Ethereum tokens are highly demanded in the growing cryptocurrency world. It is used widely in DApps, DeFi projects, and smart contracts. The tokens will be backed by real-world assets on a peer to peer network. It can be traded or exchanged easily by users.
There are different Ethereum token standards in the market. ERC stands for Ethereum Request for Comments. The common ones are ERC20, ERC223, ERC1400, ERC667, ERC721, ERC721x, ERC827, and ERC777 tokens. All the Ethereum tokens are created using the Solidity programming language. They will be stored safely in a digital storage space called MetaMask crypto wallet.
The Ethereum tokens have different use cases, it can be utilized as coupons, vouchers, as a reward for contests, payments, and for purchasing various goods and services. Ethereum tokens are listed on the top crypto exchanges in the market like Coinbase, Binance, and Eidoo.
Many industries like transport, education, hospitality, construction, healthcare, financial services, shipping, electricity, tourism, metals, and minerals use Ethereum tokens.
Ethereum tokens have a verified source code, possess a fixed supply, are mintable, and burnable. However, the tokens cannot be recovered if the user loses them.
The expenses to spend on building Ethereum tokens
- Mention the token name, token symbol, the decimal places for the token, the total supply of tokens for circulation in the market, and the code of the contract.
- Verify the source code thoroughly.
- The budget depends on different factors like the features of the token, the token design, the testing platform used for testing the functionalities of the token, and the distribution strategy. It also depends on the standards and scope of the project.
- ERC standard token creation will be around $2000 to $5000 and integration with smart contracts will cost like $10,000.
- Most of the Ethereum token development companies provide services like token creation, token transfer, listing the tokens on the leading crypto exchanges in the market, integration with web and mobile wallets, establishing safe cold storage facilities, and verification on Etherscan, which is the block explorer of the Ethereum blockchain network.
- Etherscan tracks the tokens bought and sold, the transactions executed by the user, and the wallet address used.
- Add your token to MetaMask wallet.
- Your token symbol and decimal fields will be automatically displayed.
- Your tokens will be visible on the MetaMask wallet.
- A certain amount of ETH needs to be paid for contract deployment.
- Once the Ethereum transaction has been confirmed, the contracts are deployed and ready to be used.
- If the tokens are of fixed supply, the total supply has to be set at the token creation stage itself, the users get 100% ownership of their ERC20 tokens, and it is accepted by most of the exchanges in the industry.
- If the tokens are mintable, then new tokens can be added to the token supply at any time.
What are the different types of Ethereum tokens that can be created?
- ERC20 tokens - They are the most common kind of Ethereum tokens. It can be easily integrated with the leading cryptocurrency wallets and exchange platforms. One can transfer ERC20 tokens to others as a means of payment. It takes a minimum cost to create and launch in the market. ERC20 tokens can be swapped from one form to another using the Atomic swap feature.
- ERC223 tokens - It is a highly efficient token and also possesses improved speed and security. ERC223 tokens are popularly known as the superset of ERC20 as it acts as an upgraded version of the ERC20 token. It can be used in smart contracts enhancing the efficiency of a firm’s business operations. ERC223 tokens help in preventing token losses during the process of transferring tokens. The developer has the right to handle all the incoming token transactions.
- ERC1400 tokens - It is an innovative token security standard and works with several other token standards to manage both fungible and non-fungible tokens with ease. Both small and big businesses can use ERC1400 tokens to process transactions effortlessly. The holders are the sole owners of the ERC1400 tokens. There is also an option available to recover the funds of the users in a hassle-free manner.
- ERC721 tokens - It is a unique kind of token mostly used for gaming purposes. They are non-fungible tokens and hence are interchangeable and not divisible. Some of the famous games made by ERC721 tokens are Cryptokitties. ERC721 tokens can be used to represent ownership over several assets like real estate and virtual assets.
- ERC721x tokens - It is a smarter token utilized by the users to exchange crypto collectibles. It is an extension of the ERC721 token and supports more multi-fungible tokens. It can be used in various wallets, marketplaces, and paying for different services. It is ideal for gaming as it has a lower fee and uses less energy. The transaction process is seamless and this benefits the users to a great extent.
- ERC827 tokens - It is also an extension of the ERC-20 token. ERC827 tokens can be easily transferred by users in a short time. It can be used to transfer both data and value like money, equity, and shares.
- ERC777 tokens - It was mainly created to fix the security issues in ERC-20 tokens. It can interact with token contracts smoothly by adding more functions to the contract creators, token holders, and token recipients. ERC777 tokens are used to manage the issuance aspect on the Ethereum blockchain network. It can be seamlessly integrated with different traditional assets like equity shares, debentures, bonds, stocks, futures, forwards, options, and swaps.
- ERC1155 tokens - It is a powerful token standard and is flexible to manage both fungible and non-fungible tokens. Multiple tokens can be sent in a single transaction saving gas costs and preventing the need to wait for each block in single transfers. Anti-fraud mechanisms are present and no intermediaries are involved when the ERC1155 tokens are transferred by the users.
Hence, as seen above, prepare your business model, make sure that it is economically and technically feasible, choose the right blockchain platform for token development, create and distribute the Ethereum tokens, and market it aggressively across various communication channels.
