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What are the differences between USDT, USDC, and DAI?
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Home web3.0 What are the differences between USDT, USDC, and DAI?

What are the differences between USDT, USDC, and DAI?

Jul 10, 2025 pm 06:45 PM
ai Bitcoin binance cryptocurrency Ethereum the difference Stablecoin Binance usdt exchange Huobi trading platform okx Ouyi Copycat

Choosing a safe and reliable cryptocurrency exchange is the first step for beginners and senior investors to enter the world of digital assets. This article will take stock of the mainstream exchanges on the market for you and analyze in detail the differences between the three most important dollar stablecoins USDT, USDC and DAI to help you make smarter decisions.

Stablecoin Exchange in 2025:

Ouyi okx official website direct access :

Binance official website direct:

Huobi htx official website direct:

What are the differences between USDT, USDC, and DAI?

Stable coins are an important cornerstone of the crypto world. They are pegged to fiat currencies such as the US dollar and provide a medium of stable value. USDT, USDC and DAI are the three most mainstream types, but their operating mechanisms and risk characteristics are essentially different.

USDT (Tether)

Features: Centralized, fiat currency collateral, with the largest market share.
Explanation: USDT is issued by Tether and is the earliest and most widely used stablecoin on the market. In theory, for every USDT issued by Tether, assets of $1 equivalent (including cash, cash equivalents, commercial paper, corporate bonds, etc.) should be added to its reserves. Due to the incomplete transparency of its reserve assets, it has caused controversy in history, but its huge liquidity and wide acceptance make it still the market leader.

USDC (USD Coin)

Features: centralization, fiat currency collateral, transparent compliance.
Explanation: USDC is issued by Circle and is considered to be the centralized stablecoin with the highest transparency and compliance. Its reserves are entirely composed of cash and short-term U.S. Treasury bonds and are regularly audited and published by top accounting firms. Therefore, USDC is generally considered to be safer and more trusted by institutions and compliance-oriented users than USDT.

DAI

Features: Decentralized, over-collateralized crypto assets.
Explanation: DAI operates completely differently. It is not issued by any centralized company, but is created through a smart contract from the decentralized autonomous organization MakerDAO. Users need to deposit crypto assets such as Ethereum (ETH) as collateral into smart contracts in order to generate DAI. In order to cope with the fluctuations in collateral prices, the system adopts a "over-collateralization" mechanism (for example, ETH with a mortgage of US$150 can generate 100 DAIs), thus ensuring the stability of the DAI peg with the US dollar. DAI is a core component of the DeFi (decentralized finance) ecosystem and represents a true decentralized spirit.

What are the differences between USDT, USDC, and DAI? - php Chinese

1. Binance

As the world's largest cryptocurrency exchange, Binance provides an extremely comprehensive trading ecosystem. Whether it is mainstream Bitcoin, Ethereum, or various emerging niche tokens, the depth and liquidity of its spot trading market are unparalleled. In addition, Binance's derivative trading, financial products, NFT market and Launchpad new coin issuance platform are also very attractive and are the first choice for comprehensive users. Despite facing global regulatory challenges, its leading position in the industry remains solid.

2. Ouyi (OKX)

Ouyi is a top exchange with outstanding performance in the field of derivatives trading. The types, depth and trading experience of its contract products are favored by professional traders. In recent years, OKX has vigorously developed its Web3 ecosystem. Its built-in OKX account has powerful functions and can seamlessly connect various DeFi and NFT applications, providing users with a one-stop decentralized world entrance. The security and stability of the platform have also maintained a good record.

3. Gate.io (Sesame Open Door)

Gate.io is famous for its massive amount of listed coins and is known as the "treasure of altcoins". If you are keen on finding early high-potential projects, Gate.io is a platform that you can’t miss. It provides users with trading pairs of over a thousand cryptocurrencies. In addition to spot trading, Gate.io also provides various services such as contracts, financial management and Startup launch to meet the needs of users with different risk preferences.

4. Huobi (HTX, original Huobi)

As one of the earliest cryptocurrency exchanges established, Huobi has a deep user base around the world, especially in Asia. The platform is operated stably and its security has been tested for a long time. Although market share has been challenged in recent years, its brand influence and core trading functions are still strong. Currently, the platform is renamed HTX, and new strategic adjustments and brand upgrades are underway, which is worthy of continuous attention.

5. Bybit

Bybit started out with its smooth, high-performance perpetual contract trading platform, quickly attracting a large number of derivatives trading users. Today, Bybit has developed into a comprehensive exchange that provides services such as spot trading, financial management, options and NFT markets. Its user interface is friendly and has a fast execution speed, which is especially suitable for users with high requirements for transaction performance.

6. KuCoin

KuCoin, known as the "people's exchange", is also popular for its rich currency options. The platform is very active in discovering and launching new, potential small-cap tokens, providing investors with more options. KuCoin's trading robot function is also very distinctive, which can help users automatically execute trading strategies, suitable for ordinary users who want to conduct quantitative transactions.

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