The World's Most Popular Stablecoin
Tether (USDT) is a cryptocurrency with a value meant to mirror the value of the U.S. dollar. The idea was to create a stable cryptocurrency that can be used like digital dollars. Coins that serve this purpose of being a stable dollar substitute are called “stable coins.” Tether is the most popular stable coin and even acts as a dollar replacement on many popular exchanges!
According to their site, Tether converts cash into digital currency, to anchor or “tether” the value of the coin to the price of national currencies like the US dollar, the Euro, and the Yen. i.e. every Tether is supposed to be backed by dollars kept in reserve in a 1:1 ratio (this being a big selling point and a potential problem in the otherwise rather untethered and decentralized crypto space).