How is USDT (Tether) Made? 🤔💵
USDT is a stablecoin pegged 1:1 to the US dollar. Here’s how it’s created:
1. Fiat In: Users deposit USD with Tether Ltd.
2. Minting: Tether mints equivalent USDT tokens.
3. Blockchain: USDT is issued on chains like Ethereum, Tron, or Solana.
4. Backed: Each USDT is (allegedly) backed by reserves (cash, T-bills, etc.).
5. Redemption: Users can return USDT for USD, and the tokens are burned.
USDT = Digital dollars on the blockchain 🌐
