Cryptocurrency exchange Kraken has recently launched support for Tether (USDT), thus facilitating digital asset transfers and exchange for USD through its platform.
According to an official press release, Tether uses an Omni Protocol for its presence on the Bitcoin blockchain. Furthermore, the digital currency is backed up by fiat so that 1 USDT corresponds to 1 US dollar in value.
Pair USDT/USD is already available for trading on Kraken’s platform. In order to take advantage of the option, users need to go to Funding > Deposit > USDT and select “Generate New Address”. USDT is then ready to be sent from any Tether-enabled wallet.
It is up to buyers and sellers to determine pricing. Trading fees are between 0% and 0.20%. Kraken’s announcement further clarifies that prices for buyers are estimated on the basis of current sell orders, and vice versa. Hence, the exchange recommends the use of limit orders and careful consideration of the order book as an adequate price-formation strategy.