$USDC

Stablecoins are digital currencies that aim to maintain the same value as a real-world asset and reduce the impact of market price fluctuations. These currencies are more reliable than regular cryptocurrencies, store value, and are often pegged to fiat currencies such as the US dollar, euro, or Japanese yen.

Today we will focus on two of the most popular fiat-backed stablecoins: USDC and USDT. We explore the main difference between USDC and USDT to help you decide which stablecoin might better suit your investment needs. Let's find out if you need to switch from USDC to USDT or vice versa.

What are stablecoins?

As mentioned, stablecoins are named for their stable value and are designed to maintain the price of a specific asset. The underlying asset can be almost anything: fiat currencies, other cryptocurrencies, or even precious metals. However, fiat-backed stablecoins are the most popular, as the financial and cryptocurrency markets usually measure value in dollars.