history

Brief history
of the StableCoins

Stablecoins emerged in 2014 as a method for investors in cryptocurrencies to park their money when they invest in other highly volatile cryptocurrencies. Stablecoins are now mainly used for buying or selling cryptoassets, and for making cross-border payments. According to the Bank for International Settlements, the size of the global stablecoin market is approximately $255 billion as of June 2025, with near 99% of stablecoins pegged to the US dollars.

Stablecoins can be distinguished based on their methods of maintaining their relative value with the specified asset. Some major types of stablecoins are as follows: Cryptocurrency-backed, Commodity-backed stablecoins and Algorithmic stablecoin

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Advantages of

StableCoins

Price Stability

The primary benefit of stablecoins is their ability to maintain a stable value. Unlike traditional cryptocurrencies, which can experience significant price fluctuations, stablecoins are pegged to stable assets like fiat currencies or commodities.

Secure

Stablecoin transactions are secured by blockchain technology, offering enhanced security compared to traditional payment systems. The decentralised nature of blockchain ensures that transactions are transparent, immutable, and resistant to fraud.

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Lower Cost

Traditional financial institutions often charge high fees for processing payments, especially international transactions. Stablecoin payments, however, come with significantly lower transaction fees.

Cross-borders

Cross-border transactions can be complex and costly with traditional banking systems. Stablecoins simplify this process by enabling seamless international payments. Employees working abroad can receive their salaries in stablecoins without worrying about currency conversion fees or delays.

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Information about the

GENIUS Act

The GENIUS Act, focused on digital asset regulation, offers several advantages, including enhanced consumer protection, a stronger U.S. dollar, and increased national security. It also fosters innovation in the stablecoin market, clarifies regulatory frameworks for stablecoins, and potentially reduces costs and speeds up transactions.

Here's a more detailed look at the advantages:
- Consumer Protection
- Strengthening the U.S. Dollar and National Security
- Fostering Innovation and Efficiency
- Potential for Reduced Costs and Increased Speed

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