USDT is issued by the centralized company Tether. Currently, there are three different types of USDT in the market. Today, Plain Blockchain will briefly introduce these three types of USDT.

Three Different Types of USDT

The first is Bitcoin-based USDT (issued on the Omni protocol). This type of USDT is stored on Bitcoin addresses, so each transfer (on-chain transfer) requires a small amount of Bitcoin as a miner fee.

In addition to needing Bitcoin for miner fees, each USDT transfer will also generate a corresponding Bitcoin transfer of a very small amount. Therefore, to initiate a Bitcoin-based USDT transfer, the wallet address must have at least 0.0002 BTC to ensure the transfer succeeds. At the same time, the recipient will also receive a minimal amount of Bitcoin transfer when receiving USDT.

The second is Ethereum-based USDT (issued on the ERC-20 protocol). This type of USDT is stored on Ethereum addresses, and each transfer (on-chain transfer) requires Gas, which is ETH.

Currently, most USDT in the market is concentrated on Bitcoin and Ethereum.

The third type is TRON-based USDT (issued on the TRON network). TRC-20 USDT is stored on TRON addresses, and deposits and withdrawals are processed through the TRON network. Moreover, transfers are free.

Among these three types of USDT, which one is the fastest for transfers?

Since the TRON network reaches thousands of TPS, it is currently the fastest for transfers.

Which USDT is the safest for transfers?

Some argue that TRON's DPoS 27 super nodes are less secure compared to the other two networks, with the Bitcoin network being the most secure.

Which USDT should you choose?

For large transfers, Bitcoin-based USDT is recommended. As a middle ground, Ethereum-based ERC-20 USDT can be chosen. For small transfers, TRON-based USDT is faster.

Be Cautious of Asset Loss During Deposits and Withdrawals

Bitcoin-based USDT and Ethereum-based USDT are incompatible and cannot be transferred to each other.

How can you tell which type of USDT you have?

It’s simple: you can determine it by the storage address.

• Addresses starting with "1" are Bitcoin-based USDT.

• Addresses starting with "0x" are Ethereum-based USDT.
  In other words, Bitcoin-based USDT can only be stored on Bitcoin addresses, and Ethereum-based USDT can only be stored on Ethereum addresses.

As for the third type, TRON-based USDT, some exchanges already support it, and its addresses start with "T".
Whether transferring or depositing/withdrawing from an exchange, always pay attention to which type of USDT you are handling.

Summary

Tether's USDT stablecoin comes in three types: Bitcoin-based, Ethereum-based, and TRON-based. Bitcoin-based and Ethereum-based USDT are incompatible and cannot be transferred to each other. You can identify the type of USDT by its storage address.