Surely you've heard of Tether or USDT, a very popular stablecoin in the crypto ecosystem. It is used as a substitute for the dollar, since its price is tied to that currency and can be purchased without having a dollar account in a bank.
Because of all the benefits it now offers You can find it among the stablecoins included in El Dorado. So, if you're not familiar with this cryptocurrency yet, start reading! Here we'll tell you more about USDT, including its features, how it works and how to exchange it for your local currency.
What is USDT?
Tether, better known as USDT, It's a Stablecoin created in 2014 with the objective of having its price pegged to the dollar with a parity of 1:1, this means that the price of Tether will always be close to the dollar, varying by just a few cents.
For example, at the time of writing this article, 1 USDT is equivalent to 0.99 US dollars.
Currently, this cryptocurrency has become the most popular alternative to access the advantages of the dollar, without the need to have an international account, since basically buying USDT is the equivalent of buying digital dollars.
It can be said that these tokens are a digital representation of the fiat dollar. Its wide use and features have made it one of the stablecoins with the highest market capitalization
So if you are looking to protect your income, save or start investing in the crypto world, you should know everything that this stablecoin offers.
Tether USDT features
As we mentioned before, the characteristics of this token allow it to fulfill the typical functions of fiat dollars, but digitally and using blockchain technology.
Get to know all its features below:
- It is based on an open source blockchain, allowing for greater transparency and scalability.
- Being backed by foreign exchange reserves, price stability is guaranteed, protecting it from abrupt fluctuations or falls.
- It is used to save and access the crypto market without the risks of high volatility that other cryptocurrencies such as Bitcoin have.
How does it work?
Unlike other cryptocurrencies, Tether is not hosted on its own blockchain.
It was originally created to interact with the Omni Layer, a side chain in the Bitcoin blockchain, but over time it also began to function as a token on ERC-20 for Ethereum and TRC20 for Tron.
It has also been added to networks such as Algorand, EOS and Solana, although in El Dorado you can find the version of this token that is connected to Tron.
But... Who controls the issuance of Tether tokens?
It is important that you know that this Stablecoin is centralized, and is managed by Tether Limited. This company, originally from Hong Kong and with offices in Switzerland, is responsible for issuing and managing USDT tokens, ensuring that every Tether issued is backed up in its entirety by dollars.
Therefore, for 1 USDT to be issued, you must deposit 1 dollar into one of the Tether Limited accounts.
How to exchange Fiat money for USDT?
Everyone knows that to exchange traditional dollars for some other currency it is necessary to go to an exchange office. Pero Where should you go if you want to buy or sell USDT using your national currency?
The answer is just a click away, since you don't even have to leave your house. You can start exchanging Tethers by signing up and verifying yourself at El Dorado., a platform that allows you to buy and sell different cryptocurrencies using fiat currencies.
You can do all this through your P2P, where you can buying Tether tokens using bolivars, pesos and other fiat currencies. Of course, you can also do the opposite operation and exchange USDT for your local currency.
So if you want to start buying or selling USDT on Tron. Create your El Dorado account today and enjoy all the benefits of a digital dollar account.
