ICYMI: new Ethereum proposal will introduce new standard of Ethereum-based tokens, ERC-4626 $ETH ETH
With this standard, a single Ethereum ERC-20 token will act similarly to vaults, the backbone elements of the global decentralized finance ecosystem.Ethereum developer and expert who goes by @0xSassun on Twitter, the co-founder of the Stack3 DAO platform, has taken to Twitter to share the benefits of the most unusual proposal for Ethereum in the last month.In short ERC-4626 is a Tokenized Vault Standard.In short, this proposal will introduce new standard of Ethereum-based tokens, ERC-4626.
Modern yield-bearing tokens guarantee their users periodic rewards that correlate with the growth of the underlying liquidity pools. However, building DeFis on top of yield-bearing tokens is rather challenging right now: to ensure their integrity, engineers need to write multiple attack-resistant"adapters."Should EIP-4626 be approved, such mechanisms would be developed in a"Lego-like" manner, software developers add.
Also, this update will bring the security and auditability of smart contracts. That is why seasoned Ethereum developers are supporting the upcoming innovation. Namely, it is endorsed by Joey Santoro of Fei Protocol , representatives of Yearn.Finance protocol and VC heavyweights Paradigm.