Cryptocurrency Q&A
Why are exchange rates pegged to the US dollar?
Why are exchange rates pegged to the US dollar?
DigitalWarrior
Tue Jan 28 2025
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answers
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I'm curious why some countries choose to peg their exchange rates to the US dollar. What are the reasons behind this decision? Is it for economic stability or other factors?
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5 answers
Martino
Thu Jan 30 2025
This system allows their values to fluctuate naturally based on market supply and demand dynamics.
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Silvia
Thu Jan 30 2025
Conversely, other currencies adopt a fixed exchange rate mechanism.
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emma_carter_doctor
Thu Jan 30 2025
Under this arrangement, their values are pegged or linked to another currency, often for stability.
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BlockchainBrawler
Thu Jan 30 2025
Some currencies operate on a free-floating system.
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SumoPowerful
Thu Jan 30 2025
This article delves into currencies that are pegged to the U.S. dollar.
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