How do stablecoins maintain their value if they’re not backed by anything tangible?
Great question — and here’s the thing: stablecoins ARE backed by something tangible. That’s literally how they maintain their value. Let me clear up the misconception. The Core Mechanism: Backing & Reserves Stablecoins maintain their $1 peg (or whatever their target value is) through collateral reserves — real assets held in custody that back every…