Entity: USDT
USDT, also known as Tether, is a stablecoin pegged to the US dollar, designed to mitigate the volatility of digital currencies. It is issued by Tether Limited and is widely used in the cryptocurrency market.
USDT
Etymology
The term USDT stands for Tether, a stablecoin in the cryptocurrency market.
Definition
USDT, also known as Tether, is a stablecoin pegged to the US dollar, designed to mitigate the volatility of digital currencies. Each USDT token is backed by reserves held by Tether Limited, ensuring a 1:1 value ratio with the USD.
Historical Context
Tether was launched by Tether Limited Inc. in 2014 as a cryptocurrency stablecoin. It is distinct from a central bank digital currency and is widely used in the cryptocurrency market.
Cultural Significance
USDT plays a crucial role in the cryptocurrency market by providing stability and a digital equivalent of the US dollar. It is used for trading, investments, and as a store of value.
Related Concepts
USDT is related to stablecoins, digital currencies, and blockchain technology. It is often compared to other stablecoins like USDC and DAI.
See Also
A stablecoin pegged to the US dollar, USDT is a digital token designed to maintain a 1:1 value ratio with the USD.