[Updated 10.2023]

What is USDT?


USDT stands for Tether USD. It is a cryptocurrency that is pegged to the US dollar, meaning that its value is designed to remain as close to $1 USD as possible. USDT is one of the most popular and widely used cryptocurrencies in the world, and it is often used as a stablecoin. Stablecoins are cryptocurrencies that are designed to have a relatively stable price, making them ideal for use in transactions and for storing value.


How does USDT work?


USDT is issued by Tether Limited, a company that is based in Hong Kong. Tether Limited claims that it holds US dollars in reserve for every USDT token that is issued. This means that, in theory, USDT tokens can be redeemed for US dollars at any time. However, there have been some concerns raised about the transparency of Tether Limited's reserves, and some people believe that USDT is not as fully backed by US dollars as it claims to be.


ERC20 and TRC20 versions of USDT


USDT is available on two different blockchain networks: Ethereum and Tron. The ERC20 version of USDT is built on the Ethereum blockchain, while the TRC20 version of USDT is built on the Tron blockchain. ERC20 and TRC20 are token standards that allow different tokens to be compatible with each other and with the Ethereum and Tron blockchains, respectively.


The main difference between the ERC20 and TRC20 versions of USDT is their transaction fees. ERC20 transactions can be quite expensive, especially during periods of high network congestion. TRC20 transactions, on the other hand, are much cheaper.


How to use USDT


USDT can be used for a variety of purposes, including:


  • Trading other cryptocurrencies: USDT is often used to trade other cryptocurrencies on cryptocurrency exchanges. This is because USDT is a stablecoin, so traders do not have to worry about the value of their USDT fluctuating wildly.

  • Making payments: USDT can also be used to make payments to merchants who accept cryptocurrency. This is a convenient way to make online and offline payments without having to use fiat currency.

  • Storing value: USDT can also be used to store value. This is because USDT is designed to have a stable price, so it is a good way to protect your savings from inflation.

Where to buy USDT


USDT can be purchased from a variety of major cryptocurrency exchanges, including the WhiteBit exchange.


You can safely acquire more EDCOIN (EDC) from WhiteBit exchange.