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Tether and its Presence in Sports

Tether (USDT) is a cryptocurrency (stablecoin) based on the Bitcoin blockchain, built to complement the Omni Layer Bitcoin platform. It is the digital equivalent of fiat – traditional – money, backed by a quote against the US dollar and the euro at a 1:1 ratio and usable as Bitcoin. The Tether currency is issued in an amount equal to the amount deposited into the bank account of Tether Limited.

Tether has the following features:

  1. Stability of quotes on stock exchanges, as a bank trust is used.
  2. Security. The currency is protected by cryptography.
  3. Equally available for both individuals and legal entities.
  4. Decentralization, openness.

Tether cryptocurrency features

A distinctive feature of Tether is the ability to use fiat currencies under cryptocurrency protection, which provides the anonymity of transactions and their high speed. Cryptocurrency support is provided by a bank trust in Taiwan, China.

Tether can store US dollars and euros, with their designation in the form of USDT and EURT, respectively. Users can store, send and receive money in Tether, as well as send and receive payments to Tether and Bitcoin wallets.

Wallet replenishment and withdrawal are available to users via bank transfer in US dollars. The exchange of Tether cryptocurrency is possible using various services.

The commission in this cryptocurrency is equal to 1 USDT or 1 EURT, depending on the currency used for the operation. No commission is charged for withdrawing funds.

Tether is also considered one of the safest cryptos to use. Most notably, there are Tether bookmakers that facilitate USDT betting and players can greatly benefit from that. In particular, the advantages that we have mentioned above, absence of commission fees is one of the main features, why people turn to the Tether cryptocurrency.

How is everything integrated in sports?

Like the many industries, where cryptocurrencies have firmly gained a foothold, the sport has been no exception. There are many teams and individuals that have separate partnership deals with providers of different services.

We can think about the Premier League clubs, as well as Israel Adesanya who is one of the most notable representatives that signed a partnership deal with a crypto bookmaker. In such a way we can deduce that crypto sponsorships are on the way.

While Tether is not as popular in terms of partnerships compared to other cryptocurrencies, the digital coin is rapidly developing. If we take a look at the latest events and price fluctuations there is a probability that sooner or later Tether will become one of the most demanded cryptocurrencies around the world.

Why do stablecoins matter?

Cryptocurrencies were supposed to become independent means of payment. So that they are not affected by asset values or fiat currency rates. However, this added high volatility to cryptocurrency rates. This volatility made it difficult to use cryptocurrency as a reliable means of making payments.

In order to somehow regulate the rate, they decided to tie cryptocurrencies to the value of assets that have long been established in the economy. Therefore, cryptocurrencies began to be pegged to oil, precious metals, and even fiat money.

In theory, a digital currency can be pegged to a commodity or valuable asset. This will support the value of the cryptocurrency with collateral. Cryptocurrencies that are tied to physical assets show less volatility, so they began to be called stable, and then stablecoins.

The cost of such coins is supported either by a certain cryptocurrency or by several at once. Of course, they do not have the same stability as fiat-based stablecoins, but the advantage is decentralization and ease of liquidation if necessary.

This type of coin is decentralized. Their rate is controlled by issuers using smart contracts. If necessary, the emission of coins is reduced or increased. Stablecoins pegged to fiat money

They cost the same as their fiat counterparts. One coin is equated, for example, to 1 euro, which acts as collateral that provides the value of the cryptocurrency. This type of stablecoins is protected from hacker attacks, and the rate has little volatility, centralization is a negative factor.

Tether is an old cryptocurrency from the distant 2014, created to combine the developing crypto market and stable currencies. It is backed up by fiat money, the safety of which is the responsibility of the bank in Hong Kong.