ERC-20 is a technical token standard on the Ethereum network: a set of rules that lets wallets, exchanges and apps work with any such token in the same way.
In plain words
When an exchange offers “USDT (ERC-20)” it means the version of USDT on the Ethereum network. The standard is not a separate coin and not a guarantee of safety: it only describes the token’s interface. Transferring it needs ETH for gas. The main point when withdrawing funds is to pick the network that matches the network of the recipient’s address. An address starting with 0x… looks the same on many networks built on the same technology (Ethereum, BNB Chain, Polygon), so a wrong network can cost money.
Sources
- ethereum.org: ERC-20 token standard — ERC-20 Token Standard page. Checked 14.10.2026.
Example. You withdraw USDT from an exchange to a wallet on the Ethereum network: you choose “ERC-20”, enter the 0x… address, and the fee is usually higher than with TRC-20.