablecoin. Its value is roughly a dollar and it’s accepted widely across dapps.
USDC
USDC is probably the most famous fiat-backed stablecoin. Its value is roughly a dollar and it’s backed by Circle and Coinbase.
Top stablecoins by market capitalisation
Market capitalisation is the total number of tokens that exist multiplied by the value per token. This list is dynamic and the projects listed here are not necessarily endorsed by the ethereum.org team.
| Currency | Market capitalization | Collateral type | |
|---|---|---|---|
| Loading stablecoin data... | |||
How to get stablecoins
What you'll need
You’ll need a wallet to authorise the swap and store your coins
To pay for the swap
Editors' tip
Get yourself a wallet that will let you buy ETH and swap it for tokens, including stablecoins, directly.
Find walletsDapps for swapping tokens
If you’ve already got ETH and a wallet, you can use these dapps to swap for stablecoins. More on decentralized exchanges
What you'll need
An account with an exchange or a wallet you can buy crypto from directly. You may have already used one to get some ETH. Check to see which services you can use where you live.
Check the services you can use where you live
What you'll need
Stablecoins are a great method of payment for work and services because the value is stable. But you'll need a wallet to be paid.
You’ll need a wallet to receive your earned stablecoins
Where to earn stablecoins
These are platforms that will pay you in stablecoins for your work.
What you'll need
To borrow stablecoins you'll need to use the right dapp. You'll also need a wallet and some ETH.
You’ll need a wallet to use a dapp
You'll need ETH for collateral and/or transaction fees
Crypto collateral
With Ethereum you can borrow directly from other users without trading away your ETH. This can give you leverage – some do this to try to accumulate more ETH. More on crypto-backed stablecoins
But because ETH’s price is volatile, you’ll need to overcollateralise. That means if you want to borrow 100 stablecoins you’ll probably need at least $150 worth of ETH. This protects the system and the lenders.
Places to borrow stablecoins
These dapps let you borrow stablecoins using crypto as collateral. Some accept other tokens as well as ETH.
Risks
If you use ETH as collateral and its value drops, your collateral won’t cover the stablecoins you generated. This will cause your ETH to liquidate and you may face a penalty. So if you borrow stablecoins you’ll need to watch the ETH price. Latest ETH price
Save with stablecoins
Stablecoins often have an above-average interest rate because there’s a lot of demand for borrowing them. There are dapps that let you earn interest on your stablecoins in real time by depositing them into a lending pool. Just like in the banking world, you're supplying tokens for borrowers but you can withdraw your tokens and your interest at any time.
Interest-earning dapps
Put your stablecoin savings to good use and earn some interest. Like everything in crypto, the predicted Annual Percentage Yields (APY) can change day-to-day dependent on real-time supply/demand.
0.05%
The average rate paid by banks on basic, federally insured savings accounts, USA. Source(opens in a new tab)
Aave
Markets for lots of stablecoins, including Dai, USDC, TUSD, USDT, and more.
Compound
Lend stablecoins and earn interest and $COMP, Compound's own token.
Oasis
An app designed for saving Dai.
Always do your own research
Ethereum is a new technology and most applications are new. Make sure you're aware of the risk and only deposit what you can afford to lose.How they work: types of stablecoin
Fiat backed
Fördelar
- Safe against crypto volatility.
- Changes in price are minimal.
Nackdelar
- Centralized – someone must issue the tokens.
- Requires auditing to ensure company has sufficient reserves.
Exempelprojekt
Crypto backed
Precious metals
Algorithmic
Learn more about stablecoins
Dashboards & Education
