But this must be said: Cryptos are always volatile assets. USDT was designed so that the US dollar could be digitized and used on the blockchain by financial businesses, such as cryptocurrency exchanges, wallets, payment processors and financial services. The Fiat and Centralization Curse For the simple reason that the Tether is generated after fiat is deposited somewhere, the question of anonymity cannot be wished away. Do not trade in cryptos what you cannot afford to lose. Kraken Cryptocurrency Exchange. Trade with USD on Binance. For example, the company could go bankrupt, its funds could be frozen or its bank could go bankrupt.