Imagine if a company could make its own money, adding billions to its balance whenever they wanted. Some people wonder if the creators of USDT—a very popular digital coin in the crypto world—might be able to do this. Could they simply create more USDT whenever they want, spend it as they please, or even influence the whole market?
USDT is a stablecoin, its mean its value is fixed to the US Dollar. The company behind USDT, Tether Ltd., cannot print unlimited coins. They can only create as many coins as they have enough reserves to back them up. These reserves are usually in the form of real-world assets like cash or other stable investments. So, Tether cannot make unlimited USDT coins without having actual value to support each one, ensuring the coin's value remains stable.
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