Differences Between Digital Money and Stablecoins

Differences Between Digital Money and Stablecoins

The key difference lies in control and technology: stablecoins offer greater autonomy and global reach, while electronic money depends on traditional financial institutions.

A stablecoin is a digital asset that operates on blockchain and maintains a stable value, generally pegged to the dollar. It allows users to send and receive money with direct control from a digital wallet, without banking intermediaries.

Electronic money, on the other hand, is traditional money in digital form, issued and held by a financial institution. Its use depends on banking systems and intermediaries that manage the funds.

Because of their combination of stability and control, stablecoins have become a key tool for managing digital money and represent a modern and efficient way to manage digital value.

Updated on: 11/02/2026