BEP-20 is a token standard for the Binance Smart Chain. EP-20 has an increased focus on cross-chain compatibility, improved optimization, and better protocol design compared to the ERC-20 standard. The BEP-20 maintains complete compatibility with both the ERC-20 and the BEP-20.
Currently, the most common app used for cross-chain Binance is the popular Binance Chain Wallet.
A Comparison Between ERC-20 and BEP-20 token standard
The BEP-20 is effectively the evolved form of the ERC-20 standard. The ERC-20 became the technical standard for almost all developing Etherum coins. This is largely due to its stability, speed, and adaptability. To maintain this quality and to further improve upon it, the BEP-20 was designed. These design modifications include better speeds, protocol optimization, and better transaction costs, sometimes referred to as ‘gas.’
Given its extremely utility-focused nature, the BEP-20 allows the tokenization of an impressive array of assets. From stable coins, shares, and the dollar, BEP-20 can tokenize many different forms of assets into a cryptographic token. One impressive feature boosted by the BEP-20 is the ability to ‘peg’ other tokens to itself. In essence, the BEP-20 versatility allows it to attach a functional token to an external token that exists on other blockchains without altering its original functionality. These are sometimes referred to as Peggy Coins.