Have you ever wondered: what is Tether? Tether is rapidly becoming more and more influential in many different fields, which may influence your decision regarding the most effective choice of investment opportunities. However, before you begin investing in Tether, it’s important to clarify what it is, how it works, and its main properties to ensure you’ve chosen the right option for your needs.

What is Tether?

Tether is a unique form of cryptocurrency that’s pegged on US dollar value. The Tether currency is owned by the same parent company that owns the BitFinex crypto exchange, which is worth keeping in mind. It is based on the Bitcoin blockchain but can also support several other common protocols.

Originally, the currency was known as RealCoin, but it was renamed a few months after its launch to Tether in November 2014. After that, the first Tether coins were sold in February 2015 on the BitFinex market.

Since its launch, Tether has grown to become one of the largest cryptocurrencies on the market. In fact, as of May 2022, Tether was the third largest cryptocurrency, with only Bitcoin and Ethereum becoming more popular. It’s also the world’s largest stablecoin – as we’ll address in a moment.

Is Tether a Stable Currency?

Tether is referred to as a stablecoin since it aims to provide a more secure and reliable form of cryptocurrency than other solutions. The most notable feature of the Tether cryptocurrency has to be its pegged value against the value of the dollar.

As such, the value of one Tether coin should always be worth at least $1. This makes the Tether coin a popular option for people wanting a lower-risk investment opportunity than regular cryptocurrencies, which are fully decentralized and prone to rapid value fluctuations.

In addition to being tied to US dollars, Tether is also tied to several other currencies, including the Euro and the Chinese offshore yuan. A very small amount of Tether coins are also tied to the value of gold, which can strongly influence the stability of Tether coins accordingly.

How is Tether Backed?

The Tether cryptocurrency is backed by its own reserves. This, in theory, helps increase the stability and reliability of the Tether currency. As such, for every Tether coin created, $1 USD in asset reserves are made to back this.

However, it’s important to recognize here that the Tether cryptocurrency does still fluctuate in value, despite the backing from the value of one US dollar. In addition, while the platform publishes its asset reserves daily, some regulators have expressed concerns regarding Tether’s audits (or lack thereof).

How Much is Tether Worth?

The total value of Tether is around $83 billion. However, each individual Tether coin is worth only around $1 due to the backing of the coin against the fiat USD currency (among others). As such, the value of Tether coins is relatively low compared to some other cryptocurrencies.

For example, in comparison to the next most popular currencies – Bitcoin and Ethereum – which are worth at least four figures each, the value of Tether is significantly lower as standard.

How Does Tether Work?

The Tether cryptocurrency works pretty simply, all things considered, which makes it relatively easy to follow. After purchasing Tether tokens with fiat currency, the appropriate number of Tether coins are issued at a rate of $1 per coin. These tokens last until they are traded with another individual or transferred into fiat currency.

If the Tether coins are transferred to fiat currency, they are completely destroyed from circulation, controlling the total number of tokens available. This system helps promote the stability of Tether coins while ensuring their number and value remain stable.

Can I Make Money with Tether?

Many people looking to invest in cryptocurrencies are doing so, hoping to buy low and sell at a high price down the line. However, this doesn’t really work with Tether coins since the currency is stable in value – and this means that you won’t be able to purchase Tether coins and resell them for a profit particularly.

Of course, there are some slight fluctuations in the value of Tether if you decide to purchase based on another fiat currency. For example, if you were to purchase Tether in Euros, you could potentially make a very small difference based on the value of the Euro against the US Dollar. However, if you purchase Tether with Dollars directly, you won’t make any money on the investment by reselling.

That’s not to say you can’t make money with Tether coins, though. While the primary use of Tether, as a stablecoin, is to maintain its value, some platforms and exchanges offer a small amount of interest on Tether, such as cryptocurrency lending platforms. As such, if you’ve purchased Tether and want to make a little money on the side, this could be a worthwhile option to consider.

Where Can I Buy Tether Cryptocurrencies?

If you decide to purchase Tether tokens, there are numerous places where you can purchase these stablecoins. Some of the most common cryptocurrency exchanges used to trade Tether tokens include Binance, Crypto.com, and Kraken. From there, purchasing Tether is roughly the same as buying any other cryptocurrency; simply create a buy transaction, including details of the amount you would like to purchase and wait for someone else to sell their Tether tokens.

And that’s it – you’ll now hold your new Tether tokens, which can be stored in most forms of crypto wallets (including hardware wallets, software wallets, paper wallets with two key pairs, and crypto exchanges).

Tether is also commonly used to trade with other cryptocurrencies. Roughly a staggering 50% of all Bitcoin transactions, for example, are executed with Tether, making these highly notable points to consider as part of your decision on whether or not to use cryptocurrency.

How Tether Can be Used to Bet at Casinos

In terms of using Tether tokens, it’s roughly the exact same as using any other form of cryptocurrency, but with the benefit of easy conversions. Indeed, since one Tether token is always worth roughly the same as one US dollar, it’s easy to estimate how much you’ll be spending. This also comes without the risk associated with other cryptocurrencies of spending a large sum before the fund falls in value (which can leave you effectively overspending).

The Benefits of Using Tether to Bet at Casinos

There are numerous benefits associated with using a cryptocurrency (such as Tether) to bet at tether casinos online, and this can make it a valuable option to consider. Of course, it’s worth considering that Tether isn’t quite as widely used for online betting as other cryptocurrencies, such as Bitcoin. Nevertheless, as the third-largest cryptocurrency, it could be worthwhile to consider using cryptocurrency instead of fiat currency for your betting.

Anonymity

If you want to ensure that your casino use remains anonymous, betting with cryptocurrency such as Tether is an excellent option to consider. Since Tether is fully anonymous, your casino bets can’t be directly traced back to you, helping provide an additional layer of discretion if you want to ensure that your casino passion remains private.

Speed

Many people hesitate about using cryptocurrencies for their casino payments out of concerns regarding the speed of transactions. However, if you have been concerned about this, don’t worry. Once you’ve connected your crypto wallet with the casino for the first time, subsequent transactions are completed incredibly quickly. As such, you won’t have to worry about whether your payment is handled quickly.

Secure

Thanks to the anonymity of Tether purchases, your security will not be compromised if a data breach should occur with your chosen casino provider. Even the biggest casinos can potentially be at risk of breaches, such as the data breach that exposed millions of Cubillion customers to data losses and reduced security.

Since Tether is fully anonymous, the only personal data at risk of a data breach will be the details stored on your account. As such, if you never use your personal credit or debit card for casino transactions, your financial data and information should be safer.

Range

As a further benefit, it’s worth keeping in mind that more casinos than ever are now accepting cryptocurrency payments, and this includes payments by Tether tokens. As such, if you choose to gamble with Tether, you won’t have to worry about missing out on your favorite games. There are countless options out there to make betting with Tether a simple and seamless process.

Final Thoughts

As a cryptocurrency investor, ensuring you have the most effective investment opportunities in place is highly important. However, in many cases, it’s not easy to work out what these are or how they look, which is why it’s so important to consider the different cryptocurrency options available and how they might relate to your unique requirements – no matter what they might be!

However, if you’ve been looking to use Tether as an investment opportunity or to bet at online casinos, it’s always worth remembering that your funds are not necessarily secure. So, only spend what you can afford to lose to stay on the safe side.