ERC-721

ERC-721 is a token standard on the Ethereum blockchain that enables the creation of unique and non-fungible tokens (NFTs – Non-Fungible Tokens). Unlike ERC-20, where all tokens are identical and divisible, each ERC-721 token has distinct characteristics and cannot be exchanged one-to-one with another. This makes it ideal for representing digital assets such as artwork, collectibles, real estate, and unique in-game items.

The ERC-721 standard defines a set of functions for smart contracts that handle NFTs, such as checking ownership, transferring ownership, and tracking transaction history. NFTs based on ERC-721 have become the foundation of digital collectibles and metaverse platforms, but their adoption comes with challenges such as high transaction fees on Ethereum and network scalability issues.