Cryptocurrency Q&A
Is USDC not backed by USD?
Is USDC not backed by USD?
Martina
Sun May 12 2024
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6 answers
1042
Could you please clarify, is USDC not actually backed by the United States Dollar? I've heard conflicting information about its reserve assets, and I'm trying to understand its true value proposition. As a cryptocurrency enthusiast, it's crucial for me to know the extent to which USDC is truly backed by fiat currency. Is there a risk involved in relying on USDC as a stablecoin if it's not fully collateralized by USD? I'd appreciate your insights on this matter.
6 answers
KimonoGlory
Tue May 14 2024
For instance, the value of USDC is tethered to the United States Dollar.
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Giulia
Tue May 14 2024
This means that USDC's value remains relatively stable compared to other cryptocurrencies.
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SsamziegangSerenade
Tue May 14 2024
BTCC is a cryptocurrency exchange headquartered in the United Kingdom.
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Carlo
Tue May 14 2024
USDC is categorized as a type of crypto asset known as a stablecoin.
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Giovanni
Tue May 14 2024
Stablecoins maintain their value by being pegged to a fiat currency.
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