Who issued Tether?

Tether (USDT) is a stablecoin pegged to the U.S. dollar issued by Tether Limited. It is based on the principle of "fiat currency mortgage" and deposits corresponding US dollars in the bank account for each USDT issued. USDT is mainly used for cryptocurrency trading, hedging and cross-border payments.

Issuer of Tether

Tether (USDT) is a currency equivalent to the US dollar issued by Tether Limited Pegged stablecoin.

About Tether Limited

Tether Limited is an American company founded in 2014 and headquartered in the British Virgin Islands. The company focuses on providing stablecoin solutions for cryptocurrencies.

How Tether works

The exchange rate of USDT to the US dollar is fixed at 1:1. To maintain this peg, Tether Limited claims that for every USDT it issues, it deposits a corresponding USD in its bank account. This practice is called “fiat staking.”

USDT Applications

USDT is one of the most widely used stablecoins in the cryptocurrency space. Mainly used for the following purposes:

• Trading medium: Used on cryptocurrency exchanges to buy and sell digital assets.
• Safe-haven assets: When the cryptocurrency market is volatile, investors move assets to USDT to reduce risk.
• Cross-border payments: Due to its peg to the U.S. dollar, USDT can be used to move funds across borders quickly and cheaply.

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