Betting on Tether for Ultimate Crypto Stability

How to Buy and Sell Tether [USDT], the Best Crypto for Gambling Online.

How to Buy and Sell Tether [USDT], the Best Crypto for Gambling Online.

Of all the major altcoins to come out of the blockchain in the last decade, none seem to elevate so many eyebrows as Tether [USDT]. Its name and abbreviation combine to tell the story of its creation. Its name derives from its creators’ intention to “tether” its value to that of the US Dollar. Check any crypto market, and the value of USDT should always be equal to US$1.00.

If there’s one thing that bit of data should tell you, it’s that USDT is not a crypto for investors. Its price is not volatile. There is no “dip” to buy; no “rip” to sell. It will (or at least, should) always be worth the same as the value of the US Dollar. So unless the USD suddenly begins fluctuating like the heartbeat of a tachycardic patient, (in direct comparison to CAD, EUR, GBP, and other foreign currencies), Tether will never achieve prime value as a commodity.

The good news about that – Tether is the perfect medium for low-cost payments. Anyone looking to use a digital token to purchase goods or services will appreciate the lack of risk it involves. That assessment applies doubly to playing blackjack and other gambling games at crypto casinos with USDT. Gambling alone has its risks. Most crypto currencies come with risk as well. Tether eliminates the inherent risk of traditional crypto, so that only the inherent risk of gamlbing remains.

In the following text, we’ll teach you a lot more about this exceptional crypto. You’ll learn how to buy it, sell it, and even place bets in USDT. We’ll start with a brief history lesson that includes why the US government are so upset about its creation…

History of Tether – A Coin for the Digital Revolution

In July 2014, a trio of digital pioneers, Reeve Collins, Brock Pierce and Craig Sellars, founded a new crypto currency they called RealCoin. It was designed as a “stablecoin”, meaning quite simply that it’s value should remain stable. In order to give it a stable value, it had to be tethered, or linked, to the value of a fiat currency. They chose the United States Dollar (USD). To better clarify its purpose, they soon re-branded it Tether, taking on the abbreviation USDT.

One of the earliest stablecoins to appear in the crypto market, Tether was built on the Mastercoin (Omni) protocol; originally a Bitcoin stabilization protocol layer. Obviously, Bitcoin did not adopt this protocol. For Tether, it was a match from Heaven.

Tether soon became the first to pioneer a revolutionary concept that became known as a “fiat-collateralized” stablecoin. To this day, Tether is by far the world’s most popular stablecoin. But Tether did not grow to be so fashionable without some major hiccups.

An End to Years of Bad Press Points to Bright Future for USDT

For years, Tether was scrutinized for failing to divulge fiancial audits that would prove it had adequate reserves to back the value of USDT. Up until November 2018, the company maintained its crypto was backed 100% by USD, yet repeatedly failed to disclose its banking relationships. This didn’t sit well with the crypto community, already plagued by issues of trust in digital monetization.

During the course of a multi-year legal proceeding, the company finally came clean. No, they were not backed by 100% USD. As it turns out, that was a lie. As of March 2019, according to an update to Tether’s disclosure statement, we now know the truth. USDT’s backing consists of 100% reserves, including fiat currency, cash equivalents, and/or assets and receivable loans.

It took Tether’s founders a while to prove that statement; largley due to having cut off relations with their previous auditing firm. A February 2021 Independent Accountant’s Report confirms Tether’s Consolidate Reserves Report was accurate in stating: “The groups consolidated assets exceed its consolidated liabilities.”

The following month, Tether and Bitfinex settled their 2-1/2 year legal battle with the New York Attorney General’s Office. The matter revolved around Tether loaning Bitfinex US$850 million. Details of the transaction were not disclosed, leading customers to believe Tether no longer had the funds to back their USDT holdings. According to the details of the settlement, Tether was never behind in funds. It did, however, lack sufficient transparency in the deal; something the company promises to deliver in all future dealings.

Of worthy note, Tether did not lose marketability throughout the proceedings. In fact, during that 2-1/2 year period, market capitalization rose from US$2 billion to US$34 billion; a testament to the faith of its customers, and bellwether to the company’s future success.

Surprise! US Gov. Bans Americans from Tether Platform

In a surprising turn of events, Tether, a digital mimicry of the US Dollar, is no longer capable of serving US residents. As of January 1, 2018, Americans can trade USDT on exchange services, but cannot buy or sell USDT directly through Tether LTD or its native platform.

An exception to this rule exists only for those who qualify as an Eligible Contract Participant (ECP). Tether’s statement of qualification as an ECP explains:

“An Eligible Contract Participant includes a corporation that has total assets exceeding $10,000,000 and is incorporated in a jurisdiction outside of the United States or its territories or insular possessions. This will be the principal basis upon which we will continue to do business with selected U.S. persons.”

Other Countries Where the Tether Platform is Prohibited

According to its website, Tether adheres to “all government compliance and regulations,” including “regulations and economic sanctions that prohibit transactions from persons and entities connected to certain high-risk jurisdictions.”

As such, the company states “persons domiciled or resident in the following jurisdictions are prohibited from using the Tether platform”. They include:

Crimea, Cuba, Iran, North Korea, Pakistan, Singapore, Syria, Venezuela, and (unless qualifying as an ‘ECP’, as outlined above) the United States.

Two Ways to Buy Tether [USDT]

Tether is a unique crypto currency in that users cannot mine it. It only exists when someone puts up collateral, such as fiat currency, in exchange for it. As such, there are only two ways to get your hands on it. You can either buy it directly from Tether LTD, or you can purchase it through a crypto currency exchange that supports USDT trading.

How to Buy USDT from Tether LTD

We do not recommend opening an account with Tether unless you intend to move large sums of currency on a very regular basis. A Tether account is meant mostly for wealthy individuals or businesses that want to be able to transact in digital currencies, thereby adding value to their business model. It involves certain verifications and fiat withdrawal fees that would seem elaborate to a recreational user of crypto.

Tether Trading Platforms

All the major crypto exchanges support Tether – Binance, Bitfinex, Coinbase, Kraken, etc. When choosing an exchange, your options are virtually limitless. Consider what it is you desire most from a trading platform and shop around for the most suitable one.

Is Tether Anonymous?

No. Tether is stable and cost-effective, but it is not anonymous. Of the two ways to buy it – via Tether Ltd or crypto exchange – both require account registration and ID verification. Thus, your purchase and use of USDT can and will trace back to you.

Why USDT is the Best Crypto for Gamlbing Online

Of all the different fiat and crypto currencies you could use to gamble online, there’s really only one good reason to choose Tether. As a stablecoin, the value of USDT is as reliably steady as any major fit currency (i.e. USD). Just because you enjoy gambling on casino games, doesn’t mean you should have to gamble on the value of the currency you intend to gamble with. Some of you might like the additional risk, but it’s not for everyone.

As far as Tether casino availability, I’ve got good news. While they’re not as readily available as Bitcoin casinos, you’ll find support for USDT deposits and withdrawals at about three-fourths of Canada’s most reputable crypto casinos.

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George Thomson is a Bitcoin enthusiast and all around crypto currency nerd... When he's not busy researching crypto, he likes hiking the national parks of British Columbia . He lives in an eco-friendly home with his wife Jana and their two daughters, Sandra and Rose. His favorite word is "sustainability".
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