Crypto tokens are primarily used and developed by startups and SMBs to raise funds for their new projects. To increase the efficiency of their chains and simplify the token development process for developers, both Ethereum and Binance have developed their token standards. In Layman\u2019s terms, token standards are a set of rules defined to develop, issue, and deploy new tokens on a specific blockchain.<\/p>\n
For example, ERC-20 is an Ethereum-based token standard that allows users to create new tokens based on the standards defined by the Ethereum Blockchain. Similarly, the token standard BEP-20 is used to create tokens on the Binance Smart Chain. The token standards are designed to reduce fraudulent practices in the crypto industry.<\/p>\n
Whether you\u2019re looking to invest in BEP20 token development<\/strong><\/a> or ERC20 token development, this blog will help you understand the key differences between ERC-20 and BEP-20 token standards. But before moving further, let\u2019s understand some primary aspects of the token development process.<\/p>\n Following are some primary aspects that users must understand before starting with BEP20 or ERC20 token development process:<\/p>\n Token Compatibility<\/strong><\/p>\n Whether you\u2019re investing in ERC20 token development or the BEP20 token development, tokens must be designed to be compliant with ERC-20 or BEP-20 token standards respectively.<\/p>\n Token Cap<\/strong><\/p>\n The maximum number of tokens that can be generated needs to be predefined. This ensures token buyers that the tokens are available in a limited quantity.<\/p>\n Token Supply<\/strong><\/p>\n The maximum supply for the number of tokens must be predefined at the time of token generation.<\/p>\n Token Issuance<\/strong><\/p>\n It indicates whether new tokens will be issued through mining or staking or both.<\/p>\n Token minting<\/strong><\/p>\n The token owner can define how the users can mint the tokens. They can also stop minting the tokens to inflate the token value.<\/p>\n Token Burning<\/strong><\/p>\n Tokens built using ERC-20 and BEP-20 standards could also be burnt to reduce the supply or increase demand.<\/p>\n Token Rights<\/strong><\/p>\n Token owners can have governance rights or voting rights. These rights can help them vote for token minting and burning.<\/p>\n Token Listing<\/strong><\/p>\n The process of token development<\/strong><\/a> also involves getting the tokens listed on exchanges.<\/p>\nPrimary Aspects of Token Development<\/strong><\/h4>\n