Earlier than its crash per week in the past, Terra’s UST was one of many largest dollar-pegged stablecoins out there. The coin was lastly de-pegged and has since misplaced nearly 90% of its worth in opposition to the greenback. So, it’s apparent that crypto traders are on the lookout for options, and right here is why.
USD linked stablecoins are essential for many crypto-related transactions.
Stablecoins additionally assist traders to scale back publicity to different unstable crypto belongings.
USD-linked stablecoins are the primary drivers of DeFi.
With this in thoughts, in case you are on the lookout for higher options to UST, we have now an inventory of three cash beneath to take a look at.
In the case of dollar-linked stablecoins, nothing compares to USDT. It’s the largest dollar-pegged coin by market cap and one of many extra trusted choices.
There have been some fears after the UST collapse that Tether may lose its peg. However these fears have now been quashed. USDT seems as steady as ever. Whereas the coin shouldn’t be 100% protected, it’s a much better choice in comparison with many of the dollar-pegged cash in crypto proper now.
USD Coin (USDC)
USD Coin (USDC) has an general market cap of round $53 billion. After Tether, it’s the second-largest dollar-pegged stablecoin. USDC has proven unimaginable stability over the previous couple of weeks.
At the same time as Tether and different stablecoins appeared to shake barely within the wake of the UST collapse, USDC remained largely unchanged. It’s subsequently a protected choice for traders eager on utilizing dollar-pegged cash. In addition to, the circulation of USDC is backed by actual currencies held in reserve and extra US treasury bonds.
Pax Greenback (USDP)
Pax Greenback (USDP) is probably not as huge as Tether or USD Coin, however it’s a very respectable stablecoin. Its market cap is barely beneath $1 billion, however that’s not a nasty factor. In addition to, USDP is absolutely collateralized. This offers it a bit of additional stability.