All termsStablecoins and Tokenized MoneyStart here
Reserve Assets
Reserve assets are assets held to support the value or obligations of a financial product. For fiat backed stablecoins, reserves may include cash, bank deposits, government securities or other permitted assets depending on how the stablecoin is structured.
Why it matters to you
Saying that a token is "fully backed" is only the beginning of the analysis. Investors should also understand what the reserves consist of, their liquidity and credit quality, where they are held, who controls them and what legal rights token holders have in relation to them.
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