NYDIG's global research head, Greg Cipolaro, has clarified that stablecoins such as USDC, USDT, and USDe are not genuinely pegged to the U.S. dollar. Instead, their value is influenced by market supply and demand dynamics. Cipolaro explained that the perceived stability of these coins is maintained through arbitrage activities, where traders buy when prices dip below $1 and sell when they exceed it. This mechanism often leads to a misunderstanding of the inherent risks associated with stablecoins.