Networks & Tokens

ERC-20, TRC-20, and BEP-20: Understanding Token Standards

Learn the crucial differences between Ethereum, Tron, and BNB Smart Chain token standards, and how to avoid cross-chain transfer failures.

By BetaExchanger Research · Published · Updated · 6 min read

Key takeaways

  • Token standards define the rules for creating and transferring assets on a specific blockchain.
  • ERC-20 (Ethereum) and BEP-20 (BNB Smart Chain) use identical address formats starting with '0x', making them easy to confuse.
  • TRC-20 (Tron) addresses always begin with 'T', making them visually distinct from Ethereum-compatible networks.
  • Sending a token on an incompatible network can make recovery difficult or impossible, depending on who controls the destination.

When you prepare to transfer a stablecoin like USDT or USDC, you are almost always asked to select a network. The three most common standards you will encounter are ERC-20, TRC-20, and BEP-20. Understanding what these acronyms mean is the first step in avoiding catastrophic transfer errors.

What is a Token Standard?

A blockchain is a foundational network, and a token standard is a set of rules that allows applications to build on top of it. For a smart contract to issue a token that wallets and exchanges can understand, it must follow these predefined rules.

ERC-20 (Ethereum Network)

ERC-20 is the original standard for fungible tokens on the Ethereum blockchain. Because Ethereum pioneered smart contracts, ERC-20 remains the most widely supported and highly liquid token standard in the industry.

  • Address Format: Begins with 0x.
  • Fees: Paid in ETH. Gas fees on Ethereum are traditionally higher than on competing networks.
  • Best For: Large transactions, broad compatibility with decentralized finance (DeFi) platforms, and high security.

TRC-20 (Tron Network)

TRC-20 is the standard for the Tron blockchain. It gained massive popularity for stablecoin transfers because it originally offered near-zero fees and rapid settlement times compared to Ethereum.

  • Address Format: Begins with a capital T.
  • Fees: Paid in TRX. Fees vary with network resource conditions and should be checked before sending.
  • Best For: Routine stablecoin payments, arbitrage, and exchange deposits.

BEP-20 (BNB Smart Chain)

BEP-20 is the token standard for the BNB Smart Chain (BSC). BSC was built as an Ethereum Virtual Machine (EVM) compatible network, meaning it shares Ethereum's architecture but uses a different consensus mechanism to achieve lower fees.

  • Address Format: Begins with 0x (identical to Ethereum).
  • Fees: Paid in BNB. Fees are often lower than Ethereum mainnet but still vary with demand.
  • Best For: Trading on Binance-affiliated platforms and interacting with BSC-native DeFi applications.

How to Choose the Right Standard

When exchanging funds, the receiving party (or exchange) will dictate which networks they support. You must strictly match the sending network on your end with the receiving network generated by the provider.

For example, if BetaExchanger routes your transfer through a provider requiring a TRC-20 deposit, you must withdraw your USDT from your wallet using the Tron (TRC-20) network. Selecting a cheaper network at the last minute will bypass the provider's deposit detection and forfeit your assets.

Sources and further reading