Concept

Description of Algorithm-Based Stablecoins

These are stablecoins in which the network they run on has an algorithm that is constantly adapting supply to demand. It has the ability to burn or create more of that cryptocurrency in response to the demand of users, thus keeping the price stable. One of the more popular examples is the stablecoin DAI, issued by MakerDAO.

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Updated 2021-11-11

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Cryptoeconomics

Economics

Social Science

Empirical Science

Science