Tether, often denoted as USDT, is a prominent and widely adopted stablecoin that entered the cryptocurrency scene in 2014. Designed to provide stability and mitigate volatility, Tether maintains a peg to the value of the US Dollar. Every USDT token in circulation is allegedly backed by an equivalent amount of real-world fiat currency held in reserves, ensuring a 1:1 ratio between Tether and the US Dollar. <br><br>Due to its fiat-backed nature, Tether has become a reliable bridge between the worlds of traditional finance and cryptocurrencies. Traders and investors often use it as a safe haven during periods of market turbulence, as it allows for quick conversions between cryptocurrencies and fiat currencies without the need for onerous banking processes.