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/


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Looks mildly ridiculous if you ask me. Now we're getting through a bit different phase in the BTC history. A better new phase, though it's not quite obvious.
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I don't think that this artificially implemented restriction of volatility is a good thing for any currency. By doing so you make all the traders uninterested in the currency right from the start. And if you were tracking the BTC exchange rate recently- there's no volatility anymore, it was stabilized naturally. And I guess it's common knowledge that only 3-5 cryptocurrencies are used on the market these days. No one needs anything but BTC, HTC, and LTC for buying stuff online. And buying LTC is as simple as it can get, check this link.


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I can't fully agree that there's no volatility anymore because if you check the price of Bitcoin - it's still unstable and almost impossible to predict. But I think it's only adding a little bit of spice to the trading process, and with Bitcoin Bank software, trading for me is not like a tiring job, it's more like just a money-making activity.


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So maybe you could better apply these concepts in practice and the difference would be immediately apparent to you?


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I have almost all my money in Bitcoin for now - I think it is the future.
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