MINTABLE TOKEN DEVELOPMENT

What Are Mintable Tokens?

Mintable tokens are ERC20-compatible tokens with one added feature: new tokens can be created at any time and added to total supply. Standard ERC20 tokens don't have this feature, which makes them a fixed supply tokens. Mint function is defined like this in Solidity: function mint(address to, uint256 value) public only Minter returns (bool) New tokens can be minted only by an address which is set to be in a Minter role. If no address is in Minter role, then no one can create new tokens.

Mintable Tokens in Crowdsales

Mintable tokens are widely used in combination with crowdsales. Crowdsale contracts are used to create an ICO where ERC20 tokens are sold for ETH. Here's the mechanism used for combining mintable tokens with crowdsale:

ICO maker deploys mintable token contract, giving him a Minter role

ICO maker deploys crowdsale contract

ICO maker transfers Minter role to crowdsale contract. Only crowdsale contract can mint new tokens.

Now, the crowdsale begins. Investor comes along and wants to invest in new tokens. He sends ETH to crowdsale contract, contract mints brand new ERC20 tokens at current price and sends them to investor. When crowdsale is finished, no one can mint more ERC20 tokens, not even crowdsale contract, since it's coded that way. Investors can be sure that no one can dilute their share of token holdings.

Mintable Tokens in Crowdsales
Minting vs Mining

Minting vs Mining

Minting is not the same as mining. This is a common misunderstanding when people are talking about cryptocurrencies. Minting tokens is done by sending a transaction that creates new tokens inside of token smart contract. As we have seen in What are mintable tokens, a call to a smart contract function can create unlimited number of tokens, without spending energy. On the other hand, mining does create new tokens, but is usually limited as per concensus rules of that blockchain, and requires spending energy. Mining also serves other purposes like securing the network and packing new transactions into blocks.

Minter Role

Nadcab Blockchain - Minter role is an address that has a special privilege to create new tokens, thus adding them to total supply. There could be multiple Minter role addresses, but in practice, it's usually just one address. The first Minter is the address that deployed the token contract. Current minter can add new minter, renonunce his privilege to be minter, or transfer his right to other address.

Advantages of Mintable ERC20 Standard Tokens:

Tokenization of all things, for the most part, has a positive and bright future. Mintable tokens are fantastic. On a more technical level, it’s worth noting that Mintable tokens can help with a range of commercial scenarios.

Advantages Of Mintable ERC20 Standar Tokens
  • Collateralized
  • Unparalleled Efficacy
  • EIssuance
  • Staking
  • Inclusiveness
  • Validated
  • Utility
  • Scalability

Example of Mintable Token Token

  • Dai (DAI)
  • Status (SNT)
  • Decentraland (MANA)

Any Query?

If you have any queries about Mintable Token Development, give a call to us.

  +91-9870635001

Contact Us

Send us a mail for what you think about Launching Mintable Token

  Info@nadcab.com
Looking for development or collabration?

Unlock the full potential of blockchain technology and joint knowledge by requesting a price or calling us today.

Head Office
Hyderabad Office
London Office
Region:

International

India

Feedback

Press

Meet the team

careers
Naygon Technologies Pvt Ltd

Made with from India