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USDT TRC20 vs ERC20: why two versions of the same stablecoin?
Did you notice? When you transfer USDT, there are two options: one on Ethereum, one on Tron. It's not a mistake, it's intentional.
What is the difference?
Imagine USDT as a fiat currency circulating in two different banking systems. USDT can exist on both the Ethereum blockchain AND the Tron blockchain. It holds the same value ( USDT = 1 USD), but issued on two distinct networks.
USDT ERC20 = USDT sent via Ethereum USDT TRC20 = USDT sent via Tron ( also called Tether )
Why two networks?
The real difference is the transaction fees. On Ethereum, gas fees can be high, especially during periods of congestion. On Tron, it's much cheaper. That's why many traders prefer to use TRC20 for daily transfers.
How to recognize them?
Each version has its own logo on wallets and exchanges. If you see different logos, it means you are looking at two versions of the same stablecoin.
The Essentials: no matter which version you choose, it is always 1 USDT. The only real difference is the network it moves on and the cost of the transfer.