USDT vs USDC: What’s the Difference?
Both USDT (Tether) and USDC (USD Coin) are popular stablecoins — cryptocurrencies pegged to the US Dollar. But what sets them apart?
1. Backing & Transparency:
USDC is issued by Circle and is fully backed by cash and short-term U.S. Treasury bonds. It’s known for higher transparency, with regular audits.
USDT is issued by Tether and is also backed, but has faced questions about its reserves in the past, though it's widely used.
2. Popularity & Usage:
USDT is the most traded stablecoin globally. It has higher liquidity and is used on almost every crypto exchange.
USDC is favored for its regulatory compliance, especially in the U.S., and is often used in DeFi (decentralized finance).
3. Blockchain Networks:
Both run on Ethereum (ERC-20), but also exist on other chains like Tron, Solana, and BNB Chain.
USDT on Tron (TRC-20) is very popular for fast, cheap transactions.
Summary:
USDT = More trading volume, broader use.
USDC = More regulation, trusted reserves.
Choose based on what matters to you: speed, trust.
