Stablecoins have always been a dicey decision when it comes to taking about the famous cryptocurrency. The world of cryptocurrency is vast and can turn anything into a profit and a meaningful investment. The same goes for stablecoins.

There are various stablecoins floating in the market, but the question is which one can increase your profits. Among all the options, USDT and USDC are the most famous ones. The question that arises here is USDT or USDC, which one is safer?

What are Stablecoins?

Stablecoins have in recent times emerged as an essential class in the world of cryptocurrencies. With the often debated value of stablecoins, it has, without a doubt, carved a niche. It leaves no attempts in providing stability, which a reserve asset that backs it.

Stablecoins also gained popularity as they are easy to peg into US dollars and sometimes even gold and other valuable assets. The stability that stablecoins provide rules over the other cryptocurrencies that are more volatile in nature. The reserve that backs stablecoins makes it reliable and better for users.


When stablecoins were brought into the forefront, the prime reason was saving money. It was made so that you can preserve money just like any other savings account. Later, stablecoins aligned with the market, and now it wouldn’t be wrong to say that they can also yield decent returns.

Now that we have an insight about stablecoins let’s look into its two main players, USDT and USDC.

What is USDT?

Before diving into the comparison, let us understand USDT and USDC individually. USDT, or Tether as it is popularly known, has been the longest player in the industry. It was one of the first stablecoins that was brought to the market in 2015.

The purpose of introducing USDT was to let investors transfer their assets from a particular exchange to the next at a very minimal fee. Even when the number of other various stablecoins has been rapidly increasing, USDT has still held on to its mark. This definitely gives USDT an edge over other stablecoins, for example, USDC.

Tether is a cryptocurrency that is based on a blockchain. This means that USDT is backed by other traditional currencies (fiat), including dollars, yen, or euro. The main motive of USDT, like any other stablecoins, is to keep the values and prices stable. Along with stability, USDT also provides transparency to every user.

What is USDC?

Another popular stablecoin that is pegged to USD (US dollar) is USDC. It is an option that has rapidly gained popularity in recent years, so much so that it has some big names under its umbrella. Goldman Sachs, US Bancorp, and Silvergate are among many other popular names that back USDC.

The creation of this stablecoin goes back to 2018. USDC was the result of a joint-deal that happened between Circle and Coinbase. It is appropriate to say that the successful deal has added a lot to the credit of USDC.

Although a newer option, USDC has left no stone unturned in ensuring that the users are always satisfied. Just like its alternative USDT, USDC also ensures a maximum amount of transparency and stability to its users. In the growing digital market, USDC has given investors a chance to work with ease and maximize their profits.

A benefit that comes along with USDC is that it also has an app supporting it. This makes sure that a lot of processes like sending money to various wallets and even earning profits is made easier and well integrated. These are some functions that are included along with various others. USDC, thus with a little experience, has managed to give neck-to-neck competition to its rivals.

USDT or USDC Which Is Safer?

Now that we know a little about the two important players of stablecoins in the market let us see which one is safer. USDT or USDC, which is safer, is often a debatable topic. Although both USDT and USDC are a popular choice in the crypto industry, they still have certain features that can overpower the other.

· Annual Interest

When it comes to any option in the industry, involving profits, currencies, and investments, annual interests become very important. USDT creates valuable stakes in Neutrino. They have a model that is responsible for granting daily lease rewards. USDT, as a Tedix staking thing, yields around 12 percent interest that makes it the best in the industry.

USDC, on the other hand, has an annual interest yield of 1.1-1.25 percent. When we compare USDT and USDC considering this aspect, then it won’t be wrong to say that USDT has the upper hand over USDC.

· Rates

Rates and investing in a safer company is one of the prime concerns. The company should be reliable and not such that it runs away with your valuable assets and money. There are various rates offered by various platforms.

Various platforms like Nexo, Hodlnaut, and Celsius offer the same rates when it comes to both USDC and USDT. It thus becomes difficult to choose one when it comes to rates. It thus totally becomes your choice whether to choose USDT or USDC.


· Blockchain Lending

When it comes to blockchain lending, there are many platforms that support only USDC and not USDT. The rates are no doubt higher in USDT, but the exclusivity of it makes it less accessible. So it is clear that in this aspect, USDC, without a doubt, has the upper hand. It has made its mark even after entering the market a little later than USDT.

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Summing It Up

To conclude, USDT or USDC, which one is safer? It won’t be wrong to say that USDT wins in several aspects. Even after facing a lot of downfalls, USDT as the first stablecoin has not left its mark. With better reach and annual interest rates, it still stands on top of all its rivals.

USDC is also not behind by providing many options like an app and a wide range of features. It entered the market later but has kept up with the pace. If we have to choose one, then we would recommend that USDT is a safer option for you.