Covesting has separated USDT (Tether) and US dollars (fiat) and migrated account balances to reflect the segregation.
Although the value of 1 USDT is claimed to be pegged to 1 US dollar, it can fluctuate on exchanges, sometimes significantly. For this reason, Covesting handles USDT (Tether) and real USD balances separately, dealing with USDT as we would any other cryptocurrency. Many cryptocurrency exchanges offer USD trading pairs while in fact, the trading is performed and calculated in USDT. On the other hand, Covesting's exchange clearly segregates USDT (Tether) and US dollars.
Users can trade with USDT (Tether) pairs on the Exchange and we have now updated all USDT trading pairs to reflect that they are indeed traded in USDT and not USD (fiat).
All previous trading history and account balances have been updated to show that they are USDT transactions.
To calculate the indicative value of an asset in US dollars, Covesting assesses the cross rate between USDT and USD. This article explains in detail how an asset value is calculated using the cross rate methodology.
In the user interface of your account, wherever you see a value with the US dollar sign ('$') or 'USD,' this value is reflected in US dollars (fiat) by applying the USDT/USD cross rate calculation, thus it indicates your assets' real value in US dollars. Likewise, all USDT balances and transactions are clearly marked with the USDT ticker.