What is USDT and how to make useful resources of it

in Project HOPE10 months ago

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Hello dear crypto friends, hope you will like my article on what "USDT is".

Let's start with what a stable coin is
In our time today, people have seen the need for stable coins that is not volatile like Bitcoin and which can be used as a digital asset.

The most popular coin recognized as bitcoin is so volatile that it does not fit for daily use. So this reason evokes the need for a decentralized coin that can be employed as a reserve of momentary price and as a medium of exchange. The value of a stable coin doesn't ever change from time to time.

Hence, stable coins are coins that have a stable price over time. Their value is fixed to a less erratic asset like fiat money. It symbolizes real money but now in a digital and decentralized format.

Today, many stable coins have been launched since the onset of bitcoin. According to research, it was revealed that people initiated the idea of creating a digital dollar, and this led to the introduction of the first stable coin known as BitUSD before USDT, USDC, TrueUSD, and DAI, were additional enlisted.

The most famous secure coins are supported by active fiat currencies like USD, GBP, and Euro. But there are a few others that are supported by other asset types. An instance is MakerDAI which’s backed using a mix of decentralized crypto assets.

In this homework, I will like us to dive into USDT as of the stablecoin. Just read till the end.

WHAT IS Tether USDT

Tether USDT was initiated by Tether limited in the year 2014. USDT runs on the Ethereum blockchain since it doesn't keep its own blockchain.

It is pegged at a particular amount of money to meet the real currency in reality.
And from what we can discern, 1 USDT is equivalent to 1 US Dollar. This amount can not be varied. It's always stable from time to time.

How does USDT works

To get a better understanding of how USDT works, let us assume that you do not like the idea of saving your fiat currency in a bank.

And again, you're intending to pay a product for your sister who is living in a foreign country with a different currency.

You may want to perform all these transactions at a spot without going to the bank to fill in the necessary documents as they require.

So what you would do is to convert (buy) your fiat currency to a stable coin like USDT since you will have the same amount in USD after the exchange.

Then after you have gotten your USDT in the wallet of your choice, you can now progress with your transaction.
When your sister got the USDT, she can now exchange it for the currency she's making use of depends on the country she is in.

The most amazing thing is that you will accomplish your transaction without paying extra charges, unlike the local banks which are not decentralized.

Where To buy a USDT?

You can simply buy any amount of USDT on many blockchain platforms that support cyptocurrency like Binance etc.

WHY USE USDT?

USDT is decentralized, unlike the common currency. It is being controlled by the holder and the government can not inter with it.

It is not always easy to get your money exchanged to USDT especially when you are not staying in the USA. But with USDT, in as little as 6 minutes, you can swap your regional cash for it and perform the transaction you wish to do.

Because USDT is a digital currency, organizations or individuals in any part of the world that is incorporated into cyptocurrency can trade with you.

WHY IS USDT VALUABLE

With USDT, one does not need to worry about fluctuations of price as in the case of some cyptocurrency. Its value can not be altered. So if you need to save your local money from volatility, you may want to convert it to USDT and protect your profits.

Someone who stays in countries with susceptible currencies or currencies with excessive inflation may need USDT. And what is USDT if now no longer an inflation lifejacket? Since it has a balanced price as the US dollar, you have a higher prospect of reserving your cash in USDT than parking it in a devaluing currency.

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Who Am I?

I am just a beginner who lives in the Western Hemisphere of Africa with his parents. My name is James but you can notify me with @jsalvage, here.😂 Being the first child, My parents, Mr. and Mrs. Onu who are just wonderful And hardworking couples. My father is an electrical engineer while my mother is a trader. They always work collaboratively just to make sure that their children don't lack the necessities. I graduated from high school in the year 2018. And My favorite subjects are physics chemistry and biology. I am going to enter the university because my goal is to study these subjects in the future and to become a respected professional in one of the fields. Between, I am an accomplished computer hardware technician. After I obtained my SSCE certificate, I took interest in learning more about computer hardware and its maintenance. I am obsessed with all tech-related and I enjoy using my skill to contribute to the exciting technological advances. I'd spend my free time learning about programming and also assisting people on how to fix any problem related to Tech!
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@tipu curate 2

Hello @jsalvage

I agree with you on the importance of USDT and the advantages it offers.
Welcome to Project Hope, thank you for sharing this excellent reading.
Have a great day!

Thanks for your time

Dear @jsalvage , Have you created an account for cryptocurrency?

No, I am yet to have my own account