TAG: #tether

USDT

Also known as Tether, which is a cryptocurrency that is supposedly backed 1:1 by US dollars. This means that this cryptocurrency sees very little volatility, as it is a stablecoin.

Often used on exchanges as a way to trade USD value vs. cryptocurrencies. Also used as a safe haven during declining market conditions as the price is stable.

EXAMPLE USAGE:

I moved all of my Bitcoin to USDT because I think Bitcoin is going to drop.

James C. doesn't have a picture.
James C.
Posted on July 12th, 2018

Stablecoin

A cryptocurrency that has its price fixed, tied to either a fiat currency or asset. Some examples are USDT being tied to the price of the US dollar and DigiDAO being fixed to the price of gold.

Typically (hopefully) these cryptocurrencies are backed by the asset they're tied to.

EXAMPLE USAGE:

USDT, also known as Tether, is a stablecoin because 1 USDT is backed by 1 USD.

James C. doesn't have a picture.
James C.
Posted on July 12th, 2018