USDT (Tether) is the world's most popular stablecoin. It is ranked third in the list of cryptocurrencies by market capitalization (more than $113 billion), second only to such giants as Bitcoin and Ethereum. Crypto owners appreciate it for its convenience, reliability and low rate fluctuations.
We explain what USDT is, how to withdraw stablecoin from a cryptocurrency wallet or exchange, and what is important to consider when choosing an exchange platform.
What Is Tether (USDT)?
Tether is a stablecoin. Unlike traditional cryptocurrencies, it is backed by tangible assets on which its value depends. In the case of USDT, that asset is US dollars, to which the coin is pegged at a 1:1 ratio.
Tether was created as the cryptocurrency equivalent of the dollar. While its exchange rate is still subject to fluctuations, they are minimal compared to other cryptocurrencies. This makes it a poorly performing investment tool, as the owner loses the opportunity to capitalize on volatility.
Nevertheless, many users are interested in how to use and withdraw USDT. Thanks to its stability, Tether is a convenient tool for paying for goods and services while maintaining the advantages of cryptocurrency: security, low transaction processing fees, anonymity, and independence from sanctions restrictions.
What to Consider When Withdrawing Funds?
When cashing out Tether, it is recommended to take into account a few basic aspects:
- Reliability. Some services allow you to withdraw USDT, but not all of them are safe: a crypto owner may encounter a low level of protection against hacker attacks and fraud.
- Rate and fees. Although Tether is a stablecoin, its exchange rate may differ on different platforms. You should also consider the USDT withdrawal fees and ensure there are no hidden fees.
- Limit. Each USDT withdrawal platform sets its own rules, including restrictions on withdrawal amounts. It would help if you familiarized yourself with the terms and conditions of a particular platform in advance.
- Supported fiat currencies. When withdrawing USDT to a card, it is necessary to make sure that the platform works with the required currency and supports the required payment method.
The Main Ways of Withdrawing USDT
Online exchangers
They are centralized platforms where users can exchange USDT for fiat currency. Most often they operate as a website, but sometimes you can find them in the format of Telegram bots.
The main disadvantage of online exchangers is the rate. They often differ from the official one not for the better, so the client can lose a few percent of the original amount when exchanging.
To exchange cryptocurrency for fiat money on such platforms, you need to select the available digital currency, specify the required amount and bank details for receiving money. The procedure usually takes a couple of minutes.
Nevertheless, the platforms' exchange rate can differ up and down. To compare different platforms, you can use exchangers-monitoringс services. They help you choose the most favorable exchange conditions.
Offline exchangers
Offline exchange is a service offered by online exchangers. The client submits an application on the service's website, and after it is approved, comes to the office, transfers the necessary amount in cryptocurrency, and receives fiat currency in cash.
You can find such exchangers in most major cities. This withdrawal method's main advantage is the possibility of directly exchanging cryptocurrency for cash.
P2P exchange
P2P trade means that one user transfers USDT to another user, and the other user transfers the corresponding amount in fiat currency. The main advantage of the method is flexibility. P2P platforms usually have a lot of offers, among which you can find a suitable option for yourself.
The disadvantage is that you may not find people willing to exchange the required amount. You will have to adjust to the needs of other users — for example, to break the exchange sum into several parts, which is not very convenient and takes extra time. Besides, there is always a risk of encountering scammers.
Exchange on a P2P exchange usually happens as follows:
- The user places an ad for the sale of cryptocurrency, specifying the price and quantity.
- The system selects a buyer whose requests are similar to the offer.
- The required amount of funds is temporarily frozen on the merchant's account.
- The buyer makes payment in a convenient way for both parties.
- The funds are unfrozen after the transaction is confirmed and transferred to the buyer's wallet.
If both parties do not confirm the transaction, the cryptocurrency is returned to the seller.
Among the most popular P2P platforms are the following: Binance, Bybit, HTX (Huobi), KuCoin, Garantex, MEXC, Bitget, Gate.io.
Crypto ATMs
Cryptocurrency ATMs are a convenient way to get cash in exchange for Tether or other currency. They offer security and high exchange speeds.
Unfortunately, like offline exchangers, they are not really widespread. Statista estimates that there are only about 37,000 crypto ATMs around the world.
OTC services
OTC platforms (over-the-counter) act as intermediaries for direct currency exchange between crypto owners. They do not depend on centralized exchanges and often offer lower commissions than such platforms.
The main feature of OTC exchanges is large transactions. For example, on Binance, the minimum amount is $200,000. The amounts operated by users can reach millions. As a rule, such transactions are difficult to make on exchanges, where there are limits on the volume of transactions, and the site's reserves are limited.
Withdrawing USDT From Bybit Exchange
The exchange operates in 160 countries and has more than 37 million users. Crypto owners can withdraw funds from Bybit, trade, participate in P2P trading, use structured products and other tools.
In order to make a withdrawal from Bybit, you will need to:
- Open the P2P trading tab. Click «Buy Crypto» — «P2P» in the navigation bar.
- Find an offer. On the «Sell» page, find the match by amount, currency and payment method.
- Select an offer. Click «Sell USDT» on the desired option.
- Specify the amount. Enter the amount of USDT or fiat currency and click «Sell».
- Wait for payment. The buyer is given 15 minutes to complete the payment.
- Confirm the transaction. Once payment is received, click «Send Now» to send USDT to the buyer.
Converting USDT to Fiat Currencies
To withdraw funds, a crypto owner can use the services of an exchange, an exchanger, an OTC service, a platform for P2P trading, or a crypto ATM. These options have different pros and cons, so it's better to consider them thoroughly before working with a certain service.
