What Is ERC-948?
ERC-948 is a new Ethereum token protocol designed exclusively for subscription-based transactions.
Blockchain technology is transforming business models, where the interaction of both doesn’t seem to end anytime soon.
This is where ERC-948 comes in.
Empowering Subscription Models
As more organizations integrate blockchain technology, blockchain engineers and enthusiasts aim to guarantee that it can be applied to subscription models.
After establishing the economic motivation for subscription-capable coins and the lack of a protocol for creating tokens, ERC-948 can be a good opportunity for developers wishing to construct a platform on which businesses may rely on a proven, current economic model.
Unveiling the Potential of ERC-948
There is no scarcity of Ethereum-based token and digital asset standards.
Users would be able to use the opt-out feature and more particularly, a smart contract can be written to withdraw tokens from users, provided that the users first ratify the contract.
Such an idea may undoubtedly open up a plethora of new possible use cases for subscription-based systems.
Opt-Out Smart Contracts for ERC-948
Using the Ethereum blockchain’s smart contract power, an opt-out smart contract for a subscription service based on ERC-948 may look like this:
- The service implements a smart contract that allows users to withdraw tokens.
- The user approves the contract for an infinite allowance and an unlimited length of time.
Despite several obstacles, ERC-948 offers a highly attractive and profitable environment for subscription service providers.
Because blockchain technology is often quite adaptable, one does not need to be concerned about the issues provided because blockchain frequently discovers suitable answers.
Fostering Consumer Adoption
If a uniform standard for subscriptions were developed, it might draw even more consumer-facing enterprises to blockchain technology.
While much blockchain rhetoric demonizes the old and extols the new, we should keep an eye on the incentive structures that have proved effective in our existing economy, of which the subscription economy is unquestionably one.