Understanding of ERC-20-Takens: Open the potential of cryptocurrency
The world of cryptocurrency has exploded in recent years, and new techniques and platforms have increased daily. One of the most used blockchain -based systems is Ethereum (ETH), which also has a wide DAPP (DAPP) ecosystem. Among these DAPPS, a character stands out: ERC -20 tokens. In this article, we will consider which Token ERC-20, its use cases and how they can be used in the world of cryptocurrency.
What is the ERC-20 character?
ERC-20 (request for comments from Ethereum 20) is a standard determination for the Ethereum block chain. Its purpose is to provide developers with the opportunity to create new digital funds that can interact with other intelligent contracts and decentralized applications. In 2015, Vitalik Butin was created by the first generation of ERC-20-Tokens, also known as ERC-20 characters or simply “chips”.
The ERC-20-Takens are based on the public network of Ethereum Blockchain (for example, Ethereum Mainnet) and can be used to represent a variety of funds, such as:
- Funds : Tokens can be used as an exchange tool that represents the property or administration of digital properties.
- Instruments : ERC-20 characters can also be used as a participation for derivatives or other intelligent contracts.
- Defi property (decentralized financing) : Tokens-based dating protocols and decentralized exchanges are just some examples of how ERC-20 characters can be used in defi applications.
Use cases ERC-20-Tokens
The Token ERC-20 has numerous use cases in different industries, which include:
- Cryptocurrencies : Many ID ERC-20 are created to compete with existing cryptocurrencies such as Bitcoin (BTC) and Ethereum.
- Collectible digital : ERC-20-Takens has become a popular way for creators to publish a unique digital property, such as Art, Collecible Artems or NFT: Eastern (COD unplayed).
- Playing : Many game platforms integrate systems based on the ERC-20 brand that allow players to win awards and participate in various activities.
- Insurance : Some insurance companies have begun to use ERC-20 characters to represent the ownership of the insured or even as a guarantee to handle claims.
- Social means : ERC-20-Takens as Twitter uses your user information to win.
Popular use cases
Some significant examples of how ERC-20 characters can be used are:
- UNISWAP (V2) : This decentralized replacement protocol is built using ERC-20 characters so that users can exchange different funds.
- DYDX : The ERC-20 brand obtains this decentralized exchange, allowing merchants to perform large stores.
- TWINS : This decentralized replacement and the Stablecoin platform use ERC-20 characters for its original currency.
Security and regulations
ERC-20 brands operate in a public block chain, which naturally means that they are prone to security risks such as:
- Computer pirate attacks
: Attackers can use vulnerabilities in intelligent contracts or wallet software.
- Loss of tokens : Users can lose all their investment due to piracy or other harmful activities.
To relieve these risks, ERC-20 identification holders should:
- Use good reputation wallets : Place in the hardware in your wallets, such as the main book or in Trezor to achieve safe storage.
- Keep the safe private keys
: use moni-sig wallets and keep your private keys safe.
- Make sure the events : Always make sure the events before transferring the funds.
conclusion
The ERC-20 Racing offers a wide range of opportunities for decentralized applications, cryptocurrencies and other blockchain-based projects. As the cryptocurrency mode continues to develop, the understanding of ERC-20 races is becoming increasingly important for developers, investors and users.