3 terms
An algorithmic stablecoin tries to hold a steady price through supply rules and market incentives instead of fully backing each token with reserves.
A fiat-backed stablecoin is a blockchain token redeemable one for one in a government currency and backed by cash and short-term government debt.
A stablecoin is a crypto token designed to hold a steady value against a reference asset, usually the US dollar, through reserves or collateral.