Advantage & Disadvantage of Tether

Advantages

some may wonder why anyone would use USDT, Because USDT essentially provides little to no opportunity for capital profits. In reality it is a useful alternative to local currencies for a lot of reasons.

One of the main advantages of USDT is the transaction times. Regular USD fundings and withdrawals made through foreign exchanges can take couple of days to process and can be extended due to a host of other factors. Unlike Tether, its transactions are completed in minutes.

Foreign currency exchanges average fees of $29, and if your currency is not normally approved by the exchange then an extra charge on top of that is needed. In  Tether transactions, nothing is required between Tether wallets.

Ultimately cryptocurrencies are known for their price volatility, whereas USDT price is stable.  rather than being concerned with the price of Ethereum or Bitcoin, you are simply concerned with the price of the USD this is a big advantage. In addition, the perceived lack of risk can be extremely appealing.

Disadvantage

The biggest disadvantage related to USDT is due to Tether Limited’s inability to provide proof that each token is backed at a 1:1 ratio with USD. In fact, the company changed the statement on its website to reflect the fact that there is not a USD for every USDT issued, but instead may be backed by assets or receivables from loans made by Tether to third parties.

At present there are very few exchanges that USDT is directly convertible to USD, and if you wish to go through Tether directly you are required to have a $100K lowest  and will be charged considerably