Category

Stablecoin Mechanics

These terms cover reserve levels, verification, redemption rights, and the range around a target peg.

How to recognize this theme

Terms that explain how a dollar-linked token stays backed and redeemable.

In a daily board, this category groups terms by their shared role. Look for four cards that describe the same mechanism, risk area, or workflow rather than four words that merely sound similar.

Educational context

These entries are vocabulary notes for learning. They are not project endorsements, token recommendations, exchange rankings, or trading signals.

Reserve Ratio

The reserve ratio compares backing assets with the amount of stablecoin supply they support.

Attestation

An attestation is a statement or report that verifies reserves or other claims.

Redemption Right

A redemption right is the ability to swap tokens back for the underlying asset or value.

Peg Band

A peg band is the range around a target price in which a stablecoin is considered near parity.

Reserve Ratio

The reserve ratio is the share of reserve assets held against outstanding stablecoin supply.

Redemption Queue

A redemption queue is the waiting line for users who request conversion back to the reference asset.

Peg Band

A peg band is the price range a stablecoin is expected to stay near.

Attestation Report

An attestation report is a third-party statement that describes reserves or controls at a point in time.

Reserve

A reserve is the backing held against issued tokens or liabilities.

Mint

Minting issues new tokens according to the protocol's rules.

Redeem

Redeeming returns a token for the underlying asset or claim value.

Depeg

A depeg happens when a stablecoin or similar asset moves away from its reference value.

USDC

USDC is a dollar-denominated stablecoin issued by Circle.

Tether

Tether is the issuer of USDT, one of the largest dollar-linked stablecoins.

Peg

A peg is the target value a stablecoin or currency arrangement tries to maintain.

Reserve

Reserves are assets held to back redemptions or support a stablecoin's value.