Tether USDT

One cryptocurrency that's worth knowing about is Tether (USDT). Tether is often advertised as the “safest” and “most popular” cryptocurrency due to its ties with major brands such as Microsoft, Starbucks, and so on. And it's not hard to see why. Tether was originally designed to replace the U.S. dollar in online transactions. So if you choose to purchase Tether, you're essentially hedging your bets that the dollar will not plummet in value.

Let's take a closer look.

History Of Tether (USDT)

The idea for Tether came to Patrick Bennet in 2014 while he was attending the University of Florida Law School. After graduating, Bennet started a law firm in Orlando, Florida, focusing on advising and representing blockchain and cryptocurrency startups. While in law school, Bennet also became particularly interested in the idea of digital cash, and how it could be used to facilitate commerce on the Internet.

According to Bennet, cryptocurrencies were originally created for two main purposes: Financing and Digital Cash. Financing allows people to purchase things online without having to worry about the conversion rates of the different currencies (in this case, USD and Bitcoin) being manipulated by a third party (a bank, for example). Digital Cash gives people the ability to move money directly to and from each other, eliminating the need for banks and credit cards.

Tether was designed to provide these same benefits to users, making it the perfect fit for Starbucks, Microsoft, and so on. These brands have found that it's cheaper and more convenient to use Tether than to deal with the fluctuations in value that come with traditional cryptocurrencies. Thanks to the backing of these prominent brands, it's likely that Tether will continue to grow in popularity as more and more people learn about it.

Key Points To Keep In Mind About Tether

Like other cryptocurrencies, the value of Tether fluctuates based on the market price of Bitcoin and other highly-traded cryptocurrencies. For example, as the price of Bitcoin goes up, so does the value of Tether. The converse is also true. If the price of Bitcoin drops, so does the value of Tether.

One important thing to keep in mind about Tether is that it is not intended to be used as a long-term investment. The goal of an investment in Tether is to make money from the price fluctuations in the same way you would with stocks or forex (the latter of which many people consider to be the safest and most popular investments available).

Advantages Of Using Tether (USDT)

There are several advantages to using Tether instead of other cryptocurrencies:

More stable value

Familiarity – Many people are already accustomed to using and buying Bitcoin and other cryptocurrencies, so using Tether is easier for them

Seamless Cross-Platform Trading – With Tether, trades are possible on any device (mobile, web, or desktop) thanks to its universal web app (available on most devices)

Parity With Fiat Currency – Since Tether is pegged to the U.S. dollar, the value of what you can purchase with it is always equal to or better than what you'd spend in USD

No Restrictions – You can buy and sell anything approved by the platform, including properties, baskets, and more.

Increased Privacy – Since everything is stored on the Ethereum blockchain, which is pseudonymous by default, your privacy is increased when you use Tether.

Disadvantages Of Using Tether (USDT)

Just like any other cryptocurrency, the value of Tether can fluctuate based on the market price of Bitcoin and other highly-traded cryptocurrencies. So, while there are many obvious advantages to using Tether, there are also some disadvantages. Let's examine them.

No Physical Currency – Since the value of Tether is always tied to a dollar value (and cryptocurrencies are generally accepted almost everywhere online, including offline), you lack the physical security of a U.S. dollar in your wallet

Limited Number Of Wallets And Apps – Different cryptocurrencies have different app stores where they can be stored and accessed. Some of these app stores only support certain types of wallets (for example, MyEtherWallet only supports MetaMask), which means you may need to have multiple wallets in order to access your funds when needed

Complicated Research – In order to see the advantages of using Tether, you'll first need to know how the value of BTC and the USD interact. If you're not up-to-date on the markets, it can be difficult to ascertain how much BTC is actually worth. For example, is Bitcoin worth more or less than one U.S. dollar at this point?

The Conclusion (USDT)

So, what is Tether (USDT)? It's a cryptocurrency (and digital store) that is often used as a safe haven for people who want to buy and sell cryptocurrencies. Since its conception in 2014, Tether has partnered with some of the biggest brands in the world, Microsoft, Starbucks, and so on. This, in turn, has helped it achieve the popularity that it currently enjoys.

As the number of cryptocurrencies continues to grow, the demand for stable coins like Tether rises along with it. It's likely that with every new innovation and new possibility that cryptocurrency offers, another safe haven will arise. So if you're looking for a way to make your money work for you, you might want to consider putting your faith in Tether for the time being.