about 3 months ago
BEP20 is a standard used for creating tokens on Binance Smart Chain. Tokens are valuable components of a blockchain-based system, Decentralised app (DApp), platform, or economy. Tokens facilitate the movement of value and track activities on the blockchain. So, they are a key to conducting many different kinds of transactions. BEP stands for Binance Smart chain Evolution Proposal. BEP20 is a token standard Binance created for Binance Smart Chain. Binance Smart Chain is the smart contract platform, and it runs parallel to the original Binance Chain. The BEP20 token standard on Binance Smart Chain is identical to the ERC20 token standard on Ethereum. BEP20 is a developer-friendly token standard that allows anybody to use Binance Smart Chain to construct fungible digital currencies or tokens. Furthermore, prominent digital assets on other chains can be pegged BEP20 tokens and moved to Binance Smart Chain. Binance Bridge, for example, may be used to exchange bitcoin (BTC) for BTCB (BEP20) tokens backed by BTC. To generate a dividend on bitcoin, BTCB (BEP20) tokens can be used in DeFi protocols. The same can be said for ETH, XRP, DOGE, and a slew of other cryptocurrencies. The token is contract-compatible and has basic features like transferring, returning a balance, and examining a token's possession. The BEP20 establishes a set of guidelines.
Add your comment on this topic to start a conversation.