ERC-20 & ERC-721 Explained!!

Every Web3 developer should know.

fungible VS Non-fungible

Different things have different value.

fungible:

• $1 = $1

• 1 ETH = 1 ETH

• 1 Bitcoin = 1 Bitcoin

Non-Fungible:

• dog != cat

• car != bike

• window != macOS

In this Newspaper we will learn about Two popular ERC standards:

• ERC-20

• ERC-721

ERC-20 contract

functionalities:

• It is used to mint fungible tokens.

• transfer and approved minted tokens.

• check the balance of token using holder address.

• you can set a total supply limit.

• you can mint stablecoin and secured tokens.

Utility of ERC-20 Tokens :

• medium of exchange

• Points in Play-2-earn Games.

• voting

• staking

• reward machanisms

Popular ERC-20 Tokens:

• Chainlink

• BAT

• DAI and etc.

ERC-721 contract

functionalities:

• it is specialized to mint Non-fungible tokens.

• like ERC-20 , you can transfer , approved and check balance of the tokens.

• you can set a royality on every NFT.

Utility of ERC-721 Token:

• NFT Tickets

• Real estate property

• Gaming Asset and collectibles

• Online content

• Private community

Popular ERC-721 Tokens:

• BAYC

• Cryptopunks

• CryptoKitties