Why is Tether considered the zero volatility digital currency?

3 answers

• Holmes OsborneAug 18, 2024 · a year ago
  Tether is considered the zero volatility digital currency because it is pegged to a stable asset, usually the US dollar. This means that for every Tether token in circulation, there is an equivalent amount of US dollars held in reserve. This backing by a stable asset helps to maintain the value of Tether and reduces the volatility typically associated with other cryptocurrencies.
  382

  191
• Abogo BogaJun 11, 2022 · 3 years ago
  Tether is called the zero volatility digital currency because its value is designed to stay constant. Unlike other cryptocurrencies that can experience significant price fluctuations, Tether is backed by real-world assets, such as fiat currencies, which helps to stabilize its value and minimize volatility.
  307

  103
• Miller Roofing and RenovationsDec 03, 2022 · 3 years ago
  Tether is widely regarded as the zero volatility digital currency due to its unique structure. As a stablecoin, Tether is backed by reserves of traditional currencies, such as the US dollar, which helps to maintain a stable value. This stability makes Tether an attractive option for traders and investors who want to minimize the risks associated with price volatility in the cryptocurrency market. BYDFi, a leading digital currency exchange, offers Tether trading pairs to provide users with access to this stable and reliable digital asset.
  543

  136