ERC20 Tokens
With the development of Nibiru EVM, the network supports Ethereum smart contracts, allowing for the deployment of ERC20 tokens. Each ERC20 token is a fungible digital asset on the Nibiru blockchain.
TIP
New to ERC20 tokens? Go to this section to learn more.
FunToken Mapping Mechanism
How this works is that a canonical mapping called a "FunToken mapping" can be created between a ERC20 and Bank Coin. This mapping ties a unique connection between the two fungible token representations and enables all accounts to freely convert between both forms.
How do Bank Coins differ from ERC20 tokens?
| Aspect | Bank Coins | ERC20 Tokens |
|---|---|---|
| State Management | Managed directly by the Bank module in its own key-value store | Managed within each token's smart contract state |
| Creation Process | Created through governance proposals, permissioned modules, or the Tokenfactory module | Created by deploying new smart contracts |
| Efficiency | Typically more gas-efficient due to native implementation | Generally consume more gas due to smart contract execution |
| Standardization | All follow the same standard and are handled uniformly by the blockchain | Can have variations in implementation, though most follow a standard interface |
| Balance Queries | Queried through the Bank module's API, which is easy to manage because the same generic query is used for all coins. | Queried by calling the ERC20 token's smart contract, as balances are individually stored on each contract. |
| Transfer Mechanism | Executed directly by the Bank module | Executed by calling the token's transfer function |
| Supply Management | Controlled by authorized modules or governance | Managed by the token's smart contract logic |
| Permissionless Creation | Possible via the Tokenfactory module | Inherent (anyone can deploy a new token contract) |
| Storage Efficiency | More efficient as all coins share the same infrastructure | Each token contract stores its own data separately |
| Interoperability | Native to the Bank Module but can be converted to ERC20 via the FunToken system | Native to EVM environments (Nibiru EVM in this case) but can be converted to Bank Coins via the FunToken system |
Bridged USDC Standard
Circle's Bridged USDC Standard will be deployed on the Nibiru EVM when V2 hits mainnet.
"Bridged USDC Standard is a specification and process for deploying a bridged form of USDC on EVM blockchains with optionality for Circle to seamlessly upgrade to native issuance in the future.
The result is a secure and standardized way for any EVM blockchain and rollup team to transfer ownership of a bridged USDC token contract to Circle to facilitate an upgrade to native USDC, if and when both parties deem appropriate." - Circle Blog.
More information on this is coming soon.
LayerZero Assets
More information on this is coming soon.
ERC20 Token Standard
ERC20, introduced in 2015 as part of an Etheruem Improvement Proposal (EIP-20), is the most widely adopted standard for fungible tokens on Ethereum-compatible blockchains, such as Nibiru. The ERC20 standard defines a set of rules that tokens must adhere to, ensuring compatibility with wallets, dApps, and other blockchain tools.
At its core, each ERC20 token is implemented as a smart contract—self-executing code on the blockchain—that handles all token functionality, including managing balances, transfers, and allowances.
The ERC20 standard specifies several core functions and events, which include:
balanceOf(address owner): Returns the balance of tokens for the given address.transfer(address to, uint256 value): Moves tokens to another address.approve(address spender, uint256 value): Sets an allowance for another address to spend tokens.allowance(address owner, address spender): Returns the remaining number of tokens a spender can transfer on behalf of the owner.transferFrom(address from, address to, uint256 value): Transfers tokens from one address to another using an allowance.totalSupply(): Returns the total number of tokens in existence.
These functions allow apps to interact with ERC20 tokens in a standardized manner.