How to buy USDT (Crypto)?
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Are you planning to get into crypto? USDT (Tether) is a popular stablecoin pegged to the US dollar, making it a suitable entry point for both new and seasoned investors. Since its value is linked to the USD, it is stable and less volatile than other cryptocurrencies.
Whether you are looking to earn profits, build your financial portfolio, or send money across borders, buying Tether USDT is a straightforward process.
This post explains what USDT is, why investors are buying it instead of using USD or other cryptos, how to buy it safely, and the important things to watch out for before purchasing.
What is Tether USDT?
USDT is a stablecoin launched by Tether Limited in 2014. It is different from cryptocurrencies like Bitcoin because its value doesn’t fluctuate due to market volatility. It maintains its value, as it is pegged to the USD at a 1:1 ratio.
Tether Limited fully backs the USDT with its reserves, which include traditional currencies, cash equivalents, and other assets. You can trade USDT on most major cryptocurrency exchanges, making it easier for traders to arbitrage prices across trading venues.
The digital asset can be used to send money across borders with low fees. Thus, it is ideal for remote workers, freelancers, or family remittances. Some online stores also accept USDT as a payment method, allowing global customers to make payments without traditional currency conversions.
Why use USDT Tether instead of USD or other cryptos?
- Stable value: USDT Tether is a stablecoin because its value remains close to $1, unlike other cryptos, which fluctuate significantly when the market rises or falls.
- Faster transfers: USDT is easier and quicker to transfer to any part of the world without the need for bank intermediaries. The service is available 24/7.
- Lower fees: Generally, the expense of transferring USDT is lower than sending USD through a bank or using other cryptocurrencies.
- Easier access: USDT is available on most cryptocurrency exchanges, making it easy to trade or use for purchasing other cryptocurrencies.
How to buy USDT Tether Coin?
Step 1: Choose a crypto exchange or wallet
There are numerous cryptocurrency exchanges online, allowing for the sale and purchase of USDT. Identify one with a strong reputation for reliability and security. Review the platform’s features, fees, and how the process works before getting started.
Also, decide if you want to use a centralised or decentralised exchange. A centralised entity regulates a centralised exchange, whereas a decentralised exchange allows peer-to-peer (P2P) trading.
Step 2: Sign up and verify your identity
After you have identified the best crypto exchange, create your user account by completing the registration formalities. You may need to verify certain details, such as your name, Social Security number, and other forms of identification. The process can take a few days.
Step 3: Fund your account
Once your account is created and verified, you need to deposit funds to start trading. You can deposit funds via bank or wire transfers or use credit cards. You can also buy USDT with your existing cryptocurrency holdings.
Step 4: Buy USDT
Click on USDT on the exchange and start the buying process. Decide how much USDT to purchase, review the full transaction details — including fees — and confirm your order.
Step 5: Store your USDT Tether coin
You can either store your USDT Tether with the exchange or transfer it to a secure wallet. Transferring it to a secure wallet protects you from any hacks on the exchange’s website.
Where to buy USDT: Best platforms
The best platforms to buy USDT Tether are:
Kraken
Kraken is a well-established and trusted cryptocurrency exchange serving millions of users worldwide. The platform is a preferred choice for beginner and experienced traders. It offers over 230 cryptocurrencies, including USDT.
Further, the trading fees are low, ranging from 0 to 0.26% per trade. Its security features are excellent, guaranteeing peace of mind on every transaction.
Coinbase
Coinbase has an easy-to-use interface and is one of the world’s largest cryptocurrency exchanges. It is a beginner-friendly platform and allows you to trade a large variety of cryptocurrencies and stablecoins.
Its world-class security measures ensure all your transactions are safe and your money is in safe hands. The platform also offers a Learn and Earn program, which helps new investors earn free crypto while getting to know the blockchain ecosystem.
Gemini
Gemini is one of the few cryptocurrency exchanges available in all 50 US states. It is known for its commitment to regulatory compliance, which means you will never incur a problem with your transaction.
The interface is clean and intuitive, making the journey easy for new traders. You can trade over 100 cryptocurrencies, including USDT, on Gemini.
Binance
Binance is one of the world’s most popular cryptocurrency exchanges due to its extensive offering of digital assets. Its trading fee is relatively lower compared to other platforms, making it too attractive for investors.
Besides, its default fees are only 0.10% per trade, which is one of the lowest in the industry. Binance also provides discounts on these trading fees to its Binance Coin (BNB) holders, who use the coin to pay the fee.
Uniswap
Uniswap is a decentralised exchange. Unlike the other platforms listed above, it provides liquidity to users by approving transactions via smart contracts.
On Uniswap, you can buy USDT using MoonPay, a service that accepts credit cards and bank transfers. Some transactions may not require KYC verification.
Things to watch out for
Before investing in Tether, here are some things to know and consider:
Choose the trading platform or marketplace wisely
Many platforms allow the buying and selling of Tether. However, before you buy USDT Tether coins, assess the different platforms to determine which one is the best option for you. Check out the platform’s accepted payment methods, currency options, regulatory compliance, and transaction fees. It would be better to steer clear of hidden charges later.
Understand the risks of cryptocurrency and formulate a crypto strategy
Just like any other investment, cryptocurrency trading comes with risks, which means you could lose the money you have invested. Therefore, evaluate your risk tolerance and invest only the amount you can afford to lose.
Prepare a crypto trading strategy and stick to it. Most of these investments are for the long term, so look for platforms that seem credible to do so. Also, be cautious of crypto investment scams.
Understand the taxation for USDT
Stablecoins, such as USDT, are subject to taxes like other cryptocurrencies. You will need to pay capital gains and income tax on the capital gains you earn (though it is likely that the capital gain will be close to 0).
Evaluate the stability of USDT
Tether USDT is pegged to the US dollar at a 1:1 ratio, which increases the digital asset’s reliability. Its value increases when the dollar rises and decreases when the dollar falls.
While profitability isn’t always guaranteed, the investment is a safer option that investors can opt for. This is especially true for new cryptocurrency investors who want to exercise caution when spending their hard-earned money.
Identify the purpose of the investment
You can buy USDT for various reasons, including trading, saving, transferring, or mitigating volatility. Ensure you understand the purpose, as it helps you select the right wallet, platform, and amount.
For instance, it is beneficial to use Tether to exchange for other cryptos and transfer money because you earn interest when you lend your crypto out. So, focus on the purpose of the investment.
Beware of scams and phishing attacks
Avoid fake websites, apps, or wallets that mimic real platforms. Don’t click on suspicious links, and always verify URLs. Read the site’s terms, policies, and details to ensure it’s legitimate.
Use a secure wallet
Where you store your USDT is as crucial as where you buy it from. Find a reliable wallet after understanding its features. Never store large amounts of USDT on exchanges for long periods due to hacking risks.
Conclusion
Tether USDT is one of the most widely adopted stablecoins due to its low volatility. It is pegged to the USD at a 1:1 ratio. The digital asset is used for trading to buy and sell cryptocurrencies. It is also accepted at many online and offline stores, making cross-border payments easier.
Tether has a market capitalisation of $63 billion, which means there are approximately 63 billion coins in circulation. The company backs the asset with cash reserves, which means it cannot be mined.
To buy USDT Tether, you can visit any cryptocurrency trading platform today. These platforms allow users to utilise a variety of payment methods, including bank transfer, credit card, debit card, Apple Pay, Google Pay, and more. However, choose a trading platform cautiously. Assess the platform’s safety, check the transaction fees, and review the features that store your assets securely.
Before you go..
Buying USDT Tether is a smart decision for investing, saving or making cross-border transactions. However, don’t ignore the cost of currency conversion. When you pay in a foreign currency, such as USD, foreign exchange (FX) fees and hidden charges can reduce the value of your investment.
This is where trusted fund transfer platforms, such as Instarem, come in. With affordable@ fees, quick** transactions, and no hidden charges, Instarem helps you convert your funds from to USD (or vice versa) in a secure manner without any surprises.
For your added convenience, you can now send funds to 60+ countries within minutes by downloading the Instarem app from the Google Play Store or App Store.
FAQs
Can I buy USDT from INR?
Yes, you can buy USDT from INR through different cryptocurrency exchanges. You can start with as little as ₹100.
How to buy USDT from another country?
You can purchase USDT from abroad using exchanges and apps like Coinbase, Binance, Kraken, MoonPay, Uniswap, and Gemini — most of which accept your local bank currency.
Is Tether the same as USDT?
Tether is a stablecoin, a cryptocurrency launched in 2014 by Tether Limited Inc. USDT or USD₮ is its currency code.
Are USDT and USD the same?
No. The USD is the fiat currency of the United States, whereas USDT, also known as Tether, is a stablecoin. While 1 USD always equals 100 cents, the value of USDT can vary slightly depending on the fiat currency used and the trading market conditions.
Where can I buy USDT without fees?
Some cryptocurrency trading platforms, such as KuCoin, BitPay, and MiniPay, claim to offer zero-fee peer-to-peer (P2P) trading. However, make sure you go through the details of every transaction before proceeding.
Is USDT safe?
USDT is considered relatively safe because it is pegged to the USD at a 1:1 value. Moreover, Tether claims to back it with reserves like cash, bonds, and other equivalents. It is available on almost every major cryptocurrency exchange with high liquidity and flexibility.
What does USDT stand for?
USDT stands for United States Dollar Tether. It is the ticker symbol for the Tether stablecoin cryptocurrency.
Who owns Tether USDT?
Tether USDT, a cryptocurrency, was launched by Tether Limited. Tether Limited is owned by the Hong Kong-based company iFinex Inc., which is also the owner of the cryptocurrency exchange Bitfinex.
How to buy USDT on Binance?
To buy Tether USDT on Binance, follow the steps mentioned below:
- Create a user account on the Binance app or website.
- Enter the amount of Tether USDT you wish to buy and choose your preferred payment method.
- Verify the transaction details and fees.
- Fill out your payment information.
- Store your Tether USDT coin in Binance.
How to buy USDT with a credit card?
All major cryptocurrency exchanges allow you to buy USDT with a credit or debit card, including cards linked to your Google Pay or Apple Pay.
You can either enter your credit card details on the platform’s website/app or redirect to Google Pay and select your credit card as the payment method to complete the transaction.
How to buy USDT with USD?
To buy USDT with USD, just select USD as your payment currency on your chosen exchange or trading platform.
Disclaimers:
- This article is intended for informational purposes only. All details are accurate at the time of publishing. Instarem has no affiliation or relationship with the products or vendors mentioned.
- *Quick meaning 75% of our transactions are completed in 15 minutes. Depending on the funding method.
- @ When it comes to affordable exchange rates and fees, it’s worth noting that the cost will vary depending on how you choose to fund your transactions. Credit card funding and bank transfer fees can differ significantly.
