Stablecoin Operations

These concepts explain operational plumbing and issuer-related risks without making any price predictions.

Proof of Reserves

Proof of reserves is a method for demonstrating that an issuer or custodian holds assets that back liabilities, often using attestations and sometimes cryptographic proofs.

Reserve Composition

Reserve composition describes the mix of assets (for example cash, Treasury bills, or repos) held to support a stablecoin or similar product.

Issuer Risk

Issuer risk is the risk that a centralized issuer faces legal, operational, or solvency problems that can affect holders even if the on-chain token keeps functioning.

Redemption Window

A redemption window is the time schedule, limits, or processing period during which holders can redeem a token for its underlying asset or cash value.