The company ensures the correlation of the stablecoin rate with the fiat currency rate using the reserve that the stablecoin is backed with. VNX forms a reserve as a basis for generation of stablecoins. More information about the reserves can be found in the Reserves Management Policy. The amount of the reserve must not be lower than the reference value of a stablecoin in fiat currency. VNX hedges the value of gold and currency exchange rate fluctuation risk to achieve market parity between assets in the reserve and stablecoin’s reference value in fiat currency.
How can I trust that VNX stablecoins are equivalent to a respective currency?
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