USDT to XRP - Tether Price in XRP

What is the Tether coin used for?

Because of trust and stable currency, you can redeem it for another fiat currency. For instance, if you hold 100USDT, you can retrieve it for $100. on another side, you can buy any other cryptocurrency with tether.  

Today, most traders use Tether as a replacement for dollars. It is convenient to be transferred between exchanges or people because it is to be shared between trade exchanges or people. You can buy and hold and trade as per your requirements or when traders feel the market is playful.

How does tether coin work?

How exactly Tether USDT work blockchain works? Let's understand.

 Generally, Tether is Built on three layers. 

1. Tether transaction(Omni protocol) & bitcoin blockchain
2. Omni protocol itself
3. Tether limited

The first layer comes under the Tether USDT transaction system based on Omni protocol and bitcoin blockchain. The second layer comes under Omni protocol itself, allowing you to create, vanish, track, and report the circulation, negotiate and save USDT and fiat peer-to-peer or stable crypto ecosystem. The Tether itself reserves the third level. The company is responsible for taking the fiat currencies from the users, circulating cryptocurrencies alternatively, and keeping supplies. All in all, Tether Limited makes determinations and combines cryptocurrency on numerous exchanges, wallets, other projects, etc. All activities come under the POR (Proof-Of-Reserves) protocol.

 

More on USDT, It based on OMNI blockchain protocol. You can consider it as a secure stage where you can buy and sell. In recent times, Omni provides many services to many platforms.

How to buy tether coins?

When you want to buy or invest your hard savings in cryptocurrencies, only two things matter security and ownership of your crypto.

There are many top exchanges to buy and trade Tether(USDT). Some of them, I am describing below.

• Binance
• Huobi Global
• OKEx >
• HBTC 
• MXC.COM 

 

You can buy and trade by using some of the given exchanges above. After that, you can store it on a digital wallet or any hardware wallet made to store cryptocurrencies only. 

Why is tether so popular?

Tether(USDT) is a massive part of the cryptocurrency ecosystem with a $16 billion capitalization. It is the third biggest cryptocurrency for a long time. 

 

It is most popular because of the stabilization and currency value. Tether comes under safe currency because it doesn't perform the risk/reward like Bitcoin(BTC).

How does tether stay on $1?

In a simple word, trust comes with stability. Tether has been shown its potential since 2015. If you have been looking at other cryptocurrencies, the prices go ups and down in a minute. But, Tether(USDT) stays at $1 USD. Let's understand the reason.

As per our discussion, Tether is 100% supported by fiat currencies and currently supports Dollars & Euros. 

 

Tether introduce many businesses, including exchanges, wallets, and payment processors, to combine fiat currencies on blockchains. Some of the most important digital currency firms, such as Poloniex, Bitfinex, and ShapeShift, have all integrated Tether.

 

The entire supply of tether is unlimited and supported by fiat currency holds. For instance, If the system has 10 million USD on the other side, there will be a total quantity of 1 million USDT.

 

Tether is a transparent company that publishes a regular update of the held and transferred in and out transactions. Essentially, Tether currency can be sent, received, and store securely across the blockchain and are exchangeable for cash. Once someone exchanges Tether currencies into fiat currencies, the tether currency will be destroyed to ensure that Tether currencies' total supply matches the total stored amount of fiat currencies.

So, this is the main reason why tether is always used at $1.