Token Standard

A token standard is a shared set of rules that defines how a token behaves on a blockchain: which functions it must expose, how balances are tracked, and how transfers and approvals work. Because every compliant token answers the same interface, wallets, exchanges and smart contracts can support thousands of different assets without writing custom code for each one. On Ethereum the best-known standards are ERC-20 for interchangeable tokens and ERC-721 for non-fungible tokens, and other chains publish their own equivalents. A standard describes mechanics only. It says nothing about a project's quality, its supply policy or the intentions of the people who issued it, so compliance with a standard is never on its own a signal of safety.