$USDC (Tether) remains the dominant stablecoin in the cryptocurrency market, providing liquidity on many trading platforms. Its peg to the US dollar ($1:1) is key, although there are occasional speculations regarding its backing. Currently, USDT is widely used for locking in profits, trading between different cryptocurrencies, and as a means for quickly moving funds between exchanges.
🔹Be cautious with arbitrage based on short-term deviations from the peg: Although USDT aims to maintain stability, minor deviations from $1 can occur during periods of high market volatility. Trading on these short-term fluctuations can be risky.
🔹Consider the counterparty risks: When using USDT on a specific exchange, you also bear the risks associated with that exchange. Distribute your assets among several reliable platforms.
🔹Stay updated on news and regulatory changes: Regulation of stablecoins is an active area, and any changes could impact USDT and its usage.
🔹USDT was one of the first stablecoins, launched back in 2014 (initially under the name #Realcoin)
🔹Despite periodic doubts about its full backing by US dollars, USDT remains the leader in market capitalization among stablecoins.
🔹Always conduct your own research (DYOR - Do Your Own Research) before making any trading decisions related to USDT or any other cryptocurrency. Understanding potential risks is key.
