What is USDT?
USDT, also written USD₮, is the US dollar stablecoin issued by Tether. Tether states that its tokens are pegged one to one to the dollar and backed 100% by its reserves, and USDT circulates on many blockchains, including Tron and Ethereum. Example (round numbers): a trading company receives 50,000 USDT on Tron from a customer. It checks that the tokens come from Tether's Tron contract and from the customer's known address, then converts them to dollars.
- USDT is Tether's dollar stablecoin; Tether states each token is pegged one to one and backed 100% by its reserves.
- At 31 March 2026 Tether reported US$183.4 billion of USDT issued, total assets of US$191.8 billion and excess reserves of US$8.23 billion.
- Redeeming directly with Tether requires at least 100,000 dollars and costs the greater of 1,000 dollars or 0.1%, after a 150 dollar verification fee.
- Tether no longer issues or redeems USDT on Kusama, Bitcoin Cash SLP, Omni, EOS and Algorand.
- AMLBot counted 7,268 addresses blacklisted by Tether from 2023 to 2025, with US$3.29 billion frozen.
How USDT works
Tether issues USDT to verified customers who deposit dollars and redeems it for dollars. Its transparency page publishes circulation daily, and it releases quarterly attestation reports on its reserves. Tether states that USDT on one blockchain should be treated as equal to USDT on another, but a transfer only works on the network both sides support.
| Point | What Tether publishes |
|---|---|
| Backing | Pegged 1-to-1 and backed 100% by Tether's reserves; assets exceed liabilities |
| Size, 31 March 2026 | US$183.4 billion issued; total assets US$191.8 billion; excess reserves US$8.23 billion |
| Direct acquisition or redemption | Minimum 100,000 dollars; acquisition fee 0.1%; redemption fee the greater of 1,000 dollars or 0.1%; verification fee 150 dollars in Tether tokens |
| Networks | Including Tron (TRC20), Ethereum (ERC20), Solana, Ton, Aptos, Near, Tezos, Polkadot, Celo, Kaia and Avalanche |
| Tron contract | TR7NHqjeKQxGTCi8q8ZY4pL8otSzgjLj6t |
| Ethereum contract | 0xdac17f958d2ee523a2206206994597c13d831ec7 |
Sources: Tether, Transparency; Tether, Q1 2026 attestation; Tether, Fees; Tether, Supported protocols. As published on 29 October 2026.
Where a business meets it
USDT is common in corridors where customers and suppliers already hold it, often on Tron. The business question is rarely the token alone: it is whether the company may lawfully receive it, which network to use, and how quickly to convert. Tether can freeze addresses; the risk for an ordinary business is receiving tokens from an address that is later frozen. See how to accept USDT payments and converting USDT to USD.
Common mistakes
- Using a dropped network. Tether no longer redeems USDT on Kusama, Bitcoin Cash SLP, Omni, EOS or Algorand.
- Not screening senders. Record each customer's sending address and check it before accepting the first payment.
- Running out of TRX. USDT on Tron is a smart contract token, so transfers consume resources paid in TRX; see network fees.
- Keeping large balances. USDT is not a bank deposit; convert what you need for suppliers and payroll.
Related terms and how Helm handles it
USDT is a stablecoin. Helm lets a company receive, send and convert USDC and USDT to USD inside its account, where the company may lawfully use them.
Open a Helm account
USD, EUR and GBP accounts in your company's name, with a named account manager.
Open accountQuestions
Who issues USDT?
Tether. Tether states that its tokens are pegged one to one with the dollar, backed 100% by its reserves, and that its assets exceed its liabilities.
Can a business redeem USDT directly with Tether?
Only verified customers can. Tether's published minimum is 100,000 dollars, the redemption fee is the greater of 1,000 dollars or 0.1%, and verification costs 150 dollars in Tether tokens.
Which network is best for USDT?
Use the network your counterparty and your provider both support. Tron and Ethereum are among the networks Tether supports; Tether no longer redeems USDT on Kusama, Bitcoin Cash SLP, Omni, EOS or Algorand.
Can Tether freeze USDT?
Yes. AMLBot counted 7,268 addresses blacklisted by Tether from 2023 to 2025, with US$3.29 billion frozen. Screening senders and converting promptly reduces the exposure.
References
- Tether: Transparency
- Tether: Q1 2026 attestation release, US$8.23B reserve buffer (1 May 2026)
- Tether: Fees
- Tether: Supported protocols and integration guidelines
- AMLBot: Stablecoin freezes 2023 to 2025, a data-backed analysis of USDT vs USDC
This guide is general information for businesses, not financial, legal or tax advice. Rules, fees and timings were checked against the sources listed on the review date and may change.