How does the ERC-20 token standard contribute to the development of decentralized finance (DeFi)?

1 answers

• Nov 24, 2021 · 3 years ago
  The ERC-20 token standard has been a game-changer for the development of decentralized finance (DeFi). As an open standard, it has allowed for the creation of a vast ecosystem of ERC-20 tokens that can be used in various DeFi applications and services. This standardization has made it easier for users to access and utilize DeFi platforms, as they can use their ERC-20 tokens across different applications without the need for multiple wallets or accounts. Moreover, the ERC-20 standard has paved the way for the emergence of decentralized exchanges (DEXs) and liquidity protocols, which have revolutionized the way people trade and exchange tokens. Overall, the ERC-20 token standard has played a pivotal role in the growth and development of DeFi by providing a solid foundation for tokenization and enabling seamless interoperability between different DeFi platforms and services.
  884442