Cryptocurrencies and stablecoins are at the top of the concepts we have heard in recent years, and you may wonder “Why invest in euro-based stablecoins?”. Join us in this blog as we examine stablecoins, why the commonly used euro-based stablecoins are important, and their investment advantages.

In this way, you will have more ideas about the stablecoins and euro stablecoins in general. To better understand the concept and role of stablecoins, let’s take a closer look at cryptocurrencies.

It would not be wrong to say that cryptocurrencies, as digital currencies, are widely used. For this reason, the number of people wondering about the functioning system of cryptocurrencies and how to invest is quite high.

At the same time, we can say that cryptocurrencies are divided into certain categories within themselves. It is evident that standard and popular types of cryptocurrencies undergo a rapid change in value. As a result of this change, there may be a positive effect as well as a negative effect.

High risk and rapid change have led to the rise of stablecoin types. Stablecoins are physically indexed to fiat currencies. For example, there are stablecoin types equivalent to the dollar, euro, and all other currencies that come to mind. It has advantages due to its risk-free nature and stable value.

Particularly, euro-based stablecoins offer fast, secure, and easy transaction options with their stable value. Therefore, investing in euro-based stablecoins is a secure option. Let’s explore stablecoins and their stability in detail!

Are stablecoins stable?

Cryptocurrencies have a very important place in our daily lives. For this reason, we can see that millions of people use cryptocurrencies. It has become commonplace for millions of users to prefer cryptocurrency types, which are seen as safe investment tools, in buying and selling transactions.

It is among the benefits provided by technology and the high-level returns of the digital age. However, it should not be forgotten that cryptocurrencies are fast and instantly variable. Therefore, there are rapid fluctuations and instantly changing parameters.

Although it's possible for these fluctuations to have a positive impact, it's also possible for them to have a negative impact. If the transactions and investments made benefit you, you can earn high profits in a short time.

However, rapid losses and high financial losses are likely to occur too. To prevent these losses, currencies called stablecoins are preferred. They do not experience depreciation or fluctuation due to the fact that they are indexed to fiat currencies such as the dollar and euro.

For this reason, dollar, pound, and euro-based varieties of stablecoins are common. Since it can be used in all currencies that come to mind, it has a stable structure.

If you consider investing in stablecoins, it is better to work with a reliable, crypto-friendly digital bank. Stablecoin investments with reputable banks such as Cryptobunq are risk-free, reliable, and stable.

Can stablecoins lose value?

The number of people asking the question of whether stablecoins lose value is quite high. Stablecoins have a fixed structure, as can be seen from their name. Due to its structure being indexed with real currencies, it acts on the indexed unit value.

To give an example, let’s take a euro-based stablecoin type. Whatever value the euro has, the stablecoin has the same value. Therefore, its depreciation and appreciation are seen as much as the change in the euro, as in the example.

Therefore, there will be no loss, as we anticipate that the euro won’t experience constant price changes. Even if it appreciates, your money corresponds to the instant value of the euro. For this reason, it is among the investment tools you can easily prefer.

When investing, you can choose Cryptobunq. CBQ is an expert and has a professional attitude among one-stop shop crypto service providers. Therefore, you can trust the expertise of CBQ for all your crypto service needs, including stablecoins.

Why use stablecoins instead of USD?

In response to this question, we can start by counting the advantages of using cryptocurrencies. Cryptocurrency use is much more practical than standard cash. You can check “stablecoins vs. fiat currencies” to explore in detail!

Especially due to the transition to the digital age, you can buy any product you want from another country in the world with cryptocurrencies, especially with stablecoins. It has a very important place for international companies and global shopping options.

You can check out articles on cross-border payments, global payments, and e-commerce payments to better understand the power of stablecoins to make these transactions easier, faster, and more secure.

For this reason, it would be logical to turn to stablecoins instead of carrying standard dollars. You can choose a dollar-based stablecoin that has the same value as the dollar, which does not fluctuate and is less affected.

In this way, your money will have the same value as the dollar while at the same time benefiting from the advantages of using cryptocurrencies. You can easily get support from the crypto-friendly digital bank Cryptobunq for your stablecoin investments and management.

Why are stablecoins the future?

Stablecoins are digital currencies that are widely used in everyday life. Cryptocurrencies have been frequently used as investment instruments in recent years. However, we see that cryptocurrencies have their own types.

Cryptocurrency has a structure that shows rapid change and fluctuations. For this reason, while offering high profits, it can also cause great losses in negative declines.

For this reason, stable digital coins called stablecoins are preferred. Stablecoins have a structure equivalent to physically available currencies.

Therefore, the stablecoin will have a price equivalent to the currency to which it is indexed. Because of this, investors who want to make risk-free investments can use it because it is safe and reliable.

Stablecoins are one of the curious details of the future. There is much research suggesting that cryptocurrencies will be used more in the future. The number of people using crypto money increases with each passing year.

It is predicted that the number of people using it after about 2–3 years will reach a figure of 1 billion. For this reason, it would not be wrong to say that stablecoins, which are seen as risk-free and reliable among cryptocurrencies, are the future.

You can also check “Best Stablecoin to Watch in 2023” and “Which stablecoins should you watch in 2024?” for future references.

To manage and secure your crypto assets in a secure crypto wallet, you can benefit from a reliable crypto service provider. Cryptobunq is here to help you in this regard.

Additionally, you can benefit from other solutions CBQ offers, such as batch payments, exchange APIs, tokenization, custody and wallet, and more!

What is the safest centralized stablecoin?

Stablecoins are indexed to the currencies of our current lives. There can be rapid changes in cryptocurrencies such as Bitcoin and Ethereum.

Due to the unpredictability, there is a structure that can be indexed to currencies such as the euro and dollar with stablecoin varieties. In centralized and decentralized systems, it is questioned whether coins are linked to a certain authority.

Apart from the currencies connected to the blockchain authority, there are decentralized cryptocurrencies. Stablecoins are included in the centralized system, where the money is stored in a reserve or held elsewhere as collateral.

EURK is one of the safest centralized stablecoinsin the crypto market today. As a euro stablecoin, EURK is 1:1 pegged to the euro currency and provides stable value. Additionally, EURK has reserves both in Switzerland and the Dominican Republic.

CBQ is the provider of EURK stablecoin. Therefore, you can benefit from euro-based stablecoin advantages while getting solutions for your individual and business-related crypto needs with Cryptobunq.

Which stablecoin is backed by the euro?

There are different euro stablecoins on the market, such as EUROC (Euro Coin), EURK, Avalanche, Statis Euro (EURS), and Tether EURt. Choosing euro-based stablecoins to invest in is risk-free and logical.

EURK is one of the most reliable stablecoins that can benefit you and your business. If you want to learn more about EURK, you can check “EURK euro stablecoin”, “buy/sell EURK” and “transfer EURK”.

Stablecoins are the future, and they have a transformative effect on the global economy. If you need guidance and expertise for stablecoin solutions, you can trust CBQ. Contact us and become our partner to adapt to the future of money, stablecoins!