Blockchain technology serves as a decentralized ledger for virtual transactions, distributed across networks of computers. Among the most prominent blockchains today are Ethereum (ERC-20), Binance Smart Chain (BEP-20), and TRON (TRC-20)—each with unique token standards governing their ecosystems.
Understanding Token Standards
Token standards are sets of rules that define how tokens are created, issued, and managed within a blockchain. These ensure compatibility across wallets, exchanges, and decentralized applications (dApps). The most advanced standards include:
- ERC-20 (Ethereum Blockchain)
- BEP-20 (Binance Smart Chain)
- TRC-20 (TRON Blockchain)
Let’s explore their key differences and use cases.
ERC-20 Token Standard
Overview
ERC-20 is the gold standard for tokens on Ethereum, widely adopted for DeFi projects. These tokens are built using smart contracts and thrive on Ethereum’s secure, globally recognized network.
Key Features
- Fast Confirmations: Transactions are processed efficiently.
- High Security: Ethereum’s robust blockchain minimizes hacking risks.
- Global Acceptance: Compatible with wallets worldwide and interoperable with TRON and Binance Smart Chain.
👉 Explore Ethereum-based tools
TRC-20 Token Standard
Overview
TRC-20 tokens operate on the TRON blockchain, designed to offer faster and cheaper transactions than Ethereum. TRON’s virtual machine ensures compatibility with Ethereum’s Solidity language.
Key Features
- Interoperability: Works seamlessly with Ethereum.
- DPoS Consensus: Enables quicker, low-cost transactions.
- Dedicated Wallets: Easy transfers and sharing of tokens.
BEP-20 Token Standard
Overview
Binance Smart Chain’s BEP-20 standard merges the best of ERC-20 with enhanced efficiency. It supports decentralized apps (dApps) and cross-chain functionality.
Key Features
- Ethereum Compatibility: BEP-20 tokens function like ERC-20 tokens.
- dApp Hosting: Ideal for building decentralized applications.
- Cost-Effective: Lower fees than ERC-20 transactions.
👉 Learn about Binance Smart Chain
Comparison Summary
| Feature | ERC-20 | TRC-20 | BEP-20 |
|---|---|---|---|
| Blockchain | Ethereum | TRON | Binance Smart Chain |
| Speed | Moderate | Fast | Fast |
| Fees | Higher | Lower | Lowest |
| Use Cases | DeFi, NFTs | Payments, dApps | dApps, Cross-Chain |
FAQs
1. Which token standard is cheapest for transactions?
TRC-20 and BEP-20 offer lower fees compared to ERC-20.
2. Can I use ERC-20 tokens on Binance Smart Chain?
Yes, via interoperability bridges, though native BEP-20 tokens are optimized for BSC.
3. Are TRC-20 tokens secure?
TRON’s Delegated Proof-of-Stake (DPoS) ensures security, though Ethereum’s longer track record is often preferred for high-value projects.
4. Which standard is best for DeFi?
ERC-20 dominates DeFi, but BEP-20 is gaining traction due to lower costs.
5. How do I create a BEP-20 token?
Use Binance Smart Chain’s tools; simple tokens require minimal coding, while complex ones need Solidity expertise.
Final Thoughts
Choosing between ERC-20, TRC-20, or BEP-20 depends on your needs:
- Global Projects: ERC-20.
- Low-Cost Transactions: TRC-20 or BEP-20.
- dApp Development: BEP-20.
👉 Start integrating crypto payments today
For businesses, platforms like Plisio offer seamless gateways to accept payments in these standards with minimal fees (0.5%). Combine this with multi-chain wallets for a streamlined crypto experience.