Tokens Built On XDC

The XDC Network is a powerful blockchain platform designed to support various digital assets and decentralized applications. One of its key features is the ability to create and manage tokens, which can represent anything from currency to assets, data, or even unique digital items. On the XDC Network, tokens are classified into different standards based on their functionality and use cases. Here’s an overview of the major token standards:

XRC20

Overview:

XRC20 is the most widely used token standard on the XDC Network, similar to the ERC20 standard on Ethereum. XRC20 tokens are fungible, meaning each token is identical in type and value to another token within the same contract. These tokens are primarily used for cryptocurrencies, utility tokens, and other financial instruments.

Key Features:

• Fungibility: Every XRC20 token is identical and interchangeable.
• Interoperability: XRC20 tokens can interact with various decentralized applications (dApps) and smart contracts within the XDC ecosystem.
• Efficiency: Transactions using XRC20 tokens benefit from the XDC Network’s high throughput and low fees, making them ideal for financial applications.

Use Cases:

• Cryptocurrencies: XRC20 tokens can represent any form of digital currency on the XDC Network.
• Utility Tokens: These tokens can be used within dApps as a medium of exchange, access to features, or as a reward mechanism.

XRC721

Overview:

The XRC721 standard allows for the creation of non-fungible tokens (NFTs) on the XDC Network. Unlike XRC20 tokens, XRC721 tokens are unique and cannot be exchanged on a one-to-one basis. Each XRC721 token has a distinct value and set of characteristics, making them ideal for representing ownership of unique items or digital collectibles.

Key Features:

• Uniqueness: Every XRC721 token is unique and cannot be replaced or replicated.
• Ownership Proof: XRC721 tokens are often used to prove ownership of digital or physical assets.
• Compatibility: These tokens can be used across various NFT marketplaces and platforms within the XDC ecosystem.

Use Cases:

• Digital Collectibles: XRC721 tokens can represent digital art, collectibles, and other unique digital assets.
• Asset Tokenization: Real-world assets like real estate, luxury goods, and intellectual property can be tokenized as XRC721 tokens, providing proof of ownership and enabling fractional ownership.

XRC404

Overview:

XRC404 is a specialized token standard designed for hybrid tokens on the XDC Network. These tokens combine features of both fungible and non-fungible tokens, offering a new level of flexibility for developers and businesses.

Key Features:

• Hybrid Nature: XRC404 tokens can function both as fungible and non-fungible tokens, depending on their implementation.
• Customization: Developers can customize XRC404 tokens to suit specific use cases that require attributes of both XRC20 and XRC721 standards.
• Versatility: This standard is particularly useful for creating complex financial products or tokenizing assets with both unique and identical components.

Use Cases:

• Fractionalized NFTs: XRC404 tokens can be used to create fractional ownership of NFTs, allowing multiple stakeholders to own a piece of a unique asset.
• Complex Financial Instruments: These tokens can represent hybrid financial products that require both fungibility and uniqueness, such as bonds with unique identifiers but common underlying assets.