What is the ERC20 Token Standard?

There has been a lot of Babble and Babel going on around the term ERC20 ethereum token in the market these days. Before talking about this wildfire we must know about the wind which made it spread i.e. Ethereum. If you want to know what ERC20 is, then you must be aware of the concept of Ethereum as well as tokens.

AMAZINGCOIN has an upper hand over other payment gateways in more ways than you can imagine.

What is Ethereum?

Ethereum is a blockchain ecosystem which includes the use of cryptocurrency for the purpose of trading, buying or selling. There are various tokens which are used in Ethereum blockchain system but they may or may not be different from Ether which is the major currency of Ethereum blockchain. Ethereum blockchain helps you to build a decentralized application for the use and exchange of cryptocurrencies.

All our passwords and personal data like credit card numbers or other account details can be easily compromised if put into wrong hands. Often during the transactions, the payments gateways charge high transfer fees due to the presence of third parties. Whilst the cryptocurrencies aim at replacing the use of digital cash with virtual money, Ethereum has a goal of making the payment system decentralized for direct peer to peer communication by eliminating the third party barrier.

The basis of Ethereum is that it is built on small points called “nodes”. The Ethereum is designed in such a way so as to provide you all the right over your information without disclosing it to the third party thus making all of your data and documents very secure. Ethereum is a step taken to revolutionize the online banking and payment and e-commerce industry and it has already started to do so.

The above discussion finally brings us to our topic i.e. ERC20 tokens. Now, what are ERC20 token? And how are they related to Ethereum?

What are ERC20 tokens?

Tokens can be basically defined as something which is used for representation of something else. In case of blockchain, tokens can be defined as something which holds financial value or is a virtual presentation of digital cash.

The ERC20 tokens are nothing but it holds some financial value on ethereum blockchain system.

Mostly the token used in Ethereum blockchain do not comply with any standards. An ERC20 token was introduced to change that. The ERC20 tokens are nothing different from the usual token. They just happen to hold some financial value on Ethereum blockchain system for which all the tokens have to follow certain rules adhering to the usage of ERC20 tokens.

The use of  makes the use of currency more standardized, easy and flexible thus making its function expand over the blockchain platform for mass payments and transaction.

Hence, a project will not have to be renewed for each time a new token is released as they all will follow the same set of rules.

Within the last year, many tokens have been issued complying to the standards of ERC20 which have proved to be compatible with several decentralized apps (Dapps). With the use of ERC20 tokens, we can now keep count of all the tokens that are being exchanged without the fear of them being lost in the process.

AMAZINGCOIN and ERC20 Token

Though many payment gateways have used ERC20 as a standard token AMAZINGCOIN has proved to be the first payment gateway solution for a fast, safe and secured transaction with all its cryptocurrencies complying to the rules of ERC20. AMAZINGCOIN is based on standard and smart Ethereum blockchain network and follows all the principles of ERC20.

AMAZINGCOIN has many features and products like peer-to-peer communication, no third party involvement, fast transaction, usage of multiple cryptocurrencies around the web, transparency and anonymity all based on a decentralized foundation which gives it an upper hand over other payment gateways in more ways than you can imagine.

Though ERC20 and AMAZINGCOIN are a big step towards bringing revolutionary change in payment and online banking industry but you can rest assured that it is just the beginning and a digital revolution is yet to come.