Can PegNet Disrupt the Hegemony of Stablecoins?

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On the surface, PegNet aims to position itself as a “stablecoin network” rather than just a stablecoin itself. That is a very important distinction to make between what is on the market today and this up-and-coming project. PegNet aims to let its users issue digital assets that are not backed by collateral nor use smart contracts. This may seem a bit odd, but as is usually the case in this industry, there is a method to the madness after all.

Instead of using these traditional methods, PegNet assets have their individual value determined through an Oracle Price Record, or OPR. Miners on the network are effectively mining asset price data, which is then recorded into a usable record. This further confirms the network will support proof-of-work computations, while also utilize oracles. That latter technology has been discussed a lot in the industry, yet it has not found a great following as of yet.

It is rather evident the price mining for PegNet assets raises a lot of questions. On the surface, it might not even make much sense. Considering how assets can be pegged to any other type of asset, having the right price at all times becomes crucial. In its current iteration, PegNet supports cryptocurrencies, fiat currencies, and precious metals, such as gold and silver. PegNet also has its own underlying token, known as PEG this token plays a crucial role in the mining aspect. Read more…

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