USDC vs USDT: Which Stablecoin Do Institutional Traders Prefer?

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The following data reveals whether institutional stablecoin investors favor USD Coin (USDC) or Tether (USDT) in their trading activities.

Key Metrics Comparison: USDC vs USDT

1. Address Totals

Tether dominates in total adoption, with over twice as many addresses holding USDT compared to USDC.

2. Active Addresses

This metric suggests USDT is preferred by retail users, while USDC sees heavier institutional engagement.

3. Transaction Volume

Despite fewer total transactions, USDC moves larger value transfers per transaction:

4. Wallet Balances

USDC wallets maintain significantly higher average balances, further supporting its institutional preference.

Market Position Insights

While USDC demonstrates stronger institutional adoption:

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Price Stability

Both stablecoins show minimal daily price deviation (<0.1%), maintaining their 1:1 USD peg reliability.

FAQ Section

Q: Why do institutions prefer USDC?
A: Its larger transaction sizes, higher wallet balances, and regulatory transparency make it better suited for corporate usage.

Q: Is USDT safer for retail users?
A: USDT's wider adoption and liquidity make it more accessible, though both maintain strong track records as stablecoins.

Q: Can market cap differences affect stability?
A: Higher liquidity generally improves resilience—USDT's larger market cap may offer slight advantages during volatile periods.


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