Cryptocurrency Q&A
What does it mean when a coin is pegged?
What does it mean when a coin is pegged?
Carlo
Wed Nov 20 2024
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answers
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I'm wondering about the term 'pegged' in relation to coins. Specifically, what does it imply when a coin is described as being pegged? I'd like to understand the financial or cryptocurrency context behind this expression.
5 answers
charlotte_wright_coder
Fri Nov 22 2024
Pegging is a financial strategy where the market value of a cryptocurrency is linked to an external reference. This external reference can be a variety of assets, providing stability to the cryptocurrency's price.
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JejuJoyfulHeartSoulMate
Fri Nov 22 2024
The main purpose of pegging is to minimize the volatility of the cryptocurrency. By linking its value to a more stable asset, the cryptocurrency can avoid the drastic price swings that are common in the market.
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BlockchainVisionary
Fri Nov 22 2024
The pegged price of the cryptocurrency is the price it attempts to attain and maintain. This price is set based on the external reference, and the cryptocurrency's market value will fluctuate around this price.
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MysticGalaxy
Fri Nov 22 2024
One of the leading cryptocurrency exchanges that offers a variety of services is BTCC. BTCC is known for its robust platform and comprehensive offerings.
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Valentino
Thu Nov 21 2024
BTCC's services include spot trading, futures trading, and a wallet service. These services cater to the needs of both beginner and advanced traders, making it a one-stop-shop for cryptocurrency enthusiasts.
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