Russians started buying large quantities of stablecoins shortly after the launch of a Ukrainian-specific operation. Let’s find out why this currency is so well-loved, what it takes to purchase it, and what it could do for us in the event of sanctions.
What is stablecoin?
To estimate the price of services or goods offline, people use fiat currencies. However, the world of cryptocurrency has its own metrics: the number and size of transactions on the blockchain blocks, block sizes, hashrate, etc. We’ve added new features to the blockchain in order to make it more accessible to not only technical experts but also ordinary users.
Stablecoins refer to digital coins that are tied to USD (the value of USD, the US currency) in a ratio 1:1. Tether created the first stablecoin USDT in 2015. Tether also offers other stablecoins, such as Circle’s USDC or BUSD. These coins are issued by Binance, a crypto exchange. The company that is the creator is identified by the letter ‘C’.
Stablecoins permit savings made in fiat to be converted easily into digital currency. This lets you invest or trade immediately. Furthermore, with the help of stablecoins you can reduce the amount of your crypto savings – during periods of high volatility in the market and the cryptocurrency can be transformed into stablecoins, and then wait for better conditions. Stablecoins have the advantage that they can be used in instances when the foreign exchange rate is not stable , and purchasing one is difficult.
What is the reason why demand for stablecoins has been increasing?
Russia has seen an increase in demand for cryptocurrency in the past week to help save money. In addition to the growth in the deposits of cryptocurrency exchange as well as an increase in people who use. The second most-popular cryptocurrency, following bitcoin, are stablecoins and particularly USDT.
According to data, the number and frequency of users visiting trading platforms have grown by 2 to 3 percent since February. Since the stablecoin can be used as an alternative to cash American dollars (which it isn’t able to purchase at the moment) The demand for USDT is higher than demand for bitcoins as well as other popular cryptocurrency.
EXMO cryptocurrency platform saw an increase in deposits of rubles. The reason is that the Binance exchange has stopped working with Visa and Mastercard credit cards that are issued in Russia.
If you’re a Russian and have moved abroad Crypto, as well as in particular stablecoins, can be used to make payments between different countries. Stablecoins can be used to quickly transfer savings between rubles as well as foreign currencies.
To facilitate transactions between people using cryptocurrency, the amount of cryptocurrencies being purchased and sold through the P2P platform has grown. The platform serves as an intermediary, guarantee and facilitator of the transaction. After buying a cryptocurrency the buyer transfers the money into his crypto wallet and then to a credit card.
Instructions on how you can purchase stablecoins immediately
Stablecoins that you purchase on a central exchange is the best method to safeguard yourself from fraudsters. Certain exchanges have restrictions in place which make it difficult or even impossible to use for Russian passport holders, making it very difficult to access some of them. One of the options is to use decentralized crypto exchanges (DEX) that don’t store funds of users. Every operation that is performed on a DEX platform will be subject to a commission from a particular blockchain.
This model is a partnership model for collaboration on equal terms. A variety of p2p websites connect users who wish to buy or trade stablecoins. You can find amazing deals on purchasing cryptocurrencies in rubles. Additionally, you can use the platform to guarantee the transaction.
The transaction is accomplished in two stages:
The buyer will pay the amount to be purchased in stablecoins to the seller.
The seller sends the buyer a crypto currency to his crypto wallet.
Use only reputable p2p websites to protect your funds. токены is essential to verify the amount of orders placed as well as the proportion of orders completed before you complete any transaction. Sellers who have more orders is likely to be trustworthy. You won’t be “thrown” when your rate of success is low However, the site is well-known and well-known. However, you may be delayed or receive a delayed reaction from the seller.
There are two kinds:
Online – The user completes the form specifically to receive payment details in rubles. transfer money, and then gets cryptocurrency into the wallet of his.
The online exchangers function automatically. If you are making payments in rubles ensure that the amount is accurate. In the event that it is not, the robot will not recognise it. You will be charged a commission of between 3-10% for the exchanger’s services.
Offline exchangers operate in the same manner as branches of banks do . You can only make transactions by visiting the exchanger.
How do I get rid of it?
Cryptocurrencies have become one of the few effective options for saving capital in the event of falling rubles and the inability to buy euros or dollars. Similar situations exist in Turkey and Venezuela.
Stablecoins are a good alternative to foreign currencies. Because they are basically an electronic version of the dollar used in the US They are not subject to fluctuations and are different from other cryptocurrencies.
In general, experts advise using stablecoins in order to carry out actions that are currently not available in Russia due to the restrictions imposed. It is recommended to convert these transactions into cash or other cryptocurrencies that are decentralized once you’ve completed these operations.