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What is Tether? Everything you need to know about USDT


Tether, abbreviated USDT, is a digital currency that protects you from severe market fluctuations at a fixed price and allows you to transfer dollars digitally.

If you are looking to invest in or trade digital currencies, you have probably heard of Tetra. In this article, we will answer the questions of what Tetra is, how it works and why its price is always constant. In this article, you will also get acquainted with the best wallets of this digital currency and how to buy it. Be with Digital Currency.

What is Tetra?

Tetra, abbreviated USDT, is a digital currency whose price is always fixed. The value of each tetra unit is always equal to 1 US dollar.

This digital currency is one of the dozens of stable digital currencies (Stable Coin) in the digital currency market. Stable digital currencies are backed by other commodities and assets. The price of stable digital currencies is always dependent on the value of the underlying assets and fluctuates with them. With the exception of Tetra, there are many other stable digital currencies backed by the US dollar, but the USDT is currently the most powerful stable digital currency at the time of writing, with $ 8 billion in market value, after Bitcoin, Ethereum. And Ripple (XRP), which relies heavily on fourth place in the digital currency market.

Tetra has two main uses for traders:

  • Avoid severe fluctuations in the digital currency market
  • Easy transfer of money to exchange offices and wallets in dollars

Suppose you buy 1 bitcoin for $ 8,000. A little later, the price reaches $ 10,000. You quickly and easily convert your bitcoins to tetra and save 8,000 USDT. Then the price of bitcoin drops to $ 6,000, but your capital value is still $ 8,000 and you can buy more bitcoins at lower prices.

What is Tether?  Everything you need to know about USDT
Teter logo

You can easily save Tetra in digital wallets on your mobile or computer or wallets in exchange offices. Sending and receiving Teters is as easy and fast as sending an email. These features have made this digital currency very popular with traders.

IFinex is the owner of Tetra and the operator of the Bitfinex digital currency exchange. Tetra was first officially launched in 2014 under the name “Realcoin” and was renamed shortly after. In 2019, the company launched another stable digital currency called Tether Gold, which is backed by gold.

How does it work and why is its price always constant?

For every tetri unit produced, $ 1 is held in bank reserves, which acts as the backbone of this digital currency. That is, if 4,000,000 USDT units are put on the market, $ 4,000,000 must be kept in the bank’s coffers so that the price always stays at $ 1. Of course, there are doubts about this issue in the digital currency community, and some accuse this digital currency of not having enough support. Thus, unlike most digital currencies, the supply of Tetra is not limited, but new USDT units are produced and supplied to market demand.

The USDT digital currency was originally distributed on the Omni layer, a platform on the Bitcoin blockchain, but is now available on blockchains such as Ethereum, Bitcoin Cache, Theron and Algrand. This means that Tetra is very easy to access and can be stored in the official wallets of Ethereum, Bitcoin Cash, Theron and Algorand.

Tetra units are produced by IFINX according to the needs of the market and in different time periods and are imported to BitFinx exchange office and then from there to other exchange offices by traders. Therefore, although USDT transactions are decentralized and take place on large blockchains, the distribution of its units is completely centralized and cannot be called a decentralized digital currency.

Tetr ecosystem
Teter ecosystem at a glance

By visiting blockbuster websites such as اتراسکن, You can see the number of available units and the status of transactions and addresses.

Buy Tetra

To buy Tetra, it is best to visit a digital currency exchange site. Users residing in Iran typically use one of two methods to purchase USDT from an online exchange:

  • Direct purchase from Iranian sites with Rials and bank cards
  • Convert bitcoins or other digital currencies to tetra in foreign exchanges such as Bainance

By searching for the word “buy Tetra” on Google, you can find Iranian websites that sell Tetra, and after registering and authenticating, you can buy directly with your bank card. Some investors and traders also use the second method; That means converting bitcoin or other digital currencies to USDT in international exchanges.

List of international exchanges that support USDT, in This link Is visible. Note that foreign exchange offices do not allow users residing in Iran due to sanctions, and therefore there is a risk of blocking the account. However, most Iranian users are active in Bainance Exchange at the time of writing by changing their IP without any problems. In the “Bainance Exchange Training” article, you can learn how to convert digital currencies in this exchange.

USDT wallets

Tetra (USDT) units are non-physical and digital, so they should be stored on digital wallets. Tetra is one of the few digital currencies that has a very high availability and can be stored and transferred on dozens of wallets (software or hardware). USDT units can be stored in the official wallets of Ethereum (ERC-20 tokens), Omni, Bitcoin Cash and Theron, but most exchanges sell ERC-20 tokens.

The best software wallets for storing USDT include Myetherwallet, Coinomi, Trust Wallet, and Atomic Wallet. The Ledger and Trezor hardware wallets are also among the top two hardware wallets that support this digital currency.

name Type Download / access link
Maytrollet wallet Software / Web access
Quinoa wallet software Download
Walt Trust Wallet software Download
Ledger wallet hardware Physical – must be purchased from reputable stores
Treasury wallet hardware Physical – must be purchased from reputable stores

In addition to these wallets, you can use many other wallets, but before installing and using a wallet, make sure its validity.

Don’t forget to make a backup of a digital currency wallet before using it. Wallets usually show the user a set of 12 English words to back up in a safe place. If the wallet is deleted or any other problem, the user can recover their assets. If you do not back up your wallet, you will never be able to recover your assets by deleting your wallet, stealing or damaging your device.

Price

As mentioned, the price of Tetra is always equal to 1 US dollar, because one USDT per unit is kept in the banks’ coffers. But if you look at the Tetra price chart, the USDT price is not always equal to one US dollar, and sometimes we see slight fluctuations in it. For example, it is sometimes priced at $ 0.98 and sometimes at $ 1.01.

Tetra price chart
Tetra price fluctuations within 24 hours; Prices fluctuate constantly between $ 0.9 and above $ 1

The reason for this is that the price of Tetra is determined by the USDT / USD currency pair in various exchanges, including Bitfinx. For example, when traders are willing to pay their notebooks for less than a dollar and get the real dollar faster instead, the price will be a little lower than a dollar. It can be said that the USDT price shows the confidence in this digital currency against the real dollar.

In Iran, the price is usually higher than the real price of the dollar in the market. For example, if the price of the dollar in the Iranian open market is 17,000 Tomans, it is likely that the USDT unit will be traded at 17,400 Tomans in online exchanges.

Where does the company come from?

IFINX’s statutory income (excluding income it can earn from market manipulation) comes from two sources: BitFinx commissions and back-up profits stored in bank accounts.

Bitfinx Exchange acts as a gateway to access new tetris. For other digital currency exchanges that support Tetra, this digital currency is an important source of liquidity. With Bitfinx Exchange, you can convert Tetra into cash (real dollars), and Bitfinx can get a fee in several places.

To buy Teter directly from Bitfinx, users must deposit real dollars into the bank accounts of this exchange. Bitfinx, on the other hand, is the main place where users can convert their tetrads into real dollars. A fee of $ 0.1 must be paid to deposit and withdraw real dollars at Bitfinx Exchange. Withdrawal of USDT from Bitfinx also requires payment of a fee. This is the revenue that Ifinx earns through the Bitfinx exchange, not Tetra itself. In addition, IFINX earns a lot of bank profits by storing large amounts of dollars in banks.

جنجال‌ها

Teter is known as one of the most mysterious players in the digital currency industry. Articles have repeatedly claimed that the organization could manipulate supply to influence the price of bitcoin and the direction of the digital currency market. One of these articles claims that Tetra was involved in the sharp rise in the price of Bitcoin to $ 20,000 in late 2017. According to this claim, IFINX has created unsupported USDT units, bought bitcoins with them and caused an artificial increase in the price of bitcoins.

In April 2019, the New York Attorney General’s Office accused Tetra of withdrawing $ 850 million in compensation from the Tetras; A claim denied by Bitfinx. Shortly afterwards, an IFINX lawyer formally admitted that only 74% of USDT units supported the real dollar. When the allegations were made public, users of the exchange withdrew assets worth at least $ 90 million from Bitfinx wallets. At the time of writing, Tetra is still embroiled in minor and major allegations.

On the other hand, despite the isolation and lack of transparency of the company’s activities, Teter has a high level of trust among large exchange offices. Tetra traders are not too worried about their capital, given the tough US and Hong Kong laws that Iphinx is required to follow. The USDT, which was initially at the very bottom of the digital currency market, has been one of the top four digital currencies in terms of market value, with stable activity over the past few years.

Frequently Asked Questions

Why is the price of Tetra always constant?

For every tetri unit produced, $ 1 is held in bank reserves, which acts as the backbone of this digital currency.

How to buy Tetra?

To buy Tetra, you need to visit digital currency exchange sites. Just search for the word “buy Tetra”. Other digital currencies, such as Bitcoin, can also be converted to Tetra on international sites such as Bainance.

What wallets support Tetra?

Dozens of software and hardware wallets support Tetr. The best software wallets that support Tetra include the Myetherwallet Coinomi, the Trust Wallet, and the Atomic Wallet. Ledger and Trezor hardware wallets are also among the top two hardware wallets that can store Tetra.

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