Crypto analyst and influencer Tyler Swope is looking at two altcoins that he believes are ready to erupt thanks to a game-changing Ethereum standard.
In a recent episode of Chico Crypto, Swope introduces a new token standard in the Ethereum blockchain known as the ERC-677. According to the crypto influencer, ERC-677 is the new and improved version of ERC-20, which is the technical standard for tokens running smart contracts on Ethereum.
ERC-677 works with ERC-20 tokens and has additional features such as transfer and call functionalities. These features can help expand the application of smart contracts by allowing tokens to be transferred to a contract, which will then trigger a set of guidelines outlining how to respond to the receiving tokens within the transaction.
Swope says the new Ethereum standard may serve as a fundamental catalyst for the growth of Chainlink (LINK).
“Chainlink is in the know. Steve (Ellis) said what Chainlink was using it for, ‘LINK uses it and it is great for minimizing transactions and/or inter-contract interactions.’ And it is not vulnerable to re-entrancy attacks… Chainlink is using it like mad. We can look up the transfer and call function from Bloxy, which shows us how this functionality is being used. As we can see, the number of times this has been used has been growing and growing since June of 2019. What happened in June? The launch of Chainlink mainnet on Ethereum.”
Swope says that Chainlink is using the transfer and call function to save on gas by allowing price feed relayers to pay for and request off-chain data in a single transaction.
In addition to Chainlink, the crypto analyst says that Dai (DAI) may also benefit from the added functionalities of ERC-677 by implementing a customized version of it on xDai.
“xDai is of course using it and they’re using it in multiple ways. Of course, for their bridges and the transferring of tokens… This customized version of ERC-677 and the multi-token mediator address have created something special with xDai. And that’s the OmniBridge… So ERC-677 and its tech is revolutionizing bridges and transfers across them for good.”
Swope also says that the ERC-677 standard will make staking tokens a reality for Chainlink and xDai.
“So if I’m correct, in the short future, staking will be allowed by other tokens on xDai’s sister chain. And guess what? Chainlink is doing something similar on mainnet Ethereum, allowing tokens to become stakeable.”
The crypto influencer highlights that ERC-677 tokens will be huge in the current boom cycle.
“I believe 677 and the transfer and call function will be the ERC-20 of this run. It’s going to change the game as it already is.”
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