Although ERC-20 tokens are the most widespread, ERC-20 is not flaw free. Amongst its problem lies the possibility for a user to send ERC-20 tokens to an Ethereum contract that does not support ERC-20 tokens.
Specific examples have been reported of ERC-20 tokens stuck in the limbo due to the above stated:
• 310,067 GNT stuck in a Golem contract.
• 242 REP stuck in an Augur contract.
• 814 DGD stuck in a Digix DAO contract.
• 14,506 1ST stuck in a FirstBlood contract.
The above cases are a subset of tokens sent to contracts, resulting in confirmed transactions but, since the receiving contracts didn’t support ERC-20 tokens, these tokens are now lost and cannot be recovered.
The above examples add up to 370K $, being only a subset of what is really going on. Since ERC-20 tokens are growing by the day, so does the risk of sending them to a non ERC-20 supportive contract.
An improvement proposal is reflected in the shape of ERC-223, an enhanced version of ERC-20 where by tokens sent to an ethereum contact that do not support the sent tokens will render the transaction as failed, thus correcting the current problem.
This is not the only improvement being studied, but it does standout like a necessary one.
Topic: Why ICO'S prefer ERC20? (Read 122 times)
Why?
I think . It has both security and ease of use than bitcoin's blcokchain platform. The cost for rec20 is also lower
It's currently got the best product with the lowest level of entry. I think eth have almost a monopoly on the ICO market for the time being so it also comes along with a heap of infrastructure for the people creating the ICO and also a market of buyers used to using the eth system. Compared to bitcoin it was unbelievably easier to run smart contracts on making the masses flood to their platform but it definitely has competition on the horizon. And the cryptocurrency space moves fast so they could be overtook very soon.
I think its because ERC20 is the well known and easiest way to create a token, It also proven and tested to be secured rathen than other project.
Yes it is, because ICO issues token as a proof of stake holder for investor in their ICO.
The investor that holds their token will be received revenue as profit from the ICO company once their product launched.
I think its because ERC20 is the well known and easiest way to create a token, It also proven and tested to be secured rathen than other project.
Why?
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