What Is BEP-20?

BEP-20 is a technical standard used for the creation and implementation of tokens on the Binance Smart Chain (BSC). It is similar to the ERC-20 standard used on the Ethereum network. BEP-20 was developed by Binance, one of the largest cryptocurrency exchanges in the world.

BEP-20 is a protocol for creating and managing tokens on the Binance Smart Chain. It sets out a specific set of rules that govern how tokens should be created, managed, and transferred on the Binance Smart Chain. Tokens that comply with the BEP-20 standard are considered to be BEP-20 tokens.

What is Binance Smart Chain (BSC)?

Before we dive deeper into BEP-20, it’s important to understand what the Binance Smart Chain is. Binance Smart Chain (BSC) is a blockchain developed by Binance. It is designed to be fast and cheap, making it a popular alternative to the Ethereum network. BSC uses a Proof of Staked Authority (PoSA) consensus mechanism, which makes it more energy-efficient than other blockchain networks.

Binance Smart Chain is fully compatible with the Ethereum Virtual Machine (EVM), which means that it can support all Ethereum-based applications and smart contracts. This interoperability makes it easy for developers to migrate their applications and assets from the Ethereum network to BSC.

What are tokens?

Tokens are digital assets that are created and managed on a blockchain network. They can represent anything of value, such as a cryptocurrency, a digital collectible, or security. Tokens are often used as a way to raise funds for a project through an Initial Coin Offering (ICO) or Initial Exchange Offering (IEO).

Tokens are created using smart contracts, which are self-executing contracts that run on a blockchain network. Smart contracts can be programmed to automatically execute certain actions based on predefined conditions. This makes them ideal for creating and managing tokens, as they can ensure that the rules governing the token are always enforced.

How does BEP-20 work?

BEP-20 tokens are created and managed on the Binance Smart Chain using a set of rules and guidelines that have been established by Binance. These rules ensure that all BEP-20 tokens are compatible with the Binance Smart Chain and can be easily integrated into existing decentralized applications (dApps).

One of the key features of BEP-20 tokens is their interoperability. Because they are compatible with the Binance Smart Chain, BEP-20 tokens can be easily exchanged with other cryptocurrencies and tokens on the Binance exchange and other cryptocurrency exchanges.

What is the difference between BEP-20 and ERC-20?

As mentioned earlier, BEP-20 is similar to ERC-20, the most widely used token standard on the Ethereum network. Both standards define a set of rules that govern how tokens should be created, managed, and transferred on their respective networks.

However, there are some differences between the two standards. One of the main differences is that BEP-20 uses a different address format than ERC-20. BEP-20 addresses start with 0x followed by 20 bytes, while ERC-20 addresses start with 0x followed by 40 bytes.

Another difference is that BEP-20 has a lower gas fee than ERC-20. Gas fees are the fees paid to miners on a blockchain network to process transactions. The lower gas fee on BSC makes it cheaper to create and transfer BEP-20 tokens than ERC-20 tokens.

Why is BEP-20 important?

BEP-20 is important because it allows developers to create and manage tokens on the Binance Smart Chain. This opens up new opportunities for decentralized applications (dApps) and other blockchain-based projects to take advantage of the fast and cheap transactions on BSC.

By using BEP-20, developers can create tokens that are compatible with the Binance Smart Chain, making it easy for them to be traded on Binance and other decentralized exchanges (DEXs). This can help to increase liquidity and trading volume for these tokens, which can be beneficial for both the project and its investors.


In conclusion, BEP-20 is an important token standard that has gained popularity in the world of cryptocurrency. It provides a fast and inexpensive way to send and receive cryptocurrency, supports smart contracts, and is compatible with the Binance Smart Chain, which is known for its speed and efficiency. As a result, BEP-20 tokens have become a popular choice for developers, businesses, and traders alike. So, if you’re interested in exploring the world of cryptocurrency and blockchain technology, be sure to check out BEP-20 and the many possibilities it offers.