Cryptocurrency tokens taking the market by storm
Cryptocurrency tokens are marching into the market with quite a pace now. However, not everybody has a clear vision of what exactly do tokens represent and how they function. For this, we would like to give a little bit of introduction on ERC20 (arguably the most popular type of cryptocurrency tokens) as well as mention several services that might help you deploy your own token.
What is an ERC20 token?
An ERC20 token is a cryptocurrency token used on the Ethereum blockchain. To have a better understanding of what does all this mean, let’s dig deeper into the details.
First of all, Ethereum is a decentralised network used for creating and running decentralised applications (a.k.a. DApps). DApps are built on the said blockchain with the use of its technology. Ethereum has perks of DApps, too — they charge developers in Ether (ETH) for the computer power use. DApps might create ERC20 tokens for various reasons (to have it as currency, to represent shares of a company or something else).
To create a token, you need a smart contract. Smart contracts have all the information about the future token as well as all the rules of ERC20 token functioning.
After a token gets created, it can be utilised in different ways — traded, spent, given away…
But wait, why are tokens so valuable? The answer is quite simple — tokens are a good way to help businesses grow. There is lots of interest from entrepreneurial side to have tokens issued.
Think about it this way: usually, companies use some kind of loyalty programmes or cash back to reward the clientele, but this strategy is getting quite predictable. Why not issue tokens? Tokens represent some kind of value or asset, so the holders can always make use of their token savings — use it for accessing some special services on the merchant’s website, or even exchanging or trading the crypto tokens. Not bad, right?
Businesses can make a good profit on issuing their own currencies. Right now it may seem like a very “tech” thing to do, but look at the market — there are more and more companies jumping on the token bandwagon.
However, issuing a token might not be as easy as it looks. A person who wants to create their own crypto needs to have some special knowledge of coding to make a smart contract and deploy it. This is why token generators (special services for creating cryptocurrency tokens) appear. There are not as many platforms you can use, though. So, we would like to discuss them in this brief overview:
MyWish is one of the most well-known platforms for token creation. The service works both with Ethereum (the above-mentioned ERC20) and EOS tokens. There are several steps that the user needs to go through to deploy a token with MyWish — creating a name, choosing the owner (getting a token linked to an ETH address), setting up the maximum supply of you future token and, finally getting your brand-new crypto.
We can surely say that it is a fairly simple process. The service fee for token deployment is 2.99 ETH (around 350 US Dollars) — MyWish accepts payments in ETH, BTC or WISH tokens. MyWish is a trusted service — there are thousands of companies that used the service for creating their tokens, as the officials say. The only drawback for the novice would be the price tag.
More information on https://mywish.io/
The youngest competitor on the list, Guarda Token Generator is a service working with ERC20 tokens. You might have heard of Guarda as a wallet creator (the company develops light wallets for various cryptocurrencies and is trustworthy in this field). It was the time for Guarda to expand — well, it is not like tokens do not have anything to do with cryptocurrency wallets, right? Just like MyWish, Guarda’s product is fairly simple in use — a token can be created in 3 steps without any technical background needed. The service fee for creating a token is 25 US Dollars — being affordable is definitely a feature distinguishing this generator from the others. Some of the functions, such as the Token Promotion pack, are still under maintenance, but the developing team assures that the works on this project will finish in the nearest future. With all the functions added to the service, the users will be able to create custom wallets, make instant airdrops for their tokens, upload icons for exchange representation and so on.
More information on https://guarda.co/app/token-generator
Smartz is a platform meant to make smart contracts easy and understandable for everybody. Sure, ERC20 tokens are on the list as well. The service allows users to create contracts (including using the mobile version) without any third-party connection. Besides, like with MyWish, you can launch your own platform with Smarts. The project gives their users an opportunity to create a custom token with a chosen name and ticker. However, more advanced options are not yet available on the platform. Smartz, as it can be seen from their website is currently focused on bringing Decentralised Applications to the masses.
Token deployment from this platform would cost the user 0.5 ETH (about 43 US Dollars).
More information on https://smartz.io
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