List of Best Stablecoins | Top Stablecoins To Invest In 2024

Stablecoins are now among the most accessible crypto assets for beginners due to their inherent qualities. It can be difficult and time-consuming to choose the best stablecoin among the over 200 that are currently in use. That’s precisely the situation that NFT Droppers helps with! With the help of our ranking system, you can easily pick the stablecoins that will profit you in the long run.

How do stablecoins work?

A stablecoin is a unique kind of cryptocurrency that links its value to a fiat currency, commodity, or other digital asset to minimize volatility and preserve price stability.

A “reserve” is frequently established by the organization behind a stablecoin, where a variety of assets that maintain the stablecoin’s value are securely stored. However, not all digital assets function in this manner as stablecoins; others employ a burning mechanism to maintain the coin’s value at the targeted amount.

List of Best Stablecoins in 2024

Below are some of the best stablecoins:

1. Tether


Tether, often known as USDT, is a cryptocurrency that differs from other digital currencies due to a special feature. Because it is fixed to the US dollar, one dollar is always worth the same amount of it. Put differently, Tether is a stablecoin created to stabilize the cryptocurrency trade.

Tether was founded in 2014 by a group of people operating under the name Tether Limited. As stated on their official website, Tether Limited is dedicated to providing the safest and most reliable method for storing value in digital currency. Tether Limited posts daily reports on its website regarding the quantity of Tether in circulation and the amount of USD reserves the business holds.

2. USD Coin

USD Coin (USDC) has taken over the cryptocurrency community. In the unstable world of cryptocurrencies, USDC offers a solid and dependable method of payment because it is tethered to the US dollar.

Due to its accessibility, openness, and stability, USDC has grown to large users. For traders, investors, and companies seeking a stable virtual currency that is not prone to the volatility of other cryptocurrencies such as Ethereum and Bitcoin, it is a well-liked option. After Tether (USDT), USDC is now the second-largest stablecoin by market capitalization.

3. Binance USD


Binance USD is a stablecoin that has a 1:1 ratio and is based on the US dollar. Accordingly, one BUSD is equivalent to one US dollar. Paxos, a registered financial firm that has the equivalent amount of US dollars in reserve, is the entity that issues Binance USD.

BUSD provides price stability and is not as volatile as other cryptocurrencies. For traders looking to reduce their exposure to price swings, this makes it a popular option. When transferring money between exchanges or wallets, BUSD is a popular choice because transactions can be finished swiftly and affordably. It is difficult to find stability and security like this elsewhere.

4. DAI


MakerDAO, a decentralized autonomous organization (DAO) constructed on the Ethereum Blockchain, is the creator of the stablecoin Dai. Dai’s basic idea is that it is a cryptocurrency backed by other cryptocurrencies acting as collateral. This means that a specific quantity of Ethereum is used to support each unit of Dai, ensuring the stablecoin’s value stability.

Users can lock up their Ethereum or other authorized cryptocurrency in a smart contract called a Collateralized Debt Position (CDP) to create Dai. After that, this collateral is used to mint Dai, which can be exchanged for other cryptocurrencies or used to pay for products and services.

5. TrueUSD

true usd

In 2018, TrustToken—a fintech startup that specializes in tokenized asset creation—launched TrueUSD. The collateralization concept of TrueUSD is one of its distinguishing characteristics. TrueUSD is entirely backed by US dollars denominated in escrow accounts, in contrast to other stablecoins that could rely on a mix of assets or algorithms to preserve their worth. This indicates that an equivalent amount of US dollars is kept in reserve for each TUSD token in use. To guarantee accountability and transparency, TrustToken additionally offers daily attestations from an impartial accounting firm confirming that US dollars are kept in reserve.

Are stablecoins safe?

Despite their severe volatility and price swings, stablecoins are regarded as one of the safest methods to hold cryptocurrency. As a result, many people put too much faith in these kinds of assets and forget that they still invest in cryptocurrencies. However, a stablecoin’s level of safety depends on its issuer, its backing, and the possibility that it will be impacted by new laws and regulations in the future.

NFT Droppers simplifies your due diligence process by providing in-depth analysis and a rating for every stablecoin on our carefully curated list.

Why are cryptocurrency stablecoins used?

Stablecoins enforce the creation of a dependable and stable environment to eradicate cryptocurrency speculation and boost confidence in cryptocurrencies. Stablecoins are ideal for daily activities since they are as safe and decentralized as cryptocurrencies but as stable as fiat money.

With stablecoins, you can stop worrying about market swings. The regulatory authorities will start to control supply and demand for the asset if the value of a stablecoin changes significantly. They will do this by using the burning algorithm or “reserves” of commodities or fiat money to keep the price of a digital asset within a target range.

Are crypto stablecoins regulated?

In the past, SEC Chairman Gary Gensler expressed his opinion that certain stablecoins should be registered as securities and be subject to additional regulatory supervision.

Although there is currently no law governing stablecoins, leading members of the U.S. House worked hard last year to develop a plan that would require stablecoin issuers to adhere to certain prudential banking standards.

Why is a stable coin so important?

Stablecoins offer the following three primary advantages:

1. Stability of price: Stablecoin prices shouldn’t alter, even though the worth of other cryptocurrencies might.

2. Operational efficiency and transparency: Transactions on the blockchain are typically quicker than those through traditional banks.

3. Crypto-newbie-friendly assets: Many beginners who want to invest in cryptocurrency but are afraid to take risks, stablecoins can provide them the risk-free investment opportunities.