ERC677
Introduction to ERC677
ERC-677 is an Ethereum token standard designed to streamline token interactions with smart contracts. Unlike ERC-20, it includes a 'transferAndCall' function. This enables token transfers to directly trigger actions within the recipient contract (a callback), enhancing automation potential.
Key Components
Transfer and Call: The Heart of ERC-677
The transferAndCall function is the cornerstone of the ERC-677 standard. It expands upon the basic transfer functionality from ERC-20 by enabling more complex interactions. When tokens are transferred, transferAndCall automatically triggers a callback within the receiving smart contract (if that contract is programmed to handle it).
ERC677Receiver: The Contract’s Role
For a smart contract to be compatible with ERC-677 transfers, it must implement the ERC677Receiver protocol. This includes a single function: onTokenTransfer. This function serves as the designated callback, allowing the contract to execute custom logic when it receives ERC-677 tokens.