TETHER IS ONE OF THE STABLE COINS.
WHY ?
Tether (USDT) is a cryptocurrency known as a stablecoin, designed to maintain a stable value by being pegged to a fiat currency, typically the US dollar, at a 1:1 ratio. It achieves this stability by holding reserves in traditional currencies and other assets equivalent to the number of USDT in circulation. This backing ensures that each USDT can theoretically be redeemed for one US dollar, minimizing price volatility. Tether is widely used in crypto trading as a safe haven during market fluctuations and for transferring value between exchanges without converting to fiat, offering the benefits of blockchain technology with reduced volatility.