Stablecoins are cryptocurrencies designed to stay close to a fixed price, usually $1 USD per coin. They are also known as USD-pegged stablecoins. Instead of moving up and down like Bitcoin (BTC) or Ethereum (ETH)
Stablecoins play a special role in cryptocurrencies. They act like “digital dollars” you can send around the world, while keeping a steady value close to $1 USD.
In this beginner’s guide, you’ll learn:
Stablecoins are cryptocurrencies designed to stay close to a fixed price, usually $1 USD per coin. They are also known as USD-pegged stablecoins. Instead of moving up and down like Bitcoin (BTC) or Ethereum (ETH), a stablecoin’s job is to be boring on purpose. It’s meant to feel more like cash in your online wallet than a risky investment.
Common examples of USD-pegged stablecoins include:
Each of these aims to stay at $1 USD per coin.
Most stablecoins try to stay “stable” by being backed by assets in the real world:
If the backing is well-managed and transparent, the price usually stays close to $1. If trust in the reserves breaks, the price can drop below $1 (this is called a “depeg”).
Not all stablecoins work the same way. Here are the main categories you’ll hear about as a beginner.
These are the most common and easiest to understand.
- USDT (Tether)
- USDC (USD Coin)
- MNEE (Money) – a newer USD-pegged stablecoin focused on regulated use and low fees
Fiat-backed stablecoins are usually the best place for beginners to start, because the concept is close to a digital version of money you already know about aka dollars.
These are popular in decentralized finance (DeFi). They are powerful tools, but also more complex and better suited to users with some crypto experience.
These are used by people who want exposure to commodities without holding physical assets.
For most beginners, fiat-backed and well-known crypto-backed stablecoins are considered safer starting points than the experimental algorithmic ones.
Stablecoins are popular because they bridge the gap between traditional money and crypto.
They offer:
In short: stablecoins let you hold and move dollars on blockchain rails, without the usual volatility you see in other coins.
Traders use stablecoins to move in and out of positions quickly:
This makes stablecoins a useful “parking spot” between trades.
Stablecoins can be useful for sending money across borders:
More merchants, freelancers, and individuals are starting to accept stablecoins as payment for goods and services.
In decentralized finance (DeFi), stablecoins are often used to:
For example, some DeFi apps let you deposit USDC or similar stablecoins to potentially earn a yield. This can be attractive, but it also adds more risk and complexity. As a beginner, it’s usually wise to start by learning how to buy, hold, and send stablecoins safely before diving into DeFi.
Stablecoins can act as a temporary “safe harbor” in the crypto market:
Remember: even though the price is meant to be stable, stablecoins still carry issuer and regulatory risk, so only keep amounts you’re comfortable with.
Stablecoins are often used as a gateway between cash and crypto;
Some platforms let you go directly from stablecoins back to fiat with low fees, making them a flexible bridge between the crypto world and traditional finance.
Buying stablecoins is similar to buying any other cryptocurrency. You just need to choose where you want to buy them.
Large exchanges (for example, mainstream U.S. or global exchanges) let you:
Things to know:
Some wallets let you buy stablecoins directly inside the app. RockWallet is a good example.
The big advantage here: your stablecoins are delivered straight into your RockWallet, with no extra transfer step from an exchange.
Some traditional finance apps are starting to support stablecoins as well:
These can be convenient if you already use the apps, but:
If you already own some crypto, you can use a decentralized exchange (DEX) to swap it for stablecoins:
This is powerful and non-custodial, but it comes with:
For most beginners, a regulated wallet app like RockWallet or a well-known exchange is the easiest and safest way to buy stablecoins.
Here’s a simple example of buying stablecoins using RockWallet.
1. Download and set up RockWallet
2. Verify your identity (KYC)
3. Add funds to your account
4. Choose your stablecoin
5. Enter the amount and confirm
6. See your stablecoins in RockWallet
Inside RockWallet, you can choose from:
RockWallet will show you all the rates and fees up front before you confirm the purchase, so you know exactly what you’re paying for.
Many beginners start with USDC or USDT, and may add MNEE when they want cheaper, faster on-chain transfers in supported ecosystems.
From there you can:
Buying and using stablecoins is straightforward, but there are still important things to keep in mind.
Stick to coins that are:
Examples many people look at include USDC, USDT, DAI, and MNEE (in supported regions). Avoid obscure coins with unclear backing or poor communication.
Stablecoins are designed to stay near $1, but:
A de-peg can cause a stablecoin to temporarily lose its peg and drop below $1. This has happened in the past with some coins such as TerraUSD.
It’s smart to keep an eye on news about any stablecoins you hold and spread your risk if you’re holding large amounts.
You may see fees in several places:
Bank transfer is often cheaper but slower, while cards are faster but more expensive. If you don’t need the funds immediately, a lower-cost method can save you money over time.
Never share your:
No real support agent will ever ask for these.
If you’re brand-new to crypto:
Because stablecoins are designed to be stable, you can focus on learning about the mechanics without worrying about big daily price swings.
Stablecoins are one of the easiest entry points into crypto for beginners.
They give you:
Buying stablecoins can be as simple as:
1. Signing up with a reputable platform
2. Verifying your identity
3. Exchanging your cash for digital dollars like USDC, USDT, or MNEE
With a wallet like RockWallet, you can:
By following the tips in this guide, starting small, and always doing your own research, you’ll be well on your way to using stablecoins safely and confidently in your financial journey.
Enjoy the stability and freedom that stablecoins can offer – and happy learning.
Written by Stefan Furcoi, RockWallet
Stefan Furcoi is a Web3-native, communicator and crypto educator who lives at the intersection of blockchain, stablecoins, and real-world adoption. Most of his work is about clarifying complex topics like crypto wallets, DeFi tools, gas fees, protocols, and into clear, practical steps anyone can follow. He is also exploring how AI is reshaping crypto infrastructure and marketing, but his goal stays simple: help people enter and use the world of digital assets more smoothly and safely, without hype but with both trust and practicality.
