Understanding BEP-20: Extending Token Standards on BNB Chain
BEP-20 is a token standard designed explicitly for the BNB Chain, aiming to expand upon the widely adopted ERC-20 standard used in Ethereum.
It serves as a blueprint for defining how tokens can be utilized, who can utilize them, and establishes rules for their overall usage.
The BEP-20 standard is derived from and fully compatible with the ERC-20 standard.
The code defining the BEP-20 standard consists of modified functions based on the ERC-20 standard.
Flexible Token Format and Interoperability.
These modifications were implemented to enhance the protocol, optimizing its speed and transaction costs.
The technical specification of BEP-20 was developed for the BNB Chain, providing a flexible format for developers to launch various types of tokens.
These tokens can represent diverse assets, ranging from shares in a business to stablecoins backed by dollars securely stored in a bank vault.
With BEP-20, it is possible to create native assets as tokens on the BNB Chain.
Additionally, tokens from other blockchains can be pegged to the BNB Chain, enabling their usability within the BNB ecosystem.
Creating a BNB Chain token is straightforward, as the tokens adhere to the BEP-20 standard.
This standard ensures basic functionality, including token transfers, balance inquiries, token ownership views, etc.