Tether (USDT) is a stablecoin or stable cryptocurrency that is said to be pegged 1:1 with the U.S. dollar. This helps USDT maintain a stable value equal to one dollar.
Despite being new compared to many other cryptocurrencies, Tether has quickly gained popularity among crypto users. Today, it is ranked the third-largest cryptocurrency. Traders mostly prioritize using USDT to store their funds to keep their capital free of the risks of price fluctuations.
In this article, we will help you understand the most convenient way to buy USDT.
Overview for Fast Readers
— Explore and research cryptocurrency exchanges to find the exchange that best fits your requirements to buy USDT.
— Once you have created your account, fund your wallet with a supported fiat or cryptocurrency and exchange it for USDT
— You can use USDT to buy other cryptocurrencies or store your idle funds in USDT without the fear of losing your capital.
A Step by Step Guide to Buy Tether (USDT)
Step 1: Find an Exchange to Buy Tether
Choosing the right cryptocurrency exchange is one of the most defining steps in buying cryptocurrencies, which in this case is Tether. So, if you’re planning to buy Tether, you must conduct in-depth research on cryptocurrency exchanges you find suitable and then choose one that fits you best.
Here are some critical factors to consider while choosing the right platform to buy Tether:
- Exchange support: There are numerous cryptocurrency exchange platforms, but not all of them operate in all regions. While looking for an exchange to buy Tether, always check if it supports services in your region or not. You can also consider factors such as support for your local language and currency.
- Currency and pairs: As you want to buy Tether, you should only create an account on an exchange that supports buying and selling Tether. You should also look for supported currencies with which you can buy Tether. If you are a first-time crypto investor, you must look for exchanges that either allow you to deposit fiat currencies or enable you to buy Tether directly with a debit or credit card. In case you wish to exchange other cryptocurrencies for Tether, you should confirm whether or not Tether is paired with the cryptocurrency you wish to pay in.
- Legal aspects: As cryptocurrencies gain momentum and more people invest in them, regulators are more strictly regulating cryptocurrency platforms. You must prioritize buying Tether from an exchange that is authorized by your local authorities to provide their services in your region.
- Withdrawals: Not all exchanges are the same when we speak of withdrawing your funds, either crypto or fiat. Some exchanges support withdrawals in only one of the two and there are exchanges that support both. Besides, some exchanges that support crypto withdrawals may not do so for all cryptos listed on their platform. You should consider your preferences and choose an exchange accordingly.
Step 2: Create a New Account
You’re through the heavy lifting the moment you pick the right exchange for yourself. Then, you will have to create an account on the platform to buy USDT. To do so, the exchange may require you to follow a KYC process for regulatory compliance. You can complete setting up your account by uploading all required documents. Most exchanges approve accounts in less than 24 hours.
Step 3: Add Funds to Buy Tether (USDT)
After the exchange approves your account, you can add funds to your wallet. If you intend to buy Tether with fiat currencies, you can add money to your account using the payment options available. Or, you could directly buy it using your debit or credit card, if supported. In case you want to buy Tether using a cryptocurrency, you should deposit cryptocurrency funds from your other wallet to your new one.
Step 4: Buy Tether (USDT)
Once your funds reflect in your account, you are ready to buy USDT. You will have to open the exchange portal, look for your preferred cryptocurrency pair, input the details for the trade, and send a buying request. As soon as your order matches, you will receive USDT in your account.
Where Can You Buy Tether (USDT)?
- Coinbase
- OKEx
- Binance
- Kraken
- Poloniex
FAQs About Buying and Investing in Tether (USDT)
How safe is USDT?
USDT is a stablecoin, meaning its price does not increase or decrease significantly. It is designed to always imitate the value of the U.S. dollar. This makes USDT extremely safe and you can hold your funds in USDT without risking your capital.
Is USDC the same as USDT?
Yes and no. USDC is similar to USDT as they’re both stable cryptocurrencies whose value is always almost equal to one U.S. dollar. However, both these stablecoins were created by different organizations.
Is Tether really backed by USD?
Most discussions related to this subject so far are based on skepticism and doubt. The operators of Tether, however, claim that every single USDT in circulation is backed by one USD.
How do I cash out USDT?
The price of USDT almost always remains the same as the USD, so you can cash out any time on an exchange that supports your preferred fiat currency.
Will Tether’s price go up?
Tether is a stablecoin whose total circulating supply is said to be pegged 1:1 with a USD reserve. Hence, it’s price will always remain approximately equal to one USD.
Summary
Tether is an extremely popular cryptocurrency due to its stable price. It brings the best of both worlds — crypto and fiat. We hope our guide helped you understand in detail the process you need to follow to buy USDT and step into the world of cryptocurrencies. If you still have any queries, feel free to let us know.
