Understanding CW20 Tokens: The Injective narrative.
Ethereum is notorious for it's multiple token standards from ERC-20 to ERC-721, from ERC-1155 to ERC-721H.
Even Bitcoin is popular for the BRC-20 standard and Ordinals but have you wondered what standard tokens in Injective are run on?
CW20 refers to a standard for fungible tokens built on top of CosmWasm smart contracts. The smart contract upon which every infrastructure in Injective is built on. These tokens are essentially digital assets representing units of value that can be easily transferred and exchanged within the Cosmos ecosystem.
Here's a breakdown of the key aspects of CW20 tokens:
Fungibility:Â Each CW20 token is identical and indistinguishable from any other token of the same type. This allows for easy and efficient trading and exchange.
CosmWasm Compatibility:Â CW20 tokens are built to seamlessly integrate with CosmWasm smart contracts, enabling developers to create sophisticated token-based applications.
Key Features:
⢠Minting: CW20 tokens can be created (minted) through smart contracts according to predefined rules.
⢠Burning: Tokens can be destroyed (burned) permanently, reducing the total supply.
⢠Transferring: Users can easily transfer tokens to other addresses within the CosmWasm ecosystem.
⢠Balance Checking: Users can readily check their balance of any CW20 token.
⢠Interacting with Contracts: CW20 tokens can be used to interact with other smart contracts, enabling various functionalities like governance, staking, and decentralized exchanges.
Benefits of CW20 Tokens:
⢠Flexibility: CW20 allows for the creation of a wide variety of token types with diverse functionalities.
⢠Security: CosmWasm's secure environment ensures the safe storage and transfer of CW20 tokens.
⢠Interoperability: CW20 tokens are compatible with other CosmWasm-based applications and protocols, promoting wider adoption and integration.
Tools and Resources for token development and research:
⢠CW20 Spec: https://github.com/CosmWasm/cw-tokens
⢠Build a CW20 Token Factory: https://docs.terra.money/develop/terrain/cw20-factory/
⢠CW20 Tokens: https://classic-docs.terra.money/docs/develop/dapp/quick-start/cw20-factory.html
⢠cw-plus/packages/cw20: https://github.com/CosmWasm/cw-tokens
⢠CosmWasm/cw-tokens: https://github.com/CosmWasm/cw-tokens
The game changing Injective CW20 narrative:
@Square-Creator-474c24831 is however working towards eliminating all this bulky developer-ish resources by building Mito Finance.
Mito Finance is a Groundbreaking Web3 protocol that revolutionizes automated trading, launchpads, RWAs and Real yield generation.
Still in an incentivised testnet phase, the mainnet deployment of this super protocol enables anyone to create and launch a token in less than 60 secs.
You can access Mito via mito.fi or hub.injective.network.
Now you know the underlying tech behind tokens in the cosmos superchain.
Follow me for more Injective and Crypto related content.
