Create Token
To get started with asset tokenization via Token Tool connect your wallet and select the blockchain of your choice from the network dropdown at the top right. Once you have done that you can create your first token.
Create ERC20 Token (and their equivalents on other EVM chains) lets you define the following parameters of an ERC20 token.
All of the following settings are required for every token:
- Token name: This is ideally a human readable name such as "USD Coin"
- Symbol: The token symbol is comparable to its ticker symbol, typically four or more characters are used such as "USDC"
- Initial supply: The amount of tokens that get minted at token creation. Note that you have to activate "Can mint" further below if you want to be able to increase the supply after token creation. The supply is usually determined by the desired token denomination (i.e. the nominal value per token). For a bond offering with a nominal amount of USD 10 million and a denomination of USD 100,000 the supply would have to be 100 tokens.
- Decimals: Values can be 0-18, when 0 is used, the token is not divisible (security tokens for example usually are not divisible and will have 0 decimals)
All of the following token features are optional. Many of them however are critical for the life-cycle management of the token. Nevertheless, we recommend to activate only those features which are likely to be needed after initial token creation. Activation of these features also increases the cost of your token, see the Token Tool Pricing for detailed information.
- Can burn: Enables token burning after initial token creation to decrease supply
- Can mint: Enables additional token minting after initial token creation to increase supply
- Can pause: Specifies whether your token and all associated operations can be halted and resumed whenever needed. This can be useful in case of a vulnerability or a malicious attack. Be aware that enabling pausing gives central authority to the token creator.
- Can blacklist: Specifies whether individual accounts such as malicious actors can be blacklisted after initial token creation. Note that if this function is enabled together with whitelisting, you can still black list an address that is on the whitelist. This is useful when an investor has been added to a sanction list and you have to prevent them from transferring the token further.
- Charge transaction tax / fee: If activated, the fee will go to the specified tax / fee wallet as a portion of every transfer of the token. The default recipient of the tax / fee is the connected token creator wallet. The recipient can be changed to a different fee, marketing or charity wallet. The fee is specified in basis points (bps). If you want to charge a fee of 3.5% for example, you need to enter 350 bps. By default the fee recipient is excluded from the fee when sending tokens. The tax / fee setting can be changed after token creation under the Manage Token function or set to 0 to deactivate it.
- Burn fee for deflationary token: If activated, the specified burn fee as a portion of every transfer of the token will be burnt. The burn fee is specified in basis points (bps). If you want to have 1.8% deflation / burn for each transfer for example, you need to enter 180 bps. The burn fee setting can be changed after token creation under the Manage Token function or set to 0 to deactivate it.
- Change owner: The default owner is the address of the connected wallet. Note: if you change the owner to an address that you don’t control, you will not be able to make any changes to the token after its creation.
The following options are mainly relevant for compliance and regulatory reasons and make use of different security token standards from the ERC-1400 family. Note that you may not be able to create a liquidity pool on a DEX for tokens where some of these features are activated.
- Has document (ERC-1643): Add the URL of an offering documentation such as a prospectus or whitepaper here. If you don't know what to put in here, you can leave this inactive.
- Max number of tokens per address is limited (ERC-1594): Sets maximum token balance per individual address. Limit can be increased after initial token creation but not decreased.
- Can be force transferred (ERC-1410): Regulates the permissions of the token issuer to enforce token transfers without approval or signature of the token holder. This feature be deactivated after initial token creation. Please note: This unrestricted transfer introduces a centralization risk and may lead to a potential misuse of the privilege. If there is a legitimate need for this functionality, make sure it is properly communicated to all users and token holders.
- Requires whitelisting (ERC-1594): Defines if token transfers are only possible to whitelisted addresses or if the token is freely transferable. If you activate this, you can add and remove addresses to the whitelist under the Manage Token functionality. This feature is useful for security tokens where you need to know who holds your tokens. Note that you also need to whitelist your own creator address to be able to transfer tokens.
It takes approximately 10 seconds to create the tokens after you confirm. The initial token balance will be automatically transferred to the address of the creator/owner after the creation is successful.
The token is automatically deployed to the network and verified. Should the token verification not be completed automatically, you can go to Manage Token and click the "Verify" button that is shown at the top of the screen in such cases.
Please note: The owner address can distribute tokens without obtaining the consensus of the community. It is recommended that the team be transparent regarding the initial token distribution process. The token distribution plan should be published in a public location that the community can access. The team can lock up a portion of tokens, release them with a vesting schedule for long-term success, and deanonymize the project team with a third-party KYC provider to create greater accountability.
Last modified 24d ago