BEP-20

Understanding BEP-20: A Token Standard on the Binance Smart Chain

BEP-20 is a token standard specifically designed for the Binance Smart Chain (BSC) as an extension of the widely adopted ERC-20 standard on the Ethereum network. It serves as a blueprint for the utilization, eligibility, and overall usage guidelines of tokens on the BSC.

Derived from the ERC-20 standard, the BEP-20 standard retains full compatibility while incorporating modifications to the code of its defining functions. These modifications aim to enhance the protocol’s performance and optimize transaction costs. Essentially, BEP-20 acts as a technical specification for the Binance Smart Chain, providing developers with a flexible framework to launch various types of tokens. These tokens can represent anything from business shares to stablecoins backed by assets stored in a bank vault.

BEP-20 enables the creation of native assets as tokens on the Binance Smart Chain and facilitates the compatibility and usability of tokens from other blockchains on the BSC.

The process of creating a BSC token adheres to the straightforward BEP-20 standard, also known as BEP020. This standard ensures that the token possesses essential functionalities, including transferability, checking token balance, viewing token ownership, and more.