What is Tether and how can you trade in it

Stablecoins have always been in demand and among them, Tether is the undisputed leader. It is the largest stablecoin in the crypto industry with a market cap of $76 billion as on December 22. Stablecoins are decentralized cryptocurrencies that track the prices of fiat money, like the rupee or dollar, and thereby offset the fluctuations in the price of the crypto.
Some quick facts about Tether coin:

  • Tether tokens, which were developed by the crypto exchange BitFinex, started trading in February 2015.
  • It launched as RealCoin in July 2014 and was later renamed as Tether.
  • Tether is represented by USDT and like all other stablecoins are pegged or tethered to actual assets.
    • In the case of Tether, these are US dollars and Euros. This makes it a less volatile and safer option for first time crypto investors.
    • This means 1 USDT equals 1 unit of fiat money. It is backed b $1 US.
    • It maintains a 1 to 1 ratio with USD in terms of value.

Tether performs the following functions and serves these purposes for the consumers:

  • Being a stable crypto whose value does not rise or fall as sharply and suddenly, Tether is used as a medium of exchange and a mode of storage of value.
    • It isn’t used as a medium of speculative investments.
  • Tether is a fiat-collateralized stablecoin where the actual currency US dollar backs each tether in circulation.
  • Tether allows financial services like exchanges, wallets, payment processors, financial services and ATMs to easily use fiat-backed USDT tokens on blockchains.
  • With the help of blockchain technology, Tether enables storage, sending and receiving of the digital tokens both globally and individually.
    • These operations are completed securely in no time and at a fraction of the cost of other options.
    • Tether was especially designed to fill the void between fiat currencies and cryptocurrencies by offering stability, transparency, and minimum transaction charges to users.
  • Tether is popular among crypto enthusiasts who are doubtful about investing in volatile cryptos and at the same time want to trade in the crypto market.
  • However, Tethers cannot be exchanged for US dollars.

How to buy Tether in India?
Investing in this stable crypto would be a prudent choice especially if volatility is holding you back from entering in the crypto market. The most widely traded crypto can also be easily transferred between exchanges and people, sparing you the transaction costs and delays of bank transfers.

  • Major Indian exchanges including ZebPay offer easy ways for buying and selling USDT.
  • The exchange offers features for checking and comparing live USDT prices
  • By following simple steps of downloading the app, fulfilling KYC norms and basic verification one can create the account.
  • After linking your bank account details with the exchange, you can begin buying and trading Tether coin.

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