Smart contracts on Ethereum (but also on Polygon) must adhere to standards and rules to enable essential functions such as token creation, transaction processing, and transfer.
The arrival of new applications on Ethereum has led development teams to design new types of token standards. In the early years, the ERC-20 token standard dominated the market, which defines how a fully interchangeable token works (so-called fungibility).
However, NFTs have captured the market’s attention in recent years. The two standards used for the creation of NFTs are ERC-721 and ERC-1155. There are a number of different properties between one and the other: let’s take a closer look.
NFT Token Standard
The ERC-721 standard, allows the creation of NFTs or collections of NFTs made up of unique assets with unique owners, it is easy to determine if copies exist, it shows who has ownership of those tokens and it is possible to derive all sorts of information including:
- date of creation
- address of the creator’s wallet
- who is in possession of it at that time
- the price paid for each time it was sold
- all the transfers it has made
Furthermore, each of this information is automatically transcribed onto the reference blockchain, which guarantees its immutability and eternity.
The ERC-1155 standard allows for the creation of non-unique digital assets, thus allowing for numerous copies of the same NFT and
these copies, can have multiple owners.
One of the main features of this token standard, is that it allows tokens to be transferred massively. While with ERC-721s, it is necessary to make a transfer from wallet A to wallet B for each token.
In the case of the 1155, it is possible to send as many as 100 or 1000 in a single transaction.
Another feature to note is that unlike NFT 721, which as unique tokens have a market for each of the tokens in the collection, in the case of NFT 1155, since they are copies of the same asset, with multiple owners, a purchase offer will be global and not individual, and it will be possible for any one of the owners to accept that offer.
So if both standard tokens can coin NFTs.
The question remains: which one do you prefer? There is absolutely no better standard. It all depends on personal preference or use case.
Blockinvest has developed both standards in its NFT platform to meet the most specific needs of the market.
For any inquiries, please contact us at info@realhouse.io.
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