What is Stablecoin?
A stablecoin is a crypto asset pegged to a stable reference, usually the US dollar. Categories: fiat-backed (USDC, USDT, PYUSD), crypto-backed (DAI/USDS, crvUSD), algorithmic (UST — failed; FRAX — partial), and synthetic (USDe). ~$200B aggregate supply by 2026.
How it works
A stablecoin is a crypto asset pegged to a stable reference, usually the US dollar. Categories: fiat-backed (USDC, USDT, PYUSD), crypto-backed (DAI/USDS, crvUSD), algorithmic (UST — failed; FRAX — partial), and synthetic (USDe). ~$200B aggregate supply by 2026.
For deeper protocol-level mechanics, see the related glossary terms below or the linked DeFi Intel topic deep-dive.
Why it matters
Stablecoins are the largest crypto product by transaction volume — settled $10T+ in 2024-2025. They underpin DeFi liquidity, CEX quote books, and payments to emerging markets.
Real-world examples
USDC ($30B+, Circle), USDT ($140B+, Tether), DAI/USDS ($5B+, Sky), PYUSD ($1B+, PayPal), USDe ($5B+, Ethena).
Related terms
Go deeper
Read the full DeFi Intel topic deep-dive or browse the complete crypto glossary.
Stablecoins deep-dive Browse Glossary