What is stablecoin tether and how is it controlled by people?

5 answers

• Nov 26, 2021 · 3 years ago
  Stablecoin tether, often referred to as just 'tether', is a type of cryptocurrency that is designed to maintain a stable value by being pegged to a reserve of real-world assets, typically the US dollar. It is controlled by a centralized entity called Tether Limited, which issues and manages the tether tokens. Tether Limited claims that each tether token is backed by an equivalent amount of fiat currency held in its reserves. The control over tether lies in the hands of Tether Limited, as they have the authority to mint new tokens, redeem existing tokens, and manage the reserves. This centralized control has raised concerns about transparency and the potential for manipulation in the cryptocurrency market.
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• Nov 26, 2021 · 3 years ago
  Tether is a stablecoin that aims to provide stability in the volatile cryptocurrency market. It is controlled by Tether Limited, a company that issues and manages the tether tokens. The control over tether is centralized, which means that Tether Limited has the power to create new tokens or withdraw them from circulation. The company claims that each tether token is backed by a corresponding amount of fiat currency, but there have been controversies and doubts surrounding this claim. Critics argue that the lack of transparency and audits raises questions about the actual reserves backing tether. Despite the controversies, tether remains one of the most widely used stablecoins in the cryptocurrency market.
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• Nov 26, 2021 · 3 years ago
  Tether, also known as USDT, is a stablecoin that is controlled by Tether Limited. Tether Limited is the company responsible for issuing and managing tether tokens. As a stablecoin, tether is designed to maintain a 1:1 ratio with the US dollar, providing stability in the cryptocurrency market. The control over tether lies in the hands of Tether Limited, as they have the authority to create new tokens or redeem existing ones. However, it's important to note that tether has faced criticism and scrutiny regarding its transparency and the actual reserves backing the tokens. Other stablecoins, such as USD Coin (USDC) and DAI, offer alternative options for those who are concerned about the control and transparency of tether.
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• Nov 26, 2021 · 3 years ago
  Tether, the stablecoin often denoted as USDT, is controlled by Tether Limited. Tether Limited is the company responsible for issuing and managing tether tokens. The control over tether is centralized, meaning that Tether Limited has the power to mint new tokens and manage the reserves. Tether is designed to maintain a stable value by being pegged to the US dollar, with each tether token representing one US dollar. However, concerns have been raised about the transparency and auditability of tether's reserves. It's important for users to exercise caution and do their own research when considering the use of tether or any other stablecoin in the cryptocurrency market.
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• Nov 26, 2021 · 3 years ago
  Tether, also known as USDT, is a stablecoin that is controlled by Tether Limited. Tether Limited is a centralized entity that issues and manages the tether tokens. The control over tether lies in the hands of Tether Limited, as they have the authority to create new tokens and manage the reserves. Tether is designed to maintain a stable value by being pegged to the US dollar, with each tether token representing one US dollar. However, there have been concerns and controversies surrounding the transparency and auditability of tether's reserves. It's important for users to be aware of these issues and make informed decisions when using tether or any other stablecoin in the cryptocurrency market.
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