Cryptocurrencies as Money: Evolution of Stablecoins and What’s Next –

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@btcreadCharles J Read

Bleeding Edge Technologist, Futurist, and Growth Hacker.

Stablecoins are cryptocurrencies that are backed by other assets to achieve a stable value, which creates untold opportunity for the way humans interact with money as they have the benefits of cryptocurrency (borderless, secure, low cost) while protecting the users from volatile price action. They often represent real money (GBP, USD etc) and for this reason are more easily understood by a global audience.

I’ll briefly outline the more common types of stablecoins before I do more of a deep dive on the emerging trends we are starting to see discussed by global powers, like CBDCs (Central Bank Digital Currency) or public payments infrastructure built by corporations, like Facebook’s Libra.

The stablecoins that currently represent the most volume are typically backed by real world assets off chain (the assets are not related to a blockchain) – like the US Dollar or the Pound, notably TUSD or TGBP (Issued by Trust Token). Trust Token is an example of a regulated stablecoin issuer with 1:1 assets in a bank for each stablecoin in circulation.
The most complex of the stablecoin family is the algorithmic backed stablecoin, which achieve price equilibrium through complex algorithms – such as Basis who