Hello Steemians, it is another week for the Crypto Academy students as we embark on another lectures with the proficient lecturer @yohan2on.

Homework Task 6: Write about any of the following stable coins.
Tether ( USDT)
Steem Backed Dollar (SBD)
DAI
Before we go any further, let me first explain what a stable coin is.

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What is a Stable Coin?

These are cryptocurrencies whose assets are at a fixed value. Just as the name sounds, so it is. No matter how volatile the market is, these coins remain at their said price, that does not mean that they change, thought the market fluctuates, it is rare to see them change. It is backed by reserved assets and has a minimal market price volatility. For the purpose of the homework task, I will be talking about Tether (USDT) in a layman terms.
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TETHER: In Cambridge Dictionary terms, Tether means to tie someone or something, especially an animal to a post or other fixed place with a rope or chain. Using this meaning in relation to Cryptocurrency world , your assets are tied or fixed to a particular price in the blockchain which individuals are connected via the internet. This helps investor who are scared to invest in Cryptocurrency, seeing as their money would not be lost. They are backed by a fiat currency, the US Dollar, all USDT tokens are 100% backed by Tethers reserves.
Tether was previously founded on July 2014 under the name Realcoin but was changed to Tether on 24 November, 2014. It was co-founded by Brock Pierce, Reeve Collins and Craig Seller

Features of Tether (USDT)

• Tether has a Stable Market: Tether (USDT) token is backed by a corresponding fiat currency like the US Dollar with a ratio of (1:1);1USDT is to 1 US Dollar, they hardly leave their position. With this unique feature, Cryptocurrency traders can store and exchange their assets with conviction that their values will still stand. If you want to convert 100 US Dollar to Tether (USDT). You will get the same amount as USDT (100 US Dollar= 100 USDT) and vice versa when exchanging.

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• Security: Because of its minimal volatility, traders are given opportunity to buy USDT and HODL it without the fear that the volatile market would affect even when the market is Bearish. Cryptocurrency traders can also focus on their other activities or business without worrying about their investment because they are sure that it will be the same.

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• They are transparent.

Tether Lawsuit

On April 24, 2019 The New York State Attorney filed a lawsuit against Tether and BitFinex over a loss of 850 millions dollars a combination of Clients and Corporate funds when the invested funds of the 850 million dollars was given to a payment processing company called Crypto Capital Corps that didn't seem legit and the money was not accounted for again. When Tether and BitFinex was questioned they claim was tied up in a series of assets freezes being enforced by multiple foreign government on Crypto Capital Bank account which was discovered to be fraud.

Tether Market

The live Tether price as at the time of write up is 1 USD with a 0.2% increase in the last 24 hours. It's 24 hour trading volume is 104,593,968,776 with a Market Cap of 38,769,860,164 USD. It has a circulating of 38,651,725,382. BixFinex is the current most active market trading USDT.

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USDT Exchange Pairs.

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I hope with this explanations, one can understand what USDT is all about if they want to venture into Cryptocurrency investment.

#yohan2on-week6 #cryptoacademy #stablecoins #Nigeria #cryptocurrency