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TXT is a standard text file format that contains unformatted, plain text. It is universally compatible across operating systems and devices and can be opened and edited with any text editor. TXT files are often used for notes, readme files, scripts, and data logs. Their simplicity makes them highly portable and ideal for storing small bits of data or content that doesn’t require formatting. While basic, TXT files are essential in both software development and everyday computing.

DOCX is a Microsoft Word document format based on the Open XML standard. It replaced the older DOC format and is widely used for creating, editing, and sharing text documents. DOCX supports formatted text, images, tables, charts, and other document elements. It is highly compatible with word processors and cloud-based platforms, making it ideal for professional, academic, and business use. Files are typically smaller and more stable than older Word formats.