With new instrument by Cardano (ADA) devs Input Output, ERC20 tokens become portable and can go live on Cardano smart contracts
According to the introduction by Input Output Global PM Francisco Landino, an intuitive instrument will allow ERC-20 tokens to leave Ethereum’s proof of work (PoW) with ease.
Getting rid of congested Ethereum (ETH) network
The ever-increasing traffic and transaction costs of the Ethereum (ETH) network were the most obvious rationales behind the idea of a seamless cross-platform token migration instrument.
Compared to Ethereum’s proof of work (PoW) consensus, Cardano’s Ouroboros consumes less energy and has much lower transactional fees. That is why running tokens on Cardano (ADA) is an eco-friendly and cost-efficient alternative to Ethereum (ETH).
The upcoming Ethereum-to-Cardano migration tool will be accessible for both organizations (token creators) and individuals (token holders). Tokens with the same value will be automatically minted on Cardano once migration is initiated. Tokens will be backward convertible: users will be able to withdraw them by “burning” Cardano-based synthetics.
The public testnet of Cardano’s ERC-20 tokens converter is right around the corner:
The ERC20 converter testnet is now in the final stages of quality assurance testing before the public launch. This stage will allow us to test the user journey and improve their experience along with fixing any occurring issues.
SingularityNET will pioneer the converter concept
IOG developers announced that the AGI token of SingularityNET will be the first one to fork through the converter dashboard. The new asset will have an AGIX ticker.
IOG promotes the Ethereum token converter as a new-gen bridge between blockchains that will be suitable for many use cases of decentralized businesses.