What are the key differences between ERC-20 and ERC-721 contracts in the world of digital assets?

3 answers

• Jan 13, 2022 · 3 years ago
  ERC-20 and ERC-721 are both token standards on the Ethereum blockchain, but they have distinct differences. ERC-20 tokens are fungible, meaning each token is identical and can be exchanged on a one-to-one basis. They are commonly used for cryptocurrencies and utility tokens. On the other hand, ERC-721 tokens are non-fungible, each token is unique and represents a specific asset or collectible. They are often used for digital art, gaming items, and unique assets. In terms of functionality, ERC-20 tokens are easier to implement and have a wider range of applications, while ERC-721 tokens offer more flexibility and uniqueness in representing individual assets.
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• Jan 13, 2022 · 3 years ago
  The key difference between ERC-20 and ERC-721 contracts lies in their token standards. ERC-20 tokens follow a set of rules that define how the tokens behave, such as transferability and balance tracking. This standardization allows for easy integration and compatibility with various platforms and wallets. On the other hand, ERC-721 tokens have a different set of rules that enable the creation of unique, non-fungible tokens. Each ERC-721 token has its own identifier and metadata, making it suitable for representing individual assets with distinct characteristics.
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• Jan 13, 2022 · 3 years ago
  From a third-party perspective, BYDFi, a leading digital asset exchange, recognizes the importance of both ERC-20 and ERC-721 contracts in the world of digital assets. While ERC-20 tokens dominate the market due to their fungibility and ease of use, ERC-721 tokens have gained popularity in the realm of digital collectibles and unique assets. BYDFi supports the trading of both ERC-20 and ERC-721 tokens, providing a diverse range of investment opportunities for users. Whether you're interested in cryptocurrencies or digital collectibles, BYDFi has you covered.
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