Token Standards

Token standards are guidelines that define how digital tokens operate on a blockchain. They ensure interoperability and functionality among various applications and platforms. For example, Ethereum's ERC-20 standard governs how tokens can be created, transferred, and utilized, facilitating seamless interactions within its ecosystem. Token standards help developers and users understand how to use and integrate these tokens, promoting consistency and trust in transactions, whether for currencies, assets, or utility tokens within decentralized applications.