More Attention on Stable Coins in 2022
Investment is not just about putting money on something that gives a good return instead there are many tips and tricks that we need to follow to bag better returns. With the advancement of technology crypto adoption, we are getting more options to earn higher. Now since we have more options to earn higher returns on the investment so keeping our money in something that pays a lower return is surely not a good idea. There was a time when we were happy with what banks used to pay us for the deposits but now things have changed. I am not happy with the rate of interest that banks pay and even I don't like the way they manage money. They just want to have full control of our money however with crypto things are just the opposite of it. Even after the investment, we have control over our funds and we can make changes whenever we require.
Crypto is not just for the people who are traders or have a high-risk appetite instead now there are plenty of options where investors can invest in stable coins. Stable coins are the ones where value does not fluctuate much like other crypto coins and these coins are backed by USD currency. Ideally, exchanges keep the same amount of USD (fiat) whatever they are holding in form of stable coins. USDT is the leading name in stable coins but there are some other names as well including BUSD, USDC, GUSD, DAI, and even HBD which is a decentralized stab coin pegged to USDT.
The good thing about investing in stable coins is that we have the least risk and the returns are also paid in the same coin and usually APR is 10% or more depending on the platforms. Some offer low and some offer higher apr so we can choose the platform that is more reliable, safe, and offers high APR on stake coin deposit.
Earlier it was not so popular and most of the traders used to convert their crypto in USDT when they were expecting a dip and in case of price increase, they used to buy it back using USDT, etc. Now things are happening differently as many DeFi platforms are offering a nice % of retuns and even exchanges like Binance, Gemini, etc are offering returns so its surely helping to get more attention on stable coins.
I also think that this increased interest in stable coins is also because of stake and earn which has got more attention in 2021 when we got a bunch of platforms offering the option to deposit/hold crypto and earn passive income without any trade. This is a nice way to earn passive income and there is no need to spend more time on trading which can also cause losses sometimes but with stable coins, its like investing and deposit, and that is done. Now with this action only we can earn a decent income which is good enough to make us happy as we know that prices will not fluctuate more.
Thank you so much
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