Inside this simulator
Examine what actually holds a peg. You inspect reserve compositions, process issuance and redemption flows, and apply redemption pressure until the peg breaks — separating fully-reserved fiat-backed designs from overcollateralised crypto-backed ones and from algorithmic structures with no reserve at all.
What you'll do
- Compare reserve attestations across fiat-backed, crypto-backed, and algorithmic designs
- Process mint and redemption flows and see the arbitrage that restores the peg
- Apply redemption pressure until the mechanism fails
- Map each design to its dominant risk: credit, collateral, or reflexivity
Skills you'll evidence
- Reading a reserve attestation and knowing what it does not say
- Explaining why a stablecoin is a credit instrument, not cash
- Assessing depeg risk before a client parks meaningful cash in one
Who it's for
Advisors whose clients hold stablecoins as a cash equivalent and have not considered the issuer's balance sheet.
Common questions
- Is a stablecoin the same as cash?
- No. Holding one is an unsecured claim on an issuer or on a collateral pool, with no deposit insurance. The relevant analysis is closer to short-term credit than to a bank balance.
- What causes a depeg?
- Redemption demand exceeding liquid reserves, collateral falling faster than the mechanism can liquidate it, or — in reflexive designs — a loss of confidence that shrinks the collateral and the demand at the same time. The simulator lets you induce each.