The Tax Treatment of Stablecoins and Non-Fungible Tokens (NFTs)

1. Stablecoins:

Stablecoins are digital currencies designed to maintain a stable value, usually by pegging their value to another asset, such as a fiat currency like the US dollar or a commodity like gold. The most common types of stablecoins are fiat-collateralized, crypto-collateralized, and algorithmic stablecoins.