Mintable’s Complete Guide To Developing An ERC20 Token

Mintable tokens can be created using our ERC20 token generator tool.

What are Mintable Tokens?

Mintable tokens are ERC20 compatible tokens with the added feature that new tokens can be produced and added to the total supply at any time. Since standard ERC20 tokens do not have this feature, they are considered fixed supply tokens.

The mint function is defined in Solidity as follows:

Only public function mint(address to, uint256 value) Minter is back (bool).

Only an address set to the Minter role can create new coins. No one can create new coins if there is no address in the Minter role.

Minter Role

The Minter role is an address that is able to issue new tokens, increasing the total supply. There can be many minter role addresses, but in most cases there is only one. The first minter is the provisioning address of the token contract. The current minter can appoint a new minter, revoke their minting privilege, or transfer their privilege to a new address.

Adding a new minter

If a minter wants to add another minter, he can use the function:

only public method add Minter(address account)

Minter

By using the onlyMinter function modifier, it is clear that only the current minter can add a new minter. When the add Minter function is called, the following event is fired:

MinterAdded is a new event (address indexed account).

Waiver of the Minter Role

By executing the following function, the current Minter can revoke his privilege:

public function renounceMinter()

Except for the address that is Minter, no one can renounce the Minter role. When the function renounceMinter is called, the following event is fired:

MinterRemoved (address indexed account).

Transferring the Minter role

By executing the following function, the current Minter can transfer its privilege:

Transfer of responsibilities

In a single transaction, MinterRole creates a new Minter and revokes the privilege of the Minter role. The MinterAdded and MinterRemoved events are both emitted.

Coinage vs. mining

The terms “mining” and “mining” are not interchangeable. In the context of cryptocurrencies, this is a common mistake.

Tokens are mined by submitting a transaction to a token smart contract that creates new tokens. A call to a smart contract function can create an endless number of tokens without consuming energy, as we saw in What are mintable tokens.

Mining, on the other hand, creates new tokens, but it is usually limited by the consensus rules of the blockchain and requires the use of energy. Other functions of mining include network security and bundling new transactions into blocks.

Examples of mintable tokens

There are a variety of mintable ERC20 tokens. Here are some of the most interesting coins.

Dai (DAI).

The MakerDAO system uses DAI, a decentralized stable coin that is pegged to $1. Users can deposit their ETH into the MakerDAO contract and receive DAI tokens in return. The MakerDAO contract generates new DAI tokens when ETH is trapped in a CDP (Collateralized Debt Position).

Status (SNT)

Status is an open source platform that uses its native SNT token as a governance mechanism for the Status client and as a utility token to control push notifications in its messaging app and curate user-generated content on its network. The total amount of SNT token is capped, but the current circulation is lower. The controller address has the ability to create new tokens.

Decentraland (MANA)

Decentraland is a user-owned virtual world platform. MANA Tokens are used to create and sell goods and services. MANA Coins are ERC20 tokens that can be mined and burned.

Coinable tokens in crowdsales

Crowdsales are often combined with mintable tokens. In an ICO, crowdsale contracts are used to sell ERC20 tokens for ETH. The mechanism for combining mintable tokens and crowdsale is as follows:

1. The ICO creator uses a mintable token contract that gives him the job of minter.
2. The creator of an Initial Coin Offering (ICO) has implemented a crowd-sale contract.
3. The role of miner is transferred from the ICO creator to the crowd-sale contract. Only the crowd-sale contract has the ability to create additional coins.

The crowd sale is now underway. An investor comes forward and expresses his interest in investing in new tokens. He sends ETH to the crowd-sale contract, which generates brand new ERC20 tokens at the current market price and hands them over to the investor.

Because the system is set up this way, no one can mint additional ERC20 tokens once the crowdsale is over, not even crowdsale contracts. Investors can rest assured that their token holdings will not be diluted.

Before you jump into producing a mintable token, you should find the best Ethereum token creation company that meets all your token development requirements.

This is not something you should take lightly, as the fate of your mintable ERC20 tokens is practically at stake. If you want to create a mintable ERC20 token, you should not forget about convenience.

Choosing the Ethereum token development company is similar to choosing the best business solution: you want it to be secure, fit all your things, provide all the necessary conveniences, be scalable, and appear reliable.

Ethereum tokens and the different types of standards are well known.

Before we turn to the topic, let us recall what tokens and their standards are in a simple process.

What is a token?

On a blockchain, a token is often a transferable unit of value. The token on the Bitcoin blockchain is Bitcoin, and the token on the Ethereum blockchain is Ether. Tokens are digital assets or services that run on the blockchain. They are transferable and can be used to buy and sell money, loyalty points, gaming goods, and other items. They can even be redeemed for a service that the issuer will provide at a later date. Tokens can be issued on blockchains such as Ethereum, Waves, Minter, and TRON. The Ethereum blockchain is where most tokens are issued. A token is simply a representation of value that can be transferred from one person to another. Ethereum’s ERC20 is the most widely used token standard.

What is ERC20?

The Ethereum token standard, also known as ERC20, is a technical specification for smart contracts on the Ethereum network. The vast majority of ICOs use this standard and start with it.

The following key properties of ERC20 tokens are usually specified at the outset:

• Name (e.g., “Ethereum”) and ticker (e.g., “ETH”)
• Total supply (e.g., 20,000,000 tokens).
• The number of decimal places (example 8) – The decimal places indicate the number of ways a token can be divided, and range from 0 to 18, and higher if needed. The decimal value is technically the number of digits that follow the decimal place when published.

The most common type of crypto token is the one I described above. Below is a list of some additional features:

• Tokens may include a “pause” feature that allows the token issuer to freeze the tokens and disable transactions at any time.
• Tokens may be “consumable” if they are “combustible.” Tokens that have been “consumed” can be retired from circulation, for example.

Yes, you now have a basic understanding of Ethereum tokens, especially the ERC20 token standard. Now let us get down to the nitty gritty. I will explain what a mintable ERC20 token is in this blog. What are the main differences between mintable and minable tokens, what is the main role of the miner and how do you make a mintable ERC20 token? What are some examples of successful ERC20 token projects? …and much more…

What is a mintable ERC20 token?

A mintable ERC20 token has an unspecified total supply that allows the token owner to “mint” additional tokens at any time. The ERC standards-based token contract now has a mint mechanism that allows the owner to produce tokens for specific addresses. It also has a disabled minting mechanism that allows the minting process to be stopped completely.

What is a Minting?

The minting process can be stopped when it is no longer needed, but it cannot be resumed after it has been stopped. Another important point is that the minting process should not be completed while a token crowd-sale is in progress, as this would usually stop the crowd-sale as no more tokens could be created and thus sold to new investors.

Minable Tokens vs. Mintable Tokens:

Most people confuse the terms “minting” and “mining” in the context of crypto coins. Let us make a distinction here:

Mintable tokens are tokens that can be produced or minted based on a specific action and are usually limited by the consensus rules of the blockchain and require the use of energy and money.

Depending on the level of craziness of the token programmer/team, this so-called activity could be as simple as solving some simple puzzles and adding to the transaction data.

Coinable tokens are another approach to creating tokens without having to wait for something to happen; instead, the contract creator can create a token whenever they want. No, you can not mint as much as you want.

Advantages of mintable ERC20 tokens:

The tokenization of everything has, by and large, a positive and promising future. Mintable tokens are fantastic. On a more technical level, it’s worth noting that mintable tokens can help with a number of commercial scenarios.

Mintable tokens in ICO:

As the normal ICO’s ERC20 tokens are limited, it was a disadvantage for the various fundraisers because they were supposed to provide the tokens for the pre-investors, stakeholders, providing airdrop and bounty program for marketing. So they weren’t able to do the different phases of the ICO like pre-ICO, ICO and post-ICO. It’s like they can’t transfer the authority and they can’t increase the total supply. Due to the concern, as miners are now mining for the coin, Ethereum is updating its standard from ERC20 as a mintable by simply inheriting a new code. Now we can create ‘n’ number of tokens if we need, there’s no limit to it. Since it was limited for the ICO that the unsold tokens will be burned automatically Based on this, fundraisers can create the new tokens and make their ICO successful in several phases.

Then, based on your business strategy, you can determine your mintable Erc20 tokens.

Mintable-operated ERC20 tokens can be used as coupons or vouchers. For example, you can specify that a token is worth a 60% discount on a particular product. This way, you create a fictitious market for your mintable tokens and give them a value for your customers.

To encourage people to enter contests or fill out surveys, Mintable Tokens can be given out as prizes. Mintable tokens can be used as a “members club”. You can make token owners members of your members club and offer them special discounts.

What can you create with Mintable?

With Mintable, you can create your own ERC-20 and ERC-721 standard tokens and smart contracts for a variety of business types. With Mintable, you can create a digital asset or token that you can sell on exchanges for cryptocurrency.

For example, if you develop digital objects based on the ERC-721 standard, you can take a photo, add some features, name it, make it unusual, and sell it for a profit. With each smart contract, you can create multiple tokens that represent your digital assets.

How unique is Mintable?

Mintable is different from other platforms in that you can develop and own your own token and smart contract. You decide what you want the contract to be used for, what you want the tokens to stand for, and how many you want available.

So how can you use these ERC-20 and ERC-721 tokens in the real world?

• You can use your tokens in several ways, including the following:
• Creating an object that is not owned by the token.
• Creating a system to determine who has access to certain content or locations.
• Adding a website, logo, video, or other web-based content to the ownership of the token
• Using tokens to determine ownership of metadata
• Creating tokenized assets for which you act as an intermediary
• Creation of content for the purpose of selling it
• Tokenization of content
• Tokenization of anything that might have value
• Value creation with a token and data – if you have an online store, you can accept that token as a discount card
• Applying tokens to your business in the form of credits, discounts or vouchers
• Event ticketing as a token & more…

How to create Mintable ERC20 tokens on Ethereum Solidity?

Implementing an ERC20-compatible smart contract and deploying it on the Ethereum network is the first step to creating your own Mintable ERC20 tokens. There are numerous manuals dedicated to creating Mintable tokens; however, they require programming knowledge as well as a thorough understanding of how the Mintable Ethereum network works.

If you want to create your own Mintable ERC20 token, you’ve come to the right place. Brugu delivers end-to-end Ethereum token development services and solutions as a top Ethereum token development company. Our development team has created a token creation checklist that will help you create your own mintable ERC20 token efficiently.

Looking for a Solidity developer or want to create a new Mintable token?

With Solidity, Brugu helps companies create Mintable tokens. Please contact us if you have a token creation project that requires Solidity developer resources. Brugu can assist you in estimating creation time based on product and feature specifications, and provide specialized Solidity developers as needed.