The difference between usdc and usdt

The main difference between USDC and USDT is that the issuers are different: USDC is issued by Circle and Coinbase, and USDT is operated by Tether Limited. Transparency is different: USDC is regularly audited, and USDT discloses less about asset collateral. The collateral is different: USDC is fully collateralized in cash and US Treasuries, USDT is also collateralized in other assets. Fees vary: USDC trading fees are generally lower, USDT vary by exchange. Different market shares: USDC is the second largest stablecoin

The difference between USDC and USDT

USDC (USD coin ) and USDT (Tether) are two stablecoins pegged to the US dollar, but there are some key differences between the two:

Issuer

• USDC: jointly issued by Circle and Coinbase.
• USDT: Operated by Tether Limited.

Transparency

• USDC: Its reserves are regularly audited by the accounting firm Grant Thornton.
• USDT: Less transparent and has been questioned over auditing issues in the past.

Collateral

• USDC: Entirely collateralized by cash and U.S. Treasury securities.
• USDT: In addition to cash and U.S. Treasury bonds, a portfolio of assets including corporate bonds and commercial paper is also collateralized.

Transaction Fees

• USDC: Transaction fees are generally lower.
• USDT: Trading fees vary by exchange, but are generally higher than USDC.

Market share

• USDC: Currently the second largest stablecoin by market capitalization.
• USDT: Still the largest stablecoin by market capitalization, although its market share has declined in recent years.

Uses

USDC and USDT are primarily used to:

• Convert fiat currency to cryptocurrency and vice versa.
• Stabilize the value of cryptocurrency assets.
• Conduct international transactions and avoid exchange rate fluctuations.

Which to choose

Choosing USDC or USDT depends on your specific needs.

• For individuals or businesses that value transparency and stability, USDC is a good choice.
• For individuals or businesses that need to trade on different exchanges and are fee-sensitive, USDT may be a better choice.

The above is the detailed content of The difference between usdc and usdt. For more information, please follow other related articles on the PHP Chinese website!