8 Best Stablecoins to Buy in 2023

Stablecoins have taken the world by storm and they have the best features of Fiat and cryptocurrency. Since stablecoins are typically pegged to Fiat currencies, prices are completely predictable as they are not as volatile as cryptocurrencies. They make appropriate investment options. You should know that stablecoins are ultimately not tied to Fiat money. While the tokens are linked to some precious metals and other assets, they are used in various initiatives.

In this post, let’s see which are the best stablecoins to invest in in 2023.

Tether is definitely one of the most popular cryptocurrencies in the current context, and also one of the best stablecoins to buy this year. This is mainly because its price is correlated to the USD and it is a dominant stablecoin when it comes to market cap. All units are backed in US dollars by the company that made the necklace.

USDC coin has entered the top five cryptocurrencies by market capitalization. Fiat cash reserves and US Treasuries support the supply. One of the top cryptocurrency exchanges is Coinbase, so USDC would indeed be a wise investment for 2023.

True USD was launched in 2018 and it is a stable point tied to the USD. The collateral is divided between different bank accounts of different trust companies. Hence, True USD has kept the USD to USD ratio at 1:1 for several years. It is one of the top 50 cryptocurrencies by market capitalization.

One of the most famous stablecoins is Binance, and it is pegged at a ratio of 1:1. The cryptocurrency was initially created by Binance and it is the main trading volume. The exchange rewards users of the branded currency and gives Binance USD a continuous and significant boost.

Magic Internet Money has a soft peg to the US dollar. Abracadabra Money is a decentralized crypto lending platform that successfully unveiled this asset in 2021. The cryptocurrency is holding the $1 price, which is excellent apart from the sporadic small price spikes.

Neutrino USD is one of the most widely used algorithmic stablecoins. It has been one of the leading cryptocurrencies in terms of market capitalization since the beginning of 2023. Although it fell in value a bit in 2022, the coin is still actively traded even today. You can check out the price cut from $1 to $0.50, and it’s a great price opportunity.

It is basically an Ethereum-based stablecoin pegged to the US dollar, and it is a decentralized coin. It means it is not tied to any government or central authority. MakerDAO regulates the currency and looks forward to maintaining a 1:1 ratio against the USD.

The Gemini dollar is one of the most regulated ERC 20 tokens backed by the US dollar. It is fully collateralised, meaning it is backed by the equivalent amount of USD held by Germany. The German dollar ensures that there is parity between the amount of GUSD in circulation and the amount of USD in reserve.

When it comes to investing in stablecoins, there are several strategies to consider. The first is to just buy the coins and hold them for a while. This strategy is best for people who believe that the long-term outlook is positive for stablecoins and that they can eventually make good returns on them. You can also use stablecoins to trade various cryptocurrencies. You do this by exchanging your stablecoins for another cryptocurrency on the crypto exchange. This strategy is profitable, provided that the prices of cryptocurrencies being traded move in the right direction.

Stablecoins are one of the best ways to invest in cryptocurrency and get the most out of returns. With the ever-growing adoption of cryptocurrencies, stablecoins have become completely prominent among all investors as they offer a lot of stability and they also have the potential for optimal returns, provided you choose the right one.

This content is for informational purposes only and should not be construed as financial advice.