The Difference Between ERC721 and ERC1155
Learn about the key differences between the two major NFT protocols, ERC721 and ERC1155.
When it comes to non-fungible tokens (NFTs), there are two major protocols that have emerged in the space: ERC721 and ERC1155. Both of these standards allow for the creation and management of NFTs on the Ethereum blockchain, but there are some key differences between the two.
What is ERC721
ERC721 was the first major NFT standard to emerge and is currently the most popular protocol for NFTs. It was created in 2017 by the team at the Ethereum development studio ConsenSys. ERC721 tokens are unique and non-fungible, meaning that each token is distinct from every other token and cannot be interchanged.
ERC721 tokens are often used for collectibles, such as digital art or in-game items. One of the most popular examples of an ERC721 token is Cryptokitties, a virtual pet game where each kitty is a unique NFT. ERC721 tokens can also be used for other purposes such as identity verification, ticketing, and loyalty programs.
What is ERC1155
ERC1155 is a newer standard that was created in 2018 by Enjin, a gaming company that specializes in blockchain technology. ERC1155 tokens are also unique and non-fungible, but unlike ERC721 tokens, they can be fungible (interchangeable) or non-fungible. This means that ERC1155 tokens can be used for both collectibles and more traditional assets such as currency or commodities.
Advantages of ERC1155
ERC1155 tokens have a few advantages over ERC721 tokens.
- They can be divided into smaller units, which makes them more versatile for use cases such as loyalty points or in-game currency.
- ERC1155 tokens can be traded on decentralized exchanges, whereas ERC721 tokens can only be traded on centralized exchanges.
Conclusion
Overall, ERC721 and ERC1155 are both valid standards for NFTs. The main difference between the two is that ERC721 tokens are non-fungible and ERC1155 tokens can be either fungible or non-fungible. ERC721 is more popular for collectibles, while ERC1155 is more popular for traditional assets such as currency or commodities.