What is BEP-20?

Think of a standard USB port: different devices can plug in because they follow the same specifications. BEP-20 does something similar for tokens on BNB Smart Chain, the network formerly called Binance Smart Chain. It gives wallets and apps a common way to interact with them, without needing separate code for each token.

These rules are implemented in a smart contract. The contract records how many tokens belong to each address and provides functions for transfers, balance checks and approving third parties to use them. Units of the same token are fungible: one unit has no separate identity the way an NFT does.

BEP-20 is based on Ethereum’s ERC-20, which is why the two specifications are very similar. That doesn’t mean tokens move automatically between the two networks. BEP-20 also isn’t a coin or a separate blockchain. BNB is BNB Smart Chain’s native coin and is used to pay transaction fees, known as gas.

Why it matters

If you see “BEP20” among an exchange’s withdrawal options, it usually means sending via BNB Smart Chain. The recipient must support that specific token on that specific network. The same token name may appear on several networks without their deposits being interchangeable.

In your own wallet, you usually also need a little BNB to transfer a BEP-20 token or interact with its contract. Your balance of the token itself isn’t enough to pay for gas.

What to watch out for

An address starting with “0x” doesn’t prove you’ve picked the right network. Ethereum and BNB Smart Chain use the same address format. Sending on an unsupported network can leave your funds inaccessible, and recovery isn’t guaranteed.

We always distinguish compatibility from security: BEP-20 is not a seal of trustworthiness. A token can follow the standard and still have malicious restrictions. Check the contract address, not just the name and ticker, and be careful with the approvals you give apps to use your tokens.