Add-Ons Difference between ERC20 and TRC20 tokens - A simple guide


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Mar 12, 2024
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In the world of cryptocurrency, ERC20 and TRC20 tokens are two popular standards used on the Ethereum and Tron blockchains respectively. While both types of tokens serve similar purposes, there are key differences between them that set them apart.

In this article, we will explore the main differences between ERC20 and TRC20 tokens to help you better understand these two types of digital assets.

ERC20 Token

First, let's take a look at ERC20 tokens. ERC20 stands for Ethereum Request for Comments 20, which is the standard used for tokens issued on the Ethereum blockchain. ERC20 tokens are fungible, meaning that each token is identical and interchangeable with another token of the same type. These tokens are widely used for crowdfunding, ICOs (Initial Coin Offerings), and decentralized applications (DApps) built on the Ethereum platform.

One of the key advantages of ERC20 tokens is their high level of compatibility with various Ethereum wallets and exchanges. This makes it easy for users to store, trade, and transfer ERC20 tokens without any hassle. Additionally, ERC20 tokens benefit from the security and decentralization of the Ethereum blockchain, which is one of the most well-established and reputable blockchain networks in the world.

TRC20 Token

On the other hand, TRC20 tokens are based on the TRON blockchain and follow the TRC20 token standard. TRON is a blockchain platform that focuses on high throughput and scalability, making it a popular choice for applications that require fast and low-cost transactions. TRC20 tokens are fully supported by the TRON network and can be used for various purposes, including smart contracts, decentralized finance (DeFi) applications, and tokenized assets.

One of the main advantages of TRC20 tokens is their ability to leverage the speed and efficiency of the TRON network. Transactions involving TRC20 tokens are processed quickly and at a lower cost compared to many other blockchain networks. This makes TRC20 tokens a preferred choice for users who prioritize fast and affordable transactions in their blockchain-based activities.

Key Differences

Now that we have looked at ERC20 and TRC20 tokens individually, let's highlight some of the key differences between them:

  • Blockchain Platform: ERC20 tokens are based on the Ethereum blockchain, while TRC20 tokens are based on the TRON blockchain.
  • Transaction Speed: TRC20 tokens generally offer faster transaction speeds compared to ERC20 tokens.
  • Transaction Fees: TRC20 tokens are known for their lower transaction fees, making them a cost-effective option for users.
  • Ecosystem Support: ERC20 tokens have a larger ecosystem of wallets and exchanges that support them, while TRC20 tokens are gaining popularity and adoption on the TRON network.

Overall, both ERC20 and TRC20 tokens have their unique features and advantages. The choice between them will depend on the specific requirements and preferences of users. When it comes to Token creation, an ERC20 token and a TRC20 token have key differences between them. To understand more about the ERC20 token vs TRC20 token, read this blog >>