Q. With reference to Cryptocurrency, consider the following statements:
1. The supply of Bitcoin is highly inelastic.
2. Value of Stablecoins is pegged to a fiat currency by maintaining equivalent reserves.
Which of the statements given above is/are correct?
Answer: C
Notes:
Both statements are correct.
- There will never be more than 21 million coins. This feature makes bitcoin supply almost perfectly inelastic.
- Value of Stablecoins is pegged to a fiat currency by maintaining equivalent reserves.
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