The cryptocurrency that could take off soon and that nobody talks about (yet)

With the drop in value of the Turkish lira, people in Turkey are diving into the cryptocurrencies. What this What’s Ahead segment finds really interesting is that the favorite cryptocurrency in Turkey right now is Tether.

Why? Because Tether is a stable currency (stablecoin), which is a kind of cryptocurrency which is linked to a specific asset, in the case of Tether, the dollar. A stable currency, properly structured and transparent about the assets that support it, is ideal for commercial transactions.

In other words, stablecoins will challenge the government monopoly on money. Turkey has banned the use of cryptocurrencies as a form of payment. But such bans will ultimately fail. While Turkey’s case is extreme, inflation is everywhere and people will increasingly look for alternatives to government money.

What is Tether and what is this crypto

Tether converts cash into digital currency, to anchor or tie value to the price of national currencies such as the US dollar, euro, and offshore Chinese yuan.

“Each Tether token is always 100% backed by our reserves, which include traditional currency and cash equivalents and, from time to time, may include other assets and receivables from loans made by Tether to third parties, which may include entities affiliates (collectively, “reserves”)”, they explain from the official site of the cryptocurrency.

Each Tether token is also pegged 1-to-1 to the dollar. “The value of our reserves is published daily and equals or exceeds the value of all bonds in circulation,” they explain.

According to the site specialized in cryptocurrencies CoinDesk, “Tether is the latest and perhaps the most prominent project attempting to use the functionality of the blockchain as a ledger to move digital tokens that represent real currency.”

Whaté  they questioned Tether and what was the reaction of the crypto

What was Tether questioned and what was the reaction of the crypto

Launched in 2014, Tether is a blockchain-enabled platform designed to make it easy to use fiat currencies digitally. It works to disrupt the conventional financial system through a more modern approach to money. Tether has advanced by giving customers the ability to transact traditional currencies via the blockchain, without the inherent volatility and complexity typically associated with a digital currency. As the first blockchain-enabled platform to facilitate the digital use of traditional currencies (a stable and familiar unit of account), Tether has democratized cross-border transactions via blockchain.

How does Tether work?

Tether tokens exist as digital tokens based on the bitcoin (Omni and Liquid Protocol), Ethereum, EOS, Tron, Algorand, SLP, and OMG blockchains. These transport protocols consist of open source software that interacts with blockchains to enable the issuance and redemption of cryptocurrency tokens, in our case “Tether tokens”.

Tether platform coins are 100% backed by Tether reserves. Tether tokens can be redeemed and exchanged in accordance with Tether Limited’s terms of service. The conversion rate is 1 Tether token equal to 1 USD.

Tether was originally created to use the Bitcoin network as its transport protocol, specifically the Omni Layer, to enable tokenized traditional currency transactions. Since this original version of Tether uses the Bitcoin blockchain, it inherits the inherent stability and security of the older blockchain network.

On the Ethereum blockchain, as an ERC20 token, Tether functions as a newer transport layer. The token is available in Ethereum smart contracts or decentralized applications on Ethereum. As a standard ERC20 token, it can also be sent to any Ethereum address.

Since Tether tokens are currently available using different transport protocols, when users send Tether tokens to other addresses, they should carefully check the destination address to confirm that they are selecting the correct transport protocol.

Solana enteredó  in the top ten cryptocurrencies and establishedó  a new value record - Cointribune

Tether (USDt) became the first stablecoin to be launched in Solarium.

Tether (USDt) became the first stablecoin to be launched in Solarium, an ultra-high-speed layer 1 blockchain. According to Solana, Tether holders will be able to trade Tether at speeds in excess of 50,000 transactions per second, often for less than $0.00001 per transaction, on the Solana network.

The integration of USDt in the Solana network will facilitate the creation of decentralized finance Low-cost, ultra-high-speed DeFi. In addition to Solana, USDt is also compatible with Algorand, Ethereum, EOS, Liquid Network, Omni, Tron, and the standard Bitcoin Cash accounting protocol.

Solana is one of the fastest growing blockchains by both market capitalization and usage. Project Serum, a fully functional decentralized exchange with trustless cross-chain trading backed by FTX and Alameda Research, Torus, a seamless key management system, and Chainlink, the leading decentralized Oracle network, have announced planned integrations with Solana.

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*With information from ForbesUS.

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