There is another, more legitimate way to create a stablecoin. DAI is the dramaless version of a USD stablecoin and is decentralized, secured by 150% reserve automatically, run entirely by smart contracts.

https://makerdao.com/whitepaper/Dai-Whitepaper-Dec17-en.pdf

It does not perfectly track USD but stays within a couple percentage points. Arbitrage traders automatically stabilize the coin thanks to the way the smart contracts are arranged.