Looking to buy Tether (USDT) in Canada? This article covers how and the cheapest places to buy Tether right now.
The Tether stablecoin makes it easy to conduct cryptocurrency transactions on exchanges while maintaining the fiat value in funds you haven’t yet invested.
USDT has grown dramatically in popularity and is the third-largest cryptocurrency by market capitalization as of this writing.
What is Tether?
Tether is a stable currency backed 1:1 by the US dollar such that you can easily redeem your USDT holdings for the same value in USD fiat at any point in time.
For example, if you have 1,000 USDT, you should be able to convert it for US$1,000 if needed.
Because the value of Tether is pegged to the dollar, it does not fluctuate in price like other cryptocurrencies and can serve as a stable store of value.
USDT is not the only stablecoin making waves this year.
Crypto traders can also use USD Coin (USDC) and Binance USD (BUSD).
Tether was originally created in 2014 by Brock Pierce, Craig Sellars, and Reeve Collins. Learn more in this Tether review.
Where To Buy Tether in Canada
Several cryptocurrency exchanges and brokerage platforms offer Tether (USDT) in Canada. That said, exchanges seeking registration or regulation by Canadian authorities no longer offer it (similar to RAI and DAI).
Some of the best places to get Tether are:
Binance is the world’s largest cryptocurrency exchange. If you are looking to buy altcoins or stablecoins (e.g. USDT), the chances are that you will find them on Binance, as it supports more than 300 cryptocurrencies.
This platform also has its own coin known as BNB (Binance Coin). It is leaving Canada in 2023.
- Coins offered: Several, including USDT
- Funding options: Bank transfer, credit card, debit card, P2P, crypto, and several third-party payment channels.
- Fees: Varies depending on your account tier from 0.02% to 0.10%
- Offer: Get 20% discount on your trading fees
Binance is one of the cheapest ways to buy Tether in Canada. Note that the platform is leaving Canada in September 2023).
Learn more about Binance.
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Canadian Crypto Exchanges That No Longer Offer USDT
CoinSmart was established in 2018 and is one of a few crypto exchanges in Canada that supports multiple coins (Note that it no longer lists Tether).
You can also use the platform to buy USD Coin (USDC), and if your bank allows it, CoinSmart accepts credit card purchases.
- Coins offered: 16 coins
- Funding options: Interac e-Transfer, bank wire, bank draft, credit/debit cards, and crypto
- Fees: 0.20%; most deposits are free; 6% for credit cards; 1% fee for withdrawals
- Offer: Get a $50 bonus with your first $100 deposit
CoinSmart users can hold multiple currencies, including CAD, USD, and EUR.
Learn more in this review.
Newton is a cryptocurrency trading site that offers 70 different coins. It no longer supports USDT.
- Coins offered: 70+
- Funding options: Interac e-Transfer, wire transfer, and crypto deposits
- Fees: Price spread of up to 0.70%; free deposits and withdrawals
- Promotion: Get a $25 bonus after trading your first $100
Learn more details in this Newton review.
Crypto.com is available to users in multiple countries, including Canada. It supports more than 100 coins and also has its own native token, CRO.
In addition to cryptocurrency trading, you can use Crypto.com to stake your coins and earn interest or dabble in non-fungible tokens (NFTs). It also offers crypto credit cards.
- Coins offered: Several (no longer offers USDT in Canada)
- Funding options: Bank transfer, Interac e-Transfer, crypto, and others
- Fees: Vary depending on your account tier (up to 0.40%)
- Offer: Get a $25 bonus when you stake enough CRO for a metal crypto Visa card
NDAX is a top-rated crypto exchange offering 30+ coins. It no longer supports USDT.
It is also available via web and smartphone apps.
- Coins offered: Several coins
- Funding options: Interac e-Transfer, bank draft, wire transfer, and crypto deposits
- Fees: 0.20% trading fee; free deposits, flat low fee for withdrawals
Learn more about NDAX in this review.
How To Buy USDT in Canada
To buy Tether in Canada, you can either use a cryptocurrency exchange or brokerage that offers it.
Alternatively, there are also options to buy Tether directly from other individuals via peer-to-peer trading platforms or from a crypto ATM.
If you are using one of the USDT exchanges on this list, the steps are:
- Visit the crypto exchange to create an account. Generally, you are required to confirm your identity, and this process is often completed automatically.
- Add funds to your account using fiat. You can also deposit crypto from another exchange or external wallet.
- Search for USDT and place a market or limit order to buy the coin.
How To Store Tether
If you hold a large amount of the Tether coin, you should consider storing it safely using a hardware crypto wallet.
The most popular offline crypto wallets for Tether are Ledger and Trezor.
You can also keep your USDT on the exchange; however, this option may not be as secure.
Is Tether a Good Investment?
Tether has done very well in the last few years, becoming a top-5 crypto asset with a market capitalization of $83 billion as of July 2023.
It is not an investment in a strict sense, as its value is pegged 1:1 to the U.S. dollar.
That said, you could earn interest on your USDT holdings by staking them on platforms like Nexo, BlockFi, and Crypto.com.
It is worth noting that Tether has been the subject of a lot of controversies in recent times, including lawsuits that allege it misrepresented its 1:1 backing using traditional currency (i.e. US dollar).
Tether USDT Canada FAQs
You can buy Tether in Canada using Kraken, Binance, and a few other cryptocurrency exchanges.
Tether coins are supposed to be backed 100% by U.S. dollars. That said, this may not be the case at all times, and in Canada, Tether is not insured by the CIPF.
Yes, you can sell your Tether and withdraw the value in fiat currency.
Both USDT and USDC are stablecoins designed to serve similar purposes. That said, while USDT is more popular, USDC appears to be more transparent.
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Disclaimer: Cryptocurrency is a volatile and speculative investment. If you decide to invest, we recommend you do your own research and only commit funds you can afford to lose. The author may own one or more of the crypto assets mentioned in this article.