Why TRC20 Is The Most Popular USDT Network

USDT on TRC20 has a market cap of over $83 billion and boasts millions of transactions daily. So, what makes this network a preferred option among most crypto users?

Tether (USDT) is a well-known stablecoin that is pegged to a real-world currency or asset. It is designed to maintain a stable value, making it useful for transactions that require stable pricing.

In this post, we’ll examine TRC20 USDT in more detail and explore why it has become the most popular version of USDT.

What Is TRC20 USDT?

What Is TRC20 USDT?

TRC20 USDT is a version of USDT that is issued on the TRON blockchain using the TRC20 standard. Think of TRC20 USDT as a standardised container carrying USDT. Like actual shipping containers, the container has to follow certain specifications. 

It is just one of several stablecoins available in the cryptocurrency market. Other stablecoins include USDC (USD Coin), DAI, and PAX. Each of these stablecoins has unique features and characteristics, and users may choose to use one or more stablecoins depending on their specific needs and preferences.

TRC20 USDT is issued and backed by Tether Limited, a company that is responsible for maintaining the stability of USDT. Tether Limited holds reserves of the underlying asset (e.g. US dollars) that are intended to be equal to or greater than the number of USDT tokens in circulation. This backing is meant to give users confidence in the stability of USDT.

Benefits Of TRC20 USDT

1. High liquidity and fast transaction speeds: 

One of the main benefits of TRC20 USDT is its high liquidity, which refers to how easy it is to buy and sell the asset. TRC20 USDT is widely available on many exchanges, making it easy to buy and sell and contributing to its high liquidity. Additionally, TRC20 USDT has fast transaction speeds, which means that it can be transferred from one person or organisation to another quickly. This makes it useful for transactions that need to be settled promptly.

2. Compatibility with popular exchanges and wallets:

 TRC20 USDT is compatible with many popular exchanges and wallets, which makes it easy to use and store. This compatibility is important because it means that TRC20 USDT can be easily traded on exchanges and stored in wallets, making it more convenient for individuals and organisations to use.

3. Efficient use of blockchain resources:

 Another benefit of TRC20 USDT is its efficiency in terms of its use of blockchain resources. The TRC20 standard is designed to be more efficient than other blockchain standards, requiring fewer resources to process transactions and store data on the blockchain. This can be beneficial for the overall health and scalability of the TRON network.

The History of USDT and its Evolution To TRC20

The History of USDT and its Evolution To TRC20

USDT (Tether) was initially issued on the Bitcoin blockchain using the Omni Layer Protocol, a software layer built on top of the Bitcoin blockchain that enables the creation and trading of custom tokens. The first version of USDT was issued in 2014 and was designed to be pegged to the US dollar, with the goal of providing a stablecoin that could be used for transactions on the Bitcoin network.

Since its introduction, USDT has evolved and is now available on multiple blockchains in addition to the Bitcoin blockchain. One of these is the TRON blockchain, on which USDT is issued using the TRC20 standard. This version of USDT is known as TRC20 USDT.

The switch to TRC20 USDT was made in part to address some of the limitations of the original Omni Layer Protocol. The TRC20 standard allows for faster transaction speeds and greater efficiency in terms of resource usage, making it a more attractive choice for some users. TRC20 USDT is also more widely supported by exchanges and wallets, contributing to its popularity.

TRC20 USDT vs Other USDT networks

Here is a table comparing TRC20 to other popular networks: 

Why TRC20 USDT Is More Popular Than Other USDT Networks

1. High liquidity: 

USDT on TRC2O network has high liquidity, making it easy to buy and sell on exchanges. This high liquidity makes it convenient for individuals and organisations to use TRC20 USDT for transactions and to store value.

2. Fast transaction speeds: 

TRC20 USDT has fast transaction speeds, which means it can be transferred quickly from one person or organisation to another. This is useful for transactions that need to be settled in a timely manner.

3. Compatibility with popular exchanges and wallets: 

TRC20 USDT is compatible with many popular exchanges and wallets, which makes it easy to use and store.

4. Efficient use of blockchain resources: 

The TRC20 standard is designed to be more efficient than other blockchain standards, requiring fewer resources to process transactions and store data on the blockchain. This can be beneficial for the overall health and scalability of the TRON network.

5. Widely available:

TRC20 USDT is widely available on a large number of exchanges, which makes it easy to buy and sell and contributes to its high liquidity.