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Copy file name to clipboardExpand all lines: pages/stack/protocol/interop/superchain-erc20.mdx
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@@ -12,16 +12,20 @@ import { Callout } from 'nextra/components'
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Interop is currently in active development and not yet ready for production use. The information provided here may change. Check back regularly for the most up-to-date information.
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</Callout>
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`SuperchainERC20` is a token standard designed to enable asset interoperability in the Superchain ecosystem.
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It serves as the foundational token deployment pattern within the Superchain, including `GovToken`, `WETH` (Wrapped Ether), migrated `OptimismMintableERC20Tokens`, and newly minted native `SuperchainERC20`.
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This standard is crucial for enabling a more interconnected and efficient token ecosystem within the Superchain, balancing the needs for interoperability, security, and simplified developer experience.
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`SuperchainERC20` is a token standard designed to enable asset interoperability in the Superchain.
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Asset interoperability allows for tokens to securely move across chains without asset wrapping or liquidity pools for maximal capital efficiency, thus unifying liquidity and simplifying the user experience.
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## Features and benefits
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***Interoperability**: Enables seamless token transfers between different chains within the Superchain ecosystem, which decreases fragmentation of liquidity.
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***Simplifies deployments**: Provides a consistent, unified standard for tokens across all Superchain-compatible networks and a common crosschain interface for the EVM ecosystem at large.
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Additional features:
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***Simplified deployments**: Provides a consistent, unified standard for tokens across all Superchain-compatible networks and a common crosschain interface for the EVM ecosystem at large.
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***Permissionless propagation**: Easily clone an existing token contract to a new OP Stack chain using `create2` without requiring the original owner, which enables movement of assets to the new chain once Interop goes live. Importantly, permissionless propagation retains the integrity of the original owner on the contract and preserves security but proliferates the contract's availability to new chains.
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***Ethereum-aligned**: Intentionally designed to be supported across the EVM ecosystem (RIP coming soon).
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***Ethereum-aligned**: Intentionally designed to be generic and supported as an Ethereum-wide standard (RIP coming soon).
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## How it works
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`SuperchainERC20` token standard facilitates secure token transfers between chains in the Superchain networks via native burning and minting.
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* Initiating message where token is **burned** on the source chain. A user initiates a transfer of token from one blockchain to another and specifies the recipient wallet address on the destination chain. A specified amount of token is burned on the source chain.
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* Executing message where token is **minted** on the destination chain. The specified amount of token is minted on the destination chain and sent to the recipient wallet address.
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## Major components
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`SuperchainERC20` differs from other token standards in its focus and implementation:
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*`SuperchainERC20` has minimal differentiation from a standard ERC20 deployment, only requiring a minimal crosschain mint/burn interface, which aims to be a common pattern for the EVM ecosystem (RIP coming soon).
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*`SuperchainERC20` shares trust assumptions across all chains in the superchain, such that custom assumptions around security and latency are not required to account for when executing transfers.
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*`SuperchainERC20` shares trust assumptions across all chains in the Superchain, such that custom assumptions around security and latency are not required to account for when executing transfers.
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<Callouttype="info">
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Projects moving from other token standards may need to adapt to the `SuperchainERC20` specification.
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</Callout>
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## Implementation details
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Application developers must complete two tasks to enable `SuperchainERC20`. This advance setup ensures that `SuperchainERC20` goes live when the Interop upgrade happens and tokens becomes interoperable.
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Application developers must do two things to make their tokens `SuperchainERC20` compatible. Doing this setup now ensures that tokens can benefit from Interop once the Interop upgrade happens.
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1. Permission only `SuperchainERC20Bridge` to call `crosschainMint` and `crosschainBurn`.
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2. Deployment at same address on every chain in the Superchain using `create2` function.
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For now, application developers should view `SuperchainERC20`as standard ERC20 tokens with additional built-in functions that will be enabled once Interop goes live.
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For now, application developers should view `SuperchainERC20`as standard ERC20 tokens with additional built-in functions that allow cross-chain asset movement that will be enabled once Interop goes live.
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<Callouttype="warning">
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`SuperchainERC20` token must give access to the address where the future Interop bridge will live.
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To enable asset interoperability, `SuperchainERC20` token must give access to the address where the future `SuperchainERC20Bridge` will live.
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