You can create your crypto token to help you fund your DeFi app, get money for app development, and pursue other goals. Cooper Turley shows you how to create your cryptocurrency token, even though you may not be an expert in blockchain technology.
Although some crypto investors might argue about the fun, we live in an exciting new world of decentralized finance and cryptocurrencies. Why miss this opportunity?
In 4 Easy Steps, How to Create a Crypto Token
A professional team of developers is required to help you create a cryptocurrency token that has advanced functionality and is closely linked to a dApp ecosystem.
STEP 1: DEFINE YOUR TOKEN PROPERTIES
First, decide what your crypto token is going to do. If your token is a typical ERC-20 token intended to attract investors, it will be subject to the ERC-20 standard. You can specify:
- total token supply
- Name, symbol, and number of decimals for the token
- A few auxiliary functions are available to verify and check the balances of addresses and enable transactions.
It will be slightly different if it is an NFT. For example, it will specify the owners of non-fungible cryptocurrency tokens.
Many tools are available to create these tokens, but they can be quite simple. If you are looking for more advanced crypto tokens, consider hiring a professional development team.
STEP 2: DEVELOP a SMART CONTRACT
Why are smart contracts so popular? A smart contract is a software that runs on a blockchain and governs any crypto token. To create your token, you will need to program a smart contract.
Ethereum was the first to introduce smart contracts. This is probably why most crypto tokens are created and deployed on Ethereum.
Do not be fooled. Even if you use token-generating websites to create a token for ICO, they still write and deploy blockchain contracts in the background.
So what is our knowledge about smart contracts? They are powered by a blockchain and allow users to transact via transactions.
These smart contracts are often smarter than ICO contracts and can even be more advanced. You can create a token that has more advanced functionality. You might want to consider these things when you assign a team of cryptocurrency developers to a project:
- Do I want an immutable 100% contract, or do I prefer to have the option to modify it later?
This is serious stuff. Fully decentralized dApps and coins are a favorite of crypto enthusiasts. They don’t require admin keys to gain access to the contract. Decentralization is the core principle of blockchain technology. But what if you want to create a token that serves a closed community? For example, a group serving clinics? This solution is perfectly acceptable.
- Are there additional features I would like to see in my crypto token, such as staking?
When users stake crypto tokens, some have a unique logic. The contract can, for example, burn all staked tokens and remove them from the liquidity pool. It will also mint new coins plus interest after the stake is over.
You should also consider other advanced features, such as creating a payment token that simplifies paying for services or managing subscriptions.
- Is it necessary for my crypto token to have an ownership attribute?
NFTs are more relevant because they allow one to identify the unique owner of digital assets.
- Do I require any token recovery functionality?
Blockchains are the future. Anyone can find the address of your smart contract and send crypto (which it doesn’t necessarily support) by mistake. These funds usually disappear forever. To avoid such disasters, however, you should include a workaround in your smart contract.
While working on a smart contract for crypto tokens, there are many more questions you need to answer. It is important to understand the logic of your crypto token smart contract.
STEP 3: USE A TEST CHAIN TO CHECK QA
If it is broken, replacing a vanilla smart contract with a crypto-token will be difficult. It would help if you ran multiple tests on Rinkeby and Ropsten to ensure that you are fully testing the code.