Stablecoins, which are primarily intended to function as a global reserve of value are insubstantial in their design and present many failure points. The primary mechanism to enable these coins to hold on to a fixed value is by backing them with collateral. Fiat collateralized stablecoins require users to trust a centralized entity, which breaks the total concept of decentralization. Crypto collateralized stablecoins have issues involving high collateral requirements and introduces risks of auto-liquidation. In this paper we aim to propose an alternative architecture for the creation of a functional and secure stablecoin.

翻译：稳定币主要旨在作为全球价值储备，但其设计存在缺陷，并呈现出诸多失效点。使这些代币能维持固定价值的主要机制是为其提供抵押支持。法定货币抵押的稳定币要求用户信任中心化实体，这违背了去中心化的整体理念。加密货币抵押的稳定币则面临高抵押要求的问题，并引入了自动清算风险。本文旨在提出一种替代架构，用于创建功能完善且安全的稳定币。