Which is better, DAI or USDC?_Is DAI suitable for long-term holding?
Jul 15, 2025 pm 11:18 PMWhich is better, DAI or USDC?_Is DAI suitable for long-term holding?
DAI and USDC are both very popular stablecoins on the market. Both have their own characteristics and are widely used in crypto asset trading, lending, asset hedging and other fields. To compare the advantages and disadvantages of the two, we need to have an in-depth understanding of their issuance mechanism, stability and applicable scenarios.
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1. The main differences between DAI and USDC
- The issuance mechanisms are different: USDC is issued by the centralized company Circle, supported by 1:1 fiat currency reserves, and is a fiat currency collateralized stablecoin ; DAI is based on Ethereum's decentralized autonomous protocol MakerDAO, generated by over-collateralized crypto assets, and is a mixed stablecoin with algorithms and collaterals .
- In terms of stability: USDC relies on real dollar assets, and its price fluctuations are extremely small, suitable for conservative users ; although DAI is designed to be decentralized, the price may slightly deviate from 1 USD due to collateralized assets.
- Transparency and compliance: USDC strictly accepts audits and supervision and complies with US regulations; DAI relies on smart contracts to execute, which is more open and transparent, but compliance depends on the ecological environment.
2. Is DAI suitable for long-term holding?
- Advantages: The decentralized characteristics bring strong anti-censorship and transparency, which is suitable for long-term holdings by users who pay attention to asset autonomy.
- Disadvantages: Due to fluctuations in the price of collateral assets, DAI may occasionally experience a slight risk of deaning, and its long-term stability is slightly lower than that of USDC.
- Usage scenario: Suitable for users who borrow, pledge, participate in governance in the DeFi ecosystem, and have less stringent requirements for the extreme stability of stablecoins.
- Risk warning: DAI holders need to pay attention to the upgrade of MakerDAO system and governance voting, and technology and market risks are relatively present.
3. How to choose a stablecoin that suits you
- Conservative and stable investors: USDC is more suitable as a means of long-term asset preservation due to its strong compliance and high stability.
- Pursuing decentralization and ecological participants: DAI embodies the spirit of blockchain autonomy and is suitable for participating in DeFi applications and governance.
- Asset allocation: You can consider combining the two to improve the security and flexibility of assets.
Summary: DAI and USDC have their own advantages and disadvantages. Whether to hold DAI for a long time must be judged based on personal risk preferences and usage needs. USDC is more suitable for investors who pursue high stability and compliance guarantees , while DAI is suitable for users who like the decentralization concept and the DeFi ecosystem.
The above is the detailed content of Which is better, DAI or USDC?_Is DAI suitable for long-term holding?. For more information, please follow other related articles on the PHP Chinese website!

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Is DAI suitable for long-term holding? The answer depends on individual needs and risk preferences. 1. DAI is a decentralized stablecoin, generated by excessive collateral for crypto assets, suitable for users who pursue censorship resistance and transparency; 2. Its stability is slightly inferior to USDC, and may experience slight deansal due to collateral fluctuations; 3. Applicable to lending, pledge and governance scenarios in the DeFi ecosystem; 4. Pay attention to the upgrade and governance risks of MakerDAO system. If you pursue high stability and compliance guarantees, it is recommended to choose USDC; if you attach importance to the concept of decentralization and actively participate in DeFi applications, DAI has long-term value. The combination of the two can also improve the security and flexibility of asset allocation.

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