Someone in crypto world wanted to kill fiat; and they didnt want you to leave cryptos when price goes down, so they invented USDT..
Now you always remain the the crypto world and should make you nervous of the future of fiat money
Topic: Why usdt is stable?? - page 2. (Read 413 times)
Because it reflects usd fiat currency, or at least it tryes to, don't use it, experts say nothing good will happen from out of all this... rather than that use bitstamp or any other exchange that exchanges you into real fiat currency...
As we all know usd is one of the strongest currency in over the world that is why usdt is always as stable in crypto world. I predict usdt will increase the value in the nearest time lets wait and see.
This is actually a very valid question.
Despite all its flaws, fiat like USD is still backed by the US Government and Fed, and if you present an authentic paper bill, you will get the exchange amount printed on it. That's cash for you.
USDT obviously does not fulfill this requirement, it is only backed by its developers, and therefore inherently has a specific counterparty risk, and you need to factor that into the equation when dealing in USDT trades.
Despite all its flaws, fiat like USD is still backed by the US Government and Fed, and if you present an authentic paper bill, you will get the exchange amount printed on it. That's cash for you.
USDT obviously does not fulfill this requirement, it is only backed by its developers, and therefore inherently has a specific counterparty risk, and you need to factor that into the equation when dealing in USDT trades.
Usdt is equivalent to fiat and backed up by usd. That is why it is always at $1 or atleast $0.99.
in theory; usdt is created to be equal to 1 us dollars
many crypto exchanges just use usdt to avoid using USD or fiat for regulatory reasons
it's a good stable coin
buying usdt is like keeping you money in usd without cashing out to fiat
so you re still in the crypto world and since you didnt cash out for fiat no tax, no regulations
many crypto exchanges just use usdt to avoid using USD or fiat for regulatory reasons
it's a good stable coin
buying usdt is like keeping you money in usd without cashing out to fiat
so you re still in the crypto world and since you didnt cash out for fiat no tax, no regulations
Though USDT is declared to be backed up by US dollars, it's not really so. The team use to issue millions of new USDT coins one a quarter, and it's hard to believe that they really own the same amount of true USD. But it's still a good stable coin if you need to fix your profit without cashing out to fiat.
Usdt is an erc-20 token based on eth platform, it was created to provide the much needed usd or fiat option in the market, although many analysts see it with suspicion but my personal experience with usdt trading has been fine.
This is really true and the usdt was created on the platform of ERC 20! Do not need to survive this is a really safe coin created for easy trading! Every experienced trader will tell you that this is a safe and popular coin!
usdt is created to be equal to 1 us dollars, so it's pegged at Dollar price... there are some small fluctuations in some cases when bid ask spread is bigger than usual..however is a good way to have liquidity without changing to FIAT...
USDT is a crypto-currency asset, issued on the basis of blockchain bitcoin through the Omni Layer protocol. Each USDT unit is backed by the US dollar, which is in the reserve of Tether Limited and can be obtained through the Tether platform. The total amount of USDT in circulation should always correspond to the amount of USD in the bank account used by Tether Limited. They also regularly publish reports on these accounts on these websites.
The dollar is currently the currency of international trade. So, to buy something from abroad, must use the dollar currency even though the product purchased was not originated from the United States.
USDt is a centralized cryptocrurrency that is being controlled by the Bitfinex company, it is a closed network, running by bitfinex, this thing allows bitfinex to be the only organization that can print/produce new tethers tokens.
The network runs on the omni layer, and the tokens have a value because the tether company claims that they will purchase any produced coin for 1$ each, and they have the ability to buy all the coins that are available in circulation.
It is a centralized coin because the coin won't have any value if bitfinex will stop re-purchasing them for 1$ each.
The network runs on the omni layer, and the tokens have a value because the tether company claims that they will purchase any produced coin for 1$ each, and they have the ability to buy all the coins that are available in circulation.
It is a centralized coin because the coin won't have any value if bitfinex will stop re-purchasing them for 1$ each.
There are 2 main reason:
1. Usdt is backed by usd
2. All of coins will be exchanged into Usd or fiat
However, it can be normally explained by supply and demand. Because usdt used to sit at $0.92 and $1.07
1. Usdt is backed by usd
2. All of coins will be exchanged into Usd or fiat
However, it can be normally explained by supply and demand. Because usdt used to sit at $0.92 and $1.07
The people that claim "USDT is backed by the USD" are delusional at beast. The USDT is $1 (it really isn't exactly $1... but let's say it's $1) because you believe the PROMISE that the people behind USDT actually own all the USD required to back USDT at a 1:1 at any given point in time.
I think this is a ticking timebomb, which may or not explode and will cause a (yet another) cycle of FUD where noobs panic sell and smart money buy the dip.
Im don't want to give the people behind USDT shit for not having extremely clear procedure about their supposed USD reserves because what they are doing is extremely difficult and you are pretty much forced to operate off-shore for the task, but always be skeptic about they having 1:1 reserves and consider the inherent risk. If fiat is a ticking timebomb, then imagine a token that's supposed to be backed by fiat.
Usdt is an erc-20 token based on eth platform, it was created to provide the much needed usd or fiat option in the market, although many analysts see it with suspicion but my personal experience with usdt trading has been fine.
As mentioned above USDT was created with the purpose of equalizing the dollar price and rid the crypto of regulatory situations in several countries, with that in mind it is practically obligatory to keep your price stable with impossibility of falling or move up is also considered a way to avoid disruptions in the exchanges and for the investors.
Same answer as mine . Before I also noticed that with USDT and I am so curious why usdt stay between $0.93 and $1.1 but once I research about it now I figured out the answer .
Hello friends wish a good day...i just wanted to know why the usdt price is stay 1$
Thanks
Thanks
Are you serious or did you buy your account from someone else? how come you dont know this?
usdt is created to be equal to 1 us dollars. it makes easier for all of us trading bitcoin and altcoins
As mentioned above USDT was created with the purpose of equalizing the dollar price and rid the crypto of regulatory situations in several countries, with that in mind it is practically obligatory to keep your price stable with impossibility of falling or move up is also considered a way to avoid disruptions in the exchanges and for the investors.
Hello friends wish a good day...i just wanted to know why the usdt price is stay 1$
Thanks
Thanks
Are you serious or did you buy your account from someone else? how come you dont know this?
usdt is created to be equal to 1 us dollars. it makes easier for all of us trading bitcoin and altcoins
There are many reasons why USDT exists and its relation to backing fiat USDs. Many crypto exchanges just use it to avoid using USD or fiat for regulatory reasons. This article gives a nice summary:
https://99bitcoins.com/what-is-tether-usdt-beginners-guide/
https://99bitcoins.com/what-is-tether-usdt-beginners-guide/
Hello friends wish a good day...i just wanted to know why the usdt price is stay 1$
Thanks
Thanks
Are you serious or did you buy your account from someone else? how come you dont know this?
usdt is created to be equal to 1 us dollars. it makes easier for all of us trading bitcoin and altcoins
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