The main difference between UTF-8, UTF-16, and UTF-32 character encoding is how many bytes it requires to represent a character in memory. UTF-8 uses a minimum of one byte, while UTF-16 uses a minimum of 2 bytes. BTW, if the character's code point is greater than 127, the maximum value of byte then UTF-8 may take 2, 3 o 4 bytes but UTF-16 will only take either two or four bytes. On the other hand, UTF-32 is a fixed-width encoding scheme and always uses 4 bytes to encode a Unicode code point. Now, let's start with what is character encoding and why it's important? Well, character encoding is an important concept in the process of converting byte streams into characters, which can be displayed.