How to Buy Tether (USDT)7-min read

Tether (USDT) is the largest stablecoin by market cap and has become a popular choice among cryptocurrency traders looking for a more stable digital asset. Whether you’re a beginner or a seasoned investor, Tether offers a safe haven amidst the volatility of other cryptocurrencies like Bitcoin and Ethereum. Here’s an updated guide on how you can buy Tether in India, along with some top brokers and exchanges.

In This Guide:

1. Introduction to Tether (USDT)
2. Where to Buy Tether in India and Abroad
3. What Is Tether?
4. What Are Stablecoins?
5. How to Buy Tether in India
6. Choosing the Right Tether Exchange for You
7. Vetting Our Recommended Brokers
8. How to Store Your Tether Safely
9. Is Tether a Good Investment?
10. Other Stablecoins
11. Tether Taxation in India
12. What to Know Before Buying Tether
13. Tether’s Market Cap
14. Investing Responsibly
15. Conclusion

Introduction to Tether (USDT)

Tether is a stablecoin pegged to the US dollar, providing a stable value that contrasts with the volatility of traditional cryptocurrencies. Amid increasing regulatory scrutiny of other stablecoins, Tether has seen its market cap grow significantly, reflecting investors’ confidence in its reliability.

With the uncertainties that come with the crypto market, Tether provides a measure of stability, especially for those who want to protect their portfolio from the wide swings seen in Bitcoin, Ethereum, and other altcoins. Let’s explore the best brokers for buying Tether in India and how to make an informed decision on where to trade.

Where to Buy Tether in India and Abroad – Best Brokers in December 2024

We have conducted a comprehensive analysis, considering various crucial factors to come to decision that the most reliable and efficient Tether brokers are the following:

Binance

Overview: Binance is one of the largest and most well-known cryptocurrency exchanges globally, offering a comprehensive list of cryptocurrencies, including Tether (USDT). Binance’s popularity comes from its low trading fees, liquidity, and advanced features, making it suitable for both beginners and experienced traders.

Features:

• Wide Range of Payment Methods: Supports payments via UPI, bank transfer, and credit/debit cards, providing multiple convenient options for Indian users.
• P2P Trading: Offers peer-to-peer (P2P) trading, where users can buy Tether directly from other users using INR.
• Advanced Tools: Advanced charting and trading features cater to those looking for more sophisticated trading options.

Pros:

• Low trading fees.
• Extensive trading options and advanced features.
• High liquidity for quick transactions.

Cons:

• Requires identity verification, which can take time.
• The user interface might feel overwhelming for beginners.

CoinDCX

Overview: CoinDCX is a popular choice among Indian crypto traders due to its user-friendly platform and local payment integrations. It supports a variety of cryptocurrencies, including Tether (USDT), and allows easy transactions using INR.

Features:

• Instant Buy: Purchase USDT instantly using INR with minimal steps.
• Security: Implements two-factor authentication (2FA) and insurance on assets for enhanced security.
• Mobile App: The CoinDCX mobile app allows traders to buy, sell, and store Tether conveniently.

Pros:

• Local payment support through UPI and bank transfers.
• User-friendly interface, ideal for beginners.
• Strong emphasis on security and asset protection.

Cons:

• Limited advanced trading features for pro users.
• Verification process can take up to a few days.

WazirX

Overview: WazirX is one of India’s most popular cryptocurrency exchanges and offers a wide selection of digital assets, including Tether. Its integration with Binance has expanded its global accessibility while maintaining the convenience of local payment methods.

Features:

• Local Payment Methods: Supports Paytm, UPI, and bank transfer, making deposits and withdrawals straightforward for Indian traders.
• User-Friendly Interface: Designed to cater to both beginners and advanced traders, with a focus on ease of use.
• Staking Options: Allows staking of other cryptocurrencies, though staking is not available for Tether.

Pros:

• Simple KYC process for account verification.
• High liquidity and active market for Tether.
• Easy integration with popular Indian payment methods.

Cons:

• Slightly higher trading fees compared to some international exchanges.
• Withdrawal fees may vary depending on the network.

CEX.IO

Overview: CEX.IO is a global exchange that has gained popularity for its easy-to-use platform and the ability to purchase Tether directly with a range of payment options. It is well-regarded for its stringent security measures and stable trading environment.

Features:

• Multiple Payment Options: Accepts credit/debit cards, bank transfers, and even e-wallets for buying USDT.
• Security: Known for having a clean security record, with advanced protocols like 256-bit encryption.
• High Liquidity: Provides a high liquidity rate for Tether, ensuring users can buy or sell with ease.

Pros:

• Easy access to Tether with multiple payment options.
• High liquidity and a simple sign-up process.
• Strong focus on the security of user assets.

Cons:

• Requires full identity verification, which may deter some users.
• Fees are on the higher side compared to other exchanges.

KuCoin

Overview: KuCoin is a global exchange that supports a wide variety of cryptocurrencies, including Tether. It is known for its competitive fees and an extensive array of features for traders at all levels.

Features:

• Trading Bots: Allows automated trading with its in-built trading bots, helping users maximize their trades without needing constant monitoring.
• Variety of Tokens: Supports a wide variety of cryptocurrencies beyond Tether, allowing traders to diversify easily.
• Flexible Payment Methods: Accepts a range of deposit options, including bank transfers, credit cards, and P2P.

Pros:

• Competitive trading fees.
• Wide range of cryptocurrencies supported.
• Built-in trading bots for automated trading.

Cons:

• Not as beginner-friendly as some other platforms.
• Requires identity verification for higher withdrawal limits.

What Is Tether?

Tether, abbreviated as USDT, is a popular stablecoin pegged to the US dollar. Per its official website, Tether is supported “100% by Tether’s reserves”. This means that for every USDT token in market circulation, there’s an equivalent of $1 held in assets.

Despite this claim, Tether has faced legal action in recent years over its ability to back up its tokens with a sufficient dollar reserve. However, the matter appears to have been put to bed in 2021 after a US CFTC (Commodity Futures Trading Commission) investigation concluded that Tether could only partially back these claims.

Unlike other tokens like Bitcoin and Ethereum, Tether is stable in times of market volatility.

However, the question remains- are stablecoins genuinely stable? We answer this question in the section below.

What Are Stablecoins?

Stablecoins are cryptocurrency assets whose market values are pegged to other asset classes, such as fiat currency or gold. In the case of Tether, the equivalent currency is the dollar. Other popular stablecoins include USD Coin and Dai.

Stablecoins combat traditional cryptocurrency volatility by tying token values to more stable stocks or assets. Most stablecoin projects have reserves where they securely store the equivalent backup assets.

These real-world assets serve as collateral and provide liquidity for the respective stablecoins. In times of market uncertainty, stablecoins provide stability and mobility for investors and trading activities on exchange platforms. This is where they differ from regular tokens.

Here are some primary utilities for stablecoins over other cryptocurrencies:

• Real-world asset-backing
• Remittances or any other method of transferring assets digitally
• Liquidity for DeFi projects
• Easily transferable across multiple exchange platforms
• Capital storage
• Reduced market volatility

How to Buy Tether in India

To buy tether in India, you can follow these quick and easy steps:

1. Choose a broker
2. Create an account
3. Deposit fiat
4. Search for Tether (USDT)
5. Buy cryptocurrency
6. Begin trading

Several brokers are out there, each offering its assortment of cryptocurrency tokens. Tether is the largest stablecoin by market cap, so it is available on all major exchanges.

After you have chosen your preferred broker, you can go ahead to create an account. You will be required to provide basic contact information, such as your full name and verify your account via an email address.

Most cryptocurrency exchange platforms require two-factor authentication to provide an additional security layer on accounts. Here, you must provide valid identification such as an ID card, driver’s licence or passport. Depending on the exchange platform you choose, you may have to wait between 48 hours and a few days before your account is fully verified.

After this, you can deposit fiat to make your first Tether purchase. USDT is a stablecoin, so you can expect its value to remain constant across all brokerages. Today, many exchanges allow users to buy crypto with credit cards to take advantage of this quick and easy option.

Now that you’ve purchased Tether, you can go ahead to explore the multiple trading options available!

Choosing the Right Tether Exchange for You

When buying Tether, a crucial factor is a type of investment you wish to make, your investment capabilities and what your expectations are. For instance, you must determine whether you want to participate in day trading or futures trading.

Some exchanges allow you to practice with various trading tools in a demo account before starting the real thing, which will come in handy for newbies.

Other factors to consider include payment methods and ease-of-use features. Also, you want to be on the lookout for secure platforms with robust encryption protocols.

Vetting Our Recommended Brokers

Our recommended brokers are CEX.IO, and Binance. These three where selected through a highly analytical and critical vetting system with the aim of helping our readers narrow their choices to these platforms.

We’ve rigorously checked the profiles of these brokers, having opened trading accounts on each one, testing them for security, trading fees, withdrawal times and a variety of payment options. In addition, we’ve closely examined every detail of their terms and conditions to validate strict compliance with the relevant regulatory framework.

Moreover, we received and aggregated the relevant feedback from their users and verified each claim and complaint.

As an investor seeking to choose the right exchange platform, it is essential to check out reviews and learn all there is to know about the best cryptocurrency trading platforms before making any deposit.

This is important for your safety and cybersecurity, as the cryptocurrency industry is still very much unregulated.

How to Store Your Tether Safely

Exchange platforms offer an online crypto wallet for you to store your tokens securely. However, history has shown that storing your valuable tokens on exchanges is not very safe, as there have been several instances of hacks involving major brokers with millions of dollars worth of cryptocurrency stolen. CEX.IO stands out among our recommended options as they have never been hacked.

Using a cold crypto or Bitcoin wallet is the best way to store your Tether safely. These hard drive-like devices are totally secure and store your valuable tokens safely offline until you’re ready to transfer them.

Is Tether a Good Investment?

Today, Tether issues tokens backed by other tokens, such as the Chinese Yuan and the Euro. However, neither have the considerable market cap that USDT (the dollar-pegged Tether) has.

Tether differs primarily from other cryptocurrencies like Bitcoin and Ethereum in its purpose as a stablecoin and value. While Ethereum and Bitcoin may experience wildly fluctuating spells of price volatility, Tether’s value remains relatively stable, making it a good form of investment. New crypto coins are always popping up on the market, so be sure to keep an eye out for them so as not to miss out on any time-sensitive investment opportunities!

Tether boasts a market cap of nearly $70 billion, a considerable share of the overall crypto market.

Other Stablecoins

You should note that an asset rather than actual capital backs Tether. Thus, it may not be as stable as some other modern stablecoins, some of which include:

• Circle
• USDC
• True USD
• Binance USD

Tether Taxation in India

Although the government recently introduced a taxation scheme on crypto profits, their willingness to be involved rather than ban it outright is a sign that the government is well on its way to fully adopting it.

What to Know Before Buying Tether

Tether is a stablecoin, and it is thus relatively free from the ravages of market volatility. This, more than anything else, draws investors to the token.

However, you should never forget to check on professional review sites like Coinbharat to follow the latest developments and make informed trading and investment decisions.

Tether’s Market Cap

Tether’s market capitalization is over $65.5 billion, making it the third largest crypto asset by market value, after Bitcoin and Ethereum. This remarkable growth reflects Tether’s versatile utility and global acceptance, with USDT now accepted as a payment method on many exchanges and for many services. As the world’s biggest stablecoin, Tether continues to prove its value as a reliable, cost-effective and secure form of digital currency.

Investing Responsibly

As an investor, you should never forget to invest responsibly. Rather than follow the crowd and trend, make investments and conduct trades only after intensive research. Furthermore, understand that the market is highly volatile, so caution should be your watchword always.

Conclusion

Buying Tether is quick and easy, provided that you choose the right broker. As it is a stablecoin, its value is pegged to a real-world asset (the dollar in this case). Thus, it doesn’t fluctuate as wildly as tokens like Ethereum and Bitcoin.

Here are the key takeaway points from this piece:

• Tether is not volatile like other cryptocurrencies
• Make adequate research and visit review websites to decide the best exchange platforms to buy Tether
• Tether is legal in India
• A hard wallet is the best way to store your tokens safely

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions.