Russians began to purchase stablecoins at a large scale following the announcement of a specific operation against Ukraine. Let’s look at why this cryptocurrency is so popular, how to get it and what it has to offer for us in the event of sanctions.
What is a Stablecoin?
The use of fiat currencies in the world of offline to calculate the cost of goods and services. But the world of cryptocurrencies comes with its own set of metrics, such as the number of transactions on the blockchain, block size, hashrate and the list goes on. We’ve added new features to the blockchain to make it more accessible to not just technical experts, but also to ordinary users.
Stablecoins can be described as digital coins whose price is dependent on the US dollar (USD) in a ratio of 1:1. Tether, which released token+ in the year 2015, was the first to release the cryptocurrency. There are various stablecoins that are available, like Circle’s USDC or BUSD issued by Binance cryptocurrency exchange. The last letter signifies the creator company.
Stablecoins are able to convert savings from fiat into digital currency which is immediately exchangeable or utilized to invest. Stablecoins also allow you to save money on your crypto savings. During periods of high volatility, you can convert cryptocurrency into stablecoins to keep an eye on conditions. Stablecoins offer the benefit that they are able to be used during situations when the exchange rate isn’t stable and buying one is difficult.
What is the reason for an increase in stablecoin demand?
Russia has seen an increase in demand for cryptocurrency as a way to safeguard savings over the past two weeks. The number of people who use cryptocurrency has increased as is the quantity of ruble deposits made on cryptocurrency exchanges. Stablecoins, specifically USDT, are second-most popular cryptocurrency behind bitcoin.
Statistics show that since February ended, the number of people using various trading platforms has increased by 2-3%. The demand for USDT surpasses the demand for bitcoins and other well-known currencies, since the stablecoin acts as a substitute for cash American dollars, which is not possible to purchase at present.
EXMO cryptocurrency platform has seen an rise in the deposits of rubles. Binance has been unable to accept Russian Visa and Mastercard credit cards issued in Russia.
For Russians who live abroad, cryptocurrency, and especially stablecoins, are an easy option to transfer money between countries even though Russia is under Western sanctions. Stablecoins are a great way to swiftly transfer savings between rubles as well as foreign currencies.
The volume of transactions made using cryptocurrency between individuals has increased via p2p-based platforms. The platform functions as an intermediary and a guarantor for the transaction. After buying a cryptocurrency the buyer transfers it to his crypto wallet, before transferring it to a credit card.
How to Buy Stablecoins NOW
Crypto Exchanges
You can safeguard yourself by purchasing stablecoins via a centralized platform. However, there are что такое токены on some sites that make it difficult for Russian passport holders to use these coins. One of the options, you can use decentralized crypto exchanges (DEX) which do not hold user funds. A commission of a specific Blockchain is charged for every transaction on the exchange platform.
P2P platforms
It is a model of equal-to-equal interactions. P2P platforms are a variety of platforms that connect users who want to purchase and sell stablecoins. Here , you can find fantastic deals on buying cryptocurrencies for rubles. The platform also functions as a guarantee of transactions.
Two stages are required to complete the transaction
The buyer transfers to the seller’s card the amount the buyer would like to purchase stablecoins.
The seller transfers the buyer’s cryptocurrency to his crypto wallet.
To ensure that you don’t lose money, you need to make sure you use only reputable and proven p2p platforms. Prior to any transaction is initiated ensure that you verify the total of the order as well as the percentage of orders that have been completed. If you see a lot of orders, this indicates that the seller has reliability. You will not be “thrown” when your rate of success is low However, the site is popular and well-known. However, you may face delays or a delayed reaction from the seller.
Exchangers
There are two types:
Online – The user fills out an online form that allows him to get payment details in rubles. make a transfer, then receives cryptocurrency to his account.
Online exchangers service automatically. Be sure to verify the amount before transferring rubles. If you don’t, the machine could not recognize the payment. The exchanger will charge a commission that is between 3 and 10% of the transaction amount.
– offline exchangers work similarly to bank branches – you can make a transaction only when going to the exchanger.
How to get rid
Cryptocurrencies are among the only a few options that can be used to help save capital when the ruble falls and is not able to buy dollars or euro. Similar circumstances have been witnessed in Turkey, Venezuela, and Turkey.
Stablecoins can be a great alternative to foreign currency. Since they’re a digital version of the US dollar, they are not subjected to fluctuation and are not like other cryptocurrency.
Experts recommend that you use stablecoins to conduct operations currently not possible in Russia because of the restrictions. Once you’ve completed these operations it’s recommended to transfer your stablecoins to cryptocurrency and cash.