Tether (USDT), the world’s most used stablecoin, has taken a commanding lead in the crypto gambling sector. Boasting over 60% of the total stablecoin market share, it has emerged as the de facto currency for online casinos and betting platforms. While competitors like USD Coin (USDC) and Ethena’s USDe follow at 30.1% and 5.5% respectively, Tether’s influence extends far beyond market share, it dominates daily transaction volumes, blockchain integrations, and user adoption.

With over 25 million wallet addresses and daily trading volumes often surpassing $75 billion, Tether outpaces even the likes of Bitcoin (BTC) and Ethereum (ETH) in transactional throughput. Its popularity is particularly noticeable across Tron and BNB Chains, where lightning-fast confirmations and negligible transaction costs have made USDT a natural fit for fast-paced online casino environments.

Why Online Casinos Prefer USDT

The primary appeal of Tether lies in its stable value, pegged 1:1 to the US dollar. Unlike volatile cryptocurrencies such as BTC or ETH, USDT ensures that players’ bankrolls remain unaffected by price swings. This consistency allows gamblers to manage risk effectively, calculate potential winnings more accurately, and avoid the uncertainty of crypto price fluctuations mid-game.

Speed and transaction fees also play a crucial role. On the Tron (TRC-20) network, the most commonly used chain for USDT in gambling, transactions are confirmed in under a minute with fees typically below $0.10. This seamless user experience, combined with minimal transaction friction, has made Tether a favourite for both operators and players.

Another factor is the issue of privacy. USDT is often used on platforms with lax Know-Your-Customer (KYC) requirements, making it accessible to users in regions with restricted gambling laws or limited financial infrastructure. This “borderless” approach appeals to gamblers seeking privacy, speed, and ease of use.

Why Not USDC?

While USDC offers similar stability and is widely accepted in traditional finance due to its U.S. regulatory compliance and transparency, it hasn’t gained the same traction in online gambling circles. The reasons are multifold.

Firstly, USDT’s liquidity vastly overshadows USDC’s. With a circulating supply of over $120 billion (compared to USDC’s $30 billion), USDT provides much deeper liquidity pools, critical for gambling platforms managing thousands of microtransactions every hour.

Secondly, USDT’s support on high-speed, low-cost blockchains like Tron and BNB Chain gives it an operational edge. USDC is largely built on Ethereum, which has higher gas fees, and its presence on other chains like BNB is often through bridges, which can create friction and security concerns.

Lastly, Tether’s less stringent compliance requirements have ironically become a strength in the gambling sector. Unlike USDC, which operates under close scrutiny from U.S. regulators, Tether offers a level of flexibility that aligns well with the often grey-regulated nature of online casinos.

The Road Ahead: Can USDT Be Displaced?

Despite regulatory scrutiny and transparency concerns, Tether’s practical benefits continue to outweigh its controversies, at least in the world of crypto gambling. Its early adoption by casino platforms has given it an established foothold, with many players and developers now considering it the industry standard.

As gambling platforms expand and the user base for crypto betting grows globally, USDT’s ecosystem, particularly on the Tron network is expected to see even higher volumes. Unless rival stablecoins can match its speed, fees, and flexible compliance, Tether looks set to maintain its crown in the casino world.

Tether’s dominance in online gambling isn’t just about being the biggest, it’s about being the most usable. Its speed, stability, liquidity, and global accessibility make it the preferred stablecoin for players and platforms alike. While USDC and others offer compelling alternatives, none have yet matched USDT’s convenience, trust among players, and broad utility across crypto casinos.