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Tether (USDT) is what we refer to as a “Stablecoin” and is designed to maintain a stable price at all times. Tether Limited developed the USDT crypto, which aims to act as the internet’s equivalent of the US dollar. Each token is valued at $1 USD and is supported by $1 USD in real assets. Every day, millions of blockchain users use Tether to trade, hedge, and conduct transactions across several blockchain networks without the assistance of a reliable third-party middleman.
Basically, stablecoins are a type of crypto that aims to provide price stability through collateralization or algorithmic systems that buy and sell the reference asset or its derivatives. They can be linked to a currency, such as the US dollar, or to the price of a commodity, such as gold. Stablecoins often mirror traditional fiat currencies maintained in a designated bank account, such as the dollar, euro, or Japanese yen. They can be utilized as a means of exchange and a form of storage of wealth instead of being used solely for speculative investments.
Due to the high amount of risk associated with crypto, many institutions avoid doing business with digital currency exchanges. This is where stablecoins enter the picture. By allowing crypto to function as a store of value rather than a high-risk investment, stablecoins strive to eliminate the intense volatility issues of the crypto sector.
As of end-Jan 2024, USDT is the third-largest cryptocurrency by market capitalization, worth more than $94 billion.
Let’s see what Tether is and how you can buy USDT in India.
How to Buy USDT With INR in India?
Below are a few simple steps you can follow and buy the USDT token in India with WazirX, India’s most trusted and widely used crypto exchange.
The best way to buy USDT tokens is by depositing INR in your WazirX wallet. Alternatively, you can also buy USDT using P2P trade; to get answers to all your queries related to the P2P trade, click here!
Step 1 – Sign-Up on the WazirX platform
To begin buying and selling USDT, you are required to create an account on the WazirX platform by signing up. Also, you can directly login if you have an account already on the platform.
For your reference, here’s how you can open an account on WazirX.
Step 2 – Set up your account security by verifying your email address.
This step is about verifying your email address. After you sign up on the WazirX platform, you’ll get a verification link on your registered email. By clicking on that link, you’ll get two options to ensure the security of your account – the authenticator app and mobile SMS.
Note: The authenticator app is a more secure way to stay safe when compared to mobile SMS because there’s a risk of delayed reception or SIM card hacking.
Step 3 – Complete the KYC process.
After choosing your country, you can proceed with completing the KYC process. Click here for a detailed overview.
Note: You must complete your KYC to be able to trade P2P or withdraw funds on the WazirX app.
Step 4 – Add funds to your WazirX wallet.
To add funds, simply go to your account on the WazirX app or web. Click on “Funds” and then on “Deposit INR.”
You can deposit INR using any mode (NEFT/ RTGS/ IMPS).
You can also buy USDT through P2P to the WazirX wallet. The USDT will act as funds to help you buy your favorite Cryptos.
Step 5 – Finally, buy USDT on WazirX.
You can now easily purchase USDT tokens using INR Deposits. In the case of P2P trade, check the USDT to INR rate from here.
After logging in to your WazirX account, you can choose INR from the “Exchange” tab. You can also check all the price charts, order book data, and an order input form on the right side of the screen.
Click “Buy” after entering the amount and checking the total INR amount to be paid.
Your order will be placed according to the price you have input. And, in the case of P2P trade, a seller willing to sell at a price will be notified, and then you can exchange the tokens using P2P.
It might take a few minutes for the order to be completed, but as soon as it is executed, you will receive the USDT Tokens you purchased in your WazirX wallet.
Is Tether a Worthy Investment?
Tether has become one of the most well-known and widely recognized cryptos in recent years. Tether is underpinned by commonly used fiat currencies, such as the US dollar, yen, and euros. Consequently, now is the right moment to consider investing in Tether, with the potential for substantial gains in 2024 and beyond.
Tether is considered a wise investment choice for the future due to its remarkable transparency and price stability when contrasted with other cryptos. Tether was created to bridge the gap between traditional fiat money and cryptos while fostering a dependable, transparent, and user-friendly ecosystem.
Tether (USDT) wide acceptance in online transactions exists. Additionally, it might gain more popularity among traders on various crypto exchanges.
Compared to conventional banks and financial institutions, Tether facilitates swift and cost-effective transfers. While Bitcoin and Ethereum are generally too volatile for everyday transactions, Tether emerges as a logical choice.
Tether is commonly acknowledged as a sound investment option for various reasons. It streamlines the transition from traditional assets to crypto investments and can serve as a dollar substitute.
One of the key attractions for users is Tether’s reputation as a relatively secure crypto, even considered more secure than the stock market. It’s worth noting that its value remains notably stable, but a solid investment hinges on the potential for asset value appreciation, not just stability.
Frequently Asked Questions
USDT is a fiat-collateralized stablecoin which is pegged 1:1 to the U.S. Dollar. Each USDT is backed by one US dollar worth of assets and can be used like any other token on the chain it's issued on. Tether provides transparency, stability, and low fees for users, bridging the gap between fiat currencies and blockchain assets.
To convert USDT to BTC, you can use the WazirX web/mobile app. First, go to the "exchange" option and select BTC from the list of tokens available in the USDT market. Then, fill out the buy order form and click on "Buy BTC".
To withdraw USDT to a bank account, you can transfer your USDT to an exchange that supports the withdrawal of USDT to a bank account. Then, you can initiate a withdrawal request and provide the necessary information such as the bank account number, name etc. The withdrawal process may take a few days to complete.
The most popular ways of converting USDT to cash are through leading crypto exchanges or peer-to-peer platforms, which provide different payment options like bank account transfers, card payments, and UPI. USDT can be easily exchanged for other Crypto or fiat on licensed crypto exchanges such as WazirX. Many top exchanges support this digital asset because of its prominence and market share.
P2P (peer-to-peer) on WazirX is a feature that enables users to buy or sell USDT directly from/to other users on the WazirX platform without the involvement of a third-party intermediary.
To create a USDT wallet, you have two options. Either you can choose:
- a crypto exchange or
- a dedicated wallet provider.
To purchase Tether (USDT) in India, the best way is to register on a licensed and regulated Crypto exchange that lists and offers USDT trading. Any such exchange that has listed Tether on its platform will allow for the exchange of INR for the stablecoin or other digital assets. Deposits of INR can be made via various secure methods such as Bank Transfer, Debit/Credit Card, and UPI deposit for quick purchase of USDT. Here's a step by step guide on the same: https://wazirx.com/blog/how-to-buy-tether-usdt-coin-in-india/
When a user puts fiat money into Tether's reserve, using that money to buy USDT instead of fiat, Tether then issues tokens representing that same digital amount. The USDT can then be shared, stored, or traded.According to a 1-to-1 dollar parity, if a customer deposits $100 in the Tether reserve, they will receive 100 Tether tokens. However, when users redeem Tether tokens for fiat money, the coins are destroyed and taken out of circulation.
You can buy Tether (USDT) in India at a crypto exchange like WazirX. It is trusted by almost 1.3 Crores Indians and is considered one of the best exchanges in India that works continuously to improve its features and user experience.