USDT stands for Tether, which is a stablecoin cryptocurrency designed to maintain a stable value pegged to the United States dollar. It's a digital asset that aims to provide a less volatile alternative to other cryptocurrencies by keeping its price close to $1.00 USD.
Key points about USDT:
Stablecoin:
Unlike many cryptocurrencies, USDT is designed to maintain a stable price, typically 1 USDT = $1 USD.
Pegged to USD:
Its value is intended to be closely tied to the US dollar, offering a more stable form of digital currency.
Widely used:
USDT is a popular stablecoin, frequently used in cryptocurrency trading and as a store of value.
Alternative to volatility:
USDT helps reduce the risk of price fluctuations associated with other cryptocurrencies.
Launched by Tether:
The stablecoin was created by Tether Limited Inc. in 2014.
Is USDT legal in India?
Yes, Tether (USDT) is legal to buy and hold in India, though it is not recognized as official currency. Transactions are legal as long as they are conducted through KYC-compliant platforms. You can buy USDT directly with INR through exchanges like Mudrex.
Key Points:
Legal Trading:
Trading USDT is legal if done through platforms that comply with Know Your Customer (KYC) regulations.
Taxation:
Crypto gains, including those from USDT, are taxed at a flat 30% rate in India.
