BEP-20 is a BNB Chain token standard created with the intention of extending ERC-20.
BEP-20 is a BNB Chain token standard created with the intention of extending ERC-20, which is one of the most common Ethereum token standards out there. BEP-20 is a blueprint as to how a token can be spent and who can spend it, and it even has rules about its overall usage.
These modifications were done and intended to improve the protocol while also optimizing its speed as well as transaction cost. In fact, BEP-20 was conceived as this technical specification for the BNB Chain with the goal of actually providing a flexible format through which many developers can launch different tokens. These tokens could represent anything from shares within a business to dollars, which are stored in a bank vault such as stablecoins.
Creating a BNB Chain token is easy, and the tokens conform to a standard which is known as BEP-20, which ensures basic functionality for the token, such as transferring, returning a balance, viewing the token ownership, and so on.