The world of NFTs has really come a long way! And now, there are all kinds of projects, collections, events, and an entire community behind them. So, to develop such amazing digital tokens and keep the industry going, there has to be a defining standard. Therefore, weâ€™ve come to the development of NFT standards!Â
What are NFT Standards?
NFT standards describe the process of building non-fungible tokens on a specific blockchain according to blockchain protocol. It defines the smart contract and features that each token has. These standards also denote a set of rules that developers have to comply with to create Ethereum-based tokens. Non-fungible tokens have to follow these standards to interact with other tokens in the network.
When were NFT Standards created?
In 2018, the Ethereum blockchain launched the very first standard. Dieter Shirley proposed these specifications as an Ethereum Improvement Proposal.
It started with the ERC-20 token standards for fungible tokens that launched over a thousand ICOs. Later in 2018, they developed the ERC-721. It implemented API for tokens within a smart contract and ensured that each NFT is unique.
What does ERC stand for?
ERC stands for Ethereum Request for Comments.
What does the number mean?
The number is a unique ID number for the standard.
What is the most popular of all NFT standards?
The ERC-721 is the most popular and widely used of all NFT standards.
How do the ERC-721 NFT standards work?
The ERC-721 standard was written by William Entriken, Dieter Shirley, Jacob Evans, and Nastassia Sachs. It is free, open, and describes how to build NFTs on the Ethereum blockchain. ERC-721 tokens are unique, they cannot be destroyed, nor duplicated.Â
ERC-721 is like a template that developers agree to follow. Ultimately, this means better compatibility with applications for crypto exchanges, dApps, and crypto-wallets.
Other NFT Standards
A standard that allows for transaction fees to be paid using the tokens involved in a transfer. If you made a transfer with X Tokens, you pay for the transaction in X Tokens!
A standard that aims to improve the ERC-20 standard and add more features. Users can send tokens on behalf of different addresses.Â
It allows the approval of fungible token transfers.
A smart contract that allows users to pay for transactions with tokens instead of gas fees.
A smart contract that allows users to transfer several NFTs in one transaction.
These NFT standards are similar to the ERC-721 standards. However, users can organize their 998 tokens into complex digital assets that they can trade or sell as one.
A standard designed to manage Ethereum tokens of different types. It can contain ERC-20 or ERC-721 and works for both fungible and non-fungible tokens.
These NFT standards allow people to register non-fungible and fungible tokens in the same smart contract.Â
NFT standards for security tokens that are sold as securities. They require more control over who can access the coins and uses the know-your-customer protocol.