Tether USDt | Trading Non Stop

What is USDT?

Tether USDt (USDT) is a centralized stablecoin designed to keep its value equal to the U.S. dollar, making digital transactions more stable and less risky.

Stable value – Serves as a link between traditional money and cryptocurrencies, providing price stability in a market known for ups and downs.
Works on many blockchains – Available on over 16 blockchains, including Ethereum, Tron, and Bitcoin (through the RGB protocol).
Transparency concerns – Supported by reserves but has faced criticism for not having fully transparent third-party audits.

Deep Dive

1. Purpose & Value

USDT’s goal is to bring the steady value of regular money (like the U.S. dollar) to blockchain networks. It lets people send and receive dollars digitally without the usual delays or price swings seen in cryptocurrencies. This makes USDT popular among traders looking to protect themselves from market changes, for sending money internationally, and in countries where local currencies are unstable (CoinMarketCap).

However, Tether’s promise that every USDT is backed 1:1 by U.S. dollars has been questioned. In 2021, the Commodity Futures Trading Commission (CFTC) fined Tether $41 million for misrepresenting its reserves. There have also been times when USDT’s value dropped below $1, like in 2018 when it fell to $0.88, showing some risk for users.

2. Technology & Multi-Chain Use

USDT isn’t limited to just one blockchain. It’s issued on Ethereum (ERC-20), Tron (TRC-20), Solana, and others to offer faster and cheaper transactions. In August 2025, Tether added support for Bitcoin through the RGB protocol, allowing private and scalable USDT transfers directly on Bitcoin wallets (Cryptopotato).

This approach helps USDT stay liquid and accessible across different blockchain networks while using Bitcoin’s strong security for new features like offline transactions.

3. What Sets USDT Apart

Pioneer status: Launched in 2014, USDT is still the most traded stablecoin, with over $146 billion in daily trading volume as of October 2025.
Liquidity driver: According to Tether’s CEO, USDT accounts for about 40% of blockchain transaction fees, showing its importance in decentralized finance (DeFi), remittances, and trading.
Regulatory compliance: Despite past issues, Tether follows regulations like the U.S. GENIUS Act and the EU’s MiCA framework, working with global agencies to freeze illegal funds.

Conclusion

Tether USDt is a key stablecoin that combines the steady value of the U.S. dollar with the speed and flexibility of blockchain technology. While it plays a crucial role in the crypto ecosystem, questions about its centralized control and transparency remain. As the cryptocurrency world grows, it will be interesting to see if USDT can keep its leading position amid competition from decentralized alternatives and increasing regulations.