Before digging in the difference between DN-404 vs ERC-404, lets first understand both the new standards generally in detail.
What is ERC-404?
ERC-404 is a token standard developed maintained by Pandora team where it merges the functionality of ERC-20 token standards ERC-721 NFT standard into a single contract bringing in various use cases for Real World Asset Tokenization and other gaming use cases. In a traditional way developers will need to use a separate locker smart contract to lock the ERC-721 NFT and Mint equivalent ERC-20 tokens. This additional locker contract is reduced bringing the functionality within 1 single smart contract.
ERC-404 was the hype of crypto industry in the last two weeks. Read more about ERC-404 standard from HERE.
What is DN-404?
This week a group of ethereum developers claim that ERC-404 comparatively has not followed standards on development and introduces a different smart contract architecture addressing the same use case. Instead of having both the ERC-20 and ERC-721 on the same contract, they have separated into two individual contracts – separate erc20 contract and a mirrored erc721 smart contract. The developers are anonymous yet.
Advantages of DN-404 vs ERC-404:
- DN-404 claims to take lesser gas fee on transactions.
- DN-404 claims to have better standard architecture of the smart contracts.
Yokesh’s Analysis for DN-404 vs ERC-404 token standards:
- Both the standards are NOT approved by official Ethereum EIP.
- Both the standards are NOT officially audited and passed through leading audit firms like Certik. Henceforth, It is always recommended to work with proper approved standards on smart contract development to prevent scams. You never know what is inside when you invest.
- If you are starting a crypto or NFT project with ERC-404 or DN-404 you can ride the wave currently by selling your tokens but you cannot stand long in the market as once trend shifts or if any other similar standard is announced by official Ethereum EIP these both standards will become obsolete.
Get in touch with our firm Top Web3 Development Agency – BlockchainX for your DN-404 Development and ERC-404 Development. Comment down your questions and I’ll be happy to assist you on your project.
