You trade your currency for USDT so that you can do the BTC/USDT trade, however each time you trade your currency for USDT, Tether has an obligation to buy US Treasury bonds to cover the swap.
Thus when you trade your fiat in for USDT you're ultimately just buying a T bond digitized and take that inflation on board.
And relying on Tether to maintain their reserves and honor the peg.
well that's the thing right; let's say holders sell all their USDT, then what happens to those T-bonds priced at 3, 5 or 10 year?
It's a balancing act, but Tether could also *not* be holding the reserves they say they do...
I'm not expert in this topic but there are another variable. if I buy BTC in my local currency I'm overpaying a lot. so for me only option is to buy USDT and then BTC/USDT
