Tether (USDT) is a type of virtual currency that is pegged to the US Dollar (USD), effectively linking cryptocurrency with fiat currency. It is a form of virtual currency stored in foreign exchangeTether (USDT) is a type of virtual currency that is pegged to the US Dollar (USD), effectively linking cryptocurrency with fiat currency. It is a form of virtual currency stored in foreign exchange

Learn/Enciclopedia de Blockchain/Conceptos básicos/What is Tether (USDT?)

What is Tether (USDT?)

Autor: MEXC

Sep 21, 2026MEXC

4 min

VIRTUAL$0.6457-0.75%

Tether (USDT) is a type of virtual currency that is pegged to the US Dollar (USD), effectively linking cryptocurrency with fiat currency. It is a form of virtual currency stored in foreign exchange reserve accounts and backed by fiat currency. Tether was initially issued by Tether Limited in 2014 and is designed to maintain a 1:1 peg to the US Dollar, meaning that for each issued USDT token, there is a corresponding USD held in reserve. This ensures that each USDT token is backed by a fund of 1 USD. USDT has become one of the most popular stablecoins in the market and, in terms of market capitalization, is the first and largest stablecoin available.

1.Characteristics of Tether (USDT)

As one of the most popular stablecoins, Tether (USDT) possesses the following characteristics:

1) Minimal price volatility and relative stability: As previously mentioned, USDT is pegged at a 1:1 ratio to the US Dollar. This means that for every USDT issued, there is an equivalent amount of cash reserve as a financial guarantee. Consequently, its price remains relatively stable compared to other cryptocurrencies, with limited fluctuations.

2) Security and reliability: USDT employs blockchain technology to ensure world-class security measures while adhering to international compliance standards and regulations.

3) Public transparency: Tether publishes its foreign exchange reserves daily and undergoes professional audits. The circulation of USDT is matched with Tether's reserves. Additionally, users can verify funds on the Tether platform, ensuring transparency.

2.The Main Uses of Tether (USDT)

As a stablecoin, the primary functions of USDT are to mitigate market volatility, reduce financial service costs, and serve as a medium of exchange between digital currencies on various exchanges. It can be used for both blockchain-based transfers and trading, similar to forex, due to its peg to the US Dollar.

1) Spot trading on exchanges: Spot trading refers to trades between USDT and other cryptocurrencies. While platforms like MEXC offer thousands of digital currencies for trading, many of them do not support direct purchases using fiat currencies (e.g., USD, GBP). Instead, users first purchase USDT and then exchange it for other digital currencies.

2) Facilitating transfers: As a stablecoin, USDT is widely popular and utilized due to its minimal price fluctuations, often serving as a medium for transfers. MEXC supports USDT transfers on multiple chains, including TRC20, ERC20, BEP20, MATIC, ALGO, Arbitrum One, each with varying speeds. Users can choose the transfer method that suits their preferences on the MEXC platform.

3) Mitigate the risk of cryptocurrency asset downturns and counter market black swan events: For instance, if you buy ETH using BTC and experience an extreme market condition like the one that occurred on March 12, you could incur losses in both assets. However, with USDT, you can swiftly convert your digital assets to USDT when anticipating a market downturn, safeguarding your assets from losses.

3.Advantages and Risks of Tether (USDT)

1) Advantages of USDT

The primary advantage of USDT lies in its 1:1 peg to the US Dollar, ensuring that each USDT token is equivalent to one US Dollar. This feature provides investors with a convenient means to transfer their fiat currency into the cryptocurrency realm for trading and investment in the crypto market. Additionally, it allows them to retain the value of their asset holdings, making USDT a reliable token for safeguarding against market volatility.

2) Risks of USDT

The most significant risk associated with USDT is the possibility of Tether encountering issues such as insolvency, over-issuance, or insufficient reserves. This has been a longstanding concern within the cryptocurrency community. Tether's issuance is entirely centralized, meaning that issuance, redemption, regulatory risks, and operational risks are all concentrated within Tether Limited. Despite Tether's commitment to holding 100% of USDT's reserves in USD, according to the audit quarterly report for 2022 on Tether's reserve breakdown, USDT is not fully backed by a 1:1 ratio of cash (or cash-equivalents). The reserve composition includes 50% US Treasury Bills, 30% commercial paper, 16% currency market funds, and the remaining 4% lacks further clarification according to the audit.

4.Summary

According to the information displayed on the MEXC official website, USDT currently ranks third in terms of market capitalization and holds the top position among stablecoins, making it the most popular cryptocurrency among investors. Stablecoins eliminate the need for traders to convert to fiat currency, enhancing the convenience of cryptocurrency trading. Despite lingering concerns about the risks associated with Tether, the trading volume of USDT over the past few years reflects the public's trust in it.

Disclaimer: This material does not provide advice on investment, taxation, legal, financial, accounting, consulting, or any other related services, and it is not a recommendation to buy, sell, or hold any assets. MEXC Learn offers information for reference purposes only and does not constitute investment advice. Please ensure you thoroughly understand the risks involved and exercise caution when investing. All investment actions taken by users are independent of this platform.

Oportunidad de mercado

Precio de Virtuals Protocol(VIRTUAL)

$0.6457

$0.6457$0.6457

-2.96%

USD

Gráfico de precios en vivo de Virtuals Protocol (VIRTUAL)

Artículos populares

Guía de seguridad de MEXC Card: códigos 3DS, congelación de la tarjeta, controles de riesgo y pagos rechazados

Una tarjeta que solo existe dentro de una aplicación y de un monedero del teléfono plantea preguntas muy distintas a las de un trozo de plástico en el bolsillo. La MEXC Global Card es la segunda tarje

Autor: MEXC

2026-09-11

¿Cómo pagar suscripciones con criptomonedas? Use la MEXC Global Card para streaming, herramientas de IA y SaaS

Sume todo lo que sale de su cuenta cada mes sin que usted intervenga: un plan de streaming, un asistente de IA, almacenamiento en la nube y esa herramienta de diseño que siempre piensa cancelar. Cuand

Autor: MEXC

2026-09-11

Tarjeta MEXC: países admitidos, regiones restringidas y qué exige realmente el KYC

Si desea una tarjeta cripto y está cansado de solicitudes que piden nóminas e informes crediticios, la MEXC Global Card exige mucho menos. Eso sí, exige algo en lo que la mayoría se equivoca: el país

Autor: MEXC

2026-09-11

Cómo usar la MEXC Card: pague con criptomonedas en cualquier lugar que acepte Visa

La MEXC Global Card es la segunda tarjeta Visa que MEXC emite de forma directa y se lanzó en 2026. Convive con la MEXC Card (APAC), que sigue disponible en determinados mercados de Asia-Pacífico, y co

Autor: MEXC

2026-09-11

Noticias en tendencia

Advertencia de Coldcard Mk3 tras el barrido de 38 millones de dólares en Bitcoin, pero la causa sigue sin confirmarse

El fabricante de carteras frías de Bitcoin, Coinkite, ha advertido a los usuarios sobre un problema en la generación de semillas que afecta a los dispositivos Coldcard, incluidas todas las versiones d

2026-07-31

Bitget abandona Japón: los servicios para residentes japoneses finalizan el 31 de diciembre de 2026

Bitget pondrá fin a los servicios para los usuarios en Japón el 31 de diciembre de 2026. Los usuarios afectados deben cerrar las posiciones abiertas y retirar los activos antes de la fecha límite.

2026-08-04

Mastercard completa la adquisición de BVNK por hasta 1.800 millones de dólares: las stablecoins entran en el núcleo de los pagos globales

Mastercard completó su adquisición del proveedor de infraestructura de stablecoin BVNK el 3 de agosto de 2026, tras anunciar la transacción en marzo.

2026-08-04

La relación entre el volumen de operaciones al contado de DEX y CEX alcanza el 24 % mientras se debilita la actividad de los exchanges centralizados

La relación entre el volumen al contado de los exchanges descentralizados y el volumen al contado de los exchanges centralizados alcanzó el 24,14 % en julio de 2026, según la serie de datos actual de

2026-08-04

What is Tether (USDT?)

1.Characteristics of Tether (USDT)

2.The Main Uses of Tether (USDT)

3.Advantages and Risks of Tether (USDT)

4.Summary

Artículos populares

Guía de seguridad de MEXC Card: códigos 3DS, congelación de la tarjeta, controles de riesgo y pagos rechazados

¿Cómo pagar suscripciones con criptomonedas? Use la MEXC Global Card para streaming, herramientas de IA y SaaS

Tarjeta MEXC: países admitidos, regiones restringidas y qué exige realmente el KYC

Cómo usar la MEXC Card: pague con criptomonedas en cualquier lugar que acepte Visa

Noticias en tendencia

Advertencia de Coldcard Mk3 tras el barrido de 38 millones de dólares en Bitcoin, pero la causa sigue sin confirmarse

Bitget abandona Japón: los servicios para residentes japoneses finalizan el 31 de diciembre de 2026

Mastercard completa la adquisición de BVNK por hasta 1.800 millones de dólares: las stablecoins entran en el núcleo de los pagos globales

La relación entre el volumen de operaciones al contado de DEX y CEX alcanza el 24 % mientras se debilita la actividad de los exchanges centralizados

Artículos relacionados

El Índice de Miedo y Codicia Crypto Cae a Miedo Extremo: Qué Significa y Cómo Deben Responder los Inversores

¿Qué es el halving de Bitcoin? Guía completa del evento cíclico clave de las criptomonedas

Qué es un contrato inteligente: la guía definitiva sobre automatización en blockchain para principiantes

¿Qué son las criptomonedas? ¿Cómo funcionan las criptomonedas? Guía completa para principiantes en activos digitales

Únete a la comunidad de MEXC