The BEP-20 token standard extends ERC-20, the most common Ethereum token standard. It is used to represent a wide range of crypto assets on the Binance Smart Chain (BSC). In fact, the acronym BEP stands for Binance Smart Chain Evolution Proposal.
BSC was created by the crypto trading platform Binance in May of 2020 to run in parallel but independently from the Binance blockchain. BSC was developed to incorporate smart contract functionality not possible with BEP-2 (Binance’s token standard) without overburdening the Binance blockchain, which is favoured among traders for its fast processing times.
The BEP-20 token standard provides a framework for developers to introduce tokens that are compatible with the BSC framework while also allowing for DeFi and dApp operability. The BEP-20 token standard defines the requirements for how a token can be created and used.
According to Binance documentation: The BEP-20 standard “defines the implementation of APIs for token smart contracts. It is proposed by deriving the ERC-20 protocol of Ethereum and provides the basic functionality to transfer tokens, allow tokens to be approved so they can be spent by another on-chain third party, and transfer between Binance Chain and Binance Smart Chain.”
How do BEP-20 tokens work?
BEP-20 tokens are relatively easy to deploy. They were developed to be an extension of the BEP-2 Binance token and ERC-20 tokens and so are compatible with both through what are referred to as peg-in and peg-out conversions using the Binance Bridge or other compatible wallet.
According to Binance's BEP-20 tokens guide, besides natively created BEP-20 token examples like binance coin (BNB) and PancakeSwap (CAKE), there are also “peggy” coins, which are essentially BEP-20 versions of other crypto assets, including ether (ETH), cardano (ADA), and tether (USDT). Peggy coins represent a class of BEP-20 tokens on the BSC platform that are pegged and backed 1:1 crypto assets.
According to Binance: “A number of digital assets – such as BTC, LTC, ETH, EOS, or XRP – already exist on Binance Chain as ‘Peggy coins.’ These are tokens that are pegged to assets on their native chains. For instance, you might decide to lock up 10 BTC in order to receive 10 BTCB on Binance Chain. At any time, you can trade your 10 BTCB for 10 BTC, meaning that the price of BTCB should closely track that of native BTC.”
BEP-20 tokens explanation
The BEP-20 standard does share many characteristics with ERC-20 protocols, such as defining the total supply and balance, the divisibility standard and transferability requirements. Transfers between BEP-20 tokens are facilitated by BNB, the native Binance coin and the validation processors of BSC are rewarded in BNB, the same way gas fees are paid on Ethereum.
The BEP-20 token standard is flexible and programmer-friendly, allowing for all kinds of fungible tokens to be created. Like those created using the ERC-20 standard, BEP-20 tokens can be pegged to another crypto or fiat, represent tokenised securities or be used to issue stablecoins. The standard used by BEP-20 tokens means that any BEP-20 token is fully compatible with all ERC-20 and BEP-2 tokens across the Ethereum and Binance blockchains.
BEP-20 is the token standard for all apps on the BSC, a dynamic blockchain network that runs an alternative to Ethereum. This token standard outlines the specifications and rules for creating BEP-20 tokens. Following this token standard ensures seamless usage, storage, and transfer of tokens on the Binance Smart Chain.
BEP-20 tokens represent a diverse range of crypto assets that don't have their own blockchain but reside on top of the Binance Smart Chain (BSC). BEP-20 is a technical standard that emerged to use for all smart contracts on the Binance Smart Chain for token implementations.
What does BEP20 Wallet mean? A BEP20 Wallet is a digital tool for managing assets on the BNB Chain, supporting various cryptocurrencies and integrating with blockchains for versatile use. A BEP20 wallet is an essential tool for navigating the BNB ecosystem, designed to securely manage digital assets.
BEP-20 is a token standard on BNB Smart Chain (BSC) that extends ERC-20, the most common Ethereum token standard. You can think of it as a blueprint for tokens that defines how they can be spent, who can spend them, and other rules for their usage.
This standard ensures that BEP20 tokens can work smoothly with each other and with various decentralized applications (DApps) on the BSC network. To secure BEP20 tokens, start by using a reliable wallet. Hardware wallets like Ledger and Trezor offer high security by keeping private keys offline.
Developed by Binance, the Binance Chain Wallet is specifically designed for Binance Smart Chain and supports BEP-20 tokens. Key features include: Binance Ecosystem Integration: Seamlessly interacts with Binance DEX and other BSC services.
How can I move my crypto in a BEP20 network from my Coinbase wallet app to a bank account? * Open the Coinbase wallet app and select the BEP20 crypto you want to withdraw.* Tap "Convert" and choose a supported crypto that is withdrawable to a bank account (e.g., USDC).
BEP-20 is a token standard created on BNB Smart Chain (BSC), formally known as Binance Smart Chain. BEP-20 is BSC's equivalent to ERC-20, the token model used on the Ethereum blockchain. This means that the two token models are compatible with one another.
Both token standards support developers in creating custom tokens. However, ERC-20 tokens offer developers more resources and tools, thanks to Ethereum's vibrant and established development community. So developers wanting a low barrier to entry into token creation would likely prefer Ethereum's network.
In conclusion, BEP-20 tokens offer significant advantages such as interoperability, low fees, robust ecosystem support, security, liquidity, decentralisation, and scalability.
The BEP-20 token standard extends ERC-20, the most common Ethereum token standard. It is used to represent a wide range of crypto assets on the Binance Smart Chain (BSC). In fact, the acronym BEP stands for Binance Smart Chain Evolution Proposal.
BEP-20 tokens are implemented as smart contracts on the Binance Smart Chain. These contracts define the token's behaviour, including total supply, token transfers, and other functionalities essential for interacting with the blockchain.
Tether on the BNB Smart Chain is known as USDT BEP20. BEP20 is a token standard that expands on Ethereum's ERC20, being more flexible in terms of token generation and cheaper to use due to lower gas fees.
The price of Sheesha Finance (BEP20) (SHEESHA) is $4.96 today with a 24-hour trading volume of $2.31. This represents a - price increase in the last 24 hours and a - price increase in the past 7 days. With a circulating supply of 59 Thousand SHEESHA, Sheesha Finance (BEP20) is valued at a market cap of $292,453.
BEP20 and ERC20 are two popular token standards in the world of cryptocurrencies and blockchain technology. BEP20, is a token standard developed by Binance, one of the largest cryptocurrency exchanges in the world.ERC20, on the other hand, is a token standard developed for the Ethereum blockchain.
Key Takeaways. An ERC20 token is a standard for creating and issuing smart contracts on the Ethereum blockchain. ERC stands for "Ethereum Request for Comment," and the ERC20 standard was proposed in 2015.
Introduction: My name is Chrissy Homenick, I am a tender, funny, determined, tender, glorious, fancy, enthusiastic person who loves writing and wants to share my knowledge and understanding with you.
We notice you're using an ad blocker
Without advertising income, we can't keep making this site awesome for you.
