USDT (Tether) is a stablecoin pegged to the US dollar, which is a type of cryptocurrency designed to maintain price stability (1 USDT ≈ 1 dollar), avoiding the extreme volatility of cryptocurrencies like Bitcoin.
Here are the key points analysis:
1. Core Features
Pegged to the US dollar: For every 1 USDT issued, the issuing company Tether claims to reserve 1 dollar (or equivalent assets) as support.
Stability: The price usually hovers around 1 dollar, suitable for trading, hedging, or remittance.
Multi-chain issuance: Can circulate on multiple blockchains such as Ethereum (ERC-20), Tron (TRC-20).
Transfer speed and fees vary by network.
2. Main Uses
Cryptocurrency trading: Exchanges often use USDT as a benchmark trading pair (e.g., BTC/USDT), replacing fiat currency.
Hedging tool: When the market crashes, investors convert their assets to USDT for preservation.
Cross-border remittance: Faster and cheaper than traditional banks.
3. How to obtain USDT?
Purchase on exchanges (e.g., Binance, OKX using fiat currency exchange).
OTC trading (directly trading with others).
Accept USDT payments (merchants or freelancers).
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