Are Stablecoins the same tokens across multiple networks?
Many Stablecoins, such as USDC, USDT, and BUSD exist natively on multiple blockchains. What this means is, for example, there is an Avalanche native USDC, an Ethereum native USDC, and a Binance native USDC. While all of these tokens share the name “USDC”, they are not interchangeable between networks. If they are sent directly from one chain to another, they could be lost and unrecoverable.
Can Stablecoins be sent to/from the Avalanche Network?
Yes. To safely send Stablecoins between networks, please use the Avalanche Bridge. The Avalanche Bridge should only be used through the official UI. Any other use or access of the bridge could result in a permanent loss of funds. To read more important user notes, please check out this article. When Stablecoins or other tokens are bridged onto the Avalanche Network, they will receive a “.e” suffix, indicating they came from the Ethereum network. Read more about the “.e” suffix on Stablecoins here.
When transferring Stablecoins off of the Avalanche Network, always make sure that the destination accepts the correct version of the Stablecoin being sent. If the Stablecoin being transferred ends with “.e”, indicating that it was bridged from the Ethereum network, it needs to be bridged back to its native form.
If it is an Avalanche Native Stablecoin, and the destination does not accept its native form, the stablecoin should be bridged off of the Avalanche Network.
NOTE: An alternative option is to swap the Avalanche Stablecoin into AVAX, send it to the destination on the C-chain, then swap it back into a Stablecoin at the destination. This will work when the destination also accepts the C-chain.
Important Notes on sending Stablecoins to/from the Avalanche Network
As a best practice, it is always encouraged to verify the destination address funds are being sent to by double-checking spelling or punctuation when entering an address manually. If there is any doubt, sending a small, test transaction before a large sum could help prevent the loss of substantial funds.
DO NOT send Stablecoins/USDC.e/USDT.e on the Avalanche Network to an ERC-20 wallet. These funds will be permanently lost and are unrecoverable. Please bridge the tokens back to the Ethereum network, and then they will be able to be used there.
Never send funds directly to the contract address of the token itself as they will be lost. Once a transaction is initiated and confirmed on the network, it becomes irreversible and unrecoverable. The Ava Labs team is unable to reverse or recover these transactions.
What are some examples of how to send Stablecoins to/from the Avalanche Network?
Example 1: Sending Avalanche native USDT
Avalanche native USDT is not the same as Ethereum native USDT. Even though they have the same token name, they are not interchangeable. One must check that the destination accepts Avalanche native USDT when sending from Avalanche. If not, one must either convert it to another coin and transfer it or bridge the token to the appropriate network.
Example 2: Sending USDT.e from Avalanche to Ethereum
Example 3: Receiving Ethereum-based USDC
When receiving Ethereum-based USDC, one must use the Avalanche bridge to get it onto the Avalanche network. It can not be sent directly to the Avalanche wallet as it will never leave the Ethereum network without the bridge. When using the bridge, it will convert USDC into USDC.e on to the Avalanche Network.
Please note that there are many other ways to send stablecoins to and from Avalanche Network from other Blockchains but we have covered a few examples of how.