What is a BEP20 Token, and why should you create one?
If you want to create your own cryptocurrency token, a BEP20 token is an excellent choice. A cryptocurrency token must be deployed on a blockchain before it can be launched. For your token, the blockchain acts as a distributed ledger, keeping a verified record of all transactions. No one can legitimately trade or use your token without this transaction database. Ethereum is the most commonly used blockchain due to increased transaction volumes, but it is experiencing congestion, slow transaction speeds, and high transaction prices. A basic token exchange on the Ethereum network can cost between $5 and $10. Binance Smart Chain (BSC) is a blockchain network that is technologically comparable to Ethereum but offers significantly lower transaction costs as a result of a few tweaks. It can also process a greater number of transactions in less time.
Because of its low transaction fees and high speed, BSC is currently the fastest-growing blockchain, attracting investors. Before you can use BSC to distribute your own token, you must first create a BEP20 token. These BEP20 tokens could be used as a digital currency for a variety of purposes ranging from payment of goods to community rewards. These BEP20 tokens could be used as a digital currency for a variety of purposes ranging from payment of goods to community rewards.
What should you bear in mind as you design your BEP20 token?
So you've decided to create your own BEP20 token, but where do you begin? Let's take a look at some of the questions you might be thinking about:
- What does it mean to "mine" or "generate" a BEP20 token?
Simply put, creating a BEP20 token entails entering all of the token's attributes in accordance with the BEP20 specifications. The entire specification is known as a smart contract, and it is written in the Solidity computer language. To give your token a name, for example, add a line of code string public name = "MyToken" to your contract code. Some of these requirements are straightforward, such as the name, while others, such as those discussed in the following section, are significantly more complex.
- What are the most recent best practices for BEP20 token creation? Aside from the standard requirements such as the token's name and symbol, the cutting-edge BEP20 tokens also include:
Anti-Whale Mechanics: Setting a limit on how much a wallet can hold is critical if you don't want someone simply hoarding all of your tokens. You also don't want to conduct a large sell transaction that lowers the value of your tokens. Setting the maximum transaction limit of a token is required for this. These restrictions prevent whales, or large holders, from tampering with your token.
Rewards: You want to attract as many investors to your token as possible, and holding rewards is a great way to do so. To encourage current holders to keep the tokens, deduct a small fee from all transactions, say 2%, and give it to them. This works similarly to how stocks pay out dividends, but much faster and at a higher percentage. You can use the fee collected to reward users in any token of your choosing, such as BUSD or DOGE.
Automated Liquidity Generation: Safemoon popularised automated liquidity generation, which is intended to provide long-term stability. Each transaction incurs a small fee, which is used to improve liquidity on exchanges such as PancakeSwap, thereby improving price stability and allowing for higher trading volumes for the token.
Buyback: A few tokens, such as EverRise, have kicked off this trend. In the stock market, a buyback is when a corporation buys back its own stock on the open market, increasing the stock's value. Similarly, when the market is selling, the token contract's fees are used to buy back and burn tokens. These buying transactions not only add more value (BNBs) to the liquidity pool but also reduce the overall circulating supply of tokens, causing the price to rise quickly and avoiding large dumps.
Specifying these controls in the smart contract is more difficult than naming your token.
- How can I design my own BEP20 token?
The most common method for creating a BEP20 token is to write smart contract code that meets all of the requirements of the BEP20 specification. To implement the smart contract on the BSC blockchain, Solidity programming is required. This may necessitate a significant time commitment, resulting in a several-month delay in the launch of your token. Unicarve Token Creator is a no-code platform that allows you to create BEP20 tokens in seconds.
- What benefits does Unicarve BEP20 Token Generator offer?
Unicarve Token Creator is the most efficient way to generate BEP20 tokens on Binance Smart Chain. You don't need to know how to code to create your token. The token generated includes best-in-class features such as anti-whale mechanisms, transaction fees, honeypot-free code, and hyper-deflationary mechanics with automated liquidity and buyback. All of this is available at a very low cost, and Unicarve has the most user-friendly interface. Anyone can now generate a sophisticated BEP20 token in seconds.