STABLECOIN PEG

Stablecoins are crypto assets that are pegged to a static value like a US dollar, EUR, or gold in order to protect investors and traders against volatility in the crypto industry. And though they were designed to hedge you against price fluctuations, sometimes they depeg and lose their value temporarily—which may happen during market crashes or moments with a lack of liquidity—or permanently, which happened to UST coin in May 2022.