TRC-20 is the standard for fungible (interchangeable) tokens on the TRON blockchain, compatible with Ethereum's ERC-20. Tether's USDT on TRON is a TRC-20 token. It matters when you buy or send tokens: TRC-20 tokens move only between TRON addresses, and sending them usually needs some TRX to cover network costs.
How does TRC-20 work?
A TRC-20 token is a smart contract on the TRON blockchain that records each address’s balance. The standard sets the functions every such contract must offer, such as sending tokens, so wallets can handle any TRC-20 token the same way.
Every TRON transaction uses Bandwidth, and smart contract calls such as TRC-20 transfers also use Energy. Staked TRX provides both. Without enough, the network burns the sender’s TRX instead.
What does a TRC-20 transfer look like?
Say you send 50 USDT to a friend on TRON. Your wallet takes their TRON address, which starts with T, and calls the transfer function of the Tether (USDT) contract. Your account pays for the call in Bandwidth and Energy, or in burned TRX.
Why does TRC-20 matter when you buy crypto?
Because tokens such as USDT exist on several networks, and a transfer only works within one. Before a token is sent to your wallet, check which network it will use and give an address on that same network. Keep some TRX there to send TRC-20 tokens later. See the TRON (TRX) price and payment options.
What is the difference between TRC-20 and ERC-20?
TRON’s developers describe TRC-20 as compatible with ERC-20 at the interface level, but the two run on different blockchains, so a TRC-20 token cannot go straight to an Ethereum address.
| Feature | TRC-20 | ERC-20 |
|---|---|---|
| Blockchain | TRON | Ethereum |
| Address format | Starts with T (34 characters) | Starts with 0x (42 characters) |
| Network costs | Bandwidth and Energy, from staked or burned TRX | Gas, paid in ETH |
What are the risks and red flags?
- Wrong network. Tokens sent on a network the recipient does not support may be lost, and blockchain transactions cannot be reversed.
- Look-alike tokens. Anyone can create a TRC-20 token named USDT. Check the contract address on Tether’s supported protocols page.
- No TRX. An account holding tokens but no TRX may be unable to send them.
Go deeper: USDT vs USDC and the networks each coin runs on.
