{"id":27994,"date":"2023-01-13T18:00:20","date_gmt":"2023-01-13T18:00:20","guid":{"rendered":"https:\/\/myonlinesecurity.co.uk\/?p=25993"},"modified":"2023-08-26T14:26:03","modified_gmt":"2023-08-26T14:26:03","slug":"erc-721-vs-erc-1155-benefits-and-difference-from-erc-721-standard","status":"publish","type":"post","link":"https:\/\/myonlinesecurity.co.uk\/nft-guide\/erc-721vs-erc-1155-benefits-difference-from-erc-721-standard\/","title":{"rendered":"ERC-721 Vs ERC-1155 : Benefits And Difference From ERC-721 Standard!"},"content":{"rendered":"

ERC-20, ERC-721, and ERC-1155 are token standards used for deploying smart contracts on a blockchain. These standards include rules or criteria that are needed to be fulfilled for a trade to occur. <\/span><\/p>\n

These token standards, along with the blockchain, help remove the need for intermediaries and also allow us to keep track of all transactions. ERC-1155 has evolved from ERC-20, and ERC-721 and offers numerous benefits to users. <\/span><\/p>\n

But before starting, it is vital to know what are fungible and non-fungible tokens along with the different token standards. Below, we break down these questions and provide a comprehensive analysis of ERC-1155.<\/span><\/p>\n

What Makes Fungible Tokens Different From Non-Fungible Tokens?<\/b><\/h2>\n

\"ERC-1155<\/p>\n

Fungible Tokens Are Not Unique<\/b><\/h3>\n

Fungible tokens are like fiat currencies that are not unique and are interchangeable as well as divisible with another token of the same kind. For instance, 1 dollar is equivalent to another dollar, or 1 bitcoin can be bought in small fractions such as 0.00000002 BTC.<\/span><\/p>\n

On the Ethereum blockchain, ERC-20 is the token standard<\/a> for fungible tokens such as cryptocurrencies, in-game character skills, or financial assets. Moreover, an Application Programming Interface or API gets implemented when a fungible token is traded within a Smart Contract.<\/span><\/p>\n

Non-Fungible Tokens Are One-Of-A-Kind<\/b><\/h3>\n

Non-fungible tokens are unique cryptographic assets that cannot be traded with another token of the same kind. For example, there is only one Mona Lisa and only one “Every day: The First 5000 Days” artwork by Beeple<\/a> that was sold for $69.3 Million.<\/span><\/p>\n

Each NFT has its identification code along with metadata such as value, property, or attributes that make them one of a kind. ERC-721 is the standard that enables the trading of Non-fungible tokens such as digital artwork on the blockchain.\u00a0<\/span><\/p>\n

Reviewing The ERC 1155 Token Standard<\/b><\/h2>\n

\"RC<\/p>\n

Image Credit: https:\/\/medium.com\/<\/p>\n

ERC-1155 is a multi-token standard made by the Enjin that enables the deployment of smart contracts for fungible, non-fungible, or semi-fungible tokens. Just like ERC-721, ERC-1155 also lets individual tokens possess their metadata or other attributes. <\/span><\/p>\n

But, ERC-1155 is the next generation of token standards that allows the simultaneous transfer of multiple token types. This is different from ERC-721 and ERC-20, where a separate contract gets deployed for each Non-fungible or fungible token. <\/span><\/p>\n

As a result, ERC-1155 removes the requirement for approving contracts for tokens separately, thus reducing the cost and time of conducting transactions. Furthermore, atomic swaps or escrow trading of tokens is even possible with ERC1155, and the describing or mixing of different token types within a single contract is also hassle-free.\u00a0<\/span><\/p>\n

ERC 721: First Standardized Interface For Creating And Trading NFTs <\/strong><\/h2>\n

\"ERC-721\"<\/p>\n

Image Credit: https:\/\/morioh.com\/<\/p>\n

Written in Solidity language, ERC-721 was the first standardized interface made for creating and trading NFTs and is still considered to be the gold standard. Currently, ERC-721 is the most widely used token standard that requires the deployment of single contacts for individual NFTs. <\/span><\/p>\n

This makes ERC-721 slow and expensive, but on the other hand, also provides the option to customize the preferences of individual NFTs and offers better security. Moreover, minting or trading NFTs with the help of smart contracts on ERC-721 requires the creators to meet strict conditions for conducting a transaction.\u00a0<\/span><\/p>\n

Advantages Of ERC-1155<\/strong><\/h3>\n