How to issue tokens on ethereum? Standards: ERC20, ERC223, ERC721
What can my token?
What kind of token you need – security or utility?
Technically, there are no big differences between them. Differences are present in the legal field, since the release of security tokens requires the approval of the local financial regulator. More than 72% of all startups have issued their tokens on the Ethereum blockchain. The most popular standard for issued tokens is “the classic one” ERC20. The ERC20 token is a simple and reliable tool, in cases when it is necessary to attract investors’ funds, and in return give “something” tangible, confirming their investments in this project.
ERC223 vs ERC20
Sometimes people mistakenly send tokens to address representing a contract. In this case, smart contract will become the owner of the tokens and the tokens can remain on the contract address forever. The ERC223 standard eliminates this flaw. At the same time, the transfer of ERC223 to a contract requires less gas than ERC20.
What is ERC721 token?
Sometimes the project infrastructure requires creation of unique tokens, each of which can be linked to a particular asset or part of it. In this case, ERC721 tokens are used. These tokens are not interchangeable and cannot be divided into component parts, unlike ERC20 and ERC223 tokens. Each ERC721 token differs from its counterparts – it has its own unique characteristics that allow its identification and monitoring. ERC721 are perfect tool for tokenization of real assets, as well as actively used in the gaming industry. The most famous example is the sensational game CryptoKitties, which crash the Ethereum network at the end of 2017. Our team provides services of token emission and safe token storage of any standard, as well as consulting on issues related to capital raising.