Tether is a blockchain-enabled platform designed to facilitate the digital use of traditional fiat currencies. Operated by Tether Holdings Limited, the company issues various stablecoins, including USD₮ (pegged to the US dollar), EUR₮ (pegged to the euro), CNH₮ (pegged to the offshore Chinese yuan), MXN₮ (pegged to the Mexican peso), and XAU₮ (pegged to gold). These stablecoins aim to combine the benefits of digital currency—such as fast transactions and low fees—with the stability of traditional currencies. ​

Tether tokens are built on multiple blockchains, allowing for broad integration across various platforms and services. The company asserts that all Tether tokens are pegged at 1-to-1 with their corresponding fiat currency and are backed 100% by Tether’s reserves. Information about Tether tokens in circulation is typically published daily to promote transparency. ​ Tether

CNH₮ serves multiple functions within the digital asset ecosystem:​

• Trading and Liquidity: Provides a stable trading pair for various cryptocurrencies on exchanges, facilitating seamless conversions between digital assets and the offshore Chinese yuan. ​

• Cross-Border Transactions: Enables efficient and cost-effective international remittances and settlements, particularly for users dealing with CNH.​

• Volatility Hedging: Offers a stable digital asset for users seeking to mitigate exposure to cryptocurrency market fluctuations.​