The Curious Case of USDT
Hello World
If you are new to this crypto word and never heard or knew about USDT then this post will help you fully understand it's important aspects. If you are a veteran of this crypto world and knew everything about USDT then please feel free to comment down below and help me and others to get educated.
USDT(Tether) - USD Pegged Currency
Tether is also known as Stable Coin because it is designed to worth 1USD always as the company claims that every USDT is backed with a Dollar. That doesn't means that having a USDT would give you rights to withdraw it for Dollar.(Controversial)
- The Omni USDT
- The ERC20 USDT
- The TRC20 USDT
- The EOS USDT
- The Algorand USDT
1. The Omni USDT
OMNI USDT is the earliest USDT, In January 2012 J.R. Willett described the possibility of building new currencies on top of the Bitcoin Protocol and published its whitepaper online. This was the first time world came to know about any cryptocurrency which was going to pegged with USD. That time it was named as "Realcoin" later on they decided to change its name.
On 6 October 2014, The first tokens were issued on the Bitcoin blockchain. This was done by using the Omni Layer Protocol, that's we call it "The Omni USDT".
The Omni USDT starts with 1 or 3 and can be stored in Bitcoin Wallet. As the miner fees, It requires at least 0.0001 BTC for transferring. Currently it is only used by a small number of people, which requires high miner fees and slower transfer speed.
2. The ERC20 USDT
It is the USDT issued by Tether based on the ETH network. Its deposit address is the ETH address, with deposits and withdrawals taking place on the ETH network. The protocol of USDT-ERC20 is the ERC20 protocol.
ERC20 USDT has the largest number of users. Most platforms use ERC20 tokens, transferring ERC20 USDT requires at least 0.001 ETH as the miner fee. The ERC20 USDT address starts with 0x
You can check this website https://ethgasstation.info/ for best miner fees for ERC20 as you can set different percentage and it would ultimately affect the speed of your transaction.
3. The TRC20 USDT
It is the USDT issued by Tether based on the TRON network. The currency deposit address is the TRON address, with deposits and withdrawals taking place on the TRON network. The USDT-TRON (TRC20) uses the TRC20 protocol, The TRC20 USDT address starts with T.
Transferring TRC20 USDT requires "energy" in the TRX wallet, or consuming a small amount of TRX as miner fees. TRC20 USDT has the second highest number of users, with the fastest transfer speed and the lowest miner fee. However, some exchanges do not support this type of USDT.
4. The EOS USDT
It is the USDT issued by Tether based on the EOS network. The currency deposit address is the EOS address, with deposits and withdrawals taking place on the EOS network. The USDT-EOS uses the EOS protocol.
5. The Algorand USDT
It is the USDT based on the ALGO network. But the currency deposit address is different from ALGO deposit address. with deposits and withdrawals taking place on the ALGO network. The USDT-Algorand uses the EOS protocol.
Fun Facts about USDT
Tether’s claims that its virtual currency was fully backed by U.S. dollars at all times, was a lie
On 30 April 2019 Tether Limited's lawyer claimed that each tether was backed by only $0.74 in cash and cash equivalents
In 2019, Tether surpassed Bitcoin in trading volume with the highest daily and monthly trading volume of any cryptocurrency on the market.
I know there so many information still missing this post and I want you to help me find out and comment those here. I would really appreciate your kind efforts. Till then
Stay Safe Stay Happy Stay Blessed
PEACE
Posted Using LeoFinance Beta
In 2017, it was used for some pretty shady shit iirc.
About $31 million of stolen USDT tokens?
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