ERC-20 token standard

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The ERC-20 token standard is a widely adopted framework for creating and managing tokens on the Ethereum blockchain. It defines a set of rules and functions that all ERC-20 tokens must follow, ensuring interoperability between different tokens and decentralized applications (dApps). This standard allows developers to issue their tokens while maintaining compatibility with existing Ethereum-based services, wallets, and exchanges. ERC-20 tokens can represent a variety of digital assets, including utility tokens, governance tokens, and stablecoins.

By adhering to the ERC-20 standard, tokens can be easily transferred, tracked, and traded across Ethereum’s decentralized ecosystem. The standard includes essential functions like transferring tokens, checking balances, and allowing token approval for third-party transfers. This simplicity and consistency make ERC-20 tokens a cornerstone of Ethereum’s token economy, providing a foundation for Initial Coin Offerings (ICOs), decentralized finance (DeFi) applications, and tokenized assets.

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