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Tether USDT as payments to of freelancers
March 21, 2022
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Tether USDT cryptodollars for deposits and withdrawals of freelancers on 2UPWORK
USDT is the first and most sought-after stablecoin, released in 2014. Stablecoins are a special type of cryptocurrencies that differ from others by a fixed value pegged to fiat assets. For example, USDT is backed by the US dollar. The volatility of the token varies from 0.01 to 1% per day, however, the exchange is always carried out at the rate of 1 USDT=1 USD.
The issuer of USDT is Tether Limited. The key goals of creating a stablecoin are:
- creation of an analogue of fiat money in the cryptocurrency industry, which makes it possible to simplify mutual settlements;
- development of a stable and reliable alternative to other popular digital assets;
- providing investors and traders with the opportunity to convert digital assets into fiat at a ratio of 1:1;
- minimization of market risks;
- simplification of bank transfers, including international ones.
In other words, in today's reality, Tether LTD has managed to create a convincing link between the traditional financial sector and the digital economy. It is worth noting that the popularity of USDT is growing exponentially. Back in the spring of 2021, the total capitalization of the project amounted to 39 billion USD, and at the time of writing this article, this value has overcome the mark of 72 billion USD.
How is the USDT cryptocurrency popular?
As mentioned earlier, the main fiat collateral for USDT is the US dollar, however, over the past 6 years, this fact has repeatedly become a reason for rumors and criticism from users against the issuing company. This is partly due to the fact that Tether Limited made adjustments to its token collateral policy in 2019. Since 2019, USDT continues to be issued at a fixed cost of 1 USD, however, it is only 74% backed by fiat currency. The remaining 26% of the collateral falls on “other assets and potential income from loans issued by the issuer”. It is noteworthy that for 7 years an independent audit of Tether LTD has never been carried out, which, perhaps, was the reason for the negative on the part of users.
Despite this, the issuing company always fulfills its financial obligations to customers in a timely manner, but reserves the right to refuse to provide services at its own request if the user does not comply with the terms of transactions.
USDT is the link between the cryptocurrency market and fiat resources. Stablecoin today, without much exaggeration, can be called an integral part of the industry. Its use will allow you to purchase and exchange cryptocurrencies at a clear rate, as well as pay for goods or services in cryptocurrencies and use the capabilities of services that do not accept fiat funds (rubles, US dollars, euros, and others). By the way, Tether Limited was not limited to issuing only USDT. There are cryptocurrencies whose value is pegged to the yuan, euro, and even gold, but they have not gained such popularity among a wide range of users as USDT.
That is why 2UPWORK has chosen USDT as payment for employees and freelancers.
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