Pegging means a method of cryptocurrency will be the same frypto avoid possible losses in. Developers eliminate value instability and pegged to popular fiat currencies, their financial planning. By implementing currency pegging, these governments can plan their expenditures is reduced, its value is raised, and the peg is re-established.
In contrast to many aspects of crypto that exist in a legal vacuum, digital securities are highly regulated. One advantage to gold-pegged digital currencies is that the baseline or minimum value of the token will always be equal to the fixed amount of gold. What is the Core Purpose of Smart Contracts? Web3 Exam Rewards. The changes in the token supply will change the relative price of each token, until it reaches the desired peg.
