Topic: Is there any benefit to buying altcoins with tether over bnb? (Read 263 times)

maybe just bridge over the USDT you bought from coinbase that usually are in ETH over BSC. if you decided in doing this, you should also rethink about the gas fee that’s gonna be required for bridging because you know ETH could be such a pain in the ass in this regard.
after that you could just convert your USDT in BUSD because I think BUSD in BSC platform is the most popular pair used widely in many swaps platform like the ones that are in BSC. This could shortens the steps needed for you like significantly, and I think it’s gonna be a lot more simple than it seems.

There are many advantages when buying tokens, especially tokens that are new listed in the market which will usually pump big at the beginning, I think investing tokens is easier because they are usually available on many exchanges, and this is what makes most devs. prefer to develop tokens rather than create own coins.

Of course there are many benefits if we buy tokens on Tether or BNB, the function of tokens is the same, namely facilitating transactions, and I think there have been a lot of tokens from Tether that have skyrocketed such as ApenFT, BTT torrents and so on, and the thing that makes me like the tether token is the transaction fee and better speed than BNB.

I would assume that you would probably know the price of BNB when you are making a calculation like that. If you need USDT to calculate how much you are buying or selling without looking up the price of BNB or do not know how to calculate the transaction in dollars, then I would not advise you to trade anyway.

A trader who knows what he is doing would know exactly how much of that coin he is buying by paying that much amount of BNB, exactly in dollar terms, some even better ones can calculate it in bitcoin instantly as well. Even if you can't right away, just use a calculator. This doesn't mean you have to use BNB, I am just saying that is not a good enough reason for USDT.

There are a few factors to consider. The assumption is made that the alt coin you want and/or the Tether/BNB is not on the CEX if you are starting there as otherwise it is a no-brainer to choose whichever one and just withdraw the alt-coin.

Considerations:

• Start chain and end chain
• Starting from CEX or offline wallet
• Whether you already have a token or not in an offline wallet
• Transaction fees of the source chain
• Supported versions of the token/coin in question

If you want to get an alt coin you need to plot the best path to get it that is the cheapest. Some cross-chain platforms like Rubic will calculate this for you. You need to understand which token you need and which one is the best to start from. If you start from a CEX don't touch anything ETH related unless you are rich as CEX will charge extremely high tx fees in order to make sure the tx goes through within a reasonable time. If you start from CEX it is better to start with BNB as withdrawal fee is very small. If you start from an offline wallet where you have Tether on ETH there is no point in first converting it to BNB and you can get a much better gas fee if you route it through a multi-chain platform eg Rubic. You pay gas fees in the base token of the starting chain so you will need to have extra ETH in that wallet for gas so it is starts to get rediculous. If you already have BNB offline it is a no-brainer to start from there and convert it via the same cross-chain platform. Make sure that the tokens you want are supported eg BEP2 vs BEP20 if it is Binance related or ERC-20 if ETH related or Polygon version etc. Sometimes a token can be on multiple platforms and this can influence your decision where to start. If the BNB you want to start with is BEP2 you first need to convert it to BEP20 version of BNB through Binance Smart Chain Wallet or just withdraw that version of BNB out of Binance. My overall opinion though is to stay away from Tether on ETH.

Actually it's depend on him whenever he buy altcoin on centralized exchange or decentralized exchange like pancakeswap or uniswap.
But from the topic he asked "buying altcoin on metamask" which mean he is using smartcontract coin like ethereum.
So he is not interested in buying altcoins on CEX like coinbase,binance, etc

But usually USDT or BUSD have lower liquidity if we trade on decentralized exchange.

that's quite complicated and people didn't like that. It's only available on a few exchange sites.
I do believe people have the same opinion like me too. It's pretty strange to use USDT coz this is not so popular like BUSD on BSC. If you have a better choice and why do you need to use tether on BSC?

The only problem is BSC projects more familiar with BUSD rather than USDT. It's not a lot exchange sites are also accepting it. This is also the reason why people that actively using BSC prefer BUSD over USDT. BUSD makes me feel more easier coz all of BSC tokens are making it available in BNB and BUSD pair. Why do you need to use USDT if you have BUSD as the parent stable coin in binance smartchain.

I don't see any reason why you should not use a stable coin to buy the coin that you want to. Every trade that you are doing and every withdrawal that you are making from one exchange to another or to your wallet will cost you a fee, so you should always look to make a trade with as little actions as possible. I don't know if your question was especially regarding the safety of USDT as a stable coin or about stablecoins in general but i can tell you that there are some rumors about Tether since a few years now. The reason for that is, that we can not be sure anymore if the the company behind tether has still enough reserves to back every USDT minted with a real USD.

If there is enough liquidity on the token you want to buy, usually just by using USDT is good enough. With that, you can save transactions and swap fees without too much hassle. The way you used is too complicated, you are charged with trading and transaction fee from Coinbase, Binance, and the swap process on Trust Wallet, while you can directly send a BNB or USDT from Binance US.

As far as I know, the AMM will usually find a path even if there isn't any USDT liquidity, so let's say you want to buy token A with USDT. If there is no USDT liquidity, usually the AMM itself will automatically find a path to get you successfully bought token A (USDT > Token X > Token A).

most of today's altcoins do use tether to trade ,the pair to usdt is very attractive to traders ! quite useful if the OP simplifies the process by using usdt but it depends on the market and the altcoin you are aiming for and the situation is a little difficult to guess because we have bitcoin usdt bnb ethereum busd (holding them will be very useful in the future) which can be paired to other altcoins

Tether is a stable coin. You do not need to worry with the price fluctuations as much as you do with binance coin so no pressure when you buy altcoins. You can wait for the price of altcoin to go down before you buy to get a good deal and I do not think you can buy altcoin on metamask because metamask is only just a wallet and they do not have a built in exchange but they have a partners and they will only redirect you them.

Your method of buying seems to be very complicated and that could tax you lots of fees. You might need to change that habit and you can try tether if you think this can help you cut the hustle and the fees.

Does Coinbase support withdrawal through BSC network? If so, you can do it that way. You would need both BNB and USDT (BEP-20) to buy on BSC AMMs/DEXs though.

Just an FYI that in most platforms, USDT are converted back to BNB or WBNB before it's swapped to any BEP-20 token. As a result, the transaction fees could be higher compared to buying with BNB directly. Good thing the added fee is minimal on BSC.

stablecoins is the most safest place to store money mate and using tether you can actually buy token in different platforms as its very common especially in binance wherein fees is very fair wherein just choose which network do you prefer before buying an assets using tether..

In any case, it is better to buy altcoins with USDT. And if you have BNB, then I would rather just hold the coin or use it in different ways to make a profit on the same Binance.

There are many options for tether and many networks as well where you can buy and make transactions. But fully depends on which exchange have you been using and how many chains they support. Regarding buying a coin depends on the trading pair. If trading pairs are available then you can buy or sell easily. Otherwise should look for another exchange. BNB trading pair isn't popular in other exchanges except for Binance. So you can use USDT based on the platform you are using.

You can get extra quantities of coin if you use BnB because from the minute you buy BnB the price can either go up or down, usdt is a fixed asset with almost zero volatility.

Regardless, if you used either USDT or BNB to buy altcoins, the difference is just the trading pair, obviously.

Let's elaborate more, do you mean a much more convenient way or something along those lines, aside from cheap fees? Why not disregard using Coinbase and go directly with Binance.us so need to take another step of transferring BTC to Binance? You also don't need to transfer funds to your trust wallet unless the altcoin you choose to buy is not present on Binance.

that's the first consideration - which alt or token he wants to buy. because you can't find all tokens in coinbase or pancake. so he needs to check first in both platforms or other trading platforms about its availability, and the liquidity as well as fees. he can always compare the approx fees involved because it all boils down to your convenience and fees. he can always check the trading pair if it is avail in the exchange and check the potential amount of fees like trading fee, withdrawal fee. he should start with one alt, because if he will work on several alts he will be confused and tired of doing those tasks.

it's depend on which altcoins you want to buy. if you re using BNB network, I suggest to buy busd because there are a lot liquidity on decentralized exchange(DEX) than using usd tether

That's right. i am just gonna add more.
Most of BNB token will go down if BNB goes down and Most of crypto will go down if BTC goes down.
Which mean you can decide to buy major cryptocurrency in order to buy smaller one (ex. own BNB for BNB token)
or stable coin for altcoin. I believe every decision has risks to be taken

There is no benefit for you to convert bnb to tether and get altcoins. But when we look at the transaction fee, there are great benefits. When you want to use usdt on Ethereum, you pay a high transaction fee to send it to the exchange or other platforms. But if you use it as busd, you can make your transfers with a small amount of transaction fees. In short, when you use busd, the transaction fee you use between transfers will be cheaper than many usdt prices.