How to develop a token on the Solana Blockchain?

in solanablockchain •  2 years ago  (edited)

How to develop a token on the Solana Blockchain

There has been a huge change in blockchain technology recent time phase. There are a number of tokens that provide value in various areas. Solana is determined as one of the fastest blockchains in the world. Along with this, it is also the fastest-growing ecosystem in the crypto market. It has thousands of projects like Web3, NFT, Defi, and a lot more others.

So, the word token in the world of blockchain represents a number of rules which are encoded in the smart contract. So, each and every token belongs to a certain blockchain address. Hence, it is an essential digital asset that is stored securely on the blockchain.

Solana is a decentralized blockchain that saw tremendous growth during the year 2021. It is also emerging as one of the most prominent competitors in the Ethereum network. The question regarding the development of the Solana token is not at all surprising. Though, like Ethereum, Solana is also a smart contract-compatible token. Hence, it means that Solana can also build up dApps, tokens, and various other Web3 projects on the Solana networks.

The major difference between Solana and Ethereum is the difference in terminology. An example of the same is that the Smart contracts are known to be the programs in the Solana ecosystem. If you are much familiar with Ethereum, Solana may be quite confusing to you. Solana is just an indigenous cryptocurrency token. It is also defined as a utility token because of its uses in the Solana ecosystem.

Moreover, the important difference between Solana and Ethereum may be based on the terminology. An example of the same is, smart contracts are majorly known as the programs in the Solana ecosystem. The major drawback of the most significantly used development blockchain known Ethereum is that it has congested networks. As crypto technology and blockchain is adopted by the majority of people, the network is not able to handle the increased number of transactions. It just drives up the gas prices along with making it economically quite unviable for making transactions in the Ethereum network.

As a result, Solana is set out the creation a blockchain that emphasizes the speed of the transactions and also lowers the cost. Around 3000 transactions are processed by the chain every second. It has an average cost of $0.00025 on every single transaction. Likely, Solana solves many of the drawbacks of the Ethereum blockchain. As a result, it becomes a fierce competitor.

Process of creating Solana Blockchain

Here is described the process of creating the Solana blockchain;

Setting up the Wallet: So, the token which is going to be produced would be kept in your NFTs and wallet. There prevails a number of methods for building up the wallet. So at the very beginning, one needs to install the Solana Tool Suite. After installing the tool, one needs to begin with making a wallet. Terminal needs to be accessed if you are using Linux or Mac. In case you are having Windows then enable the command prompt. After some time, your computer will navigate to a certain desktop then you need to set the passwords. Your wallet is made.

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Creation of Token: Now, you need to create the token. Huge information prevails in the Solana documents. In order to check whether everything is working or not, you can check the balance section of your Solana wallet. At the initial stage, your balance would be reflected as zero.

So, as we have both SPL CLI as well as Solana, the process of making the token will become quite accessible. Thus, a fungible token would be easily made with just a few commands. After this process, one can also make NFT.

Here is given a short summary of creating the Solana Token:

First of all, install the SPL CLI and Solana.
Then, undergo the creation of a wallet and acquire testnet SOL.
Then make a fungible token.
Have the creation of non-fungible tokens if required.
In the end, add all the tokens to your wallet.

By following the above-mentioned steps, you can easily create fungible and NFT tokens.

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