What Is PegNet (PEG)?

PegNet (PEG) is a decentralized, non-custodial network of tokens pegged (stabilized) to different currencies and assets. A currency peg is a method where a national government fixes the exchange rate of its currency with a foreign currency. PegNet allows trading and conversion of value without the need for counterparties. PegNet is an auditable, open- source stablecoin and logical network using the competition of Proof of Work (PoW) and external oracles (entities that connect blockchains to external systems). With a community-driven movement, PegNet seeks to put crypto users in control of trading, mining and holding decentralized stablecoins. Ultimately, PegNet plans to become a complete decentralized stablecoin system.

As per its whitepaper, trusting a centralized institution with crypto assets is tricky. Whenever a centralized institution collapses, crypto holders suffer. Stablecoins, on the other hand, enjoy a reputation of decentralization yet operate on vulnerable reserve-based systems. The reserve systems have a central point of failure that again causes a challenge to stablecoin holders. To replicate what Bitcoin did for traditional currency, PegNet aims to do the same with stablecoins. As a result, PegNet launched a decentralized network of stablecoins.

Working: Every ten minutes, PoW miners report the prices of tokens pegged to traditional currencies, crypto assets, and commodities like gold and silver. In this decentralized system, there are no third-party intermediaries. Users purchase or mine PegNet native PEG token and convert it into any pegged asset on the network. Native tokens can be converted to any pAsset on the network with no slippage, and with limitless liquidity. An example of a pegged asset is pBTC (pegged bitcoin).

The PegNet wallet, one of the facilities offered by PegNet, allows the users to convert between pegged tokens. The wallet is free from the involvement of intermediaries. The PegNet wallet is fully responsible for managing the transactions and balances for different assets. Another feature within PegNet is the PegNet Explorer, which allows users to view the activities that take place on the PegNet protocol.  

History of PegNET

PegNet was launched in 2019.