USDT is the largest and most widely used stablecoin in the cryptocurrency market. Its value is pegged to the US dollar (USD) at a 1:1 ratio, meaning that 1 USDT should equal 1 USD. This makes it a stable digital asset, unlike volatile cryptocurrencies like Bitcoin or Ethereum.

USDT is primarily used to facilitate fast and low-cost transactions between cryptocurrencies and to preserve the value of investors during market volatility. Its backing, although historically debated, consists of a mix of cash, cash equivalents, and other assets. USDT operates on multiple blockchains.