$USDC

💵 USDT vs USDC: Which of the two major stablecoins is safer and more trustworthy?

In the world of cryptocurrency, stablecoins play a key role, allowing funds to avoid volatility while retaining the high efficiency of blockchain. Among them, the two most popular stablecoins are USDT (Tether) and USDC (USD Coin). They may seem similar, but in reality, there are many key differences.

🔒 Trust and Compliance Comparison

✅ USDC: A representative of compliance and transparency

• Circle collaborates with U.S. regulatory agencies to comply with U.S. regulations.

• Reserve reports are audited by accounting firms and released monthly.

• Supported by institutions like Coinbase, Visa, and Paypal.

• A major beneficiary of U.S. stablecoin regulatory legislation (such as the Genius Act).

⚠️ USDT: High liquidity but trust is questioned

• Has been questioned multiple times over the years due to lack of transparency in reserve information.

• Although it is the most circulated stablecoin, it has reached a settlement agreement with the New York Attorney General.

• Previously included high-risk assets (such as commercial paper) in its reserves, but has shifted to a more conservative approach in recent years.

💡 Summary: Stablecoins are not just 'stable', but also need to be 'transparent'

Although USDT has the highest market capitalization and trading volume, USDC performs better in transparency and regulatory compliance. In the future, as countries begin to legislate (such as the U.S. 'Genius Stablecoin Act'), compliant stablecoins like USDC may become mainstream, and investors should choose based on their own use cases and risk preferences.

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📌 Reminder: Regardless of which stablecoin you choose, be sure to regularly monitor its reserve reports and legal risks, as 'stablecoins' are not a completely risk-free cash alternative.