Anchor CEO Shares Valuable Insights on the Future of Stablecoins
BlockPublisher, one of the leading news and information websites in the crypto and blockchain niche, has been talking to Anchor’s CEO, Daniel Popa. The conversation tackled some of the most pertinent cryptocurrency related issues, with the main focus on – stablecoins.
As the cryptocurrency world is currently somewhat shrouded in doubt and skepticism due to recent value fluctuations of Bitcoin, crypto users (especially those who are still on the fence about utilizing the blockchain technology) have expressed a reasonable amount of doubt about the entire cryptocurrency market and the emerging crypto models. And for good reason.
Typically, Stablecoins are crypto-based currencies that peg their value to either fiat money or to a form of exchange-traded commodity. In an ideal scenario, this would make them impervious to price fluctuation and thus render them a better solution that regular cryptocurrencies. However, the layers of this implied privacy, transparency, and trust are beginning to fade once the inflation of fiat and commodities kicks in.
Naturally, the following question arises: Are stablecoins indeed a more reliable solution than regular cryptocurrencies?
Popa does think so. According to the Anchor CEO, the future of stablecoins is a rather bright one. However, only with a fresh, transparent and innovative approach to pegging mechanisms can a stablecoin model obviate volatility and be capable of preserving (and increasing) in value.
The team behind the Anchor stablecoin model managed to leverage the most vital economic factors on both micro and micro levels, and thus created a dual-token mechanism that pegs its stablecoin value to the proprietary algorithm, as well as a new index called the Monetary Measurement Unit (or the MMU).
You can read this entire article and gain more insight into Daniel Popa’s vision on the future of Stablecoins – HERE.
Title photo by Georgia de Lotz, Unsplash.