Since its launch in 2015, the Ethereum chain has been one of the most influential forces in the cryptocurrency space. The platform has driven innovation in decentralized applications (DApps) and fueled many DeFi projects. A key element of this ecosystem is the ERC-20 token standard, which defines the technical specifications that Ethereum-based tokens must follow. Below are some key points:
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ERC-20 tokens are governed by a fixed set of rules that determine how they are transferred, verified, and stored.
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All ERC-20 tokens are created and operated on the Ethereum blockchain, though they can interact across multiple networks through bridging solutions.
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Many of the cryptocurrencies launched in recent years have been issued as ERC-20 tokens.
For investors exploring notable ERC-20 tokens, here are two widely recognized examples that originated from this standard.
Shiba Inu (SHIB)
Shiba Inu (SHIB) emerged as one of 2021’s standout tokens. Launched as a “Dogecoin killer,” this meme coin experienced dramatic price appreciation and rose to rank among the top digital assets by market capitalization.
Source: TradingView.com
Although SHIB remains a highly speculative asset with limited intrinsic value, it created notable overnight wealth for some holders during its rapid rallies. SHIB is an ERC-20 token; at the time of writing, SHIB traded around $0.00003394 with a market capitalization of approximately $18.6 billion.
Chainlink (LINK)
Chainlink (LINK) represents a different profile from Shiba Inu: a project with stronger fundamental use cases. Chainlink provides decentralized oracle services that connect smart contracts to real-world data, enabling contracts to interact with external information in a secure and reliable way.
LINK is also an ERC-20 token and ranks among the top cryptocurrencies by market capitalization. At the time of writing, LINK traded near $22.51 with a market capitalization of roughly $10.5 billion.
Understanding the ERC-20 standard is essential for anyone interested in Ethereum-based tokens. The standard fosters interoperability, simplifies token development, and has been the foundation for a wide range of projects—from speculative meme coins to infrastructure-focused protocols like Chainlink. As the Ethereum ecosystem continues to evolve, ERC-20 tokens remain central to the platform’s growth and the broader decentralized finance landscape.